Q. Which is best, a 6-month CD at 4.8% APY or a 1-year CD at 5.5% APY? Won't you make half the return on principal with the 6-month CD?

A. The first question you have to ask yourself is whether you need access to that money before this time next year? If you don't, then go for the higher rate on the one-year CD.

With an annual percent yield of 5.5%, you'll make $55 for every $1,000 you invest in the one-year CD. With a 4.8% yield you'll make about $24 over the next six months and $48 for the year if you reinvested in a second six-month CD at the same rate.

The only other reason to opt for the six month CD is if you think interest rates are going to be higher in the spring and you can reinvest at an APY higher than 5.5%. There's not much reason to think that, so locking in now for the entire year makes the most sense.