- You can earn up to 4.65% APY with today’s top CDs.
- Your APY is fixed when you open a CD.
- The Fed is expected to cut rates later this year, so locking in a high APY now can protect your earnings.
A certificate of deposit can be a smart investment at any time but particularly when the economic future is unclear. By agreeing to keep your money in a CD for the entire term, you can lock in your annual percentage yield for that term — which means your returns will stay the same even if overall interest rates go down. And the Federal Reserve’s recent rate pause means APYs should stay high for a bit longer, helping you to maximize your earnings.
Today’s best CDs offer up to 4.65% APY, but those rates won’t stick around forever. Experts expect the Fed will begin cutting rates later this year, so now’s the time to score a high APY while you still can.
Here are some of the highest CD rates and how much you could earn by depositing $5,000.
Today’s best CD rates
| Term | Highest 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 CNET’s partners’ best rate for your area.
What’s next for CD rates?
APYs on CDs and savings accounts have been falling since the Fed cut interest rates three times at the end of 2024. But with inflation inching back up, the Fed chose to hold rates steady at its January meeting, and experts believe it will keep rates paused for a while. As a result, banks are hedging their bets by keeping CD rates relatively flat too, particularly given the uncertainty around the new administration’s policies.
“The Fed’s goal is to bring inflation down further, and if tariffs come into play, they could have an inflationary effect,” said Chad Olivier, certified financial planner and CEO of The Olivier Group. “Because of this uncertainty, I believe the Fed will take more of a wait-and-see approach before making any moves.”
By securing a high APY now, you can maximize your earning potential. Your APY is locked in when you open a CD, which means your rate of return will stay the same even when the Fed begins cutting the benchmark rate again.
đź’°You can earn up to 5% APY on the best high-yield savings accounts. Check out today’s rates.Â
Average CD rates from week to week
| Term | Last week’s CNET average APY | This week’s CNET average APY | Weekly change** |
|---|---|---|---|
| 6 months | 4.10% | 4.10% | No change |
| 1 year | 4.06% | 4.07% | +0.25% |
| 3 years | 3.54% | 3.55% | +0.29% |
| 5 years | 3.55% | 3.56% | +0.28% |
How to choose the best CD for you
A competitive APY is important, but it’s not the only thing you should consider. To find the right CD for you, weigh these factors, too:
- When you’ll need your money: Early withdrawal penalties on CDs can eat into your interest earnings if you need your money before the term ends, so choose a timeline that makes sense. Alternatively, you can select a no-penalty CD, although the APY may not be as high as you’d get with a traditional CD of the same term.
- Minimum deposit requirement: Some CDs require a minimum deposit to open an account, typically $500 to $1,000. Knowing how much money you have to set aside can help you narrow your options.
- Fees: Maintenance and other fees can cut into your savings. Many online banks don’t charge fees because they have lower overhead costs than banks with physical branches. Read the fine print for any account you’re evaluating.
- Safety and security: Make sure the bank or credit union you’re considering is an FDIC or NCUA member 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’s responsive, professional and easy to work with.
Methodology
CNET reviews CD rates based on the latest APY information from issuer websites. We evaluated CD rates from more than 50 banks, credit unions and financial companies. We evaluate CDs based on APYs, product offerings, accessibility and customer service.
The current banks included in CNET’s weekly CD averages 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 Feb. 3, 2025, based on the banks we track at CNET. Earnings are based on APYs and assume interest is compounded annually.
**Weekly percentage increase/decrease from Jan. 27, 2025, to Feb. 3, 2025.
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