APY GUY: Maximize Your Savings & Earnings

Dan Nelson

Navy Federal Credit Union CD Rates – Up to 4.85% APY!

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Navy Federal Credit Union is the largest credit union in the nation by a wide margin and has been since the 1960s.

In fact, they blow other credit unions out of the water by asset size and membership numbers. They hold more than $156.8 billion in total assets from just over 12.4 million members.

This massive financial cooperative was founded in 1933 by Navy Department employees as the Navy Department Employees’ Credit Union of the District of Columbia.

Dropping the unwieldy name and extending membership to all Navy employees worldwide (rather than just those in D.C.), the credit union became known as the Navy Federal Credit Union in 1954.

Fast forward to today and you no longer have to be affiliated with the Navy to become a member of Navy Federal, but you do need to have military ties within your family to join.

To be eligible to join Navy Federal, you must have ties to the Department of Defense, the armed forces, the National Guard, or have a family member that does. Navy, Marines, Army, Air Force, Space Force, and Coast Guard active duty and retired members all qualify for membership. This credit union is not open membership and you may not join if you do not meet the above membership criteria.

The good news is that you don’t have to live near Virginia to access Navy Federal branches or ATMs. There are 350 branches worldwide, some on military bases and some overseas in 26 international locations. In the U.S., Navy Federal has branches in metro D.C., Virginia, California, and Florida. They do not participate in shared branching, but they are part of a network of over 30,000 co-op ATMs.

To see if NFCU and their deposit accounts are right for you, continue reading our review below.

Navy Federal Credit Union CD Rates + Account Details

Navy Federal Credit Union’s CDs (certificates of deposit) are federally insured by the NCUA up to $250,000 per depositor or $500,000 for joint accounts.

NFCU is unique in that it offers several different types of certificates, some standard and some variable-rate; some short-term and some requiring much longer investments.

CD Rates

CD TermAPYAPY
deposit amount:$1,000 – $20k$100k +
3 months1.25%1.30%
6 months0.45%0.50%
12 month4.40%4.45%
18 months4.50%4.55%
24 months4.20%4.25%
3 year4.20%4.25%
5 year4.00%4.05%
7 year4.00%4.05%
APY = Annual Percentage Yield

Standard certificate accounts require a minimum deposit of $1,000.

To put these rates in perspective, the current national average for a 12 month CD and a 60 month CD sit at 1.59% and 1.37% APY, respectively, according to FDIC data.

NFCU also offers EasyStart and Special EasyStart certificates. They have slightly higher yields and much lower minimum deposit requirements. See rates and terms below.

Easy Start CD Rates

CD TermAPY
6 month0.40%
12 month (max $3,000)4.85%
12 month (no max)4.35%
18 month4.45%
24 month4.15%
APY = Annual Percentage Yield

The EasyStart certificate only requires an opening deposit of $50. As mentioned, they earn slightly lower APYs than their standard CD counterparts. These are great options for kids, teens or those who can’t meet the higher deposit requirement.

There is no maximum balance or account limit associated with these CDs.

The Special EasyStart certificate is a 12 month term CD with a $50 minimum deposit requirement and a $3,000 maximum. Balances within this range can earn 4.85% APY.

A Special EasyStart certificate account is available only to Navy Federal customers that have checking and direct deposit accounts with Navy Federal. Money may be added to EasyStart certificates at any time. Customers are limited to one Special EasyStart account per member.

All certificate dividends are compounded daily and credited monthly. Dividends will be deposited to the certificate account automatically unless a dividend distribution option is chosen when the account is opened.

How Much Can You Make with a CD from NFCU?

How much money you earn with a Navy Federal Credit Union CD is going to depend on your deposit size, the CD term you choose and its going APY (annual percentage yield). Below is a table displaying earnings from a handful of NFCU’s CD accounts assuming a deposit size of $10,000.

CD TermAPYEarnings
12 months4.40%$440.00
2 years4.20%$857.64
3 years4.20%$1,313.66
5 years4.00%$2,166.53
Earnings = Total sum of all interest payments through maturity.

How do NFCU’s CD Rates Compare?

Take a look at the table below to see how Navy Federal Credit Union’s best CD rates stack up against other credit unions and their top rates.

Credit UnionBest CD Rate (APY)
Delta Community Credit Union5.00%
First Tech Credit Union5.05%
Mountain America Credit Union5.50%
Navy Federal Credit Union4.85%
CD rates surveyed June 6, 2023.

Grace Period and Early Withdrawal Fees

Upon the maturity of your Navy Federal Credit Union CD you will be provided with a generous 21 day grace period in which you may modify your CD or close it out. If nothing is done during this period, your CD will automatically renew with the same term and the going APY at that time.

If you need funds prior to your CD’s maturity, you will face an early withdrawal penalty fee. The fee structure is as follows:

  • CDs with terms of 12 months or less will be charged fees equal to whichever option costs less: 90 days’ interest or all dividends on the amount withdrawn since issuance/renewal.
  • CDs with terms greater than 12 months will cost either 180 days’ interest or all dividends on the amount withdrawn since issuance/renewal and from terms of five years or more will cost 365 days’ interest or all dividends.

