Key Takeaways
- The best CD rates have remained steady, with MutualOne Bank offering the top rate of 5.65% for a 3-month term.
- Newtek Bank follows closely with a competitive rate of 5.55% APY for a 6-month term.
- CD rates of 5.00% or higher extend up to 3 years, allowing for rate locks until 2027.
- Anticipated rate cuts by the Federal Reserve may lead to quicker decreases in CD rates.
Featured rates from our partners are listed below, along with insights from our ranking of the best CDs available nationwide.
Lock In 5.40% to 5.65% APY for 3 to 12 Months
Short-term certificates continue to offer the highest CD yields, with MutualOne Bank leading at 5.65% APY for a 3-month term.
In addition to the top rates, there are 10 more CDs paying 5.40% APY or better for terms ranging from 3 to 12 months.
To secure rates for a longer period, consider 18-month CDs offering rates between 5.15% and 5.25% APY.
Longer Terms Will Lock Your Rate to 2026—Or Beyond
For extended rate locks, choose a 2-year CD at 5.20% or a 3-year CD at 5.00% APY until 2027.
CD Rates Are Still Near Historic Highs
Although CD rates have slightly decreased from their peak, locking in rates between 4% to 5% offers great earning opportunities compared to historical averages.
Consider long-term rate locks now before potential future rate cuts impact CD rates.
Jumbo Deposits Can Provide More CD Options
Jumbo CDs can offer higher APY, but compare options with standard CDs as they may provide similar or better rates.
Where Are CD Rates Headed in 2024?
The Federal Reserve’s recent rate hikes have led to favorable CD rates, with potential future rate cuts affecting CD returns.
Future Fed decisions remain uncertain, impacting the trajectory of CD rates in the coming months and years.
How We Find the Best CD Rates
Investopedia tracks data from over 200 banks and credit unions daily to compile rankings of the highest-paying certificates in various terms for consumers nationwide.
To ensure transparency and quality, institutions featured must meet specific criteria, including federal insurance and maximum initial deposit limits.