Highest Certificate of Deposit Interest Rates Offered by Banks in April 2025
Let's Talk CD Rates: The Ultimate Guide for April 2025
Are you eager to earn some decent returns on your savings? Look no further than Certificates of Deposit (CDs).
We've gathered the latest CD rates from leading financial institutions for your convenience. Here's a breakdown of some of the best deals for April 2025:
- Federal Reserve resources offer valuable insights into Open Market Operations, FOMC Statements, and Economic Projections. Through these, you can stay informed about the broader financial landscape.
- The U.S. Securities and Exchange Commission guides you on determining your risk tolerance, ensuring that you make informed decisions when choosing a CD.
- The Federal Deposit Insurance Corporation provides information about National Rates and Rate Caps, while the IRS's Topic No. 403 offers insights on Interest Received.
Now, let's dive into the top CD rates of April 2025:
Short-Term CD Rates
- 3-to-6-month terms: Bask Bank and Bread Savings offer competitive rates of 4.50% APY for their 3- and 6-month terms, respectively. Forbes even reports a 4.94% peak for some 6-month CDs.
- 5-to-13-month terms: Select banks provide rates as high as 4.55–4.65% APY for terms up to 13 months.
Longer-Term CDs
- 1-year: The highest listed rate is 5.02%. However, Bankrate's national average is lower, ranging between 1.85–2.01%.
- 2-to-5-year terms: Rates decline to 4.30–4.52% for 2-year CDs, while Bankrate's averages range from 1.54% (3-year) to 1.69% (5-year).
Of course, there are a few key considerations to keep in mind:
- Institution type: Online banks like Marcus by Goldman Sachs (14-month CDs at 4.40%) and LendingClub (4.10%) are offering competitive rates with lower minimum deposits.
- Fed influence: Despite rate cuts in 2024, the Fed has held rates steady in 2025, contributing to stable CD yields.
- Penalties and terms: Early withdrawal penalties and term length remain critical factors. Shorter terms often offer better liquidity with comparable returns.
As economic uncertainty continues, investor focus has gravitated towards shorter-duration CDs, while longer-term options still provide fixed-rate security. Make sure to verify rates directly, as offerings can vary based on deposit size and promotional timelines.
Happy saving!
- To ensure you make informed decisions when investing in Certificates of Deposit (CDs), the U.S. Securities and Exchange Commission helps you determine your personal-finance risk tolerance.
- In April 2025, some of the best short-term CD rates are offered by Bask Bank and Bread Savings, with a 4.50% Annual Percentage Yield (APY) for their 3-month terms, and Bread Savings offering a competitive 4.94% APY for their 6-month terms.
- longer-term CDs, such as 1-year and 2-to-5-year terms, may provide lower rates compared to short-term CDs, with the highest listed rate for a 1-year term being 5.02%, and rates declining for longer terms, but still offering fixed-rate security.
- Considering the current economic climate, a focus on shorter-duration CDs has emerged due to their higher liquidity and comparable returns, while still offering the security of fixed rates.
- As you invest in CDs and compare the rates, it is important to be aware of the role of the Federal Reserve in influencing interest rates, as well as the penalties and terms associated with early withdrawals.
