Best Online CD Rates Of 2024
Top Yielding CDs of 2024 With Unbeatable Rates!

Earn up to 5.55% APY

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Last Update
- February 2024
Our Picks For

Best CD Rates 2024

Marcus By Goldman Sachs: Certificate of Deposit
5.15% Annual Percentage Yield With $500 Min To Earn.

Additional Benefits:

  • Minimum Deposit $500 Member FDIC
  • 1-year APY: 5.15%
  • 3-year APY: 4.30%
  • 5-year APY: 4.10%
  • 02/28/2024
    Min Deposit
    Discover® Bank : Certificate of Deposit
    4.8% Annual Percentage Yield With $2.5K Min To Earn.

    Additional Benefits:

  • Minimum Deposit $2,500 Member FDIC
  • 1-year APY: 4.80%
  • 3-year APY: 4.00%
  • 5-year APY: 3.90%
  • 02/28/2024
    Min Deposit
    Gainbridge : Certificate of Deposit
    5.55% Annual Percentage Yield With $1,000 Min To Earn.

    Additional Benefits:

  • Minimum Deposit $1,000 Member FDIC
  • 3-year APY: 5.55%
  • 4-year APY: 5.45%
  • 5-10 years APY: 5.4%
  • 02/28/2024
    Min Deposit
    What you need to know about the best CD accounts

    Let’s face it, in a world where savings account interest rates can be underwhelming, CDs stand out as a beacon of higher earning potential. But not all CDs are created equal. That’s why we’ve scoured the financial landscape to bring you options that truly shine. Whether you’re planning for a short-term goal or looking to grow your savings over the long haul, there’s a CD here with your name on it.

    And here’s the kicker: in 2024, the CD market is more dynamic than ever. We’re seeing institutions offering certificate of deposit rates that make traditional savings methods look like child’s play. From short-term gains to long-term growth, these CDs are designed to maximize your investment. But it’s not just about the rates. We know that terms and conditions matter too. That’s why our selections include CDs that offer a balance of favorable terms, ensuring that you’re not just locking away your money, but also reaping the benefits of a smart financial decision.

    So, are you ready to find the best certificate of deposit in 2024, where unbeatable rates meet smart saving solutions? Let’s dive in and unlock the potential of your savings with choices that will leave you feeling financially savvy and secure.

    What Is a Certificate of Deposit (CD)?

    A savings account type known as a certificate of deposit, or CD, often has a set interest rate more significant than a standard savings account. It also features a predetermined maturity date, the withdrawal day, and a fixed term duration. A certificate of deposit (CD) often locks money in for a period of three months to five years. In contrast to the conventional pattern, which shows that rates are more significant for longer durations, one-year certificate of deposit rates have recently exceeded those for five-year CDs. Although most CDs have an early withdrawal penalty and do not allow you to add money after the first deposit, they do not have monthly fees.

    Certificates of deposit, like standard savings accounts, are insured, so if your bank files for bankruptcy, you will receive your money back. The Federal Deposit Insurance Corporation protects bank CDs.

    How Do Certificates of Deposit Work?

    When you maintain your money in the account for a predetermined period, CDs guarantee a return. Let’s imagine you locate a bank that provides an APY of 4% on a one-year certificate of deposit. You will receive a 4% interest on your original investment if you keep the money in the CD for the entire one-year period. Though it’s not always the case, the interest rate on a CD usually increases with the length of the CD. Banks may also provide better promotional rates under particular conditions.

    You can redeem the CD for your original principal investment and the interest accrued when it matures. Banks often provide account holders a seven to ten-day grace period to remove money from a certificate of deposit. However, an early withdrawal penalty may reduce your profits if you take the money out of the CD before the term expires.

    The CD will automatically renew at whatever APY the bank is giving for the product at that time if you don’t take action before the grace period expires. Thus, the new APY may be the same, more significant, or lower.

    Finding the CD that best suits your needs requires familiarizing yourself with various CD kinds.

    What Types of Certificates of Deposit Are There?

    CDs usually have a fixed rate of return and a specified period. But you can choose from a few more types, depending on where you bank.

