The Top 18-Month CD Rates for October 2022 (2022)

  • Banking
  • Certificate of Deposits (CDs)

These are the highest paying 18-month CDs that anyone in the country can open

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The Top 18-Month CD Rates for October 2022 (1)

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Updated October 07, 2022

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Michael J Boyle

The Top 18-Month CD Rates for October 2022 (2)

(Video) Best CD rates 2022 | Certificate of Deposit explained

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For savings you won't need to access in the near term, certificates of deposit, or CDs, are a safe and reliable way to earn more interest than you'd get from a standard savings account. Below are the top certificate of deposit rates available from our partners, followed by a ranking of the highest 18-month CD rates available to consumers nationwide.

Based on daily monitoring of the rate data from about 200 banks and credit unions that offer certificate products nationwide, we continuously rank the highest-paying CDs with approximately 18-month terms (this includes maturities ranging from 15 to 20 months). The minimum deposit can be no more than $25,000, and only institutions that are federally insured (by the Federal Deposit Insurance Corporation for banks or the National Credit Union Administration for credit unions) are eligible for our list.

Where more than one institution pays the same top rate, our rankings prioritize CDs by the shortest term, then the CD requiring the smallest minimum deposit. If there is still a tie, we then rank by which CD has the milder penalty for early withdrawal.

Best 18-month CD rates:

  • Mountain America Credit Union - 4.00% APY
  • Chartway Credit Union - 4.00% APY
  • Merrick Bank - 3.95% APY
  • Financial Partners Credit Union - 3.85% APY
  • NASA Federal Credit Union - 3.75% APY
  • CFG Bank - 3.75% APY
  • Rising Bank - 3.75% APY
  • Patelco Credit Union - 3.60% APY
  • ConnectOne Bank - 3.60% APY
  • Banesco USA - 3.60% APY
  • LendingClub - 3.60% APY
  • Popular Direct - 3.60% APY
  • Synchrony Bank - 3.50% APY
  • Affinity Plus Federal Credit Union - 3.50% APY
  • USAlliance Financial - 3.50% APY
  • Live Oak Bank - 3.50% APY

Detailed information on these top-paying nationally available 18-month CDs is provided below, including specifics about minimum deposits and early withdrawal penalties. For credit union CDs, information is also provided on how to easily join thecredit unions offering them.

The Top CD Rates for October 2022

Mountain America Credit Union - 4.00% APY

  • Term (months): 18
  • Minimum deposit: $500
  • Early withdrawal penalty: Six months of interest
  • Membership: Anyone can join Mountain America by signing up for a $5 membership in the nonprofit American Consumer Council and keeping at least $5 in a savings account.

Chartway Credit Union - 4.00% APY

  • Term (months): 19
  • Minimum deposit: $500
  • Early withdrawal penalty: Six months of interest
  • Membership: Anyone can join Chartway by donating $10 to the Chartway Promise Foundation and keeping $5 or more in a savings account.

Merrick Bank - 3.95% APY

  • Term (months): 18
  • Minimum deposit: $25,000
  • Early-withdrawal penalty: Six months of interest
  • About: Primarily a credit card issuer and consumer finance provider, Merrick Bank offers online-only certificates of deposit.

Financial Partners Credit Union - 3.85% APY

  • Term (months): 18
  • Minimum deposit: $1,000
  • Early withdrawal penalty: Three months of interest
  • Membership: Anyone can join Financial Partners if they are a member of any other credit union or of AARP, and keep $25 or more in a FPCU savings account.

NASA Federal Credit Union - 3.75% APY

  • Term (months): 15
  • Minimum deposit: $10,000
  • Early-withdrawal penalty: All interest up to six months' worth
  • Membership: Anyone can join NASA FCU by signing up for a free membership in the National Space Society and holding $5 or more in a savings account.

CFG Bank - 3.75% APY

  • Term (months): 18
  • Minimum deposit: $500
  • Early-withdrawal penalty: Six months of interest
  • About: Headquartered in Baltimore with two brick-and-mortar branches in that area, CFG offers select banking products online to customers throughout the country.

