Top CD rates by term
| Term | Best APY | Bank | Min deposit |
|---|---|---|---|
| 3 months | 5.30% | Bank A | $500 |
| 6 months | 5.50% | Bank B | $1,000 |
| 1 year | 5.40% | Bank C | $0 |
| 2 years | 5.00% | Bank D | $1,000 |
| 5 years | 4.50% | Bank E | $2,500 |
CD ladder strategy
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Splitting your money across CDs with different maturity dates (a "ladder") gives you better average yields while keeping some funds accessible at regular intervals. A common approach is splitting funds across 1-year, 2-year, 3-year, 4-year and 5-year CDs.
Frequently asked questions
What happens if I withdraw a CD early?
Most CDs charge an early withdrawal penalty, typically 3-6 months of interest for terms under a year, and 6-12 months of interest for longer terms.
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Disclaimer: This article is for informational purposes only and should not be considered financial advice. Tradingpedia does not provide personalized financial recommendations. Always consult a qualified advisor before making financial decisions.