bank rates

Top 3-Month CD Rates Take A Tumble

After holding relatively steady throughout August and early September, the best 3-month CD rates have fallen dramatically over the past week.

It all started when iGObanking cut what had been the top rate of 1.35% APY to 0.50% APY.

The best 3-month CDs are paying 0.45 percentage points less today than they were at the start of last week. That boosted ISN Bank’s 1.01% APY to the top our rankings until it was seized by the FDIC on Friday.

VirtualBank, an online division of Lydian Private Bank in Palm Beach Gardens, Fla., moved into the lead with 0.90% APY. But even that rate was down from the 0.95% APY it had paid earlier in the week and requires a substantial $10,000 minimum deposit.

Bottom line: The best 3-month CDs are paying 0.45 percentage points less than they were at the start of last week.

The best thing we can say is that they still pay almost four times the average return of 0.23% APY. No other certificates of deposit we track can make that claim.

The next best nationally available 3-month CD rates are:

0.85% APY with a $10,000 minimum deposit from Goldwater Bank, which has a single location in Scottsdale, Ariz.

0.80% APY with a $2,500 minimum deposit from Woodlands Commercial Bank, on online bank in Salt Lake City that primarily loans to corporations and was formerly known as Lehman Brothers Commercial Bank.

0.77% APY with a $3,000 minimum deposit from NewDominion Bank, with branches in Charlotte and Mooresville, N.C.

All of these banks allow savers to buy CDs online, regardless of where they live.

Compare these returns with the best CD rates from scores of other banks in our database.

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Comments (2)
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2 Existing Comments
  1. Eugene said:
    on September 21st at 02:54 pm

    Pretty soon the mattress is going to start looking pretty good.

  2. DealMaven said:
    on September 22nd at 09:38 am

    They did it again.

    Goldwater Bank moved into the top spot in 3-month CDs this morning with its 0.85% APY.

    Virtual Bank, which is now tied for second place, lowered yesterday’s leading rate of 0.90% APY to 0.80% APY.

    This is the fourth lead change in the last 10 days.