Best CD Rates Today: Where to Find the Highest Certificate of Deposit Yields in 2026
Last updated: September 30, 2026
Certificates of deposit, commonly known as CDs, remain one of the most popular ways for savers to earn a fixed return without taking the market risk associated with stocks, bonds or other investments. In the current interest-rate environment, some of the most competitive CDs are offering yields close to 5% APY, although the exact rate depends heavily on the term, deposit amount, institution and account requirements.
As of September 30, 2026, the highest advertised CD rates vary depending on the source and the specific term being measured. Fortune reports rates as high as 5.10% APY, while Bankrate is tracking a top rate of 4.95% APY and Forbes Advisor reports a maximum of 4.94% APY. These differences illustrate why consumers should compare individual CD terms rather than relying on a single headline rate.
For savers willing to lock their money away for a predetermined period, CDs can provide something that ordinary savings accounts generally cannot: a guaranteed fixed rate for the duration of the CD.
What Is a Certificate of Deposit?
A certificate of deposit is a deposit account offered by banks and credit unions. Instead of keeping your money in an account that allows frequent withdrawals, you agree to leave a specified amount deposited for a predetermined period.
CD terms can range from just a few months to several years.
In exchange for leaving the money untouched, the financial institution generally pays a fixed interest rate. When the CD reaches its maturity date, you typically receive your original deposit plus the interest earned.
For example, suppose you deposit $10,000 into a one-year CD paying 4.50% APY. Assuming the rate remains applicable for the full term and there are no special conditions, the account would earn approximately $450 over a year.
The important distinction is that the rate is generally locked in when you open the CD, meaning subsequent changes in market interest rates usually do not change the rate on that particular certificate.
That can make CDs particularly attractive when investors want predictable returns.
Best CD Rates Today at a Glance
Current rates vary significantly depending on the term.
Bankrate’s September 30 data shows some of the following competitive rates:
| CD Term | Example of Competitive APY | Minimum Deposit |
|---|---|---|
| 3 months | 4.15% | $10,000 |
| 6 months | 4.25% | $10,000 |
| 1 year | 4.45% | $500 |
| 18 months | 4.55% | $10,000 |
| 2 years | 4.47% | $500 |
| 3 years | 4.80% | $10,000 |
| 4 years | 4.85% | $10,000 |
| 5 years | 4.95% | $10,000 |
These are examples from currently tracked offers rather than a guarantee that every consumer will qualify for the exact same rate. Banks can change APYs and terms, and some products have minimum deposit requirements.
The data also shows an important feature of today’s CD market: the highest yield is not necessarily attached to the shortest or longest term.
The Highest CD Rate Is Not Always the Best CD
Seeing a CD advertised at nearly 5% APY can be attractive, but the highest headline rate is only one part of the decision.
A CD paying 4.95% may require $10,000, while another CD paying 4.45% may require only $500.
For someone with $1,000 available to save, the second option could be accessible while the first isn’t.
Similarly, a five-year CD with a high APY may not make sense for someone who expects to need the money within 12 months.
This is why comparing CDs requires looking at several factors:
- APY
- Term length
- Minimum opening deposit
- Early withdrawal penalty
- Compounding frequency
- Renewal terms
- FDIC or NCUA insurance
- Whether the rate is promotional
- When interest is paid
- What happens when the CD matures
The best CD for one saver may therefore be completely different from the best CD for another.
Best 1-Year CD Rates
The one-year CD is one of the most popular choices because it offers a compromise between yield and flexibility.
According to Bankrate’s September 2026 data, BTG Pactual Bank offers a 4.45% APY on a one-year CD with a $500 minimum deposit. E*TRADE is listed at 4.40% with no minimum deposit, while Popular Direct offers 4.40% but requires $10,000.
The national average for one-year CDs is considerably lower, at approximately 2.10% APY, according to Bankrate’s September 30 data.
This gap demonstrates why shopping around can make a significant difference.
