Best CD rates today, October 31, 2025 (up to 4.1% APY return)

Group 1 - The current highest CD rate is 4.1% APY offered by Marcus by Goldman Sachs for a 14-month CD as of October 24, 2025 [3] - CD rates are generally declining due to the Federal Reserve's decision to cut its benchmark rate three times in late 2024 and a recent cut in September 2025, although some banks still offer competitive rates around 4% APY, especially for shorter terms [2][3] - National averages for CD rates are significantly lower than the top rates available, emphasizing the importance of comparing rates before opening an account [3] Group 2 - Online banks and neobanks typically offer the best CD rates due to lower overhead costs, allowing them to provide higher interest rates and lower fees [4] - Credit unions also offer competitive CD rates as not-for-profit financial cooperatives that return profits to their members, although some have strict membership requirements [5] - CDs are considered a safe and stable savings vehicle, backed by federal insurance, making them a viable option for those looking to lock in current rates [6] Group 3 - There are drawbacks to consider when opening a CD, such as the requirement to keep funds deposited for the full term to avoid early withdrawal penalties [7] - While current CD rates are high by historical standards, they may not provide sufficient growth for long-term savings goals compared to market investments [8]