Navy Federal Credit Union Money Market Rates + Account Details

Navy Federal money market savings accounts are fine, but you’ll see that they’re not particularly attractive.

Money Market Rates

BalanceAPY
$0 – $2,4990.00%
$2,500 – $9,9990.95%
$10k – $24,9991.06%
$25k – $49,9991.10%
$50K +1.50%
APY = Annual Percentage Yield

The current national average for money market accounts sits at just 0.48% APY, however better rates can be had through FDIC-insured online banks which now feature APYs above the 4.00% mark.

A $2,500 minimum average daily balance is required to earn interest, but you won’t be charged a fee if your balance drops below this. Dividends are compounded and credited monthly. For every transaction you make over the six transaction limits enforced under federal regulation D, you’ll be charged $10.

If you can maintain higher balances in your money market account, you may be eligible for jumbo rates which are slightly better than those listed above. See their jumbo rates below:

Jumbo Money Market Rates

BalanceAPY
$0 – $99,9990.25%
$100k – $249,9991.65%
$250k – $499,9991.85%
$500k – $999,9992.05%
$1m +2.25%
APY = Annual Percentage Yield

Other Savings Accounts Offered Through Navy Federal Credit Union

An initial share with Navy Federal costs $5 and gets you a Share Savings Account. This is also how much you’ll need to keep in your savings account. With an APY of 0.25%, this savings product isn’t ideal for growing your money, but it doesn’t come with many inconveniences such as monthly maintenance or low balance fees. It does come with a $3 quarterly inactivity fee if your account is inactive for 12 months during any given quarter. Dividends are compounded and credited monthly.

Navy Federal also offers a SaveFirst Account with an APY of 0.40%. With a slightly better rate of return but equal minimum deposit, this account is a better option for anyone wanting to put money away for designated purposes like weddings or vacations. Select a term between 3 months and 5 years and watch your deposit grow (a little). Dividends are compounded daily and credited monthly. This savings account is going to earn you more than a share savings account, but a money market account might be a better option.

Mountain America Credit Union CD Rates – Up to 5.50% APY!

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Mountain America Credit Union, based out of Sandy, Utah is the 12th largest credit union in the country with 1,033,000 and more than $14 billion in assets.

They have just over 100 branches in the following 6 states:

  • Arizona,
  • Idaho,
  • Montana,
  • Nevada,
  • New Mexico and
  • Utah.

Despite their regional footprint, they offer highly competitive CDs (certificates of deposit) that can be opened by anyone in all 50 states – online or over the phone.

If you don’t live near a local branch or have a family member that is currently a member, you can still join the credit union by also joining one of their partner affiliations. This is of no cost to you and can be done during the application process.

To see if their CDs are right for you continue reading our review below.

Mountain America Credit Union CD Rates + Account Details

image credit: macu.com

Mountain America offers three types of CD accounts:

  • Standard CDs
  • Growth CDs
  • Youth CDs

The Standard CDs and Growth CDs come with identical yields but slightly different requirements.

Their Youth CDs offer the highest yields and are only available to those 27 years old or younger. Once you turn 28, your Youth CD will automatically renew into a Standard CD.

Their Standard Certificate comes with a minimum deposit requirement of $500 and allows for one rate bump during its lifespan if one becomes available. To enable this feature, you will have to take a 0.25% discount on the rate listed below. You will also have to notify Mountain America Credit Union when you’d like to activate the rate increase. One will not be automatically activated for you if rates rise.

Next is their Growth Certificate which comes with a minimum deposit requirement of just $5.00 but requires automated monthly add-on deposits of at least $10.00 with a cumulative cap of $100,000. There is no rate bump feature with the Growth CDs.

CD Rates (Standard and Growth)

Mountain America is a member of the NCUA (FDIC equivalent for credit unions) and all deposits are federally insured up to $250,000 per depositor.

The yields shown in the table below apply to both standard CDs and Growth CDs at Mountain America Credit Union.

CD TermAPY
6 months5.50%
12 months5.25%
18 months4.50%
24 months4.50%
30 months4.50%
36 months4.50%
48 months4.00%
60 months4.00%
APY = Annual Percentage Yield

To put these yields into perspective, the national average for 12 month and 60 month CDs sits at just 1.59% and 1.37% APY, respectively, according to FDIC data. That said, there are now a number of banks and credit unions offering 5.00% and 4.50% APY on the same respective terms – with Mountain America Credit Union leading the way for 12 month CDs.

Youth Certificates

Youth CDs require a minimum deposit of just $5.00 and allow for add-on deposits up to $10,000 per year starting from the day you open your CD.

As mentioned, you must be 27 years old or younger and all Youth CDs automatically renew into Standard CDs upon the owner’s 28th birthday.

