Best CD Rates 2026
A certificate of deposit trades liquidity for a guaranteed, fixed rate — unlike a savings account's variable APY, your CD rate is locked in for the entire term the moment you open it. We compared leading providers on rate competitiveness, minimum deposit requirements, and early withdrawal terms to help you find the best fit.
How We Evaluated These CDs
Our comparison weighs current APY across common terms (6-month, 1-year, 5-year), minimum deposit requirements, early withdrawal penalty terms, and FDIC insurance status. Rates shown are approximate as of publication — CD rates shift with market conditions, so always verify the current rate directly with the bank before opening an account, since even a same-day rate check can differ from what's published elsewhere.
| Term | Typical Top APY | Notes |
|---|---|---|
| 6-Month | ~4.20%–4.30% | Good for short-term goals, minimal rate-lock risk |
| 1-Year | ~4.15%–4.40% | The most commonly chosen CD term, balances rate and flexibility |
| 5-Year | ~3.75%–4.00% | Often lower than shorter terms currently — reflects rate-cut expectations |
Rates are approximate and change frequently. Online banks (E*TRADE, Synchrony, Marcus, Discover) and credit unions typically offer the most competitive rates; always compare current published rates before opening.
How to Compare CD Offers
- APY (not interest rate): APY includes compound interest — always compare APY
- Term length: Match the CD term to when you'll need the money
- Early withdrawal penalty: Typically 90 days of interest for terms under 12 months, 180 days for longer terms — understand before opening
- Minimum deposit: Ranges from $0 to $10,000+ depending on the bank and whether it's a standard or jumbo CD
- Automatic renewal: Most CDs auto-renew — set a calendar reminder for maturity date
Credit Unions Sometimes Beat Banks
While online banks dominate most comparison lists, credit unions occasionally offer meaningfully higher CD rates — sometimes 5%+ on select terms — particularly on promotional or membership-tied certificates. The tradeoff is that credit union membership sometimes requires meeting eligibility criteria (location, employer, or a small membership fee). If you qualify for a credit union with a standout rate, it's worth comparing against the online bank options above.
CD Ladders: A Strategy Worth Considering
Rather than locking all your money into one CD term, a CD ladder splits your funds across multiple CDs with staggered maturity dates — for example, 6-month, 1-year, 2-year, and 3-year CDs opened simultaneously. As each CD matures, you reinvest it into a new long-term CD, gradually building a rotation that gives you regular access to a portion of your money while still capturing higher long-term rates on the rest. This approach reduces the risk of locking all your savings into a single rate right before rates rise, while still earning more than a standard savings account.
Frequently Asked Questions
Standard CDs don't allow additional deposits after opening. Some banks offer 'Add-On CDs' that allow deposits throughout the term. Bump-up CDs allow you to request one rate increase if rates rise during your term. If you want flexibility, consider a high-yield savings account or CD ladder instead of a single large CD.
You have a grace period (typically 7–10 days) after maturity to withdraw funds penalty-free or change terms. If you don't act, most banks automatically renew the CD for the same term at the current rate. Set a calendar reminder for your CD maturity date to compare rates before auto-renewal.
Jumbo CDs (typically $100,000+ minimum) sometimes offer a modestly higher rate than standard CDs, but the difference isn't always significant. Compare the jumbo rate against a standard CD plus the opportunity cost of tying up that much capital before assuming it's automatically the better choice.