10 popular firms with the best CD rates

Banks and credit unions offer the best certificate of deposit (CDs) with a special annual percentage rate. A certificate of deposit is a short-term investment made for varying lengths of time to earn a dividend yield on your short-term money. CDs yield more substantial profits than average savings accounts. In simple terms, the longer the term period, the higher will be the interest earned. The financial institutions offering the best CDs include the following:

Discover High-Yield CD
This CD offers varying tenures, no hidden charges, no account opening fee, and reasonable rates. There is only a $2,500 minimum deposit required to open an account. The annual percentage yield (APY) rates vary from 2.5% APY for one year to 3.2% APY for three years. This rate is subject to change without prior notice.

Ally Bank
This bank offers a combination of a fast mobile app, best yields, and low minimum deposits. The best thing is that the deposit amount is not specified. The rates vary from 2.55% APY for one year to 2.9% APY for three years. The funds are FDIC insured up to the maximum limit allowed by law.

Marcus by Goldman Sachs
This consumer lending platform offers a 10-day guarantee on your CD so that if rates ever increase within the period, the company will proportionally increase the rates on your CDs. You are given a user-friendly mobile app, and the CDs have superior rates varying from 2.4% APY for one year to 2.90% APY for three years. There is a low minimum deposit of $500 required.

Sallie Mae Bank
A range of CD rates with the best yields is available for different tenures, starting from 6 months. The minimum deposit is $2,500. The APY rates vary from 2.65% for twelve months to 3.05% for thirty-six months.

Synchrony Bank
This bank offers competitive rates across a range of tenures from three months to sixty months. No minimum CD amount is specified, and the APY rates vary from 2.60% APY for one year to 3.25% for five years.

Tab Bank
If you want to structure a CD-based portfolio, this bank offers you the option of eight different tenures with superior yields. With a minimum deposit of $1,000, the APY rates vary from 2.35% for one year to 3.05% APY for three years.

Connexus Credit Union CDs
If you are interested in a CD from a credit union, opt for Connexus as their rates are competitive, yielding high interest. It offers the best rates for long tenures ranging from twelve to sixty months. The funds are federally insured for up to $250,000 by NCUA.

PenFed Credit Union
This credit union’s money market certificate offers competitive rates with low minimum deposits. You just have to deposit $1,000 and yield benefits across varying APY rates, from 2.30% for one year to 3.25% APY for a three-year term.

Barclays online CDs
The certificate of deposits from Barclays is attractive and structured with FDIC insurance, no minimum amounts, fees and balances. The competitive APY rates vary from 2.50% for one year to 3.25% for five years.

Popular Bank CDs
To open an account, there is a higher minimum deposit amount of $10,000 compared to other institutions. The APY rates vary from 0.50% APY for one year to 2.85% for five years.

Certificate of deposit is the best form of savings compared to other bank savings accounts. By making a fixed deposit in a CD for a particular tenure where your funds are locked away and not accessible, you earn a higher annual percentage yield. The above list has been curated to offer you the best rates and the list of institutions offering such products. Depending on your convenience, choose the option that best fits your plans and investment horizon.

"Image for representational purposes only"
Finance