Lock in a high CD rate now before rates drop further. CD rates vary by institution, so shop around for the best deal. Shorter terms of one year or less typically offer the best rates, especially from online banks and credit unions. The highest CD rate as of August 23, 2025, is 4.4% APY from Marcus by Goldman Sachs on a 6-month CD with a $500 minimum deposit.

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

The more you deposit in a CD, the more you stand to earn. For example, a $10,000 one-year CD at 4% APY would earn $407.42 in interest. Consider different types of CDs beyond traditional ones, such as bump-up, no-penalty, jumbo, and brokered CDs, to find the best fit for your financial goals.

Read more at Yahoo Finance: Best CD rates today, August 23, 2025 (best account provides 4.4% APY)