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Top CD rates today: March 12, 2024 | Earn yields of up to 5.50% APY

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Key takeaways

  • The current leading CD rate across terms is 5.50% APY offered on a three-month term.
  • The most competitive APYs are often found at online-only banks.
  • Highest CD rates are at least triple the national averages.

A certificate of deposit (CD) is a bank account that earns a fixed rate of return in exchange for locking in your funds for the entire term. CD terms often range from three months to five years, although it’s possible to find ones with terms shorter or longer than that. A CD can be a good place to stash money for savings goals, such as a down payment on a house or a new car. When choosing the best CD term, consider when you’ll need access to the money.

As of late, the highest APY across CD terms is 5.5 percent, which is offered on a three-month CD from America First Credit Union. A minimum deposit of $500 is required. You’ll find that many shorter terms are earning higher yields than longer ones in our current rate environment.

Bankrate monitors the top and average rates every weekday, and you’ll find today’s top CD rates in the table below.

Today's top CD rates by term

CD term Institution offering top APY Highest APY National average APY Estimated earnings on $5,000 with top APY
3-month America First Credit Union 5.50% 1.26% $67
6-month America First Credit Union 5.30% 1.64% $131
9-month America First Credit Union 5.30% N/A $197
1-year Alliant Credit Union 5.40% 1.73% $270
18-month First Internet Bank of Indiana 5.04% 1.77% $383
2-year First Internet Bank of Indiana 4.82% 1.52% $494
3-year First Internet Bank of Indiana 4.66% 1.41% $732
4-year First Internet Bank of Indiana 4.50% 1.47% $963
5-year SchoolsFirst Federal Credit Union 4.60% 1.43% $1,261

Note: Annual percentage yields (APYs) shown are as of Mar. 12, 2024. APYs for some products may vary by region.

N/A: Not available; Bankrate doesn’t track national averages for the 9-month CD term due to limited available data. Estimated earnings are based on the highest APYs and assume interest is compounded annually.

 

What to look for in a CD

In addition to a CD’s APY, look for a CD that has a minimum deposit requirement with which you’re comfortable. Depending on the bank, you may be required to deposit between $0 and $10,000 or more. Another factor to consider is the amount you’d be charged for an early withdrawal. While you should only commit funds to a CD that you can afford to part with until the CD matures, it’s still helpful to be familiar with the terms of its early withdrawal penalty.

CD interest rates from 2022 to 2024

National average CD yields rose steadily in 2023, as the Federal Reserve continued to hike interest rates at the fastest pace since the 1980s. In all, Fed officials increased rates 11 times between 2022 and 2023, bringing the federal funds rate to its current target range of 5.25-5.5 percent. Along with these rate hikes, average CD APYs rose to the highest they’d been in many years, with APYs on some competitive CDs climbing as high as 7 percent.

This year is expected to be a banner one for CD savers. Greg McBride, CFA, Bankrate’s chief financial analyst, predicts two Fed rate cuts in 2024, yet he says CD yields will continue to top inflation. “Savers have another good year in which their returns will shine, with inflation expected to decline further,” he says.

McBride also stresses the importance of shopping around for the highest APY. “Top-yielding offers are still going to deliver a notable advantage [over lower-yielding ones],” he adds.

 

CD FAQs

Methodology

Bankrate calculates and reports the national average APYs for various CD terms. Factored into national average rates are the competitive APYs commonly offered by online banks, along with the very low rates often found at large brick-and-mortar banks.

In June 2023, Bankrate updated its methodology that determines the national average CD rates. For the process, more than 500 banks and credit unions are now surveyed each week to generate the national averages. Among these institutions are those that are broadly available and offer high yields, as well as some of the nation’s largest banks.