Youth CD Rates

CD TermAPY
12 months5.35%
24 months4.60%
36 months4.60%
48 months4.09%
60 months4.09%
APY = Annual Percentage Yield

How Much Can you Earn with a Mountain America CD?

To see how much money you can earn from a Mountain America Credit Union CD take a look at the table below. It shows the total amount of money you’d earn in interest payments from a handful of Mountain America Credit Union’s most competitive CDs. It assumes a one-time deposit of $10,000.

CD TermAPYEarnings
6 months5.50%$271.32
12 months5.25%$525.00
24 months4.50%$920.25
36 months4.50%$1,411.66
60 months4.00%$2,166.53
Earnings = Total earnings from all interest payments through maturity.

How do Mountain America’s CD Rates Compare?

To get an idea of how Mountain America Credit Union’s CD rates compare to other well known credit unions with NCUA insurance, take a look at the table below.

Credit UnionBest CD Rate (APY)
Connexus Credit Union5.26%
GreenState Credit Union4.85%
Navy Federal Credit Union4.85%
Mountain America Credit Union5.50%
CD rates surveyed on June 5, 2023.

Compounding and Crediting Interest

Interest is compounded daily and credited back to the CD account monthly on all Mountain America CDs. You may elect to have the interest transferred to a MACU (Mountain America Credit Union) savings account which can then be withdrawn but this must be done upon account opening. You can learn more in their Truth-in-Savings disclosure forms (see PDF here).

Grace Period and Early Withdrawal Fees

Upon the maturity of any MACU (Mountain America Credit Union) CD, you will be given a 10 day grace period in which you may close out your CD or modify it in any way. If nothing is done during this 10 day window, your CD will automatically renew into a new standard CD with the same term and going APY at that time. Keep in mind, this means that all Growth CDs will automatically renew into Standard CDs with the same term.

If you need access to the funds in your CD prior to its maturity you will incur an early withdrawal fee. The fee(s) are as follows:

CD TermEarly Withdrawal Penalty
12 months or less90-day dividends penalty
greater than 12 mos and less than 48 mos180-day dividends penalty
48 months or greater365-day dividends penalty
mos = months

How to Open and Fund a CD

As noted, opening and funding a Mountain America Credit Union CD can be done online or over the phone by consumers in all 50 states. You can get started here.

Once your application has been accepted, the first account you’ll need to open is a MACU Traditional Savings account. All of the funds destined for your CD account must first come through this savings account. You’ll also need to maintain a minimum balance of $1.00 in the account for membership purposes after your CD is open and funded.

To complete the process you’ll need to following personal information:

  • email
  • phone
  • home address
  • social security number
  • driver’s license

If you’re going to make a transfer from another bank or credit union, you’ll need:

  • your current bank or credit union’s routing number
  • your account number

Chase Bank CD Rates – Up to 4.50% APY!

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Chase, or Chase bank, headquartered in downtown Manhattan (New York City) is the consumer and commercial subsidiary of the multinational JPMorgan Chase which holds nearly $4 trillion in assets as of the end of last year.

Chase Bank has 4,700 branches and 16,000 ATMs nationwide. They offer a full range of financial services that reach nearly every age group and demographic.

Despite the bank’s eye-popping asset size, their current CD rates have been slow to keep up with those offered by many FDIC-insured online banks and nationally available credit unions.

📌 Please Note: Chase Bank CDs come with terms ranging from 1 months to 10 years and can be opened online or in a local branch. If you wish to open a CD online, however, you will need to be an existing Chase Bank customer.

To see if Chase Bank CDs are right for you, continue reading our review below.

Chase Bank CD Rates + Account Details

image credit: chase.com

Chase Bank is member FDIC and all consumer deposits are federally insured up to $250,000 per depositor or $500,000 for joint accounts.

All Chase Bank CDs require a minimum deposit of $1,000 to open. Two factors will determine the APY (annual percentage yield) that is applied to your Chase Bank CD. These are:

  1. Deposit size
  2. Region

The deposit sizes come in ranges or tiers. They tiers are as follows:

  • $1,000 to $9,999.99,
  • $10k to $24,999.99,
  • $25k to $49,999.99,
  • $50k – $99,999.99,
  • $100k to $249,999.99 and
  • $250k plus.

Once you’ve entered your zip code, you can see Chase’s current CD rates by deposit amount. Their CD rates don’t vary too much by region – with their best offer being either 4.50 or 4.25% APY depending on where you live. We’ve sampled CD rates from the following U.S. cities to give you an idea of what you might encounter:

  • New York City (zip: 11368)
  • Los Angeles (zip: 90011)
  • Seattle (zip: 98122)
  • Boise, Idaho (zip: 83701)

The CD rates listed below were surveyed on June 4, 2023.

