Last December, the Federal Reserve raised rates for the first time since June 2006. This change boosted interest rates for banks across the country, but certificate of deposit rates also saw a boost due to the Fed’s December decision. A CD is a bank deposit that typically offers a better interest rate than that of a regular savings account. The only catch is that you can’t withdraw money from your CD until the maturity date is passed.
GOBankingRates surveyed the highest CD rates in each state for six-month, one-year and two-year rates so that you can compare CD rates. Listed below are the best CD rates available in each state, providing the data you need to make an informed decision on where to put your money.
Find Out: How to Get the Best Interest Rates
|Highest CD Rate in Every State|
|State||6-Month CD (% APY)||1-Year CD (% APY)||2-Year CD (% APY)|
|District of Columbia||0.75||1.22||1.31|
|Rates accurate as of July 2016|
Some of the best CD rates are in Texas and New Jersey, whereas some of the worst rates tend to be in the northwestern United States.
Wyoming’s 0.65% APY for a one-year CD, for example, is barely more than some savings account interest rates. Other one-year rates, however, stand out as some of the highest interest rates — such as those in Texas and New Jersey’s 1.45% APY. So, it’s clear that through thorough searching, it is possible to get the best rates, especially if you consider a high-yield CD.
Jamie Young contributed to the reporting for this article.