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17 Best 1-Year CD Rates for December 2024 (Up to 4.55%)

Dec 12, 2024
Spencer Tierney
Written by 
Senior Writer
Sara Clarke
Edited by 
Assistant Assigning Editor
Fact Checked
Spencer Tierney
Written by 
Senior Writer
Sara Clarke
Edited by 
Assistant Assigning Editor
Fact Checked

Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions.

More than 100 financial institutions surveyed by our team of experts.

More than 50 data points considered for each bank and credit union to be eligible for our lists. For this CD list, three data points were considered per institution.

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 1.84% 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.

🤓

Nerdy Tip

The Fed lowered its benchmark rate multiple times in the second half of 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 December 2024 (Up to 4.55%)

Bank/institutionNerdWallet rating Minimum depositAPYLearn more
BMO Alto Certificate of Deposit

BMO Alto Certificate of Deposit

5.0/5
Best for 1-Year CD Rates
$0
Deposits are FDIC Insured

APY 4.20%

Alliant Credit Union Certificate

Alliant Credit Union Certificate

Learn more
at Alliant Credit Union, Federally insured by NCUA
4.7/5
Best for 1-Year CD Rates
$1,000
Federally insured by NCUA

APY 4.10%

Learn more
at Alliant Credit Union, Federally insured by NCUA
Bread Savings™️ CD

Bread Savings™️ CD

4.4/5
Best for 1-Year CD Rates
$1,500
Member FDIC

APY 4.30%

CIBC Agility™ Online CD

CIBC Agility™ Online CD

2.6/5
Best for 1-Year CD Rates
$1,000
Member FDIC

APY 4.31%

Bask Bank CD

Bask Bank CD

2.6/5
Best for 1-Year CD Rates
$1,000
Member FDIC

APY 4.25%

TAB Bank CD

TAB Bank CD

4.5/5
Best for 1-Year CD Rates
$1,000
Member FDIC

APY 4.52%

Citizens Online CD

Citizens Online CD

4.1/5
Best for 1-Year CD Rates
$5,000
Member FDIC

APY 4.25%

First Internet Bank CD

First Internet Bank CD

5.0/5
Best for 1-Year CD Rates
$1,000
Member FDIC

APY 4.42%

Live Oak Bank Personal CD

Live Oak Bank Personal CD

3.1/5
Best for 1-Year CD Rates
$2,500
Member FDIC

APY 4.20%

NASA Federal Credit Union Share Certificate

NASA Federal Credit Union Share Certificate

5.0/5
Best for 1-Year CD Rates
$1,000
Federally insured by NCUA

APY 4.30%

Andrews Federal Credit Union Fixed Rate Share Certificates

Andrews Federal Credit Union Fixed Rate Share Certificates

5.0/5
Best for 1-Year CD Rates
$1,000
Federally insured by NCUA

APY 4.25%

E*TRADE CD

E*TRADE CD

4.6/5
Best for 1-Year CD Rates
$0
Member FDIC

APY 4.25%

Bank5 Connect High-Yield CD

Bank5 Connect High-Yield CD

3.1/5
Best for 1-Year CD Rates
$500
Member FDIC

APY 4.25%

Barclays Online CD

Barclays Online CD

Learn more
at Barclays, Member FDIC
4.2/5
Best for 1-Year CD Rates
$0
Member FDIC

APY 4.25%

Learn more
at Barclays, Member FDIC
CFG Bank CD

CFG Bank CD

5.0/5
Best for 1-Year CD Rates
$500

APY 4.25%

Newtek Bank CD

Newtek Bank CD

4.4/5
Best for 1-Year CD Rates
$2,500
Member FDIC

APY 4.55%

Popular Direct CD

Popular Direct CD

4.2/5
Best for 1-Year CD Rates
$10,000
Member FDIC

APY 4.50%

Our pick for

1-Year CD Rates

NerdWallet rating
5.0/5

Minimum deposit

$0

Deposits are FDIC Insured

APY

4.20%

Our Take
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.

Alliant Credit Union Certificate
Learn more
at Alliant Credit Union, Federally insured by NCUA
NerdWallet rating
4.7/5
Learn more
at Alliant Credit Union, Federally insured by NCUA

Minimum deposit

$1,000

Federally insured by NCUA

APY

4.10%

Our Take
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.

NerdWallet rating
4.4/5

Minimum deposit

$1,500

Member FDIC

APY

4.30%

Our Take
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.

NerdWallet rating
2.6/5

Minimum deposit

$1,000

Member FDIC

APY

4.31%

Our Take
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 a rate of 4.31% APY. 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.

NerdWallet rating
2.6/5

Minimum deposit

$1,000

Member FDIC

APY

4.25%

Our Take
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.

NerdWallet rating
4.5/5

Minimum deposit

$1,000

Member FDIC

APY

4.52%

Our Take
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.