CD Rates (New York)

CD TermAPY ($0 – $9,999)APY ($10k – $99,999)APY ($100K +)
1 month0.02%0.02%0.02%
2 month0.02%0.02%0.02%
3 month3.00%3.00%3.00%
6 month4.00%4.00%4.25%
9 month0.02%0.05%0.05%
12 month3.00%3.00%3.75%
15 month0.02%0.05%0.05%
18 month0.02%0.05%0.05%
21 month0.02%0.05%0.05%
24 month2.00%2.00%2.00%
30 month1.50%1.50%1.50%
36 month2.00%2.00%2.00%
42 month1.50%1.50%1.50%
48 month1.50%1.50%1.50%
60 month1.50%1.50%1.50%
84 month1.50%1.50%1.50%
120 month1.50%1.50%1.50%
APY = Annual Percentage Yield

To give these yields some context, the current national average for a 12 month CD and a 60 month CD sit at 1.59% and 1.37% APY, respectively, according to FDIC data and average CD rates in New York are 2.27% and 2.59% APY for the same respective terms, according to Bankrate.

CD Rates (Los Angeles)

CD TermAPY ($0 – $9,999)APY ($10k – $99,999)APY ($100K +)
1 month0.02%0.02%0.02%
2 month0.02%0.02%0.02%
3 month3.00%3.00%3.00%
6 month4.00%4.00%4.25%
9 month0.02%0.05%0.05%
12 month3.00%3.00%3.75%
15 month0.02%0.05%0.05%
18 month0.02%0.05%0.05%
21 month0.02%0.05%0.05%
24 month2.00%2.00%2.00%
30 month1.50%1.50%1.50%
36 month2.00%2.00%2.00%
42 month1.50%1.50%1.50%
48 month1.50%1.50%1.50%
60 month1.50%1.50%1.50%
84 month1.50%1.50%1.50%
120 month1.50%1.50%1.50%
APY = Annual Percentage Yield

Average CD rates for 12 and 60 month terms in California sit at 2.36% and 2.74% APY for comparison.

CD Rates (Seattle)

CD TermAPY ($0 – $9,999)APY ($10k – $99,999)APY ($100K +)
1 month0.02%0.02%0.02%
2 month0.02%0.02%0.02%
3 month3.00%3.00%3.00%
6 month4.00%4.00%4.50%
9 month0.02%0.05%0.05%
12 month3.00%3.00%3.75%
15 month0.02%0.05%0.05%
18 month0.02%0.05%0.05%
21 month0.02%0.05%0.05%
24 month2.00%2.00%2.00%
30 month1.50%1.50%1.50%
36 month2.00%2.00%2.00%
42 month1.50%1.50%1.50%
48 month1.50%1.50%1.50%
60 month1.50%1.50%1.50%
84 month1.50%1.50%1.50%
120 month1.50%1.50%1.50%
APY = Annual Percentage Yield

Average 12 and 60 month CD rates for Washington state are 2.37% and 2.58% APY for comparison.

CD Rates (Boise, ID)

CD TermAPY ($0 – $9,999)APY ($10k – $99,999)APY ($100K +)
1 month0.02%0.02%0.02%
2 month0.02%0.02%0.02%
3 month3.00%3.00%3.00%
6 month4.00%4.00%4.25%
9 month0.02%0.05%0.05%
12 month3.00%3.00%3.75%
15 month0.02%0.05%0.05%
18 month0.02%0.05%0.05%
21 month0.02%0.05%0.05%
24 month2.00%2.00%2.00%
30 month1.50%1.50%1.50%
36 month2.00%2.00%2.00%
42 month1.50%1.50%1.50%
48 month1.50%1.50%1.50%
60 month1.50%1.50%1.50%
84 month1.50%1.50%1.50%
120 month1.50%1.50%1.50%
APY = Annual Percentage Yield

Average 12 and 60 month CD rates in Idaho sit at 2.41% and 2.80% APY for comparison.

How Much Can you Earn with a Chase Bank CD?

How much you earn on a Chase Bank CD is going to depend on four variables:

  1. The CD term you choose.
  2. The APY (annual percentage yield) on your CD.
  3. Your deposit size.
  4. Your Location.

The table below shows how much you’d earn with a Chase Bank CD assuming a $100,000 deposit for Chase Bank’s most competitive terms. Rates are based on the location of Seattle, WA (zip code: 98122).

CD TermAPYEarnings
3 months3.00%$741.71
6 months4.50%$2,225.24
12 months3.75%$3,750.00
2 years2.00%$4,040.00
3 years2.00%$6,120.80
5 years1.50%$7,728.40
Earnings = Sum of all interest payments through maturity.

How do Chase Bank’s CD Rates Compare?

Although Chase was quick to bump up their CD rates back in 2022 when the Fed began to lift prime rates in a major way, other large brick and mortar banks have caught up and even surpassed them. See the table below to compare Chase’s CD rates with other top CD rates from big banks.

BankCD TermAPY
Chase Bank6 months4.00% – 4.50%
Citibank9 months4.75%
Capital One24 months4.75%
Wells Fargo6 months4.76%
Bank of America13 months4.60%
CD rates surveyed June 4, 2023.

To get a better idea of how Chase Bank’s CD rates compare with some of the largest nationally available credit unions and their best CD rates, take a look at this second table below.

