How Multi-Year Guaranteed Annuities (MYGAs) Compare to CDs in 2025
For conservative savers, the choice between a Certificate of Deposit (CD) and a Multi-Year Guaranteed Annuity (MYGA) can be confusing—especially when interest rates are competitive. But while they look similar on the surface, MYGAs offer a range of long-term benefits CDs simply can’t match.
MYGAs vs. CDs: What’s the Same?
Both MYGAs and CDs offer a fixed interest rate over a set period, making them ideal for investors who want predictable growth without market volatility. They’re both safe, low-risk products.
What Makes MYGAs Better?
Unlike CDs, MYGAs grow tax-deferred. You won’t owe taxes on interest each year, which allows your savings to compound more efficiently. MYGAs also offer flexibility at maturity—whether you want to take the money, reinvest, or convert it into income.
Why It Matters in 2025
In today’s high-interest environment, locking in a MYGA now may allow you to secure higher guaranteed growth for years. While CDs are tied to bank terms and often limited in flexibility, MYGAs are insurance products designed to be part of a retirement strategy.
Perfect for Retirement Accounts
MYGAs are particularly helpful for IRA rollovers or 401(k) transfers. They offer a smart way to lock in growth while keeping your retirement plan simple and secure.
Planning Across Generations
While you grow your money safely with a MYGA, your family can also benefit from college planning guidance through our partner firm, Diversified College Planning. Our firms work together to ensure both your retirement and your family’s education future are on track.
Learn more and compare today’s best MYGA rates on our annuity rate page.
Contact Us Today: Want to compare fixed rates between MYGAs and CDs?
📞 Call us at 800-533-5969
📅 Schedule a free consultation: Book with Mike
Or visit our Contact Page