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After holding on to its rate crown for more than a month, the top-paying nationwide CD dropped its market-leading rate today. But the news isn’t all bad, as a new contender has entered the void, offering the same top rate, though on a slightly shorter term. So the top rate on any CD right now is 5.50% on a 19-month certificate from Hyperion Bank.
The CD rate landscape saw another improvement today as well. Newtek Bank has joined the leaderboard with its term-leading 5.00% APY on a 3-month certificate. The top annual percentage yield (APY) on these short-term CDs was 4.75% APY yesterday.
Key Takeaways
- The top 3-month and 18-month rates were each boosted a quarter percentage point today.
- Four more CDs that pay at least 5.25% APY are available today.
- The 2-year and 3-year terms lost a little ground, with the top-billed rates declining from 5.50% to 5.35% APY.
- The most you can earn on any term continues to be 5.50% APY, but now on a 19-month term.
- Jumbo CD rates held their ground, with a top yield of 5.25% in two terms.
Credit Human, a nationally available credit union, had been offering 5.50% APY on certificates with terms of 24 to 35 months since March 3. Today it reduced that rate to 5.35% APY. But that’s still enough to co-lead the 2-year term with Langley Federal Credit Union, whose 5.35% APY rate is available for a 22-month certificate. And it’s also still the highest rate available on in our 3-year CD category.
Meanwhile, Hyperion Bank has stepped up, offering 5.50% APY on a special 19-month promotional certificate. Though it’s implied this is a limited-time offer, Hyperion has not disclosed an expiration date. For now, Hyperion enjoys top honors for the highest nationally available CD rate in any term.
Not all of the news was in the top-rate spots. There was also upward movement among the second and third ranks. There are now 14 certificates paying at least 5.25% APY, while yesterday there were only 10. You can now also earn 5.00% APY or better in every single term from 3 months to 3 years.
Jumbo CD rates marked time today, with the top rate remaining 5.25% in the 6-month and 18-month terms. As is often the case, you can earn more with a standard CD in most terms.
Rate moves by the Federal Reserve in coming months are extremely uncertain right now, but most market forecasters expect the Fed rate will rise only slightly higher, and could perhaps be pulled back before 2023 ends. For that reason, it might be wise to lock in an attractive CD rate soon that you’ll be able to enjoy for months or years to come, regardless of Fed decisions.
| CD Term | Yesterday’s Top National Rate | Today’s Top National Rate | Day’s Change (percentage points) |
|---|---|---|---|
| 3 months | 4.75% APY | 5.00% APY | + 0.25 |
| 6 months | 5.25% APY | 5.25% APY | No change |
| 1 year | 5.25% APY | 5.25% APY | No change |
| 18 months | 5.25% APY | 5.50% APY | + 0.25 |
| 2 years | 5.50% APY | 5.35% APY | – 0.15 |
| 3 years | 5.50% APY | 5.35% APY | – 0.15 |
| 4 years | 4.73% APY | 4.73% APY | No change |
| 5 years | 4.68% APY | 4.68% APY | No change |
| 10 years | 4.30% APY | 4.30% APY | No change |
| CD Term | Today’s Top National Bank Rate | Today’s Top National Credit Union Rate | Today’s Top National Jumbo Rate |
|---|---|---|---|
| 3 months | 5.00% APY | 4.50% APY | 3.91% APY |
| 6 months | 5.25% APY | 5.25% APY | 5.25% APY |
| 1 year | 5.25% APY | 5.15% APY | 5.15% APY |
| 18 months | 5.50% APY | 5.25% APY | 5.25% APY |
| 2 years | 5.28% APY | 5.35% APY | 5.04% APY |
| 3 years | 4.60% APY | 5.35% APY | 4.99% APY |
| 4 years | 4.55% APY | 4.73% APY | 4.89% APY |
| 5 years | 4.50% APY | 4.68% APY | 4.84% APY |
| 10 years | 4.10% APY | 4.30% APY | None |
Will CD Rates Rise or Fall?
CD rates climbed in 2022 as a result of the Federal Reserve raising the federal funds rate to combat inflation. The Fed’s actions this year have pushed rates to heights not seen in years. The Fed has already raised the fed funds rate twice this year, both times by 0.25%. While still an increase, the hikes were lower than last year when inflation was higher than it is now.
Below you can see how CD rates have trended over the last few years. The points on the graph indicate the highest CD rate offered for that term as of Monday of that week.
The Fed’s next meeting will conclude May 3, and it appears most likely that additional hikes will be minimal. It’s even possible the Fed could start lowering the federal funds rate before the year’s out. If it decides to put a pause on rate hikes, we could see these lines on the graph stay the same for some time, or begin to drop.
Note that the “top rates” quoted here are the highest nationally available rates Investopedia has identified in its daily rate research on hundreds of banks and credit unions. This is much different than the national average, which includes all banks offering a CD with that term, including many large banks that pay a pittance in interest. Thus, the national averages are always quite low, while the top rates you can unearth by shopping around are often five, 10, or even 15 times higher.
Rate Collection Methodology Disclosure
Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs to customers nationwide and determines daily rankings of the top-paying certificates in every major term. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the CD’s minimum initial 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 to become a member if you don’t meet other eligibility criteria (e.g., you don’t live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.
