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The best no-penalty CDs for 2023


There are many CDs currently available with high interest rates and no penalties.

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A Certificate of Deposit (CD) Can be a great savings tool. dislike High Yield Savings Account, whose interest rates change with the current rate environment, CDs lock in a rate when you open them. If you open a When rates are highYou are guaranteed to earn that amount no matter where rates go in the future.

However, one downside of CDs is that you must agree to keep your funds in the account for a predetermined period of time, known as duration. If you withdraw funds before the expiry date, you will often have to charge a penalty. Often – but not always. If you know where to look, you can find a CD that offers a higher interest rate and gives you the option to withdraw funds early without penalty.

Below, we’ve rounded up some of the top no-penalty CDs for savers who want the flexibility to withdraw funds early if needed.

Check out current CD rates here to see how much you could earn.

Best No-Penalty CD

No-penalty CDs offer lower annual percentage yields (APYs) than other CDs, but that doesn’t mean you can’t still earn a competitive return. All CDs on this list yield above 4.00% – not much below Today’s highest rate CDs.

Note that no-penalty CDs typically do not allow you to withdraw funds within the first week that you open or fund them. After that time, you can withdraw funds at any time without penalty.

CIT Bank: 4.90% (11 months)

CIT Bank’s No-Penalty CD offers the highest APY on our list at 4.90%. You must deposit a minimum of $1,000 and the interest compounds daily, which means you can earn more than a CD compounded monthly.

America First Credit Union: 4.35% (12 months)

America First Credit Union’s Flexible Certificate earns 4.35% and requires a minimum deposit of $500. As with other credit union products, you must be a member of America First Credit Union to open this account. You can check membership requirements here to see if you qualify.

Unlike other CDs on this list, you don’t need to take all of your money out at once if you withdraw early Instead, you can make a partial withdrawal during the first five calendar days of each quarter. You can also deposit an additional $10,000 per month — another unique feature offered by others.

Ally Bank: 4.25% (11 months)

You’ll earn 4.25% with Ally Bank’s No Penalty CD. This account has no minimum deposit requirement, and interest compounds daily. This account is eligible for Ally’s Ten-Day Best Rate Guarantee. If you fund the CD within 10 days of opening, you’ll get the best rate Ally offers (for your tenure and balance level) if rates rise within that period.

Marcus by Goldman Sachs: 4.25% (13 months)

You can earn 4.25% with Markus on Goldman Sachs’ 13-month no-penalty CD. You must deposit at least $500, and interest is compounded daily. Marcus also offers seven- and 11-month terms, but they earn 0.45% and 0.35%, respectively.

Synchrony No-Penalty CD: 4.10% (11 months)

Synchrony Bank’s No-Penalty CD offers a competitive fixed rate of 4.10%. No minimum deposit required, and interest compounds daily.

Check out today’s top CD offers online now!

Bottom line

If you’re in the market for a CD, there are plenty of options to choose from. you can Best rates are safe Shop around and carefully review the terms of each account to find the best terms for your needs. Start by comparing current rates here.

MoneyWatch: Managing Your Money

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