Big Banks Offer Competitive CD Rates Amidst Market Volatility
Major banks in the US are currently advertising certificate of deposit (CD) annual percentage yields (APYs) as high as 4.25%, according to recent data from the Federal Deposit Insurance Corporation (FDIC). These rates vary by bank, with terms starting at seven months and going up to 12 months.
The largest banks in the country, such as Chase, Bank of America, Citibank, Capital One, Wells Fargo, and American Express, are among those offering competitive CD rates. For example, Citibank is currently advertising a 4.25% APY on its 12-month CD, while Chase offers a 3.50% APY on its seven-month CD.
Opening a CD with a big bank can have several benefits, including the convenience of keeping all your banking in one place and potentially earning relationship rate bumps if you already hold accounts with the institution.
However, it's essential to compare rates before committing to a CD. While major banks may offer more term choices and account types than smaller institutions, their rates can sometimes trail those offered by online-only banks.