CD rates continue to hold strong, but that could change in the near future. With the Federal Reserve signaling rate cuts potentially as early as June, now could be a great time to lock in a fixed APY.

The CDs we feature below have top APYs and low minimum deposits (some as little as $500), and they're available to savers nationwide. Plus, every CD on our list can be opened quickly online with no branch visit required.

The best CD rates today, May 1, are above 4.00%. Top offers include:

• OMB, 7 months: 4.65% APY
• United Fidelity Bank, 6 months: 4.55% APY
• United Fidelity Bank, 10 months: 4.50% APY
• NBKC Bank, 7 months: 4.50% APY
• Presidential Bank, 7 months: 4.50% APY

Special pick: Now could be one of the last chances to lock in a yield this high before rates start to fall. LendingClub's 14-month CD currently offers 4.10% APY with just a $500 minimum deposit. Check out LendingClub's 14-month CD here.Data source: Issuing banks. Rates are accurate as of April 30, 2025.

Best CD Rates at Top Banks in May 2025

Should you open a CD?

The Fed is holding interest rates steady so far this year, but rate cuts are likely as we reach the second half of 2025.

Here's why CDs are a great option now:

• They safeguard against rate drops that could occur during the CD term.
• They provide safe and stable returns.

The best CDs are backed by FDIC insurance, which protects deposits of up to $250,000 per person, per bank, in case of a bank failure. Although CDs present minimal risk, other investment avenues like the stock market might provide opportunities for higher returns.

How much can you earn with a CD?

The amount you can earn with a CD depends on three factors: the APY (annual percentage yield), your deposit amount, and the term length.

For example, a $10,000 deposit into a 14-month CD with a 4.10% APY would earn roughly $480 in interest by the time it matures -- with no risk of losing your principal.

Compare that to a traditional savings account, where rates are often much lower and can fluctuate over time. Locking in a top CD rate today, like LendingClub's 14-month CD, can help you maximize your returns before rates drop. See LendingClub's 14-month CD details here.

How to open a certificate of deposit

When you're ready to open a CD, just follow these easy steps:

1. Pick a bank: Look up banks to see which one offers the best CD rates and terms.
2. Go online: Visit the bank’s site and look for certificates of deposit, usually found under "personal banking."
3. Choose your CD: Select the CD that suits you and start the online application for a new account.
4. Fill in details: Enter your personal info and link a bank account to fund your CD.
5. Check terms and apply: Read the CD terms, especially about any early-withdrawal penalties, then submit your application.
6. Note maturity date: Mark on your calendar when your CD matures so you know when you need to either withdraw or reinvest your money.

That's all it takes!

Remember, each CD allows only one deposit. Plan your amount wisely. When you're ready, click here to explore the best CD rates and open a high-yield CD today.

CDs vs. high-yield savings: Earn a high rate of interest without locking up your cash

If you want to earn a high APY with more flexibility and less commitment, then look into a high-yield savings account.

• You can deposit and withdraw money whenever you want.
• You can quickly transfer money to other accounts.
• You can simply deposit cash and leave it, while CDs require some work and decision-making when they mature.

Savings account rates are variable and can change at any time. However, high-yield savings accounts currently have APYs that rival the best CDs.

One standout right now is SoFi Checking and Savings (Member FDIC). This top-rated account offers up to 3.80%² on savings with qualifying direct deposits, plus a $300 bonus¹ for eligible new customers. It's an easy way to boost your savings without locking up your cash. Click here to learn more.

• Sources

  • https://www.ombbank.com/personal-banking/personal-savings/certificates-of-deposit/7-month-high-yield-special
  • https://www.unitedfidelity.com/high-yield-certificates-of-deposit/
  • https://www.nbkc.com/personal/certificate-of-deposits
  • https://www.presidential.com/personal/banking/cds

FAQs

• Should I open a CD right now?

  If you want safety and steady growth, now is a great time to open a CD. Rates are high, but they're likely to drop later this year.

• Can CD rates go even higher in 2025?

  Experts currently expect the Federal Reserve to cut rates later this year, which could result in lower CD rates. However, if inflation climbs and the Fed raises rates instead, CD rates could increase. Rate movements aren't certain, and timing is unclear.

• What's the biggest downside of a CD?

  The biggest downside of a certificate of deposit is the lack of liquidity. When you invest in a CD, your money is locked in for a fixed term, and withdrawing it early can result in loss of interest. This means you have less flexibility to access your funds if you need them before the CD matures.