BMO Alto (an online brand of BMO Bank): 5.25%.

Here are some of the top five-year CDs you can find on rates aggregator.

Read on to find out what, when and where you can use a five-year CD as part of your overall financial plan.Ī five-year CD is one of the more common CD terms available. They can also be used alongside shorter-term CDs as part of a long-term investment strategy, such as a CD ladder. Long-term CDs, like those with five-year terms, can be a great way to assign a money set aside for a specific future use, such as a retirement trip or a down payment on a home. In exchange CDs usually pay higher-and sometimes much higher-interest rates than high-yield savings accounts.

Unlike standard bank accounts, CDs require you to commit your money for the duration of the CD’s term. Like savings accounts, CDs are frequently offered by local banks and your principal is backed by the Federal Deposit Insurance Corp. And, while one-year and other short-term CDs get a lot of attention, long-term certificates have a big potential advantage: They let you lock in attractive interest rates for years to come.ĬDs sit in a sweet spot between savings and investments. Certificates of deposit can be a safe, convenient way to stash savings you don’t need right away.

Highest cd interest rate