Discover® 9-Month Certificate of Deposit term
Annual Percentage Yield
4.25%
Minimum Deposit Requirement
$2,500
Learn More 
On Discover's Website
4.25%
$2,500
Cassidy Horton is a finance writer covering banking, life insurance and business loans. She has worked with top finance brands including NerdWallet, MarketWatch and Consumer Affairs. Cassidy first became interested in personal finance after paying off $18,000 in debt within 10 months of graduating college. She later went on to triple her salary in two years by ditching her 8-to-5 job to write for a living.
Cassidy Horton
Cassidy Horton is a finance writer covering banking, life insurance and business loans. She has worked with top finance brands including NerdWallet, MarketWatch and Consumer Affairs. Cassidy first became interested in personal finance after paying off $18,000 in debt within 10 months of graduating college. She later went on to triple her salary in two years by ditching her 8-to-5 job to write for a living.
With more than 15 years of experience crafting content about all aspects of personal finance, Michael Benninger knows how to identify smart moves for your money. His work has been published by Intuit, Insider and the Los Angeles Times, and he's been quoted by The Street and Yahoo Finance among other news outlets. Prior to his role at Forbes Advisor, Michael worked as a banking writer for Finder.com, where he authored in-depth reviews of hundreds of banking products.
Fact Checked
Michael Benninger
With more than 15 years of experience crafting content about all aspects of personal finance, Michael Benninger knows how to identify smart moves for your money. His work has been published by Intuit, Insider and the Los Angeles Times, and he's been quoted by The Street and Yahoo Finance among other news outlets. Prior to his role at Forbes Advisor, Michael worked as a banking writer for Finder.com, where he authored in-depth reviews of hundreds of banking products.
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations.
The best 18-month CDs offer a balance between a shorter commitment period and a higher annual percentage yield (APY). However, choosing the right CD requires researching the best interest rates and comparing early withdrawal penalties. This guide explores the best 18-month CD rates available to help you make an informed decision about where to put your money.
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Show Summary
Best 18-Month CD Rates
We analyzed 142 CD accounts at 84 nationally available banks and credit unions to pinpoint the best CDs with 18-month terms. Read on to learn why we picked each account and access individual bank reviews.
While this list does not include the best 18-month jumbo CD rates or 18-month IRA CD rates, several regional banks and credit unions offer attractive 18-month jumbo CDs, and you can find 18-month IRA CDs with competitive rates from Synchrony Bank, Ally Bank and others.
Annual percentage yields (APYs) and account details are accurate as of May 3, 2024.
Synchrony Bank Certificates of Deposit
CD APY 18-month
4.50%
Minimum Deposit Requirement
$0
Interest Compounding Frequency
Daily
Learn More
On Fiona.com's Website
4.50%
$0
Daily
Editor's Take
Synchrony Bank is an online institution offering a wide range of financial products, including high-yield savings accounts, money market accounts and CDs. The bank has gained a reputation for its competitive rates, user-friendly banking platform and excellent customer service.
Among the various CD options offered by Synchrony Bank, its 18-month CD stands out for its impressive 4.50% APY and $0 minimum opening deposit requirement. This makes it an attractive choice for savers who want to earn a high return without tying up a significant amount of funds.
Read our full Synchrony Bank Review.
Pros & Cons
- Competitive APY
- No minimum deposit requirement
- Bump-up CD option
- Can withdraw interest at any time without penalty
- Early withdrawal penalty is equal to 80 days of interest
Details
Interest is compounded daily and credited to the CD monthly. Synchrony’s 24-month CDs are subject to an early-withdrawal penalty of up to 80 days of simple interest at the current rate if you withdraw your principal investment before the maturity date. CDs automatically renew upon maturity following a 10-day grace period. During the grace period, account holders can add or withdraw funds, change CD terms or close the account.
Expert's Take
Synchrony lets you withdraw interest before maturity without penalty. The penalties for early withdrawal of the principal seem pretty standard. Synchrony’s no-penalty CD pays a much lower rate than others, so you can really see the cost of early redemption.
