Best 6-month CD rates for December 2024

Written by
Karen Bennett
Edited by
Yuliya Goldshteyn
Reviewed by
Greg McBride, CFA

Best available rates across different account types for Sunday, December 22, 2024

Bankrate logo The Bankrate promise

At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict , this post may contain references to products from our partners. Here’s an explanation for . Learn more about who we are and our promise to guide you through life’s financial journey.

Show me:
Current 1 year CD trends
Bankrate Partner average
4.13% APY
National average
1.77% APY

On This Page

Bankrate's picks for the best 6-month CD rates

Note: Annual percentage yields (APYs) shown were updated between Dec. 15, 2024 and Dec. 21, 2024. 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.

Limelight Bank_logo

Limelight Bank

4.2 Bankrate savings score

  • Annual percentage yield

    4.65%

  • Min. deposit to open

    $1,000

Why Limelight Bank?

Limelight Bank is an online-only bank that’s a division of Capital Community Bank. It’s known for supporting eco-friendly causes such as solar initiatives. The bank offers four CD terms ranging from six months to three years. A minimum deposit of $1,000 is required. Limelight doesn’t offer any types of bank accounts other than CDs.

Popular Direct_logo

Popular Direct

3.8 Bankrate savings score

  • Annual percentage yield

    4.61%

  • Min. deposit to open

    $10,000

Why Popular Direct?

Popular Direct CDs are for established savers, since the CDs have a $10,000 minimum deposit requirement. The CDs come in eight fixed terms ranging from three months to five years. Popular Direct’s Select savings account also offers a competitive yield and requires a $100 minimum deposit. All Popular Direct deposit accounts are opened through Popular Bank.

America First Credit Union_logo

America First Credit Union

5.0 Bankrate savings score

  • Annual percentage yield

    4.55%

  • Min. deposit to open

    $500

Why America First Credit Union?

America First Credit Union was founded in 1939 in Salt Lake City. It has CDs with terms ranging from three months to five years. The minimum opening deposit for CDs is $500. It also offers a variety of checking and savings accounts.

Bank5 Connect_logo

Bank5 Connect

3.9 Bankrate savings score

  • Annual percentage yield

    4.50%

  • Min. deposit to open

    $500

Why Bank5 Connect?

Bank5 Connect's CDs start with a minimum deposit of $500, offering eight terms ranging from three months to three years, including an add-on CD called a 24-month Investment CD. While most APYs are competitive, the 3-year CD has a notably lower rate.

Bask Bank_logo

Bask Bank

4.4 Bankrate savings score

  • Annual percentage yield

    4.45%

  • Min. deposit to open

    $1,000

Why Bask Bank?

Bask Bank began offers six CD terms ranging from three months to two years. The bank also offers a savings account with a competitive APY and another savings account that earns American Airlines miles.

First Internet Bank of Indiana_logo

First Internet Bank of Indiana

4.6 Bankrate savings score

  • Annual percentage yield

    4.35%

  • Min. deposit to open

    $1,000

Why First Internet Bank of Indiana?

First Internet Bank of Indiana is an FDIC-insured financial institution that operates online and has no branches. It opened in 1999 and offers products in all 50 states. First Internet Bank offers eight terms of CDs, a money market savings account with a competitive yield, a savings account and two checking accounts.

Vio Bank_logo

Vio Bank

4.1 Bankrate savings score

  • Annual percentage yield

    4.30%

  • Min. deposit to open

    $500

Why Vio Bank?

Vio Bank offers traditional CDs with terms ranging from six months to 10 years, an extensive variety compared to some other banks. The minimum deposit for each account is relatively low at $500. CDs automatically renew once they mature following a 10 day grace period. Yields are competitive for all CDs, but Vio’s highest APYs are for CDs with terms of three years or less.

Quontic Bank_logo

Quontic Bank

4.0 Bankrate savings score

  • Annual percentage yield

    4.25%

  • Min. deposit to open

    $500

Why Quontic Bank?

Quontic Bank is an online bank that offers CDs as well as savings, money market and checking accounts. A $500 minimum deposit is required to open a Quontic Bank CD and six terms are offered, ranging from three months to five years.

Ally Bank_logo

Ally Bank

4.6 Bankrate savings score

  • Annual percentage yield

    4.10%

  • Min. deposit to open

    $0

Why Ally Bank?

Ally Bank is an online-only bank formerly known as GMAC Bank. Ally offers seven terms of CDs, a no-penalty CD and two terms of a Raise Your Rate CD. The Sandy, Utah-based bank also offers a savings account, an interest-bearing checking account and a money market account. Ally has 11 million customers with deposit accounts.

