- Today's best CDs offer APYS as much as 4.65%.
- The rates dropped from Fed's interest rates last year.
- By locking high Apy now, you can protect your earnings from droplets for further rate.
Deposit Certificates offer a benefit from the guaranteed interest rate and Best CD -a Currently they offer APYs as much as 4.65%. However, these higher rates may remain, so it can now be a good time to make a move.
The Federal Reserve Paused interest rates At their January meeting, but banks can still reduce CD rates – and some already have this year. Plus, some experts predict that the Fed can reducing interest rates by the end of the year.
Opening CD today means that you can lock a higher rate for your CD term, no matter what is happening. Here are some of the highest CD rates and how much you can earn with deposit 5,000 USD.
Today's best CD rates
| Term | Highest apy* | Bank | Estimated earnings |
|---|---|---|---|
| 6 months | 4.65% | Federal Credit Union throughout the Community | $ 114.93 |
| 1 year | 4.45% | Federal Credit Union throughout the Community | $ 222.50 |
| 3 years | 4.15% | First Credit Union of America | $ 648.69 |
| 5 years | 4.25% | First Credit Union of America | $ 1,156.73 |
Experts recommend comparing rates before opening an CD account to get the best possible apy. Enter your information below to get the best rate of CNET partners for your area.
How does the Fed affect CD rates?
The Federal Open Market Committee meets eight times a year to set the federal funds rate based on the health of the US economy. The Fed can raise interest rates to try to slow inflation or reduce them to stimulate spending. After lowering interest rates in 2024, Fed paused all moves at the January meeting In the middle of the signs that Inflation was pulling up again.
Until the Fed setting the CDs directly, banks generally set apys at the rate of federal funds. CDs offer a fixed rate for a certain period of time, so the higher rate lock can now help protect your earnings if the Fed decides to lower interest rates in the coming months.
But it only makes sense to conclude the rate when you know that you will not need access to money. Otherwise, if you have to pay the CD before maturing, you may be affected by an early withdrawal.
“Going with the highest apy makes a lot of sense, though you will want to make sure you choose a date of maturity that is aligned with your condition,” said Keith Spencer, CP, founder and financial planner in Spencer's financial planning.
– You can earn up to 5% apy on Best High Yield Saving Accounts. Check today's prices.
Average CD rates from week to week
| Term | Last week's average apy of cnet | This week's average apy of cnet | Weekly change ** |
|---|---|---|---|
| 6 months | 4.10% | 4.10% | There is no change |
| 1 year | 4.06% | 4.07% | +0.25% |
| 3 years | 3.54% | 3.55% | +0.29% |
| 5 years | 3.55% | 3.56% | +0.28% |
Key features when choosing a CD
Competitive Apy is important, but not the only thing you need to think about. To find the right CD for you, measure these things:
- When you need money: Early withdrawal penalties You can eat on your CD in your earnings if you need money before the term ends, so choose a time frame. Alternatively, you can choose a without penatol CDAlthough Apy may not be as big as you would get a traditional CD with the same term.
- Minimum Deposit Condition: Some CDs need a minimum deposit to open an account, usually from $ 500 to $ 1,000. To know how much money you need to set aside, it can help you reduce your options.
- Taxi: Maintaining and other fees can reduce your savings. A lot Internet banks Do not charge a taxi because they have lower costs for overhead costs than banks with physical branches. Read fine printing for any account you evaluate.
- Security and security: Make sure the bank or Credit union You think he is a member of FDIC or NCUA so that your money is protected If the bank fails.
- Customer reviews and reviews: Visit pages like TrustPilot to see what customers talk about the bank. You want a suit bank, professional and easy to work.
Methodology
CNET reviews CD -based CDs based on the latest APY information from the publisher's web pages. We have evaluated CD rates of more than 50 banks, credit unions and financial companies. We evaluate the CD -based APYS, offers of products, accessibility and customer service.
Current banks included in the Sunday average CNET CD include Alliant Credit Union, Ald Bank, American Express National Bank, Barclays, Bask Bank, Bread Saving, Capital One, CFG Bank, Cit, Fulbright, MARCUS from Goldman Sachs, MySB Direct. , Quontic, Rising Bank, Synchrony, Ererbank, Popular Bank, Indiana's First Internet Bank, America First Federal Credit Union, Federal Credit Union in the Community, Discover, Betgage, BMO Alto, Banking Bank, First National Bank of America and Credit Board .
*Apys as of February 10, 2025, based on the banks we follow at CNET. Earnings are based on Apys and we assume that interest is upgraded annually.
** Weekly increase/decrease the percentage from 3 February 2025 to February 10, 2025.