Rising Bank - 3.75% APY

  • Term (months): 18
  • Minimum deposit: $5,000
  • Early withdrawal penalty: Six months of interest
  • About: Rising Bank is an Internet-only division of Midwest BankCentre of St. Louis, Mo., established 1906.

Patelco Credit Union - 3.60% APY

  • Term (months): 18
  • Minimum deposit: $250
  • Early withdrawal penalty: Six months of interest
  • Membership: Anyone can join Patelco by agreeing to a free membership in the nonprofit Financial Fitness Association and keeping at least $1 in a savings account.
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ConnectOne Bank - 3.60% APY

  • Term (months): 18
  • Minimum deposit: $500
  • Early withdrawal penalty: Six months of interest
  • About: Established in 2005 in Englewood Cliffs, New Jersey, ConnectOne operates more than two dozen branches in New Jersey and New York, while also serving nationwide customers online.

Banesco USA - 3.60% APY

  • Term (months): 18
  • Minimum deposit: $1,500
  • Early withdrawal penalty: Six months of interest
  • About: Established in 2006, Banesco USA is a brick-and-mortar bank operating in Florida and Puerto Rico, with some of its products available online.

LendingClub - 3.60% APY

  • Term (months): 18
  • Minimum deposit: $2,500
  • Early withdrawal penalty: All interest earned to date on amount withdrawn
  • About: LendingClub began operations as an online full-spectrum bank in 2007, with the parent company, LendingClub Bank, being an FDIC member since 1987.

Popular Direct - 3.60% APY

  • Term (months): 18
  • Minimum deposit: $10,000
  • Early-withdrawal penalty: Nine months of interest
  • About: Popular Direct is the online-only arm of Popular Bank, the U.S. banking subsidiary of Popular, Inc., which serves banking customers in the U.S., Puerto Rico, and the Caribbean.

Synchrony Bank - 3.50% APY

  • Term (months): 15
  • Minimum deposit: Any amount
  • Early-withdrawal penalty: No Penalty
  • About: In addition to being the largest U.S. provider of private label credit cards, Synchrony Bank is an online-only bank offering consumer deposit accounts.

Affinity Plus Federal Credit Union - 3.50% APY

  • Term (months): 18
  • Minimum deposit: $500
  • Early withdrawal penalty: Six months of interest
  • Membership: Anyone can join Affinity Plus by making a $25 donation to the Affinity Plus Foundation and keeping at least $10 in a savings account.

USAlliance Financial - 3.50% APY

  • Term (months): 18
  • Minimum deposit: $500
  • Early-withdrawal penalty: 12 months of interest
  • Membership: Anyone can join USAlliance by agreeing to a free membership in the nonprofit American Consumer Council and keeping at least $1 in a savings account.

Live Oak Bank - 3.50% APY

  • Term (months): 18
  • Minimum deposit: $2,500
  • Early-withdrawal penalty: Three months of interest
  • About: Live Oak Bank is an Internet-only bank established in Wilmington, N.C., in 2008.

What Is an 18-Month CD and How Does It Work?

Certificates of deposit are bank or credit union accounts in which you agree to hold your funds on deposit without withdrawals for a prearranged period. Thus, an 18-month CD requires you to keep the funds untouched for a year and a half. In exchange for giving up access to your funds, you will generally be rewarded with a higher interest rate than the bank pays on savings and money market accounts.

When opening a CD, you deposit a lump sum of funds into the account at or above the minimum required deposit for that CD. The funds will then sit in the account for 18 months, earning interest along the way. When the CD hits its maturity date, you can take the funds plus their earned interest out of the account with no penalty. Alternatively, you can keep the funds on deposit and roll them into a new CD.