Bank/Credit UnionCD TermAPY
Chase Bank6 months4.00% – 4.50%
Alliant Credit Union12 months5.00%
MACU (Mountain America Credit Union)24 months5.50%
Navy Federal Credit Union18 months4.85%
PenFed Credit Union18 months4.70%
CD rates surveyed June 4, 2023.

Calculating Interest

Interest is compounded daily and you have some choice as to the frequency in which it is paid out. Depending on the term you may choose to have it paid monthly, quarterly, semi-annually or annually.

Early Withdrawal Penalties

Early withdrawal penalties for Chase Bank CDs are as follows:

  • CD terms less than 6 months pay 90 days of interest
  • CD terms 6 months to 24 months pay 180 days of interest
  • CD terms 24 months or more pay 365 days of interest

Grace Period

A certificate of deposit’s grace period is the brief window of time in which the deposit holder may move funds into and out of their CD without facing a penalty. During this time you may also roll your funds into another deposit with a different term or close it out entirely.

All Chase Bank CDs come with a standard 10 day grace period.

Chase Bank will alert you via email prior to your CD maturity date, but you should set up your own reminders as well.

Fees That May Apply

Chase Bank CD accounts do not come with any monthly maintenance fees like some of their other accounts, but depending on how you plan to move funds around, you may encounter some fees.

Wire Fees:

TypeFee
Domestic and international incoming wire$15 per transfer OR
$0 if the transfer was originally sent with the help of a Chase banker or using chase.com or Chase Mobile.
Domestic Outbound Wire (in-branch)$35 per transfer
Domestic Outbound Wire (online)$25 per transfer
Consumer USD/FX international wire (in-branch)$50 per transfer
Consumer USD international wire (online)$40 per transfer
Consumer FX international wire (online)$5 per transfer OR
$0 per transfer if the amount is equal to $5,000 USD or more

Transferring funds online is always going to be a cheaper option than having a banker help you in a physical branch.

If you plan on opening a CD with $1,000,000 or more; however, you must do this in a local branch.

Final Thoughts

Although Chase Bank has vast coverage across the country and abroad, many of their CD rates are still less competitive than what you can find from most FDIC-insured online banks and nationally available credit unions.

And as of June 2023, all of the big banks offer slightly more competitive CD rates than Chase.

Charles Schwab CD Rates – Now up to 5.50% APY!

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Charles Schwab is a multinational financial services company founded in 1971 and headquartered in San Francisco, California.

Charles Schwab has an array of products and services that it offers to both retail and institutional clients encompassing commercial banking, stock brokerage, and wealth management advisory services.

As of March 2023, they have 34 million active brokerage accounts, 1.7 million bank accounts and roughly $7.38 trillion (yes, with a T) in total client assets.

For the purposes of this review, we will focus on the brokered CD (certificate of deposit) rates offered through Charles Schwab.

To see if their CDs are right for you, continue reading our review below.

Charles Schwab Brokered CD Rates + Account Details

image credit: schwab.com

It is important to keep in mind that Charles Schwab does not issue CDs themselves, but rather brokers (or re-sells) bank CDs issued by FDIC-insured banks and financial institutions.

Charles Schwab CDs require a minimum deposit of $1,000 and you may increase your investment size by increments of $1,000.

CD Rates

TermAPY
1-3 Month5.41%
4-6 Month5.37%
7-9 Month5.34%
10-18 Month5.50%
APY = Annual Percentage Yield

The CD rates displayed above were surveyed on June 2, 2023.

To put these offers in perspective, the current national average on a 12 month CD and a 60 month CD sit at just 1.59% and 1.37% APY, respectively, according to recent FDIC data.

How do Charles Schwab’s CD Rates Compare?

If you want to see how Charles Schwab’s CD rates stack up against other major brokerages then take a look at the table below comparing top yields from some of the largest brokerage firms in the country.

BrokerageBest APYCD Term
Charles Schwab5.50%1-3 months
Edward Jones5.25%6-12 months
Fidelity5.35%3 and 9 months
Vanguard5.40%10-18 months
CD Rates surveyed June 2, 2023

How Much Can You Earn with a Charles Schwab CD?

If you’re curious about how much money you can make with a Charles Schwab CD take a look at the table below. This shows how much money you’d earn in total interest payments with a few of Charles Schwab’s CD offers. It assumes a deposit size of $10,000.

CD TermAPYTotal Earnings
3 months5.41%$132.59
6 months5.37%$264.99
9 months5.34%$397.88
12 months5.50%$550.00
Total Earnings = The sum of all interest payments throughout the life of the CD.

Brokerage Fees

For all new issue CDs, a selling concession is already included in the overall price for both online and broker assisted trades.

For all CDs purchased on the secondary market through Schwab CD OneSource, a $1 transaction fee per $1,000 is applied. This comes with a $10 minimum and a $250 maximum.

If you need a broker’s assistance for the trade you will also be charged an additional $25 as a trade service charge.

