Although high-yield savings accounts (HYSAs) have been earning excellent rates, those rates have started to decline in response to the Fed’s September rate cut (with more cuts likely on the way).

However, by opening a certificate of deposit (CD), you can still lock in a high rate for a set amount of time. That way, even if banks continue to lower their interest rates, you will still earn a great return from your savings.

Here’s a look at the best 18-month CD rates today, along with some important considerations to make before opening one.

Our team of experts analyzed hundreds of data points and then used data-driven methodology and thorough fact-checking to determine the best 18-month CDs. We heavily emphasized annual percentage yield (APY) because maximizing earnings is the most important feature of CDs. You can read more about our methodology below.

First Internet Bank’s 18-month CD provides a 4.15% APY and requires a minimum $1,000 deposit to open. The bank also provides several other financial products, such as savings and checking accounts, IRAs, HSAs, financing and business accounts.

With First Internet Bank’s mobile app, you can check account balances, deposit checks, transfer funds, pay bills and more. Customers rate the app highly, with a 4.4-star rating on Google Play and 4.8 stars on the App Store.

The 18-month CD from First Internet Bank is a solid choice if you’re comfortable banking entirely online. Its mobile apps have great features to help you manage your account.

Navy Federal Credit Union offers membership to active and retired armed forces service members along with their families. Customers praise the credit union for its stellar support (available 24/7 by phone), rating it 4.5 out of 5 stars on Trustpilot. With as little as $50, you can open an 18-month certificate with a 4.35% APY. Unlike most other CDs, you can deposit money into the account throughout the term.

An EasyStart certificate is best for qualifying service members with under $1,000 to deposit. However, if you have $1,000 or more, you can earn a better rate with Navy Federal’s standard 18-month certificates.

Northern Bank’s online division, Northern Bank Direct, has one of the highest 18-month CD rates on our list, with an APY of 4.75%. The CD only requires a minimum deposit of $500 to open. However, its interest compounds monthly instead of daily.

If you have to withdraw your money early, the bank charges 12 months of interest (plus a $25 fee if closed within 120 days) — a much higher penalty than other institutions on this list.

The 18-month CD from Northern Bank Direct is best if you want a great interest rate but can only deposit $500. However, because of the high penalty, only choose this option if you’re sure you won’t need to withdraw early.

TAB Bank provides CD terms ranging from 12 to 60 months, with APYs of up to 4.25%. With its 18-month CD, you can secure a competitive rate of 3.95%.

As an online bank, there are no branch locations, but you can view your account with the highly-rated Android or Apple mobile app. Customer service is also available on weekdays from 6 a.m. to 7 p.m. MT or Saturdays from 9 a.m. to 3 p.m. MT.

TAB Bank may be a great choice if you’re trying to build a CD ladder since it offers several CD terms with excellent rates.

If you’re searching for both a CD and HYSA, the Bask Interest Savings Account pays an excellent 5.10% APY. However, you can also opt for the Bask Mileage Savings Account to earn 2.5 American Airlines AAdvantage miles for each $1 you save annually.

The bank’s 18-month CD earns 4.20% APY and requires a $1,000 minimum deposit. According to Bask’s website, opening an account online takes less than 15 minutes.

Bask Bank may be ideal if you want to open a high-yield savings account along with your CD — especially if you’re interested in earning miles as interest.

Credit unions are not-for-profit, so they tend to pay better rates and charge less fees than banks. At CommunityWide Federal Credit Union, you can easily qualify to join by donating $5 to one of its chosen charities. When you become a member, you can access free financial counseling and education.

The 18-month CW Certificate pays a competitive APY of 4.50% and requires a $1,000 minimum deposit. However, if you find a higher rate elsewhere, the credit union will try to match it.

If you want to join a credit union, it’s easy to qualify for membership at CW Federal Credit Union, and you can earn a great rate on an 18-month certificate.