  • No-penalty CD: Also referred to as a “liquid CD,” this type usually has lower rates than other CDs in exchange for allowing early withdrawal without penalty.
  • High-yield CD: The certificate of deposit rates on this are higher than usual. Online banks and credit unions offer better rates than traditional brick-and-mortar banks.
  • Jumbo CD: This is virtually the same as a standard CD, except in exchange for historically higher rates, it has a large minimum balance requirement of $100,000.
  • IRA CD: This is a regular certificate in a tax-advantaged individual retirement account.
  • Step-up or bump-up CDs: These CDs often have an interest rate hike during the CD period. Step-up CDs operate on a predetermined schedule of rate increases, whereas bump-up CDs require you to request that rate leap if available. Compared to fixed-rate CDs, both often provide lower interest rates, and some have stricter minimum deposit requirements. Long-term CDs may allow you to seek rate increases more than once, but in certain situations, you can only do so once.
  • Brokered CD: A CD provided through a broker, such as a brokerage business.
  • How To Select the Best Certificate of Deposit

    Setting goals may be the most crucial step before investing in a CD. Examine your financial status and determine your investing goals before making any decisions.

    Ensure you have three to six months’ living costs in your emergency fund before starting a CD. This money would be better served in a liquid savings account than tied up in a certificate of deposit.

    Choose the Appropriate Term Duration

    Generally, CDs require you to invest your money for a term, a set time length. You consent to refrain from taking money out throughout the period.

    CD maturities might be as short as one month or as long as five, seven, or even ten years, depending on the bank. You should thus be aware of your objectives and the amount and duration of money you can afford to commit to.

    Are you putting money aside for a trip, a down payment on a house, or the purchase of an automobile? To select a CD with the ideal period, ascertain when you will want that money.

    Look Around for the Greatest Rates

    The goal of every investment product is to maximize your money’s growth. Regarding certificate of deposit rates, the national averages are low compared to what you may obtain elsewhere. For instance, the most recent weekly poll from Bankrate indicates that the national average for a one-year CD is a mere 0.96% APY. However, several banks pay at least 3% APY, particularly those that operate online.

    Online banks frequently offer higher certificate of deposit rates because they do not have the expense of operating branches as traditional brick-and-mortar banks.

    Select a CD With an Affordable Minimum Deposit

    The amount of money needed to open a certificate of deposit varies throughout financial organizations. There are no deposit minimums for several institutions, like Synchrony Bank and Ally Bank.

    However, many banks demand you deposit at least $500 or $1,000. Others require five thousand dollars or more. The kind of CD you open may determine the minimum deposit needed. Typically, deposits on jumbo CDs are $100,000.

    Whether the CD is for one year, five years, or more, your deposit is locked in for the term. Select a certificate of deposit (CD) whose initial deposit you can afford to maintain until the CD matures.

    Confirm Any Early Withdrawal Fees

    Customers who take money out of their CD accounts before the CD matures are penalized by banks. Review your account agreement’s small language to learn more about these costs.

    The interest associated with early withdrawal penalties might vary greatly, ranging from 60 to 365 days or more. Penalty costs are often more significant for lengthier CD terms.

    You will be charged a fee if you open a CD via a broker. However, it hardly seems essential to pay a broker to do it for you when locating the best certificate of deposit rates and products on your own is so simple.

    Select the Appropriate CD Type

    There are many different types of CDs, so it’s a good idea to know what they are since you could find something that works better than a standard CD.

    A liquid or no-penalty CD does not impose penalties if you take money out of the account before the term expires. A no-penalty CD is a wise option if you believe you need the money before it matures or want the freedom to withdraw it without incurring penalties to seek a better investment. As a trade-off, the APY will likely be less than on a conventional CD.

    Consider an add-on CD, which allows you to make additional deposits into the account anytime throughout the term if you anticipate receiving a significant bonus at work. IRA CDs are an option that sometimes has lower returns but offers tax benefits.

    Though they differ significantly, step-up and bump-up certificates of deposit allow you to increase your yield if interest rates rise.

    Choose a Credit Union or Bank That is Federally Insured

    When making purchases, choose only financial institutions covered by the National Credit Union Association (NCUA) Share Insurance Fund or the Federal Deposit Insurance Corp. (FDIC). Your money would be safe even if your credit union or bank failed.

    Up to $250,000 is covered by federal deposit insurance for each depositor, FDIC bank, and account ownership type. To provide clients with significant deposits with additional insurance coverage, several banks offer a service that distributes funds around a network of insured institutions.

