Best 1-month CD rates for January 2025

Written by
Karen Bennett
Edited by
Marc Wojno, MBA
Reviewed by
Robert R. Johnson

Rates updated Dec. 13, 2024 | Content updated Jan. 14

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A one-month certificate of deposit (CD) matures in the quick span of just four weeks. Interest rates on these CDs are typically low because banks want account holders to lock their money up for longer periods. You may prefer a one-month CD if you need to protect some cash for a very short term and intend to spend it immediately. Many savings accounts and money market accounts, however, offer higher annual percentage yields (APYs) than one-month CDs.

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Bankrate’s picks for top 1-month CD rates

Note: Annual percentage yields (APYs) shown are as of Dec. 13. Bankrate's editorial team validates this information regularly, typically biweekly. APYs may have changed since they were last updated and may vary by region for some products. Bankrate includes only FDIC banks or NCUA credit unions in its listings.

SchoolsFirst Federal Credit Union: 3.00% APY; $20,000 minimum deposit to earn APY

SchoolsFirst serves the education community in California. Certain school employees, certain retired school employees and immediate family members of SchoolsFirst Federal Credit Union members are eligible to join.

SchoolsFirst offers CDs ranging from 30 days to five years. To open a CD, a $500 minimum deposit is required. If you put in more money you may be rewarded with a higher annual percentage yield (APY), as SchoolsFirst has five rate tiers: $500, $20,000, $50,000, $100,000 and $250,000.

Huntington National Bank: 0.50% APY; $1,000 minimum deposit

Huntington National Bank maintains more than 1,200 branches, which are located mostly in the Midwest and South. The bank offers CD terms ranging from one month to six years. The minimum amount required to open a CD is $1,000.

Zions Bank: 0.30% APY; $1,000 minimum deposit

Zions Bank has 121 full-service branches in Utah, Idaho and Wyoming. The bank offers 10 terms of CDs ranging from one month to five years. CDs are only available for those physically opening an account in Utah or Idaho.

Zions Bank also offers checking, savings and money market accounts, personal loans, mortgages and credit cards. It features mobile and online banking.

U.S. Bank: 0.05% APY; $500 minimum deposit

U.S. Bank is one of the 10 largest commercial banks in the U.S.

It offers 11 terms of CDs, ranging from one month to five years. U.S. Bank also offers a Step Up CD and a Trade Up CD. To open any of the standard CDs, a minimum deposit of $500 is required, but you can’t deposit more than $250,000.

KeyBank: 0.05% APY; $2,500 minimum deposit

KeyBank has a network of around 1,000 branches and more than 40,000 ATMs. KeyBank has CDs with terms ranging from seven days to 10 years. KeyBank CDs are available to consumers and businesses in 15 states.

When should you get a 1-month CD?

A one-month CD is worth considering if you have a lump sum of money that you'd like to save, untouched, over a short period of time (typically four weeks) while earning a fixed rate of interest during that term. A one-month CD isn’t ideal if you need to access the money immediately as you’ll likely be penalized financially for withdrawing the funds before the end of the one-month term, usually losing the interest you accrue. It’s worth noting that such short-terms CDs tend to offer lower APYs. Other terms of CDs at competitive banks and credit unions generally offer higher yields and longer options to lock in your APY.

When it comes to navigating low interest rate environments with CDs, retaining an element of flexibility can be the best way to look after your prospective returns. Purchasing short-term CDs means that savers can earn a yield on their savings while avoiding becoming locked into a lower-rate CD should rates rise in the near future. — Maxim Manturov, Head of Investment Research, Freedom24

Pros and cons of a 1-month CD

Pros

  • Checkmark Icon

    Your money isn’t locked away for long.

  • Checkmark Icon

    It gives you the flexibility to either keep your money in the CD for another term when it matures or withdraw it when the term ends.

  • Checkmark Icon

    Generally, a term CD will give you a fixed APY during the CD’s term.

Cons

  • Unlike a savings account, a one-month CD may incur an early withdrawal penalty if you take money out before the term ends.

  • A savings account or a no-penalty CD may earn a higher APY than a one-month CD.

  • The APYs might not be competitive compared with longer-term CDs.

1-month CD FAQs

Research methodology

Bankrate’s editorial team is made up of seven banking experts. These experts have researched numerous banks and at least twice a month review bank websites to make sure readers stay up to date on the latest rates and bank products.

The banks and credit unions on this page are selected based on popularity, Bankrate’s review score and CD APYs. The listings are ordered based on Bankrate’s scoring system, and ties are broken through minimum balance requirements and then alphabetical order.