Best CD Rates of September 2023 (Up to 7.19% APY)

Our experts answer readers' banking questions and write unbiased product reviews (here's how we assess banking products). In some cases, we receive a commission from our partners; however, our opinions are our own. Terms apply to offers listed on this page.

We check rates daily to find the best rates for a variety of CD terms. We've also included picks for people who want a no-penalty CD, a unique term length, or a CD with no minimum deposit.

The Best CD Rates

Top CD Rates by Term

Many of the best CD rates are offered by credit unions right now. But don't worry — anyone is eligible to join these credit unions and open CDs.

• No Penalty CD: 5.30% APY. Start saving with Ponce Bank, Powered by Raisin.
• 3 Month: 5.65% APY. Start saving with Dow Credit Union.
• 6 Month: 5.56% APY. Start saving with TotalDirectBank.
• 1 Year: 5.65% APY. Start saving with TotalDirectBank.
• 18 Month: 5.35% APY. Start saving with Limelight Bank.
• 2 Year: 5.27% APY. Start saving with Pelican State Credit Union.
• 3 Year: 5.13% APY. Start saving with US Senate Federal Credit Union.
• 4 Year: 4.85% APY. Start saving with GTE Financial Credit Union.
• 5 Year: 4.67% APY. Start saving with Department of Commerce Federal Credit Union.

Market Leader

Alpena Alcona Area Credit Union (7-month term) paying 7.19% APY

To open a CD at Alpena Alcona Area Credit Union, you must qualify for membership. Generally, you must live, work, own property, go to school, or worship in any county in Michigan; work at the credit union; or have an immediate family member who is an existing member. The CD also permits a maximum deposit of $7,000. Learn more.

Our top picks for CDs are protected by federal insurance. Although three financial institutions were shut down in 2023, keep in mind money is safe at a federally insured financial institution. When a financial institution is FDIC- or NCUA-insured, up to $250,000 per depositor is secure in a bank account.

Compare the Best CD Rates

About the Best CD Issuers

Alpena Alcona Area Credit Union 7-Month CD

The Alpena Alcona Area Credit Union 7-Month CD has the highest CD rate available out of all terms. You can earn 7.19% APY on a 7-month CD if you qualify for membership at the credit union.

To become a member, you must 1) live, work, own property, go to school, or worship in any county in Michigan, 2) work at the credit union, or 3) have an immediate family member who is an existing member. 

 This promotional CD has specific opening requirements: Your deposit cannot exceed $7,000, and there is a limit of one CD special per member.

Term options: Alpena Alcona Area Credit Union also has terms ranging from 90 days to 5 years. 

Penalties: You'll have to contact your nearest branch to learn more information about early withdrawal penalties. The penalty may depend on the amount withdrawn.

Dow Credit Union Simple CD 

The Dow Credit Union Simple CD is a solid choice if you prioritize banking with a credit union. The credit union has a low $500 minimum opening deposit. The 3-month and 6-month Simple CDs — the credit union's CD specials — are the most competitive rates available at Dow Credit Union.

Credit unions require membership to open an account. The easiest way to become a member of Dow Credit Union is to make a $10 donation to the Midland Area Community Foundation. The credit union also has other ways to join like if you are part of a Select Employer Group or have a family member who is a current credit union member.

Term options: Simple CD terms range from 3 months to 3 years. The bank also offers traditional and bump-up CDs.

Penalties: Dow Credit Union charges standard penalties for early withdrawals of your principal balance, as follows:

• 45 days of interest for a 3-month term
• 90 days of interest for a 6-month term

For information on additional penalties, call a Dow Credit Union branch.

TotalDirectBank CD

TotalDirectBank CD may be appealing if you're searching for a 1-year term that's available nationwide. 

TotalDirectBank CDs have a steep minimum opening deposit of $25,000 and a maximum deposit of $1 million. TotalDirectBank is the online-only division of City National Bank of Florida. The online institution also doesn't operate in Florida, Somoa, Guam, the Northern Mariana Islands, or the US Virgin Islands.

Term options: TotalDirectBank has terms ranging from 3 months to 5 years.

