8 Banks with the Highest CD Rates Available Now

Unlocking Top CD Rates

Want to find the highest CD rates available? This listicle showcases eight leading banks offering competitive CD options, helping you maximize your returns. We'll cover top contenders like Bread Financial, Synchrony Bank, Bask Bank, Marcus by Goldman Sachs, Popular Direct, Ally Bank, Capital One, and Discover Bank. Whether you're a retiree seeking stable income, a conservative investor, or simply looking for safe, predictable growth, this list provides valuable insights. Use our CD Calculator to quickly project earnings and compare rates. Stop losing potential interest; let's find the best CD rates for you.

1. Bread Financial

Bread Financial stands out as a top contender for savers seeking the highest CD rates available. As of May 2023, their 1-year term CD boasts an impressive APY of up to 5.30%, significantly outpacing the returns offered by many traditional banks. This makes them a compelling option for individuals looking to maximize their returns with a low-risk investment. Bread Financial CDs require a minimum deposit of $1,500, a relatively accessible entry point for most savers. This combination of high returns and low barrier to entry is why they've earned a spot on this list of top CD options. Moreover, their CD terms range from 3 months to 5 years, offering flexibility to align with various financial goals, from short-term savings needs to longer-term investment strategies. The peace of mind provided by FDIC insurance, covering deposits up to the standard limits, further solidifies Bread Financial's position as a reliable choice.

Practical Applications and Use Cases:

• Retirees: Supplement retirement income with the predictable and secure returns generated by a Bread Financial CD. The various term lengths allow for staggered CD purchases, creating a laddered approach for ongoing income.
• Conservative Investors: Diversify a portfolio by allocating a portion to low-risk CDs, balancing higher-risk investments with the stability of FDIC-insured returns.
• Short-Term Savings: Park funds earmarked for a down payment, a major purchase, or emergency expenses in a shorter-term CD (e.g., 3 or 6 months) while earning a competitive interest rate.
• Small Business Owners: Securely store surplus business funds in a short-term CD, earning interest while maintaining easy access to the capital when needed.

Features and Benefits:

• High APY: Up to 5.30% for a 1-year term, considerably higher than the national average for CDs.
• Low Minimum Deposit: $1,500 allows more individuals to take advantage of these high-yield CDs.
• Flexible Terms: 3 months to 5 years caters to various savings goals and time horizons.
• FDIC-Insured: Provides security and peace of mind knowing deposits are protected up to the standard limits.
• No Monthly Fees: Simplifies budgeting and maximizes returns.
• Daily Compounding Interest: Allows your interest to earn interest, further enhancing your returns.
• User-Friendly Online Platform: Facilitates easy account management and access to information.

Pros:

• Significantly higher rates than traditional banks.
• Lower minimum deposit compared to some competitors.
• Interest compounded daily.
• Convenient online platform.

Cons:

• No physical branch locations.
• Limited customer service hours.
• Significant penalties for early withdrawals.
• Limited account options beyond CDs.

Website: https://www.breadfinancial.com

Implementation Tip: Before committing, compare the various term lengths and corresponding APYs offered by Bread Financial to select the option that best aligns with your financial goals and risk tolerance. Also, factor in the potential impact of early withdrawal penalties if you anticipate needing access to your funds before maturity.

2. Synchrony Bank

Synchrony Bank earns its spot on this list of highest CD rates available thanks to its consistently competitive annual percentage yields (APYs), reaching up to 5.25% on select terms as of mid-2023. This makes it a compelling option for savers looking for predictable returns in a risk-free environment. Whether you're an individual saver, retiree planning for the future, or even a small business owner looking to park surplus funds, Synchrony's CD offerings warrant a closer look. One of the most appealing aspects is its accessibility: there's no minimum deposit requirement, allowing anyone to start earning competitive interest.

This online bank offers a range of CD terms, from short-term 3-month CDs to longer-term 5-year CDs, catering to diverse financial goals and timelines. For example, a retiree seeking a stable income stream might opt for a longer-term CD with a higher APY, while a small business owner might prefer a shorter-term CD for more flexible access to funds. Keep in mind that while the highest CD rates available are often found on longer-term CDs, Synchrony also offers competitive rates on shorter terms. However, it's important to note that lower rates typically apply to these shorter-term CDs.

