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CD Rates Today: December 16, 2024—Earn 5% And Up
- CD rates, which are fixed for the maturity period, provide a better yield than high yield savings accounts. CD terms range from three months to five years.
- The highest CD rate today is 5.37% for a 12-month term. One must be aware of the early withdrawal penalty before making an investment.
- For a six-month term, the best rate offered is 5.25%. The current average APY for a six-month CD is 1.85%, which is consistent with last week at this time.
- 24-month CDs today are being offered at interest rates as high as 4.52% and the top rate on a 3-year CD is 4.65%.
- On a five-year CD, the highest rate today is 4.25%, but one must be aware of the early withdrawal penalty.
- Opening a CD account requires a lump-sum deposit, which can also be considered as an investment. CD accounts generally have minimum deposit requirements.
- PenFed Credit Union’s CD rates range from 3.00% to 3.65% while U.S. Bank CD rates currently range from 0.05% to 0.25%.
- The Federal Deposit Insurance Corp provides insurance for up to $250,000 to an account owner in the event of a bank failure. For share certificates purchased from credit unions, the National Credit Union Administration insures up to the same limit.
- When looking for the best CD rates, cast a wide net and study offerings from traditional banks, credit unions, and digital firms. Credit unions may provide higher yields than traditional banks.
- CDs are considered to be safer than other investments since federal insurance coverage protects these investments.
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