Our experts answer readers’ banking questions and write unbiased product reviews (here’s how we assess banking products). In some cases, we receive a commission from our partners; however, our opinions are our own. Terms apply to offers listed on this page.
The national average APY (Annual Percentage Yield) on a 5-year CD is 1.35% APY. However, the best 5-year CD rates offer up to 4.50% APY right now.
CIT Bank No Penalty 11-Month CD
Annual Percentage Yield (APY)
4.80%
Minimum Deposit Amount
$1,000
CIT Bank No Penalty 11-Month CD
Annual Percentage Yield (APY)
4.80%
Minimum Deposit Amount
$1,000
On CIT Bank’s site. CIT Bank, FDIC Insured
CIT Bank No Penalty 11-Month CD
Details
Annual Percentage Yield (APY)
4.80%
Minimum Deposit Amount
$1,000
A 5-year CD may be ideal if you don’t need access to some of your savings for a few years. If you’re also interested in other CD term lengths, check out our overall best CD rates guide. Here are our top picks for 5-year CDs.
Table of Contents
The Best 5-year CDs
These are our picks for the best 5-year CD rates. Our top picks for CDs are protected by FDIC or NCUA insurance. Although Silicon Valley Bank and Signature Bank have recently been shut down, keep in mind money is safe at a federally insured financial institution. When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account.
Compare the Best 5-year CDs
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$500
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$500
On CFG’s website. CFG Bank, FDIC Insured
CFG Bank 5 Year CD
Details
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$500
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$1,000
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$1,000
On Crescent’s website. Crescent Bank, FDIC Insured
Crescent Bank 5 Year CD
Details
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$1,000
Annual Percentage Yield (APY)
4.30%
Minimum Deposit Amount
$500
Annual Percentage Yield (APY)
4.30%
Minimum Deposit Amount
$500
On Quontic’s site. Quontic, FDIC Insured
Quontic 5 Year CD
Details
Annual Percentage Yield (APY)
4.30%
Minimum Deposit Amount
$500
First Internet Bank of Indiana 5 Year CD
Annual Percentage Yield (APY)
4.49%
Minimum Deposit Amount
$1,000
First Internet Bank of Indiana 5 Year CD
Annual Percentage Yield (APY)
4.49%
Minimum Deposit Amount
$1,000
on FIB’s website. Member FDIC.
First Internet Bank of Indiana 5 Year CD
Details
Annual Percentage Yield (APY)
4.49%
Minimum Deposit Amount
$1,000
First National Bank of America 5 Year CD
Annual Percentage Yield (APY)
4.35%
Minimum Deposit Amount
$1,000
First National Bank of America 5 Year CD
Annual Percentage Yield (APY)
4.35%
Minimum Deposit Amount
$1,000
on FNBA’s website. Member FDIC.
First National Bank of America 5 Year CD
Details
Annual Percentage Yield (APY)
4.35%
Minimum Deposit Amount
$1,000
Alliant 5 Year Certificate
Annual Percentage Yield (APY)
4.35%
Minimum Deposit Amount
$1,000
Alliant 5 Year Certificate
Annual Percentage Yield (APY)
4.35%
Minimum Deposit Amount
$1,000
Alliant Credit Union, NCUA insured.
Alliant 5 Year Certificate
Details
Annual Percentage Yield (APY)
4.35%
Minimum Deposit Amount
$1,000
Barclays 5 Year Online CD
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$0
Barclays 5 Year Online CD
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$0
On Barclays’ site. Barclays Bank Delaware, FDIC Insured.
Barclays 5 Year Online CD
Details
Annual Percentage Yield (APY)
4.50%
Minimum Deposit Amount
$0
Annual Percentage Yield (APY)
4.30%
Minimum Deposit Amount
$0
Annual Percentage Yield (APY)
4.30%
Minimum Deposit Amount
$0
Synchrony 5 Year CD
Details
Annual Percentage Yield (APY)
4.30%
Minimum Deposit Amount
$0
Expert Advice on Choosing the Best 5-year CD
To learn more about what makes a good CD and how to choose the best fit, Insider consulted four experts:
Insider
Here’s what they had to say about CDs. (Some text may be lightly edited for clarity.)
How can someone determine whether a bank is the right fit for them?
Tania Brown, certified financial planner at SaverLife:
“Obviously, you want to make sure it’s FDIC insured. Also, your banking experience — do you like walking into a bank? Well, then you need someone local. Do you just not care if you ever see your bank? Then you’re okay online. Do you write checks? Do you not write checks? So it’s thinking through how your experience with it is going to be before you make that decision.”
