Best CD rates today, September 13, 2025 (best account provides 4.45% APY)

Core Insights - The Federal Reserve has cut its federal funds rate three times in 2024, indicating a potential decline in competitive CD rates, making it crucial for investors to lock in high rates now [1] - The best CD rates are currently found in shorter terms, particularly around one year or less, with online banks and credit unions leading in offers [2] CD Rates Overview - As of September 13, 2025, the highest CD rate available is 4.45% APY from LendingClub for an 8-month CD [2] - The interest earned from a CD is determined by the annual percentage rate (APY), which reflects total earnings after one year, factoring in the base interest rate and compounding frequency [2] Interest Earnings Examples - An investment of $1,000 in a one-year CD at 1.81% APY with monthly compounding results in a total balance of $1,018.25 after one year, yielding $18.25 in interest [3] - Conversely, a one-year CD at 4% APY would grow the same $1,000 to $1,040.74, resulting in $40.74 in interest [3] Deposit Impact on Earnings - Increasing the deposit amount significantly boosts potential earnings; for instance, a $10,000 deposit in a one-year CD at 4% APY would yield a total balance of $10,407.42, translating to $407.42 in interest [4] Types of CDs - Various types of CDs offer different benefits, including: - Bump-up CD: Allows for a one-time request to increase the interest rate if bank rates rise during the term [4] - No-penalty CD: Enables early withdrawal without penalties [4] - Jumbo CD: Requires a higher minimum deposit (typically $100,000 or more) and may offer higher rates, though the difference from traditional CDs may be minimal in the current environment [4] - Brokered CD: Purchased through a brokerage, potentially offering higher rates or flexible terms but with increased risk and possible lack of FDIC insurance [4]