FDIC-Insurance

All of the brokered CDs offered through Schwab OneSource are federally insured by the FDIC through the partner bank. Thus the same coverage extends to you and can even exceed the $250,000 maximum if you choose to open more than one CD with more than one bank.

For example, if you open two CDs from two different banks through Schwab OneSource, you will get FDIC coverage of $250,000 from one bank and then $250,000 from the second bank. Assuming you have no other deposits at those banks, you’re covered for $500,000.

Compounding Interest

Interest on brokered CDs is not compounded as it would be with a bank or credit union as it requires immediate distribution. If you want compounding interest on a brokered CD you will need to reinvest your interest payments into a different account.

Grace Period

The exact grace period for your Charles Schwab CD can be found by contacting the issuing banking institution. Your broker can help you access this information.

In general, banks and credit unions typically offer a 7 – 10 calendar-day grace period in which the deposit holder may add or withdraw funds penalty-free before the CD automatically renews into a new CD with the same term and the going APY at that time.

Early Withdrawal Fees

Early withdrawal fees do not exist with brokered CDs. If you need funds prior to maturity, your Charles Schwab broker will help you sell it on the secondary market.

You may lose money on this sale depending on where interest rates are at that time. Learn more in the section below.

Drawbacks and Risks

The main risk in purchasing a brokered CD through Charles Schwab (or any brokerage firm for that matter) is if you need your funds prior to maturity.

As mentioned above, in this case you will need to sell your CD on the secondary market. Depending on the interest rate environment at that time it is possible to sell your CD for either less or more than you purchased it for.

Consider the following: You purchase a 2 year CD and need to cash out unexpectedly after the first year. During this time CD rates have also risen substantially. At this point you will likely need to sell your CD at a lower price than you purchased it for because much more attractive rates are being offered on new issue CDs.

Callable CDs

In some cases your brokered CD through Charles Schwab may be callable. This means the CD issuer may redeem the CD at a specified date or at the sole discretion of the issuing bank or credit union.

If your CD is redeemed by the issuer, you will be paid the outstanding principal amount and interest accrued up to, but not including, the call date. No interest will be earned after the call date as the CD will be closed out. To learn more visit Charles Schwab’s CD disclosure statements (PDF here).

Final Thoughts

Charles Schwab CD rates are getting more competitive each month as the Fed continues to increase rates to combat inflation. Vanguard, Edward Jones and Fidelity have also seen their CD rates rise this year as well.

That said, we may be nearing a peak in both prime rates and deposit rates as inflation continues to fall (now at 4.93%) and the Fed is unlikely to raise rates again during their next session in the middle of June.

Fidelity CD Rates – Now up to 5.35% APY!

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Fidelity is a multi-national financial services corporation based out of Boston, Massachusetts. They are one of the top 10 AMC (asset management companies) in the world with $3.88 trillion in assets under management and a combined customer asset value of $10.3 trillion as of December 2022.

Fidelity offers a wide range of services, products and tools to suit investors of varying experience levels and risk tolerances.

In this review we will focus on the brokered CDs offered through Fidelity. These can be found under their fixed income and bonds category.

It is important to note that Fidelity is not a bank, but a brokerage firm. Therefore Fidelity does not issue any certificates of deposit themselves, but rather “brokers” or resells them to their clients. The deposits are still obligations of the issuing bank, and thus come with FDIC-insurance up to $250,000 per depositor. That said, because Fidelity is a brokerage service, you can hold multiple CDs in your brokerage account with them, effectively expanding your FDIC coverage past the $250,000 limit. This is also true for their cash management account which allows for FDIC coverage up to $1.25 million.

You can open new issue CDs and/or secondary market CDs through Fidelity. New issue CDs are typically sold at par and clients do not pay a trading fee to purchase them. Purchases (and sales) of secondary CDs incur a trading fee of $1 per CD (1 CD = $1,000 par value). Download Fidelity’s CD disclosure document for a full understanding of their terms and conditions.

Fidelity CD Rates + Account Details

image credit: fidelity.com

Fidelity offers ten standard term New Issue CDs ranging from 3 months to 5 years that come with a minimum deposit requirement of $1,000.

CD Rates

TermExpected APY
3 months5.35%
6 months5.30%
9 months5.35%
1 year5.30%
18 month5.20%
2 years4.90%
3 years4.65%
4 years4.60%
5 years4.50%
APY = Annual Percentage Yield

[The CD rates above were surveyed on June 2, 2023.]

To give Fidelity’s new issue certificate of deposit rates (shown in the table above) some context, the current national average for 12 month and 5 year CDs sit at just 1.59% and 1.37% APY, respectively, according to FDIC data, while the top rates from online banks are hovering around 5.00% and 4.50% APY for the same respective terms.

How do Fidelity’s CD Rates Compare?

Take a look at the table below to compare Fidelity’s best CD rates with the top rates from other major brokerages.

BrokerageBest APYCD Term
Fidelity5.35%3 and 9 month
Charles Schwab5.50%10-18 months
Edward Jones5.25%6-12 months
Vanguard5.50%13-18 months
[The CD rates above were surveyed on June 2, 2023.]