Synchrony Bank operates exclusively online, providing 24/7 account access through a user-friendly digital platform. This digital focus contributes to their efficient operations and allows them to offer competitive rates. Their strong customer service ratings further enhance the online experience. For those new to CDs, understanding the implications of early withdrawals is crucial. Learn more about Synchrony Bank regarding their early withdrawal penalty details. Early withdrawal penalties apply, so be sure you're comfortable with the term length before committing.

Features:

• No minimum deposit requirement
• APYs up to 5.25% on select terms
• Terms from 3 months to 5 years
• FDIC-insured
• 24/7 online account access

Pros:

• No minimum balance requirement opens up CD investing to everyone.
• Consistently competitive rates allow for maximizing returns.
• User-friendly online experience simplifies account management.
• Excellent customer service ratings offer peace of mind.

Cons:

• No physical branches may be a drawback for those preferring in-person banking.
• Early withdrawal penalties apply, so careful planning is essential.
• Lower rates on shorter-term CDs might require balancing liquidity needs with return potential.

Website: https://www.synchronybank.com

For individuals seeking predictable, risk-free returns, Synchrony Bank's CDs provide an attractive option, especially when searching for the highest CD rates available. Their combination of competitive APYs, flexible terms, and user-friendly online platform makes them a strong contender in the CD market. Financial advisors and planners will find their offerings valuable when comparing CD products for clients seeking secure investment vehicles. However, the absence of physical branches and the presence of early withdrawal penalties should be considered before investing.

3. Bask Bank

Bask Bank stands out as a strong contender for savers seeking some of the highest CD rates available. As of May 2023, they offer competitive Annual Percentage Yields (APYs) reaching up to 5.25% for their 12-month term CD. This makes them a particularly attractive option for those looking to maximize returns on short-term savings. With a relatively low minimum deposit requirement of just $1,000, Bask Bank's CDs are accessible to a wide range of savers, from individuals just beginning their savings journey to seasoned investors looking for secure, short-term parking for their funds. Bask Bank operates as the digital banking subsidiary of Texas Capital Bank, offering the peace of mind that comes with FDIC insurance. Their focus on digital banking translates into a streamlined, user-friendly online application process.

Bask Bank earns its place on this list due to its consistently competitive APYs, particularly for its 12-month CD. This term length is ideal for individuals who want a higher return than a traditional savings account without locking up their funds for an extended period. For retirees looking for a predictable income stream, the fixed return of a Bask Bank CD can provide stability and peace of mind. Similarly, conservative investors can use these CDs to diversify their portfolios with a low-risk instrument. Small business owners may also find Bask Bank CDs useful for parking surplus funds short-term, earning a healthy return while maintaining easy access to the capital. Their CD terms range from 6 to 24 months, offering some flexibility depending on your specific financial goals. The daily compounding of interest helps maximize your returns over the term.

Features and Benefits:

• High APYs: Up to 5.25% for 12-month CDs (as of May 2023), putting them among the highest CD rates available nationally.
• Low Minimum Deposit: $1,000 makes their CDs accessible to a broad range of savers.
• Flexible Terms: Choose from 6, 12, 18, or 24-month terms to align with your financial goals.
• FDIC Insured: Your deposits are insured through Texas Capital Bank, providing security and peace of mind.
• Daily Compounding Interest: Maximize your earnings with daily interest accrual.
• Streamlined Online Application: Open a CD account quickly and easily through their secure digital platform.

Pros:

• Among the highest CD rates available.
• Straightforward online application process.
• Secure banking platform.
• No hidden fees.

Cons:

• Limited range of term lengths compared to some competitors.
• No physical branch access.
• Fewer CD account options compared to some established banks.
• Relatively new player in the banking industry.

