From Yahoo Finance: 2025-04-27 14:18:00

Certificate of Deposit (CD) rates vary widely among financial institutions. Historically, longer-term CDs offered higher rates, but today, the opposite is true due to the economic climate. The highest CD rate today is 4.40% APY on a 14-month CD from Marcus by Goldman Sachs with a $500 minimum deposit.

The amount of interest earned from a CD depends on the annual percentage rate (APY) and how often interest compounds. For example, a one-year CD with 1.81% APY and monthly compounding would yield $18.25 in interest on a $1,000 deposit. Choosing a one-year CD with 4% APY would result in $40.74 in interest.

The more you deposit in a CD, the more you can earn in interest. A $10,000 deposit at 4% APY for one year would result in a total balance of $10,407.42, earning $407.42 in interest. Consider different types of CDs beyond traditional ones, such as Bump-up, No-penalty, Jumbo, and Brokered CDs, for additional benefits and flexibility.

Read more: Best CD rates today, April 27, 2025 (up to 4.40% APY)