If you’re looking to earn some extra cash, locking in a high CD rate could be a smart move. With the Federal Reserve cutting its federal funds rate three times in 2025, it’s important to act now before rates potentially move further. CD rates can vary significantly across different financial institutions, so it’s crucial to shop around and find the best rate available.
Today, on May 9, 2026, the best CD rates are typically offered on shorter terms, usually around one year or less. Online banks and credit unions tend to offer the most competitive rates. Currently, the highest CD rate is 4% APY, offered by Marcus by Goldman Sachs on its 9-month CD.
It’s essential to compare rates and find the best offer that suits your financial goals. To help you with this, here are some of the best CD rates available today:
– Marcus by Goldman Sachs: 4% APY on a 9-month CD
When considering how much interest you can earn with a CD, it all depends on the annual percentage yield (APY). This is a measure of your total earnings after one year, taking into account the base interest rate and how often interest compounds. For example, if you invest $1,000 in a one-year CD with 4% APY, your balance would grow to $1,040.74 over the year, including $40.74 in interest.
The more you deposit in a CD, the more you stand to earn. For instance, if you deposited $10,000 in a one-year CD with 4% APY, your total balance at maturity would be $10,407.42, meaning you’d earn $407.42 in interest.
When choosing a CD, don’t just focus on the interest rate. Consider the different types of CDs available, each offering unique benefits. Some common types include:
– Bump-up CD: Allows you to request a higher interest rate if rates go up during the account’s term.
– No-penalty CD: Allows you to withdraw funds before maturity without paying a penalty.
– Jumbo CD: Requires a higher minimum deposit and may offer higher interest rates.
– Brokered CD: Purchased through a brokerage and may offer higher rates or more flexible terms.
It’s important to note that brokered CDs may carry more risk and might not be FDIC-insured, so be sure to do your research before investing. Take advantage of the current CD rates available today and start earning more on your savings.
