CDs

Best 10-year CD rates — September 2021

1
Thomas Barwick/Getty Images
Written by
Matthew Goldberg
  • /
  • 6 min read
Edited By
David Schepp
Reviewed By
Robert R. Johnson
  • /
  • 6 min read
Bankrate Logo

Why you can trust Bankrate

While we adhere to strict , this post may contain references to products from our partners. Here's an explanation for .

Bankrate Logo

Why you can trust Bankrate

Founded in 1976, Bankrate has a long track record of helping people make smart financial choices. We’ve maintained this reputation for over four decades by demystifying the financial decision-making process and giving people confidence in which actions to take next.

Bankrate follows a strict editorial policy, so you can trust that we’re putting your interests first. All of our content is authored by highly qualified professionals and edited by subject matter experts, who ensure everything we publish is objective, accurate and trustworthy.

Our banking reporters and editors focus on the points consumers care about most — the best banks, latest rates, different types of accounts, money-saving tips and more — so you can feel confident as you’re managing your money.

Bankrate Logo

Editorial Integrity

Bankrate follows a strict editorial policy, so you can trust that we’re putting your interests first. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions.

Key Principles

We value your trust. Our mission is to provide readers with accurate and unbiased information, and we have editorial standards in place to ensure that happens. Our editors and reporters thoroughly fact-check editorial content to ensure the information you’re reading is accurate. We maintain a firewall between our advertisers and our editorial team. Our editorial team does not receive direct compensation from our advertisers.

Editorial Independence

Bankrate’s editorial team writes on behalf of YOU – the reader. Our goal is to give you the best advice to help you make smart personal finance decisions. We follow strict guidelines to ensure that our editorial content is not influenced by advertisers. Our editorial team receives no direct compensation from advertisers, and our content is thoroughly fact-checked to ensure accuracy. So, whether you’re reading an article or a review, you can trust that you’re getting credible and dependable information.

Bankrate Logo

How We Make Money

You have money questions. Bankrate has answers. Our experts have been helping you master your money for over four decades. We continually strive to provide consumers with the expert advice and tools needed to succeed throughout life’s financial journey.

Bankrate follows a strict editorial policy, so you can trust that our content is honest and accurate. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. The content created by our editorial staff is objective, factual, and not influenced by our advertisers.

We’re transparent about how we are able to bring quality content, competitive rates, and useful tools to you by explaining how we make money.

Bankrate.com is an independent, advertising-supported publisher and comparison service. We are compensated in exchange for placement of sponsored products and, services, or by you clicking on certain links posted on our site. Therefore, this compensation may impact how, where and in what order products appear within listing categories. Other factors, such as our own proprietary website rules and whether a product is offered in your area or at your self-selected credit score range can also impact how and where products appear on this site. While we strive to provide a wide range offers, Bankrate does not include information about every financial or credit product or service.

Bankrate Logo

Insurance Disclosure

This content is powered by HomeInsurance.com, a licensed insurance producer (NPN: 8781838) and a corporate affiliate of Bankrate.com. HomeInsurance.com LLC services are only available in states were it is licensed and insurance coverage through HomeInsurance.com may not be available in all states. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.

Compared to savings accounts and short-term time deposits, 10-year CDs offer more competitive interest rates.

They’re also virtually risk-free. Once your account matures, you’ll earn a specific rate of return. But given the long return horizon, a 10-year CD isn’t a good fit for every saver. Before buying one, consider whether locking up your savings for a decade is a smart move for you.

The best 10-year CD rates for September 2021

Note: The APYs (Annual Percentage Yields) shown are as of Aug. 27, 2021. Bankrate’s editorial team updates this information regularly. APYs may have changed since they were last updated. The APYs for some products may vary by region.

Today’s top widely available 10-year CD pays 0.7 percent APY, which isn’t a very competitive rate, even in a low-rate environment, so you may be better off investing in a shorter-term that pays a higher yield. For example, you can currently lock in up to 1.15 percent APY on a 5-year CD term.

Bankrate’s guide to choosing the right CD rate

Why you can trust Bankrate

Bankrate has more than four decades of experience in financial publishing, so you know you’re getting information you can trust. Bankrate was born in 1976 as “Bank Rate Monitor,” a print publisher for the banking industry, and it has been online since 1996. Hundreds of top publications rely on Bankrate. Outlets such as The Wall Street Journal, USA Today, The New York Times, CNBC and Bloomberg depend on Bankrate as the trusted source of financial rates and information.

Methodology for Bankrate’s Best CD Rates

At Bankrate, we strive to help you make smarter financial decisions. We follow strict guidelines to ensure that our editorial content is unbiased and not influenced by advertisers. Our editorial team receives no direct compensation from advertisers and our content is thoroughly fact-checked to ensure accuracy.