Website: https://www.baskbank.com

Bask Bank is an excellent option for individuals seeking highly competitive rates for short- to medium-term CDs. While they may not have the extensive product range of larger institutions, their focus on delivering high APYs and a seamless digital experience makes them a compelling choice for those prioritizing earning the highest CD rates available.

4. Marcus by Goldman Sachs

Marcus by Goldman Sachs earns its spot on this list of highest CD rates available thanks to its competitive APYs, reaching up to 5.10% on select high-yield CDs as of mid-2023. This makes it a compelling option for individuals seeking predictable, risk-free returns in the current market. Whether you're a retiree planning secure income streams, a conservative investor diversifying your portfolio, or a small business owner parking surplus funds, Marcus offers a worthwhile look at current CD offerings. Financial advisors and planners will also appreciate the competitive rates and stability offered by Marcus when comparing CD products for their clients.

One key advantage of Marcus is its low minimum deposit requirement of just $500, making it accessible to a wider range of savers compared to some institutions that require significantly higher initial investments. This allows individuals to start growing their savings with a smaller capital outlay and still benefit from the highest CD rates available. Terms range from 6 months to 6 years, offering flexibility for various investment horizons. For instance, you might choose a shorter-term CD for short-term goals or a longer-term CD to lock in a competitive rate for a longer period. Learn more about Marcus by Goldman Sachs and explore how different term lengths and interest rates can impact your returns.

Marcus also provides a 10-day rate guarantee after opening a new CD. This means that if the advertised rates increase within 10 days of opening your CD, Marcus will automatically apply the higher rate to your account. This provides peace of mind and ensures you're getting the best possible return. For those concerned about needing access to their funds, Marcus offers a no-penalty CD option, providing added flexibility without the usual early withdrawal penalties associated with standard CDs. However, it’s important to note that no-penalty CDs may offer slightly lower APYs than standard CDs.

Features:

• APYs up to 5.10% on select terms
• Low minimum deposit of $500
• Terms from 6 months to 6 years
• 10-day rate guarantee after opening
• No-penalty CD option available

Pros:

• Backed by Goldman Sachs' financial expertise and stability
• Low minimum deposit requirement
• No-penalty CD allows for more flexibility
• Highly rated customer service

Cons:

• No physical branches (all transactions are online)
• No checking account options, limiting full banking services
• Standard CDs have early withdrawal penalties, so careful planning is crucial

While the absence of physical branches might be a drawback for some, Marcus compensates with strong online banking capabilities and excellent customer service. However, if you're looking for a single institution to handle all your banking needs, the lack of checking account options means you’ll need to maintain accounts elsewhere.

To learn more about their current CD offerings and open an account, visit the Marcus by Goldman Sachs website.

5. Popular Direct

Popular Direct secures a spot on our list of institutions offering the highest CD rates available thanks to its competitive Annual Percentage Yields (APYs), reaching up to 5.15% on select terms as of May 2023. This makes it a compelling option for savers looking to maximize returns in a low-risk environment. While Popular Direct caters to individuals with a higher minimum deposit requirement, the potential for significant interest earnings makes it worth considering for those who meet the criteria. Its focus on longer-term CDs, coupled with the stability of being backed by a well-established banking institution, makes it a particularly attractive choice for those prioritizing secure and predictable growth, such as retirees planning income streams or conservative investors diversifying their portfolios.

Popular Direct is the online division of Popular Bank, a financial institution with over 120 years of experience. This provides a level of confidence and stability that is particularly important in the current economic climate. CD terms range from relatively short-term options of 3 months to longer-term commitments of up to 5 years. As is typical with CDs, longer terms generally correlate with higher APYs. The substantial minimum deposit requirement of $10,000, however, sets a higher barrier to entry than many other CD offerings. This targets more affluent savers and those with larger sums to invest, such as small business owners looking for a safe place to park surplus funds.

For example, an individual depositing the minimum $10,000 into a 5-year CD at the maximum advertised rate of 5.15% APY (as of May 2023, subject to change) could potentially earn significant interest over the term. The interest compounds daily, maximizing returns. Popular Direct's online platform provides a secure and convenient way to manage your CD accounts. However, the lack of physical branches may be a drawback for those who prefer in-person banking services. Additionally, their limited customer service hours might be an inconvenience for some.