—Jill Fopiano, CEO at O’Brien Wealth Partners
Synchrony Bank CD Rates
| Term | APY |
|---|---|
3 Months
| 0.25%
|
6 Months
| 4.80%
|
9 Months
| 4.90%
|
12 Months
| 4.80%
|
18 Months
| 4.50%
|
24 Months
| 4.20%
|
36 Months
| 4.15%
|
48 Months
| 4.00%
|
60 Months
| 4.00%
|
Fidelity Certificates of Deposit
CD APY 18-month
5.10%
Minimum Deposit Requirement
$1,000
Interest Compounding Frequency
N/A
Learn More
Read Our Full Review
5.10%
$1,000
N/A
Editor's Take
Fidelity’s 18-month CD lets customers invest in a high-yield certificate of deposit without having to go through a traditional bank. As a brokered CD, it’s sold directly by the brokerage firm, providing a convenient way for current Fidelity customers to invest in CDs. Despite not being issued directly by a bank, Fidelity’s 18-month CD is still FDIC-insured.
However, it’s worth noting that with Fidelity CDs, all terms earn simple interest rather than compound interest. So depending on the amount you invest, you could be missing out on a significant sum of money.
Read our full Fidelity Investments Review.
Pros & Cons
- Ideal for current Fidelity customers
- Competitive APY
- Insured beyond typical FDIC limits
- Requires a Fidelity brokerage account
- No option to withdraw funds before maturity
- Interest doesn’t compound
Details
Fidelity CDs earn simple interest, not compound interest. And Fidelity CDs do not automatically renew at maturity. Rather, Fidelity credits the principal CD balance and interest to your account at maturity. Account holders can enroll in Fidelity’s Auto Roll service to automatically reinvest CD funds into new CDs.
Capital One Certificates of Deposit
CD APY 18-month
4.45%
Minimum Deposit Requirement
$0
Interest Compounding Frequency
Monthly
Learn More
Read Our Full Review
4.45%
$0
Monthly
Editor's Take
Capital One’s 18-month CD is a top pick thanks to its competitive APY and lack of a minimum deposit requirement. The account currently earns an impressive interest rate of 4.45% APY.
Additionally, customers can choose how often they receive interest payments, whether that be monthly, yearly or upon the CD’s maturity. This provides a level of flexibility many other CD providers don’t offer. Furthermore, the bank’s online interface makes it easy to manage your account and stay up-to-date on your 18-month CD’s progress.
Read our full Capital One 360 Bank Review.
Pros & Cons
- No minimum deposit requirement
- Flexible interest payout options
- Backed by a reputable institution
- Other banks offer higher APYs
- Few branches compared to other national banks
- Strict early withdrawal penalty
Details
Interest on Capital One’s 18-month CD compounds daily and gets credited to your account monthly. Upon your CD’s maturity, you have a 10-day grace period during which you can withdraw from your CD before it renews for another term. If you withdraw your principal balance before maturity, you’ll pay a penalty fee equal to six months of interest.
Ally Bank Certificates of Deposit
CD APY 18-month
4.25%
Minimum Deposit Requirement
$0
Interest Compounding Frequency
Daily
Learn More
Read Our Full Review
4.25%
$0
Daily
Editor's Take
Ally Bank is an online bank popular for its high-yield savings products. The bank’s High Yield 18-month CD earns 4.25% APY—one of the best 18-month CD rates today.
There’s no opening deposit requirement to open a CD account with Ally, and the bank offers a complimentary 10-Day Best Rate Guarantee. That means Ally will bump up your APY if interest rates rise within 10 days of opening your account.
Additionally, Ally Bank has a transparent fee structure and 24/7 customer service, which ensures you can manage your account and get support whenever you need it. Combined, these features make Ally Bank’s 18-month CD a top choice for savers looking for a hassle-free investment option.
Read our full Ally Bank Review.
