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Best 2-year CD rates for July 2025

Written by
Matthew Goldberg
Edited by
Marc Wojno, MBA
Reviewed by
Robert R. Johnson
Verified Badge IconExpert verified

Rates updated between July 10 and July 16

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A two-year certificate of deposit (CD) can be a useful financial tool for those looking to secure a higher interest rate on their savings without committing to locking up their money long term. It may also pay a higher rate of return than a high-yield savings account.

Current 2-year CD trends

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Bankrate Partner average
3.79% APY
National average
1.78% APY
Info Icon
CD rates remain high, but are projected to move lower.
The Fed is predicted to continue cutting rates in 2025. Read more from Bankrate's experts in our CD rates forecast.
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Table of contents

Bankrate's picks for the top 2-year CD rates

Note: Annual percentage yields (APYs) shown were updated between July 10 and July 16. Bankrate's editorial team validates this information regularly, typically biweekly. APYs may have changed since they were last updated and may vary by region for some products. Bankrate includes only FDIC banks or NCUA credit unions in its listings.

Morgan Stanley Private Bank_logo

Morgan Stanley Private Bank

Rating: 4.3 stars out of 5
4.3 Bankrate CD score

  • Annual percentage yield

    4.10%

  • Min. deposit to open

    $0

Why Morgan Stanley Private Bank?

In addition to offering a competitive APY on its two-year CD, Morgan Stanley Private Bank offers strong yields on a wide range of CDs from six months to five years. Plus, there is no minimum deposit requirement to open the certificate, which makes these CDs accessible to most savers.

Sallie Mae Bank_logo

Sallie Mae Bank

Rating: 3.9 stars out of 5
3.9 Bankrate CD score

  • Annual percentage yield

    4.10%

  • Min. deposit to open

    $2,500

Why Sallie Mae Bank?

Sallie Mae Bank offers 11 terms of CDs, many with competitive yields, especially on the shorter terms. The minimum deposit of $2,500 is a little on the higher side, compared to some other banks on this list, but less than what you’ll find at other banks.

Popular Direct_logo

Popular Direct

Rating: 4 stars out of 5
4.0 Bankrate CD score

  • Annual percentage yield

    4.10%

  • Min. deposit to open

    $10,000

Why Popular Direct?

Popular Direct CDs are for established savers, since the CDs have a $10,000 minimum deposit requirement. But if you can afford the minimum deposit, you’ll be rewarded with a high rate for its two-year CD. In total, Popular Direct offers eight fixed term CDs, ranging from three months to five years.

Connexus Credit Union_logo

Connexus Credit Union

Rating: 3.3 stars out of 5
3.3 Bankrate CD score

  • Annual percentage yield

    4.06%

  • Min. deposit to open

    $5,000

Why Connexus Credit Union?

Connexus Credit Union offers five share certificates (the credit union term for certificates of deposit) in standard terms from one to five years. The yield on its two-year CD is strong, while yields on the other terms are middling to low. And the minimum deposit is a bit steep at $5,000. Still, unlike at many credit unions that restrict membership, anyone is welcome to join Connexus through a one-time $5 donation.

CIBC Bank USA_logo

CIBC Bank USA

Rating: 4.6 stars out of 5
4.6 Bankrate CD score

  • Annual percentage yield

    4.01%

  • Min. deposit to open

    $1,000

Why CIBC Bank USA?

CIBC Bank USA offers seven online CDs called Agility CDs, with highly competitive rates on the two-year CD and shorter-term CDs of around a year or less. The minimum deposit is $1,000, which is fairly standard. But CIBC stands out for its forgiving early withdrawal penalty. If you withdraw funds from a CIBC CD early, you’ll only pay a penalty of 30 days worth of interest.

M.Y. Safra Bank_logo

M.Y. Safra Bank

Rating: 4.4 stars out of 5
4.4 Bankrate CD score

  • Annual percentage yield

    4.00%

  • Min. deposit to open

    $500

Why M.Y. Safra Bank?

M.Y. Safra Direct, the online division of M.Y. Safra Bank, offers stellar rates on some of its online CDs, including its two-year CD. You’ll find a wide range of terms here if you’re looking to open a CD ladder: from three months to five years. Plus, the bank offers a great rate on a 13-month no-penalty CD.

Bask Bank_logo

Bask Bank

Rating: 4.5 stars out of 5
4.5 Bankrate CD score

  • Annual percentage yield

    4.00%

  • Min. deposit to open

    $1,000

Why Bask Bank?

