Secure your savings with CDs today and earn as much as 4.50% APY. Discover the top CD yields for August 7, 2025.

The highest CD rates from August 7, 2025 provide as much as a 4.50% APY. Funding a certificate today lets you lock in these favorable rates for an extended period, contingent on selecting a CD term aligned with your objectives. Given the likelihood of reduced interest rates in late 2025, prompt action is advisable.

The top CD yields at August 7, 2025 offer returns as high as 4.50%.

The highest CD rate on August 7, 2025 of 4.50% is offered by Northern Bank Direct on its six-month CD. Coins2Day monitors the top rates offered by leading U.S. Financial institutions to help our readers obtain the best possible return on their CD investments. Here are the highest CD rates on August 7, 2025:

Examine CD rates based on their duration.

At present, both short-term and long-term Certificate of Deposit (CD) returns are still high. Although generous Annual Percentage Yields (APYs) aren't the only factor to consider when selecting the most suitable CD for your funds, being aware of the top available rates can assist you in making a knowledgeable choice.

See how CD rates stack up at leading national financial institutions

You might not recognize the banks in the table above, and there's a solid explanation for that. Larger banks rely more on sources other than certificates of deposit for their capital compared to smaller financial firms. Consequently, they have less incentive to vie for customers by providing the most attractive rates.

Major financial institutions such as Chase, PNC, and U.S. Bank attract new clients through their lending and credit card divisions. Consequently, the certificate of deposit (CD) yields provided by these large banks tend to be less attractive than those found at smaller community banks or digital banks. To obtain a more favorable rate from a major bank, customers might need to open supplementary savings accounts or satisfy more substantial minimum deposit thresholds.

CD rates news 2025

Savvy investors recognize that CD market rates closely follow the Federal Reserve's monetary policy choices, especially adjustments to the fed funds rate. Individuals considering CD investments should familiarize themselves with central bank policy shifts to grasp fluctuations in CD yields.

At the close of January, the Federal Open Market Committee (FOMC) convened its initial semi-annual gathering for 2025. The FOMC opted not to alter the fed funds rate during this session, suggesting that CD rates are expected to stay consistent in the near future. The most recent Fed meeting occurred on July 29-30, with the fed funds rate again remaining at its current level; the subsequent meeting is scheduled for September 16-17.

In 2024, the Fed cut rates three times—the last rate cut was at the December FOMC meeting—leaving rates in a range of 4.25%-4.50%. These changes came in response to cooling U.S. Inflation, and the Fed aimed to support the U.S. Economy with cheaper lending. This is why CD rates came off their previous two-decade highs last year.

Those historically high CD yields were driven by aggressive Fed interest rate hikes in 2022 and 2023. Between March 2022 and July 2023, the FOMC hiked rates 11 times, from zero up to a range of 5.25%-5.50%. The Fed’s higher rates were an attempt to cool off the hottest inflation readings since the 1980s, which were themselves the result of economic disruptions from the pandemic.

It's worth noting that current CD rates aren’t far off their recent peaks. Investors still have the opportunity to secure competitive rates on both short-term and long-term CDs. By depositing a larger lump sum into your CD account, you can generate considerable interest earnings.

Historical CD rates

In the early 1980s, CD rates soared into the double digits, a sharp contrast to lower yields. By 2019, however, the APY for a five-year CD was only a hair above 3%.

Throughout the early 2020s, rates soared over 5% as the economy worked its way through the Covid-19 pandemic. Five years later, we are seeing CD rates stabilize in the 3%-4% range.

How to get a good CD rate

Determining what qualifies as a "good" CD rate involves striking the right balance between high rates and your appetite for locking up money for a long period of time. Say you’re looking at a 5-year certificate yielding 5% APY. You should only pull the trigger if you’re sure you won’t need the funds sooner and you don’t think interest will increase.

Key factors to evaluate when comparing CDs include:

• Term length: Ensure it aligns with your savings objectives and time frame.
• APY: Typically, higher rates are offered for longer terms.
• Minimum deposit: Confirm that you can meet the required initial balance.
• Penalties: Understand the costs associated with early withdrawal before maturity.
• Deposit insurance: Verify that the bank is Federal Deposit Insurance Corp. (FDIC)- or National Credit Union Administration (NCUA)insured to keep your money secure.

Online banks typically advertise the highest CD yields, just make sure you understand the minimum balance requirements and any associated fees. Opting for a bank rather than a broker can sometimes help avoid unnecessary charges.

Look into offerings from online banks

Fintech firms and online banks generally offer more competitive rates than national banks. Large financial institutions generate revenue from interest on loans, fees, and investments in securities.

In contrast, smaller banks and online fintech companies attract customers with competitive APYs on deposit accounts. Additionally, online banks have lower overhead costs, which lets them pay better rates on deposits.

Set up a CD ladder

CD ladders are ideal for savers who prefer not to tie up funds for long periods. By spreading savings across CDs with varying maturity dates, you can enjoy both short-term access and higher long-term interest rates.

For example, start by investing $3,000 in three staggered CDs (1-year, 2-year, and 3-year). As each CD reaches maturity, reinvest the funds into a new 3-year CD. This strategy provides yearly access to your money along with the accumulated interest.

Understand the different kinds of CDs

There are several types of CDs available to cater to different financial needs:

• Brokered CDs are purchased and sold through brokerage accounts rather than directly from banks or credit unions. They often provide higher APYs since they are issued by banks and then sold to brokerages.
• Callable CDs include a feature that allows the issuing institution to terminate the CD before its maturity date. Investors receive their principal and any accrued interest up to the call date if this option is exercised.
• Bump-up CDs allow you to request a higher APY if interest rates increase after opening the account. Typically, you can adjust the rate once or twice during the CD's term.
• No-penalty CDs do not charge penalties for early withdrawals before maturity. This type is less common and may offer lower APYs compared to traditional CDs.
• Jumbo CDs require a substantial minimum deposit, often starting at $100,000 or more. They generally offer higher APYs than standard CDs.
• Variable-rate CDs have an APY that changes in response to prevailing interest rates. These CDs carry more risk than traditional CDs because a decrease in interest rates before maturity can result in a lower yield.

Series on daily CD rates created by former Coins2Day editor Cassie Bottorff. This edition has been updated by Editor, Evergreen Content Glen Luke Flanagan.