Secure up to 4.20% APY by taking advantage of the top CD rates offered as of November 5, 2025.

The best CD rates currently provide an annual percentage yield of up to 4.20%. By investing in a certificate of deposit today, you can secure a better interest rate for an extended period, contingent on the term that best aligns with your financial goals.

Current top CD rates offer returns as high as 4.20% APY.

Bread Savings is providing the top CD rate of 4.20% for its six-month certificate of deposit. Newtek Bank also offers a six-month CD with a 4.20% APY, but requires a higher minimum deposit.

Fortune tracks the highest rates available from major U.S. Financial institutions to guide readers in maximizing their CD investment returns. Here are the top CD rates currently available:

Pro tip

Searching for a CD that aligns with your investment goals? Explore rates from leading financial institutions:
–Wells Fargo
–Capital One
–Chase
–Bank of America
–Discover Bank
–Northern Bank Direct
–Ally Bank
–Newtek Bank
–Popular Direct
–Citibank
–Sallie Mae Bank

Examine savings account interest rates from leading financial institutions.

If you don't recognize some or all of the organizations mentioned, it's by design. Major financial institutions, including Chase, PNC, and U.S. Banks, for instance, prioritize offerings such as loans and credit cards over certificates of deposit. As a result, they often provide CD rates that may not measure up to those offered by smaller local banks or online financial institutions.

2025 CD rate outlook

CD investors need to be aware that market interest rates are strongly influenced by The Federal Reserve's policy choices, particularly adjustments to the fed funds rate. For those investing in certificates of deposit, keeping up-to-date with The Federal Reserve's interest rate decisions is crucial.

In 2024, the Federal Reserve implemented three interest rate cuts, concluding with a reduction in December that set the fed funds rate between 4.25% and 4.50%. To bolster the economy, the central bank lowered interest rates now that inflation, which had surged during the pandemic, was finally starting to decrease. Consequently, certificate of deposit rates have declined from their recent peaks.

At its September meeting, At its meetings on March 16-17 and October 2025, the Fed implemented the year's initial rate reduction, subsequently enacting a second cut. 28-29. The federal funds rate is currently between 3.75% and 4.00%. Around the time these reductions were implemented, certain CD offerings saw a decline.

This year has one more Fed meeting remaining, scheduled for December. 9-10. Should banks foresee another rate cut from The Fed, CD rates might experience an additional decline.

The robust average CD returns seen in 2022 and 2023 were a direct consequence of the Federal Reserve's interest rate increases implemented after the pandemic. Between March 2022 and July 2023, the Federal Open Market Committee (FOMC) increased interest rates on eleven occasions, raising the federal funds rate from zero to 5.25%-5.50%. The central bank acted because inflation was increasing at its fastest pace since the 1980s.

Current CD rates are still quite close to their recent peaks. Savers can lock in appealing interest rates for both brief and extended certificate terms. Depositing a more significant sum into your CD account allows for considerable interest earnings.

Past CD yields

During the early 1980s, certificates of deposit (CDs) saw their interest rates climb into double digits, a significant difference compared to the more modest rates available now. By 2019, the annual percentage yield for a five-year certificate of deposit had marginally surpassed 3.00%.

During the early 2020s, the highest rates generally stayed under 1.00% APY. Rates have risen considerably lately, with top deals exceeding 5.00% APY this year. However, in 2025, numerous rates have been observed slightly below or above the 4.00% threshold.

Securing a favorable CD interest rate involves several strategies. Researching various financial institutions, including banks and credit unions, is crucial to compare their offerings. Longer-term Certificates of Deposit (CDs) often provide higher annual percentage yields (APYs), but consider your liquidity needs before committing funds for an extended period. Some institutions offer promotional rates or bonuses for new customers or for opening specific types of accounts. Additionally, exploring online banks can sometimes yield better rates than traditional brick-and-mortar institutions due to their lower overhead costs. Keeping an eye on market trends and interest rate forecasts may also help you time your investment for optimal returns.

To figure out what makes a good CD rate, you need to weigh the best available rate against how long you're comfortable keeping your funds deposited. 

If you anticipate needing your funds before the five-year term concludes or if you foresee an increase in interest rates, placing a substantial amount into a CD with a yield of 5.00% might not be the most advantageous decision. Generally, interest rates higher than the national average are deemed beneficial. 

When comparing CDs, consider these key factors:

• Term length: Ensure it aligns with your savings goals and timeline.
• APY: Higher rates typically are offered for longer terms.
• Minimum deposit: Make sure you can meet the required initial balance.
• Penalties: Understand the costs associated with withdrawing funds before maturity.
• Deposit insurance: Verify that the bank is Federal Deposit Insurance Corp. Insured by the FDIC or NCUA for deposit protection.

Online banks generally provide more attractive CD yields, but it's important to be aware of any minimum balance requirements and any applicable fees. Opting for a bank instead of a broker might occasionally help you sidestep extra charges.

Explore the products and services provided by digital financial institutions.

Online financial institutions and fintech firms typically provide better interest rates compared to large, nationwide banks. Major financial firms generate their income mainly through loan interest, service charges, and investments in securities.

Smaller financial institutions and digital financial technology firms draw in clients by offering appealing annual percentage yields on their savings and checking accounts. Online banks generally have reduced operational expenses, which enables them to offer more favorable rates to their customers.

Establish a CD ladder

For savers unwilling to lock up their money for long durations, CD ladders offer an ideal solution. Spreading your savings among Certificates of Deposit (CDs) with staggered maturity dates allows you to access funds sooner while also capitalizing on better interest rates for longer-term investments.

Imagine you put $3,000 into three CDs with different maturity dates: one year, two years, and three years. When each CD reaches maturity, you have the option to reinvest the funds into a new 3-year CD. With this method, you can access your funds and any earned interest yearly.

Cassie Bottorff, a former Fortune editor, developed a series focusing on daily CD rates. Glen Luke Flanagan, Editor, Evergreen Content, updated this edition.