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The average APY (Annual Percentage Yield) on a 3-year CD is 1.36% APY. However, the best 3-year CD rate is 4.95% APY from Quorum Federal Credit Union, which applies to account balances of $100,000 or more. But don’t worry if you don’t have that much money to open a CD — Quorum pays 4.85% on balances under $100,000, which is still the second-highest 3-year CD rate out there.
Bread Savings 3 Year High-Yield CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,500
Bread Savings 3 Year High-Yield CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,500
Bread Savings, FDIC Insured Account
Bread Savings 3 Year High-Yield CD
Details
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,500
You’ll likely earn a higher APY on a 3-year CD than with a shorter-term CD, and you won’t have to part with your money for as long as you would with a longer term. If you’re also interested in other CD term lengths, check out our overall best CD rates guide.
We check rates daily to find the best rates for 3-year terms. Here are our top picks for 3-year CDs.
The Best 3-Year CD Rates
These are our picks for the best 3-year CD rates. Our top picks for CDs are protected by FDIC or NCUA insurance. Although Silicon Valley Bank, Signature Bank, and First Republic Bank have recently been shut down, keep in mind money is safe at a federally insured financial institution. When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account.
Compare the Best 3-Year CDs
Quorum Federal Credit Union 3 Year Term Savings
Annual Percentage Yield (APY)
4.85% (on balances $1,000 – $99,999) or 4.95% (on balances of $100,000 or more)
Minimum Deposit Amount
$1,000
Quorum Federal Credit Union 3 Year Term Savings
Annual Percentage Yield (APY)
4.85% (on balances $1,000 – $99,999) or 4.95% (on balances of $100,000 or more)
Minimum Deposit Amount
$1,000
Quorum Federal Credit Union 3 Year Term Savings
Quorum Federal Credit Union may be a smart choice if you’re looking for a no-fee, high-interest savings account or term account. Quorum’s term accounts are similar to CDs and come with nine term options.
Details
Annual Percentage Yield (APY)
4.85% (on balances $1,000 – $99,999) or 4.95% (on balances of $100,000 or more)
Minimum Deposit Amount
$1,000
Crescent Bank 3 Year CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,000
Crescent Bank 3 Year CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,000
On Crescent Bank’s website
Crescent Bank 3 Year CD
Details
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,000
First Internet Bank of Indiana 3 Year CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,000
First Internet Bank of Indiana 3 Year CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,000
On First Internet Bank of Indiana’s website
First Internet Bank of Indiana 3 Year CD
Details
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,000
Popular Direct 3 Year CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$10,000
Popular Direct 3 Year CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$10,000
On Popular Direct’s website
Popular Direct 3 Year CD
Details
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$10,000
Bread Savings 3 Year High-Yield CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,500
Bread Savings 3 Year High-Yield CD
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,500
Bread Savings, FDIC Insured Account
Bread Savings 3 Year High-Yield CD
Details
Annual Percentage Yield (APY)
4.75%
Minimum Deposit Amount
$1,500
First National Bank of America 3 Year CD
Annual Percentage Yield (APY)
4.60%
Minimum Deposit Amount
$1,000
First National Bank of America 3 Year CD
Annual Percentage Yield (APY)
4.60%
Minimum Deposit Amount
$1,000
First National Bank of America 3 Year CD
Details
Annual Percentage Yield (APY)
4.60%
Minimum Deposit Amount
$1,000
Why You Should Trust Us: Expert Advice on Choosing the Best 3-Year CD
To learn more about what makes a good CD and how to choose the best fit, Insider consulted four experts:
Insider
In choosing a CD, ask yourself the following questions, informed by our experts’ advice:
- Is the bank FDIC-insured, or is the credit union NCUA-insured?
- What is important to me in a bank account? In-person customer service? A mobile app? Checks? Interest rate? Monthly maintenance fees?
- When do I need the money (and what do I plan to use it for)?
- How much access do I need to this money, and when?
Our Methodology
Personal Finance Insider’s mission is to help smart people make the best decisions with their money. We understand that “best” is often subjective, so in addition to highlighting the clear benefits of a financial product or account — a high APY, for example — we outline the limitations, too. We spent hours comparing and contrasting the features and fine print of various products so you don’t have to.
First, we researched to find over 20 banks and credit unions that offered 3-year CDs. Then, we reviewed each institution using our CD rates methodology to find the most-well rounded banking options. For each account, we compared the minimum opening deposits, early withdrawal penalties, and interest rates. We also considered the overall banking experience at each bank by assessing customer support availability, mobile app ratings, and ethics.