Sophia Acevedo, certified educator in personal finance, banking reporter, Personal Finance Insider:
“I would create a list of what I prioritize most in a bank account. For example, some banks have accounts that charge monthly service fees. I would look to see what the requirements are for waiving the monthly service fee and whether I think I could feasibly meet those requirements each month. If I’m searching for an interest-earning bank account I’ll pay attention to interest rates. I would make sure the account pays a higher interest rate than the average bank account.”
How should someone choose a CD term length?
Roger Ma, certified financial planner with lifelaidout® and author of “Work Your Money, Not Your Life”:
“I would think about when you need the money and then compare that with what the prevailing CD rates are, and then what makes sense from a financial perspective, but also from your own personal timing perspective.”
Mykail James, MBA, certified financial education instructor, BoujieBudgets.com:
“I believe in having a plan for whatever the funds are. If it’s supposed to be a house fund, and you want to wait for another two years to buy a house, that’s what you should be thinking of when you want to have this money.”
How should someone decide whether to put their money in a high-yield savings account, money market account, or CD?
Tania Brown, CFP:
“So I guess we’ll start off with how much money you want to put in and … the level of transactions you want to have. If you want to have any transactions, that automatically takes out CDs. Then you’re stuck between the high-yield savings and the money market account.”
Sophia Acevedo, Personal Finance Insider:
“Generally, I think a high-yield savings account or money market account could be good options for an emergency fund or short-term savings goals. A high-yield savings account offers a higher interest rate than traditional savings accounts at brick-and-mortar banks. Meanwhile, money market accounts might be worth considering if you want more account accessibility — several offer paper checks, ATM cards, or debit cards. CDs could be worthwhile if you don’t need access to some of your money, since they have a fixed interest rate for a specific term.”
Methodology: How Did We Select the Best 5-YearCDs?
First, we researched to find over 20 banks and credit unions that offered 5-year CDs. Then, we reviewed each institution to find the most-well rounded banking options. For each account, we compared the minimum opening deposits, early withdrawal penalties, and interest rates. We also considered the overall banking experience at each bank by assessing customer support availability, mobile app ratings, and ethics.
5-year CD Frequently Asked Questions
A CD is a type of savings account with a fixed interest rate. With a 5-year CD, you’ll deposit your money for 60 months. Once your term ends, you’ll have the option to renew the CD or close the account and withdraw your money.
The interest rate for a CD will remain the same for the entire term. For example, if you open a 5-year CD at a 4.60% APY, you’ll earn 4.60% for the entire five years. If you renew your CD after it matures, you’ll earn the new rate available in five years.
Some institutions may offer unique CDs called step-up CDs or Raise Your Rate CDs. These CDs have a variable interest rate and allow your rate to change.
If your priority is earning a high interest rate, 3-year CDs and 5-year CDs generally offer higher rates than 1-year CDs. However, with a 3-year or 5-year CD, you could ultimately miss out on higher rates in the long run.
If you select a short-term CD, you may have the chance to snag a better interest if rates are up in a year. But on the other hand, you could avoid lower rates with a 3-year or 5-year term if rates drop later.
Many experts recommend CD laddering. With this strategy, you open multiple CDs with different term lengths. That way you can take advantage of higher rates with longer terms, but also access some of your money earlier.
If you’re looking for ways to make more interest on your money, you might want to explore both types of savings accounts before making your decision.
Generally, online banks pay higher interest rates on 5-year CDs than high-yield savings accounts. On the other hand, a CD also locks in your rate for the entire term. If rates are dropping, a CD could be a better choice, because your savings account interest could decrease over the next few months. If rates are rising, the savings account might be a better fit, because your rate could go up.
You may prefer a high-yield saving account over a CD if you want quick access to your money. With a high-yield savings account, you should be able to access funds from your savings account regularly. If you need access to money from your 5-year CD before it matures, there’s an early withdrawal penalty.
Another thing to keep in mind is that CDs only allow you to deposit money when you open an account or once your CD has matured. With a savings account, you can deposit money at any time.
Similar to a high-yield savings account, you can add more funds to your money market account over time. A money market account also may be a good choice if you want a savings account that has a debit card or paper checks.
If you open a CD, you’ll only be allowed to make a deposit when you first open the account or when it’s renewed. You’ll also have to pay an early withdrawal penalty on most CDs if you need to take out money before the end of a term.
