BEST OF

7 Best IRA CD Rates

Spencer Tierney
By Spencer Tierney 

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An IRA CD is an IRA — an individual retirement account — with certificates of deposit. The best IRA CD rates can help you see what guaranteed returns you could get for retirement funds stored at a bank. Unlike other types of investments, they don’t come with much risk.

Why trust NerdWallet: Our writers and editors follow 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.

» Learn more about other safe investment options

IRA CDs provide guaranteed returns, but stocks and other investment options at brokerage firms can provide much higher yields. Experts recommend an IRA CD make up a modest portion of an investment portfolio. If you’re an investor decades from retirement, experts recommend putting minimal, if any, funds into CDs and allocating all of your IRA to higher-yielding choices such as stock mutual funds.

If IRA CDs make sense for your retirement plans, banks and credit unions generally offer up to three types of IRAs: traditional IRAs that tax money upon withdrawal, Roth IRAs that tax contributions the year they’re added and let earnings be tax-free, and SEP IRAs that have higher limits than the other types but are designated for self-employed savers and small businesses.

🤓Nerdy Tip

So far, the Federal Reserve has continued to raise rates in 2023, which is good news for your bank account. Take advantage of rising rates with one of the accounts below.

Best IRA CD Rates

NerdWallet rating 

5.0

/5
Discover Bank IRA CD

Minimum deposit

$2,500

Member FDIC

1-year APY

4.25%

3-year APY

4.30%

5-year APY

4.30%

NerdWallet rating 

4.5

/5
Connexus Credit Union IRA CD

Minimum deposit

$5,000

Federally insured by NCUA

1-year APY

4.51%

3-year APY

3.71%

5-year APY

3.51%

NerdWallet rating 

5.0

/5
Synchrony Bank CD IRA

Minimum deposit

$0

Member FDIC

1-year APY

4.30%

3-year APY

4.30%

5-year APY

4.30%

NerdWallet rating 

5.0

/5
Ally Bank IRA CD

Minimum deposit

$0

Member FDIC

1-year APY

4.25%

3-year APY

4.35%

5-year APY

4.35%

NerdWallet rating 

5.0

/5
Alliant Credit Union IRA CD

Minimum deposit

$1,000

Federally insured by NCUA

1-year APY

4.60%

3-year APY

4.60%

5-year APY

4.25%

NerdWallet rating 

5.0

/5
Service Credit Union IRA CD

Minimum deposit

$500

Federally insured by NCUA

1-year APY

4.10%

3-year APY

3.35%

5-year APY

3.50%

NerdWallet rating 

5.0

/5
PenFed Credit Union IRA CD

Minimum deposit

$1,000

Federally insured by NCUA

1-year APY

4.50%

3-year APY

4.00%

5-year APY

3.85%

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

Here are NerdWallet's picks for the best IRA CD rates:

  • Discover Bank: 2.00% - 4.30% APY, 3 months - 10 years, $2,500 minimum to open.

  • Connexus Credit Union: 4.51% - 3.51% APY, 1 - 5 years, $5,000 minimum to open.

  • Synchrony Bank: 2.25% - 4.30% APY, 3 months - 5 years, no minimum to open.

  • Ally Bank: 2.00% - 4.35% APY, 3 months - 5 years, no minimum to open.

  • Alliant Credit Union: 4.60% - 4.25% APY, 1 - 5 years, $1,000 minimum to open.

  • Service Credit Union: 0.80% - 3.50% APY, 3 months - 5 years, $500 minimum to open.

  • Pentagon Federal Credit Union: 4.50% - 3.75% APY, 1 - 7 years, $1,000 minimum to open.

Last updated on February 9, 2022

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People often identify opening a savings account as their next money move.

Discover Bank Online Savings

5.0

NerdWallet rating 
Discover Bank Online Savings

APY

3.30%

With $0 min. balance for APY

Bonus

$200

Requirements to qualify

at Discover Bank, Member FDIC

Synchrony Bank High Yield Savings

4.5

NerdWallet rating 
Synchrony Bank High Yield Savings

APY

3.75%

With $0 min. balance for APY

at Synchrony Bank, Member FDIC

SoFi Checking and Savings

5.0

NerdWallet rating 
SoFi Checking and Savings

APY

3.75%

With $0 min. balance for APY

Bonus

$250

Earn up to $250 with direct deposit. Terms apply.

at SoFi, Member FDIC

Methodology

We selected financial institutions with a focus on the highest CD rates available for CDs designed for IRAs, as well as nationwide membership eligibility, when relevant.

We took a close look at over 80 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.

Frequently asked questions