Today’s CD rates remain higher than the national average, following the Federal Reserve’s first rate cut of 2025. The highest CD rate as of September 29, 2025, is 4.45% APY offered by LendingClub on an 8-month CD. Online banks and credit unions typically offer more competitive rates than traditional banks.

The average national CD interest rate for a 1-year term is 1.70%, with today’s rates among the highest in nearly two decades due to the Federal Reserve’s efforts to combat inflation. When opening a CD, it’s crucial to choose one with a high APY and suitable term length.

To find the best CD rates, shop around and compare options from various financial institutions. Online banks often provide the most competitive rates due to lower overhead costs. Ensure the minimum deposit aligns with the requirements for the best rate and review account terms for penalties and policies.

Consider factors like early withdrawal penalties and auto-renewal policies when choosing a CD. Some CDs, like no-penalty CDs, offer flexibility by allowing you to withdraw funds without a fee before the maturity date. Make sure to assess all terms and conditions before committing to a CD.

Read more at Yahoo Finance: Best CD rates today, September 29, 2025 (Lock in up to 4.45% APY)