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Best 5-year CD rates for December 2025

Written by
Karen Bennett
Edited by
Rhys Subitch
Reviewed by
Allyson Johnson
Verified Badge IconExpert verified

Rates updated between Nov. 27 and Dec. 3

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A certificate of deposit allows you to stash away some cash and earn a fixed rate of interest for a set period. In exchange for handing over your money for a specified, longer term, you usually earn a higher interest rate. For example, a five-year CD can earn a higher — and guaranteed — rate than a typical savings account while still offering safety.

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Bankrate's picks for top 5-year CD rates

Note: Annual percentage yields (APYs) shown were updated between Nov. 27 and Dec. 3, 2025. 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.

America First FCU_logo

America First FCU

Rating: 5 stars out of 5
5.0 Bankrate CD score

  • Annual percentage yield

    4.15%

  • Min. deposit to open

    $500

  • Term

    5 years

Why America First FCU?

America First Credit Union was founded in 1939 in Salt Lake City. It has CDs with terms ranging from three months to five years. The minimum opening deposit for CDs is $500. It also offers a variety of checking and savings accounts.

Sallie Mae_logo

Sallie Mae

Rating: 3.9 stars out of 5
3.9 Bankrate CD score

  • Annual percentage yield

    4.00%

  • Min. deposit to open

    $2,500

  • Term

    5 years

Why Sallie Mae?

Sallie Mae Bank offers 11 CD terms, ranging from six months to five years, and many of them come with competitive yields. As a small convenience bonus, all its CDs come with an automatic renewal option. The bank also offers savings accounts, including a high-yield savings account and a money market account that come with strong yields.

Marcus by Goldman Sachs_logo

Marcus by Goldman Sachs

Rating: 4.5 stars out of 5
4.5 Bankrate CD score

  • Annual percentage yield

    3.90%

  • Min. deposit to open

    $500

  • Term

    5 years

Why Marcus by Goldman Sachs?

Marcus by Goldman Sachs offers customers access to 10 traditional CD terms, three no-penalty CDs and a 20-month rate-bump CD. All the CDs have solid yields and only require a $500 minimum opening deposit. Customers also have access to a high-yield savings account with a decent yield.

Morgan Stanley Private Bank_logo

Morgan Stanley Private Bank

Rating: 4.1 stars out of 5
4.1 Bankrate CD score

  • Annual percentage yield

    3.75%

  • Min. deposit to open

    $0

  • Term

    5 years

Why Morgan Stanley Private Bank?

The five-year CD from E*TRADE from Morgan Stanley earns a competitive yield, as do its six other CD terms that range between six months and three years. There's no set minimum deposit amount for any of the CDs, including the five-year option. The bank also offers a high-yield savings account, an interest-bearing checking account and brokerage accounts, making it an option for those who prefer to have their banking and investing accounts in one place.

Synchrony Bank_logo

Synchrony Bank

Rating: 4.5 stars out of 5
4.5 Bankrate CD score

  • Annual percentage yield

    3.75%

  • Min. deposit to open

    $0

  • Term

    5 years

Why Synchrony Bank?

Synchrony Bank offers competitive yields across nine CD terms ranging from three months to five years. It also offers a two-year bump-up CD. If you're looking for a little more liquidity, Synchrony also has a money market account and a savings account that both have a competitive APY and have no minimum balance requirement.

TAB Bank_logo

TAB Bank

Rating: 4.1 stars out of 5
4.1 Bankrate CD score

  • Annual percentage yield

    3.75%

  • Min. deposit to open

    $1,000

  • Term

    5 years

Why TAB Bank?

TAB Bank has six standard CD terms that range from one to five years, and each requires a $1,000 minimum opening deposit. Alongside CDs, the bank provides online savings accounts, money market accounts and checking options.

First National Bank of America_logo

First National Bank of America

Rating: 4.1 stars out of 5
4.1 Bankrate CD score

  • Annual percentage yield

    3.75%

  • Min. deposit to open

    $1,000

  • Term

    5 years

Why First National Bank of America?

First National Bank of America maintains just three branches, all in Michigan, but its CDs and savings account can be opened online. Its five-year CD earns a competitive yield, as do its 13 other CD terms, which range from three months to 10 years and a minimum deposit of $1,000. The bank's savings account also earns a rate that's well above the national average.

Bread Savings_logo

Bread Savings

Rating: 3.9 stars out of 5
3.9 Bankrate CD score

  • Annual percentage yield

    3.75%

  • Min. deposit to open

    $1,500

  • Term

    5 years

Why Bread Savings?

Bread Savings is an online-only bank that offers a high-yield savings account and nine CD terms, ranging from three months to five years. Each term earns a competitive yield, but you'll need at least $1,500 to open a CD.

