As of December 23, 2024, the highest paying nationally available CD is offered by Ponce Bank, featuring a 3-Month CD with an Annual Percentage Yield (APY) of 4.52%. This CD is accessible through the Raisin platform.
Top CD Rates Available
When seeking the best CD rates, it's important to consider both the APY and the term length, as rates often vary significantly across different durations. Here's a snapshot of some of the top nationally available CD rates:
Account Name | APY (Annual Percentage Yield) | Minimum Account Opening Balance |
---|---|---|
Ponce Bank 3 Month CD (via Raisin) | 4.52% | $1 |
Barclays 6 Month Online CD | 4.00% | $0 |
Discover 1 Year CD | 4.00% | $0 |
Sallie Mae 14 Month No-Penalty CD | 3.95% | $1 |
Understanding Your CD Options
While the Ponce Bank 3-Month CD offers the highest APY, your ideal choice may depend on your financial goals and liquidity needs. Here are some factors to consider:
- Term Length: CDs come in various terms, from a few months to several years. Shorter terms, like the 3-month option from Ponce Bank, often provide quick access to your funds, while longer terms typically lock in a rate for a longer duration, which can be beneficial if interest rates are expected to fall.
- Minimum Balance Requirements: Many CDs have a minimum deposit to open an account. As seen above, some, like the Barclays and Discover CDs, require no minimums, making them accessible to a wider range of savers, while others like Ponce Bank and Sallie Mae have a very low $1 minimum.
- Penalty vs. No-Penalty CDs: Standard CDs impose a penalty for early withdrawals. However, some, like the Sallie Mae 14-Month No-Penalty CD, allow you to withdraw funds before maturity without losing interest, offering greater flexibility.
- Access and Platforms: Some banks offer CDs directly, while others, like Ponce Bank, partner with platforms such as Raisin to expand their reach and offer their products more broadly.
Choosing the right CD involves balancing high yields with the term that best fits your financial timeline and any potential need for early access to your funds.
For more information on current CD rates and savings options, you can explore resources like Business Insider's guide to the best CD rates.