If you need to access your money in five years and want a guaranteed rate of return, a 5-year CD is a better choice than a different type of investment account.
CDs are a type savings account, and aren’t typically considered investments. CDs are a low-risk place to keep your money and do not offer high returns.
If you want to take more risk with your money and do not need access to it in a couple of years, then you may want to invest in the stock market. Brokerage accounts, for example, are useful tools to build long-term wealth. Tax-advantaged retirement accounts, like a 401(k) or IRA, are other options you can consider as well.
Because the stock market is risky, experts generally don’t advise investing money you’ll need in the next five years. In the case of a stock market drop, you wouldn’t have time to make up for your losses.
Compare our top picks for 5-year CDs
Competitive interest rate
Competitive interest rate
Low minimum opening deposit
Competitive interest rate
Competitive interest rate
Competitive interest rate
Low minimum opening deposit
Low minimum opening deposit
Learn more
On CFG’s website. CFG Bank, FDIC Insured
Learn more
On Crescent’s website. Crescent Bank, FDIC Insured
Learn more
On Quontic’s site. Quontic, FDIC Insured
Learn more
On Barclays’ site. Barclays Bank Delaware, FDIC Insured.
CFG Bank 5 Year CD
Why it stands out: CFG Bank has a high interest rate on its 5-year CD. The early withdrawal penalties are also lower than some of our other top picks.
APY for 5-year CD: 4.50% APY
5-year CD early withdrawal penalty: 180 days of interest
What to look out for: CFG Bank doesn’t have many CD terms to choose from — there are only 12-month, 18-month, 36-month, or 60-month CDs. If you’d like more CD variety, you might prefer one of the other options on our list.
CFG Bank review
Crescent Bank 5 Year CD
Why it stands out: Crescent Bank pays competitive interest rates on a variety of online CDs. It also has standard-to-low withdrawal penalties for online CDs.
APY for a 5-year CD: 4.50% APY
5-year CD early withdrawal penalty: 180 days of interest
What to look out for: To deposit money into an online Crescent Bank CD, you must mail the bank a check or transfer money from a bank account at another financial institution.
If you’d like to open a CD with a lower minimum opening deposit, you might prefer one of the other options on our list.
Quontic 5 Year CD
Why it stands out: Typically, you need at least $1,000 to open a CD at most banks. Quontic Bank could be a good choice if you want to get a 5-year CD with a low minimum opening deposit. Quontic also has 6-month, 1-year, 2-year, and 3-year CDs.
APY for 5-year CD: 4.30% APY
5-year CD early withdrawal penalty: 2 years of interest
What to look out for: Quontic charges high penalties if you need to withdraw money before your term ends. You might prefer one of our other top picks if you would like to open a 5-year CD with a more lenient early withdrawal penalty.
Quontic Bank review
First Internet Bank of Indiana 5 Year CD
Why it stands out: First Internet Bank of Indiana might be appealing if you’re searching for a bank that offers a variety of CD terms. The bank is also featured in our best money market account guide.
APY for 5-year CD: 4.49% APY
5-year CD early withdrawal penalty: 360 days of interest
What to look out for: First Internet Bank of Indiana compounds your interest monthly, not daily. Depending on how much money is in your CD, this may or may not make a significant difference. You can also find a bank that charges less for an early withdrawal from a 5-year CD.
First Internet Bank of Indiana review
First National Bank of America 5 Year CD
Why it stands out: First National Bank of America lets you open CDs online from anywhere in the US, and it offers a variety of terms.
You also might like First National Bank of America if you live in Lansing, Grand Rapids, or Traverse City, Michigan. It has branches in these cities.
APY for 5-year CD: 4.35% APY
5-year CD early withdrawal penalty: 540 days of interest
What to look out for: First National Bank of America has steep early withdrawal penalties for most terms. You might prefer one of the other options on our list if you are worried about CD early withdrawal penalties.
First National Bank of America review
Alliant 5 Year Certificate
Why it stands out: Alliant pays high rates on CDs and has reasonable early withdrawal penalties.
APY for 5-year CD: 4.35% APY
5-year CD early withdrawal penalty: 180 days of interest
What to look out for: Credit unions require you to become a member to open an account. The easiest way to become a member is to join Foster Care to Success, and Alliant will cover your $5 joining fee.