3-Year CD Frequently Asked Questions
A 3-year CD is a certificate of deposit that lasts 36 months. You’ll deposit your money into an account with a fixed interest rate, and iff you need to take out money before the term ends, you may have to pay an early withdrawal penalty. You have the option to renew your CD at the end of the 3-year period, or close the account and pocket the money.
A 3-year CD works by paying a fixed rate over 36 months. If you open a 3-year CD at a 4.50% APY, you’ll earn 4.50% for three years. If you renew your CD after it matures, you’ll earn the new rate available in three years. Some institutions offer variable-rate CDs or CDs that allow your rate to change after a predetermined amount of time.
For the most part, longer terms pay higher rates than lower-term CDs. Choosing a CD will likely depend on how soon you need access to your money. Many experts recommend CD laddering, where you open multiple CDs with different term lengths so you can take advantage of higher rates with longer terms, but also access some of your money earlier.
The choice between a 3-year CD and high-yield savings account will depend on several factors. A CD locks in your rate for the entire term. If rates are dropping, this could make the CD a better choice, because your savings account interest could decrease over the next few months. If rates are going up throughout the year, the savings account might be a better fit, because your rate could rise. It also depends on when you’ll need to access your money, because it’s easier to take money out of a savings account.
Money market accounts usually have paper checks or debit cards, so you’ll have quick access to your money. Money market account rates also fluctuate, so you may prefer a money market account if rates are rising, but a CD if rates are dropping. Still, remember that rates will likely go up and down over a 3-year term.
CDs aren’t generally considered investments. A CD is typically viewed as a type of savings account, and your potential for losses and gains — your risk — is much more limited. Because the stock market is risky, experts generally don’t advise investing money you’ll need in the next five years. In the case of a stock market drop, you wouldn’t have time to make up your losses. There is such a thing as an IRA CD, which is a sort of combo savings/investment account. It’s a safe investment tool that may be a worthwhile option for people who are close to retirement age.
3-Year CD Reviews
Quorum Federal Credit Union 3 Year Term Savings
Why it stands out: Quorum Federal Credit Union is an online financial institution with one branch in New York. It has term accounts, which are similar to high-yield CDs — you’ll earn a fixed interest rate for a specific term. You also earn an additional 0.10% APY on account balances of $100,000 or more.
APY for 3-year CD: 4.85% (on balances $1,000 – $99,999) or 4.95% (on balances of $100,000 or more) APY
3-year CD early withdrawal penalty: 3% of the amount withdrawn
What to look out for: Credit unions require membership to open accounts. At Quorum, you or a family member have to work for a Select Employee Group on this list, or you must join the American Consumer Council or Select Savers Club.
Quorum Federal Credit Union Review
Why it stands out: Crescent Bank has high interest rates on a variety of online CDs.
APY for 3-year CD: 4.75% APY
3-year CD early withdrawal penalty: 180 days of interest
What to look out for: To open the Crescent Bank CD, you’ll need to deposit at least $1,000 in new money. New money means funds that haven’t already been deposited into a Crescent Bank account.
Crescent Bank CDs will automatically renew at the end of each term unless you call customer service to cash out your CD.
First Internet Bank of Indiana 3 Year CD
Why it stands out: First Internet Bank of Indiana CD a might be appealing if you’re searching for a bank that offers a variety of CD terms. The bank is also featured in our best money market account guide.
APY for 3-year CD: 4.75% APY
3-year CD early withdrawal penalty: 360 days of interest
What to look out for: First Internet Bank of Indiana compounds your interest monthly, not daily. Depending on how much money is in your CD, this may or may not make a significant difference. You can also find a bank that charges less for an early withdrawal from a 3-year CD.
First Internet Bank of Indiana Review
Why it stands out: Popular Direct pays a competitive rate, and it compounds interest daily.
APY for 3-year CD: 4.75% APY
3-year CD early withdrawal penalty: 365 days of simple interest
What to look out for: You’ll need at least $10,000 to open a Popular Direct CD. The early withdrawal penalty on a 3-year term is also pretty steep.
Bread Savings 3 Year High-Yield CD
Why it stands out: Bread Savings pays higher CD rates than what you would earn at many brick-and-mortar banks or online banks.
APY for 3-year CD: 4.75% APY
3-year CD early withdrawal penalty: 180 days of interest
What to look out for: The minimum opening deposit for Bread Savings CDs is $1,500, which is a bit steep compared to other banks.
Bread Savings is also an online-only bank with a high-yield savings account and CDs. It doesn’t have a checking account or ATM network.
First National Bank of America 3 Year CD
Why it stands out: First National Bank of America has online CDs available nationwide. Its 3-year term offers a competitive interest rate, and you might like this account if you have at least $1,000.