Penalties: The following early withdrawal penalties may apply to TotalDirectBank CDs:

• 30 days of interest for terms between 30 days and up to 6 months
• 90 days of interest for terms above 6 months and up to one year
• 180 days of interest for terms over 1 year

Limelight Bank CD

The Limelight Bank Online CD pays a high interest rate on its 18-month term. Limelight Bank, an online division of CCBank, is also included in our best 1-year CD rates guide.

Limelight Bank doesn't have CD terms above 3 years. If you want a longer term or you're also interested in opening other types of bank accounts, you might consider another financial institution. Limelight Bank only offers CDs.

Term options: Limelight Bank has terms ranging from 6 months to 3 years.

Penalties: Limelight Bank charges the following early withdrawal penalties: 

• 90 days of interest for 6-month, 1-year, and 18-month terms
• 180 days of interest on a 36-month term

Pelican State Credit Union Share Certificate

Pelican State Credit Union Share Certificates have a low $500 minimum opening deposit. Pelican State Credit Union, a financial institution based in Louisiana, offers a great interest rate for a 2-year term. 

You must qualify for membership to open a Pelican State Credit Union share certificate. The easiest way to join is to become a member of ARC Baton Rouge ($5 membership fee), the Parents Association of Northwest Support and Services ($5 membership fee), or the Pinecrest Parents Association ($20 membership fee).

Term options: Terms range from 6 months to 5 years.

Penalties: At Pelican State Credit Union, the early withdrawal penalty is as follows:

• 180 days of interest for terms of one year or less
• 270 days of interest for terms between 13 months to 36 months
• 365 days of interest for terms between 37 months

US Senate Federal Credit Union Smart Share Certificate

The US Senate Federal Credit Union Share Certificate is a great choice for a high interest rate on a 3-year share certificate.

You must become a member to open a bank account at US Senate Federal Credit Union. To join, you may work for a Select Employee Group, have a family member that's a current member, or become a member of the U.S. Capital Historical Society or the American Consumer Council (you can join these organizations from anywhere in the US).

Term options: Terms range from 3 months to 5 years.

Penalties: At US Senate Federal Credit Union, the early withdrawal penalties are as follows:

• 90 days of interest for terms of 1 year or less
• 120 days of interest for terms greater than 2 years and up to 3 years
• 360 days of interest for terms greater than 3 years

GTE Financial Credit Union Share Certificate

The GTE Financial Credit Union Share Certificate may be worthwhile if you're looking for a 4-year share certificate. You also might like GTE Financial if you want to open a CD with standard-to-low early withdrawal penalties.

You must become a member to get a share certificate. The easiest way to become a member is by joining CUSavers with a $5 contribution.

Term options: Terms range from 6 months to 5 years.

Penalties: Here are the early withdrawal penalties for GTE Financial Credit Union Share Certificates:

• 90 days of interest on terms of 1 year or less
• 180 days of interest on terms greater than 1 year

Department of Commerce Federal Credit Union Share CD

Department of Commerce Federal Credit Union Share CDs may be worthwhile if you're looking for a 5-year term.

The easiest way to become a member from around the US is to join the American Consumer Council. You may also be eligible for membership if you live in Washington, DC, or work at the US Department of Commerce, the White House Management and Administration Office, or the Executive Office of the President. 

Term options: Terms range from 6 months to 7 years.

Penalties: Here are the early withdrawal penalties at the Department of Commerce Federal Credit Union:

• 90 days of interest for terms between 6 months and 11 months
• 180 days of interest for terms between 12 months and 84 months

Ponce Bank 4-Month No Penalty CD

The 4-month Ponce Bank No Penalty CD has the highest no-penalty CD rate at Raisin. Raisin also may be appealing if you'd like to open a CD with a low minimum opening deposit. You only need $1 to get started.

Raisin doesn't have physical locations. It also won't be the best choice if you want to do all your banking at one institution because you can't open checking accounts.

Term options: Raisin is partnered with over 30 banks and credit unions, so it has multiple terms for both no-penalty and regular CDs.

Penalties: This account doesn't have any early withdrawal penalties.

CD FAQs

Best CD Rates by Term

Below, you'll find our picks for the best CD rates right now. There's no CD that will work for everyone, but we combed through offerings at around a dozen national banks to find the strongest options available right now.

