bank rates

Discover: A Big Bank With Big CD Rates

Discover logoIf you haven’t discovered the CD rates at Discover Bank, you might want to take a look.

We check daily on this Delaware-based institution, which is the online bank owned by the credit card company of the same name, for the CD Rates Leaderboard.

Its rates can be that good.

You’ll currently find every term is far above average.

What a welcome change of pace after the slew of depressing CD rates we’ve found during our big bank reviews lately.

Your best bet at Discover Bank is its 60-month CD rate, which pays 1.65% APY, just a fifth of a percentage point less than the term leader.

The average annual yield offered by large banks and thrifts for 60-month CDs is a far lower 0.86% for a second week.

Discover Bank’s other standard terms aren’t too far off the mark either:

0.40% APY for 3-month CDs versus an average rate of 0.12% APY. (Leaderboard leader is 0.65% APY.)

0.75% APY for 6-month CDs versus an average rate of 0.17% APY. (Leaderboard leader is 0.89% APY.)

0.90% APY for 12-month CDs versus an average rate of 0.27% APY. (Leaderboard leader is 1.10% APY.)

1.10% APY for 24-month CDs versus an average rate of 0.42% APY. (Leaderboard leader is 1.75% APY.)

1.30% APY for 36-month CDs versus an average rate of 0.53% APY. (Leaderboard leader is 1.85% APY.)

A minimum deposit of $2,500 is required to buy certificates of deposit at Discover Bank. CDs can be opened easily online.

You can learn more about Discover Bank at www.discoverbank.com or call 800-347-7000.

Compare Discover Bank’s returns with the best CD rates from scores of other banks in our extensive database.

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Comments (2)
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2 Existing Comments
  1. SeniorSaver said:
    on February 16th at 10:08 am

    Funny. I like Discover, but I’ve been regularly closing CDs there as they mature because the bank’s rates, while well above average, are always just behind those of the online leaders. I think Discover should follow the example of Ally by offering a “loyalty reward” for renewals so its rates for existing customers match competitors’ rates–at least if it wants to keep my money.

  2. AJazzManAtHeart said:
    on February 16th at 10:46 am

    I agree with the SeniorSaver’s comments. I too like Discover Bank, but find better deals elswhere. So I open them elsewhere.