Bankrate regularly surveys around 70 widely available financial institutions, made up of the biggest banks and credit unions, as well as a number of popular online banks.

To find the best CDs, our editorial team analyzes various factors, such as: annual percentage yield (APY), the minimum needed to earn that APY (or to open the CD) and whether or not it is broadly available. All of the accounts on this page are insured by the Federal Deposit Insurance Corp. (FDIC) or by the National Credit Union Share Insurance Fund (NCUSIF).

When selecting the best CD for you, consider the purpose of the money and when you’ll need access to these funds to help you avoid early withdrawal penalties.

Finding the best 10-year CD rates

Since few banks and credit unions offer 10-year CDs, finding the best rates may be challenging.

Compare offers with deposits backed by the federal government. Look closely at deals from online financial institutions.

Remember, few institutions offer certificates in this term, but you may find a better deal in your own search.

Best 10-year CD details

Vio Bank: 0.70% APY; $500 minimum deposit to open

Vio Bank is an online-only financial institution serving savers from coast to coast. Consumers in the market for a high-yield savings account or CD have access to competitive rates. CD terms range from six months to 10 years.

The bank is a new online division of MidFirst Bank, a financial institution based in Oklahoma City.

Discover Bank: 0.60% APY; $2,500 minimum deposit to open

Few well-known banks offer 10-year CDs. One exception is Discover Bank, which offers CDs across all standard terms. The bank’s 10-year CD yield is higher than the rates tied to the rest of its accounts. Still, it’s best for savers to proceed with caution before making a long-term investment in a CD.

Discover is an online bank headquartered in Greenwood, Delaware. One of its core values is to help bring financial education to students nationwide. Until August 2000, it was known as the Greenwood Trust Co., which was incorporated in 1911.

EmigrantDirect: 0.45% APY; $1,000 minimum deposit to open

EmigrantDirect is a division of Emigrant Bank. It has CDs with terms ranging from six months to 10 years. All of these CDs require a $1,000 minimum deposit.

EmigrantDirect also offers the American Dream Savings Account, which has no fees or service charges.

MySavingsDirect: 0.40% APY; $1,000 minimum deposit to open

Besides a 10-year CD, MySavingsDirect offers other CDs with terms up to five years, including a six-month CD and a 30-month CD for savers looking for a shorter term.

The bank is an online division of Emigrant Bank, a New York-based institution founded by Irish immigrants as a mutual savings bank in 1850.

Comerica Bank: 0.20% APY; $1,000 minimum deposit to open

Besides a 10-year CD, Comerica Bank also offers shorter CD terms starting at a minimum of seven days. However, you will find the highest yields on terms of five years or longer.

Comerica Bank is a Dallas-based institution that primarily serves customers in Arizona, California, Florida, Michigan and Texas.

Who does a 10-year CD work best for?

How you invest your money depends in part on your risk tolerance. A 10-year CD could be a good fit for someone who’s afraid of taking risks with money and would prefer to have a guaranteed rate of return. Anyone in that camp should ladder CDs, or pair a 10-year CD with short-term certificates of deposit.

As the CDs mature, consider rolling your savings into accounts with better rates. Use a CD ladder calculator to maximize your returns.

When is a 10-year CD a good idea?

By going with a 10-year CD, you can be certain that the money you put into your account will be returned to you with the initial principal amount, plus interest.

The Federal Reserve cut rates to their lowest level in history and says it expects to keep rates very low through 2023.

When is a 10-year CD a bad idea?

In many cases, you can earn more money with a 60-month CD than with one of the best 10-year CD rates. So leaving your funds tied up for five additional years doesn’t make sense.

Inflation is another concern. “If inflation is higher than the interest that you’re earning, you are actually losing buying power as the money sits in there for 10 years,” says Alan Dole, a wealth manager and financial planner with Equity Concepts, an investment and financial services firm in Richmond, Virginia.

Consider the opportunity cost

Don’t purchase a 10-year CD without evaluating other low-risk investment products like high-yield money market accounts. “Where else could you put that money that would earn you more?” Dole asks.

Savers could buy a 10-year CD and close the account before it matures. Just make sure the benefit of an early exit outweighs the cost of the withdrawal penalty.

Best 10-year CD rates — September 2021

Institution APY Minimum deposit
Vio Bank 0.70% $500
Discover Bank 0.60% $2,500
EmigrantDirect 0.45% $1,000
MySavingsDirect 0.40% $1,000
Comerica Bank 0.20% $1,000

Learn more about other CD terms:

Learn more about CDs:

 

Written by
Matthew Goldberg
Consumer banking reporter
Matthew Goldberg is a consumer banking reporter at Bankrate. Matthew has been in financial services for more than a decade, in banking and insurance.
Edited by
David Schepp
Wealth editor
Reviewed by
Robert R. Johnson
Professor of finance, Creighton University

You may also like