Top CD Rates Today, Aug. 14, 2024 - Lock In 5.00% or More, for as Long as 2027

Below you'll find featured rates available from our partners, followed by details from our ranking of the best CDs available nationwide.

The Top-Paying CDs Offer 5.30% to 5.40%

All of the country's best CD rates are currently for shorter terms, with a total of seven CDs paying 5.30% to 5.40% APY for durations of 5 to 15 months. Those offers can guarantee your rate until 2025.

INOVA Federal Credit Union, which is paying 5.40% APY on a 5-month term, took over as the nationwide CD rate leader Monday, following the disappearance of the 5.50% offer that previously held the crown.

If you'd like to lock in a top rate for a longer period, you could opt for one of the runners-up, which are paying just a bit less than the overall leader. T Bank lets you lock in 5.35% APY for 9 months, while DR Bank offers that rate for a 6-month term.

Savers interested in a 1-year rate guarantee can score as much as 5.30%, available from West Town Bank & Trust on a 13-month term. Among the elite group of CDs paying at least 5.30%, the longest term is available from Jovia Financial Credit Union. Its offer of 5.30% on a 15-month certificate would secure your rate past Halloween 2025.

Why It's a Smart Time To Secure a Long Rate Guarantee

Despite paying lower annual percentage yields (APYs) than shorter-term CDs, attractive multi-year CDs are a good move before the Fed makes its first rate cut. That's because CD rates could keep sliding—as it's possible the Fed will continue lowering rates for the coming 2–3 years. Opening a CD now will let you lock in today's rate for the entire term—allowing you to enjoy a high APY for years into the future, despite falling rates.

If you're able to commit cash to a CD for longer, you can secure a rate lock until 2026 with American 1 Credit Union's 18-month certificate paying 5.25%, or its 2-year CD paying 5.15%. You can even lock in 5.00% until 2027—again with American 1 Credit Union, for 36 months.

The best 4-year CD rate is 4.60%. You can score that return from American 1 Credit Union as well. Or maybe you'd like to stretch a rate guarantee a full five years. Grow Financial Credit Union is the leader there, offering a rate lock of 4.75% until 2029.

CD Rates Are Still Close to 20-Year Highs

Today's CD rates aren't at their absolute peak, but they're still running historically high. October brought us a top nationwide rate of 6.50%—for just a few days—and today the leading rate is down to 5.40%. Still, quite a few banks and credit unions are offering 5.00% or better. A total of 31 offers among the best nationwide CDs still pay 5.25% or more.

The longest currently available term of 5% or better is 36 months from American 1, mentioned above, but this may not last long. In fact, any APY above 4% may be worth locking in—before the Fed cuts rates.

Jumbo CDs Lead for 1-Year and 5-Year Terms

Jumbo CDs require much larger deposits, and the best jumbo CDs don't offer the best rates in most terms—except for 1-year and 5-year CDs. One American Bank is offering 5.40% for an 11-month term, which is 10 basis points higher than the best standard 1-year CD. Similarly, Grow Financial Federal Credit Union pays 4.86% for a 60-month term, edging out the best standard 5-year CD (4.75%) by 11 basis points. The best jumbo offer in the 6-month term matches the top standard CD at 5.40% APY.

Will CD Rates Fall in 2024?

The Federal Reserve kept the federal funds rate at its current level of 5.25% to 5.50% at its meeting that ended July 31, as was expected. But a rate cut seems to be on the horizon: According to the CME FedWatch tool, 100% of federal funds futures traders expect the Fed will cut rates by at least 0.25 percentage points at its next meeting in September, and they also overwhelmingly predict rates will move even lower in November.

Recent inflation reports have provided more evidence that the Fed's campaign to tamp down inflation has been effective, strengthening predictions of rate cuts in the near future. The latest Consumer Price Index (CPI) was released this morning, and the 2.9% rate for July is the first time we've seen a reading below 3% in over three years. This encouraging report bolsters expectations that Fed rate cuts are on the September horizon.

The central bank's mission to beat inflation led it to raise the federal funds rate 11 times between March 2022 and July 2023, bringing the fed funds rate to its highest level in 22 years. The rate-hike campaign has been a boon to savers with cash in the bank, as the fed funds rate directly influences the rates that banks and credit unions pay on CDs. As a result, CD rates hit a 20-year high last fall. Those with money in a high-yield savings or money market account have also benefited from these historic rates, with savings accounts still paying their highest rates in two decades.

But the Fed has kept rates steady since its last rate hike in July 2023. The most recent decision, on July 31, marked the eighth consecutive meeting in which the central bank left its benchmark rate unchanged.

Fed officials are generally careful not to jump the gun and will likely continue waiting for additional reports before making any decisions about changing the fed funds rate. But with confidence in a September rate cut high—and CD rates likely to move ahead of the central bank's move—if you've got the funds to spare, you may want to lock in an excellent CD rate while you can.

How We Find the Best CD Rates

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), the CD's minimum initial deposit must not exceed $25,000, and any specified maximum deposit cannot be under $5,000.

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.