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Best Bank CD Rates

May 15, 2019
Banking, CDs
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Bank CD rates tend to be better at online banks than at traditional brick-and-mortar banks, and their minimum deposits also tend to be higher. The following banks have stellar rates for a range of CD terms.

Best Bank CD interest rates
Sallie Mae

4.0 NerdWallet rating

• 1-year: 2.65% APY
• 3-year: 2.75% APY
• 5-year: 2.60% APY
• $2,500 minimum deposit
• Terms: Six months to five years

Marcus by Goldman Sachs
Goldman Sachs Bank USA

at Goldman Sachs Bank USA,

Member, FDIC

4.0 NerdWallet rating

• 1-year: 2.50% APY
• 3-year: 2.60% APY
• 5-year: 2.80% APY
• $500 minimum deposit
• Terms: Six months to six years

Capital One 360

Capital One

at Capital One,

Member, FDIC

4.5 NerdWallet rating

• 1-year: 2.30% APY
• 3-year: 2.40% APY
• 5-year: 2.50% APY
No minimum deposit
Terms: Six months to five years

Barclays

4.0 NerdWallet rating

• 1-year: 2.50% APY
• 3-year: 2.60% APY
• 5-year: 2.85% APY
• No minimum deposit
• Terms: Three months to five years

Popular Direct

3.5 NerdWallet rating

• 1-year: 2.45% APY
• 3-year: 2.70% APY
• 5-year: 2.80% APY
• $10,000 minimum deposit
• Terms: Three months to five years

TIAA Bank

4.0 NerdWallet rating

• 1-year: 2.55% APY
• 3-year: 2.65% APY
• 5-year: 2.70% APY
• $5,000 minimum deposit
• Terms: Three months to five years

Discover Bank

Discover

at Discover,

Member, FDIC

4.5 NerdWallet rating

• 1-year: 2.50% APY
• 3-year: 2.65% APY
• 5-year: 2.85% APY
• $2,500 minimum deposit
• Terms: Three months to 10 years

PurePoint

3.0 NerdWallet rating

• 1-year: 2.25% APY
• 3-year: 2.40% APY
• 5-year: 2.50% APY
• $10,000 minimum deposit
• Terms: Six months to five years

Citizens Access

3.5 NerdWallet rating

• 1-year: 2.50% APY
• 3-year: 2.60% APY
• 5-year: 2.70% APY
• $5,000 minimum deposit
• Terms: Six months to five years

Synchrony Bank

4.0 NerdWallet rating

• 1-year: 2.50% APY
• 3-year: 2.60% APY
• 5-year: 2.80% APY
• $2,000 minimum deposit
• Terms: Three months to five years

Vio Bank

4.0 NerdWallet rating

• 1-year: 2.00% APY
• 3-year: 2.20% APY
• 5-year: 2.35% APY
• $500 minimum deposit
• Terms: Six months to ten years

» Want to see more CD options? Check out our list of the best CD rates for banks and credit unions

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?

You should only get a CD 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.

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.

How do CDs differ at banks and credit unions?

Banks are for-profit institutions while credit unions are nonprofits. Your banking needs for CDs can generally be met at either. Some features and services go by different names:

DescriptionBank nameCredit union name
A type of savings account that has a fixed termCertificate of deposit (CD)Share certificate
The money you earn in a CD or share certificateInterestDividends
Person who has an account at the institutionCustomerMember
Federal insurance on banking accountsFederal Deposit Insurance Corp.National Credit Union Administration

Do banks or credit unions offer better rates?

On average, you can find credit unions with higher rates than traditional banks. However, online banks tend to be better than both, offering some of the best rates available.

» Curious about other savings options? Check out NerdWallet’s best high-yield online savings accounts

Best Bank CD rates

BankAPYTermMinimum deposit
Sallie Mae2.20%-2.60%6 months - 5 years$2,500
Synchrony Bank0.75%-2.80%3 months - 5 years$2,000
Capital One 3600.60% - 2.50%6 months - 5 yearsNo minimum
PurePoint1.70%-2.50%6 months - 5 years$10,000
Barclays0.35%-2.85%3 months - 5 yearsNo minimum
Popular Direct 1.90%-2.80%3 months - 5 years$10,000
Citizens Access2.00% - 2.70%6 months - 5 years$5,000
Discover Bank
0.35%-3.05%3 months - 10 years


$2,500


Marcus by Goldman Sachs0.60%-2.85%6 months - 6 years$500
TIAA Bank2.15% - 2.70% APY3 months - 5 years$5,000
Vio Bank2.00%-2.55%6 months - 10 years$500

METHODOLOGY

We took a close look at over 50 financial institutions, including the largest U.S. banks based on assets, debit card volume, internet search traffic and other factors; 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 excluded banks that offered brokered CDs, since those accounts work differently from standard CDs. Higher rates might be available elsewhere.

Financial institutions surveyed include: Ally Bank, American ExpressAspirationAssociated BankAxos BankBank5 Connect, Bank7, Bank of AmericaBank of the WestBarclays, BB&T, BBVA, BMO Harris, Capital One 360Charles Schwab BankChaseChimeCITCitibankCitizens AccessCitizens Bank, Comerica Bank, Commerce BankDiscover Bank, E-Trade, FidelityFifth Third BankFirst National BankGoBankGS BankHSBC Bank USAHuntington BankKeyBank, MetaBank, M&T BankMovenPNC, Popular Direct, PurePoint FinancialRadius Bank, Redneck Bank, Regions BankSallie Mae BankSantander BankSimpleState Farm Bank, SunTrust Bank, Synchrony BankTCF BankTD BankTIAA BankUnion BankUFB DirectUSAAU.S. BankVaroWells Fargo and Zions Bank.

How we rate banks and credit unions

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