Earn up to 4.65% APY: Best CD Rates for February 3, 2025

Introduction

Certificates of Deposit (CDs) remain a compelling option for savers looking to maximize their returns while minimizing risk. As of February 3, 2025, CD rates continue to offer attractive yields, despite a recent downward trend. Here’s a comprehensive guide to the best CD rates available today.

Current CD Rates Overview

Highest APYs Available

• The highest CD rate currently available is 4.65% APY, offered by Bask Bank for a 3-month CD.
• For longer terms, Credit Human offers a 1-year CD with a 4.55% APY, and up to 4.40% APY for 2- to 5-year terms.

Best CD Rates by Term

Here are some of the top CD rates categorized by term:

Short-Term CDs

• 3 Months: Bask Bank offers 4.65% APY with a minimum deposit of $1,000.
• 6 Months: TotalBank provides a 4.61% APY.
• 9 Months: NASA Federal Credit Union offers a promotional 9-month CD with a 4.54% APY.

Medium-Term CDs

• 1 Year: Credit Human offers a 1-year Share Certificate with a 4.55% APY.
• 18 Months: Credit Human provides an 18-month Share Certificate with a 4.45% APY.

Long-Term CDs

• 2 Years: Credit Human offers a 2-year Share Certificate with a 4.40% APY.
• 3 Years: Credit Human and Transportation Federal Credit Union offer 3-year CDs with up to 4.31% APY.
• 4 Years: Transportation Federal Credit Union offers a 4-year CD with a 4.35% APY.
• 5 Years: Transportation Federal Credit Union and Credit Human offer 5-year CDs with up to 4.40% APY.

Top Banks and Credit Unions for CDs

High-Yield CD Providers

• Marcus by Goldman Sachs: Offers 1-year, 3-year, and 5-year CDs with APYs of 4.25%, 3.75%, and 3.75% respectively.
• Bread Savings: Provides 1-year, 3-year, and 5-year CDs with APYs of 4.10%, 4.00%, and 4.00% respectively.
• NASA Federal Credit Union: Offers 1-year, 3-year, and 5-year Share Certificates with APYs of 4.30%, 4.00%, and 3.85% respectively.
• First Internet Bank: Provides 1-year, 3-year, and 5-year CDs with APYs of 4.20%, 3.77%, and 3.65% respectively.

Promotional CD Rates

Promotional CDs often offer higher rates for irregular terms:

• NASA Federal Credit Union: 9-month Certificate with a 4.54% APY.
• LendingClub Bank: 10-month CD with a 4.35% APY.
• Synchrony Bank: 13-month CD with a 4.35% APY.

No-Penalty CD Rates

For those who need flexibility, no-penalty CDs are an option:

• Ally Bank: Offers an 11-month no-penalty CD with a 3.75% APY and no minimum to open.
• CIT Bank: Provides an 11-month no-penalty CD with a 3.50% APY and a $1,000 minimum to open.
• Marcus by Goldman Sachs: Offers a 13-month no-penalty CD with a 4.00% APY and a $500 minimum to open.

Other Types of CDs

IRA CDs

These CDs are used for retirement savings and offer the tax benefits of an IRA combined with the fixed rate of a CD. See the best IRA CD rates.

Jumbo CDs

These CDs require high minimum deposits, typically $100,000, and may not always offer the highest rates. See the best jumbo CD rates.

Market Trends and Advice

Impact of Federal Reserve Rate Cuts

The Federal Reserve’s benchmark rate cuts in the second half of 2024 have led to a downward trend in CD rates. However, locking in current rates can still provide a significant return until the CD matures.

Long-Term vs. Short-Term CDs

While short-term CDs may offer higher rates currently, long-term CDs can be a smart choice given the prospect of continued Fed rate cuts. Securing a long-term CD rate now can ensure a higher return over the term of the CD.

Conclusion

CDs remain a viable option for savers seeking guaranteed returns with low risk. With rates up to 4.65% APY available, it is crucial to compare rates, consider your savings goals, and potentially lock in high rates before they decline further.

For more detailed information and to see the latest rates, you can visit:

• NerdWallet’s Best CD Rates
• Investopedia’s Top CD Rates
• Bankrate’s Best CD Rates