Lock In Up to 4.65% APY While You Still Can. Today’s CD Rates, Jan. 14, 2025
- Today’s top CDs have annual interest rates as high as 4.65%.
- Your annual benefit is set when you open the CD, so your income doesn’t change.
- The sooner you open your CD, the higher APY you’ll earn and the higher your earning potential.
Certificate of deposit rates have taken a hit since the Fed cut interest rates at its past three meetings. CDs are still a great place to store savings that you won’t need to use for a while. Unlike savings account rates, term deposit rates are fixed when you open the account. So if interest rates fall overall, your income won’t fall with them.
Today’s best cd Offers up to 4.65% annual yield – more than double national average For certain terms. With the Fed expected to cut rates further in the coming months, it would be wise to take these APYs now while you still can.
“I wouldn’t bet on interest rates going significantly higher in the short term, so if fixed income was a priority, I would pull the trigger now,” said Noah Damsky, head of the CFA. marina wealth advisor.
Here are some of the highest CD rates available right now and how much you can earn by depositing $5,000.
Today’s Best CD Rates
| semester | Maximum annualized interest rate* | bank | Estimated revenue |
|---|---|---|---|
| 6 months | 4.65% | community federal credit union | $114.93 |
| 1 year | 4.45% | community federal credit union | $222.50 |
| 3 years | 4.15% | America’s First Credit Union | $648.69 |
| 5 years | 4.25% | America’s First Credit Union | $1,156.73 |
Experts recommend comparing interest rates before opening a CD account to get the best possible annual return. Enter your information below to get the best prices in your area from CNET partners.
Why you shouldn’t wait to open a CD
CD rates may still be attractive, but the days of sky-high APYs are over. APY has been declining for months after a series of corrections Fed cuts interest rates. The Fed does not directly set deposit rates, but banks tend to sync with its decisions. When the Fed cuts interest rates, banks lower the annual interest rates on products like CDs savings account vice versa.
To combat inflation in the coronavirus era, the Federal Reserve has raised interest rates 11 times starting in March 2022, CD rates have soared, and the annual interest rate at the banks we track at CNET has reached 5.65%. Rates have fallen sharply since then, especially in recent months as cooling inflation led the Fed to cut rates at its last three meetings. With experts predicting further interest rate cuts from the Federal Reserve in 2025, locking in one of today’s best APYs can protect your income from further declines.
How CD rates have changed since last month
| semester | CNET average annualized revenue on December 13, 2024 | CNET average annualized revenue on January 13, 2025 | Change |
|---|---|---|---|
| 6 months | 4.15% | 4.05% | -2.41% |
| 1 year | 4.08% | 4.01% | -1.72% |
| 3 years | 3.52% | 3.50% | -0.57% |
| 5 years | 3.46% | 3.45% | -0.29% |
How to choose the CD that’s right for you
Competitive APY is important, but it’s not the only factor you should consider. To find the CD that’s right for you, also weigh the following factors:
- When you need money: Early withdrawal penalties It will eat into your interest income. So be sure to choose a term that fits your savings schedule. Alternatively, you can choose No penalty CDalthough the APY may not be as high as a traditional CD of the same term.
- Minimum deposit requirements: Some CDs require a minimum amount to open an account, usually $500 to $1,000. Others don’t. How much money you need to set aside can help you narrow down your options.
- cost: Maintenance fees and other expenses eat into your income. many online banking There are no fees because their administrative costs are lower than banks with physical branches. However, please read the fine print of any account you are evaluating.
- Federal Deposit Insurance: Make sure any bank or credit union You are considering becoming an FDIC or NCUA member so your money is protected if the bank fails.
- Customer ratings and reviews: Check out sites like Trustpilot to find out what customers are saying about your bank. You want a bank that is responsive, professional and easy to work with.
methodology
CNET reviews CD rates based on the latest APY information from the issuer’s website. We evaluated CD rates from more than 50 banks, credit unions, and finance companies. We evaluate CDs based on APY, product offerings, accessibility, and customer service.
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, First American Federal Credit Union, CommunityWide Federal Credit Union, Discover, Bethpage, BMO Alto, Limelight Bank, First National Bank of America and Connexus Credit Union.
*APY as of January 13, 2025, based on banks we track at CNET. Earnings are based on APY and assume interest compounded annually.