Alliant_logo

Alliant

Rating: 4.3 stars out of 5
4.3 Bankrate CD score

  • Annual percentage yield

    3.65%

  • Min. deposit to open

    $1,000

  • Term

    5 years

Why Alliant?

Alliant Credit Union was founded in 1935 as the United Airlines Employees’ Credit Union. It is one of the largest credit unions in the nation and has 900,000 members nationwide. Alliant offers eight standard terms of CDs with competitive APYs and a reasonable minimum deposit requirement. It also offers IRA CDs, a high-yield savings account and a high-yield checking account.

Capital One_logo

Capital One

Rating: 4.4 stars out of 5
4.4 Bankrate CD score

  • Annual percentage yield

    3.60%

  • Min. deposit to open

    $0

  • Term

    5 years

Why Capital One?

Capital One has nine standard CD terms with solid yields, and requires no minimum opening deposit. Beyond CDs, Capital One also offers high-yield savings accounts and checking accounts. If you want to keep all of your banking in one place, Capital One has loans and credit cards that may fit your additional financial needs.

Discover Bank_logo

Discover Bank

Rating: 4.5 stars out of 5
4.5 Bankrate CD score

  • Annual percentage yield

    3.50%

  • Min. deposit to open

    $0

  • Term

    5 years

Why Discover Bank?

Discover Bank offers customers access to 12 standard CD terms and requires no minimum opening deposit. An IRA CD is also available, along with a savings account, money market account and cash-back checking account.

Ally_logo

Ally

Rating: 4.6 stars out of 5
4.6 Bankrate CD score

  • Annual percentage yield

    3.50%

  • Min. deposit to open

    $0

  • Term

    5 years

Why Ally?

Ally Bank is an online-only bank formerly known as GMAC Bank. Ally offers seven terms of CDs, a no-penalty CD and two terms of a Raise Your Rate CD. The Sandy, Utah-based bank also offers a savings account, an interest-bearing checking account and a money market account. Ally has 11 million customers with deposit accounts.

American Express National_logo

American Express National

Rating: 4.5 stars out of 5
4.5 Bankrate CD score

  • Annual percentage yield

    3.50%

  • Min. deposit to open

    $0

  • Term

    5 years

Why American Express National?

American Express National Bank offers nine standard CD terms with decent yields and requires no minimum opening deposit. In addition, customers can open a high-yield savings account and checking account.

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Recent news about CD rates

As of Oct. 2025, the target Federal funds range is 3.75-4%, down from 5.25-5.5% in July 2023. Yields on deposit products, including CDs, are indirectly affected by the Federal Reserve's federal funds rate. When the Fed raises or lowers that benchmark rate, many banks and credit unions tend to do the same to their yields.

As such, CD yields elevated when the Fed started hiking rates in 2022. But that's changing. Even prior to the decrease in the federal funds rate, deposit yields had already slowly been dropping a bit, though they still remain relatively high.

How to find the best 5-year CD rates

Savers looking for the best CD rates should likely start their search online. Even if a bank is relatively small or not well known, there are regulations to keep your money safe. As long as it’s a member of the Federal Deposit Insurance Corporation (FDIC), you can rest easy knowing each depositor (that’s you) is protected up to at least $250,000 per insured bank, per ownership category if there’s a bank failure. You can find out if your bank is FDIC-insured by using the BankFind Suite tool.

Credit unions are insured by the National Credit Union Administration (NCUA). The NCUA also provides a standard insurance amount of up to $250,000 per share owner (that’s you), per insured credit union and for each ownership category.

Ease of use is an important consideration, regardless of the size of the bank or credit union. Banks that make it difficult or time-consuming to deposit and withdraw funds may waste so much of your time that the benefit of a few extra basis points of interest on your savings is lost. (A basis point is equal to 0.01 percentage point, so 1% has 100 basis points.)

Best 5-year CD rates at credit unions

Don’t limit yourself to banks when looking for the best yields on CDs. You can find some highly competitive APYs at credit unions, too. You just need to make sure that you qualify to join, since some credit unions limit membership to people who live in certain regions or work at certain companies. If you do qualify for membership, you could earn a top rate. Here are some credit unions that have high APYs on their five-year CD and some information on membership eligibility:

  • America First Federal Credit Union: 4.20% APY for a five-year CD. To join America First, you must live, work, attend church, volunteer or attend school in certain western states, or be a member of certain employers or affiliated associations, among other criteria.
  • SchoolsFirst Federal Credit Union:: 4.15% APY for a five-year CD with a $500 minimum balance. SchoolsFirst serves educational communities in California, so you're eligible to join if you are a current or retired school employee of an eligible school, an immediate family member of a SchoolsFirst member, an employee of certain educational companies or a college student enrolled in an eligible education program with a student teaching requirement.
  • Security Service Federal Credit Union: 3.90% APY for a five-year CD. To join Security Service, you must live, work, attend church, attend school, volunteer or have a business in Texas, Colorado or Utah. You can also join if you're a member of the military or a Department of Defense employee.
  • The Golden 1 Credit Union: 3.80% APY for a five-year CD. To join Golden 1, you must live or work in California.