Bask Bank offers six CD terms ranging from three months to two years and many of the CDs offer competitive APYs. The bank also offers a savings account with one of the best APYs and another savings account that earns American Airlines miles. Bask Bank has been around since 2020 and is a division of Texas Capital Bank.

TAB Bank_logo

TAB Bank

Rating: 4.1 stars out of 5
4.1 Bankrate CD score

  • Annual percentage yield

    4.00%

  • Min. deposit to open

    $1,000

Why TAB Bank?

Transportation Alliance Bank (TAB Bank) offers six terms of CDs and a lot of them earn competitive rates. Those CD terms range from one to five years. You’ll need at least $1,000 to open one of these CDs. In addition to these CDs, TAB Bank also offers an interest-bearing checking account and a high-yield savings account.

Bread Savings_logo

Bread Savings

Rating: 3.8 stars out of 5
3.8 Bankrate CD score

  • Annual percentage yield

    4.00%

  • Min. deposit to open

    $1,500

Why Bread Savings?

Bread Savings, formerly Comenity Direct, is an online bank that offers high-yield savings products and nine terms of CDs ranging from three months to five years. All of the terms have decent to competitive APYs.

The Federal Savings Bank_logo

The Federal Savings Bank

Rating: 3.7 stars out of 5
3.7 Bankrate CD score

  • Annual percentage yield

    4.00%

  • Min. deposit to open

    $5,000

Why The Federal Savings Bank?

The Federal Savings Bank offers six CD terms ranging from one to five years, all with strong APYs. The APYs are valid only on new money deposited into the bank or on any CD renewals. But take note that the early withdrawal penalties are steep: You'll lose 365 days worth of interest on an early withdrawal from a two-year CD. And at maturity, you can receive your money from the bank via a check. The bank doesn't offer wires or automated clearinghouse (ACH) transfers for cashing out a CD.

What is a 2-year CD?

A two-year certificate of deposit is an account that you lock your money away in for two years, promising to not withdraw it until the term is up in exchange for a fixed annual percentage yield (APY). That APY is also maybe going to be higher than what you’d find on a savings account, even the highest-yielding savings accounts.

At the end of the term, you can renew the CD or shop around for another one, potentially with a higher yield, if the interest rate environment has improved. After a CD’s maturity date, it likely will renew automatically after a grace period, typically within seven to 10 days. Most CDs charge an early withdrawal penalty if you need access to the funds before the maturity date.

The best two-year CD rates pay far more than the national average of 1.78 percent APY, according to Bankrate’s national index survey of banks and thrifts on July 17, 2025. Use Bankrate’s CD calculator to see how much interest you could earn with one of the top two-year CDs listed on this page.

If you’re looking to generate income without risking the principal or have a specific cash need a couple of years down the road, the prospect of locking in a two-year CD return that should comfortably outpace inflation for those two years is pretty compelling.
Bankrate logo Greg McBride, CFA, Bankrate chief financial analyst

McBride stresses the importance of being sure you can part with the principal for two full years before locking the funds into a two-year CD. “If not, yields on shorter maturities are actually higher than what you’d get on a two-year CD. If you need to cash in that two-year CD early, you could give back six months’ worth of interest, which sets you even further behind where you would’ve been had you gone with a shorter maturity.”

Coming into 2025, there was a high expectation of further Fed rate cuts. As it stands today, it is hard to know when or if the Fed will cut amidst the trade and inflationary uncertainty, which puts savers in a position of strength. The real return on savings products, or the difference between the yield and inflation, is as high as it's been in years. Those who haven't put their money to work still have an opportunity to lock-in high rates now.
Bankrate logo Stephen Kates, CFP, Financial Analyst | Bankrate

2-year CD FAQs

Research methodology

Bankrate researches over 100 banks and credit unions, including some of the largest financial institutions, online-only banks, regional banks and credit unions with both open and restrictive membership policies.

To find the best two-year CD rates, we regularly survey two-year CD offerings from the banks and credit unions that continually offer the most competitive rates.

The banks and credit unions on this page are selected based on their current APY for a two-year CD and their minimum deposit requirements. Only banks and credit unions with broadly available CDs made the list. Learn more about how we choose the best banking products and our methodology for reviewing banks.

Clock and dollar bills representing a Certificate of Deposit, with the title Best CD Rates