CD Rates Today: May 9, 2024—Earn 4.75% And Up

May 9, 2024: Today’s Highest CD Rates: Earn Up To 5.40%

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May 9, 2024: Today’s Highest CD Rates: Earn Up To 5.40%

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Key Takeaways

Today’s highest CD rate is 5.40% for a 6-month CD.
CD rates from online banks are commonly twice as high as the national average rates.
CD ladders let you leverage high rates without locking up all of your money long-term.

As of today, the best interest rates on CDs—certificates of deposit—pay up to 5.40%, based on certificate term lengths. Here’s an overview of how CD rates are changing, followed by a guide to the current top CD rates across different terms.

Related: Compare the Best CD Rates

Highest CD Rates Today

CD Rates Today
Term	Highest APY	Average APY
3 Months	5.39%	1.26%
6 Months	5.40%	1.79%
1-Year CD (12 M)	5.37%	1.95%
2-Year CD (24 M)	5.00%	1.70%
3-Year CD (36 M)	4.75%	1.61%
5-Year CD (60 M)	4.60%	1.61%
Jumbo CD	5.40%	1.70%

Source: Curinos. Rates are based on a $25,000 minimum deposit. Data accurate as of May 8, 2024.

A CD is similar to a savings account, but the interest rate is fixed—not variable. The other major difference is that you’ll typically only earn interest on a CD account if you refrain from withdrawing funds during the term. That term could range from a few weeks to several years, depending on the CD you choose.

If you withdraw money from your CD before it “matures” (reaches the end of its term), you’ll likely get hit with steep penalties in the form of reduced interest. For instance, you may forfeit six months’ worth of interest if you withdraw money from a one-year CD before 12 months are up.

If you’re interested in accruing the maximum amount of interest possible, consider long-term CDs, which historically have the highest APYs. But again, long-term CDs are only an option if you’re willing to stash away some cash you won’t be able to touch for years.

Generally, CDs with longer terms carry more severe withdrawal penalties than short-term CDs. For instance, it’s not uncommon to lose a full year’s worth of interest if you transfer funds out of a five-year CD account before the term is over. Therefore, it’s crucial to familiarize yourself with the CD issuer’s penalties before you open your account.

Today’s 3-Month CD Rates

For short-term savings goals, three-month CDs might make sense. The current average rate on a three-month CD sits at 1.26%, but the highest rate is 5.39%. Last week, three-month CDs were earning 1.25% on average.

Today’s 6-Month CD Rates

If you’re interested in a shorter-term CD, today’s best six-month CD rate is 5.40%. That compares with 5.40% a week ago. The current average APY for a six-month CD is 1.79%, compared to 1.78% last week at this time.

APY provides a more accurate depiction of the annual interest you’ll earn with a CD because it takes into account compound interest. That’s the interest you earn not only on your deposit (or principal) but also on the interest itself.

Today’s 1-Year CD Rates

The highest interest rate currently being offered on a one-year CD—one of the most popular CD terms—is 5.37%. If you discover a 12-month CD with a rate in that neighborhood, you’re getting a good deal. One week ago, the best rate was the same.

The average APY, or annual percentage yield, on a one-year CD is now 1.95%, up from 1.94% a week ago.

Today’s 2-Year CD Rates

If you can hold out for two years, 24-month CDs today are being offered at interest rates as high as 5.00%. The top rate last week at this time was 5.03%. Two-year CDs now have an average APY of 1.70%. That’s the same as last week at this time.

Today’s 3-Year CD Rates

CDs with longer terms tend to have some of the most attractive interest rates and APYs—if you’re willing to keep your money locked away for years.

Today’s highest rate on a three-year CD is 4.75%, so you’ll want to shop around for that rate or something near it. Last week at this time, the best rate on a three-year CD was 4.85%.

Today’s 5-Year CD Rates

On a five-year CD, the highest rate today is 4.60%. APYs are averaging 1.61%, the same as this time last week.

The longer the term, the harsher the early withdrawal penalty. It’s not unusual to lose one full year’s worth of interest or more if you break open a five-year CD too soon. Be absolutely certain you understand the penalty before you make your investment.

Today’s Jumbo CD Rates

The best rate on today’s jumbo CDs is 5.40% for a 6-month term. The average APY for this category of CD is currently 1.70%, compared to 1.69% last week.

Most jumbo CDs require a minimum deposit of $100,000—and some even require $250,000. However, there’s no universally agreed-upon definition regarding what qualifies as a “jumbo” CD. Some banks and credit unions slap the label “jumbo” on CDs you can open with $50,000, $25,000 or even less.

Other Top CD Rates By Term

How To Open a CD

You “purchase” a CD from a financial institution by opening an account with a lump-sum deposit, which becomes the CD’s principal. Many CDs and share certificates (accounts similar to bank CDs but offered by credit unions) have minimum deposits you have to meet, which typically range from a few hundred to several thousand dollars.

Once you deposit your principal, you start the clock on your timed investment and begin earning interest. The bank or credit union will provide you with regular statements showing how much interest you’re accruing. You may accrue interest daily, monthly or quarterly.

Remember, avoid the temptation of tapping into your CD before the term ends. Early withdrawal penalties can be so severe that they can not only take back your interest and then, but also start eating into your principal..

Best CD Rates Offered by Banks in May 2024

CD rates are rarely the exact same between any two banks, so you should comparison shop when looking for a new account. You may decide to stick with your current bank because it’s convenient or join a new bank to take advantage of higher rates. To find the right CD, look at the specific term you’re interested in with a few different banks.

Traditional, brick-and-mortar banks tend to offer lower CD rates, in general, than online banks without any branches. For example, Chase Bank CD rates currently range from while Discover Bank CD Rates currently range from 2.00% to 4.70%, Bank of America CD Rates currently range from 0.03% to 4.00% and Marcus By Goldman Sachs CD Rates currently range from 3.90% to 5.10%.

Other top CD rates by banks include:

Methodology

Curinos determines the average rates for certificates of deposit (CDs) by focusing on specific CDs and excluding others. Certain types, such as promotional offers, relationship-based rates, private, youth, senior, student/minor, affinity, bump-up, no-penalty, callable, variable, step-up, auto transfer, club, gifts, grandfathered, internet-only and IRA CDs are not considered in the calculation.