A saver putting $10,000 into a 2.10% APY CD would earn substantially less than the same amount placed into a competitive CD paying more than 4%.
However, the difference should always be considered alongside account requirements and early withdrawal rules.
Best 6-Month CD Rates
Six-month CDs can be attractive for people who want a relatively short commitment while still earning a competitive fixed return.
Forbes Advisor reports that the highest six-month CD rate on September 30 is 4.94% APY, while the average six-month CD APY is only around 1.65%.
Bankrate’s current tracked offers include six-month rates of approximately 4.25% at Popular Direct and 4.05% at BTG Pactual Bank.
A six-month CD may be useful when you know you will need the money relatively soon but don’t want to leave it sitting in a low-interest account.
For example, someone saving for a planned purchase six months from now could potentially use a short-term CD to earn interest while maintaining a known maturity date.
The major downside is that the money is less accessible during the six-month period.
Best 3-Year and 5-Year CD Rates
Longer-term CDs can offer higher rates, but locking money away for several years introduces additional considerations.
Bankrate currently lists Popular Direct at 4.80% APY for three years, 4.85% for four years and 4.95% for five years, although these products require a $10,000 minimum deposit. BTG Pactual Bank, meanwhile, lists 4.47% for three years and 4.50% for five years with a $500 minimum.
The advantage of a longer-term CD is rate certainty.
If market rates decline after you open the account, your CD’s fixed rate generally remains unchanged until maturity.
But the opposite can also happen.
If interest rates rise significantly after you lock your money into a five-year CD, you may find yourself earning less than what is available from newly issued CDs.
That is one of the most important risks associated with long-term certificates of deposit.
Why CD Rates Are Changing in 2026
CD rates are closely connected to the broader interest-rate environment.
The Federal Reserve raised its target federal funds rate by 0.25 percentage points on September 16, 2026, bringing the target range to 3.75%–4.00%. According to NerdWallet, this was the first Fed rate increase since July 2023.
Changes in the federal funds rate can influence the rates banks are willing to pay on deposits.
However, CD rates do not necessarily move one-for-one with the Fed’s target rate.
Banks also consider:
- Competition for deposits
- Expected future interest rates
- Demand for loans
- Their funding needs
- Economic conditions
- Inflation expectations
- The maturity of the CD
This is why two banks can offer noticeably different rates at the same time.
Why Some Banks Offer Nearly 5%
Online banks and smaller financial institutions frequently compete aggressively for deposits.
They may offer higher rates than large traditional banks because they have different operating structures and may have less extensive physical branch networks.
Bankrate’s current list illustrates the difference between competitive CD offers and national averages. Its national average APYs are approximately 2.10% for one-year CDs, 1.84% for two-year CDs, 1.72% for three-year CDs and 1.78% for five-year CDs.
Meanwhile, some individual institutions are offering rates approaching 5%.
This creates a substantial spread between the average CD and the highest competitive offers.
However, consumers should not automatically assume that a smaller bank or online bank is unsafe simply because it offers a higher rate. Instead, the important question is whether the institution is properly insured and whether the account meets the depositor’s requirements.
FDIC and NCUA Insurance Matter
Safety is one of the biggest reasons people choose CDs.
When opening a CD, consumers should check whether the bank is insured by the Federal Deposit Insurance Corporation (FDIC).
Credit unions can instead be insured by the National Credit Union Administration (NCUA).
Bankrate states that its CD listings include FDIC-insured banks and NCUA-insured credit unions.
Federal deposit insurance generally protects eligible deposits up to applicable limits, subject to ownership categories and other rules.
This is an important distinction because a CD is still a bank deposit. A high APY does not by itself guarantee the safety of the institution.
Before opening an account, consumers should verify the institution’s insurance status and understand the applicable coverage limits.
What Is APY?
When comparing CDs, you will often see the term APY, which stands for Annual Percentage Yield.