Features and Benefits:

• Premium APYs: Up to 5.15% on certain terms, positioning Popular Direct among the providers of the highest CD rates available nationwide.
• Established Institution: Backed by Popular Bank's 120+ years of experience, offering a sense of security.
• Daily Compounding Interest: Maximizes your returns over the CD term.
• FDIC Insured: Your deposits are protected up to the federally insured limit.
• Variety of Terms: Choose from terms ranging from 3 months to 5 years, offering flexibility to align with your financial goals.

Pros:

• Among the highest CD rates available.
• Well-established and reputable banking institution.
• Secure online banking platform.
• Daily compounding interest.

Cons:

• High minimum deposit requirement ($10,000).
• Stringent early withdrawal penalties.
• No physical branch locations for most customers.
• Limited customer service hours.

Website: https://www.populardirect.com

6. Ally Bank

Ally Bank secures a spot on this list of institutions offering the highest CD rates available due to its competitive Annual Percentage Yields (APYs), reaching up to 5.00% on High-Yield CDs as of mid-2023. This, combined with the lack of a minimum deposit requirement, makes it an attractive option for savers of all levels, from those just starting to build their nest egg to seasoned investors seeking a safe haven for a portion of their portfolio. Whether you're an individual saver looking for predictable returns, a retiree planning a secure income stream, or a small business owner parking surplus funds, Ally Bank's CDs warrant consideration.

One of Ally's key strengths lies in its variety of CD products. Beyond the standard High-Yield CD, they offer a "Raise Your Rate" CD, providing the opportunity to capitalize on rising interest rates during the CD term. This feature can be especially appealing in the current economic climate. They also offer a No-Penalty CD, giving you the flexibility to withdraw your funds without the typical early withdrawal penalties, although this often comes with a slightly lower APY. Learn more about Ally Bank and how CDs compare to other savings options. Understanding the difference between CDs and savings accounts can help you make informed decisions based on your financial goals.

Ally Bank's CD terms range from 3 months to 5 years, allowing you to choose a timeframe that aligns with your specific savings goals. For instance, short-term CDs (3-12 months) could be suitable for short-term financial objectives like saving for a down payment or an upcoming expense. Longer-term CDs (2-5 years) can be a good fit for long-term goals such as retirement planning.

As a digital-first bank, Ally provides a seamless online and mobile banking experience, which is particularly convenient for managing your CDs remotely. Their top-rated mobile app offers easy access to your accounts, allowing you to monitor your CD's performance and manage your finances on the go. They also offer excellent 24/7 customer service, addressing any questions or concerns you may have promptly and efficiently.

Features:

• No minimum deposit requirement
• APYs up to 5.00% on select terms
• Multiple CD types (High-Yield, Raise Your Rate, No-Penalty)
• Terms from 3 months to 5 years
• 24/7 customer support

Pros:

• No minimum deposit makes it accessible to all.
• Flexible CD options with unique features like "Raise Your Rate."
• Top-rated mobile app and online experience.
• Excellent 24/7 customer service.

Cons:

• Rates might be slightly lower than some online-only competitors focusing solely on highest cd rates available. It's crucial to compare current rates across institutions before making a decision.
• No physical branch locations. This might be a drawback for individuals who prefer in-person banking services.
• Standard early withdrawal penalties apply to most CDs, except for the No-Penalty CD, which might have a lower yield.

Website: https://www.ally.com

7. Capital One

Capital One secures a spot on our list of institutions offering some of the highest CD rates available thanks to its competitive annual percentage yields (APYs) and accessible features. As of May 2023, they offer APYs up to 5.00% on their 360 CDs, providing a predictable return on your investment. This makes them a compelling option for those seeking a safe and reliable way to grow their savings. Whether you're a retiree looking for a stable income stream, a conservative investor diversifying your portfolio, or simply someone looking for a secure place to park your funds, Capital One's CDs warrant consideration.

