Best CD Rates of June 2026: Up to 4.30%

Best CD rates news

Where CD rates are right now: Despite recent dips, the best CD rates remain relatively high. They range from about 3.50% to 4.20% APY across various terms, based on NerdWallet analysis. The best short-term CDs, such as three months to one year, still have the highest rates of all CD terms.

Where CD rates are going: After small fluctuations for the first eight months of 2025, CD rates dropped in earnest when the Federal Reserve lowered its benchmark rate in September, October and December 2025. CD rates fell in early 2026, though the Fed has kept its rate steady so far. We saw a surprising number of banks and credit unions – almost two dozen – increase CD rates in May 2026, double the number that decreased rates. One factor may be the increased uncertainty over the direction of the Fed rate and the notion that the Fed may actually raise its rate later this year.

Fed impact: Banks and credit unions tend to follow the direction of the Fed rates when determining their CD rates. Tariffs, geopolitical conditions, and other factors that may contribute to inflation have led to more economic uncertainty. The Fed’s overall strategy is to slowly lower its rate as inflation goes down  – or raise its rate if inflation goes up. Learn more about where rates are headed in our CD rate forecast.

Recent CD rate changes:

May 22, 2026:

• Bread Savings raised six of its CD rates, all by 15 basis points. Example: Its five-year CD rate (3.85% to 4.00%).

May 19, 2026:

• E*TRADE raised four of its CD rates by 15 to 25 basis points. Example: Its five-year CD (3.85% to 4.10%). 

May 8, 2026:

• Marcus by Goldman Sachs lowered three of its CD rates by five to 10 basis points. Example: Its one-year CD rate (4.00% to 3.90%).

May 1, 2026:

• NASA Federal Credit Union raised 11 of its certificate rates by up to 35 basis points. Example: Its five-year certificate (3.83% to 4.18%).

• Sallie Mae raised its 13-month CD rate (3.95% to 4.00%) and lowered its 15-month CD rate (3.95% to 3.80%).

April 24, 2026:

• Quontic lowered its three-month CD rate (3.85% to 3.60%).

April 21, 2026:

• Marcus by Goldman Sachs lowered 10 of its CD rates by 10 to 25 basis points. Example: Its two-year CD (3.95% to 3.70%).

• OMB Bank lowered three of its CD rates by 20 to 30 basis points. Example: Its seven-month CD (4.15% to 3.85%).

The right time for CDs ultimately depends on your savings goals, but if you’re in the market for them, consider locking in high CD rates while they last.

How to choose a CD

• CD term: Most terms at a bank or credit union range from three months to five years. Learn how to choose your CD term.

• CD type: High-yield CDs work like standard CDs but have the best rates and are often at online banks. Some CDs have an unusual feature, such as a no-penalty CD that doesn’t charge for early withdrawals or a bump-up CD that allows for a rate increase during a term. See types of CDs.

• CD rate: Once you’ve narrowed down the term and type of CD, you can compare banks and credit unions to find a competitive rate. You may decide to go with a bank you already have accounts at or choose a new institution, depending on whether convenience matters to you, but aiming for a high rate is ideal.

• CD deposit: The amount you put into a CD depends on your savings goals, but a CD’s opening minimum requirement isn’t a good guide. And, if you’re worried about a bank failing, keep less than the FDIC insurance limit of $250,000 in your accounts to keep your money protected. Learn how to choose your CD deposit.

• CD penalty: The early withdrawal penalty only kicks in if you redeem a CD before the term ends. The penalty is usually several months to even a years’ worth of interest, depending on the CD term length. Ideally, you only need to factor in the penalty if there’s a chance you’ll need funds early. See more about CD early withdrawal penalties.

Choosing multiple CDs

If the pressure of choosing one CD is too much, you might consider a strategy to balance cash access with high yields. Opening multiple CDs with different terms in a CD ladder lets you redeem CDs over time while taking advantage of competitive short- and long-term CD rates.

When to consider CDs

Think about CDs as part of the cash and cash equivalents category of your overall portfolio, which is your overall collection of investments across different types of assets. For many people, CDs can work best in a few situations:

• Locking up savings for a big purchase within the next five years, including a down payment on a car or house.

• Stashing away a sudden windfall to avoid spending it now.

• Earning some returns without market risk, especially closer to or during retirement.

Learn more about when CDs can be worth it.

Best CD rates today by term

If you’re looking for the highest rates for popular terms, here’s a breakdown of today’s best CD rates for five standard terms:

Note: This table is based on CD rates currently shown elsewhere on this page.

Current CD rates: highest, high-yield and national averages

The high-yield CD rates featured on this page are more than twice the various national averages.

CD definition: What is a CD?

A certificate of deposit is a savings account that involves a trade-off: If you agree to leave funds untouched for a fixed period, you can benefit from rates higher than other bank accounts offer. These accounts are often referred to as CDs.

Historically, CDs took the form of paper certificates, but nowadays, CDs are like other financial accounts that you can manage online. See more about what CDs are. Check out NerdWallet’s best high-yield online savings accounts for other savings options.

Pros and cons of certificates of deposits

How much does a $10,000 CD make in a year?

A $10,000 CD with a 4% APY would make $400 in a year. But if you’re eyeing a 6-month CD with that rate and deposit, you’d earn a little less than half that.

The three main factors that impact CD earnings are the rate, the CD term and the CD deposit. Unlike regular savings accounts, you don’t generally have the ability to add money to a CD after the initial deposit. Here’s a look at some scenarios for how much $10,000 in a CD can earn in a year, compared to six months. (Or use our CD calculator.)

Promotional and no-penalty CDs

Traditionally, one-year, three-year and five-year CDs tend to be the most popular options to consider, but there are other CDs that occasionally provide higher yields or more flexibility.

• Promotional CDs tend to refer to CDs with nontraditional term lengths or CDs with expiration dates on the rates being offered. While these CD rates may be higher than CDs with traditional terms, they may automatically renew into lower-rate CDs by default. See our list of promotional CD rates.

• No-penalty CDs are CDs that allow you to withdraw, at no cost, the full amount of a CD anytime after the first few days of opening. No-penalty CDs are uncommon and often have lower rates than high-yield CDs for similar terms. See the best no-penalty CD rates.

IRA and jumbo CDs

Some types of CDs have more restrictions, such as funds earmarked only for retirement or high minimum deposits, and aren’t the standard CDs at banks or nationally available credit unions. However, they may work for certain savers:

• IRA CDs are used to save a portion of retirement savings, largely for risk-averse savers and folks near or in retirement. You get the tax benefits of an individual retirement account plus the fixed rate of a CD. Learn more about how to use CDs in retirement.

• Jumbo CDs refer to CDs with a high minimum deposit requirement, traditionally $100,000. They’re not available everywhere and don’t often have the highest rates you can find. Learn more about jumbo CDs.

Note: While not a special type of CD, CDs at credit unions – or share certificates – aren’t always available nationwide. Credit unions can have membership requirements limited to residents of a certain state or organization, such as the military.

Alternatives to CDs

If you’re looking for similarly safe savings or investment vehicles to CDs but want more flexibility or other features, consider the following: