Best CD Rates for 2026: Top Offers From Online Banks

By David Rosenberg, Personal Finance Editor · May 19, 2026

CD rates remain competitive in 2026. The top online banks pay 4.50% to 4.80% APY on 1-year CDs, far above the national average. Locking in a rate now protects you from Fed rate cuts.

Rates as of May 2026.Check the bank's website for the most current rate before opening an account.

Affiliate disclosure:Some links on this page may be affiliate links. If you open an account, we may earn a small commission at no cost to you. This does not affect our rankings. All APYs reflect the rate listed on each bank's official rate page on the date of this update.

Top 5 CDs by APY: May 2026
#	CD	Term	APY	Min. Deposit	Early Withdrawal	FDIC	Open
1	Synchrony Bank 14-Month CD	14 months	4.80%	$0	180 days interest	Yes	Open account
2	Marcus 12-Month CD	12 months	4.70%	$500	90 days interest	Yes	Open account
3	CIT Bank 11-Month No-Penalty CD	11 months	4.65%	$1,000	None	Yes	Open account
4	Discover 12-Month CD	12 months	4.55%	$2,500	3 months interest	Yes	Open account
5	Amex 12-Month CD	12 months	4.50%	$0	90 days interest	Yes	Open account

Synchrony Bank 14-Month CD

14 months · Min: $0 · Early withdrawal: 180 days interest

4.80%

APY

Pros

Highest APY in the comparison at 4.80%
No minimum deposit required
FDIC insured up to $250,000

Cons

180-day penalty is steeper than most 1-year CDs
14-month term is slightly longer than a standard 1-year
Slightly higher early withdrawal penalty than other picks

Open account at Synchrony Run the math at 4.80%

Marcus 12-Month CD

12 months · Min: $500 · Early withdrawal: 90 days interest

4.70%

APY

Pros

Trusted Goldman Sachs brand
Low 90-day early withdrawal penalty
No monthly fees

Cons

$500 minimum deposit to open
No ATM or debit card access

Open account at Marcus Run the math at 4.70%

CIT Bank 11-Month No-Penalty CD

11 months · Min: $1,000 · Early withdrawal: None

4.65%

APY

Pros

No early withdrawal penalty at all
Strong 4.65% APY with full flexibility
FDIC insured

Cons

$1,000 minimum deposit
APY slightly lower than traditional 12-month CDs
11-month term does not auto-renew into another no-penalty CD

Open account at CIT Run the math at 4.65%

Discover 12-Month CD

12 months · Min: $2,500 · Early withdrawal: 3 months interest

4.55%

APY

Pros

Strong Discover brand with reliable customer service
Low 3-month early withdrawal penalty
No monthly fees

Cons

$2,500 minimum deposit is the highest in this list
APY below Synchrony and Marcus

Open account at Discover Run the math at 4.55%

Amex 12-Month CD

12 months · Min: $0 · Early withdrawal: 90 days interest

4.50%

APY

Pros

No minimum deposit
Easy to link with existing Amex card account
Competitive 4.50% APY

Cons

Lowest APY in this comparison
No ATM or checking account pairing

Open account at Amex Run the math at 4.50%

How we picked these CDs

Every CD on this list is FDIC insured, charges no monthly fees, and comes from a reputable online bank with clear, published penalty terms. We ranked by APY first, then factored in minimum deposit requirements and early withdrawal flexibility. Banks that hide penalty details or charge account maintenance fees were removed from consideration. Rates were pulled directly from each bank's official rate page on the date of this update.

1-year vs 2-year vs 5-year CD: which term is best right now?

In 2026, with rates potentially declining, 1-year CDs let you reinvest sooner. If rates drop in 2027, you still had the higher rate for a full year and then get to reassess. 5-year CDs lock in the rate longer, which is great if rates fall sharply, but you lose flexibility for five years and face a steep penalty if you need the money early.

If you are not sure which direction rates will go, a CD ladder splits your money across multiple terms so you always have a portion maturing soon.

What is a CD ladder?

A CD ladder splits your savings across several CDs with different maturity dates. For example, you put $15,000 into three CDs: $5,000 in a 1-year CD, $5,000 in a 2-year CD, and $5,000 in a 3-year CD. Each year one CD matures, giving you access to part of your money.

When each CD matures, you reinvest at the current rate. If rates went up, you benefit. If they went down, you still have the other CDs locked at the older, higher rates.

The ladder reduces the risk of committing all your money at the wrong time. It is one of the simplest tools in personal finance and works especially well when future rate moves are unclear.

CD vs HYSA: which should you choose?

Choose a CD if:

You do not need the money for 6 to 24 months
You want to lock in the current rate before it drops
You have a defined savings goal with a deadline

Choose a HYSA if:

You may need access to the money at any time
You want a variable rate that could move up with the Fed
You are building an emergency fund

Not sure which one wins for your situation? See our best high-yield savings accounts comparison for the top HYSA options alongside current APYs.

Want to see exactly how much a CD will earn?

Enter any APY and term into the free CD calculator.

Open the CD Calculator

Frequently asked questions

What is a certificate of deposit (CD)?

A CD locks your money for a set term at a fixed APY. Common terms are 6 months, 1 year, 3 years, and 5 years. You earn the agreed rate until the CD matures. Withdrawing early usually triggers a penalty.

Are CDs FDIC insured?

Yes. CDs at FDIC-member banks are insured up to $250,000 per depositor, per bank. Credit union CDs use NCUA insurance with the same limit. Your money is safe up to that cap. (Source: FDIC.gov)

What is a no-penalty CD?

A no-penalty CD lets you withdraw your money before maturity without paying a fee. The tradeoff is a slightly lower APY than a traditional CD. Good option if you think you might need the cash before the term ends.

What happens when a CD matures?

At maturity, most banks give you a short window (typically 7 to 10 days) to withdraw or move the money. If you do nothing, the bank usually rolls the CD into a new one at the current rate, which may be lower.

What is the early withdrawal penalty?

Banks charge 3 to 12 months of interest for breaking a CD early. A 1-year CD at Marcus charges 90 days of interest. A 5-year CD may charge 150 to 365 days. The exact penalty is in your CD agreement.

How often do CD rates change?

CD rates are set at opening and fixed for the term. Once you open a CD, your rate does not change. New CD rates change when market rates move. After the Fed cuts rates, new CDs pay less, which is why locking in now can make sense.

What if I need the money before the CD matures?

You have three options: (1) Pay the early withdrawal penalty and take the money. (2) Use a no-penalty CD such as the CIT Bank 11-month option above. (3) Use a HYSA instead, which lets you withdraw any time without penalty.

Methodology and sources

CDs were ranked by APY, then adjusted for minimum deposit, early withdrawal flexibility, and bank reputation. APYs were pulled directly from each bank's official rate page on the date of this update. Primary data sources: FDIC weekly national rates and each bank's published rate page. Rates change without notice. Always verify before opening an account.