The best 3-year certificates of deposit (CDs) are paying savers over 4% APYs, but rates may not stay this high for long.In fact, many of the CDs on our list offer annual percentage yields (APYs) more than three times the national average. The Fortune RecommendsTM editorial team reviewed 3-year CDs from more than 40 banks to build this list of our top picks. We considered minimum deposits, APYs, and customer service options to uncover the best CD rates out there for 3-year term lengths.
Best 3-year CD rates of June 24, 2024
*APYs are current as of June 24, 2024 and are subject to change. Read our complete methodology here.
The best 3-year CD rates: Our editor's top picks*
Institution | APY | Minimum deposit | Early withdrawal penalty |
---|---|---|---|
First Internet Bank | 4.61% | $1,000 | 360 days’ interest |
Quontic Bank | 4.40% | $500 | Two years’ interest |
Alliant Credit Union | 4.20% | $1,000 | Number of days the certificate is open, up to 180 days’ interest |
First National Bank of America | 4.60% | $1,000 | 360 days’ interest |
Ally Bank | 4.00% | $0 | Number of days the certificate is open, up to 180 days’ interest |
MYSB Direct | 4.70% | $500 | The greater of 90 days’ interest or all accrued interest |
Newtek Bank | 4.50% | $2,500 | 180 days’ of interest |
Prime Alliance Bank | 4.25% | $500 | 90 days’ interest |
BMO Alto | 4.60% | $0 | 365 days’ interest |
Capital One 360 | 4.00% | $0 | 3 months of interest |
Best 3-year CD rates: Our top picks* | |||
---|---|---|---|
First Internet Bank | |||
APY | 4.61% | ||
Minimum deposit | $1,000 | ||
Early withdrawal penalty | 360 days’ interest | ||
Quontic Bank | |||
APY | 4.40% | ||
Minimum deposit | $500 | ||
Early withdrawal penalty | Two years’ interest | ||
Alliant Credit Union | |||
APY | 4.20% | ||
Minimum deposit | $1,000 | ||
Early withdrawal penalty | Number of days the certificate is open, up to 180 days’ interest | ||
First National Bank of America | |||
APY | 4.60% | ||
Minimum deposit | $1,000 | ||
Early withdrawal penalty | 360 days’ interest | ||
Ally Bank | |||
APY | 4.00% | ||
Minimum deposit | $0 | ||
Early withdrawal penalty | Number of days the certificate is open, up to 180 days’ interest | ||
MYSB Direct | |||
APY | 4.70% | ||
Minimum deposit | $500 | ||
Early withdrawal penalty | The greater of 90 days’ interest or all accrued interest | ||
Newtek Bank | |||
APY | 4.50% | ||
Minimum deposit | $2,500 | ||
Early withdrawal penalty | 180 days’ of interest | ||
Prime Alliance Bank | |||
APY | 4.25% | ||
Minimum deposit | $500 | ||
Early withdrawal penalty | 90 days’ interest | ||
BMO Alto | |||
APY | 4.60% | ||
Minimum deposit | $0 | ||
Early withdrawal penalty | 365 days’ interest | ||
Capital One 360 | |||
APY | 4.00% | ||
Minimum deposit | $0 | ||
Early withdrawal penalty | 3 months of interest |
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The 10 best three-year CD rates for June
First Internet Bank
3-year APY | 4.61% |
Minimum Deposit | $1,000 |
Early withdrawal penalty | 360 days’ interest |
at Bankrate
First Internet Bank was established in 1999, operating online with headquarters in Indiana. The bank provides savings accounts, money market accounts, and CDs, among other products. Learn more: Read our First Internet Bank review
View offerat Bankrate
Why we picked it
First Internet Bank had the highest APY on our list at a whopping 4.61% for a 3-year CD.
If you ever need to contact customer service, First Internet Bank is a digital bank with no physical locations. You can, however, access customer service via email, chat, or phone.
Quontic Bank
3-year CD APY | 4.40% |
Minimum Deposit | $500 |
Early withdrawal penalty | Two years’ interest |
at Quontic Bank
Quontic began as a community bank in New York City in 2009 and is now a digital bank with product offerings nationwide including checking and savings accounts as well as mortgages. Learn more: Read our Quontic review
View offerat Quontic Bank
Why we picked it
Quontic’s three-year CD took a spot on our list for its 4.40% APY and modest minimum required deposit compared to other accounts on our list.
