14 Best 1-Year CD Rates for October 2024 (Up to 4.65%)
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Why trust NerdWallet
The best one-year CD rates can help boost some of your short-term savings. These rates tend to be more than double the national average of 1.81% for one-year certificates of deposit.
APY research methodology: Annual percentage yields, meaning the rates of return, are current on this page as of the publication date. Each weekday, we review account rates to make sure we have the most up-to-date APYs.
Why trust NerdWallet
The best one-year CD rates can help boost some of your short-term savings. These rates tend to be more than double the national average of 1.81% for one-year certificates of deposit.
APY research methodology: Annual percentage yields, meaning the rates of return, are current on this page as of the publication date. Each weekday, we review account rates to make sure we have the most up-to-date APYs.
The Fed dropped its benchmark rate on Sept. 18, 2024. As a result, banks and credit unions have started lowering CD rates. With a CD, you can lock in high rates while they’re still around.
Best 1-Year CD Rates for October 2024 (Up to 4.65%)
| Bank/institution | NerdWallet rating | Minimum deposit | APY | Learn more |
|---|---|---|---|---|
 Marcus by Goldman Sachs High-Yield CD Learn more at Goldman Sachs Bank USA, Member FDIC | Best for 1-Year CD Rates | $500 Member FDIC | APY 4.20% | Learn more at Goldman Sachs Bank USA, Member FDIC |
 BMO Alto Certificate of Deposit Learn more at BMO Alto, Deposits are FDIC Insured | Best for 1-Year CD Rates | $0 Deposits are FDIC Insured | APY 4.30% | Learn more at BMO Alto, Deposits are FDIC Insured |
 Alliant Credit Union Certificate Learn more at Alliant Credit Union, Federally insured by NCUA | Best for 1-Year CD Rates | $1,000 Federally insured by NCUA | APY 4.30% | Learn more at Alliant Credit Union, Federally insured by NCUA |
 Bread Savings™️ CD Learn more at Bread Savings, Member FDIC | Best for 1-Year CD Rates | $1,500 Member FDIC | APY 4.30% | Learn more at Bread Savings, Member FDIC |
 CIBC Agility™ Online CD | Best for 1-Year CD Rates | $1,000 Member FDIC | APY 4.56% | Read review |
 Popular Direct CD | Best for 1-Year CD Rates | $10,000 Member FDIC | APY 4.10% | Read review |
 Bask Bank CD | Best for 1-Year CD Rates | $1,000 Member FDIC | APY 4.40% | Read review |
 TAB Bank CD | Best for 1-Year CD Rates | $1,000 Member FDIC | APY 4.25% | Read review |
 Service Credit Union Share Certificate | Best for 1-Year CD Rates | $500 Federally insured by NCUA | APY 4.65% | Read review |
 Citizens Online CD | Best for 1-Year CD Rates | $5,000 Member FDIC | APY 4.25% | Read review |
 Capital One 360 CD | Best for 1-Year CD Rates | $0 Member FDIC | APY 4.20% | Read review |
 Sallie Mae Bank CD | Best for 1-Year CD Rates | $2,500 Member FDIC | APY 4.10% | Read review |
 First Internet Bank CD | Best for 1-Year CD Rates | $1,000 Member FDIC | APY 4.42% | Read review |
 Live Oak Bank CD | Best for 1-Year CD Rates | $2,500 Member FDIC | APY 4.50% | Read review |
Our pick for
1-Year CD Rates
$500
Member FDIC
4.20%
Why We Like It
The online-only bank Marcus by Goldman Sachs – begun in 2016 by the Wall Street banking giant – has a competitive one-year APY and a low minimum opening requirement of $500. Some banks have minimums of $1,000 or $10,000.
$0
Deposits are FDIC Insured
4.30%
Why We Like It
Launched in spring 2023, BMO Alto is the online-only U.S. division of the 200-year-old Canadian bank BMO. The bank has a competitive one-year CD rate and no minimum deposit requirement, which is an uncommon perk.
$1,000
Federally insured by NCUA
4.30%
Why We Like It
The online-focused Alliant Credit Union, founded in 1935, has strong rates and a lower opening minimum than some competitors. Membership is open nationwide to anyone who agrees to be an advocate of the Alliant Credit Union Foundation, which involves the credit union making a $5 contribution on your behalf. Credit unions generally must have a field of membership, and some credit unions such as Alliant allow for nationwide membership by having applicants join an affiliated organization. Although it’s an extra sign-up step compared to banks, credit unions can have a more community-driven vibe.
$1,500
Member FDIC
4.30%
Why We Like It
Bread Savings – formerly called Comenity Direct – offers CDs with a somewhat high minimum of $1,500. Despite its unusual name, the online bank has a solid combo of high-yield savings and high-yield CDs. The range of terms is from three months to five years.
