Certificates of deposit (CDs) stay one of the crucial dependable short-term financial savings instruments, particularly for these in search of assured returns as charges fall. As of February 4, 2026, the greatest 12-month CD charges attain as much as 4.10% APY (annual proportion yield), with many banks and credit score unions nonetheless providing yields far above the nationwide common of 1.61%, in keeping with the FDIC.
Nonetheless, during the last week we noticed a number of main banks drop their 12-month CD charge.
Now may be the very best time to lock in a assured charge. For those who’re seeking to earn a predictable return over the following 12 months, these are the very best CD charges out there right now.
💰 At the moment’s Greatest 12-Month CD Charges At a Look
Listed below are the very best financial institution and credit score union financial savings accounts charges right now:
|
Financial institution or Credit score Union |
High APY |
Minimal Deposit |
|---|---|---|
|
4.10% |
$100,000 |
|
|
4.00% |
$2,500 |
|
|
3.80% |
$2,500 |
|
|
3.80% |
$1,000 |
|
|
3.80% |
$1,000 |
1. Credit score One Financial institution – Credit score One Financial institution is providing a jumbo CD at 4.10% APY, however it does require a $100,000 minimal deposit to open.
2. Seattle Financial institution – Seattle Financial institution is at present providing a 12-month CD at 4.00% APY with only a $1,000 minimal deposit.
3. Reside Oak Financial institution – Reside Oak Financial institution is at present providing a 12-month CD at 3.80% APY with a $2,500 minimal to open. Learn extra about Reside Oak Financial institution right here.
4. Navy Federal Credit score Union – Navy Federal CU is at present providing a daily 12-month share certificates with only a $1,000 minimal at 3.75% APY. If in case you have $100,000, you may get the jumbo share certificates for 3.80% APY. Learn our full Navy Federal Credit score Union evaluate right here.
5. Alliant Credit score Union – Alliant Credit score Union provides brief time period and long run CDs with aggressive APYs. Proper now you may get 3.75% APY on a 12-month CD choice! And you’ll even earn as much as 3.80% APY on a Jumbo CD. Learn our full Alliant Credit score Union Assessment.
You could find a full checklist of the very best 12-month CDs right here >>
How 12-Month CDs Work
A 12-month certificates of deposit pays a set rate of interest for one 12 months in change for preserving your cash on deposit till maturity. For those who withdraw early, the financial institution costs a penalty – usually 90 days of curiosity.
CDs attraction to savers preferring assured, short-term returns. Whereas high-yield financial savings accounts supply flexibility, CDs can safe a better fastened return for a set interval, which could be useful if charges are anticipated to say no.
For instance, a $25,000 CD at 4.00% APY would earn roughly $1,000 in a single 12 months, in contrast with about $420 primarily based on right now’s nationwide common 12-month CD charge.
What To Know Earlier than Opening A CD
Certificates of deposit function in a different way than financial savings accounts. Ensure you perceive what you are getting:
- Brief-Time period Objectives: Supreme for saving towards tuition, a marriage, or a house down fee inside a 12 months.
- Fee Safety: A CD locks your APY, so that you’re insulated from charge cuts.
- Ladder Technique: Pair a 12-month CD with longer phrases (24- or 36-month) to seize increased charges whereas sustaining liquidity.
- Security:
FDIC or NCUA insurance coverage protects as much as $250,000 per depositor, per establishment.
Earlier than opening an account, ensure you perceive all of the phrases:
- Minimal Deposit: Some banks require $1,000 or extra to open.
- Withdrawal Phrases: Assessment penalties earlier than committing funds.
- Renewal Coverage: Many CDs robotically renew at maturity except you decide out.
- Fee Ensures: Verify whether or not your charge is locked on the time of utility or funding.
- On-line Entry: Make sure the financial institution permits straightforward transfers and e-statements.
How We Observe And Confirm Charges
At The School Investor, our editorial group critiques CD charges each day from greater than 30 banks and credit score unions nationwide. We verify each APY instantly from official charge disclosures and regulatory filings.
Solely FDIC- or NCUA-insured establishments out there to U.S. customers are included.
Our rankings are editorially impartial – compensation doesn’t affect placement. Whereas we could earn a referral charge if you open an account by means of some hyperlinks, our critiques and suggestions are primarily based solely on yield, accessibility, and total buyer expertise.
FAQs
Are 12-month CDs protected?
Sure. CDs are federally insured as much as $250,000 per depositor, per establishment.
Can I withdraw my cash early?
Sure, however you’ll forfeit some curiosity, usually three months’ price.
Are CD earnings taxable?
Sure. Curiosity earned is topic to federal earnings tax, and in some states, state tax.
What occurs when a CD matures?
You’ll often have a 7- to 10-day grace interval to withdraw or renew your funds.
Is now an excellent time to open a CD?
Charges stay close to their cycle highs, so locking in a short-term CD could make sense earlier than potential cuts.
The submit Greatest 12-Month CD Charges for February 4, 2026: As much as 4.10% appeared first on The School Investor.
