With the next potential interest rate moves by the Federal Reserve still more than two weeks away, the top CD interest rates stood firm today. The best rate you can get on any CD is 5.35% APY, and that's available on Home Savings Bank's 12-month certificate of deposit (CD) and Langley Federal Credit Union's 22-month CD.
New monthly data from the Federal Deposit Insurance Corporation (FDIC) shows that average CD rates from institutions across the country have climbed, but they are still far below what you can get on the best CDs. For instance, the best average rate you can get is 1.54%. That's available on a 1-year CD, and you can get more than triple that annual percentage yield (APY) with the Home Savings Bank 12-month CD.
- The most that any nationally available CD is paying, on any term, is currently 5.35% APY.
- You can earn at least 5.25% APY on eight different CDs in our rankings—down from the 12 available early last week.
- Rates of 5.00% or better are available in every term from 3 to 35 months.
- The top returns in jumbo CDs have been holding steady for over a week.
|CD Term||Yesterday's Top National Rate||Today's Top National Rate||Day's Change (percentage points)|
|3 months||5.00% APY||5.00% APY||No change|
|6 months||5.25% APY||5.25% APY||No change|
|1 year||5.35% APY||5.35% APY||No change|
|18 months||5.25% APY||5.25% APY||No change|
|2 years||5.35% APY||5.35% APY||No change|
|3 years||5.00% APY||5.00% APY||No change|
|4 years||4.73% APY||4.73% APY||No change|
|5 years||4.68% APY||4.68% APY||No change|
|10 years||4.30% APY||4.30% APY||No change|
Several of the top CD rates still beat the 5% March inflation rate, released last week. This is a relatively rare occurrence, at least in recent years. No one knows what the April inflation figure will be, but this may be a good time to lock in an inflation-busting CD rate.
|CD Term||Today's Top National Bank Rate||Today's Top National Credit Union Rate||Today's Top National Jumbo Rate|
|3 months||5.00% APY||4.50% APY||3.91% APY|
|6 months||5.25% APY||5.01% APY||5.25% APY|
|1 year||5.35% APY||5.15% APY||5.15% APY|
|18 months||5.20% APY||5.25% APY||5.25% APY|
|2 years||5.28% APY||5.35% APY||5.04% APY|
|3 years||4.60% APY||5.00% APY||4.99% APY|
|4 years||4.55% APY||4.73% APY||4.89% APY|
|5 years||4.50% APY||4.68% APY||4.84% APY|
|10 years||4.10% APY||4.30% APY||None|
The top rate for a jumbo certificate is holding steady at 5.25%, offered in two terms. It's always smart to keep your search open to standard CDs even when you have a jumbo-size deposit because you can typically find better rates among regular certificates. But right now, the best jumbo 4-year and 5-year APYs are better than other market leaders in those terms.
Will CD Rates Rise or Fall?
While today's FDIC data showed that national average CD rates rose this month, some of the increases were far smaller than they have been in the past. Now is likely a good time to lock in a rate you'll be happy to have for months or years to come.
Investopedia data also shows that banks and credit unions are leveling off or even decreasing some of their top CD rates.
CD rates skyrocketed as a result of the Federal Reserve aggressively hiking the federal funds rate to combat inflation. Although the Fed has raised the fed funds rate twice this year, both times by 0.25%, that's far lower than the cumulative 4.25% in increases it implemented last year. As a result, rates on deposit accounts surged in 2022, and then have crept only slightly higher this year.
Economic data released last week on inflation, retail sales, and manufacturing all show increasing evidence of a slowing economy, suggesting the Fed's rate campaign is beginning to take meaningful hold. This in turn fuels market predictions that the Federal Reserve will wrap up its rate hikes soon. In fact, the leading forecast at the moment is for "one and done," meaning just one more hike when the Fed meets in a few weeks, followed by a rate plateau and ultimately a decline.
The Fed's rate-setting committee will conclude its next meeting on May 3. Though it looks likely it will make another increase that day, current movement in the top CD rates suggests that some institutions aren't waiting to start dialing back the aggressive rates we saw earlier this year.
Note that the "top rates" quoted here are the highest nationally available rates Investopedia has identified in its daily rate research on hundreds of banks and credit unions. This is much different than the national average, which includes all banks offering a CD with that term, including many large banks that pay a pittance in interest. Thus, the national averages are always quite low, while the top rates you can unearth by shopping around are often five, 10, or even 15 times higher.
Rate Collection Methodology Disclosure
Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs to customers nationwide and determines daily rankings of the top-paying certificates in every major term. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the CD's minimum initial deposit must not exceed $25,000.
Banks must be available in at least 40 states. And while some credit unions require you to donate to a specific charity or association to become a member if you don't meet other eligibility criteria (e.g., you don't live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.
FDIC. "National Rates and Rate Caps."
CME Group. "CME FedWatch Tool."