Even though you won’t be able to visit a physical location, you can get in touch with customer service in a variety of ways, including phone, audio and text chat.
Alliant Credit Union
3-year certificate APY | 4.20% |
Minimum Deposit | $1,000 |
Early withdrawal penalty | Number of days the certificate is open, up to 180 days’ interest |
at Alliant
Established in 1935, Alliant Credit Union is a nonprofit financial institution.Membership eligibility is extended to current or former employees of Alliant’s partner organizations, or residents or workers in a Chicago-area community. You can also become a member by becoming an Alliant Credit Union Foundation digital inclusion advocate. Learn more: Read our Alliant Credit Union review
View offerat Alliant
Why we picked it
Though Alliant had one of the lower APYs on our list, it makes up for it with many customer service options and a modest early withdrawal penalty.
Since Alliant is a digital credit union, you won’t have access to physical branch locations. You will, however, be able to contact customer service via email, chat, or phone.
First National Bank of America
3-year CD APY | 4.60% |
Minimum Deposit | $1,000 |
Early withdrawal penalty | 360 days’ interest |
First National Bank of America (FNBA) was founded in 1955 and is headquartered in Michigan. Learn more: Read our FNBA review
Why we picked it
FNBA commands one of the highest APYs on our list at 4.60%. However, to invest in FNBA’s CDs, you’ll need some cash on hand—at least $1,000.
However, keep in mind that the early withdrawal penalties for these CDs are hefty. If you opt for this CD, make sure you're confident about committing your funds. Customers can also opt for a partial withdrawal of their funds—though this could mean missing out on some compound interest.
You can access FNBA’s customer service via phone or email.
Ally Bank
3-year APY | 4.00% |
Minimum Deposit | $0 |
Early withdrawal penalty | Number of days the certificate is open, up to 180 days’ interest |
at Bankrate
Ally Bank is an online-only bank that offers a wide range of products and services like checking and savings accounts, credit cards, personal loans, and robo-advisors. Bonus: Ally Bank offers customers 24/7 phone, chat, and email support. Learn more: Read our Ally Bank review
View offerat Bankrate
Why we picked it
Ally’s 3-year CD rate clocks in at 4.00%, which is a competitive interest rate but still the lowest on our list. So why is it still one of the best CDs? Well, it has a $0 minimum deposit, which allows new savers to lock in a great rate, regardless of how much money they have to save.
Bonus: Ally Bank offers customers 24/7 phone, chat, and email support.
MYSB Direct
3-year CD APY | 4.70% |
Minimum Deposit | $500 |
Early withdrawal penalty | The greater of 90 days’ interest or all accrued interest |
at Bankrate
MYSB Direct, a.k.a. M.Y. Safra Bank, is headquartered in New York City and operates a single branch there. The majority of its business is handled online. Learn more: Read our MYSB Direct review
View offerat Bankrate
Why we picked it
MYSB Direct has a solid APY, but it also has one of the heftiest early withdrawal penalties, so you’ll want to keep your hands off your money if possible.
If you ever need help with your account, you can visit the bank’s one physical location, but you can reach customer service via email or phone.
Newtek Bank
3-year APY | 4.50% |
Minimum opening deposit | $2,500 |
Early withdrawal penalty | 180 days’ of interest |
Newtek Bank is a division of the company NewtekOne. It offers various personal and business banking products, such as checking and savings accounts. Learn more: Read our Newtek Bank review
Why we picked it
Newtek Bank has one of the highest minimum opening deposits at $2,500, but it may be worth the investment. Their 3-year CD boasts a 4.50% APY. However, if you need your money before the CD matures, you’ll have to give up around six months’ of interest.
Prime Alliance Bank
3-year Term APY | 4.25% |
Minimum Deposit | $500 |
Early withdrawal penalty | 90 days’ interest |
at Bankrate
Founded in 2004, Prime Alliance Bank is headquartered in Utah, with just one physical location in the state. Learn more: Read our Prime Alliance Bank review
View offerat Bankrate
Why we picked it
Prime Alliance offers a solid APY of 4.25%, a high interest rate but not the best on our list. The upside of investing in Prime Alliance CDs is that if you need to tap your cash before the CD matures, you'll only shell out 90 days' interest.