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 No-Penalty CD Rates

Best Rates for No Opening Deposit

Best Rates for Other CD Terms

CD Rates at the Largest US Banks

Alternative CD Options

We looked at the following CDs as well. While these ultimately weren't selected as our top picks, you might find some of these options appealing depending on your preferences.

• Sallie Mae: Sallie Mae CD rates recently dropped. Now Sallie Mae's 12-month and 18-month terms are lower than our top picks.
• Rising Bank: Rising Bank offers good interest rates on CD terms of three years or less, but our top picks have higher rates right now. 
• First Internet Bank of Indiana: First Internet Bank of Indiana has several CDs with high rates, but they're just short of those on our list.
• Quorum Federal Credit Union: Quorum Federal Credit Union has a strong 3-year term account, but its rate is lower than our top picks. 
• Crescent Bank: Crescent Bank has online CDs with great rates, but they're not as competitive as any of those mentioned on our list.
• Popular Direct: Popular Direct has a great 1-year CD, but its rate still isn't as high as those with our top picks. 
• Bread Savings CDs: Bread Savings has great CD rates – some above 5% APY. However, its CD rates are just short of the rates on our list. 
• Delta Community Credit Union CDs: Delta Community Credit Union has a high rate on a 2-year term, but our top picks pay even higher rates right now. 
• America First Credit Union: America First Credit Union pays great interest rates on short-term CDs, but its just top rates are just a bit lower than our top picks. 
• CIT Bank: CIT Bank has a great interest rate on a 6-month term, but it's just short of the top rates we've included.
• Alliant Credit Union: Alliant Credit Union has high interest rates, but our top picks offer even more competitive rates.
• Bask Bank: Bask Bank has great interest rates for short-term CDs, but there are banks with even higher rates right now. 
• Bank5 Connect: Bank5 has a 6-month CD with a high interest rate, but our top choices offer higher rates. The bank's other CD rates also aren't as competitive as other financial institutions. 
• American Express National Bank (Member FDIC): American Express lets you open a CD with $0, but its rates aren't as high as those from other national brands included in our list. 
• Vio Bank CD: Vio Bank has good CD rates for terms between 6 months and 120 months, but our top picks have even more competitive rates right now.
• CFG Bank CD: CFG pays good rates on 1-year, 18-month, 3-year, and 5-year terms, but they're not quite as high as those on our list.
• Consumers Credit Union CD: Consumers pays some solid rates, and it's a good choice if you're looking for a 10-month term.
• Salem Five Direct High-Yield CD: Salem Five Direct has competitive interest rates on short-term CDs, but they aren't quite as high as what you'll earn with our top picks.
• Chase CD: Chase offers solid interest rates on a 3-month and 12-month term if you qualify for relationship rates by having a Chase checking account. If you don't qualify for a relationship rate, other financial institutions will likely offer much more competitive CD rates.
• Marcus No-Penalty CD: Marcus pays a high rate on its 13-month no-penalty CD, but our top picks offer higher interest rates.
• TIAA Bank Basic CD: TIAA pays a relatively high 3-month CD rate, but you can earn better rates elsewhere.
• Air Force Federal Credit Union Certificate Account: Air Force Federal Credit Union has a variety of CDs, but its rates have recently dropped and are lower than our top picks.
• Pentagon Federal Credit Union Money Market Certificate: PenFed offers solid interest rates on CDs, but our top picks have even more competitive CD rates right now.
• Pure Point Financial CD: Pure Point's rates are solid, but its $10,000 minimum deposit could be a major drawback for more modest savers.
• USAA Bank CD: USAA Bank offers a wide range of CD options for military members and families, but rates are mediocre and you'll need at least $1,000 to open an account.
• NBKC CD: NBKC pays good rates. But unlike most CDs, NBKC CDs pay variable rates, so rates can go up or down after you've opened the account.
• Bethpage Federal Credit Union Certificates: Bethpage CDs have a low minimum opening deposit but our top picks offer more competitive interest rates.
• Charles Schwab Bank CD: Charles Schwab has brokered CDs, meaning Charles Schwab doesn't actually own the CD. Instead, Charles Schwab acts as the middleman for you and the bank that owns the CD. Depending on how you bank, you may prefer open a CD directly with the financial institution.

