Best Jumbo CD Rates

At this point, you have managed to rack up a considerable chunk of change— at least five figures — and now you’re looking to put your money aside and let it grow for a short period of time.

This post will explore whether a jumbo certificate of deposit (CD) is the right option for your needs.

You’ll also learn which financial institutions are offering the best CD rates right now.

Best CD Rates by Term

Click on each term length below to discover which banks and credit unions are offering the highest CD rates.

5 Year CD Rates

CD rates provided by Last updated: May 22, 2024
Bank APY Min Deposit
First Internet Bank4.55% APY$1,000
Quontic Bank4.30% APY$500
Fidelity Investments4.30% APY$1,000
America First Credit Union4.20% APY$500
Bread Financial4.15% APY$1,500
Navy Federal Credit Union4.05% APY$100,000
CFG Community Bank4.05% APY$500
Marcus by Goldman Sachs®4.00% APY$500
Delta Community Credit Union4.00% APY$1,000
Alliant Credit Union4.00% APY$1,000

3 Year CD Rates

CD rates provided by Last updated: May 22, 2024
Bank APY Min Deposit
First Internet Bank4.66% APY$1,000
Fidelity Investments4.60% APY$1,000
Quontic Bank4.40% APY$500
CFG Community Bank4.35% APY$500
America First Credit Union4.35% APY$500
LendingClub Bank4.30% APY$2,500
UFirst Credit Union4.25% APY$500
Bread Financial4.25% APY$1,500
Navy Federal Credit Union4.25% APY$100,000
Connexus Credit Union4.21% APY$5,000

12 Month CD Rates

CD rates provided by Last updated: May 22, 2024
Bank APY Min Deposit
Western Alliance Bank5.51% APY$1
Bread Financial5.35% APY$1,500
BrioDirect5.35% APY$0
First Internet Bank5.31% APY$1,000
Navy Federal Credit Union5.30% APY$50
America First Credit Union5.30% APY$500
Navy Federal Credit Union5.25% APY$100,000
CFG Community Bank5.25% APY$500
UFirst Credit Union5.25% APY$500
UFirst Credit Union5.25% APY$10

6 Month CD Rates

CD rates provided by Last updated: May 22, 2024
Bank APY Min Deposit
Superior Choice Credit Union5.50% APY$2,500
Superior Choice Credit Union5.50% APY$100,000
America First Credit Union5.30% APY$500
UFirst Credit Union5.30% APY$500
Fidelity Investments5.25% APY$1,000
First Internet Bank5.18% APY$1,000
Vio Bank5.15% APY$500
Live Oak Bank5.10% APY$2,500
Quontic Bank5.05% APY$500
Bank5 Connect5.05% APY$500

3 Month CD Rates

CD rates provided by Last updated: May 22, 2024
Bank APY Min Deposit
America First Credit Union5.50% APY$500
Fidelity Investments5.30% APY$1,000
UFirst Credit Union4.65% APY$10
Alliant Credit Union4.25% APY$1,000
First Internet Bank4.14% APY$1,000
EverBank3.95% APY$1,000
Navy Federal Credit Union3.55% APY$100,000
Navy Federal Credit Union3.50% APY$1,000
SAFE Credit Union3.04% APY$500
Ally Bank3.00% APY$0

The Best Jumbo CD Rates from Top Banks for May 2024

Here are our favorite jumbo CD options to explore today:

Keep in mind that not all jumbo certificates of deposit accounts will advertise themselves as “jumbo”.

As always, you have to dig a little deeper for information when searching for the best financial products for your specific needs.

It’s also important to remember that APYs are always changing — especially during uncertain financial times, such as the current COVID-19 pandemic. This article represents the latest updates from across the industry.

What’s more, jumbo CDs will not always guarantee a higher return than a traditional CD, even though they may seem to have better rates at first.

Read the fine print to ensure that the jumbo CD APYs being offered are a better deal than you could get with regular CDs.

CommunityWide Federal Credit Union

CommunityWide offers a low minimum deposit of just $1,000 for terms ranging from six months to 60 months.

Dividends can compound in certificates, be deposited to another share, or be transferred to another institution.

