Title: Barry Armstrong looks at recent bank closures

" their money Monday and joining us now as he does every week is very Armstrong host of the money matters on WPIX and financial advisor for securities America to see. Thank you. -- unfortunately did not great isn't gonna be talking about and that is this something you predicted more bank closures."

" Yes we had three more bank failures on Friday night and the FDIC has announced that there's about 411. Sick banks that still remain so I think from a consumer standpoint of British kind of scratching their heads NG -- my bank is is ill. And and before we move on the other subject how we find out if our bank is among -- the easiest way to do that is to go to Bankrate dot com. And they have something called the safe and sound ratings of your bank she just put in the name of your bank wherever might be located. And it'll tell you whether it's a one star bank to or maybe as high as five star bank there's not many five star banks. Who you're really looking for out of your bank is to have a bank that's rated four stars. Maybe three. Would be okay but you certainly don't wanna be doing business at least from my perspective you don't wanna be doing business with a one -- now let's talk about the state investments CDs what they're coming due in September October where here's the problem last fall when we are here. In the stock market was crashing. People were taking the money out of the stock market and they are buying CD's because they said you know what I can make 4% on my money for the next twelve months. Guarantee and I don't have to worry and that looked pretty attractive when you're losing 4% to one day. What are you making. Well that's the problem now is that CD if you bought one last September when the stock market crashed and it's maturing in September of this year. You're looking at one year rate on national average basis about one point 75%. It's very very -- why the change. Well what happened is the bank's last fall we're able to back up those investments with treasures there hunger for money and they are giving up 4% return. Now they're backing it up with treasuries the ten year treasury note yield is about three and a half percent and the five year treasury note yield is about two and a half percent so. If the CD is backed up by treasury it only makes sense that it's gonna have a very low and diminished rate of return is -- guaranteed it's terrific thousand dollars to you still recommend people invest in these CDs what would you expect rates come back. What's going to be a couple years before you see the rates recover. CDs are fine investment for people that are want to strictly a safe investment the difficulty is. People are coming to me insane I can't live on one and a half percent interest would -- have as an alternative. To CDs and that's the challenge for a lot of consumers they like the safety of CDs they dislike the rate of return less than a minute -- attached to such as any other than risk free investments at this point nothing that's risk free and India other alternatives would be municipal bonds fairly safe investment and short term corporate bonds also saved us -- switching gears real quick China's main index down 7% overnight futures down now what she would be fair appear all -- Well -- it may turn out to be September being September September's the worst month of the year in the stock market for since 1926 bad things can happen -- our stock market in the world markets. In the months of September and October. I don't think we have anything to be fearful of was I don't think we're gonna have a rash of bank failures in the investment arena. But I do think we you know September and October do tend to be rough months on the stock market shocker don't know not at all -- so much for sharing your insight thank you."