Key Takeaways
- The top CD rates have fallen in anticipation of Federal Reserve interest rate cuts, but there are still seven nationwide offers paying at least 5.30%.
- After a slight decline yesterday, the top nationally available CD rate remains at 5.40%. You can lock in the leading APY for 5 months at INOVA Federal Credit Union.
- The top 1-year CD rate is 5.30%, available from West Town Bank & Trust for a 13-month term.
- With a likelihood of rates moving lower over the rest of this year and into 2025, longer-term CDs could be a smart move, letting you lock in one of today's great rates before they're gone.
- For instance, you can secure 5.15% for 2 years, or up to 5.00% for 3 years. Those who can stretch further might like an upper-4% return that's guaranteed as long as 2029.
Below you'll find featured rates available from our partners, followed by details from our ranking of the best CDs available nationwide.
Open a New Account × The offers that appear in this table are from partnerships from which we receive compensation. For more details, see our full advertiser disclosure. Institution Apy Min. To Earn Apy Highlights Open a New Account × The offers that appear in this table are from partnerships from which Dotdash receives compensation.
7 CDs Offer Rates of at Least 5.30%
All of the country'sbest CD ratesare currently for shorter terms, with a total of seven CDs paying 5.30% to 5.40% on terms of 5 to 15 months.
INOVA Federal Credit Union, which is paying 5.40% APY on a 5-month term, took over as the nationwide CD rate leader yesterday, following the disappearance of the 5.50% offer that previously held the crown.
If you're interested in locking in a top rate for a slightly longer term, you could opt for one of the runners-up, which are paying just a bit less than the overall leader, at 5.35%. T Bank lets you lock in that rate for 9 months, while DR Bank offers it for a 6-month term.
Savers who would like to stretch to a 1-year rate guarantee can still earn as much as 5.30% today. West Town Bank & Trust is paying that APY on a 13-month term. Among the elite group of CDs paying rates of 5.30%-plus, the longest term is available from Jovia Financial Credit Union, whoseoffer of 5.30% on a 15-month certificate would secure your rate past Halloween 2025.
Advantages of Securing a Longer Rate Guarantee
Despite paying less than shorter-term CDs, it could be smart to lock in an attractive multi-year rate before the Fed makes its first rate cut. That's because CD rates could keep sliding, as it's possible the Fed will continue lowering rates for the coming 2–3 years. Opening a CD now will let you lock in today's rate for the entire term—allowing you to enjoy a high APY for years into the future, despite falling rates.
If you're able to commit cash to a CD for longer, you can secure a rate lock until 2026 withAmerican 1 Credit Union's18-month certificate paying 5.25%, or its 2-year CD paying 5.15%. You can even lock in 5.00% until 2027—again with American 1 Credit Union, for 36 months.
The best 4-year CD rate is 4.60%. You can score that return from two institutions: Department of Commerce Federal Credit Union and American 1 Credit Union. Or maybe you'd like to stretch a rate guarantee a full five years. Grow Financial Credit Union is the leader there, offering a rate lock of 4.75% until 2029.
| CD Terms | Yesterday's Top National Rate | Today's Top National Rate | Day's Change (percentage points) | Top Rate Provider |
| 3 months | 5.25% | 5.25% | No change | Merchants Bank of Indiana and Financial Partners Credit Union |
| 6 months | 5.40% | 5.40% | No change | INOVA Federal Credit Union |
| 1 year | 5.30% | 5.30% | No change | West Town Bank & Trust |
| 18 months | 5.30% | 5.30% | No change | Jovia Financial Credit Union |
| 2 years | 5.15% | 5.15% | No change | American 1 Credit Union |
| 3 years | 5.00% | 5.00% | No change | American 1 Credit Union |
| 4 years | 4.60% | 4.60% | No change | Department of Commerce Federal Credit Union and American 1 Credit Union |
| 5 years | 4.75% | 4.75% | No change | Grow Financial |
CD Rates Are Still Near 20-Year Highs
Today's CD rates aren't at their absolute peak, but they're still running historically high. October brought us a top nationwide rate of 6.50%, and today that's down to 5.40%. Still, quite a few banks and credit unions are offering 5.00% or better. A total of 30 CDs among the top national rates still pay 5.25% or more.
The longest currently available term of 5% or better is 36 months from American 1, mentioned above, but this may not last long. Any APY above 4% may be worth locking in—before the Fed cuts rates.
