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10 Best CD Rates for July 2019

Tony ArmstrongJuly 1, 2019

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Summary of 10 Best CD Rates for July 2019

Bank1-year APY3-year APY5-year APYMinimum DepositLearn More
Goldman Sachs Bank USA

Goldman Sachs Bank USA

at Goldman Sachs Bank USA,

Member, FDIC

2.50%

2.60%

2.80%

$500

at Goldman Sachs Bank USA,

Member, FDIC

Discover

Discover

at Discover,

Member, FDIC

2.50%

2.65%

2.85%

$2,500

at Discover,

Member, FDIC

Popular Direct

Popular Direct

2.45%

2.70%

2.80%

$10,000

Connexus Credit Union

Connexus Credit Union

2.40%

2.70%

2.80%

$5,000

Alliant Credit Union

Alliant Credit Union

2.50%

2.60%

2.70%

$1,000

TIAA Bank

TIAA Bank

2.55%

2.65%

2.70%

$5,000

Citizens Access

Citizens Access

2.50%

2.60%

2.70%

$5,000

Synchrony Bank

Synchrony Bank

2.50%

2.60%

2.80%

$2,000

Barclays

Barclays

2.50%

2.60%

2.85%

$1

Sallie Mae Bank

Sallie Mae Bank

2.65%

2.75%

2.60%

$2,500

Bank1-year APY3-year APY5-year APYMinimum DepositLearn More
Goldman Sachs Bank USA

Goldman Sachs Bank USA

at Goldman Sachs Bank USA,

Member, FDIC

2.50%

2.60%

2.80%

$500

at Goldman Sachs Bank USA,

Member, FDIC

Discover

Discover

at Discover,

Member, FDIC

2.50%

2.65%

2.85%

$2,500

at Discover,

Member, FDIC

Popular Direct

Popular Direct

2.45%

2.70%

2.80%

$10,000

Connexus Credit Union

Connexus Credit Union

2.40%

2.70%

2.80%

$5,000

Alliant Credit Union

Alliant Credit Union

2.50%

2.60%

2.70%

$1,000

TIAA Bank

TIAA Bank

2.55%

2.65%

2.70%

$5,000

Citizens Access

Citizens Access

2.50%

2.60%

2.70%

$5,000

Synchrony Bank

Synchrony Bank

2.50%

2.60%

2.80%

$2,000

Barclays

Barclays

2.50%

2.60%

2.85%

$1

Sallie Mae Bank

Sallie Mae Bank

2.65%

2.75%

2.60%

$2,500

Goldman Sachs Bank USA

at Goldman Sachs Bank USA,

Member, FDIC

at Goldman Sachs Bank USA,

Member, FDIC

1-year APY

2.50%

3-year APY

2.60%

5-year APY

2.80%

Minimum Deposit

$500

Discover

at Discover,

Member, FDIC

at Discover,

Member, FDIC

1-year APY

2.50%

3-year APY

2.65%

5-year APY

2.85%

Minimum Deposit

$2,500

1-year APY

2.45%

3-year APY

2.70%

5-year APY

2.80%

Minimum Deposit

$10,000

1-year APY

2.40%

3-year APY

2.70%

5-year APY

2.80%

Minimum Deposit

$5,000

1-year APY

2.50%

3-year APY

2.60%

5-year APY

2.70%

Minimum Deposit

$1,000

1-year APY

2.55%

3-year APY

2.65%

5-year APY

2.70%

Minimum Deposit

$5,000

1-year APY

2.50%

3-year APY

2.60%

5-year APY

2.70%

Minimum Deposit

$5,000

1-year APY

2.50%

3-year APY

2.60%

5-year APY

2.80%

Minimum Deposit

$2,000

1-year APY

2.50%

3-year APY

2.60%

5-year APY

2.85%

Minimum Deposit

$1

1-year APY

2.65%

3-year APY

2.75%

5-year APY

2.60%

Minimum Deposit

$2,500

What is a CD?

A CD, or certificate of deposit, is a type of savings account that keeps money locked up for a set period or term, generally three months to five years. The longer the CD term, the higher the rate.

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 you with our CD calculator

When should you get a CD?

CDs can make sense as a way to lock up some savings dedicated to a short-term goal such as buying a car or house in the next few years. Outside of goals, CDs can be a safe place for money you want to get guaranteed returns on without the risk of fluctuation such as in the stock market.

Do CDs have fees?

CDs don’t have monthly fees like checking or savings accounts might have, but they generally have a penalty if you withdraw before the CD term expires. This early withdrawal penalty tends to be several months’ worth of interest, so it’s usually best to wait to access funds from a CD once it expires. The exception is no-penalty CDs, which give you the flexibility to withdraw fee-free.

» Learn more about the freedom of no-penalty CDs

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.

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.

Alternatives to CDs

Let's say you have an emergency fund that consists of enough cash to cover about three to six months’ worth of living expenses. To grow your long-term savings, consider opening an online brokerage account. Although these financial products come with more risk than CDs, they could lead to higher returns.

Picking the right broker comes down to your priorities. Some investors are willing to pay more for a top-notch platform; others count costs above all else. With brokerage accounts, you don't have to worry about early withdrawal penalties, but your funds may be more difficult to access in a pinch, given that you’ll likely need to sell some investment shares before you can devote that money to anything else.

» For in-depth guidance, check out NerdWallet’s best online stock brokers for beginners

Last updated on July 1, 2019

Methodology

We featured easy-to-join financial institutions that we've reviewed with the highest rates currently listed on NerdWallet's CD rates tool. For the ZIP code and minimum deposit requirement, we used 94103 and $10,000, respectively. We also included select, standout rates from other trusted online financial institutions that we have reviewed. Higher rates might be available elsewhere