Look, if there’s one thing you deserve after the past few years, it’s more for your money. With inflation chipping away at your wallet and paycheck, isn’t it time this economy paid you back?
Well, that time is now. After the Fed’s latest rate hike, rates on one-year certificates of deposit (CDs) are sky-high—some offering annual percentage yield (APYs) of over 5%. And while a CD requires you to commit money for one full year or pay a penalty (which no one wants), many have low to no investment minimums. So, whatever you’re comfortable committing, you can start earning some of the highest interest rates available in years.
You can explore our ranking methodology here.
Current 1-year CD rates for our top picks*
The 10 best 1-year CD rates
The following is our list of the best one-year CDs according to Fortune Recommends editors, based on our ranking of several account features.
Note: Minimum deposit requirements, APYs, and other figures in our list are up to date as of December 1, 2023, but are subject to change.
1. CIBC Agility—5.66% APY
| Key numbers | |
| Minimum opening deposit | $1,000 |
| 1-year APY | 5.66% |
| Early withdrawal penalty | Up to 30 days’ simple interest |
| Great for | Those who want a smaller early withdrawal penalty (just in case) |
Why we picked it
CIBC Bank USA is a subsidiary of Toronto-based Canadian Imperial Bank of Commerce, which was founded in 1867. It offers a line of online deposit products under the Agility brand.
The 1-year CD from CIBC Agility also comes with one of the highest rates available today. It also imposes a fairly low early withdrawal penalty for customers who need to pull out their money before the maturity date. However, it also requires a higher minimum opening deposit than many of the other banks on our list.
2. Barclays—5.50% APY
| Key numbers | |
| Minimum opening deposit | $0 |
| 1-year APY | 5.50% |
| Early withdrawal penalty | 90 days’ simple interest |
| Great for | Those who don’t have a ton of savings yet |
Why we picked it
Barclays is a U.K.-based bank that operates its U.S. accounts solely online, so account holders need to do all of their banking on the Barclays website or through the mobile app.
Interest on Barclays’ one-year CD is compounded daily, and there is no minimum opening deposit, which makes this CD one of the more flexible on our list for savers at any stage.
3. Bask Bank—5.60% APY
| Key numbers | |
| Minimum opening deposit | $1,000 |
| 1-year APY | 5.60% |
| Early withdrawal penalty | 90 days’ interest on amount withdrawn |
| Great for | Those who prefer a simple banking experience |
Why we picked it
Bask Bank is a no-frills online bank that offers a total of three products—two types of savings accounts as well as CDs.
The 1-year CD from Bask Bank offers one of the highest rates around at 5.60% APY. The minimum deposit required is a bit steeper at $1,000, however.
4. Rising Bank—5.25% APY
| Key numbers | |
| Minimum opening deposit | $1,000 |
| 1-year APY | 5.25% |
| Early withdrawal penalty | 90 days’ interest |
| Great for | Those who want digital perks with a community bank feel |
Why we picked it
Rising Bank is an online division of Midwest BankCentre, a leading financial institution based in St. Louis, Missouri that’s been investing in its community for more than 100 years.
The 1-year CD from Rising Bank has one of the best rates you’ll find today, with a 5.60% APY and $1,000 minimum opening deposit.
5. MYSB Direct—5.40% APY
| Key numbers | |
| Minimum opening deposit | $500 |
| 1-year APY | 5.40% |
| Early withdrawal penalty | All interest earned |
| Great for | Those who don’t need to dip into funds early |
Why we picked it
MYSB Direct is the online-only banking division of New York-based M.Y. Safra Bank. Its 1-year CD comes with a competitive 5.41% APY and modest opening deposit requirement of $500. However, customers who need to withdraw their funds early will be subject to a hefty early withdrawal penalty of all interest earned.
6. CFG Bank—5.35% APY
| Key numbers | |
| Minimum opening deposit | $500 |
| 1-year APY | 5.35% |
| Early withdrawal penalty | 90 days’ interest |
| Great for | Those who want some interest income |
Why we picked it
Founded in 2009, CFG Bank is a Baltimore-based community bank that offers both commercial and personal banking services, including a selection of online deposit accounts that are available from anywhere in the U.S.
The 1-year CD from CFG Bank requires a modest minimum opening deposit of $500 to earn the great rate of 5.50% APY. The bank allows you to roll accumulated interest into the principal balance and let it compound for a higher yield, or you can opt to have an interest check mailed monthly or have interest transferred to another account.