Jumbo CDs Lead for 1-Year and 5-Year Terms
Jumbo CDs require much larger deposits, and the best jumbo CDs don't offer the best rates in most terms—except for 1-year and 5-year CDs. One American Bank is offering 5.40% for an 11-month term, which is 10 basis points higher than the best standard 1-year CD. Similarly, Grow Financial Federal Credit Union pays 4.86% for a 60-month term, edging out the best standard 5-year CD (4.75%) by 11 basis points. The best jumbo offer in the 6-month term matches the top standard CD at 5.40% APY.
| CD Term | Today's Top National Bank Rate | Today's Top National Credit Union Rate | Today's Top National Jumbo Rate |
| 3 months | 5.25% APY* | 5.25% APY* | 5.20% APY |
| 6 months | 5.35% APY | 5.40% APY* | 5.40% APY* |
| 1 year | 5.30% APY | 5.25% APY | 5.40% APY* |
| 18 months | 5.15% APY | 5.30% APY* | 5.20% APY |
| 2 years | 5.00% APY | 5.15% APY* | 4.85% APY |
| 3 years | 4.60% APY | 5.00% APY* | 4.85% APY |
| 4 years | 4.55% APY | 4.60% APY* | 4.48% APY |
| 5 years | 4.45% APY | 4.75% APY | 4.86% APY* |
Will CD Rates Fall in 2024?
The Federal Reserve kept the federal funds rate at its current level of 5.25% to 5.50% at its meeting that ended July 31, as was expected. But a rate cut seems to be on the horizon: According to the CME FedWatch tool, 100% of federal funds futures traders expect the Fed will cut rates by at least 0.25 percentage points at its next meeting in September, and they also overwhelmingly predict rates will move even lower in November.
Recent inflation reports have provided more evidence that the Fed's campaign to tamp down inflation has been effective, strengthening predictions of rate cuts in the near future. Producer Price Index (PPI) data released this morning showed a lower-than-expected uptick in wholesale prices in July, bolstering expectations that rate cuts are on the horizon.
The central bank's mission to beat inflation led it to raise the federal funds rate 11 times between March 2022 and July 2023, bringing the fed funds rate to its highest level in 22 years. The rate-hike campaign has been a boon to savers with cash in the bank, as the fed funds rate directly influences the rates that banks and credit unions pay on CDs. As a result, CD rates hit a 20-year high last fall. Those with money in ahigh-yield savingsormoney market account have also benefited from these historic rates, with savings accounts still paying their highest rates in two decades.
But the Fed has kept rates steady since its last rate hike in July 2023. The most recent decision marked the eighth consecutive meeting in which the central bank left its benchmark rate unchanged.
The Fed's "dual mandate" compels it to carefully adjust rates in response to economic indicators of inflation and job growth. Recent news of slow wage growth in the second quarter plays an important role in its outlook.
"The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run," the FOMC said in its most recent official statement. "The Committee judges that the risks to achieving its employment and inflation goals continue to move into better balance. The economic outlook is uncertain, and the Committee is attentive to the risks to both sides of its dual mandate."
Fed officials are generally careful not to jump the gun and will likely continue waiting for additional reports before making any decisions about changing the fed funds rate. But with confidence in a September rate cut high—and CD rates likely to move ahead of the central bank's move—if you've got the funds to spare, you may want to lock in an excellent CD rate while you still can.
Daily Rankings of the Best CDs and Savings Accounts
We update these rankings every business day to give you the best deposit rates available:
Best 3-Month CD Rates
Best 6-Month CD Rates
Best 1-Year CD Rates
Best 18-Month CD Rates
Best 2-Year CD Rates
Best 3-Year CD Rates
Best 4-year CD Rates
Best 5-Year CD Rates
Best High-Yield Savings Accounts
Best Money Market Accounts
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 5, 10, or even 15 times higher.
How We Find the Best CD Rates
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 (FDICfor banks,NCUAfor credit unions), the CD's minimum initial deposit must not exceed $25,000, and any specified maximum deposit cannot be under $5,000.
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.
Article Sources
Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in oureditorial policy.
Federal Reserve Board. "Federal Reserve Issues FOMC Statement, July 31, 2024."
CME Group. "CME FedWatch Tool."
Federal Reserve Board. "Open Market Operations."
