The clock is ticking on high APYs. Today’s CD Prices January 16, 2025

Timing is key when it comes to how much you can earn with a certificate of deposit. Unlike savings account rates, which are variable, CD rates are fixed when you open the account. So opening a CD while prices are high can help you maximize your returns.

Today’s the best CDs offer up to 4.65% annual percentage yield, or APY. But APYs have been falling for months, and we’re likely to see them even more. This makes now the perfect time to lock in your APY and protect your earnings.

Here are some of the highest CD prices right now and how much you can earn by depositing $5,000.

Experts recommend comparing rates before opening a CD account to get the best possible APY. Enter your information below to get the best price from CNET partners for your area.

There’s still time to get a great CD frequency

CD rates may still be attractive, but the days of sky-high APYs are over. APYs have been falling for months after a series of Federal Reserve rate cut. The Federal Reserve does not set interest rates directly, but banks tend to move in step with its decisions. When the Fed cuts rates, banks lower APYs on products like CDs and savings accounts.

To combat COVID-era inflation, the Fed raised rates 11 times starting in March 2022, and CD rates have soared, reaching 5.65% APY for the banks we track at CNET. They have fallen sharply since then, particularly in recent months as cooling inflation prompted the Fed to cut rates at its last three meetings. With experts expecting more rate cuts from the Fed in 2025, locking in one of today’s best APYs can protect your income from further declines.

“If you need a safe place to park money for a period of time, a CD is still a solid, low-risk choice,” said Taylor Kovar, CFP, founder and CEO of 11 Financial. “Just don’t expect the returns you might have seen a year ago.”

How to choose the right CD for you

A competitive APY is important, but it’s not the only thing to consider. To find the right CD for you, also weigh these factors:

• When will you need your money: Penalties for early withdrawal it can eat into your interest earnings. So be sure to choose a term that suits your savings schedule. Alternatively, you can choose a CD without penaltiesalthough the APY may not be as high as you would get with a traditional CD of the same term.
• Minimum Deposit Requirement: Some CDs require a minimum amount to open an account – usually $500 to $1,000. Others do not. How much money you have to set aside can help you narrow down your options.
• Fees: Maintenance fees and other fees can eat into your profits. a lot online banks they don’t charge fees because they have lower overhead costs than banks with physical branches. However, read the fine print on any account you evaluate.
• Federal Deposit Insurance: Make sure that any bank or credit union consider being 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 work with.

Methodology

CNET reviews CD prices based on the latest APY information from publisher websites. We’ve evaluated CD rates from more than 50 banks, credit unions and finance companies. We rate CDs based on APY, product offerings, affordability 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, America First 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 15, 2025. based on the banks we track at CNET. Earnings are based on APY and assume interest is compounded annually.

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