bank rates

Best 12-Month CD Rates Hold Steady

The banks are different, but the deals are pretty much the same, in our latest survey of the best 12-month CD rates.

That is encouraging.

Average 12-Month CD rates have fallen from about 3.75% to only 1.07% over the past two years.

Ever since the financial crisis struck last fall, all of the top-paying certificates of deposit have come from small banks.

They quickly got all the deposits they needed, cut their rates, and created an incredible amount of churn in our rankings of the best deals.

For the first half of the year, the community and online banks that claimed a top spot inevitably offered lower rates than those they replaced.

That’s why today’s best CD rates are lower than last summers average CD rates.

But over the past few weeks we’ve seen the banks rising to the top of our list with offers that are close to those they’re replacing.

Could interest rates be bottoming out? Could long slide that began two years ago finally be over?

When we ranked the best, nationally-available deals in July the three top rates for 12-month CDs were 2.26%, 2.25% and 2.25%.

These are the best 12-month CD rates available now:

2.30% APY with a $10,000 minimum deposit from Wilshire State Bank, headquartered in Los Angeles with 21 branches in four states.

That’s for Wishire’s “Flex CD,” which allows you to make additional deposits and up to six withdrawals before maturity. If you don’t have that much to invest, you can earn 2.15% with a $1,000 minimum deposit in a traditional CD.

2.25% APY with a $500 minimum deposit from Frontier Bank, with 38 locations in Washington and four in Oregon.

2.25% APY with a $1,000 minimum deposit from United Central Bank, which is based in Garland, Texas, and has 19 offices in Texas, Virginia, California, Maryland and Georgia.

Use our extensive database to compare these deals with the best CD rates from scores of other banks.

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Comments (1)
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One Existing Comment
  1. DealMaven said:
    on August 18th at 04:35 pm

    Wilshire State Bank slashed the rate on its 12-month Flex CD to 2.00% APY from 2.30%. That boosts United Central and Frontier Bank to the top spots. They each pay 2.25% APY on their 12-month CDs.

    The rate on Wilshire State Bank’s regular 12-month CD remains at 2.15%.