SchoolsFirst Federal Credit Union_logo

SchoolsFirst Federal Credit Union

4.5 Bankrate savings score

  • Annual percentage yield

    4.10%

  • Min. deposit to open

    $500

Why SchoolsFirst Federal Credit Union?

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 APY, as SchoolsFirst has five rate tiers: $500, $20,000, $50,000, $100,000 and $250,000.

Lightbulb Icon

In the news

During the Federal Reserve’s meeting on Nov. 7, rates were reduced by a quarter of a percentage point, or 25 basis points, placing the target range for the federal funds rate at 4.5-4.75 percent. Previously, the Fed lowered rates by 50 basis points during its Sept. 18 meeting, setting the benchmark range to 4.75-5 percent.

Although the Fed hinted that more rate cuts are on the way, Chairman Jerome Powell says the Federal Open Market Committee will continue to make their decisions “meeting by meeting.” Only time will tell how much the next rate cut will be. 

A long-term CD might be worth considering in this current rate environment. That can help you build a CD ladder for the long term. But in the short term, a six-month CD can earn close to a top-yielding savings account.

How to find the best 6-month CD rates

Traditionally, CDs with longer maturities offer higher yields. But in this current rate environment, shorter-term CDs are proving to have the highest yields.

Top six-month CDs generally have APYs close to top savings accounts. It’s possible for some CDs – especially one-year CDs and 18-month CDs – to have higher APYs than six-month CDs. But generally, two-year CDs and CDs with longer terms have lower APYs in the current rate environment. 

In addition to a competitive APY, you’ll also want to consider minimum deposit requirements and early withdrawal penalties. 

The advantage of a six-month CD is that you know you’ll be able to access the money in a shorter time frame. Since a CD typically has an early withdrawal penalty, you have to be willing to keep your money in the CD until the end of the term or lose out on some of the interest earnings.

When should you get a 6-month CD?

A six-month CD is great for someone who needs to keep money safe – and untouched – for a term of six months, as CDs have early withdrawal penalties that could cost you a good amount of the interest you’re trying to earn if you pull your money out early. Money you put in a CD should be money that you don’t need to access but also money that you can’t afford to lose. You might consider investing some of your money in riskier, higher-yielding investments such as stocks, provided you can afford the risk because such investments can earn much more than an FDIC- or NCUA-insured CD with a guaranteed APY. But you could also lose all of your money in an investment.

For those times when you’re unsure about when you’ll need access to your money, a high-yield savings account at an FDIC-insured bank is likely a smarter place for your money. Just make sure you’re within the FDIC’s guidelines and following the FDIC’s rules.

Determining if a CD should be part of your portfolio depends on what you’re trying to accomplish. Probably the most important is the time horizon of the specific dollars in question. Since CDs offering the highest rates typically have an early withdrawal penalty, it’s key to be clear on when you need the money. Time horizon, plus the interest rate and penalty comparison between short- and long-term will be your determining factors. — Sean Mason, Investment Advisor Representative, Fresno Financial Advisors

Alternatives to 6-month CDs

When considering a six-month CD, compare it to other available accounts to determine when other options might be a better decision. Some alternatives to consider:

  • Savings accounts: With a savings account, you won’t face the early withdrawal penalties like you do if you break your six-month CD before it matures. But savings accounts have variable rates so your return isn’t guaranteed like it is with a CD
  • Money market accounts: These savings accounts allow you to access your money in ways that you can’t with a CD, including check-writing and ATM withdrawals. But there’s a good chance you’ll get a better yield on a six-month CD than with a money market account.
  • Consider a longer-term CD: If guaranteed yields are calling you, you can also consider a slightly longer-term CD, if it works for your savings goals. Top APYs for 9-month and 1-year CDs are outpacing 6-month CDs. The longer you keep your money invested, the more interest you’ll earn.

6-month CD FAQs

Research methodology

At Bankrate, we strive to help you make smarter financial decisions. We follow strict guidelines to ensure that our editorial content is unbiased and not influenced by advertisers. Our editorial team receives no direct compensation from advertisers and our content is thoroughly fact-checked to ensure accuracy.

Bankrate regularly surveys around 70 widely available financial institutions, made up of the biggest banks and credit unions, as well as a number of popular online banks.

To find the best CDs, our editorial team analyzes various factors, such as: annual percentage yield (APY), the minimum needed to earn that APY (or to open the CD) and whether or not it is broadly available. All of the accounts on this page are insured by the Federal Deposit Insurance Corp. or the National Credit Union Share Insurance Fund.

When selecting the best CD for you, consider the purpose of the money and when you’ll need access to these funds to help you avoid early withdrawal penalties.