Key Takeaways

  • Opening a CD account means you agree to keep your funds on deposit without withdrawals until the established maturity date of the certificate.
  • In exchange, the financial institution will pay you an established interest rate that provides an earnings boost over what its savings and money market accounts pay.
  • By shopping around for the best rates and choosing a top-paying CD, you can earn many times the national average interest rate.
  • If you need to withdraw your funds early, it's not impossible. It just means you'll be charged an early-withdrawal penalty, so consider an institution's penalty calculation before making your final CD choice.
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When Is an 18-Month CD a Good Choice?

An 18-month CD is a suitable option for money you won't need in the coming year or longer. For those with a specific plan for the money, such as a down payment on a house or paying college tuition bills for a child, an 18-month CD might provide just the time frame you need to keep funds safe and reliably earning interest.

Another appeal of 18-month CDs is to provide one rung of a shortened CD ladder. A CD ladder is a strategy for investing your funds in five CDs of differing terms rather than all at once. For a yearly ladder, you would own a one-year, two-year, three-year, four-year, and five-year CD. But you can also create a shorter ladder, with six-month increments between the CDs (e.g., six-month, 12-month, 18-month, etc.).

Why Do Shorter CDs Sometimes Pay More Than Longer CDs?

Generally speaking, the shorter the CD term, the lower the interest rate paid by the bank, and vice versa. That's because the bank recognizes you need to be rewarded more substantially the longer you're being asked to leave the money on deposit.

However, not all institutions use a perfectly linear scale of interest rates that increase with the CD terms. A common strategy is offering one or more special or promotional CDs that pay a significantly higher interest rate to entice customers to the institution. And to limit how long the bank is paying the boosted rate, promotional CDs are often shorter in duration, such as less than two years.

Important

Though consumers tend to think about CD maturity terms in nice round numbers, be sure to consider odd-term CDs, such as 15-month, 18-month, or 21-month certificates. It's not uncommon for a promotional rate CD to have an odd length, so don't limit yourself to only the conventional terms.

Are Online Bank CDs Safe?

Many of the highest deposit rates, whether for CDs, savings accounts, or money market accounts, are offered by online banks. Some of these are online-only banks, meaning they operate solely on the Internet, while others are brick-and-mortar banks with a separate online banking arm.

Though it may seem scarier to deposit your funds into an Internet bank instead of at a physical branch, online accounts and institutions are just as safe as their more traditional counterparts. That's because FDIC insurance doesn't discriminate—the $250,000 in deposit insurance it provides to consumers in case of bank failure applies just the same to online banks as it does to physical banks.

What if I Need My Money Before the CD Matures?

When you open a CD, you know the precise date that the funds will be ready for penalty-free withdrawal. But sometimes, emergencies crop up, or your financial situation changes, and you need funds from your CD. The good news is that you can almost always withdraw the money at any time.

The catch is that doing so before maturity will trigger the institution's early-withdrawal penalty. Each bank and credit union has a policy for how that penalty is calculated, and the most common method is for the bank to keep a certain number of months' worth of interest. For instance, if you break an 18-month CD early, you will typically lose three to six months of the interest you earned.

(Video) The Best CD Rates! (Updated 2022)

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FAQs

Who is paying the highest interest rates on CDs? ›

Best CD rates of October 2022

Capital One: 6 months – 5 years, 2.00% APY – 3.50% APY; no minimum deposit needed to open. Marcus by Goldman Sachs: 6 months – 6 years, 2.00% APY – 3.30% APY; $500 minimum deposit to open. Synchrony Bank: 3 months – 5 years, 1.50% APY – 3.50% APY; no minimum deposit needed to open.

What credit union has the highest CD rates? ›

Best Credit Union CDs for October 2022
  • Best 3-Month CD: Parsons Federal Credit Union.
  • Best 6-Month CD: NASA Federal Credit Union.
  • Best 1-Year CD: Parsons Federal Credit Union.
  • Best 18-Month CD: Chartway Credit Union.
  • Best 2-Year, 3-Year, 4-Year, and 5-Year CDs: Lafayette Federal Credit Union.
4 days ago

What is the outlook for CD rates in 2022? ›

So far this year, the Fed has boosted its benchmark federal funds rate five times, taking it from near 0% to a range of between 3% and 3.25% in an effort to curb inflation. Further rate increases are expected this year, with the federal funds rate projected to surpass 4% by the end of 2022.