Pros & Cons
- Competitive yield
- No minimum opening deposit requirement
- 10-day rate guarantee
- Loyalty rate bump when you renew
- No physical branches
Details
Interest on Ally Bank CDs compounds daily and gets credited to your account monthly. With the Ally 10-Day Best Rate Guarantee, you’ll get a complimentary rate increase if APYs go up within 10 days of opening and funding your account.
If you withdraw funds early, you’ll pay a penalty equal to 60 days’ interest. Ally CDs have a 10-day grace period, during which you can close your account or change your terms before the CD renews. If you renew, Ally adds a 0.05% APY loyalty reward on top of its current rates.
Marcus by Goldman Sachs High-Yield Certificates of Deposit
CD APY 18-month
4.60%
Minimum Deposit Requirement
$500
Interest Compounding Frequency
Daily
Learn More
On Bankrate.com's Website
4.60%
$500
Daily
Editor's Take
Marcus by Goldman Sachs is an online bank known for its high-yield savings accounts and competitive CD rates. The bank’s 18-month CD is an attractive option for savers looking to earn a higher return than traditional savings accounts while keeping their funds accessible in the near future.
Currently, Marcus’s 18-month CD offers an APY of 4.60%, which is higher than most other banks. The account has a $500 minimum deposit requirement and can be opened online in just a few minutes.
Read our full Marcus By Goldman Sachs Review.
Pros & Cons
- Competitive APYs
- Rate guarantee
- Low minimum deposit requirement
- Interest compounded daily
- It’s possible to find higher rates at other banks and credit unions
- No terms beyond six years
Details
Compounding schedule
Interest is compounded daily and credited monthly.
Withdrawing interest
Marcus allows you to withdraw interest earnings before maturity without penalty. You can either transfer the interest to a Marcus by Goldman Sachs High-Yield Online Savings Account or an external bank account. Just keep in mind that withdrawing interest lowers the overall amount you can earn on your investment.
Maturity options
There’s a 10-day grace period after the maturity date to withdraw funds, renew the CD or close the CD and open a new one. The CD automatically renews if you take no action.
Rate guarantee
Marcus also offers a 10-day CD rate guarantee. If the rate on the CD term you select goes up within the first 10 days after funding your account, you’ll automatically get the higher rate. You must deposit at least $500 within the first 10 days to qualify for Marcus’s 10-day rate guarantee.
Expert's Take
Marcus is a well-known name, so some folks might feel more comfortable banking here. The digital bank seems to be leveraging technology and markets the ease of opening an account in minutes. The minimum deposit requirement on Marcus CDs makes it one of the most accessible with the highest rates. Since Marcus offers a large suite of banking products outside of CDs, this may appeal to people looking for a cohesive financial management solution. —Gloria Garcia, CFP
The low minimum deposit requirement at Marcus can be an advantage. Its no-penalty CDs may be helpful for individuals who want to earn higher interest rates than regular savings accounts without committing their funds. However, Marcus CDs have an automatic renewal feature, so unless the holder acts within the grace period, Marcus can automatically renew the CD for the same duration.
—Wenyao Hu, CFA and Ph.D. Candidate
Marcus by Goldman Sachs CD Rates
| Term | APY |
|---|---|
6 Months
| 5.10%
|
9 Months
| 5.00%
|
12 Months
| 5.00%
|
18 Months
| 4.60%
|
2 Years
| 4.20%
|
3 Years
| 4.15%
|
4 Years
| 4.05%
|
5 Years
| 4.00%
|
6 Years
| 3.90%
|
Summary: Best 18-Month CD Rates
Methodology
When curating our list of the best 18-month CDs, we examined 142 CD accounts across 84 financial institutions, including a mix of traditional brick-and-mortar banks, online banks and credit unions. To calculate the star ratings, we ranked each institution on 11 data points within the categories of APY, minimums, compounding frequency, customer experience, digital experience, available CD terms and overall availability.
