Best CD rates today, January 23, 2026 (up to 4% APY return)

Core Insights - The current highest CD rate is 4% APY, offered by Marcus by Goldman Sachs for a 1-year CD, highlighting the competitive nature of CD rates in the market [3] - CD rates have been declining due to the Federal Reserve's decision to cut its benchmark rate multiple times in late 2024 and into 2025, yet some banks continue to offer competitive rates [2] Group 1: CD Rates Overview - Today's CD rates vary significantly, with top rates reaching around 4% APY, particularly for shorter terms of one year or less [2] - National averages for CD rates are much lower than the top rates available, emphasizing the importance of comparing rates before opening an account [3] Group 2: Online Banks and Credit Unions - 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 they are not-for-profit institutions that return profits to their members, although some have strict membership requirements [5] Group 3: Considerations for Opening a CD - CDs are considered a safe and stable savings vehicle, backed by federal insurance, making them a reliable option for locking in current rates [6] - However, there are drawbacks, such as penalties for early withdrawal and limited flexibility compared to high-yield savings accounts or money market accounts [7] - While current CD rates are high by historical standards, they may not provide sufficient growth for long-term savings goals like retirement [8]