Should I buy a CD now or wait? ›

The Bottom Line. The best time to buy a CD for most people is when they're able to get the highest interest rate. But you may consider opening a CD account anytime you want to save money for an extended period and won't need to withdraw it before maturity.

Are CDs a good investment in 2022? ›

CD rates should start to rise in 2022, but don't celebrate just yet: Yields aren't likely to increase significantly and are expected to remain below the inflation rate.

Where can I get 5% interest on my money? ›

Here are the best 5% interest savings accounts you can open today:
  • Current: 4% up to $6,000.
  • Aspiration: 3-5% up to $10,000.
  • NetSpend: 5% up to $1,000.
  • Digital Federal Credit Union: 6.17% up to $1,000.
  • Blue Federal Credit Union: 5% up to $1,000.
  • Mango Money: 6% up to $2,500.
  • Landmark Credit Union: 7.50% up to $500.
27 Sept 2022

What are jumbo CD rates today? ›

Top National Jumbo CD Rates vs. Regular CD Rates
  • 3 Month. 2.17% 2.45%
  • 6 Month. 2.69% 3.55%
  • 1 Year. 3.50% 3.85%
  • 2 Year. 3.85% 4.00%
  • 3 Year. 3.35% 4.05%
  • 4 Year. 3.35% 4.15%
  • 5 Year. 3.60% 4.25%

What is the best CD rate at Chase bank? ›

All standard rate CDs currently earn 0.01% interest, regardless of term length or CD balance. Chase CDs have a $1,000 minimum opening deposit. Interest earned on Chase CDs compounds daily, with the option to receive interest payments monthly, quarterly, semiannually, annually or at maturity.

Will CD rates ever go back up? ›

Will CD Rates Go Up Again? It's certainly possible that CD rates could go up again in the near future. If inflation starts to get higher and interest rates start rising, we'll probably find CD rates rising as well, as these are two major factors that help determine CD interest rates.

What happens to CD rates when interest rates rise? ›

Generally, a CD's interest rate rises as the term increases. However, that also means you won't have access to the money for a longer period of time.

Will CD rates go up when Fed raises rates? ›

Thanks to the Fed rate increase, it's a good time to save. Get guaranteed returns with the best CD rates. This change doesn't directly raise or lower rates on certificates of deposit, but it can affect them indirectly. When there's a Fed rate increase, you might see higher CD rates.

Are CD rates expected to rise 2022? ›

While the Fed rate doesn't impact long-term debt like mortgage rates, it does directly influence the direction of short-term consumer debt and deposit rates. So with several 2022 hikes still to come, one would expect CD rates to rise considerably higher as this year progresses.

What bank has the highest 1-year CD rate? ›

Best Current 1-Year CD Rates:
  • Parsons Federal Credit Union - 4.00% APY.
  • North American Savings Bank - 3.86% APY*
  • Merrick Bank - 3.85% APY.
  • State Bank of Texas - 3.85% APY.
  • Lafayette Federal Credit Union - 3.80% APY.
  • CFG Bank - 3.75% APY.
  • USAlliance Financial - 3.75% APY.
  • Rising Bank - 3.70% APY.

Which bank is best for fixed deposit in 2022? ›

Hong Leong Bank fixed deposit rate

Given its current fixed deposit interest rate of 2.75% p.a. for a lock-in period of 12 months (promotion ends 31 December 2022), ranks the highest in terms of interest rate across the board.

Where can I put my money to earn the most interest? ›

The following ideas can help you make a plan to save and maximize your interest earnings.
  • High-Yield Savings Account. ...
  • High-Yield Checking Account. ...
  • CDs and CD Ladders. ...
  • Money Market Account. ...
  • Treasury Bills.
8 Apr 2022

Where should I put my money instead of a savings account? ›

  1. Higher-Yield Money Market Accounts.
  2. Certificates of Deposit.
  3. Credit Unions and Online Banks.
  4. High-Yield Checking Accounts.
  5. Peer-to-Peer (P2P) Lending Services.

