Top Notch 3-Year Certificates of Deposit
Top 3-Year CD Rates in the United States: A Comprehensive Overview
In July 2025, the top 3-year CD rates in the United States are expected to be around 4.00% to 4.20% Annual Percentage Yield (APY), with the most competitive choices hovering around the 4.00% APY mark. This is a significant increase compared to the national average of about 2.1% for 3-year CDs.
According to Kiplinger, top 3-year CDs can offer yields close to 4.00% APY, with some ranging from approximately 3.60% to 4.00%, depending on the institution, minimum deposit, and early withdrawal penalties. Experian also confirms that the best three-year CD APYs are over 4%, surpassing the typical national average. Bankrate notes that longer-term CDs (including 3 years) earn top rates between 4.10% and 4.20% APY, although their focus tends to report the highest CDs are generally for shorter terms like 6-9 months or 1 year.
When choosing among these CDs, it's essential to consider minimum deposits, early withdrawal penalties (which can range from 3 months to 1 year of interest), and compounding frequency to find the best fit for your needs.
Some of the top 3-year CD offers include:
- All in Credit Union offers a 3.87% APY on 3-year CDs with a $1,000 minimum deposit, charging 3 months of interest for early withdrawal.
- Securityplus Federal Credit Union offers a 3.75% APY on 3-year CDs with a $1,000 minimum deposit, charging 3 months of interest for early withdrawal.
- EFCU Financial offers a 3.75% APY on 3-year CDs with a $500 minimum deposit, charging 6 months of interest for early withdrawal.
- MYSB Direct offers a 3.91% APY on 3-year CDs with a $500 minimum deposit, charging 3 months of interest for early withdrawal.
- The Federal Savings Bank offers a 3.95% APY on 3-year CDs with a $5,000 minimum deposit, charging 1 year of interest for early withdrawal.
- Seattle Bank offers a 3.60% APY on 3-year CDs with a $1,000 minimum deposit, charging 6 months of interest for early withdrawal.
Additionally, there are other competitive options available with slightly higher APYs. For instance, INOVA Federal Credit Union offers a 4.00% APY on 3-year CDs with a $200 minimum deposit, also charging 6 months of interest for early withdrawal. Synchrony offers a 4.00% APY on 3-year CDs with no minimum deposit, but charges 6 months of interest for early withdrawal.
It's important to note that CD accounts lock away your cash for a fixed period of time, typically one to five years, and charge fees for early withdrawal. However, your cash is safe even if your bank or credit union closes, as CD accounts are FDIC or NCUA insured, depending on whether they're opened through a bank or credit union.
CD accounts are not suitable for emergency funds or for cash you plan to spend in the coming months, as they are designed to provide a risk-free return, as they aren't exposed to the stock market. Instead, they are a good option for growing cash without access for future purchases or events.
In conclusion, if you're looking for a secure and stable investment with a competitive return, a 3-year CD could be an excellent choice. Be sure to compare offers from various institutions to find the best deal that fits your needs and financial goals.
In the context of personal-finance, investing in a top 3-year CD can offer yields similar to or even surpassing 4.00% APY, making it an attractive option for those seeking liquidity in their finance portfolio. When selecting a 3-year CD, it's essential to weigh factors such as minimum deposits, early withdrawal penalties, and compounding frequency in order to achieve optimal liquidity and financial growth.
