Today’s CD rates still remain higher than the national average after the Federal Reserve lowered interest rates three times in 2024. Consider locking in high rates with a certificate of deposit (CD) soon. The highest CD rate as of August 25, 2025, is 4.4% APY with Marcus by Goldman Sachs on a 6-month CD.

Online banks and credit unions typically offer better CD rates compared to traditional brick-and-mortar banks. The national average interest rate for a 1-year CD is 1.77%, one of the highest in nearly two decades due to the Federal Reserve’s efforts to combat inflation. Shop around for the best rates and terms that match your financial goals.

When opening a CD, consider the APY, term length, and minimum deposit requirements. Online banks often offer the most competitive rates due to lower overhead costs. Review account terms for early withdrawal penalties and auto-renewal policies to find the best option for your needs.

Read more at Yahoo Finance: Best CD rates today, August 25, 2025 (Lock in up to 4.4% APY)