17 Best 5-Year CD Rates for December 2024
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ALSO CONSIDER: Best online savings || Best checking || Best high-interest accounts
The best five-year CD rates tend to be much higher than the national average rate of 1.35% APY. These CDs can help you work toward your individual savings goals.
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.
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 5-Year CD Rates
| Bank/institution | NerdWallet rating | Minimum deposit | APY | Learn more |
|---|---|---|---|---|
4.4/5 | $1,500 Member FDIC | APY 3.85% | ||
4.7/5 | $1,000 Federally insured by NCUA | APY 3.65% | Learn more at Alliant Credit Union, Federally insured by NCUA | |
5.0/5 | $0 Deposits are FDIC Insured | APY 3.90% | ||
5.0/5 | $0 Member FDIC | APY 3.40% | ||
5.0/5 | $0 Member FDIC | APY 4.00% | ||
4.3/5 | $0 Member FDIC | APY 3.50% | ||
4.3/5 | $2,500 Member FDIC | APY 3.75% | ||
5.0/5 | $500 Member FDIC | APY 3.65% | ||
5.0/5 | $1,000 Federally insured by NCUA | APY 3.60% | ||
4.2/5 | $1,000 Member FDIC | APY 3.50% | ||
5.0/5 | $1,000 Federally insured by NCUA | APY 3.85% | ||
5.0/5 | $1,000 Member FDIC | APY 3.67% | ||
3.9/5 | $500 | APY 3.70% | ||
4.6/5 | $0 Member FDIC | APY 3.50% | ||
5.0/5 | $500 | APY 3.75% | ||
4.3/5 | $0 Member FDIC | APY 3.40% | Learn more at Discover® Bank, Member FDIC | |
4.1/5 | $2,500 Member FDIC | APY 3.40% |
Minimum deposit
$1,500
Member FDIC
APY
3.85%
Minimum deposit
$1,000
Federally insured by NCUA
APY
3.65%
Minimum deposit
$0
Deposits are FDIC Insured
APY
3.90%
Minimum deposit
$500
Member FDIC
APY
3.65%
Minimum deposit
$1,000
Federally insured by NCUA
APY
3.60%
Minimum deposit
$1,000
Member FDIC
APY
3.50%
Minimum deposit
$1,000
Federally insured by NCUA
APY
3.85%
Minimum deposit
$1,000
Member FDIC
APY
3.67%
Minimum deposit
$500
APY
3.70%
Minimum deposit
$0
Member FDIC
APY
3.50%
Minimum deposit
$500
APY
3.75%
Minimum deposit
$0
Member FDIC
APY
3.40%
Minimum deposit
$2,500
Member FDIC
APY
3.40%
Want to compare more options? Here are our other top picks:
» Want to see more options? Check out our list of the best CD rates overall
Best 5-year CD rates for December 2024
BMO Alto: 3.90% APY.
Andrews Federal Credit Union: 3.60% APY.
Alliant Credit Union: 3.65% APY.
Ally Bank: 3.40% APY.
Bread Savings: 3.85% APY.
Marcus by Goldman Sachs: 3.65% APY.
Capital One: 3.50% APY.
EverBank: 3.50% APY.
Synchrony Bank: 4.00% APY.
Sallie Mae Bank: 3.75% APY.
NASA Federal Credit Union: 3.85% APY.
First Internet Bank: 3.67% APY.
Customers Bank: 3.70% APY.
E*TRADE: 3.50% APY.
CFG Bank: 3.75% APY.
Discover® Bank: 3.40% APY.
LendingClub: 3.40% APY.
5-year CD trends
NerdWallet picks’ average:
3.66% APY
National average:
1.35%
What to know about the best five-year CD rates right now
Find a good deal. A five-year rate around 3.50% APY is currently competitive. These rates tend to be at various online banks and credit unions.
Don’t sweat higher short-term rates. One lingering trend in the current rate environment is that five-year rates remain lower than shorter-term rates for national averages and high-yield CDs. Even though the best one-year CD rates are closer to 4%, remember that five-year CDs have longer periods to compound interest and can result in higher returns than one-year CDs, even if they have higher rates. Use our CD calculator to try out specific scenarios.
Use a CD ladder to benefit from five-year rates
If putting one sum into a single five-year CD sounds like a big decision, you can make things easier by considering a CD ladder instead. Put multiple CDs into terms of different lengths, and when each CD matures, you can consider reinvesting money into new five-year CDs over time. Learn more about CD ladders.
See CD rates by term and type
Compare the best rates for various CD terms and types:
How do CDs work?
Learn more about choosing CDs, understanding CD rates, and opening and closing CDs.
Choosing CDs:
- See CD rates by bank
Here’s a quick list of CD rates at traditional and online banks and a brokerage:
Last updated on November 27, 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.
NerdWallet's Best 5-Year CD Rates for December 2024
- Bread Savings™️ CD: 3.85% APY
- Alliant Credit Union Certificate: 3.65% APY
- BMO Alto Certificate of Deposit: 3.90% APY
- Ally Bank High Yield CD: 3.40% APY
- Synchrony Bank CD: 4.00% APY
- Capital One 360 CD: 3.50% APY
- Sallie Mae Bank CD: 3.75% APY
- Marcus by Goldman Sachs High-Yield CD: 3.65% APY
- Andrews Federal Credit Union Fixed Rate Share Certificates: 3.60% APY
- EverBank Performance℠ CD: 3.50% APY
- NASA Federal Credit Union Share Certificate: 3.85% APY
- First Internet Bank CD: 3.67% APY
- Customers Bank CD: 3.70% APY
- E*TRADE CD: 3.50% APY
- CFG Bank CD: 3.75% APY
- Discover® CD: 3.40% APY
- LendingClub CD: 3.40% APY
Frequently asked questions
- Are CDs worth it right now?
In an environment with rising interest rates, you might question putting your money in a long-term CD such as a five-year, or 60-month, 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. For more on what uses CDs provide, see this explainer on when to choose CDs.
- How do CD rates work?
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
- When should you get a CD?
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
- What's better: CDs or high-yield savings accounts?
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.
» Learn more about CDs vs. regular savings accounts
- What's better: CDs or investment accounts?
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.