7. Bread Savings—5.55% APY
| Key numbers | |
| Minimum opening deposit | $1,500 |
| 1-year APY | 5.55% |
| Early withdrawal penalty | 180 days’ simple interest |
| Great for | Those with more to save |
Why we picked it
Bread Savings is part of Bread Financial, a tech-based financial services company. Bread Savings focuses on providing a simplified online banking experience to those who are looking for high-yield accounts.
The bank’s 1-year CD offers a highly competitive rate of 5.60% APY. Interest compounds daily, allowing customers to grow their savings faster compared to other accounts. However, it also has the highest minimum deposit requirement at $1,500 and a relatively steep early withdrawal penalty.
8. Citadel Credit Union—5.20% APY
| Key numbers | |
| Minimum opening deposit | $500 |
| 1-year APY | 5.20% |
| Early withdrawal penalty | 90 days of dividends |
| Great for | Those who prefer a credit union over a bank |
Why we picked it
Citadel is a not-for-profit credit union that serves customers in the Greater Philadelphia area. However, its online accounts are available to open nationwide.
To open a 1-year CD from Citadel credit union, you’ll need to become a member. Every member is required to have a Star Savings ‘share’ account. With only a $5.00 minimum deposit you enjoy all the benefits of membership. This savings account is opened automatically with each new account.
9. Vio Bank—5.25% APY
| Key numbers | |
| Minimum opening deposit | $500 |
| 1-year APY | 5.25% |
| Early withdrawal penalty | 1% of the amount withdrawn, plus a $25 fee |
| Great for | Those who don’t need ATM access |
Why we picked it
Another online-only bank to make our list, Vio Bank is a division of MidFirst Bank, the largest privately held bank in the U.S.
Its one-year CD boasts a competitive 5.25% APY and a modest minimum opening deposit of $500. While we have other accounts on our list with similar APYs and opening deposits, Vio Bank’s early withdrawal penalty is substantial, especially if you deposit a small amount. At 1% of the amount withdrawn, plus a $25 fee, you’d lose part of your principal balance if you deposited $500 and made an early withdrawal.
10. Limelight Bank—5.50% APY
| Key numbers | |
| Minimum opening deposit | $1,000 |
| 1-year APY | 5.50% |
| Early withdrawal penalty | 90 days’ interest |
| Great for | Those who want to support green initiatives |
Why we picked it
Limelight Bank is an online bank with a focus on eco-friendly initiatives. It’s based in Utah but serves customers nationwide.
Limelight’s one-year CD has one of the highest rates available today at 5.50% APY. However, it also has one of the highest minimum deposit requirements of $1,000.
One potential drawback for savers who want to roll over their CD after a year may be Limelight’s limited CD terms. This bank only offers four term lengths ranging from 6 to 36 months.
What is a 1-year CD?
Banks and credit unions typically offer a wide range of CD terms. One-year CDs require account holders to deposit their money in one lump sum and leave their funds untouched for 12 months. After that, the CD officially reaches maturity, and the account holder can withdraw funds, plus any interest accrued, or roll over those funds into a new CD.
CDs with shorter terms of one year can be a flexible option for savers who are not playing the long game and don’t want to tie up their funds for years.
Best CD rates for other terms
Our methodology
The Fortune RecommendsTM team compared one-year certificates of deposit (CDs) from more than 50 major banks, credit unions, and online-only banks. Our top picks are available across the U.S., so you can sign up for an account no matter where you live.
We ranked the best one-year CDs in the following categories:
- Annual percentage yield (50%): This number represents the real rate of return on your balance; the higher the APY, the better.
- Minimum deposit requirement (30%): To open a CD at any financial institution, it will require that you deposit a minimum dollar amount.
- Interest compounding frequency (15%): Interest on deposit accounts like CDs can compound daily or monthly. The more often interest compounds on your CD, the more you stand to earn over the term.
- Customer service (5%): Top picks offer customers three ways to get in contact: chat support, by phone, or email. Among the three options, we gave the phone support the most weight.
The best CDs offer APYs two to three times the national average. We didn’t include brokered CDs on our list, which are sold on the secondary market through brokerages instead of banks and can be riskier because of this.
The rates, fees, and minimum deposit requirements for CDs are available for a limited time, and APYs are subject to fluctuation, which could impact how much interest you earn. All the banks and credit unions on this list are insured by the FDIC and NCUA, respectively. Should you choose to terminate your CD before it matures, you could be subject to a penalty, which varies by bank.