APYs are current as of Oct. 1, 2025.

When should you get a 5-year CD?

For those with a longer financial horizon and no need to access funds at a moment’s notice, a five-year CD can be a great choice. Because they earn a guaranteed rate for the whole term, five-year CDs are suitable for those who want to grow some of their savings over a half-decade, without the volatility associated with stocks or mutual funds. 

CDs typically come with penalties for early withdrawal, so they’re best for those who are confident they won’t need to access their funds in the interim. If there’s a chance you’ll need the money for unexpected expenses or opportunities, it might be wise to explore more liquid accounts such as the best high-yielding savings accounts.

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Alternatively, you could invest some money in a five-year CD and some in shorter-term CDs to build a CD ladder, ensuring that a portion of your savings will be accessible in the shorter term. A CD ladder staggers maturities and APYs, giving you the opportunity to earn a higher yield and still have access to some cash at set intervals.

While rates have started to soften slightly, they remain historically strong. The chance to secure a high, fixed return—particularly after Fed rate cuts—remains a worthwhile consideration, depending on your financial goals and liquidity needs. Savers who act today can still capture yields that may not be available in the coming months.
Bankrate logo Ben Alvarado, Executive Vice President and Director of Core Banking, California Bank & Trust

What to consider when choosing a CD

Consider these things to help you choose the right CD:

  • Early withdrawal penalties: Know what penalties may be incurred should you withdraw your money before the CD matures.
  • Minimum required deposit: Many CDs require a minimum amount of money to open.
  • APY: Annual percentage yield is the yearly interest earned if you keep your money in the CD for the full term. Compare APYs, instead of interest rates, to make an apples-to-apples comparison of CDs.
  • Term: The length of time required to earn interest on your money. Generally, it’s a good idea to choose a CD with a shorter term than when you expect to need your money. For example, if you need access to the funds in about two years, an 18-month CD may be a good choice.
  • Insurance: Make sure the CD is offered by an FDIC-insured bank or at an NCUA credit union.

Pros and cons of a 5-year CD

Pros

  • Checkmark Icon

    Saving tool — CDs don’t provide immediate access to your funds, unlike savings accounts, which could benefit those who may be tempted to otherwise spend their money. A CD can help keep your savings intact. Just be sure you won’t need the money before the CD matures. It’s also important to understand the early withdrawal penalty that you’d incur if you needed to withdraw your funds sooner.

  • Checkmark Icon

    Safety — CDs from FDIC-insured banks and NCUSIF-backed credit unions are backed by the full faith and credit of the U.S. government, up to $250,000 per depositor, per insured institution and per ownership category.

  • Checkmark Icon

    High returns — Banks sometimes provide a higher APY with a five-year CD than you could find in a traditional savings account or in a CD with a shorter maturity.

  • Checkmark Icon

    Wide selection — You can choose from thousands of banks and credit unions to find a CD with the interest rate, maturity date (term) and minimum deposit amount that fits your needs.

  • Checkmark Icon

    Fixed, predictable returns — Once you put your money in a CD, you’re guaranteed a set return at a specified date, which can help you plan your financial goals.

Cons

  • Limited liquidity — The inability to instantly access funds is a drawback for those who may need their money before the CD’s term is up. You’ll typically pay a penalty for making early withdrawals. If you think it’s likely you’ll need this money in less than five years, consider a shorter-term CD or a savings account.

  • Inflation risk — The money in your CD may lose its purchasing power over time if inflation overtakes your interest gains.

  • Low relative returns — Other investment options may offer a higher rate of return. But these investments generally involve higher risk, including the chance of losing the principal.

  • Reinvestment risk — When you park your money in a five-year CD, it’s a long wait before you can tap those funds. If interest rates rise in the meantime, you could miss out on investing in a higher-rate CD.

5-year CD FAQs

Meet the Bankrate Experts

Karen Bennett
Written by
Karen Bennett Karen Bennett Arrow Right Icon
Senior Writer, Banking
Read more from Karen
Karen Bennett is a senior consumer banking reporter at Bankrate where she uses her years of banking and personal finance experience to help inform readers about money-related decisions. She’s been a reporter at Bankrate since 2021.
Ribbon Icon
Expertise
  • Consumer banking
  • Savings accounts
Rhys Subitch
Edited by
Rhys Subitch
Editor, Personal Loans, Auto Loans, and Debt
Allyson Johnson
Reviewed by
Allyson Johnson
Head of investor relations, Gateway Partners

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 five-year CD rates, we regularly survey five-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 five-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