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12 Best 5-Year CD Rates October 2020

Spencer TierneyOctober 1, 2020

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own.

The best five-year CD rates tend to be much higher than the national average rate of 0.36% APY. These CDs can help you work toward your individual savings goals.

Summary of Best 5-Year CD Rates October 2020

Marcus by Goldman Sachs High-Yield CD

Marcus by Goldman Sachs CD

APY

0.70%

With $500 minimum balance

Minimum Balance

$500

Member FDIC


Why we like it

The online-only bank requires $500 to open one of its high-yield CDs, which is relatively low.

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Comenity Direct CD

Comenity Direct CD

4.0

NerdWallet rating 
Comenity Direct CD

APY

0.90%

With $1,500 minimum balance

Minimum Balance

$1,500

Member FDIC


Why we like it

Comenity Direct has a somewhat hefty minimum for its high-yield CDs but stellar rates.

TAB Bank CD

TAB Bank CD

APY

0.85%

With $1,000 minimum balance

Minimum Balance

$1,000

Member FDIC


Why we like it

The Utah-based TAB Bank offers a range of CDs online, including a competitive five-year term. Its opening minimum is on the lower end.

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PenFed Credit Union Money Market Certificate

PenFed Credit Union CD

APY

0.80%

With $1,000 minimum balance

Minimum Balance

$1,000

Federally insured by the NCUA


Why we like it

Pentagon Federal Credit Union offers money market certificates, which are its CD equivalent, with a lower opening minimum than many online banks' CDs.

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Synchrony Bank CD

Synchrony Bank CD

APY

0.90%

With $2,000 minimum balance

Minimum Balance

$2,000

Member FDIC


Why we like it

Synchrony requires a hefty minimum to open its CDs.

Read Full Review

Discover Bank CD

Discover Bank CD

APY

0.80%

With $2,500 minimum balance

Minimum Balance

$2,500

Member FDIC


Why we like it

Discover offers a wide range of CD terms.

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TIAA Bank Basic CD

TIAA Bank CD

APY

0.75%

With $1,000 minimum balance

Minimum Balance

$1,000

Member FDIC


Why we like it

TIAA Bank is an online bank with a minimum lower than that of many competitors.

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Connexus Credit Union CD

Connexus Credit Union CD

APY

0.91%

With $5,000 minimum balance

Minimum Balance

$5,000

Federally insured by the NCUA


Why we like it

Connexus offers share certificates, the credit union equivalent of certificates of deposit, with a steep minimum to open. To join the credit union, you just have to donate $5 to its charitable organization, the Connexus Association.

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Citizens Access Online CD

Citizens Access CD

APY

0.75%

With $5,000 minimum balance

Minimum Balance

$5,000

Member FDIC


Why we like it

Citizens Access's five-year CD rate has a minimum deposit higher than that of most banks, but a competitive yield.

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Popular Direct CD

Popular Direct CD

APY

0.80%

With $10,000 minimum balance

Minimum Balance

$10,000

Member FDIC


Why we like it

The online bank has a steeper minimum balance requirement than most banks, but its rate is competitive.

Read Full Review

Consumers Credit Union CD

Consumers Credit Union CD

APY

0.75%

With $250 minimum balance

Minimum Balance

$250

Federally insured by the NCUA


Why we like it

Consumers Credit Union’s five-year rate plus a low opening minimum of $250 makes it a solid offering.

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Ally Bank High Yield CD

Ally Bank CD

APY

1.00%

With $0 minimum balance

Minimum Balance

$0

Member FDIC


Why we like it

Online bank Ally has no minimum to open its CDs.

Read Full Review

» Want to see more options? Check out our list of the best CD rates overall

NerdWallet's best 5-year CD rates October 2020

  • Ally Bank: 1.00% APY.

  • Connexus Credit Union: 0.91% APY.

  • Marcus by Goldman Sachs: 0.70% APY.

  • TIAA Bank: 0.75% APY.

  • Comenity Direct: 0.90% APY.

  • Synchrony Bank: 0.90% APY.

  • TAB Bank: 0.85% APY.

  • Pentagon Federal Credit Union: 0.80% APY.

  • Discover Bank: 0.80% APY.

  • Popular Direct: 0.80% APY.

  • Consumers Credit Union: 0.75% APY.

  • Citizens Access: 0.75% APY.

Last updated on October 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 October 2020

Frequently asked questions