How Much Can You Earn with a Fidelity CD?

The amount of money you can earn with a Fidelity CD is going to depend on your deposit size and the CD you choose. The table below shows how much you’d earn in total interest payments with a $50,000 deposit on a handful of Fidelity’s CDs.

CD TermAPYTotal Earnings
6 months5.30%$1,307.89
12 months5.30%$2,650.00
2 years4.90%$5,020.05
5 years4.50%$12,309.10
Total Earnings = The sum of all interest payments throughout the life of the CD.

How is Interest Calculated?

Interest on new issue Fidelity CDs do not compound. This is true with most brokered CDs as they require an immediate distribution of interest.

Interest payments will go into your Fidelity brokerage account as opposed to going back into the CD for further compounding.

Fidelity CDs that are purchased on the secondary market may be based on other interest rate calculations. You will need to contact the issuing bank or credit union with questions concerning the interest rate calculation on a secondary market CD.

Fidelity Auto Roll Program

Fidelity also has an “Auto Roll Program” that comes with some helpful features. The most notable being the ability to make early withdrawals on your CD without incurring steep fees. This is in contrast to bank or credit union CDs which generally take a portion of your interest as a fine.

The second stand-out feature of the Auto Roll Program is that it allows you to sell part of your CD (or add to it) prior to its maturity date.

You can also keep track of your earnings, set up alerts and auto-renew your CDs based on your chosen asset allocation.

If you would not like to be a part of the Auto Roll Program, you may cancel at any time.

Fidelity Brokered CDs: Pros and Cons

Brokered CDs offered through Fidelity come with many benefits and few downsides for those looking for FDIC insured accounts with high yields.

✅ For starters, the current rates offered (shown above) are more competitive than those found at top online banks and credit unions.

✅ The second major benefit is liquidity. If you need your funds prior to maturity you can simply sell it during any trading day on the open market. Keep in mind though that the market prices will fluctuate based on rates. This means it’s also possible to sell your deposit for less (or more) than you purchased it for.

For example, if you open a 5 year deposit and need the funds after year 2, during which time interest rates have risen considerably, you may have a tough time selling your deposit for your full purchase price because consumers can get better rates through new issue CDs.

Conversely, if you purchase a 5 year deposit and rates drop significantly (which they have) then you may find investors willing to offer a premium on your CD in the secondary market.

🛑 While new CDs don’t come with any fees, CDs purchased on the secondary market will be subject to a trading fee similar to buying or selling a stock.

🛑 You must have a taxable brokerage account or an Individual Retirement Account (IRA) with Fidelity to hold your CDs. This is also where your Fidelity CD’s interest payments will be deposited.

🛑 CDs may be callable, meaning the issuer may redeem the CD on a set date prior to maturity. Interest and principal will be paid in full or partially depending on whether the entire CD is called or just a portion of it. You’ll need to check with the issuer for the call schedule to see the exact call date(s).

Edward Jones CD Rates – Now up to 5.25% APY!

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Edward Jones is a brokerage firm you’ve likely heard of over the years as it passes a century in age.

Founded in 1922, Edward Jones now has over 8 million clients with a combined $1.5 trillion in assets managed by over 19,000 financial advisors as of Q3 of last year.

Edward Jones also offers consumers a number of competitive brokered CD (certificate of deposit) accounts with competitive yields on terms ranging from 3 months to 10 years.

Because Edward Jones is a brokerage firm and not an actual bank they don’t issue their own CDs. Instead, they ‘broker’ or re-sell a range of deposits issued by banking institutions that they’ve partnered with which provide FDIC coverage. We go into more detail on brokered CDs further below.

Edward Jones CD Rates + Account Details

image credit: edwardjones.com

All Edward Jones CDs require a minimum deposit of $1,000 to open. Please note that 7 and 10 year CDs are not available at this time.

CD Rates

CD TermAPY
3 months5.20%
6 months5.25%
9 months5.25%
1 year5.25%
18 months5.15%
2 years4.90%
30 monthsNA
3 years4.60%
4 years4.55%
5 years4.45%
7 yearsNA
10 yearsNA
APY = Annual Percentage Yield

The rates above were surveyed on June 2, 2023. These yields and terms may not be available in all states.

To give these offers some context, the current national average for a 12 month CD and a 60 month CD sit at 1.59% APY and 1.37% APY, respectively, according to recent FDIC data.

How Much Can You Make with an Edward Jones CD?

The amount of money you can earn with an Edward Jones CD is going to depend on your deposit size, the term you select and its APY (annual percentage yield). Take a look at the table below to get an idea of how much you’d earn with a handful of Edward Jones CDs assuming a deposit size of $100,000.

CD TermAPYEarnings
6 months5.25%$2,591.42
12 months5.25%$5,250.00
2 years4.90%$10,040.10
5 years4.45%$24,320.35
Earnings = The sum of all interest payments through maturity.

How do Edward Jones CD Rates Compare?

