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Best CD accounts to open for May
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With elevated inflation continuing to impact the economy, it came as no surprise that the Federal Reserve decided this week to keep its benchmark rate paused at a 23-year high — meaning that consumer interest rates will stay high, at least for a little while longer. That decision is likely disappointing for borrowers, who will continue to face higher interest costs on everything from mortgage loans to credit cards. And, while paying more to borrow money isn’t ideal in any economy, it can be especially tough when higher grocery, gas and housing costs are impacting how far budgets can stretch.
But while Wednesday’s Fed decision isn’t good news for borrowers, it could benefit savers significantly right now. After all, today’s elevated rate environment means that interest rates aren’t just high on lending products; they’re high on savings products as well, from high-yield savings accounts to money market accounts and certificates of deposit (CDs). But if you want to maximize your interest earnings, CDs, in particular, are a good bet right now.
That’s because, when you open a CD, you lock in your rate until the account hits maturity, meaning that your earnings won’t be impacted by potential rate cuts during your CD term. And, you have lots of account options to choose from, too. Not only are rates elevated on short-term CDs, but they’re high on longer-term CDs, too. If you want to earn a top CD rate this month, though, it may help to start your search with the CD accounts outlined below.
Find your top CD account options online now.
Best CD accounts to open for May
If you’re trying to maximize your returns, these CDs could make sense to this May:
3-month CD accounts
- Shoreham Bank — 5.50% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- Banesco USA — 5.30% APY: This CD comes with a $1,500 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 90 days of interest
- Popular Direct — 5.30% APY: This CD comes with a $10,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 89 days of simple interest
- Dow Credit Union — 5.30% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 45 days of interest
6-month CD accounts
- Shoreham Bank — 5.50% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- NASA FCU — 5.50% APY: This CD comes with a $10,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 182 days of interest
- Gateway First Bank (7-month CD) — 5.30% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- My Banking Direct — 5.50% APY: This CD comes with a $2,500 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 30 days of interest
1-year CD accounts
- Chadron FCU — 5.38% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- Box Butte Employees FCU — 5.37% APY: This CD comes with a $5,000 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- CIBC Bank USA (13-month CD) — 5.30% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 30 days of interest
- Rising Bank — 5.31% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 90 days of interest
18-month CD accounts
- Credit Human — 5.30% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- Farmers Insurance FCU — 5.25% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- M.Y. Safra Bank — 5.10% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- First Internet Bank — 5.04% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 180 days of interest
2-year CD accounts
- Credit Human — 5.30% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- M.Y. Safra Bank — 4.90% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- My eBanc — 4.85% APY: This CD comes with a $5,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 180 days of interest
- First Internet Bank — 4.85% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 360 days of interest
3-year CD accounts
- Farmers Insurance FCU — 5.75% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- DollarSavingsDirect — 5.00% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 180 days of interest
- Workers Credit Union — 5.00% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is 50% of the dividends that would have been earned for the remaining term
- Superior Choice Credit Union — 4.85% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
5-year CD accounts
- Credit Human — 4.70% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; an early withdrawal penalty will be charged if you need to access your money before the CD matures
- First Internet Bank — 4.55% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 360 days of interest
- First National Bank of America — 5.00% APY: This CD comes with a $1,000 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 540 days of interest
- Dow Credit Union — 4.50% APY: This CD comes with a $500 minimum opening deposit requirement to earn the stated APY; the early withdrawal penalty for this account is equal to 365 days of interest
Explore how today’s top CD rates could help you meet your savings goals.
The bottom line
While this week’s Fed decision wasn’t great for borrowers, savers can make moves to capitalize on what the still-high rate environment is offering. Right now, rates on CDs can easily surpass the 5% APY mark, so if you’re on the fence about opening one, this could be a good time to make your move. But before you do, just make sure that you can meet the CD term and deposit requirements. Otherwise, you could be on the hook for extra fees or early withdrawal penalties, negating some of the potential returns you would have earned on your account.
The CEO of a hospital operator that filed for bankruptcy protection in May will step down after failing to testify before a U.S. Senate panel.
Steward Health Care CEO Ralph de la Torre has overseen a network of some 30 hospitals around the country. The Texas-based company’s troubled recent history has drawn scrutiny from elected officials in New England, where some of its hospitals are located.
A spokesperson for de la Torre told the Associated Press Saturday that he “has amicably separated from Steward on mutually agreeable terms” and “will continue to be a tireless advocate for the improvement of reimbursement rates for the underprivileged patient population.”
A CBS News investigation that spanned nearly two years documented how private equity investors and de la Torre extracted hundreds of millions of dollars while healthcare workers and patients struggled to get the life-saving supplies they needed.
In August, the company closed two Massachusetts hospitals, leaving about 1,200 workers jobless, according to the state.
Sen. Bernie Sanders of Vermont, who chairs the Senate Health, Education, Labor and Pensions Committee, said earlier this month that Congress “will hold Dr. de la Torre accountable for his greed and for the damage he has caused to hospitals and patients throughout America.”
De la Torre’s resignation is effective Oct. 1. The Senate approved a resolution on Wednesday that was intended to hold him in criminal contempt for failing to testify before a committee.
The Senate panel has been looking into Steward’s bankruptcy. De la Torre did not appear before it despite being issued a subpoena. The resolution refers the matter to a federal prosecutor.
Kayla Bartkowski/The Boston Globe via Getty Images
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Biden says Hezbollah leader Hassan Nasrallah’s killing a “measure of justice” for his many victims
Washington, D.C., – President Biden said on Saturday the killing of Hassan Nasrallah, the overall leader of the Iran-backed group Hezbollah, in a Friday airstrike in Beirut, Lebanon was a “measure of justice,” for his many victims.
In a statement released by the White House, Mr. Biden said “Nasrallah and the terrorist group he led, Hezbollah, were responsible for killing hundreds of Americans over a four-decade reign of terror,” including thousands of Israelis and Lebanese civilians. Nasrallah’s killing, which the statement said took place in the broader context of the conflict that began with Hamas’s massacre on Oct. 7, 2023, happened after the Hezbollah leader “made the fateful decision to join hands with Hamas and open what he called a “northern front” against Israel.”
Hezbollah has been firing rockets and drones across Lebanon’s southern border into Israel for almost a year amid the country’s war with Hamas.
Nasrallah was killed in a series of massive explosions targeting leaders of the militant group, which started with numerous pagers exploding across Lebanon on Sept. 18 killing at least 12 people — including members of the militant group Hezbollah and two children — and wounding several thousand, according to Lebanon’s public health minister.
Strikes escalated in recent days, with one senior U.S. administration official calling the situation between Israel and Hezbollah in Lebanon “delicate and dangerous.” More than 500 people were killed in Lebanon on Monday, according to Lebanon’s health ministry, as missiles slammed into residential buildings. Israel said it was targeting Hezbollah weapons hidden in the building.
Tensions in the Middle East have engulfed Mr. Biden’s last – and his final – year of presidency. His administration has said the U.S. “fully supports Israel’s right to defend itself against Hezbollah, Hamas, the Houthis, and any other Iranian-supported terrorist groups,” and he has directed the Secretary of Defense “to further enhance” the defense posture of U.S. military forces in the Middle East.
Mr. Biden said in the statement ultimately his administration aims to de-escalate the ongoing conflicts through diplomatic means.
During his final speech to the United Nations General Assembly as president on Thursday Mr. Biden said, “full scale war is not in anyone’s interest.”
