They can vary significantly in terms of rate, fees, minimums and time commitment. In general, CD interest comes at the cost of locking your money in the account for the agreed-upon term length - or risk losing your interest earnings. In fact, some CDs can help you earn more than 5% APY on your savings balance. High interest rates have translated to great savings rates on a number of account types - including high-yield savings accounts - but CDs now offer savers some of the highest rates available.
Short-term, high-yield CDs today can earn upwards of 5% APY.Īs interest rates rise throughout the economy, certificates of deposit (CDs), in particular, are having a moment.
