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Old 12-27-2006, 02:50 AM
Cubswin Cubswin is offline
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Join Date: May 2003
Posts: 4,979
Default Re: Credit and Credit Scores: A short lesson

I know what a CD is I just fail to see how borrowing against the CD is the best way to establish credit. The best rate I currently find for a 1 year CD is 5.46%. Put yourself in a 25% tax bracket and you are effectively earning somewhere around 4.25% after taxes. Where are you going to get a loan for less than 4.25%?
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