Deposit account rates are declining, but you can secure a competitive return with a certificate of deposit (CD) above 4% APY. The highest CD rate as of September 30, 2025, is 4.45% APY offered by LendingClub on an 8-month CD. Explore the best CD rates available from verified partners.

CD rates have fluctuated over the years, with the early 2000s seeing higher rates that fell after the financial crisis. Between 2015 and 2018, rates slightly improved as the economy expanded, but the COVID-19 pandemic led to emergency rate cuts and record low CD rates.

Following the pandemic, the Fed raised rates 11 times, leading to higher rates on savings products. In September 2024, the Fed began cutting rates due to controlled inflation, resulting in a decrease in CD rates. However, rates remain historically high.

Traditionally, longer-term CDs offered higher rates, but the highest average CD rate is now for a 12-month term, indicating a change in the yield curve. When opening a CD, consider factors like goals, type of financial institution, account terms, and inflation’s impact on returns.

Ensure the CD fits your budget and financial goals, as withdrawing early may result in penalties. Research rates from various institutions, including online banks, which often offer higher rates. Understand the terms, minimum deposit requirements, and withdrawal penalties before investing in a CD.

Read more at Yahoo Finance: Lock in up to 4.45% APY today