As of July 1, 2024, savers seeking high returns on their investments have several compelling options in the realm of Certificate of Deposit (CD) rates. Leading the pack is NuVision Credit Union, offering an impressive 6.00% on a 10-month certificate, reclaiming the top spot in national CD rates after several months. However, this rate applies to deposits capped at $5,000 under NuVision’s promotional terms.
For those looking to invest more substantial amounts while still securing competitive rates, there are five additional certificates yielding 5.50% APY or better. Paramount Bank offers a noteworthy 5.55% on an 11-month term, while INOVA Federal Credit Union provides a competitive 5.55% rate for a 5-month period, guaranteeing returns until December.
Investors considering longer-term commitments can lock in rates up to 5.10% APY until 2026 with Credit Human’s 2-year CD, or opt for 5.00% APY over 30 months with Vibrant Credit Union. Those seeking even longer rate guarantees can secure 4.86% on a 4-year CD or 4.80% over 5 years.
Despite a slight decline from historic highs reached in October 2023, current CD rates remain exceptional by historical standards, particularly in light of anticipated Federal Reserve rate cuts. Analysts suggest that now might be an opportune moment to secure these rates before potential decreases in the federal funds rate, which could drive CD yields down further.
For those with substantial deposits, jumbo CDs may offer slight rate premiums in certain terms, such as the 5-year period where Grow Financial Federal Credit Union offers 4.86% APY compared to standard CD rates.
Looking ahead, the Federal Reserve’s decision to maintain the federal funds rate underscores ongoing vigilance regarding inflation trends. Market expectations suggest a potential rate cut in late 2024, prompting speculation among traders about future CD rate movements.
Investopedia tracks daily rate data from over 200 institutions nationwide to provide insights into the highest-paying CDs across various terms. Each institution featured is federally insured, ensuring a secure investment environment for savers.
In conclusion, while current CD rates remain attractive, prudent investors may find it advantageous to act sooner rather than later to secure favorable terms amidst evolving economic conditions.
