Certificate of deposit (CD) rates have become a genuine talking point again. A CD is a time deposit offered by a bank or credit union: you agree to leave your money on deposit for a fixed term — anywhere from one month to five years — and the institution pays you a fixed interest rate in return. Break the agreement early, and you typically owe an early-withdrawal penalty. In exchange for that commitment, you usually get a higher yield than a regular savings account.
With that definition in hand, let's look at what the live rate feed is showing right now — and, just as importantly, how to make sense of those numbers.
What the top rates look like as of Jun 25, 2026
The following rates come from our live comparison feed. All figures are illustrative as of Jun 25, 2026 — rates change frequently, sometimes daily, so confirm any rate directly with the institution or through the Secure Returns compare tool before making a deposit decision.
APY vs. interest rate: the difference that actually matters
Every institution is required to disclose the Annual Percentage Yield, or APY, which factors in how often interest compounds within a year. The nominal interest rate does not account for compounding. Two CDs can carry the same nominal rate but different APYs if one compounds monthly and the other compounds quarterly. Always compare APYs — not nominal rates — when shopping.
For example, a 4.40% nominal rate compounded daily produces a slightly higher APY than the same rate compounded monthly. The gap is small on short terms but meaningful on a five-year CD or a large deposit.
Why outlier rates deserve extra scrutiny
When one rate sits far above the rest of the market — as the 14.90% and 9.50% figures do here — the explanation is almost always one of the following: the rate applies only to a small initial deposit amount (a 'teaser' or 'add-on' promotional tier), the credit union has a narrow membership footprint, the rate is tied to a special product with unusual conditions, or the institution is in an aggressive deposit-gathering phase that may not last. None of those factors make the rate bad, but they make due diligence essential.
How FDIC and NCUA insurance fits in
CDs issued by FDIC-member banks are insured up to $250,000 per depositor, per institution, per ownership category. CDs issued by NCUA-member credit unions carry equivalent coverage under the National Credit Union Share Insurance Fund (NCUSIF). That insurance is provided by the federal agency, not by any comparison platform or marketplace. Before opening an account, verify that the specific institution is an FDIC or NCUA member — you can do so at fdic.gov or ncua.gov at no cost.
If you are considering depositing more than $250,000, you will want to spread funds across multiple institutions or ownership categories, or consult a financial professional about strategies for maintaining full coverage. For a deeper look at this topic, see our guide on staying insured above $250k.
Reading the fine print: five things to check before you open
- Early-withdrawal penalty: Most CDs charge a penalty — often several months of interest — if you withdraw before the term ends. Know this number before you commit.
- Minimum deposit: Some headline rates require a minimum deposit that may not be stated prominently. Confirm whether the rate you see applies to your intended deposit amount.
- Automatic renewal: Many CDs roll over automatically at maturity. If you miss the grace period, you may be locked in at whatever rate the institution is offering that day.
- Membership eligibility: Credit unions require membership. Check residency, employer, or association requirements before applying.
- Compounding frequency: As noted above, more frequent compounding means a higher effective yield. Look for this in the account disclosures.
What about 1-year vs. 5-year CD rates?
Normally, longer terms pay higher rates — a concept called a normal yield curve. But rate environments can invert this: sometimes 1-year CD rates actually exceed 5-year CD rates if markets expect rates to fall over time. As of Jun 25, 2026, Bask Bank is offering 4.40% APY on a 12-month CD while some longer-term offers from other institutions sit in a similar range. The right term for you depends on when you need the money, not just which term pays the most right now.
The bottom line on today's highest CD rates
The current rate environment rewards savers who are willing to do a bit of homework. The highest CD rates today are meaningfully above long-run historical averages for savings products. But the spread between the flashiest headline rates and the broader market is unusually wide, which makes comparison shopping and careful reading of terms more important than ever.
Limen Markets is not a bank, credit union, or investment adviser. This article is general education, not personalized financial advice. For decisions that involve significant sums, consider consulting a qualified financial professional.