- Today's top CDs offer APYs as high as 4.65%.
- Experts expect the Fed to pause rates at its next meeting, but rate cuts are likely later this year.
- Locking in your APY now allows you to protect your earnings from future rate drops.
The days of high APY rates may be over, but CD rates are still attractive. You can earn up to 4.65% annual percentage yield, or APY right now best CDs — more than twice the national average for some terms.
Even better, your APY is fixed when you open a CD, so you'll enjoy the same returns even if rates drop, as experts expect in the coming months. If you have money that you won't need to access right away, putting it into a CD can be a great way to maximize your earnings.
Here are some of the highest CD rates today and how much you can earn on a $5,000 deposit.
The best CD rates today
| Term | Maximum APY* | Bank | Estimated earnings |
|---|---|---|---|
| 6 months | 4.65% | CommunityWide Federal Credit Union | $114.93 |
| 1 year | 4.45% | CommunityWide Federal Credit Union | $222.50 |
| 3 years | 4.15% | America First Credit Union | $648.69 |
| 5 years | 4.25% | America First Credit Union | $1,156.73 |
Experts recommend comparing rates before opening a CD account to get the best APY possible. Enter your information below to get the best rates from CNET partners for your area.
Where are CD rates headed?
APY on CDs and savings accounts is falling a few months after the series of Federal Reserve rate cuts. But included inflation risesmany experts believe that the Fed will keep rates steady at the Federal Open Market Committee meeting next week. That means there's still time to get a good APY.
“We expect no significant action at the Fed's next meeting, as current signals suggest a cautious, wait-and-see approach to determine the pace of interest rate cuts this year,” said Chad Olivier, Certified Financial Planner and CEO of The Olivier Group. “We still think there will be an easing environment for the Fed. However, all the markets are, in some respect, waiting to see what happens with the new administration before they really step in and get aggressive with lower rates. of interest.”
Experts expect to see rate cuts later this year, so securing a high APY now can maximize your earning potential. Your APY is locked in when you open a CD, which means your returns will stay the same no matter where general rates go after that.
How CD rates changed last week
| Term | The CNET average APY last week | This week's CNET average APY | Weekly change** |
|---|---|---|---|
| 6 months | 4.09% | 4.05% | -0.98% |
| 1 year | 4.03% | 4.01% | -0.50% |
| 3 years | 3.50% | 3.50% | No change |
| 5 years | 3.45% | 3.45% | No change |
Consider these factors when choosing a CD
A competitive APY is important, but it's not the only thing you should keep in mind. To find the right CD for you, also weigh these factors:
- When you need your money: Early withdrawal penalties eat into your interest earnings. So be sure to choose a term that fits your savings timeline. Alternatively, you can choose a CD without penaltythough the APY may not be as high as you would get on a traditional CD of the same term.
- Minimum deposit requirement: Some CDs require a minimum amount to open an account — typically, $500 to $1,000. Others are not. How much money you have to save will help you narrow down your options.
- Fees: Maintenance and other fees can eat into your profits. many online banks do not charge fees because overhead costs are lower than banks with physical branches. However, read the fine print for any account you are reviewing.
- Federal deposit insurance: Make sure any bank or credit union You are considered a member of the FDIC or NCUA so your money is protected if the bank fails.
- Customer ratings and reviews: Visit sites like Trustpilot to see what customers are saying about the bank. You want a bank that is responsive, professional and easy to use.
Procedure
CNET checks CD rates based on the latest APY information from issuer websites. We reviewed CD rates from more than 50 banks, credit unions and finance companies. We evaluate CDs based on APYs, product offerings, accessibility and customer service.
Current banks in CNET's weekly CD average include Alliant Credit Union, Ally Bank, American Express National Bank, Barclays, Bask Bank, Bread Savings, Capital One, CFG Bank, CIT, Fulbright, Marcus by Goldman Sachs, MYSB Direct, Quontic, Rising Bank, Synchrony, EverBank, Popular Bank, First Internet Bank of Indiana, America First Federal Credit Union, CommunityWide Federal Credit Union, Discover, Bethpage, BMO Alto, Limelight Bank, First National Bank of America and Connexus Credit Union.
*APYs as of January 22, 2025, based on banks we track at CNET. Earnings are based on APYs and assume interest is compounded annually.
**Weekly percentage increase/decrease from Jan. 13, 2025, to Jan. 20, 2025.
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