$1,000
Member FDIC
4.56%
Why We Like It
Launched in 2018, CIBC U.S. is the online U.S. banking division of the 150-year-old bank CIBC, the Canadian Imperial Bank of Commerce. Its competitive one-year CD has two tiers: 4.56% APY for a deposit under $25,000 and 4.56% APY for a higher deposit. The minimum deposit of $1,000 is somewhat low. CIBC’s one-year CD rate stands out, but the bank has a limited offering of CDs without longer terms such as three or five years.
$10,000
Member FDIC
4.10%
Why We Like It
Founded in 1893, Popular Bank is the parent of online bank Popular Direct. Popular Direct’s CDs have a hefty opening minimum of $10,000, but its one-year rate may be worthwhile. It offers a three-month term, which is less common among banks.
$1,000
Member FDIC
4.40%
Why We Like It
Started in 1999, Bask Bank is the online-only bank division of Texas Capital Bank. Its one-year CD has a competitive rate and a somewhat low minimum of $1,000. The range of CD terms at Bask focuses on shorter terms with the longest being two-year CDs, while many banks offer CD terms as long as five years.
$1,000
Member FDIC
4.25%
Why We Like It
TAB Bank, started in 1998, is an online bank and its name stands for Transportation Alliance Bank. TAB Bank offers a competitive yield on its one-year CD and a somewhat low minimum of $1,000 to open.
$500
Federally insured by NCUA
4.65%
Why We Like It
Established in 1957 for military members and their families in New Hampshire, Service Credit Union has since expanded and lets anyone join by becoming a member of the American Consumer Council, with a promo code to bypass the membership fee. Although it’s an extra sign-up step compared to banks, credit unions can have a more community-driven vibe. Service Credit Union provides a 12-month share certificate with a competitive rate and a low opening minimum of $500.
$5,000
Member FDIC
4.25%
Why We Like It
Citizens Bank was established in 1871 and Citizens is its online division. The online bank's CDs are relatively high-yield, but the minimum amount to open is hefty. Citizens only offers terms of one through five years; other banks offer terms shorter than a year.
$0
Member FDIC
4.20%
Why We Like It
The online banking giant Capital One has a competitive one-year CD rate and no minimum to open. Its range of terms is standard: six months up to five years.
$2,500
Member FDIC
4.10%
Why We Like It
Sallie Mae was originally a government student loan servicer, but since 2014, Sallie Mae Bank has been a consumer bank and a popular student loan provider. It offers a strong rate on its one-year CDs. There's a higher opening minimum than at some online banks, but Sallie Mae offers many term options, from six months to five years.
$1,000
Member FDIC
4.42%
Why We Like It
First Internet Bank, one of the oldest online banks, has a top rate for its one-year CD term and a somewhat low minimum deposit of $1,000.
$2,500
Member FDIC
4.50%
Why We Like It
Live Oak Bank offers some online CDs with strong rates, though there's a somewhat high minimum requirement of $2,500.
💬 Our Nerds say:
“One-year CDs are unusually competitive in 2024. Their best rates surpass three- and five-year CD rates. And, compared to high-yield savings accounts, one-year rates remain higher.
“Because of one-year CDs’ popularity, you can be more choosy about the institution you want to leave your money with. Personally, I like to have a high-yield savings account at the same place I have a CD to make the transfer out of the CD easy once the CD matures.”
— Spencer Tierney, NerdWallet senior writer covering consumer banking
What is a one-year CD?
A one-year CD is a type of savings account that keeps a fixed sum inaccessible for 12 months and locks in the APY (your rate of return). Money in a CD is federally insured just like it is in other bank accounts. If you pull the money out early, you'll typically have to pay an early withdrawal penalty. A regular savings account, on the other hand, has a variable rate, meaning the interest rate can change over time but you can pull your money out at any time.
Best 1-year CD rates for October 2024
BMO Alto: 4.30% APY, no minimum to open.
Bread Savings: 4.30% APY, $1,500 minimum to open.
Popular Direct: 4.10% APY, $10,000 minimum to open.
Bask Bank: 4.40% APY, $1,000 minimum to open.
TAB Bank: 4.25% APY, $1,000 minimum to open.
Alliant Credit Union: 4.30% APY, $1,000 minimum deposit.
Service Credit Union: 4.65% APY, $500 minimum deposit.
Citizens: 4.25% APY, $5,000 minimum deposit.
CIBC U.S.: 4.56% APY, $1,000 minimum deposit.
Capital One: 4.20% APY, no minimum deposit.
Marcus by Goldman Sachs: 4.20% APY, $500 minimum deposit.
Sallie Mae Bank: 4.10% APY, $2,500 minimum deposit.
First Internet Bank: 4.42% APY, $1,000 minimum deposit.
Live Oak Bank: 4.50% APY, $2,500 minimum deposit.
1-year CD trends
NerdWallet picks’ average:
4.36% APY
National average:
1.81%
How to find the best one-year CD for you
Compare these four factors:
APY: This is the annual percentage yield, which is your rate of return that includes having interest compounded. Try out different rates on our CD calculator.
Minimum deposit: This is the lowest amount you need to open a CD, but you generally don’t want to use the minimum as a guide for the right amount to save in a CD. Learn more about how much money to put into CDs.
