The Best 6-Month CD Rates
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A 6-month CD may be ideal for those with short-term cash needs and those who do not want to take on the risk that interest rates could rise soon.
The best 6-month CDs have excellent interest rates, reasonable early withdrawal penalties, and low deposit minimums. Our list below includes the best 6-month CDs and a few 4-month and 5-month CDs.
Highest 6-Month CD Rates by APY
We scoured the internet for the best 6-month CD rates. After reviewing almost 150 banks, here are the top 6-month CDs ranked by the highest APY. Note that we have also included four and five-month CD rates as well.
How We Chose the Best 6-Month CDs
Six-month CDs are short-term, risk-free investments, and our list of the best six-month CDs was carefully chosen based on three criteria.
- Interest Rate (APY) – The most essential feature of a short-term CD is the interest rate, and our list showcases the best rates available today.
- Minimum Deposit Requirement – If you have a lot of money available to open a CD, then the minimum requirement probably does not matter to you. Still, for those with less than $10,000 available, ensuring the highest rate is available when the deposit size is as tiny as $1 is essential.
- Early Withdrawal Penalty – Although no one buys a CD thinking they will have to withdraw early, it’s essential to consider the penalty for doing so. Most CDs of this length have a full-term penalty, but we found a few six-month CDs that will still pay interest if you have to withdraw early.
Every bank above is also FDIC insured up to the $250,000 per depositor maximum.
Banks we included in our review are as follows: Affirm, Alaska USA Federal Credit Union, All America Bank, All In Credit Union, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank of the West, Bank5 Connect, Bank7, Barclays, Bask Bank, Bayer Heritage FCU, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, Capital One, Carver Federal Savings Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Credit Human Federal Credit Union, Current, Delta Community Credit Union, Discover™ Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, GO2bank, GreenState Credit Union, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Interior FCU, Ivy Bank, KeyBank, Lake Michigan Credit Union, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, mph.Bank, Nationwide (by Axos), Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Ponce Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, Signature Federal Credit Union, SkyOne Federal Credit Union, SoFi, State Employees’ Credit Union of North Carolina, State Exchange Bank, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Teachers Federal Credit Union, Technology Credit Union, Truist Bank, U.S. Bank, UFB Direct, Union Bank, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.
When Should I Open A 6-Month CD?
Six-month CDs are short-term investment options perfect for those looking for risk-free diversification. The interest rate is almost always the most crucial factor to consider, but there are a few other things to consider before opening a six-month CD.
You’ll want to ensure that you have enough cash available elsewhere before opening a CD because the early withdrawal penalty could wipe away every penny you’ve earned in interest. It’s also important to take note of the rollover structure of the bank you’ve chosen because you may have a concise window to withdraw your funds after maturity before they are locked in again.
To answer the question of “when” you should open a six-month CD, it’s always best to do so now rather than later. Interest rates are high, and you’re not guaranteed a rate of return every day, a day’s worth of interest that slips through your fingers. All CDs here are FDIC insured up to the $250,000 maximum, so as long as your deposit stays under this amount, it’s a risk-free rate of return.
Frequently Asked Questions (FAQ)
Are 6-month CDs a wise investment?
When interest rates are high, CDs are always a wise investment. You may be able to find a better rate of return in the stock market (or other alternative investments), but you won’t find one that is risk-free.
Six-month CDs allow you to park cash while earning a strong rate of return. They also have the added benefit of making cash unavailable (for those who have trouble keeping cash unspent).
Can I lose my deposit if I close my CD early?
No. The early withdrawal penalty on CDs means you’ll only lose the interest accrued, not any of your initial deposit.
So, for example, if you have deposited $5,000 into a new six-month CD and have to close the CD after a month, you will have your $5,000 initial deposit returned but are likely not to earn any interest (as the penalty is typically at least 90 days of simple interest).
Final Thought on the Best 6-Month CDs
When comparing six-month CDs to other terms, you’re unlikely to find a significant variation in interest rates. They’re similar to others; the critical difference is the length of term, not the APY.
If you can, when opening a six-month CD, you should also look to open other short-term CDs so that every couple of months, your ladder has a maturing CD that offers you cash if you need it.
Editor’s Note: Check your local banks for the best 6-month CD rates. Sometimes, the national brands can’t match what your bank down the street can offer.