One of the most significant advantages of Capital One CDs is the lack of a minimum deposit requirement. This opens up CD investing to virtually anyone, regardless of their initial capital. You can start small and gradually increase your investment as your financial situation allows. Capital One offers a range of CD terms, from 6 months to 5 years, allowing you to choose a term that aligns with your financial goals. Shorter terms provide liquidity and flexibility, while longer terms generally offer higher APYs. All Capital One CDs are FDIC-insured, providing peace of mind knowing your investment is protected up to $250,000 per depositor, per insured bank.

While Capital One primarily operates online, they do maintain physical branches in select locations, which can be beneficial for those who prefer in-person banking services. This hybrid approach combines the convenience of online banking with the accessibility of physical branches. Their highly-rated mobile app and online banking platform provide a seamless digital experience, allowing you to easily manage your CD accounts, track your interest earnings, and access other Capital One financial products. Integrating your CD with other Capital One accounts simplifies financial management and provides a holistic view of your finances.

Pricing and Technical Requirements:

There is no minimum deposit to open a Capital One CD. The APYs vary depending on the term length, with longer terms typically offering higher rates. You'll need a Capital One online banking account to manage your CD.

Comparison with Similar Tools:

Compared to some online-only banks, Capital One's CD rates may be slightly lower in some instances. However, the combination of competitive rates, no minimum deposit, and the option of accessing physical branches sets them apart. They offer a valuable middle ground for those seeking a blend of online convenience and traditional banking services.

Implementation/Setup Tips:

Opening a Capital One CD is straightforward through their online platform. You'll need to provide some personal information and choose your desired term length. Consider your financial goals and time horizon when selecting a term. If you anticipate needing access to the funds before maturity, be aware of the early withdrawal penalties.

Pros:

• No minimum deposit requirement
• Physical branches in some regions
• Easy-to-use mobile app and online platform
• Ability to integrate with other Capital One accounts
• FDIC-insured

Cons:

• Slightly lower rates than some online-only banks
• Early withdrawal penalties apply
• Limited branch locations compared to traditional banks

Website: https://www.capitalone.com

8. Discover Bank

Discover Bank secures a spot on our list of institutions offering the highest CD rates available thanks to its competitive APYs, reaching up to 5.00% on select terms as of mid-2023. This makes it an attractive option for savers looking for predictable returns in a volatile market. Whether you're saving for a down payment, supplementing retirement income, or simply seeking a safe place to park your funds, Discover's CD offerings warrant consideration. Their CDs offer a range of terms, from short-term 3-month options to long-term 10-year options, allowing you to choose a timeframe that aligns with your financial goals. The $2,500 minimum deposit requirement is higher than some competitors, but it's still accessible for many individual savers.

Discover Bank stands out for several reasons. First, their long-term CD options, extending up to 10 years, provide a level of rate security not commonly found with other banks. This is especially appealing for retirees seeking predictable income streams for the future. Second, Discover is a well-established, full-service online bank, offering not just CDs but also checking, savings, and money market accounts. This can simplify financial management by consolidating your banking needs under one roof. Finally, their highly-rated customer service, available 24/7 from U.S.-based representatives, offers peace of mind and readily available assistance.

For those considering using Discover Bank for their CD needs, here's a breakdown of the key features and considerations:

• Competitive Rates: Discover offers APYs up to 5.00% on select CD terms, competitive with many other institutions offering the highest CD rates available.
• Flexible Terms: Choose from terms ranging from 3 months to 10 years, allowing for short-term parking of funds or long-term, secure growth.
• Minimum Deposit: A $2,500 minimum deposit is required to open a CD with Discover.
• FDIC Insurance: Your deposits are FDIC-insured up to $250,000 per depositor, per insured bank, for each account ownership category.
• Early Withdrawal Penalties: Be aware that early withdrawal penalties can be substantial, so ensure you are comfortable with the term length before committing. Consult the Discover Bank website for specific penalty details.
• Online and Mobile Banking: Manage your CD and other accounts easily through Discover's user-friendly online and mobile banking platforms.