CIBC Bank provides several financial products, including savings and checking accounts, HSAs, retirement accounts and mortgages. With a $1,000 minimum deposit, you can open an 18-month CD to earn 3.76% APY. If you have to withdraw your money before maturity, you only need to pay a 30-day penalty, which is much lower than other institutions that often charge around 180 days of interest.

If there’s a slight chance of needing your money back before maturity, CIBC Bank may be a good choice since it doesn’t have a hefty early withdrawal penalty.

Along with its EasyStart certificates covered earlier, Navy Federal also offers standard share certificates. Balances of $1,000 or more earn 4.40% APY, while balances above $100,000 earn 4.45%.

The credit union has fantastic ratings on Trustpilot, with customers saying its representatives are professional, efficient and excellent at communicating. You can call Navy Federal 24/7 for assistance or visit one of its 350 branches worldwide.

This certificate is ideal for service members with at least $1,000 to deposit. If you have less than that, Navy Federal’s EasyStart certificate may be a better option.

My eBanc requires a higher minimum deposit than other institutions on this list. You need at least $5,000 for its standard 18-month CD to earn 4.50% APY. However, with a minimum $50,000 deposit, you can earn one of the best 18-month jumbo CD rates with 4.60% APY.

When you sign up for My eBanc, you get a free money management tool. This tool can sync multiple accounts, which allows you to organize transactions, create a budget and track your spending.

My eBanc is best if you have at least $5,000 to deposit and won’t need to touch that money for at least 18 months.

Unlike other institutions on this list, you don’t need a minimum deposit to open a CD with Synchrony Bank. So, even with a small investment, you still earn a competitive 4.25% APY with its 18-month CD.

Although the bank doesn’t have any branch locations, it provides 24/7 automated phone service, and you can speak to a customer representative any day of the week. Its mobile apps are highly rated, with 4.8 stars on Apple and 4.6 stars on Android.

Synchrony’s CD may be a good option if you have little to invest since it doesn’t require a minimum deposit.

A CD is a time deposit account that typically earns a better interest rate than other savings options.

You usually have to leave the funds invested until the agreed-upon maturity date, which, in this case, would be 18 months from the day you open the account. However, terms can range from one month to 10 years or even longer.

“The benefit of an 18-month CD is that you are only tying up your money for 18 months, so it gives you a little bit of flexibility,” said Krisstin Petersmarck, financial advisor, president and founder at New Horizon Retirement Solutions.

During the term, you earn compound interest in exchange for keeping your money invested. The rate you earn is fixed, meaning it stays the same throughout the entire term.

“The guaranteed interest rate is always a great option with CDs,” Petersmarck continued. “In today’s interest rate environment, an 18-month CD is still a good option for a fixed rate return.”

Once your CD matures, you usually have a 10-day grace period to decide what to do with your funds, such as withdrawing or opening a new CD. If you don’t let your bank know what you’d like to do within the grace period, it will likely roll your principal and earned interest into a new CD with the same term at the bank’s current rates.

As mentioned above, you can’t access your money during the term with an 18-month CD.

If you need your money back before the maturity date, the financial institution will likely charge a penalty for withdrawing early. The amount will vary depending on the bank, but it usually takes some (or all) of your earned interest and sometimes a portion of your principal.

To avoid an early withdrawal penalty, you should carefully consider whether you may need the money back before maturity prior to opening a CD.

“You want to make sure that whatever dollar amount you choose, you can afford for that money to be tied up for that 18 months,” said Petersmarck. “So you want to make sure that you have additional funds available for any of those unexpected expenses that could pop up that we don’t always anticipate.”

Some institutions offer liquid CDs that typically don’t charge a penalty if you withdraw early. However, these CDs tend to pay lower interest rates than traditional ones, and you’ll likely have to withdraw the entire amount and close the account if you need any of the money back early.

There are several resources available to assist you in finding the best 18-month CD rates.

“My recommendation is to go to your local bank and work with a banker or your financial advisor if you have one and see what they have available,” Petersmarck advised.