Alliant Credit Union review
Barclays 5 Year Online CD
Why it stands out: Barclays CDs may be a good option if you prioritize opening an account with a low initial deposit and low early withdrawal penalties.
APY for 5-year CD: 4.50% APY
5-year CD early withdrawal penalty: 180 days of interest
What to look out for: Barclays doesn’t offer a checking account. If you’re also looking to open a checking account at the same bank, you might prefer one of our other top picks.
Barclays Bank review
Synchrony 5 Year CD
Why it stands out: Synchrony has no minimum opening deposit for CDs. Most banks usually require at least $1,000 to get a CD.
APY for 5-year CD: 4.30% APY
5-year CD early withdrawal penalty: 365 days of interest
What to look out for: You’ll want to consider whether you have a preference on how you’ll withdraw money from a CD. At Synchrony, you must call customer service to cash out your CD.
Synchrony CD review
Other 5-Year CDs We Considered
We looked at the following 5-year CDs as well. However, our top picks may have higher interest rates, lower minimum opening deposits, and lower early withdrawal penalties, which make them more compelling options.
- Discover CD: Other financial institutions offer more competitive interest rates on 5-year CDs or lower minimum opening deposit requirements.
- Ally High Yield CD: Ally CDs have low minimum opening deposits, but our top picks all pay higher interest rates.
- Bread Savings High-Yield CD: Bread Savings has short-term CDs with high interest rates, but its long-term CDs aren’t as competitive.
- Marcus High-Yield CD: Marcus has low minimum opening deposits on accounts, but our top picks pay higher interest rates right now.
- Pentagon Federal Credit Union Money Market Certificate: Pentagon Federal Credit Union has high interest rates for its 1-year and 18-month CDs. However, you’ll find a more competitive interest rate at one of the financial institutions we’ve featured as a top pick.
- Bethpage Federal Credit Union Certificate Account: Bethpage Federal Credit Union has a variety of terms. However, its rates are low compared to our top picks.
- Nationwide CD: Nationwide’s 1-year and 18-month CDs are its most appealing options, but its other terms aren’t as strong.
- Delta Community Credit Union Certificate of Deposit: Delta Community Credit Union pays solid interest rates, but our top picks offer even higher interest rates.
- VyStar Credit Union CD: Vystar Credit Union may be a good option in you live in Florida or Georgia.
- Golden 1 Credit Union Certificate of Deposit: Golden 1 Credit Union may be worth considering if you live in California.
- Suncoast Credit Union CD: Suncoast Credit Union has solid interest rates, but our top picks offer more competitive rates right now.
- Popular Direct CD: Popular Direct pays a high interest rate, but you’ll need a minimum of $10,000.
- CIT Bank Term CD: A 5-year CIT Bank CD offers a low interest rate compared to the banks on our list.
- Washington Savings Bank CD: Washington Savings Bank pays solid interest rates, but our top picks offer even higher interest rates.
- Citizens Access CD: Citizens has high interest rates on online CDs, but you’ll need a minimum of $5,000.
- BrioDirect High-Yield CD: BrioDirect has a variety of CD terms, but its 5-year CD rate isn’t as strong as the institutions we’ve chosen.
- Sallie Mae CD: You’ll need at least $2,500. Our top picks have lower minimum opening deposits.
- Amerant CD: Amerant pays solid interest rates, but our top picks offer even higher interest rates.
- American Express CD®: American Express has a low minimum opening deposit, but our top picks pay higher interest rates.
- Live Oak Bank CD: You’ll need at least $2,500 for an initial deposit. Our top picks will let you open an account with less money upfront.
- America First Credit Union Certificate: America First Credit Union has a solid interest rate, but our top picks offer even higher rates.
- NBKC CD: NBKC offers competitive interest rates on long-term CDs, but our top picks offer even higher rates.
- Connexus Share Certificate: Connexus requires a minimum opening deposit of $5,000. Our top picks have much lower minimum opening deposits.
- TAB CD: TAB Bank has a solid interest rate, but our top picks offer even higher rates.
Bank Trustworthiness and BBB Ratings
We’ve compared each company’s Better Business Bureau score. The BBB grades businesses based on factors like responses to customer complaints, honesty in advertising, and transparency about business practices. Here is each company’s score:
CFG Bank does not have a rating because its profile is being updated.
A good BBB rating doesn’t necessarily mean that your relationship with the bank will be perfect. Talk to current customers or read online customer reviews to get a more well-rounded perspective about whether the bank may be ideal for you.
