- You can earn up to 4.65% APY with today’s best CDs.
- Banks cut some top CD rates this week.
- The sooner you open a CD, the better the APY you might be able to lock in.
Certificate of deposit rates have largely held steady since the Federal Reserve paused interest rates in January. But some banks have been tweaking their CD rates and lately, this means cutting annual percentage yields.
This week, the top five-year CD rate on our list, America First Credit Union’s, fell from 4.25% APY to 4.20% APY. BMO Alto slashed its rates on six-month, one-year, three-year and five-year CDs from 3.50% to 3.90% APY down to 3.00% to 3.15% APY. It’s a reminder that CD rates can change at any time, so locking in your APY now can help protect your earnings.
TAX SOFTWARE DEALS OF THE WEEK
Deals are selected by the CNET Group commerce team, and may be unrelated to this article.
“I expect rates to remain flat or trend lower, following the path of broader interest rates, in the coming weeks,” said Noah Damsky, CFA, Principal of Marina Wealth Advisors. “If you’re waiting for higher CD rates before you invest, you might not get it. If I were in the market for a CD now, I’d invest right now because rates might be lower tomorrow.”
Today’s best CDs offer up to 4.65% APY — more than three times the national average for some terms. Here are some of the highest CD rates available now and how much you could earn by depositing different amounts.
Best CD rates today
| Term | Highest APY* | Bank | Estimated earnings on $1,000 deposit | Estimated earnings on $5,000 deposit | Estimated earnings on $10,000 deposit |
|---|---|---|---|---|---|
| 6 months | 4.65% | CommunityWide Federal Credit Union | $22.99 | $114.93 | $229.85 |
| 1 year | 4.45% | CommunityWide Federal Credit Union | $44.50 | $222.50 | $445.00 |
| 3 years | 4.15% | America First Credit Union | $129.74 | $648.69 | $12,97.38 |
| 5 years | 4.20% | America First Credit Union | $228.40 | $1,141.98 | $2,283.97 |
Experts recommend comparing rates before opening a CD account to get the best APY possible. Enter your information below to get CNET’s partners’ best rate for your area.
Top reasons to open a CD today
CDs offer a number of benefits, including:
- Competitive rates: Traditional savings accounts offer minimal APYs, sometimes as low as 0.01%. Top CDs currently have APYs of 4.50% or more. That can make a difference in your interest earnings.
- Guaranteed returns: Your APY is locked in when you open a CD, unlike with savings accounts where interest rates can vary at any time. A CD’s fixed rate makes it easy to calculate how much interest you’ll earn over time and protects your funds from rate drops after you open your account.
- Low risk: CDs held by an FDIC-insured bank or NCUA-insured credit union are protected for up to $250,000 per depositor, institution and account category. That means that if your bank fails, your money is safe. Other investments, such as stocks, may potentially yield higher returns over the long term, but they’re also volatile, which means you could lose your money at any time.
- Barrier to access: You can withdraw money in a savings account at any time, free of charge (as long as you mind any monthly withdrawal limits). Many CDs, however, charge an early withdrawal penalty if you take your money out before the term is up. This can help you resist the urge to dip into your funds before you need them.
Could a savings account be a better fit for you?
CDs have plenty of perks, but they’re not always the best option. “It really depends on your goals,” said Taylor Kovar, certified financial planner and CEO of 11 Financial.
To determine if a CD is the right choice for your money, ask yourself the following questions:
- When will you need your funds? CDs are great for savings goals with a set timeline, and they come in a range of terms, from as short as three months to several years. If you know you want to buy a home down the road, for example, a five-year CD can be a great way to grow your down payment. If you need instant access to your money with an emergency fund, however, a savings account is a better fit.
- How much do you have to deposit? Some CDs require a minimum deposit to open an account, typically $500 to $1,000. If you can’t find an account with an attractive APY for the amount you want to deposit, try looking into a high-yield savings account with a low or no minimum deposit.
- Do you want to add money over time? Most CDs (though not all) only allow a one-time deposit. If you’d like to regularly add money to your savings over time, consider a high-yield savings account.
- Do you need some discipline? If you’re worried you’ll be tempted to tap into your savings before you need it, a CD imposes an early withdrawal penalty, which can help give you pause.
💰You can earn up to 5% APY on today’s best high-yield savings accounts. Check out top savings rates now.
Methodology
CNET reviews CD rates based on the latest APY information from issuer websites. We evaluated CD rates from more than 50 banks, credit unions and financial companies. We evaluate CDs based on APYs, product offerings, accessibility and customer service.
The current banks in CNET’s weekly CD averages are Alliant Credit Union, Ally Bank, America First Federal Credit Union, American Express National Bank, Barclays, Bask Bank, Bethpage, BMO Alto, Bread Savings, Capital One, CFG Bank, CIT, CommunityWide Federal Credit Union, Connexus Credit Union, Discover, EverBank, First Internet Bank of Indiana, First National Bank of America, Fulbright, Limelight Bank, Marcus by Goldman Sachs, MYSB Direct, Popular Bank, Quontic, Rising Bank and Synchrony.
*APYs as of March 6, 2025, based on the banks we track at CNET. Earnings are based on APYs and assume interest is compounded annually.
