Business: Help for Savers

Small depositors get more

When it comes to saving money, affluent people get a break. Those who put $10,000 or more into six-month money market certificates can collect interest at roughly 9.5%, while small savers are limited by law to earning only 5% from commercial banks and 5.25% from savings institutions on their passbook accounts. Last week federal banking authorities proposed new measures to redress this imbalance and encourage saving.

One of the new proposals will be an eight-year "rising rate" certificate of deposit in amounts as low as $500. The interest will start at 6% (6.25% in savings banks) and rise gradually...

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