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14 Best 5-Year CD Rates July 2020
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The best five-year CD rates tend to be much higher than the national average rate of 0.50% APY. These CDs can help you work toward your individual savings goals.
The best five-year CD rates tend to be much higher than the national average rate of 0.50% APY. These CDs can help you work toward your individual savings goals.
Summary of Best 5-Year CD Rates July 2020
| Bank | NerdWallet Rating | APY | Minimum Deposit | Learn More |
|---|---|---|---|---|
1.15% | $500 | at Marcus by Goldman Sachs, Member FDIC | ||
1.00% | $5,000 | Read review | ||
1.56% | $5,000 | Read review | ||
1.15% | $0 | Read review | ||
1.00% | $5,000 | Read review | ||
1.35% | $5,000 | Read review | ||
1.20% | $2,000 | Read review | ||
1.15% | $2,500 | Read review | ||
 Comenity Direct CD | 4.0 /5 | 1.10% | $1,500 | |
1.00% | $1,000 | Read review | ||
0.85% | $0 | Read review | ||
1.05% | $10,000 | Read review | ||
0.95% | $2,500 | Read review | ||
 TAB Bank CD | 3.0 /5 | 1.10% | $1,000 |
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
BMO Harris Bank CD
APY
With $5000 minimum balance
Minimum Balance
Member FDIC
Connexus Credit Union CD
APY
With $5000 minimum balance
Minimum Balance
Federally insured by the NCUA
Ally Bank CD
APY
With $0 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
Synchrony Bank CD
APY
With $2000 minimum balance
Minimum Balance
Member FDIC
Discover Bank CD
APY
With $2500 minimum balance
Minimum Balance
Member FDIC
Comenity Direct CD
4.0
NerdWallet ratingAPY
With $1500 minimum balance
Minimum Balance
Member FDIC
PenFed Credit Union CD
APY
With $1000 minimum balance
Minimum Balance
Federally insured by the NCUA
American Express National Bank CD
APY
With $0 minimum balance
Minimum Balance
Member FDIC
Popular Direct CD
APY
With $10000 minimum balance
Minimum Balance
Member FDIC
Sallie Mae Bank CD
APY
With $2500 minimum balance
Minimum Balance
Member FDIC
TAB Bank CD
3.0
NerdWallet ratingAPY
With $1000 minimum balance
Minimum Balance
Member FDIC
» Want to see more options? Check out our list of the best CD rates overall
NerdWallet's best 5-year CD rates July 2020
Connexus Credit Union: 1.56% APY.
TIAA Bank: 1.35% APY.
BMO Harris: 1.00% APY.
Pentagon Federal Credit Union: 1.00% APY.
Synchrony Bank: 1.20% APY.
Ally Bank: 1.15% APY.
Marcus by Goldman Sachs: 1.15% APY.
Discover Bank: 1.15% APY.
Citizens Access: 1.00% APY.
Popular Direct: 1.05% APY.
American Express: 0.85% APY.
TAB Bank: 1.10% APY.
Comenity Direct: 1.10% APY.
Sallie Mae Bank: 0.95% APY.
Last updated on July 1, 2020
Methodology
On a monthly basis, we compare rates at over 20 financial institutions, taken 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 Bank, 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 5-Year CD Rates July 2020
- Marcus by Goldman Sachs CD: 1.15% APY
- BMO Harris Bank CD: 1.00% APY
- Connexus Credit Union CD: 1.56% APY
- Ally Bank CD: 1.15% APY
- Citizens Access CD: 1.00% APY
- TIAA Bank CD: 1.35% APY
- Synchrony Bank CD: 1.20% APY
- Discover Bank CD: 1.15% APY
- Comenity Direct CD: 1.10% APY
- PenFed Credit Union CD: 1.00% APY
- American Express National Bank CD: 0.85% APY
- Popular Direct CD: 1.05% APY
- Sallie Mae Bank CD: 0.95% APY
- TAB Bank CD: 1.10% APY
Frequently asked questions
In an environment with climbing interest rates, you might question putting your money in a long-term CD. But getting a CD can still make sense if you're trying to spread out your investments, guarantee yourself a risk-free return, or want to ensure you won't spend a sum of your savings for a few years. (Keep in mind that shorter-term CDs can also be part of your saving strategy; consider the best six-month CD rates.)
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.
» See what CDs can earn with our CD calculator
You should get a CD only if you know you won’t need those funds during its term. Pulling money out of a CD before its expiration date will likely result in an early withdrawal fee, which is typically a percentage of the interest earned.
» Looking for a shorter term? Check out our list of best three-year CD rates
It depends on what's more important to you, rates or access to your money. The current CD rates tend to be higher than the best savings account rates, but you sacrifice access to money in CDs. If that doesn't work for you, check out our list of best online savings accounts.
» Want to know how CD rates stand? Read our full article on historical CD rates
It depends on the level of risk you want to take. Investment, or brokerage, accounts can have higher returns than CDs, but CDs guarantee returns. They're typically federally insured for up to $250,000 and offer fixed interest rates. Brokerage accounts can be riskier, since you aren’t protected against losses.
