8 Best 3-Month CD Rates for December 2024
Nov 27, 2024
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ALSO CONSIDER: Best online savings accounts || Best checking accounts || Best high-interest accounts
Three-month CD rates aren't too common, but of those available, online banks tend to have the best. These CDs can be helpful in some savings strategies, such as CD ladders.
Strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions.
More than 100 financial institutions surveyed by our team of experts.
More than 50 data points considered for each bank and credit union to be eligible for our lists. For this CD list, three data points were considered per institution.
» Want to see a wider pool of high rates? See our list of the best high-interest accounts
Nerdy Tip
The Fed lowered its benchmark rate multiple times in the second half of 2024. As a result, banks and credit unions have started lowering CD rates. With a CD, you can lock in high rates while they’re still around.
Best 3-Month CD Rates
Bank/institution | NerdWallet rating | Minimum deposit | APY | Learn more |
|---|---|---|---|---|
4.2/5 | $1,000 Member FDIC | APY 3.95% | ||
4.2/5 | $10,000 Member FDIC | APY 4.65% | ||
2.4/5 | $1,000 Member FDIC | APY 4.00% | ||
2.6/5 | $1,000 Member FDIC | APY 4.65% | ||
4.0/5 | $500 Member FDIC | APY 4.50% | ||
3.1/5 | $500 Member FDIC | APY 4.75% | ||
4.4/5 | $1,500 Member FDIC | APY 3.80% | Learn more at Bread Savings, Member FDIC | |
3.9/5 | $500 | APY 4.65% |
Minimum deposit
$1,000
Member FDIC
APY
3.95%
Minimum deposit
$10,000
Member FDIC
APY
4.65%
Minimum deposit
$1,000
Member FDIC
APY
4.00%
Minimum deposit
$1,000
Member FDIC
APY
4.65%
Minimum deposit
$500
Member FDIC
APY
4.50%
Minimum deposit
$500
Member FDIC
APY
4.75%
Minimum deposit
$1,500
Member FDIC
APY
3.80%
Minimum deposit
$500
APY
4.65%
» Want to see more options? Check our list of the best CD rates overall
Best 3-month CD rates for December 2024
Bank5 Connect: 4.75% APY, $500 minimum deposit.
Customers Bank: 4.65% APY, $500 minimum deposit.
Bask Bank: 4.65% APY, $1,000 minimum deposit.
Popular Direct: 4.65% APY, $10,000 minimum deposit.
Quontic Bank: 4.50% APY, $500 minimum deposit.
Bank of America: 4.00% APY, $1,000 minimum deposit. (Rate is based on a San Francisco ZIP code. Rates may vary by location.)
EverBank (formerly TIAA Bank): 3.95% APY, $1,000 minimum deposit.
Bread Savings: 3.80% APY, $1,500 minimum deposit.
See CD rates by term and type
Compare the best rates for various CD terms and types:
How do CDs work?
Learn more about choosing CDs, understanding CD rates, and opening and closing CDs.
Choosing CDs:
- See CD rates by bank
Here’s a quick list of CD rates at traditional and online banks and a brokerage:
Last updated on November 27, 2024
Methodology
On a monthly basis, we compare rates at over 40 financial institutions, pulled from our full list, that we’ve seen to be consistently competitive. On a quarterly basis, we analyzed our full list, excluding banks that offered brokered CDs, since those accounts work differently from standard bank CDs. Higher rates might be available elsewhere.
We took a close look at over 100 financial institutions and financial service providers, including the largest U.S. banks based on assets, internet search traffic and other factors; the nation’s largest credit unions, based on assets and membership; and other notable and/or emerging players in the industry. We rated them on criteria including annual percentage yields, minimum balances, fees, digital experience and more.
