CD rates are competitive with a high APY of 4.50% for various term lengths

From Yahoo Finance: 2025-04-07 06:00:00

The Federal Reserve lowered interest rates in 2024, impacting deposit account rates. CD rates remain competitive, with Marcus by Goldman Sachs offering a 4.50% APY on a 14-month CD. LendingClub also offers 4.50% APY on a 10-month CD. Online banks and credit unions typically offer more competitive rates.

Today’s average CD rates are some of the highest in nearly two decades, with the highest national average interest rate standing at 1.82% for a 1-year term. The Federal Reserve’s efforts to combat inflation have kept interest rates elevated. It’s important to choose a CD with a high APY and term length that align with your financial goals.

When opening a CD, compare rates from various institutions, consider online banks for competitive rates, and check minimum deposit requirements. Review account terms, including early withdrawal penalties and auto-renewal policies. Some CDs offer flexibility, like no-penalty CDs, allowing fee-free withdrawals before maturity.

Read more: CD rates today, April 7, 2025 (Lock in up to 4.50% APY)