Why You Should Trust Us: Experts' Advice on Choosing the Best CD

We consulted banking and financial planning experts to inform these picks and provide their advice on finding the best high-yield savings accounts to use for your money. You can read their insights at the bottom of this post.

Insider

Here's what they had to say about CDs. (Some text may be lightly edited for clarity.)

What makes a CD good or not good?

Mykail James, MBA, certified financial education instructor, BoujieBudgets.com:

"You always want to look at how much money you need to start up. And then if you can continuously add money in. Also, check not just what the interest rate is, but how often they pay out interest, whether it's monthly or quarterly."

How should someone choose a CD term length?

Roger Ma, certified financial planner with lifelaidout® and author of "Work Your Money, Not Your Life":

"I would think about when you need the money and then compare that with what the prevailing CD rates are, and then what makes sense from a financial perspective, but also from your own personal timing perspective."

Mykail James, CFEI:

"I believe in having a plan for whatever the funds are. If it's supposed to be a house fund, and you want to wait for another two years to buy a house, that's what you should be thinking of when you want to have this money."

How should someone decide whether to put their money in a high-yield savings account, money market account, or CD?

Tania Brown, certified financial planner at SaverLife:

"So I guess we'll start off with how much money you want to put in and the level of transactions you want to have. If you want to have any transactions, that automatically takes out CDs. Then you're stuck between the high-yield savings and the money market account."

Sophia Acevedo, certified educator in personal finance, banking reporter, Personal Finance Insider:

"Generally, I think a high-yield savings account or money market account could be good options for an emergency fund or short-term savings goals. A high-yield savings account offers a higher interest rate than traditional savings accounts at brick-and-mortar banks. Meanwhile, money market accounts might be worth considering if you want more account accessibility — several offer paper checks, ATM cards, or debit cards. CDs could be worthwhile if you don't need access to some of your money, since they have a fixed interest rate for a specific term."

Methodology: How we Chose the Best CDs 

Personal Finance Insider's mission is to help smart people make the best decisions with their money. We understand that "best" is often subjective, so in addition to highlighting the clear benefits of a financial product or account — a high Annual Percentage Yield (APY), for example — we outline the limitations, too. We spent hours comparing and contrasting the features and fine print of various products so you don't have to.

We reviewed CD offerings from around a dozen national banks using our CD rates methodology. All banks included on our list are insured by the FDIC and do not impose monthly maintenance fees on CDs.

In the event two banks offered the same APY on a CD product, we considered minimum deposit requirements and penalties for early withdrawals.

Sophia Acevedo, CEPF

Banking Reporter

Sophia Acevedo is a banking reporter at Insider. She covers bank reviews, banking guides, and banking and savings articles for Personal Finance Insider. She is also a Certified Educator in Personal Finance (CEPF). Sophia joined Insider in July 2021 and is an alumna of California State University Fullerton where she studied journalism and minored in political science. She is based in Los Angeles.  You can reach out to her on Twitter at @sophieacvdo or email sacevedo@insider.com. Read more about how Personal Finance Insider chooses, rates, and covers financial products and services >> Below are links to some of her most popular stories:

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Evelyn He

Compliance Associate

Evelyn He is a compliance associate at Insider who supports the Personal Finance Insider team. Personal Finance Insider is Insider's personal finance section that incorporates affiliate and commerce partnerships into the news, insights, and advice about money that Insider readers already know and love. The compliance team's mission is to provide readers with stories that are fact-checked and current, so they can make informed financial decisions. The team also works to minimize risk for partners by making sure language is clear, precise, and fully compliant with regulatory and partner marketing guidelines that align with the editorial team. Before joining Insider, she served in various legal and compliance roles in different industries, including the legal and pharmaceutical industries.    Evelyn obtained her M.S. degree in Marketing at Boston University in 2022. Prior to combining and consolidating her knowledge of law and business, she spent one year finishing 1L courses at Suffolk University Law School to further her legal knowledge. She has also completed MBA business law courses while working on her Bachelor of Business Administration in Management at the University of Massachusetts, Amherst.  Outside of work, she enjoys spending time with her 14-year-old Shih Tzu named Money, and her 5-year-old Bichon named Tibber.

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