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11 Best 3-Year CD Rates July 2020
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The best three-year CD rates can give a boost to short-term savings. The rates featured on this page are much higher than the national average rate of 0.38% APY for three-year CDs. See our picks below.
Also scroll down to see "no-penalty" CDs that allow you to withdraw your money whenever you want.
The best three-year CD rates can give a boost to short-term savings. The rates featured on this page are much higher than the national average rate of 0.38% APY for three-year CDs. See our picks below.
Also scroll down to see "no-penalty" CDs that allow you to withdraw your money whenever you want.
Summary of Best 3-Year CD Rates July 2020
| Bank | NerdWallet Rating | APY | Minimum Deposit | Learn More |
|---|---|---|---|---|
1.20% | $500 | Read review | ||
0.90% | $5,000 | Read review | ||
1.21% | $5,000 | Read review | ||
1.05% | $0 | Read review | ||
1.15% | $2,000 | Read review | ||
1.05% | $2,500 | Read review | ||
1.10% | $500 | at Marcus by Goldman Sachs, Member FDIC | ||
 Comenity Direct CD | 4.0 /5 | 1.05% | $1,500 | |
1.26% | $5,000 | Read review | ||
 Bank7 CD | 3.5 /5 | 1.10% | $10,000 | |
0.95% | $2,500 | Read review |
Bank5 Connect CD
APY
With $500 minimum balance
Minimum Balance
Member FDIC
Citizens Access CD
APY
With $5000 minimum balance
Minimum Balance
Member FDIC
TIAA Bank CD
APY
With $5000 minimum balance
Minimum Balance
Member FDIC
Ally Bank CD
APY
With $0 minimum balance
Minimum Balance
Member FDIC
Synchrony Bank CD
APY
With $2000 minimum balance
Minimum Balance
Member FDIC
Discover Bank CD
APY
With $2500 minimum balance
Minimum Balance
Member FDIC
at Marcus by Goldman Sachs,
Member FDIC
Marcus by Goldman Sachs CD
APY
With $500 minimum balance
Minimum Balance
Member FDIC
at Marcus by Goldman Sachs,
Member FDIC
Comenity Direct CD
4.0
NerdWallet ratingAPY
With $1500 minimum balance
Minimum Balance
Member FDIC
Connexus Credit Union CD
APY
With $5000 minimum balance
Minimum Balance
Federally insured by the NCUA
Bank7 CD
3.5
NerdWallet ratingAPY
With $10000 minimum balance
Minimum Balance
Member FDIC
Sallie Mae Bank CD
APY
With $2500 minimum balance
Minimum Balance
Member FDIC
» Want to see more options? Check out our list of the best CD rates overall
No-penalty CDs offer more freedom
When you withdraw your money from a CD before the term expires, you generally pay a penalty of at least several months’ of interest earned.
Some providers, however, allow you to withdraw your money before the term expires, with no penalty. Keep in mind that rates may be a little lower for these no-penalty CDs.
The following three banks offer no-penalty CDs:
Marcus by Goldman Sachs Bank (read NerdWallet's full review)
CIT Bank (read NerdWallet's full review)
Ally Bank (read NerdWallet's full review)
Here's our list of the best 3-year CD rates for July 2020:
Connexus Credit Union: 1.26% APY
TIAA Bank: 1.21% APY
Bank5 Connect: 1.20% APY
Synchrony Bank: 1.15% APY
Marcus by Goldman Sachs: 1.10% APY
Bank7: 1.10% APY.
Ally Bank: 1.05% APY
Comenity Direct: 1.05% APY
Sallie Mae Bank: 0.95% APY.
Discover Bank: 1.05% APY
Citizens Access: 0.90% APY
Last updated on July 1, 2020
Methodology
On a monthly basis, we compare rates at over 20 financial institutions from our full list which we’ve seen to be consistently competitive. On a quarterly basis, we take a close look at over 70 financial institutions, including the largest U.S. banks based on assets, debit card volume, internet search traffic and other factors; the nation’s largest credit unions, based on deposits as well as broad-based membership requirements; 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; we favored those with the highest CD rates. We excluded banks that offered brokered CDs, since those accounts work differently from standard bank CDs. Higher rates might be available elsewhere.
Financial institutions surveyed include: Alaska USA Federal Credit Union, Alliant Credit Union, Ally Bank, America First Credit Union, American Express, Aspiration, Associated Bank, Axos Bank, Bank5 Connect, Bank7, Bank of America, Bank of the West, Barclays, BB&T, BBVA, Boeing Employees Credit Union, BMO Harris, Capital One 360, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT, Citibank, Citizens Access, Citizens Bank, Comenity Direct, Comerica Bank, Commerce Bank, Connexus Credit Union, Consumers Credit Union, Discover Bank, E-Trade, Fidelity, Fifth Third Bank, First National Bank, First Tech Federal Credit Union, GoBank, Golden 1 Credit Union, GS Bank, HSBC Bank USA, Huntington Bank, KeyBank, Live Oak Bank, M&T Bank, Moven, Navy Federal Credit Union, Pentagon Federal Credit Union, PNC, Popular Direct, PurePoint Financial, Radius Bank, Redneck Bank, Regions Bank, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Service Credit Union, Simple, State Employees’ Credit Union of North Carolina, State Farm Bank, Suncoast Credit Union, SunTrust Bank, Synchrony Bank, TCF Bank, TD Bank, TIAA Bank, Union Bank, UFB Direct, USAA, U.S. Bank, Varo, Vio Bank, Wells Fargo and Zions Bank.
To recap our selections...
NerdWallet's Best 3-Year CD Rates July 2020
- Bank5 Connect CD: 1.20% APY
- Citizens Access CD: 0.90% APY
- TIAA Bank CD: 1.21% APY
- Ally Bank CD: 1.05% APY
- Synchrony Bank CD: 1.15% APY
- Discover Bank CD: 1.05% APY
- Marcus by Goldman Sachs CD: 1.10% APY
- Comenity Direct CD: 1.05% APY
- Connexus Credit Union CD: 1.26% APY
- Bank7 CD: 1.10% APY
- Sallie Mae Bank CD: 0.95% APY
Frequently asked questions
Ideally, you'll take out a CD only if you're certain that you won’t need that money before the term ends. Current CD rates tend to be higher than savings account rates. However, if you want to keep your funds more accessible, a high-yield online savings account is a better choice. (Check out our list of the best online savings accounts.)
That depends on how much risk you're willing to take. Investment accounts can have higher returns than CDs, but CDs offer guaranteed returns in the form of fixed interest rates. And they're typically federally insured for up to $250,000. Brokerage accounts can be riskier since you aren’t protected against losses. (For more information, see our list of the best online brokers.)
Although most CDs don't have monthly fees, banks typically charge early withdrawal penalties if you remove money before the CD's expiration date. The penalty is often several months' worth of interest. (If you're worried about losing access to your money for too long, consider shorter terms such as six-month CDs.)
» See what CDs can earn with our CD calculator
Certificates of deposit, or CDs, are savings accounts in which cash is locked away for a predetermined period of time, generally three months to five years.
CD rates are shown as an annual percentage yield, or APY. That number shows how much the CD earns in one year and includes compound interest. The higher the APY, the more your money will grow. Long-term CDs usually earn the highest rates. See this month’s top 3-year CD rates.