APY measures the amount of interest an account can earn over a year while taking compounding into account.
This makes APY more useful than simply comparing nominal interest rates.
For example, imagine two CDs:
CD A: 4.50% APY
CD B: 4.25% APY
If the other terms are identical, CD A generally provides the higher annual return.
But if CD A requires $10,000 and CD B requires $500, the practical decision becomes more complicated.
Always compare the complete account terms rather than looking at the APY alone.
How Much Can You Earn With a CD?
The amount you earn depends on the deposit, APY and length of the CD.
Consider a hypothetical $10,000 deposit:
At 4.00% APY
Approximately $400 of interest over one year.
At 4.50% APY
Approximately $450 of interest over one year.
At 4.95% APY
Approximately $495 of interest over one year.
These figures are simplified illustrations and actual interest calculations can vary depending on the institution’s compounding method, account terms and timing.
The important point is that even a relatively small difference in APY can become more meaningful as the balance grows.
For example, a 0.50 percentage-point difference on $50,000 represents approximately $250 of annual interest before considering compounding and taxes.
Early Withdrawal Penalties: One of the Biggest CD Risks
The biggest disadvantage of a traditional CD is reduced liquidity.
If you withdraw your money before the maturity date, the bank may impose an early withdrawal penalty.
The exact penalty varies by institution and CD term.
This means you should generally avoid putting money into a traditional CD if you know you may need access to it unexpectedly.
For example, an emergency fund usually belongs in a highly liquid savings account rather than a long-term CD.
Before opening a CD, read the early withdrawal policy carefully.
A slightly higher APY may not be worth it if the account has an unusually restrictive penalty.
What Are No-Penalty CDs?
No-penalty CDs are designed to provide some of the benefits of a traditional CD while offering greater flexibility.
NerdWallet describes a no-penalty CD as a certificate that does not charge a fee for withdrawing money before the term ends.
This flexibility can be useful for savers who want a fixed rate but are concerned that they may need access to their money.
However, no-penalty CDs can have lower rates than comparable traditional CDs.
That means consumers need to compare the value of flexibility against the additional interest offered by a conventional CD.
CD Laddering: A Strategy for Greater Flexibility
One way to reduce the liquidity problem associated with CDs is a strategy known as a CD ladder.
Instead of placing all your money into one CD, you divide it across multiple certificates with different maturity dates.
For example, suppose you have $20,000.
You could potentially divide it into four $5,000 CDs:
- $5,000 in a 3-month CD
- $5,000 in a 6-month CD
- $5,000 in a 9-month CD
- $5,000 in a 12-month CD
As each CD matures, you could use the money or reinvest it into another CD.
The exact structure can vary depending on your goals.
A CD ladder can provide more frequent access to your savings while allowing part of the money to continue earning a fixed rate.
It can also reduce the risk of locking your entire balance into a single interest-rate environment.
CD vs. High-Yield Savings Account
CDs are not automatically better than high-yield savings accounts.
The two products serve different purposes.
A high-yield savings account generally provides easier access to your money, but its interest rate is usually variable.
A CD typically locks in the interest rate for a specified period, but accessing the money early can result in a penalty.
This creates a basic trade-off:
| Feature | CD | High-Yield Savings |
|---|---|---|
| Fixed rate | Usually yes | Usually no |
| Easy withdrawals | No | Generally yes |
| Early withdrawal penalty | Often | Usually no |
| Rate can change | Generally no during term | Yes |
| Best for | Planned savings | Flexible savings |
| Maturity date | Yes | No |
The choice depends largely on whether the saver values rate certainty or liquidity.
CD vs. Money Market Account
Money market accounts can provide another alternative.
Like savings accounts, money market accounts generally allow more flexibility than traditional CDs.
However, their rates can change.
A CD, by contrast, normally locks in the rate for the agreed term.
Someone saving for a known future expense may prefer the predictability of a CD, while someone who expects to need access to their money may prioritize liquidity.
