As of Oct. 16, 2026
Sources: FDIC · NCUA · 12 CFR 1030.5 (Regulation DD) · 1-year CD rates · Savings rates
Starts with the best rates we track today. Change any number to match the offer in front of you. Nothing you type leaves your phone.
Keep money you might need on short notice (like an emergency fund) in savings. Put money you're sure you won't touch for the whole term in a CD, but only if the CD rate beats savings by enough to matter. A CD's edge is that its rate can't drop. A savings account's edge is that you never pay to get your money. If the CD pays only a little more, the penalty risk usually isn't worth it.
The math:
Sources: FDIC · FDIC · 12 CFR 1030.4 (Regulation DD) · 12 CFR 1030.5 (Regulation DD)
A best fit for the situation described, not financial advice or a buy/sell recommendation. Partner links never change a pick.
Best standard rates in VaultRubric's tracked banks, read from each bank's own page. Savings: 4.2% at EverBank (read 2026-10-12; promo and "up to" rates excluded). FDIC national averages from Sept. 21, 2026: savings 0.37%, money market 0.63%.
| Term | Best CD we track | Best savings we track | CD minus savings | FDIC national CD average |
|---|---|---|---|---|
| 3 months | 4.1% Bask Bank, read 2026-10-16 | 4.2% | -0.10 pts | 1.13% |
| 6 months | 4.3% Happen Bank, read 2026-10-16 | 4.2% | +0.10 pts | 1.41% |
| 1 year | 4.5% Barclays, read 2026-10-16 | 4.2% | +0.30 pts | 1.73% |
| 2 years | 4.76% Happen Bank, read 2026-10-16 | 4.2% | +0.56 pts | 1.61% |
| 3 years | 4.5% Barclays, read 2026-10-16 | 4.2% | +0.30 pts | 1.36% |
| 5 years | 4.75% Barclays, read 2026-10-16 | 4.2% | +0.55 pts | 1.38% |
Rates change often; confirm on the bank's page before opening. All terms: CD rates today · Savings rates. Sources: FDIC
| CD | High-yield savings | |
|---|---|---|
| Rate | Fixed for the whole term | Variable: the bank can change it any time, with no advance notice required (12 CFR 1030.5(a)(2)(i)) |
| Getting your money | Penalty if you withdraw before maturity; many banks don't allow partial withdrawals | Withdraw any time; transfer timing depends on the bank |
| Insurance | FDIC/NCUA up to $250,000 per depositor, per bank, per ownership category | Same |
| Adding money | Usually not allowed after funding; open another CD instead | Add any time |
| When it ends | Matures on a set date; often auto-renews unless you act during the grace period | No end date |
| Best for | Money you're sure you won't need until the maturity date | Emergency fund and money you may need soon |
Sources: FDIC · 12 CFR 1030.5 (Regulation DD) · 12 CFR 204.2(c)(1)(i) (Regulation D)
Federal law sets only a floor: money taken out of a CD in the first 6 days must lose at least 7 days' simple interest (12 CFR 204.2(c)(1)(i)). Above that, each bank sets its own penalty, which it must disclose before you open the account. If the penalty is bigger than the interest you've earned, most banks take the rest from your deposit.
| Bank | Penalty by CD term | How it's figured | Source |
|---|---|---|---|
| Ally | up to 2 mo: 30 days; 3–24 mo: 60 days; 25–36 mo: 90 days; 37–48 mo: 120 days; 49+ mo: 150 days | days of interest; no partial early withdrawals | bank page |
| Marcus | up to 12 mo: 90 days; 13–60 mo: 180 days; 61+ mo: 270 days | days of interest on the original principal; whole-CD withdrawals only | bank page |
| Capital One | up to 12 mo: 3 months; 13+ mo: 6 months | months of interest; no partial withdrawals | bank page |
| American Express | up to 11 mo: 90 days; 12–47 mo: 270 days; 48–59 mo: 365 days; 60+ mo: 540 days | days of interest at the opening rate; can cut into principal | bank page |
| Barclays | up to 24 mo: 90 days; 25+ mo: 180 days | days of simple interest on the amount withdrawn | bank page |
| CIT Bank | up to 12 mo: 3 months; 13–36 mo: 6 months; 37+ mo: 12 months | months of simple interest on the amount withdrawn | bank page |
Standard CDs only, as published on each bank's page on Oct. 16, 2026. "Months" and "days" are of interest at the CD's rate. Other banks: read the penalty in the account disclosure before you fund.
No-penalty CDs are another option: Ally's 11-month No Penalty CD allows withdrawal any time after the first 6 days from funding; CIT's No Penalty CD on or after the seventh day after funding. They usually pay less than a regular CD. Sources: Ally Bank · CIT Bank
T-bills are short-term loans to the U.S. government, sold for 4 to 52 weeks. Their interest is subject to federal tax but not state or local income tax, which matters more in high-tax states. They are not FDIC-insured: they're backed by the U.S. government directly, not by deposit insurance. You can hold a bill to maturity or sell it before then; a sale before maturity gets the market price at that time, which can be more or less than you paid. See today's Treasury yields.
Sources: TreasuryDirect · FDIC
Source: IRS Publication 550 (2025). Not tax advice.
For CDs longer than one month that renew automatically, the bank must send a notice at least 30 calendar days before maturity, or at least 20 days before the end of a grace period of 5+ days (12 CFR 1030.5(b)). American Express, Capital One and CIT each give a 10-day grace period after maturity to withdraw without a penalty. Federal rules also let banks skip the penalty when an owner dies or is declared legally incompetent (12 CFR 204.2, footnote 1); some banks, like American Express, say they may waive it in those cases.
Sources: 12 CFR 1030.5 (Regulation DD) · 12 CFR 204.2(c)(1)(i) (Regulation D) · American Express National Bank · Capital One · CIT Bank
Why trust this: rates come from each bank's own page with the date we read it; penalties come from each bank's published terms; rules link to the federal regulation or agency page. We don't take payment to rank banks on this page.
Not financial advice. We republish bank rates, penalties and federal rules with dates and do arithmetic on what you type. Confirm the rate and penalty with the bank before opening.
It depends on when you'll need the money. A CD locks in a rate for its term but charges a penalty for early withdrawal; a high-yield savings account lets you withdraw any time but its rate can change. If the CD rate is only slightly higher, the flexibility of savings is usually worth more.
No. At an FDIC-insured bank, CDs and savings accounts are both deposits insured up to $250,000 per depositor, per bank, per ownership category. Share certificates and savings at federally insured credit unions get the same $250,000 coverage from the NCUA.
It's set by each bank. Examples from bank pages on Oct. 16, 2026: Ally 60 days of interest on 3- to 24-month CDs; Marcus 90 days on terms up to 1 year; Capital One 3 months of interest on terms of 12 months or less; Barclays 90 days on terms up to 24 months. Federal rules require at least 7 days' simple interest for withdrawals in the first 6 days.
Yes. If the penalty is larger than the interest you've earned so far, banks such as Ally and American Express deduct the difference from your deposit, so breaking a CD very early can leave you with less than you put in.
Yes. Savings rates are variable, and under Regulation DD a bank doesn't have to give advance notice before changing the rate on a variable-rate account. A CD's rate is fixed for the term.
Yes. You report the full interest from Form 1099-INT box 1 and deduct the penalty shown in box 2 on Schedule 1 (Form 1040), line 18 (IRS Publication 550).
Estimates, not financial advice. Taxes, insurance, PMI and fees vary by lender, county and city; confirm with your lender, dealer and state agency before acting.