The following weights were assigned to each category:
- APY: 50%
- Customer and digital experience: 20%
- Minimum deposit requirement: 12.5%
- Compounding frequency: 7.5%
- Availability: 5%
- Available CD terms: 5%
To learn more about our rating and review methodology and editorial process, check out our guide on How Forbes Advisor Reviews Banks.
Highest 18-Month CD Rates
Interest rates for new CDs often change along with fluctuations in the economy and the federal funds rate. The highest 18-month CD rates currently sit at 4.00% to 5.00% APY. Not all banks offer 18-month CDs, though. This is a less common option than whole-year CDs, but when these are available, they typically have rates comparable to or better than one-year CDs.
Pro Tip
Consider researching online banks in addition to traditional brick-and-mortar banks and credit unions to find the highest 18-month CD rates. Online banks often offer more competitive rates due to lower overhead costs.
What Is an 18-Month CD?
An 18-month certificate of deposit is a type of savings account that requires you to deposit funds for a period or term of 18 months. In most cases, you can’t withdraw the money until 18 months have passed without being penalized. For a standard CD, you earn a guaranteed interest rate over the course of the term. This means you can calculate ahead of time how much you’ll earn with compound interest.
How Does an 18-Month CD Work?
You open an 18-month CD at a bank or credit union just like you would a regular checking or savings account. Most accounts can be opened online but some may require you to visit a branch in person or make a phone call.
Once you complete your application, you’ll make a deposit. You will need to deposit at least the minimum required. Then, you can’t touch the money inside the account for 18 months. If you withdraw funds early, you will be subject to penalty fees and give up some of your interest.
The CD earns interest during that time, usually at a fixed rate determined when you open the account. Once the 18 months are over, you can choose to renew the CD or withdraw your deposit along with the interest it has earned.
What Is a Good CD Rate?
A good CD rate is one that offers a competitive APY to help you meet your financial goals. As of April 2024, the national average rate for a one-year CD is 1.81%, while the average for a two-year CD is 1.54%. The average 18-month CD likely falls somewhere in the middle—the Federal Deposit Insurance Corporation (FDIC) doesn’t publish average rates for that term length. However, many online banks offer CD rates well above these averages—currently as high as 5.00% APY or higher.
How To Choose an 18-Month CD
If you’ve never researched 18-month CD accounts before, here are some tips to help you choose the best one.
- Compare CD rates. First, research the current 18-month CD rates offered by various banks and credit unions. (Our list is a good place to start.) A higher APY means a higher return on your investment, so look for banks or credit unions that offer the highest APY.
- Consider minimum deposit requirements. Some banks require a minimum deposit to open a CD account. Consider your budget, and choose a CD that has a minimum deposit requirement you can meet.
- Look at early withdrawal penalties. It’s important to understand the early withdrawal penalties for withdrawing from your CD before its maturity date. Generally, these penalties mean sacrificing some or all of the interest your CD has earned.
- Research the bank’s financial stability. When investing your money, it’s essential to choose a financially stable bank or credit union that is federally insured through the FDIC or NCUA.
- Read the fine print. Before opening a CD, make sure you read the terms and conditions carefully. Look for any hidden fees, renewal options or other clauses that could affect your investment.
Pro Tip
Pay attention to compounding schedules and give priority to daily compounding. If two CDs have the same advertised interest rate, the one that compounds interest daily will earn more over time than the one that compounds interest monthly or quarterly.
How To Open an 18-Month CD
You can generally open an 18-month CD online in just a few steps:
- Choose a bank or credit union with the best 18-month CD rates.
- Go to the bank’s website and select the CD option you want to open.
- Provide your personal and financial information, as required by the bank.
- Agree to the CD’s terms and conditions.
- Enter the amount of money you want to deposit into the CD account.
- Verify your details, and submit the application.
- Wait for confirmation from the bank that your CD account has been successfully opened.