How much does a $10000 CD make in a year? ›

How much does $10,000 in a CD make in a year? This depends on the CD rate. A one-year CD with a rate of 1% APY earns $100, while a CD with a rate of 0.10% APY earns $10.

What is the current rate for CDs at bank of America? ›

Compare CD options
Featured CD account Get started
Minimum opening deposit$10,000
TermChoose from multiple options: 7 month to 37 month See available terms and rates
Annual percentage yield (APY)0.05–2.00% 1 depending on balance and term
Additional deposits allowed?No additional deposits until maturity
1 more row

Are CDs safer than money market funds? ›

CDs will generally pay higher interest than MMAs, especially for longer maturities. Both types of accounts are very safe, as they carry FDIC insurance up to $250,000 per account, but MMAs are much more liquid and don't involve early withdrawal penalties.

What is the safest investment with highest return? ›

Here are the best low-risk investments in October 2022:
  • High-yield savings accounts.
  • Series I savings bonds.
  • Short-term certificates of deposit.
  • Money market funds.
  • Treasury bills, notes, bonds and TIPS.
  • Corporate bonds.
  • Dividend-paying stocks.
  • Preferred stocks.
1 Oct 2022

Where is the safest place to keep cash home? ›

Safest Places to Keep Cash at Home
  • Safes.
  • Yards.
  • Picture frames.
  • Decoy Safes.
  • Fish tanks.
  • Cat litter boxes.
25 Apr 2022

How much money can you put in a bank without questions? ›

Depositing a big amount of cash that is $10,000 or more means your bank or credit union will report it to the federal government. The $10,000 threshold was created as part of the Bank Secrecy Act, passed by Congress in 1970, and adjusted with the Patriot Act in 2002.

Where can I get 6% interest? ›

Digital Federal Credit Union offers 6.17%, Blue Federal Credit Union offers 5.00%, Landmark Credit Union offers 7.50%, online bank Mango Money offers 6.00% and Consumers Credit Union and online bank T-Mobile Money, both offer 4.00%.

Can you negotiate CD rates with banks? ›

Don't give up early. Request to speak with other representatives or managers. Branch managers often have authority to negotiate. The more money that you're going to deposit, the better chance of receiving a higher rate.

What is the difference between a CD and a Jumbo CD? ›

What is a jumbo CD? A jumbo CD is like a regular CD but requires a higher minimum deposit, and in exchange, it can pay a higher interest rate. Jumbo CDs usually require a deposit of at least $100,000, though some banks may require less.

Who has the highest 12 month CD rate? ›

Best Current 1-Year CD Rates:
  • Parsons Federal Credit Union - 4.00% APY.
  • North American Savings Bank - 3.86% APY*
  • Merrick Bank - 3.85% APY.
  • State Bank of Texas - 3.85% APY.
  • Lafayette Federal Credit Union - 3.80% APY.
  • CFG Bank - 3.75% APY.
  • USAlliance Financial - 3.75% APY.
  • Rising Bank - 3.70% APY.

Are CD rates expected to rise 2022? ›

While the Fed rate doesn't impact long-term debt like mortgage rates, it does directly influence the direction of short-term consumer debt and deposit rates. So with several 2022 hikes still to come, one would expect CD rates to rise considerably higher as this year progresses.

How much does a $10000 CD make in a year? ›

How much does $10,000 in a CD make in a year? This depends on the CD rate. A one-year CD with a rate of 1% APY earns $100, while a CD with a rate of 0.10% APY earns $10.

What credit union has best interest rates? ›

Here are the highest credit union savings account rates for October 2022
  • Navy Federal Credit Union, APY: 0.25%, Min. ...
  • State Employees' Credit Union, APY: 0.10%, Min. ...
  • Members 1st Federal Credit Union, APY: 0.10%, Min. ...
  • America First Federal Credit Union, APY: 0.05%, Min.

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