Financial institutions and providers surveyed are: Affirm, All America Bank, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank5 Connect, Barclays, Bask Bank, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, BrioDirect, Capital One, Carver Federal Savings Bank, CFG Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Current, Customers Bank, Delta Community Credit Union, Discover® Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First Internet Bank, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, Forbright Bank, Global Credit Union, GO2bank, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Ivy Bank, Jenius Bank, KeyBank, Lake Michigan Credit Union, Laurel Road Bank, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, My Banking Direct, NASA Federal Credit Union, Navy Federal Credit Union, NBKC, Newtek Bank, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Poppy Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, SoFi, State Employees’ Credit Union of North Carolina, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Truist Bank, U.S. Bank, UFB Direct, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.
NerdWallet's Best 3-Month CD Rates for December 2024
- EverBank Performance℠ CD: 3.95% APY
- Popular Direct CD: 4.65% APY
- Bank of America CD: 4.00% APY
- Bask Bank CD: 4.65% APY
- Quontic Bank CD: 4.50% APY
- Bank5 Connect High-Yield CD: 4.75% APY
- Bread Savings™️ CD: 3.80% APY
- Customers Bank CD: 4.65% APY
Frequently asked questions
- Is a 3-month CD too short to be useful?
The benefit of a 3-month CD is that you can take advantage of multiple renewals in one year. You have more access to funds than other CDs while still taking advantage of a fixed rate.
You could also build a short-term CD ladder, which might look like this: Open a 3-month, 6-month, 9-month and 1-year CD; when each one matures, open a new 1-year CD. You can end up with four CDs maturing in the second year, or withdraw funds at any maturity if you need them.
- When should you get a CD?
You should get a CD only if you know you won’t need those funds during its term. Pulling money out of a CD before its expiration date will likely result in an early withdrawal fee, which is typically a percentage of the interest earned. With a three-month CD, there’s less of a commitment, so you have more opportunities to renew in a given year if you decide you don’t need the money yet. If you're thinking of a longer term for higher yields, check out our lists of best one-year and best three-year CD rates.
- What CD term length should I choose?
It depends on your savings goals and how sure you are that you won't need your funds before the CD term expires. Having to pay an early withdrawal penalty, generally up to one year's worth of interest, can be a blow to your savings. Common CD terms range from three months to five years; if you want to play it safe, go for a shorter CD term or a no-penalty CD.
- What is a no-penalty CD?
A no-penalty CD is a type of CD that doesn’t charge a penalty for withdrawing money before the term ends. It can be appealing if you want the traditionally higher yield of a CD, compared to regular savings accounts, and think you might need the money sooner than planned. See the best no-penalty CD rates.
- How do CD rates work?
CD rates are quoted as an annual percentage yield, or APY, which is how much the account earns in one year, including compound interest. Banks generally compound interest monthly or daily. Most CDs have fixed rates, so they won't change as savings account rates tend to.
- What's better: CDs or high-yield savings accounts?
It depends on what's more important to you: rates or access to your money. The best CD rates tend to be higher than the best savings account rates, but you sacrifice access to money in CDs. If that doesn't work for you, check out our list of best online savings accounts.
- What is a CD?
A CD, or certificate of deposit, is a type of savings account that keeps money locked up for a set period, or term, generally three months to five years. The longer the CD term, the higher the rate tends to be. See this month’s top three-month CD rates.
- What's better: CDs or investment accounts?
It depends on the level of risk you want to take. Investment, or brokerage, accounts can have higher returns than CDs, but CDs guarantee returns. They're typically federally insured for up to $250,000 and offer fixed interest rates. Brokerage accounts can be riskier since you aren’t protected against losses.
- Should I put my emergency fund in a CD?
No. CDs are meant for savings you can set aside and leave untouched. Consider a high-yield savings account for money you may need in a pinch.
- Is laddering short-term CDs a good idea?
A CD ladder can be a helpful strategy if you don’t want to go all in on one CD, especially if you want to catch higher CD rates down the road. It works like this: You open multiple CDs at different terms, such as three months, six months, and one year, which frees up part of your funds more regularly than having, say, just a three-year CD. Each time a CD matures, you can either reinvest in a new CD or withdraw your money. Learn more about CD ladders.