If you’re wondering how Edward Jones CD rates compare with other brokered CD rates, take a look at the table below. We’ve pitted Edward Jones against other well known brokerages and their best CD rates.

BrokerageCD TermAPY
Edward Jones6 month5.25%
Charles Schwab10 month5.50%
Morgan Stanley11 month5.27%
Fidelity3 month5.35%
Vanguard10 month5.50%
CD rates surveyed June 2, 2023.

Edward Jones Brokered CDs Account Details

A few crucial distinctions must be made between standard CDs and Edward Jones’s brokered CDs.

The most important of these being that you do not open or manage brokered CDs yourself. On top of that, the actual CD isn’t technically a product of Edward Jones at all. Instead Edward Jones purchases a CD for you from one or many different banks in partnership with this firm.

You can open new CDs with Edward Jones or you can purchase secondary CDs.

If you open a new CD with Edward Jones you will not have to pay any commission fees. Edward Jones will receive a concession from the bank that takes your deposit, but this is already factored into the price.

If purchasing a CD on the secondary market, you will have to pay Edward Jones a commission just like you would purchasing stock. You can see what commission they take in the trade confirmation.

A benefit of Edward Jones brokered CDs is that they don’t have early withdrawal penalties. If you need to cash out of your deposit early you can simply sell it to another investor on the secondary market.

Unfortunately, this also means there is an inherent downside to these products in that their price fluctuates on the open market and can feasibly be sold for less than the purchase price.

For example, if you open a 5 year deposit and need the funds after year 2, during which time interest rates have risen considerably, you may have a tough time selling your deposit for your full purchase price.

Conversely, if you purchase a 5 year deposit and rates drop significantly (which they have) then you may find investors willing to offer a premium on your CD on the secondary market.

Also note, interest earned on Edward Jones CDs does not compound. This is true of most brokered CDs as they require an immediate distribution of interest. The terms of your personal CD will tell you how often the interest on your account is credited and where.

Brokered CDs with Edward Jones do not automatically renew.

How to Purchase a CD Through Edward Jones

To open a brokered CD with Edward Jones, you’ll first need to set up a brokerage account with them if you don’t have one already. Edward Jones is a full service brokerage account with no minimum deposit requirements for account opening.

Opening up an Edward Jones brokerage account can be done online, however purchasing an Edward Jones brokered CD can not. For this you will have to go to a local office and fill out the paperwork. They will provide you with a prospectus to look over and discuss your options with you before you make any decisions.

As soon as your initial deposit clears, you are free to buy a new CD or a secondary CD through your Edward Jones broker.

Additional Deposit Accounts Offered Through Edward Jones

Edward Jones is a member of SIPC and deposit products with this firm are insured up to $250,000 per depositor.

In addition to its extensive suite of investment products and brokered CDs, this firm also offers money market funds and a cash management account.

Edward Jones Money Market Funds

Money market funds offered at Edward Jones, and most other brokerage firms, are not money market accounts. Money market funds are simply liquid mutual funds with good cash access. Money market accounts are federally insured deposit accounts with a guaranteed return of principal plus accrued interest.

Because money market funds are mutual funds with cash access, they do not guarantee that you will receive a full return on your principal.

On top of that, the cash in a money market fund may be used to invest in CDs or other short-term investments, but deposits into these funds are not FDIC insured.

Edward Jones money market funds are available as investment shares and retirement shares – both of these taxable options. You will be charged a $3 monthly maintenance fee for retirement share class money market funds with balances below $1,500 and a $3 monthly maintenance fee for investment share class money market funds with balances below $2,500. Talk with your advisor about cash and cash equivalents available for you to invest in with your money market fund—this will vary. 

There is no minimum investment required to open a money market fund and the current 7-day yield per share is 0.01%.

On the positive side, these money market funds make withdrawing and using money simple because they allow you to write unlimited checks and use a Visa debit card. Transactions and withdrawals are unlimited, unlike money market accounts.

Edward Jones Flex Funds Account (Cash Management Account)

An Edward Jones Flex Funds account is a cash management account that earns interest on your uninvested balance.

There is no annual fee and you can write up to 120 checks per year free of charge. This account is insured up to $1.5 million leveraging multiple banks’ $250,000 FDIC deposit insurance using the “Bank Sweep Program.”

With a Flex Funds account, you can set short-term savings goals for yourself and easily track your progress toward them. Your financial advisor can go through the details about how to strategize saving and investing with this account, but you have a lot of options and flexibility overall with a product like this.

Account Set-Up and Management

Edward Jones allows you to make quick and easy deposits into your account(s) and transfer funds electronically. You can enroll in online bill pay and link a direct deposit to one or more of your savings or investment accounts. Mobile check deposit is another feature included on the Edward Jones native apps for both Google Play and App Store, where they score an impressive 4.8 out of 5 on both platforms.

Final Thoughts

Edward Jones is a more than satisfactory brokerage firm and its brokered certificates of deposit are offering some competitive yields on short-term and mid-range CDs.