Top CDs Today: Best 1-Year Rate Jumps to 6.18%

Even though the Federal Reserve held interest rates steady today, CD rates have not stopped climbing. You can now earn 6.18% APY on the best 1-year CD in the country—a jump from yesterday's leading rate in that term of 6.00% APY.

Our new 1-year leader is Bayer Heritage Federal Credit Union, which is paying its 6.18% APY on a 12-month certificate. You can still also lock in the overall industry-leading rate of 6.50% APY from Financial Partners Credit Union, if you're content with an 8-month term and a deposit no bigger than $5,000.

Below you'll find featured rates available from our partners, followed by details from our complete ranking of the best CDs available nationwide.

Looking to lock in a great rate for a longer term? The top 2-year CD is paying 5.60% APY. If that's still not long enough, you can secure 5.37% APY for 30 months down the road, or 5.25% APY for 36 or 40 months. All three of those can be found in our daily ranking of the best 3-year CDs.

If you have the option to make a jumbo deposit of at least $100,000, you can boost your 2-year rate to 5.68% APY or your 30-month rate to 5.52% APY.

How High Will CD Rates Go This Year?

The Federal Reserve has been aggressively combating decades-high inflation since March of last year, raising the federal funds rate with fast and furious hikes in 2022 and then more moderate increases in 2023. This has created historically favorable conditions for CD shoppers, as well as for anyone holding cash in a high-yield savings or money market account.

The Fed opted to hold rates steady today, its second such move in a row. That maintains the central bank's benchmark rate at its highest level since 2001. But in his post-announcement press conference, Fed Chair Jerome Powell made it clear that holding rates in place today does not necessarily mean the committee is finished with increases.

"Inflation has moderated since the middle of last year and readings over the summer were quite favorable. But a few months of good data are only the beginning of what it will take to build confidence that inflation is moving down sustainably toward our goal," Powell said.

The Fed chair also reiterated what he has indicated in many past press conferences about the current announcement only representing a decision for today. "We haven't made any decisions about future meetings," Powell said. "We're going meeting by meeting."

In other words, the Fed is leaving the possibility of another rate hike on the table in case inflation does not come down far enough or if the committee does not believe that inflation will reliably stay near its target level. The Fed will make its next rate announcement on Dec. 13.

As we always caution, trying to predict Fed rate moves is an unreliable exercise. For now, it seems CD rates will roughly stabilize at their elevated levels. But if it appears likely that the Fed will make another rate increase in December or January, we could still see CD rates inch a bit higher.

Rate Collection Methodology Disclosure

Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs to customers nationwide and determines daily rankings of the top-paying certificates in every major term. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the CD's minimum initial deposit must not exceed $25,000.

Banks must be available in at least 40 states. And while some credit unions require you to donate to a specific charity or association to become a member if you don't meet other eligibility criteria (e.g., you don't live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.