Pros:

• Competitive rates across all term lengths.
• Excellent 24/7 U.S.-based customer service.
• Offers longer terms (up to 10 years) than most competitors.
• Part of a full-service online bank.

Cons:

• Higher minimum deposit than some competitors.
• No physical branch locations.
• Early withdrawal penalties can be steep.
• Rates might be slightly lower than some online-only competitors focusing solely on CDs.

Website: https://www.discover.com/online-banking/

Discover Bank is a strong contender for individuals seeking secure, predictable returns with the highest CD rates available. While the minimum deposit might be a barrier for some, the combination of competitive rates, long-term options, and excellent customer service makes it a valuable option for many savers. Be sure to compare their current rates with other institutions on our list to find the best fit for your specific financial needs.

Top 8 Banks: Highest CD Rates Comparison

Provider	APY & Terms	Minimum Deposit 💰	Unique Features ✨	Target Audience 👥	User Experience & Support ★
Bread Financial	★★★★★ Up to 5.30% (3 mo - 5 yrs)	$1,500	Daily compounding, no maintenance fees ✨	Savers seeking high rates	User-friendly platform, limited support hours ★★★★☆
Synchrony Bank	★★★★☆ Up to 5.25% (3 mo - 5 yrs)	None	24/7 online access ✨	All savers, no minimum deposit	Robust digital platform, excellent ratings ★★★★★
Bask Bank	★★★★☆ Up to 5.25% (6 mo - 24 mo)	$1,000	Daily compounding, streamlined digital banking ✨	Rate-focused digital savers	Secure platform, straightforward process ★★★★☆
Marcus by Goldman Sachs	★★★★ Up to 5.10% (6 mo - 6 yrs)	$500	10-day rate guarantee, no-penalty CD option ✨	Flexible investors	Highly rated service, backed by Goldman Sachs ★★★★★
Popular Direct	★★★★☆ Up to 5.15% (3 mo - 5 yrs)	$10,000	Backed by Popular Bank, daily compounding ✨	Affluent, large depositors	Established bank, secure online platform ★★★★☆
Ally Bank	★★★★ Up to 5.00% (3 mo - 5 yrs)	None	Multiple CD types including Raise Your Rate & No-Penalty ✨	Flexible & novice savers	Top-rated app, 24/7 support ★★★★★
Capital One	★★★★ Up to 5.00% (6 mo - 5 yrs)	None	Physical branches in select areas ✨	Online & branch users	Easy-to-use app, some physical presence ★★★★☆
Discover Bank	★★★★ Up to 5.00% (3 mo - 10 yrs)	$2,500	Longest max term (10 yrs) ✨	Long-term savers	24/7 U.S.-based support, comprehensive services ★★★★☆

Making Your Savings Grow with the Best CD Rates

Finding the highest CD rates available is crucial for maximizing your returns, whether you're an individual saver, retiree planning for the future, a conservative investor diversifying your portfolio, or a small business owner managing surplus funds. We've explored several top contenders, including Bread Financial, Synchrony Bank, Bask Bank, Marcus by Goldman Sachs, Popular Direct, Ally Bank, Capital One, and Discover Bank. Each institution offers unique CD options with varying APYs, term lengths, and minimum deposit requirements. Remember, the ideal CD for you depends on your specific financial goals and risk tolerance. For instance, if you prioritize liquidity, a shorter-term CD might be preferable, whereas a longer-term CD could offer higher returns for long-term goals.

Choosing the right tools can significantly enhance your savings journey. When selecting a CD, carefully compare the features of each institution and consider factors such as early withdrawal penalties and the overall financial health of the bank. For those looking to personalize their savings journey, exploring custom-printed items for tracking or gifting purposes could be a unique approach, as outlined in the "How Much Does Custom Printing Cost?" guide from MrTakeOutBags.com.

Don't settle for average returns. By actively seeking out the highest CD rates available and leveraging the insights provided, you can confidently make informed decisions to secure your financial future. To precisely project your potential earnings and compare different CD scenarios based on the highest CD rates available, use our Certificate-of-Deposit Calculator. This valuable tool empowers you to optimize your CD strategy and achieve your financial objectives.