Petersmarck said you can also go online to see rates offered by different banks. However, it’s vital to ensure that you only use reputable sources.

“I just can’t stress enough that you want to be careful that you don’t accidentally jump into a forum where just anybody can post whatever information they want,” Petersmarck continued.

“A lot of times when you Google things, Reddit will be one of the sources that come up, and that is not a source that I, as a financial advisor, would recommend you use for any financial advice.”

Research: The first step to getting an 18-month CD is to decide where you want to open it. Shop around and compare APYs to find the highest 18-month CD rates. You should also look at minimum deposit requirements, penalties and customer service reviews.

Gather documents: You typically need to provide some information to the financial institution when you apply for an account. Most banks will ask for your name, contact information, and Social Security number, along with a photo of a government-issued ID.

Fill out an application: Once you have the necessary paperwork, you can fill out an application either on the bank’s website or at a branch (if it has physical locations). When applying online, follow the directions carefully, and don’t hesitate to call customer service if you have any questions.

Pros and cons of 18-Month CDs

Pros

Competitive APY: Since you can’t access your funds during the term, CDs tend to pay a higher interest rate than a regular savings or money market account.

Fixed rate: There’s no risk of your interest rate changing during the term; once you lock in your rate, it will stay the same until maturity.

Safety: As long as you open the CD at a federally insured financial institution, the FDIC or NCUA protects your funds up to $250,000 per depositor.

Cons

Lack of liquidity: After depositing your money into a CD, you typically must leave it there for the term, even if rates go up or you want your money back early.

Lower returns: Although you can earn a competitive APY with a CD, you may see a better return from investing in the stock market.

Penalties: If you do decide to withdraw your money from a CD before maturity, you will typically have to pay a penalty, which could negate any interest you earned.

Alternatives to 18-month CDs

High-yield savings account: Many of the best high-yield savings accounts offer interest rates that rival those of CDs. However, you can access your money when you need it without worrying about penalties.
Money market account: Although money market accounts often have transaction limits, you can earn a rate similar to a savings account while using checks and a debit card to access your funds.
Stocks: Historically, stocks have provided 10% in annual returns, which far exceeds even the top CD rates. However, they can be risky, so you may want to diversify your investments through mutual funds or ETFs.
Bonds: When you purchase a bond, you’re loaning money to the issuer (usually the government or a corporation) in exchange for fixed interest payments. While there is more risk with bonds vs. CDs, they’re a generally safe investment, especially when investing in treasury bonds.

Methodology

CNN Underscored Money analyzed accounts from more than 25 financial institutions to develop the rankings for the best 18-month CDs. This included accounts from a mix of traditional banks, online banks and credit unions available nationally. We ranked each account on eight data points across six categories.

Here are the categories we analyzed and how we weighted each:

APY is a critical factor for CD accounts because this determines how quickly your deposit will grow. Accounts with higher APYs scored better.

Minimum opening deposits determine how accessible a CD is and how easily you can employ strategies like CD laddering that require multiple CDs. Accounts that have low or no minimum opening deposits scored better.

It’s important to have a bank that’s trustworthy and easy to reach when you need help. We considered customer service availability and Trustpilot ratings in this category.

You’ll want a bank with a usable app and plenty of online features so that it’s easy to bank from anywhere. We analyzed app reviews and the ability to bank online.

This is an important factor to consider because the more frequently your interest compounds, the faster your deposit grows and the more frequently you will potentially have access to your interest earnings.

Financial institutions may have membership requirements you must meet to join and get accounts. For example, some credit unions have eligibility based on a list of employers, counties of residence or membership in certain charitable organizations. We rewarded financial institutions that allow anyone to sign up.

Some of the best 18-month CD rates range from 4.15% to 4.75% APY.

According to September 2024 FDIC data, CDs with terms between 12 and 24 months tend to pay higher rates than CDs with longer or shorter terms.

Home

The best 18-month CD rates of November 2024