NerdWallet rating
4.1/5

Minimum deposit

$5,000

Member FDIC

APY

4.25%

Our Take
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.

NerdWallet rating
5.0/5

Minimum deposit

$1,000

Member FDIC

APY

4.42%

Our Take
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.

NerdWallet rating
3.1/5

Minimum deposit

$2,500

Member FDIC

APY

4.20%

Our Take
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.

NerdWallet rating
5.0/5

Minimum deposit

$1,000

Federally insured by NCUA

APY

4.30%

Our Take
Why We Like It

NASA Federal Credit Union has competitive rates on its share certificates, including its one-year term, and a somewhat low opening minimum of $1,000 on its standard terms. Membership to the credit union is available to anyone nationwide, no NASA affiliation required.

NerdWallet rating
5.0/5

Minimum deposit

$1,000

Federally insured by NCUA

APY

4.25%

Our Take
Why We Like It

Opened in 1948, Andrews Federal Credit Union offers high-yield share certificates with a somewhat low minimum deposit requirement of $1,000. It has a variety of share certificates, including jumbo certificates that have competitive rates but require $10,000 to open. Membership is available to members of the military as well as anyone who joins the nonprofit American Consumer Council.

NerdWallet rating
4.6/5

Minimum deposit

$0

Member FDIC

APY

4.25%

Our Take
Why We Like It

E*TRADE, known for its investing platform, also offers bank CDs including a high-yield one-year term. There’s no minimum deposit required. E*TRADE is a division of Morgan Stanley Private Bank.

NerdWallet rating
3.1/5

Minimum deposit

$500

Member FDIC

APY

4.25%

Our Take
Why We Like It

Bank5 Connect, online bank division of the Massachusetts-based BankFive, has a low opening minimum of $500 for its mostly short-term CDs.

Barclays Online CD
Learn more
at Barclays, Member FDIC
NerdWallet rating
4.2/5
Learn more
at Barclays, Member FDIC

Minimum deposit

$0

Member FDIC

APY

4.25%

Our Take
Why We Like It

Barclays, the U.S. online division of the major U.K. bank by the same name, offers solid online CD rates for one-year terms and longer, with no opening minimum requirement. It’s an uncommon perk for a bank to have no minimum.

NerdWallet rating
5.0/5

Minimum deposit

$500

APY

4.25%

Our Take
Why We Like It

CFG Bank is a regional bank based in Baltimore, Maryland, that offers online CDs nationwide, including a solid one-year term. The $500 minimum to open is low compared to the typical minimum among online banks.

NerdWallet rating
4.4/5

Minimum deposit

$2,500

Member FDIC

APY

4.55%

Our Take
Why We Like It

Newtek Bank is an online bank, headquartered in Miami, that has a strong CD rates including a one-year term. The opening minimum of $2,500 is somewhat higher than the typical among online banks.

NerdWallet rating
4.2/5

Minimum deposit

$10,000

Member FDIC

APY

4.50%

Our Take
Why We Like It

Founded in 1893, Popular Bank is the parent of online bank Popular Direct. Popular Direct’s CDs haves 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.

đź’¬ 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

Want to see best CDs by term?
View a curated list of our picks based on competitive rates and terms.
View more rateson NerdWallet's secure site

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 December 2024

  • BMO Alto: 4.20% APY, no minimum to open.

  • Bread Savings: 4.30% APY, $1,500 minimum to open.

  • Bask Bank: 4.25% APY, $1,000 minimum to open.

  • TAB Bank: 4.52% APY, $1,000 minimum to open.

  • Alliant Credit Union: 4.10% APY, $1,000 minimum deposit.

  • Citizens: 4.25% APY, $5,000 minimum deposit.

  • CIBC U.S.: 4.31% APY, $1,000 minimum deposit.

  • First Internet Bank: 4.42% APY, $1,000 minimum deposit.

  • Live Oak Bank: 4.20% APY, $2,500 minimum deposit.

  • NASA Federal Credit Union: 4.30% APY, $1,000 minimum deposit.

  • Andrews Federal Credit Union: 4.25% APY, $1,000 minimum deposit.

  • E*TRADE: 4.25% APY, no minimum deposit.

  • Bank5 Connect: 4.25% APY, $500 minimum deposit.

  • Newtek Bank: 4.55% APY, $2,500 minimum deposit.

  • Barclays: 4.25% APY, no minimum deposit.

  • CFG Bank: 4.25% APY, $500 minimum deposit.

  • Popular Direct: 4.50% APY, $10,000 minimum deposit.

A green bank that has a coin slot at the top where a hand is depositing a coin.

1-year CD trends

NerdWallet picks’ average:

4.31% APY

National average:

1.84%

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:

  1. 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.

  2. 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.

Last updated on December 12, 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 100 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, Newtek Bank, 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 December 2024 (Up to 4.55%)

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.