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Secure Your Savings with a High-Yield Certificate of Deposit

If you’re looking for a safe and reliable way to grow your savings, a high-yield certificate of deposit (CD) could be the perfect option. CDs offer a fixed interest rate, typically higher than traditional savings accounts, in exchange for keeping your money locked in the account for a set period.

Top CD Rates for January 2025

We’ve reviewed over 300 data points to bring you the best CD rates available today. Here are our top picks for 6-month, 1-year, and 18-month terms:

6-Month CDs

• Ally Bank: 4.10% APY, no minimum opening deposit
• Barclays: 4.00% APY, no minimum opening deposit
• Marcus by Goldman Sachs: 4.10% APY, $500 minimum opening deposit
• Synchrony Bank: 3.70% APY, no minimum opening deposit
• America First Credit Union: 4.50% APY, $500 minimum opening deposit

1-Year CDs

• Ally Bank: 3.90% APY, no minimum opening deposit
• Marcus by Goldman Sachs: 4.25% APY, $500 minimum opening deposit
• Synchrony Bank: 4.00% APY, no minimum opening deposit
• America First Credit Union: 4.45% APY, $500 minimum opening deposit
• Bask Bank: 4.25% APY, $1,000 minimum opening deposit

18-Month CDs

• Ally Bank: 3.80% APY, no minimum opening deposit
• Barclays: 3.25% APY, no minimum opening deposit
• Synchrony Bank: 3.80% APY, no minimum opening deposit
• Marcus by Goldman Sachs: 3.90% APY, $500 minimum opening deposit
• America First Credit Union: 4.10% APY, $500 minimum opening deposit

How CDs Work

CDs are time deposits offered by banks and credit unions with fixed interest rates and maturity dates. They tend to offer higher interest rates than traditional savings accounts, but you’ll need to keep your money locked in the account for the specified term to avoid early withdrawal penalties.

Benefits of CDs

• Higher interest rates than traditional savings accounts
• Fixed interest rates, so you know exactly how much you’ll earn
• FDIC or NCUA insurance, protecting your deposit up to $250,000
• Low-risk investment option

Things to Consider

• Minimum opening deposit requirements
• Early withdrawal penalties
• Compounding frequency
• Customer service contact methods

Methodology

Our team reviewed nearly 300 data points for approximately 60 federally insured CDs across 6-month, 1-year, and 18-month terms. We evaluated these accounts according to several key metrics, including annual percentage yield, minimum opening deposit, compounding frequency, and more.