Best alternative to a CD investment today

CD’s have been a popular form of safe investing for decades (source:
  • Certificates of deposit provide steady returns for low risk.
  • CDs are very low-maintenance — which is excellent for those with idle money lying around.
  • CDs have predictable returns — you know when you’re getting your money back and how much you’re getting.
There are a lot of other options now that can give you better returns than CDs for the same amount of work/risk (source:

What are the best alternatives to CD investments?

1. Dividend Stocks

Another excellent alternative to CD investments is dividend stocks. These typically offer higher returns than CDs over the long term and provide a degree of safety that normal stocks can’t.

2. ETF’s

While we’re on stocks, ETFs (or exchange-traded funds) can be a great modern option for steady growth.

  • Low cost for entry.
  • They’re simple to buy, sell, and own.
  • ETFs seldom incur yearly capital gains taxes as mutual funds can; you’ll only pay taxes when you sell your shares in the ETF for a profit.
  • High diversification.

3. Real estate-related investments

Real estate is a great passive wealth-building instrument if you have it. But until now the entry bar has been set quite high for people who don’t have a couple hundred thousand dollars lying around.

These are some of the best alternatives to CDs today

4. Corporate Bonds

Corporate bonds are loans issued to corporations to raise capital. They are a secure way to make high-interest returns on a set term. Because your borrower is a business, they are more regulated than an individual borrower.

P2P lending: the best alternative to CD investment?

Peer-to-peer lending was born out of a need for better interest rates from banks. P2P lenders are online platforms replacing the bank in the lending process. They distribute loans and interest directly between the investors and the borrowers.

  • 100% secured interest for 6–7% APR.
  • Flexible rates and term lengths.
  • When not on loan, your funds earn 4% APY.
  • You can withdraw anytime without additional fees.
  • Easy transition into cryptocurrency.



Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store


Peer-to-peer lending built on peer-to-peer technology. Refer & Earn $10 | Website