CIT Bank

CIT Bank, member FDIC, is an online bank that is growing in popularity. The company offers 2-year CDs, 3-year CDs, 4-year CDs, and 5-year CDs.

The APY on the 2-year and 3-year accounts is 0.40%, and it’s 0.50% for the 4-year and 5-year terms.

These aren’t the highest APYs on the market, but they aren’t the lowest rates either. And with no account opening fees or maintenance fees, this makes them a pretty solid choice.

If you’re already a CIT Bank account holder, this might be a good option.

Capital One 360

Capital One 360 has many enticing features, including no minimum balance and flexible interest payments that allow the customer to determine when they are distributed.

Their 12-month CD (also known as a 1-year-CD) is one of the most competitive on the market.

But it’s still a relatively strong return.

Discover Bank

Discover is largely known for its credit cards. However, the Discover Bank CD program boasts a comparatively high APY, a lower minimum deposit, and a 12-month maturity date.

Discover’s 12-month plan is a pretty good value, too, when considering that its longer 30-month term has only a slightly higher APY.

I recommend keeping your money locked up in a 12-month term unless you are looking for guaranteed stability throughout a longer period.

Michigan State University Federal Credit Union

Michigan State University Federal Credit Union offers a variety of CDs in three, six, and 13-84 month terms.

There is also the option for a one-year add-on certificate.

One of the great parts about Michigan State’s program is there are no monthly or maintenance fees to worry about.

Blue Federal Credit Union

Blue Federal Credit Union offers various options for CD terms, depending on how much money you are looking to invest and how long you want to lock it up.

They offer CDs in the following rate tiers: $1,000 to $49,000; $50,000 to $99,999.99; $100,000+

Their rates are a little less than what you will find in a typical HYSA, but it comes with the security of a fixed rate — a nice-to-have in today’s volatile environment.

Chevron Federal Credit Union

Chevron offers share certificates, with a guaranteed return that varies depending on how much you are willing to put in.

A 12-month, $500 minimum investment will yield an APY of 3.20% which is great for beginners.

However, if you have at least $100,000 on hand, then you’ll want to spring for the 12-month jumbo CD, which comes with a strong APY of 3.25%, with a dividend rate of 3.20%.

SchoolsFirst Federal Credit Union

Like Chevron, SchoolsFirst also offers share certificates with a slightly reduced APY when compared to high yield savings accounts.

It should be noted that dividend rates and APY spike significantly when jumping to at least 12 to 17 months, with an APY of 1.95% – 2.10%.

And if you’re willing to keep at least $100,000 locked in for 60 months, you can receive a dividend of 3.30% and an APY of 3.35%.

So, it’s a flexible program with higher payouts, the more you’re willing to set aside.

Wings Financial Credit Union

Wings Financial Credit Union is now offering a decent APY on its share certificates.

Their best rates come on their 5 year jumbo cd products.

It’s a long time to keep such a large sum of money locked up in a CD.

But if you’re willing to park your capital for this long, this is a solid cd rate for the market right now.

SuperiorChoice Credit Union

One of the nice parts about SuperiorChoice is that the company offers monthly dividends.

Plus, when a certificate comes due, the company will provide a notice and offer 10 business days to cash or change the terms of the certificate.

Automatic renewal occurs after the 10-day period. So it’s a flexible and convenient program.

They are currently running an 11-month CD promotion. With this particular find, the APY is excellent, especially given the current market conditions.

If you’re looking for a safe short-term investment, this could be a good fit for you.

Benefits of a Jumbo CD

Now that you have a better idea of what a jumbo CD is, let’s take a look at some of the advantages you’ll enjoy by signing up for one.

Higher Interest Rates

Jumbo CDs usually have competitive rates that are slightly higher than traditional CDs.

Interest rates typically increase depending on how much you are willing to spend and how long you are willing to keep your money in the account.

One thing’s for sure: you’re much more likely to get a higher rate of return from a CD account than with a checking account, or money market account.

Shorter Tenures

Another benefit of using a jumbo CD is they can have short term lengths, with some terms running only a few days compared to several months.

Some jumbo CDs can also come with longer terms extending as much as 10 years.

