Lock in a high CD rate before it drops further after Federal Reserve’s recent rate cut. Online banks and credit unions offer the best rates on shorter terms. Marcus by Goldman Sachs, Sallie Mae, and Synchrony offer rates up to 4.1% APY. Interest earned on a CD depends on the APY and compounding frequency.

Invest $1,000 in a 1-year CD with 1.70% APY and earn $17.13 in interest. Opting for a 4% APY CD would yield $40.74 in interest on the same investment. Depositing more in a CD can significantly increase your earnings. Different types of CDs offer varying benefits beyond traditional options.

Consider a Bump-up CD to adjust your rate if bank rates rise, or a No-penalty CD for early withdrawals without penalty. Jumbo CDs require larger deposits for potentially higher rates, while Brokered CDs offer flexibility but may come with more risk. Evaluate all options to maximize your CD earnings.

Read more at Yahoo Finance: Best CD rates today, October 25, 2025 (best account provides 4.1% APY)