Top CD prices today, June 26, 2023

Interest rates on the nation's best certificates of deposit (CDs) continue to improve, with the number of options in our daily ranking of the best CDs paying at least 5.35% rising to 15 today, from 13 on Friday.

Yields on the best CDs available nationwide have risen so much recently that we are shifting our focus to that 5.35% threshold rate rather than the 5.25% rate we previously reported on. The number of allowances paying at least 5.25% has risen from single digits in early May to 42 today, including a seven-percent increase over the past week.

The highest interest rate of all terms is still 5.65% APR, available for a term of 9 months. However, if you want to extend a good interest rate (5.00% minimum) as far into the future as possible, there is a 3-year CD that pays 5.13% APY and a 4-year Jumbo CD that which pays 5.12% APY – You'll need a deposit of $100,000 for that.

The central theses

  • Fifteen CDs in our daily leaderboard are paying 5.35% APY or more, up from 13 on Friday.
  • The best overall interest rate of all maturities is still 5.65% APR, available on a 9 month CD.
  • If you want to secure an excellent interest rate well into the future, a deposit of $100,000 can earn you an APR of 5.13% for a 3-year certificate or 5.12% for a 4-year jumbo certificate achieve.
  • Although the Fed decided to leave interest rates unchanged at its June 14 meeting, it has signaled that it is likely to hike rates later this year. Should the Fed hike, CD rates would almost certainly rise even higher than today's record highs.
CD Conditions The nation's highest Friday price Today's highest national tariff change of day (percentage points)
3 months 5.16% APR 5.16% APR No change
6 months 5.65% APR 5.65% APR No change
1 year 5.52% APR 5.52% APR No change
18 months 5.45% APR 5.45% APR No change
2 years 5.25% APR 5.25% APR No change
3 years 5.13% APR 5.13% APR No change
4 years 4.85% APR 4.85% APR No change
5 years 4.77% APR 4.77% APR No change
Click on the term you want in the left column above to see the 15-20 best rates nationwide for any term.

Despite the assumption that a larger deposit is entitled to a higher return, this is not always the case with jumbo certificate prices, as they often yield less than standard CDs. Today's best jumbo deals, which typically require a deposit of $100,000 or more, outperform the best standard fares in three CD terms, but in the other five terms you can do just as well with standard CDs or perform even better. So remember to buy each type of CD before making a final decision.

Click on the column headings above to view our lists of the best paying CDs by term for bank, credit union and jumbo certificates.

How are CD prices going this year?

For the past 15 months, the Federal Reserve has been on a mission to fight decades of inflation with aggressive hikes in the federal funds rate, which have totaled 5.00% so far. With deposit rates closely tracking Fed Funds rates, the Fed's multiple hikes have pushed today's savings and CD rates to their highest levels since 2007, creating a heyday for CD buyers and anyone with cash on a High-yield savings or money market holding account.

At its last meeting on June 14, the Fed held interest rates steady for the first time in 11 meetings. But Fed Chair Jerome Powell said last Wednesday that one or two more rate hikes were likely this year, and Federal Reserve Governor Michelle Bowman confirmed that prediction on Thursday. “Although tighter monetary policy has had some impact on economic activity and inflation so far, we have essentially observed a plateau in core inflation since autumn 2022.” target to lower”.

It was overwhelmingly expected that further rate hikes by the Fed would come in tiny increments of 0.25%. That means if one or two more rate hikes happen, we could see the benchmark interest rate rise as much as 0.50% above today's levels. Even a 0.25% hike later this year would almost certainly push CD rates higher.

But beware: there is never a guarantee of what action the Fed will take, as every interest rate decision is based on the latest economic data and financial news. While it is currently likely that the Fed will continue to raise rates, it is still possible that the Fed will back away from that plan. If that were to happen, it would mean that today's CDs are already at or close to their peak price, making them a good buy.

The next Fed meeting ends on July 26th.

Note that the “top rates” quoted here are the highest rates available nationwide, as identified by Investopedia in its daily interest rate research of hundreds of banks and credit unions. This differs significantly from the national average, which includes all banks that offer CDs with this maturity, including many large banks that pay low interest rates. As a result, national averages are always quite low, while the top prices you can find while shopping are often five, ten or even 15 times higher.

Disclosure of Tariff Collection Methodology

Each business day, Investopedia tracks rate data from more than 200 banks and credit unions offering CDs to customers across the country, and provides daily rankings of the best paying certificates for each key time period. To qualify for our listings, the institution must be federally insured (FDIC for banks, NCUA for credit unions) and the minimum CD deposit must not exceed $25,000.

Banks must be available in at least 40 states. And while some credit unions require you to donate to a specific charity or association in order to become a member if you don't meet other eligibility criteria (like not living in a specific area or working in a specific type of job). ), We exclude credit unions whose donation needs are $40 or more. For more information on how we select the best fares, see our full methodology.

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