BMO Alto
3-year CD APY | 4.60% |
Minimum Deposit | $0 |
Early withdrawal penalty | 365 days’ interest |
at Bankrate
BMO Alto operates as the online banking arm of BMO, a major U.S. bank. Currently, they offer just two products: a high-yield savings account and CDs ranging from six months to five years. Learn more: Read our BMO Alto review
View offerat Bankrate
Why we picked it
BMO Alto’s 3-year CD boasts an APY well above 4%. Plus, there's no minimum deposit needed to start saving, making these CDs accessible to everyone, regardless of how much you have to invest.
Capital One 360
3-year APY | 4.00% |
Minimum Deposit | $0 |
Early withdrawal penalty | 3 months of interest |
at Bankrate
Capital One is one of the largest banks in the country, headquartered in Virginia with a strong online presence as well as some physical branches across the country. Learn more: Read our Capital One 360 review
View offerat Bankrate
Why we picked it
With Capital One 360 CDs, there’s no minimum opening deposit, so you can score a solid APY even if you’re just starting to invest.
The 3-year CD offers a modest 4.00% APY. Plus, if you choose to tap your money early, you’ll only give up six months of interest, which is a modest compared to other banks on our list.
What is a 3-year CD?
Most financial institutions typically offer CDs. Some CD terms are as short as a few days or as long as 10 years.
With a 3-year CD, you lock up your funds for three years, and when it matures, you can withdraw the principal amount and any interest you earned, or you can roll over those funds into a new CD.
For savers looking to lock in a high APY without committing to a longer term, like five years, a three-year CD can be a reasonable middle ground to help boost your savings.
CDs can also be a helpful investment tool if you’re saving for a specific goal, like purchasing a home or covering the cost of a wedding. Setting up a savings account with a strict timeline can help ensure you’re not dipping into money earmarked for a specific goal.
CDs with longer terms tend to offer higher APYs (though it’s not always the case), so the longer you can go without touching your funds, the more you can earn in interest.
Why some savers can benefit more from a CD
The key difference between a CD and other savings accounts—like a high-yield savings account—is that you’re trading liquidity for a higher interest rate. This trade-off can be helpful if you have trouble keeping your hands off your savings.
The rate on your CD is also guaranteed, meaning that once you open your CD and lock in that rate, the APY you earn on that CD won’t change because of market volatility or the Fed’s moves.
Best CD rates for other terms
Based on your financial goals, a CD with a shorter or longer duration might better suit your needs. There are CDs that have terms ranging from a month to a decade. By analzing Curinos data, we curated a list of the highest APYs based on term length.
More CDs to consider:
- Best overall CD rates
- Best 1-year CD rates
- Best 5-year CD rates
Our methodology
The Fortune Recommends™ team uses third-party data from industry leader Curinos, updated daily, to determine the best possible CD rates available for consumers right now. This is the most significant determining factor when deciding which financial corporation to feature in our best CD rates articles.
We ranked the best three-year CDs using the following categories:
- 3-year APY (65%): This number represents the real rate of return on your balance; the higher the APY, the better.
- Minimum deposit requirement (30%): To open a CD at any financial institution, it will require that you deposit a minimum dollar amount.
- Customer service (5%): Top picks offer customers three ways to get in contact: chat support, by phone, and even email. Among the three options, we gave phone support the most weight.
The rates, fees, and minimum deposit requirements for CDs are available for limited periods, and APYs are subject to fluctuation, which could impact how much interest you earn. All the banks and credit unions on this list are FDIC and NCUA insured, respectively. Should you terminate your CD before it matures, you may be subject to a penalty, which varies by bank.
Dig deeper:learn more about ourbanking methodology.
About the author
Cassie Bottorff is the business and banking editor atFortune Recommends, collaborating with teams around the world while living in the beautiful hills of Kentucky. She obtained her degree from Northern Kentucky University and is a certified SCRUM master. Cassie is passionate about finances and economic development, and is the treasurer of a nonprofit organization seeking to revitalize her former railroad town. Prior to joining the team at Fortune Recommends, Cassie was a deputy editor at Forbes Advisor and a Central Operations Project Manager at Fit Small Business.