    Marcus CD

    Member FDIC

    OnlineFinance rating




    Up to 5.25%

    Minimum Deposit

    $500 Member FDIC

    at Marcus By Goldman Sachs

    Discover Bank CD

    Member FDIC

    OnlineFinance rating




    Up to 4.90%

    Minimum Deposit

    $2,500 Member FDIC

    at Discover Bank


    Member FDIC

    OnlineFinance rating




    Up to 5.55%

    Minimum Deposit

    $1,000 Member FDIC


    Forbright CD

    Member FDIC

    OnlineFinance rating




    Up to 5.30%

    Minimum Deposit

    $1,000 Member FDIC

    at Forbright

    Is Certificate of Deposit Right for You?

    If your goal is to safeguard earmarked savings, a certificate of deposit might be an innovative method to keep the money you’ve set away for a significant future purchase, like a car or down payment, secure and earning interest.

    If you want to receive a return that is usually higher than other savings accounts and avoid the stock market’s volatility, investing in CDs might make sense. According to the FDIC, the average rate for a five-year certificate of deposit (CD) is 1.39% yearly percentage yield, significantly higher than the national average rate of 0.57% for conventional savings accounts. In addition to the five-year CD, high-yield CDs for three, six, or one year are also an option. These may be preferable if you wait months rather than years to retrieve your money.

    What Are the Benefits and Drawbacks of a CD?

    Many savers favor CDs because of their flawless predictability and safety features; nonetheless, in contrast to riskier assets like stocks and bonds, certificates of deposit (CDs) often have a modest rate of return. When measuring their investment on an inflation-adjusted basis, investors in CDs will lose money if the interest rate given is lower than the rate of inflation currently in effect. Because of this, yield-conscious investors may favor riskier but potentially higher-returning assets.

    Our Verdict

    If you can lock in the money for a specific time, a certificate of deposit (CD) may be a safe, high-yielding investment. Choose a term you are comfortable with, compare rates, and choose a federally insured bank or credit union to receive the most excellent value for your money on high-yield CDs.

    Full list of our picks – best Savings accounts

  • Marcus - Up to 5.25% APY with $500 minimum to open an account, Member FDIC - Read the full review.
  • Discover Bank - Up to 4.90% APY with $2,500 minimum to open an account, Member FDIC - Read the full review.
  • Grinbridge - Up to 5.55% APY with $1,000 minimum to open an account, Member FDIC - Read the full review.
  • Forbright - Up to 5.30% APY with $1,000 minimum to open an account, Member FDIC - Read the full review.
  • Vallydirect - Up to 4.50% APY with $500 minimum to open an account, Member FDIC - Read the full review.
  • Frequently Asked Questions (FAQs)

    Yes, your money in a CD is insured by most banks and credit unions up to $250,000 per person per account type, including joint and single-owned accounts.
    A certificate of deposit (CD) that waives fees for early withdrawals is known as a no-penalty CD. If you desire the interest that certificates of deposit (CDs) often offer above standard savings accounts, it may be an alluring option, but you could find that you need the money sooner than you think.
    Which matters more to you, access to your money or rates? While you give up access to your money when you invest in high-yield CDs, some current rates are often more significant than the most excellent rates offered by savings accounts.
    Depending on the length of the CD term and the bank’s policy, most CDs carry an early withdrawal penalty that can vary from several months to a year’s worth of interest collected. A no-penalty CD is the only CD that allows early withdrawals without incurring fees.
    Compared to a standard savings account, certificates of deposit need a greater level of dedication because you are securing funds for a future date. This feature may benefit specific objectives but not others, like emergency savings.
    In conclusion, online banking offers several benefits, Banks such as American Express, Chase, Capital One, US Bank & Marcus by Goldman Sachs make it a superior option to traditional banking. With lower fees, higher interest rates, ease of access through ATM connections, better customer service, and a more comprehensive range of products, online banking has become the preferred choice for many. The FDIC insures online banks, and they have security measures to ensure your funds are secure. By being vigilant with password protection and avoiding public Wi-Fi access, online banking can be a convenient and safe way to manage your finances. So, you’re looking for a better banking experience. In that case, consider switching to online banking today and opening a high-interest savings account online.