Early withdrawal penalty: It’s good to know the cost of the worst-case scenario where you break the seal on your CD early. See what typical penalties cost.
What else you want from that institution: Do you want a checking or savings account at the same place you get a CD? Not all banks offer all these types of accounts. Are you focusing on CDs where you bank or where you’re an investor? CDs at banks (and share certificates at credit unions) can be easier to manage, unless you’re familiar with the ins and outs of a brokerage account and want brokered CDs.
Why have one-year CDs been so high?
One-year CD rates have been high largely thanks to two big reasons:
The Fed rate has remained high and mostly unmoving for the past year, but in September the Fed made its first rate cut since March 2020. This rate plays a big role in how banks decide to adjust their CD rates (and how credit unions do the same for their share certificates). We’ll likely see CD rates drop more steadily for the rest of the year.
CD rates can reflect banks’ attitudes about where rates are headed. In the current rate environment, one-year CD rates are generally higher than longer-term rates, such as for three or five years. This shows how banks believe rates will fall sooner than later. Learn more about the factors that impact bank account rates in mid-2024.
Alternatives to one-year CDs
Here’s a list of other short-term savings options:
High-yield savings accounts: Solid returns above 4%, federally insured bank accounts. Rates can change at any time, though.
Other short-term high-yield CDs: The best three-month and six-month CDs have strong rates and can help you build a short CD ladder, which can be made of CDs with terms of three months, six months, nine months and one year. For this short ladder, a CD matures every three months, at which time you can either cash out or reinvest in a new one-year CD as the longest term of the ladder.
No-penalty CDs: These specialty CDs usually have terms around one year and let you withdraw the full amount early at no cost. Rates can be lower than high-yield CDs, though.
See more short-term investment options.
Last updated on October 25, 2024
Methodology
On a monthly basis, we compare rates at over 40 financial institutions, pulled from our full list, that we’ve seen to be consistently competitive. On a quarterly basis, we analyzed our full list, excluding banks that offered brokered CDs, since those accounts work differently from standard bank CDs. Higher rates might be available elsewhere.
We took a close look at over 90 financial institutions and financial service providers, including the largest U.S. banks based on assets, internet search traffic and other factors; the nation’s largest credit unions, based on assets and membership; and other notable and/or emerging players in the industry. We rated them on criteria including annual percentage yields, minimum balances, fees, digital experience and more.
Financial institutions and providers surveyed are: Affirm, All America Bank, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank5 Connect, Barclays, Bask Bank, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, BrioDirect, Capital One, Carver Federal Savings Bank, CFG Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Current, Customers Bank, Delta Community Credit Union, Discover® Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First Internet Bank, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, Forbright Bank, Global Credit Union, GO2bank, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Ivy Bank, Jenius Bank, KeyBank, Lake Michigan Credit Union, Laurel Road Bank, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, My Banking Direct, NASA Federal Credit Union, Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Poppy Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, SoFi, State Employees’ Credit Union of North Carolina, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Truist Bank, U.S. Bank, UFB Direct, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.
To recap our selections...
NerdWallet's Best 1-Year CD Rates for October 2024 (Up to 4.65%)
- Marcus by Goldman Sachs High-Yield CD: Best for 1-Year CD Rates, 4.20% APY
- BMO Alto Certificate of Deposit: Best for 1-Year CD Rates, 4.30% APY
- Alliant Credit Union Certificate: Best for 1-Year CD Rates, 4.30% APY
- Bread Savings™️ CD: Best for 1-Year CD Rates, 4.30% APY
- CIBC Agility™ Online CD: Best for 1-Year CD Rates, 4.56% APY
- Popular Direct CD: Best for 1-Year CD Rates, 4.10% APY
- Bask Bank CD: Best for 1-Year CD Rates, 4.40% APY
- TAB Bank CD: Best for 1-Year CD Rates, 4.25% APY
- Service Credit Union Share Certificate: Best for 1-Year CD Rates, 4.65% APY
- Citizens Online CD: Best for 1-Year CD Rates, 4.25% APY
- Capital One 360 CD: Best for 1-Year CD Rates, 4.20% APY
- Sallie Mae Bank CD: Best for 1-Year CD Rates, 4.10% APY
- First Internet Bank CD: Best for 1-Year CD Rates, 4.42% APY
- Live Oak Bank CD: Best for 1-Year CD Rates, 4.50% APY
Frequently asked questions
Online banks such as Bread Savings and credit unions such as Service Credit Union tend to have some of the most competitive one-year CD rates.
You should only get a one-year CD if you know you won’t need those funds for a year, so as to avoid breaking the seal early and paying a penalty. Beyond that, consider that the fixed rate of a one-year CD can come in handy especially compared to a high-yield savings account during a falling-rate environment.
It depends on your savings goals and how sure you are that you won't need your funds before the CD term expires. If you want to play it safe, go for a shorter CD term or a no-penalty CD.
CD rates are quoted as an annual percentage yield, or APY, which is how much the account earns in one year including compound interest. Banks generally compound interest monthly or daily. Learn more about APY vs. interest rate.
