Movement in CD rates was mixed today, with roughly equal numbers of institutions in our daily rankings raising and lowering rates. Though the Federal Reserve implemented a quarter-point rate increase last Wednesday, the top nationwide rate in every CD term has remained steady, led by an industry-wide top rate of 5.50% APY that's available on two 9-month certificates.
- The most you can earn on a nationally available CD continues to be 5.50% APY, offered for 9 months by two different institutions.
- You can find eight certificates that pay at least 5.25% APY in our daily rankings of the top CD rates.
- The longest duration for which you can earn above 5.00% APY is 24 months, with options paying 5.15% APY and 5.25% APY.
- The Federal Reserve raised rates another quarter percentage point Wednesday, but signaled its rate-hiking campaign could be coming to an end—which means CD rates may be at or near their peak.
|CD Term||Yesterday's Top National Rate||Today's Top National Rate||Day's Change (percentage points)|
|3 months||4.90% APY||4.90% APY||No change|
|6 months||5.50% APY||5.50% APY||No change|
|1 year||5.25% APY||5.25% APY||No change|
|18 months||5.30% APY||5.30% APY||No change|
|2 years||5.25% APY||5.25% APY||No change|
|3 years||4.90% APY||4.90% 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||4.20% APY||4.20% APY||No change|
|CD Term||Today's Top National Bank Rate||Today's Top National Credit Union Rate||Today's Top National Jumbo Rate|
|3 months||4.90% APY||4.75% APY||4.35% APY|
|6 months||5.50% APY||5.50% APY||5.15% APY|
|1 year||5.25% APY||5.25% APY||5.25% APY|
|18 months||5.20% APY||5.30% APY||5.27% APY|
|2 years||5.00% APY||5.25% APY||5.04% APY|
|3 years||4.76% APY||4.90% APY||4.99% APY|
|4 years||4.54% APY||4.73% APY||4.89% APY|
|5 years||4.50% APY||4.68% APY||4.84% APY|
Rates on jumbo certificates, which typically require a deposit of $100,000 or more, often don't pay as well as standard CDs, despite the suggestion that a larger deposit should earn you a higher rate. Currently, the best jumbo rates only beat the best standard rates in three of the eight major CD terms. So remember to shop every CD type before committing to your best choice.
Where Are CD Rates Going This Year?
CD rates generally follow the federal funds rate, so last week's slight increase from the Federal Reserve could push CD rates slightly higher this year. In 2022, they surged as a result of the Fed aggressively hiking rates to combat inflation, but the Fed's increases this year have been more modest, slowing the pace of CD rate growth.
The Fed's announcement Wednesday included a notable change from previous announcements, suggesting it's possible the Fed may pause its hikes at its June meeting. This plus other economic factors have futures traders betting overwhelmingly that this past week's increase will be the Fed's last hike of its campaign. In fact, many are predicting a rate drop later this year.
That makes it an opportune time to lock in a top CD rate with one of our best-paying options, enabling you to prolong today's stellar rates for months or years down the road.
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.
Federal Reserve. "Open Market Operations."
Federal Reserve. "May 3, 2023: Federal Reserve Issues FOMC Statement."
CME Group. "CME FedWatch Tool."