“The yield curve is currently inverted, meaning that shorter term CDs, such as one to two years, are yielding the same or more than five-year CDs”, said Seth Mullikin, CFP at Lattice Financial in Charlotte.

15, 2022 and it’s possible more rate hikes are coming. As the central bank increases the federal funds rate, interest rates overall have risen. Over the last year, the Federal Reserve has been increasing the federal funds rate to combat inflation. All of the CDs on our list offer significantly higher APYs than the national average:Īs of November 28, 2023, the current national high rate for a 6-month CD is 5.59% APY according to Curinos data. The national average rate for a 6-month CD (as of November 20, 2023) is 1.43% APY according to the Federal Deposit Insurance Corporation (FDIC). The largest companies enjoy the benefits of being a defacto go-to when people think of opening a bank account. Typically the highest APY CDs are offered by relatively smaller banks looking to make some noise and attract customers. If you’re wondering why the largest banks in the nation didn’t make the cut, it’s primarily because they don’t offer the most competitive CD rates. Those that earned much lower ratings didn’t make the cut because they had an overall low score due to poor APY, high minimum deposit requirements and poor customer ratings.

Not all financial institutions made our list for the best six-month CDs. We monitor over 80 financial institutions, including Capital One, PenFed, Discover, Chase, TD Bank, Marcus by Goldman Sachs, TIAA Bank, Colorado Federal Savings Bank and American Express Bank. To round out the score, we analyzed CD accounts further, valuing those with lower minimum deposits, daily compound interest schedules (rather than monthly) and those that are nationally available (think credit unions with an open versus limited membership). Non-APY factors still played a part, such as customer experience.

We believe that potential earnings reign supreme, so a CD’s APY was the most heavily-weighed factor in our calculations. Here are the categories we analyzed and how we weighted each. One with a score of 80 would get four stars and so on. An institution with a perfect score of 100 would get five stars. We looked at over 140 CDs offered by 84 financial institutions and evaluated them to create a star rating for each.

Best 3 month cd interest rates