Reduced Risk

Investors often use jumbo CDs as a way to diversify their portfolios, because investments are not subject to losses like they would be in the stock market. CD deposits are also come with FDIC insurance, while stocks are not.

Now that you have a basic overview of how jumbo CDs work and the pros of using one, let’s take a closer look at some of the top-performing products on the market.


What is a Jumbo CD?

Just like any other Certificate of Deposit (CD), a jumbo CD is a short-term savings account with a specific, fixed term and a fixed interest rate, which is also known as an annual percentage yield (APY).

When you invest in a CD, you need to be comfortable signing up with the notion that you’re essentially putting your money on hold for a specific time period in exchange for a stronger guaranteed return at the end of the savings period.

CDs are not like checking accounts where you can access your money whenever you need it. In fact, most CDs have an early withdrawal penalty.

A jumbo CD is an investment that typically involves a higher minimum balance than you would find in a traditional CD.

However, this can vary from bank to bank. Some minimum deposit requirements can be as low as $500 while others can be as high as $100,000.

Some companies, like Capital One, do not have any minimum deposit amounts at all.

Are Jumbo CDs Secure?

Jumbo CDs are considered to be risk-free investments, as they are FDIC-insured. They’re also covered by the National Credit Union Administration (NCUA).

While it’s not possible to lose money in a jumbo CD, it is possible to receive a lower payout than you would receive from a competitive traditional CD.

It’s important to scour the market and make sure that you’re putting your money in the right location.

Are Jumbo CDs a Good Investment?

It largely depends on your financial goals and overall investment strategy. High-value stock traders can use jumbo CD returns to offset potential losses during stock trading.

Jumbo CDs are also a good investment for savers looking to park their money for a short period of time before putting it somewhere else.

Ultimately, jumbo CDs will yield strong APYs while delivering security — making them an ideal investment vehicle for those who want to avoid risk.

That said, many people will not qualify for jumbo CD accounts due to the high minimum opening deposits and minimum balance requirements.

Jumbo CD Alternatives

It’s important to know your options before putting your money into a jumbo CD or any CD for that matter.

Always remember: Putting any amount of money into a CD of any kind is like putting your money in jail.

As with your IRA investments, you could be looking at an early withdrawal penalty if you need immediate access to your cash.

With that in mind, here are some jumbo CD alternatives to consider.

High-Yield Savings Account (HYSA)

An HYSA is an online savings account that pays roughly 20 to 25x more than the national average of a standard savings account.

For example, the online bank Ally offers a much higher APY on savings accounts than Bank of America does.

The main difference between an HYSA and a CD is that an HYSA comes without a binding term agreement.

The tradeoff is that HYSA rates are variable and depend on how the economy is functioning and what the Federal Reserve does with interest rates.

HYSA rates were halved in the last year due to the pandemic, as the Federal Reserve has slashed interest rates.

The main thing to remember is that you don’t want to have your money locked up when HYSA rates shoot back up.

Dividend-Paying Stocks

A dividend is a distribution of profits to shareholders. They are usually paid quarterly or semi-annually. Dividends can also be paid monthly or without a set schedule (i.e., irregular dividends).

If you choose the right performing stocks, and you’re willing to handle market volatility, then you can stand to earn more over the course of a year than you would with a binding jumbo CD.

Again, it all depends on your risk tolerance and your needs. Only you or your financial advisor can make that decision.

Bond Funds

A bond fund is a fund that invests in debt securities and government or corporate bonds. They usually pay regular dividends and can be either short or long term.

Bonds funds are considered a safe alternative to CDs. However, they can fluctuate in value.

And because short-term bonds are mutual funds, you will have to pay a capital gains tax if you convert them to cash.

Is a Jumbo CD Best For You?

These are uncertain economic times. As such, you may be hesitant to put your money into the volatile stock market or to keep all of it in a variable HYSA account.

If you’re looking for security and you want to lock in a great APY, consider investing in a jumbo CD.

Just make sure to shop around and compare CDs to make sure you’re getting the best bang for your buck.

Research your options, take your time, and you’ll make the best decision for you. Good luck!

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