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Many CD yields track closely to short term treasuries. After three 25 bps cuts in 2025, short term T bills are yielding 3.5-3.6%, considerably lower than 4.0%.
A great resource is depositaccounts.com which lists multiple fed credit unions and banks paying a 4.0 % and above on 1 yr cd's. Also listed is E-trade which is paying 4.10 % . From my experience these cd's are not call protected. You would have to check each ones rules though, to confirm this and see if any other restrictions or rules apply.
You have a 10-day grace period following your CD’s maturity to submit the form and make any changes. If no action is taken within that window, your CD will renew automatically for the same term on its maturity date, and the rate will adjust to the current listed rate.
So your 5 year 4% rate can renew at 2% for another 5 year term automatically. Bet they are counting on that.
Banks like United Fidelity often set their rates intentionally to be #1 on comparison sites (like Bankrate, WalletHub, or NerdWallet).
The Logic: In the digital age, being the 5th best bank gets you very little attention. Being the #1 best rate gets you 10x or 20x the deposit volume because everyone sorts by "Highest Rate." • The Trade-off: They pay you a higher interest rate (an extra 0.50% might cost them $50 per year on a $10k deposit), but they save millions by not paying for TV commercials, physical branch staff, or expensive ad campaigns. The high rate is their marketing budget.
Also be on the lookout for unusual terms, 11 month, 17 month, etc. FDIC watches banks that routinely appear on the top CD rate lists for 6 mo, 9 mo, 1 yr, 18 mo, etc, so some banks play the game of offering slightly nonstandard terms to avoid scrutiny.
Also be on the lookout for unusual terms, 11 month, 17 month, etc. FDIC watches banks that routinely appear on the top CD rate lists for 6 mo, 9 mo, 1 yr, 18 mo, etc, so some banks play the game of offering slightly nonstandard terms to avoid scrutiny.
For 4 year CD most banks and CUs in Southern California are 2.5-3.5%.
Best one is Bank of America with incredible 0.03%. If I open a CD there, they may go under from the interest paid.
Comments
1-yr CD is currently 3.95%.
https://www.ksstate.bank/resources/deposit-rates
I stumbled across this article and thought it might be of interest to others.
I haven't looked into these CD offers.
You have a 10-day grace period following your CD’s maturity to submit the form and make any changes. If no action is taken within that window, your CD will renew automatically for the same term on its maturity date, and the rate will adjust to the current listed rate.
So your 5 year 4% rate can renew at 2% for another 5 year term automatically. Bet they are counting on that.
Banks like United Fidelity often set their rates intentionally to be #1 on comparison sites (like Bankrate, WalletHub, or NerdWallet).
The Logic: In the digital age, being the 5th best bank gets you very little attention. Being the #1 best rate gets you 10x or 20x the deposit volume because everyone sorts by "Highest Rate."
• The Trade-off: They pay you a higher interest rate (an extra 0.50% might cost them $50 per year on a $10k deposit), but they save millions by not paying for TV commercials, physical branch staff, or expensive ad campaigns. The high rate is their marketing budget.
https://www.depositaccounts.com/banks/rates-map/
Also be on the lookout for unusual terms, 11 month, 17 month, etc. FDIC watches banks that routinely appear on the top CD rate lists for 6 mo, 9 mo, 1 yr, 18 mo, etc, so some banks play the game of offering slightly nonstandard terms to avoid scrutiny.
Best one is Bank of America with incredible 0.03%. If I open a CD there, they may go under from the interest paid.