As of April 24, 2025, CD rates today remain attractive, especially when compared to the historical averages. While we’re seeing a gradual decline from last year’s peak levels—due to the Federal Reserve’s ongoing rate cuts—savers can still lock in solid returns, with several institutions offering annual percentage yields (APYs) north of 5%. These conditions make now a compelling time to consider opening a certificate of deposit.
Why CD Rates Are Still Worth Watching
In a shifting economic landscape where the Fed has already trimmed its benchmark rate three times since late 2024, banks and credit unions are adjusting accordingly. Although CD rates tend to follow the Fed’s lead, there is still a window of opportunity to secure high yields before further rate cuts potentially drag them lower. According to current market trends, the Fed has hinted at only two additional cuts this year, down from an earlier projection of four, giving savers a narrower window to lock in favorable rates.
Best CD Rates Today by Term
Here’s a snapshot of the highest CD rates available today, broken down by term length:
- 3-Month CD: Up to 4.72% APY, with an average of 1.3%.
- 6-Month CD: Tops out at 4.94% APY, with an average around 1.78%.
- 1-Year CD: The best rate reaches 5.02% APY, while the average sits at 1.84%.
- 2-Year CD: As high as 4.52% APY, with a 1.66% average.
- 3-Year CD: Up to 4.27% APY, averaging 1.58%.
- 5-Year CD: Best offers are around 4.26% APY, with an average of 1.59%.
For those with larger deposits, jumbo CDs—often requiring $100,000 or more—can yield rates similar to or slightly higher than standard CDs. The highest available rate on a jumbo 6-month CD today is 4.94% APY.
Top Banks Offering Competitive CD Rates
When searching for the best CD rates today, online banks often lead the pack. Thanks to their lower overhead costs, these institutions frequently offer higher APYs than traditional banks.
Here are some standout offerings:
- Marcus by Goldman Sachs is currently offering up to 4.40% APY on a 14-month CD with a low $500 minimum deposit.
- Discover Bank features rates ranging from 2.00% to 4.00% APY, depending on term length.
- Chase Bank CDs offer between 0.02% and 4.00% APY, though the higher rates typically require larger deposits or longer terms.
- Bank of America offers rates between 0.03% and 3.75% APY, generally on par with other brick-and-mortar institutions.
How to Lock In a CD at Today’s Rates
Opening a CD is relatively simple. Most banks and credit unions allow online applications, and all you need is basic identification and funding information. Once approved, your money starts earning interest immediately based on the term and rate you selected.
Here are the typical steps:
- Compare rates: Use trusted online tools to find the highest yields.
- Select your term: Match your financial goals with the right maturity length.
- Understand penalties: Early withdrawals can result in losing months—or even a year—of interest.
- Apply and fund: Most applications take just a few minutes, and funding can usually be done via ACH transfer or check.
Are CDs Still a Good Investment in 2025?
Despite falling rates, CDs remain one of the safest and most predictable ways to grow your savings. They’re especially appealing for risk-averse investors who want guaranteed returns without the volatility of stocks or cryptocurrency. Plus, with FDIC or NCUA insurance up to $250,000, your funds are protected even if the bank fails.
With rates expected to decline further throughout 2025, locking in one of the best CD rates today may be a smart financial move. Just make sure to align the term with your future liquidity needs—and always read the fine print on early withdrawal penalties.