Our Criteria
When examining available CD rates, Annuity.org’s editorial staff set several criteria that needed to be met for a bank or credit union to be considered. Each choice must:
- Offer CDs in New York or have nationally available options.
- Be federally insured.
- Rank as one of the top 25 banks or top 10 credit unions by assets.
Understanding Our Methodology
Annuity.org employed a strict and research-focused methodology when selecting banks and certificates of deposit for consideration.
A bank or credit union must have ranked in the top 25 or top 10, respectively, by total assets nationally to be considered. The bank also needed to offer its CD rates in New York.
CD rates often vary by location, but companies sort this information in different ways. For banks that provide rates by zip code, a standard New York zip code with a high population was used. Keep in mind that the exact rate could potentially vary throughout the state. Banks that offer standardized nonstate-specific rates were also included.
On top of comparing available rates, Annuity.org evaluated numerous other factors including minimum deposits, specialty offerings versus standard offerings, withdrawal penalties and the reputability of each bank or credit union.
CDs are exciting again! After more than a decade of uninteresting yields pressing savers into the stock and bond markets in the search of better returns, CDs are back in a big way thanks to the rate hikes of the Federal Reserve.
Stephen Kates, CFP®, Licensed Life Insurance ProducerPrincipal Financial Analyst for Annuity.orgStephen Kates, CFP® is a personal finance expert specializing in financial planning and education. He serves as the Principal Financial Analyst for Annuity.org, where he delves into industry trends to support consumers and financial advisors on wealth management, annuities, retirement planning, and investing.
Editor’s Choice: Best Overall
Bank Details:
BMO Harris is the 13th largest bank in the U.S. by consolidated assets and with over 1,000 domestic branches. The bank offers CD terms that range from three months to 60 months.
5.25% APY for a 13-Month CD
Pros & Cons
Pros
- High rates across many terms
- Strong one-year rates
- Reasonable minimum deposit
Cons
- Poor short-term rates
Our Take:
BMO Harris stands out among the many other CD offerings available in New York thanks to its consistently high rates across many terms. The bank offers a competitive APY on CDs that range from 12 months to five years in length.
An incredibly attractive 5.25% APY is offered on one-year CDs and the variety of high rates helps to ensure that consumers with various needs or priorities can find a CD that makes sense for them. BMO Harris requires a minimum deposit of $1,000 to open a CD, which is largely the industry standard.
The one area where the bank falls short is in some of its short-term offerings. A nine-month term with a reasonable 3.50% APY is available, but its three-month and six-month terms lag significantly. However, many choices are still offered that may fit into your personal finance plan.
Best for Short-Term CDs
Bank Details:
Ally Bank is the 23rd largest bank in the U.S. It is an online bank with no physical branches. Its CD offerings include terms ranging from three months to five years.
APY for a 9-Month CD
Pros & Cons
Pros
- Strong short-term offerings
- No minimum deposit
Cons
- No physical branches
Our Take:
Ally Bank is an entirely online bank, meaning its CD rates are available nationally, and it has no physical branches. It stands above many New York-based rates when it comes to a short-term selection.
The bank offers three terms under a year in length, each of them paired with a competitive APY. Its most attractive choice in this range is the nine-month CD, which offers a APY.
Its 12-month CD with a 4.85% APY is a strong option as well. Ally also requires no minimum deposit, meaning you can invest any amount you feel comfortable with.
Best for Mid-Range CDs
Bank Details:
KeyBank is the 21st largest bank in the U.S. by consolidated assets and with nearly 1,000 branches. The bank offers CD terms that range from seven months to 18 months.
4.49% APY for a 10- and 13-Month CD
Pros & Cons
Pros
- Strong rates for mid-range terms
Cons
- Only a handful of terms offered
- High minimum deposit
Our Take:
KeyBank does not offer CDs everywhere but does hold attractive rates for New Yorkers. The bank has strong rates for many mid-range terms that toe the line between being too short or overly long.
On terms that range from seven months to 18 months in length, KeyBank includes competitive APYs. Its 10-month and 13-month rates are available with a 4.49% APY.
One drawback to be aware of with KeyBank is its high minimum deposit requirement of $2,500. There are also only a handful of rates offered, limiting customizability.
Best for Long-Term CDs
Bank Details:
Capital One is the ninth-largest bank in the U.S. by consolidated assets and has 292 physical branches. The bank offers terms from six months to 60 months and does not require a minimum deposit.
4.75% APY for an 18-Month CD
Pros & Cons
Pros
- Strong long-term rates
- No minimum deposit
- Rates are consistent nationally
Cons
- Beaten on some short-term rates
Our Take:
For New Yorkers looking to secure a long-term CD at a high rate, Capital One offers many strong choices. The bank provides six different terms of over a year, with each choice offering a solid rate.
Its most attractive offerings include 4.75% APY on its 18-month CDs. Terms of up to five years are available.
Capital One offers online CDs, meaning their options are standard nationally and there is also no required minimum deposit. You can invest in a CD with whatever amount makes sense for you.
Others We Considered
The following banks met the initial criteria and were also considered but were eliminated due to numerous factors, including uncompetitive rates, competitive rates that were beaten out by a listed bank, lack of available information or high minimum deposits.
Frequently Asked Questions
New York has generally strong CD options, both from locally available rates and from nationally available online CDs.
Online banks can be a strong choice for CD rates, in part because they may sometimes offer higher rates. They are generally no less safe than investing with a brick-and-mortar bank.
There are numerous factors to keep in mind when comparing CDs, including the APY, the minimum deposit, the term length and the withdrawal penalties.
CDs are generally fixed-rate investments.
As long as you are working with a reputable bank or credit union, then your CD should be insured.
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