4 Great CDs to Check Out in May
KEY POINTS
- Several banks are still offering short-term CDs with APYs at or higher than 5.00%.
- TotalDirectBank has the highest short-term CDs, with two terms paying out at 5.51%.
- Bread Savings and Vio Bank are offering CDs with rates above 5.25%, while LendingClub has a 1-year CD at 5.15%.
Certificates of deposit (CDs) have been all the rage among savers and investors in 2024. That's because the best CD rates have reached levels unseen in over two decades. Depending on the term, you might snag a CD rate above 5.00%, even while some judicious savers managed to catch rates even higher than that before they started to drop.
Although CD rates are not as lucrative as they were six months ago, you can still find a great deal on accounts with short terms. With that in mind, let's take a look at five excellent CDs on the market in May.
1. Bread Savings CD
Term: 1-year
APY: 4.30%
Our Picks for the Best High-Yield Savings Accounts of 2024
| Product | APY | Min. to Earn | |
American Express® High Yield Savings
Member FDIC.
APY
3.80%
Rate info
3.80% annual percentage yield as of January 1, 2025. Terms apply.
Min. to earn
$0
Open Account for American Express® High Yield Savings
On American Express's Secure Website. |
3.80%
Rate info
3.80% annual percentage yield as of January 1, 2025. Terms apply.
|
$0
|
Open Account for American Express® High Yield Savings
On American Express's Secure Website. |
Capital One 360 Performance Savings
Member FDIC.
APY
3.80%
Rate info
See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening.
Min. to earn
$0
Open Account for Capital One 360 Performance Savings
On Capital One's Secure Website. |
3.80%
Rate info
See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening.
|
$0
|
Open Account for Capital One 360 Performance Savings
On Capital One's Secure Website. |
Western Alliance Bank High-Yield Savings Premier
Member FDIC.
APY
4.40%
Rate info
The annual percentage yield (APY) is accurate as of Jan. 2, 2025, and subject to change at the Bank’s discretion. Refer to product’s website for latest APY rate. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY.
Min. to earn
$500 to open, $0.01 for max APY
Open Account for Western Alliance Bank High-Yield Savings Premier
On Western Alliance Bank's Secure Website. |
4.40%
Rate info
The annual percentage yield (APY) is accurate as of Jan. 2, 2025, and subject to change at the Bank’s discretion. Refer to product’s website for latest APY rate. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY.
|
$500 to open, $0.01 for max APY
|
Open Account for Western Alliance Bank High-Yield Savings Premier
On Western Alliance Bank's Secure Website. |
Bread Savings CDs offer a 1-year term with a 4.30% APY, plus a chance to lock in 5.30% in your CD's second year when you agree to auto renewal. That's basically like getting 5.28% APY on a 2-year CD, which is pretty much unheard of in today's CD market (for perspective, Bread's 2-year CD has a 3.85% APY). The minimum opening deposit is $1,500, which isn't the lowest we've ever seen, and you can withdraw interest monthly.
2. LendingClub CD
Term: 1-year
APY: 4.00%
LendingClub CDs have frequently been a frontrunner with competitive CD rates on all terms. It currently offers three CD terms with rates at 5% or above: 6-month (4.00%), 12-month CD (4.00%), and 18-month CD (3.75%). The bank has a steep opening deposit of $2,500, which could shatter hopes of building out a long CD ladder.
3. TotalDirectBank CD
Term: 3-month, 6-month
APY: 5.51%
TotalDirectBank has the highest rates for short-term CDs. Currently, it offers three terms that pay at or above 5.50%: 3-month CD (5.51%), 6-month CD (5.51%), and a 12-month CD (5.35%). That said, you'd need a fair chunk of change to meet the minimum: $25,000 is required to open a CD account and earn the advertised APY.
4. Vio Bank High-Yield CD
Term: 6-month
APY: 4.70%
This 6-month CD from Vio Bank has a very competitive rate and comes with a low minimum of $500. Your money will compound daily, too, which gives your rate a little extra power. This CD can be combined with any of Vio's other eight terms to build out a long CD ladder, though its highest rates are on its short-term CDs.
These five CDs have excellent APYs, but they're not the only bank products to offer high rates. If you're not ready to lock your money up for a fixed period, you could also open a high-yield savings account. Either way, be sure to take advantage of today's high rates before it's too late, for who knows how long they'll stick around.
Our Research Expert
Steven Porrello writes about personal finances topics ranging from credit card offers to Costco deals to choosing the best places to park your cash.
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