Pros and Cons of 18-Month CDs
Pros
- Generally higher APY than savings account
- Less risk than stock market investments
- Shorter term commitment
- Guaranteed returns
Cons
- May offer lower return than long-term CDs
- Limited access to funds
- Potential penalties for early withdrawals
- 18-month CDs not as popular as other terms
Are 18-Month CDs Worth It?
An 18-month CD can be worth it if you can commit to leaving the money untouched for the duration of the term. However, always consider your future financial needs. If you don’t anticipate needing the money before the 18-month period ends and the interest rate is competitive, an 18-month CD can be a worthwhile way to earn some extra money.
But if there’s a chance you might need the money before the term expires, early withdrawal penalties could eat into earnings and negate the benefits. In this case, you might be better off storing your money in a high-yield savings account where you can access it at any time.
Bottom Line
An 18-month CD or share certificate can be a great way to grow your savings without having to lock your money up for a long time. But before you open an account, compare the best 18-month CD rates, minimum deposit requirements and early withdrawal penalties to make sure you’re choosing the right account for your needs.
Find The Best CD Rates Of 2024
Banks We Monitor
These financial institutions were included in our research for the best CD rates: ableBanking, Affinity Federal Credit Union, Ally Bank, American Express, Axos Bank, Apple Federal Credit Union, Bank of America, Bank5 Connect, BankDirect, BankPurely, BankUnitedDirect, Barclays, Bethpage Federal Credit Union, BrioDirect Banking, Capital One, Charles Schwab Bank, Chase, Chevron Federal Credit Union, CIT Bank, Citibank, Citizens Access, Colorado Federal Savings Bank, Comenity Direct, Comerica, CommunityWide Federal Credit Union, Connexus Credit Union, Consumers Credit Union, Credit Union of Denver, Discover, Dollar Savings Direct, EmigrantDirect, Financial Partners Credit Union, Financial Resources Federal Credit Union, First National Bank of America, Georgia’s Own Credit Union, Golden1 Credit Union, Greenwood Credit Union, HSBC Direct, Hughes Federal Credit Union, Ideal Credit Union, iGoBanking, Investors eAccess, Keybank, Kinecta Federal Credit Union, Limelight, Live Oak Bank, MAC Federal Credit Union, Marcus by Goldman Sachs, Michigan State University Federal Credit Union, My eBanc, MySavingsDirect, Navy Federal Credit Union, nbkc Bank, Northern Bank Direct, Northpointe Bank, Nuvision Federal Credit Union, Pacific National Bank, Pen Air Federal Credit Union, PenFed, PNC Bank, Popular Direct, Quontic, Quorum Federal Credit Union, Radius Bank, Rising Bank, SalemFiveDirect, Sallie Mae Bank, Spectrum Federal Credit Union, State Bank of Texas, State Department Federal Credit Union, Superior Choice Credit Union, Synchrony Bank, TAB Bank, TD Bank, EverBank, TotalDirect Bank, U.S. Bank, USAA, USAlliance Federal Credit Union, Vio Bank, Virtual Bank, Wells Fargo and Truist.
Frequently Asked Questions (FAQs)
What are the alternatives to 18-month CD rates?
Banks typically offer CD terms ranging from three months to five years, with some offering terms ranging from one week to 10 years, so there are plenty of alternatives to 18-month CD rates if these don’t align with your financial goals. You can also consider a high-yield savings account if you need regular access to your money.
What is the best CD rate for 18 months?
The best 18-month CD rates are currently at or over 5.00% APY. Right now, Synchrony Bank, Marcus and Ally Bank have some of the best CD rates for 18 months.
What are 18-month CDs paying?
The best 18-month CDs are paying between 4.00% and 5.00% APY or even higher. This means you may earn between $60 and $76 total for every $1,000 you invest in an 18-month CD. Use the Forbes Advisor CD calculator to figure out how much you can earn.
How do 18-month CD rates compare to other terms?
While every bank is different, most institutions offer some of the highest CD rates on 18-month terms right now. For example, Ally Bank’s 18-month CD earns 4.25% APY, while most of its other CDs earn less than this, including three- and five-year CD terms.