CD vs. Investing in Stocks
CDs and stocks have fundamentally different risk profiles.
A CD offers a predetermined rate of return, subject to the institution’s terms and applicable deposit insurance.
Stocks can potentially produce substantially higher long-term returns, but their prices can also fall significantly.
For money that needs to be available at a specific date, a CD can provide greater predictability.
For long-term wealth-building, investors may consider a broader range of investments depending on their objectives, risk tolerance and time horizon.
A CD should therefore not necessarily be viewed as a replacement for investing.
What Should You Look for When Comparing CD Rates?
Before opening a CD, consider the following checklist.
1. APY
Start by comparing the annual percentage yield.
A higher APY generally means more interest, assuming the other conditions are equal.
2. Term
Make sure the maturity date fits your financial plans.
A five-year CD isn’t necessarily appropriate for money you expect to need next year.
3. Minimum Deposit
Some CDs can be opened with relatively small amounts, while others require thousands of dollars.
For example, Bankrate currently lists BTG Pactual’s one-year CD with a $500 minimum and Popular Direct’s one-year CD with a $10,000 minimum.
4. Early Withdrawal Penalty
Read the penalty carefully.
This can make a major difference if you unexpectedly need the money.
5. Insurance
Verify that the financial institution is appropriately insured by the FDIC or NCUA.
6. Automatic Renewal
Some CDs automatically renew when they mature.
Make sure you understand what happens if you don’t withdraw your funds during the maturity window.
7. Interest Payments
Check whether interest is paid monthly, annually, at maturity or according to another schedule.
8. Promotional Conditions
Some advertised rates may be available only under specific conditions.
Always read the account’s current terms before opening it.
Are CD Rates Expected to Stay High?
The future direction of CD rates is uncertain.
The September 2026 Federal Reserve rate increase has already influenced the broader deposit-rate environment, but future CD rates will depend on monetary policy, inflation, economic growth and competition between financial institutions.
NerdWallet reported that high-yield rates had risen during July and August 2026 and noted that the September Fed hike represented a change from the previous rate environment.
This makes the timing decision more complicated.
If rates rise after you open a fixed-rate CD, you could miss out on higher future yields.
If rates fall, however, your existing CD could continue paying its original fixed rate until maturity.
That is one of the central advantages of locking in a competitive CD rate.
Should You Lock In a CD at Around 5%?
There is no universal answer.
A nearly 5% APY can look attractive compared with the current national averages, but the right decision depends on the specific circumstances of the saver.
For someone who has money they know they won’t need for several months or years, a competitive CD could provide predictable interest.
For someone who needs emergency savings or expects to make a major purchase soon, locking the money away could create unnecessary restrictions.
The decision should therefore consider both the rate and the purpose of the money.
Final Thoughts on the Best CD Rates Today
The CD market in September 2026 offers some unusually competitive opportunities for savers who are willing to lock their money away.
Current data shows top CD rates ranging from roughly the mid-4% range to around 5% APY, depending on the institution and term. Bankrate currently tracks a top rate of 4.95%, Forbes Advisor reports up to 4.94%, while Fortune’s September 30 roundup reports offers reaching 5.10%.
At the same time, national average CD rates are considerably lower. Bankrate’s latest averages are approximately 2.10% for one-year CDs and 1.78% for five-year CDs.
That difference highlights the importance of shopping around.
However, the highest APY isn’t automatically the right choice. Savers should compare the rate, term, minimum deposit, withdrawal penalty, insurance coverage and maturity conditions before committing their money.
For people who prioritize predictable returns and don’t need immediate access to their savings, a competitive CD can be an effective way to earn interest while avoiding the day-to-day price fluctuations associated with market investments.
Rates change frequently, so consumers should verify the current APY and all account terms directly with the financial institution before opening a CD.
This article is for informational purposes only and does not constitute personalized financial, investment or tax advice. CD rates and account terms can change, and eligibility may vary by institution and customer.