APY for 3-year CD: 4.60% APY
3-year CD early withdrawal penalty: 360 days of interest
What to look out for: The 3-year First National Bank of America CD has a high early withdrawal penalty.
First National Bank of America Review
3-Year CDs We Considered That Didn’t Make the Cut
We looked at the following 3-year CDs as well. However, our winners have higher interest rates, lower minimum opening deposits, and lower early withdrawal penalties, which make them more compelling options.
- Alliant Certificate: Alliant Credit Union has a 3-year term that pays 4.45% APY, but our top picks have more competitive rates right now.
- CFG Bank CD: CFG pays good rates on its CDs, just not as high as those on our list.
- Signature Federal Credit Union Certificate: Signature Federal Credit Union pays 3.75% APY on a 3-year CD, but our top picks have more competitive 3-year terms.
- Synchrony Bank CD: Synchrony pays high interest rates on CDs, but our top picks offer even higher interest rates right now.
- LendingClub CD: LendingClub pays high interest rates on CDs, but you’ll need at least $2,500 to get a CD. LendingClub CDs also have standard-to-high early withdrawal penalties.
- Connexus Credit Union Share Certificate: Connexus offers a competitive interest rate, but you’ll need a minimum of $5,000 to open a CD.
- Bethpage Federal Credit Union Certificate Account: Bethpage offers high interest rates, but our top picks offer even higher rates right now.
- Barclays Online CD: Barclays may be a good option if you’re looking for a CD with a low minimum opening deposit or low early withdrawal penalties. Our top picks pay higher interest rates on a 3-year CD, though.
- Ally High Yield CD: Ally has a $0 minimum opening deposit, but our top picks offer higher interest rates.
- Nationwide CD: Nationwide has a low minimum opening deposit, but our top picks pay better rates.
- Marcus High-Yield CD: Marcus has a low minimum opening deposit, but our top picks offer higher interest rates.
- Capital One 360 CD: Capital One lets you open a CD with $0. However, our top picks offer higher interest rates.
- Live Oak Bank CD: Live Oak pays good interest rates, but you’ll need at least $2,500 for an initial deposit.
- Discover CD (Member FDIC): Discover pays solid interest rates, but you’ll need a minimum of $2,500.
- NBKC CD: NBKC offers competitive interest rates on long-term CDs, but our top picks offer even higher rates.
- Citizens Access Online CD: Citizens has solid CD rates, but you’ll need at least $5,000 to open an account.
- Navy Federal Credit Union Standard Certificate: Navy Federal Credit Union has solid CD rates, but our top picks offer even higher rates.
- TAB Bank CD: TAB Bank has a solid interest rate, but our top picks offer even higher rates.
- BrioDirect High-Yield CD: BrioDirect has a variety of CD terms, but its 3-year CD rate isn’t as strong as our top picks.
- American Express CD®: American Express has solid interest rates, but our top picks have higher rates.
- CIT Bank Term CD: Other banks on our list offer high interest rates right now.
- Amerant CD: Amerant has solid interest rates, but our top picks offer more competitive rates right now.
- BMO Harris CD: BMO Harris requires a minimum opening deposit between $1,000 to $100,000 to open a CD.
- Sallie Mae 3 Year CD: Sallie Mae pays a strong rate on its 3-year CD — just not quite as strong as what you’ll earn with our top picks.
3-Year CD rates at the largest US banks
The biggest banks in America pay lower rates than our top picks. However, it may be important to you to bank with a company you’re familiar with. Here are the rates you’ll earn on a 3-year CD with some of the most popular institutions:
Bank Trustworthiness and BBB Ratings
We’ve compared each company’s Better Business Bureau score. The BBB grades businesses based on factors like responses to customer complaints, honesty in advertising, and transparency about business practices.
Here is each company’s score:
Comenity Bank, the partner bank of Bread Savings, also currently has an NR (“No Rating”) because it is in the process of responding to previously closed complaints.
According to a note on the BBB website about Comenity Capital Bank (Bread Savings’ partner bank), there has been a pattern of complaints and reviews received by the BBB between October 15, 2022, and November 14, 2022. The complaints claim that customers have experienced billing inaccuracies, customer service deficiencies, and inaccurate reporting to credit bureaus. Comenity agreed to meet with the BBB on March 2, 2023.
As of April 23, 2023, Comenity stated it is taking the following steps: 1) investigating complaints, disputes, and fraud concerns; 2) adding staff and more training for customer service agents; and 3) reporting accurate and timely information to credit bureaus. The BBB will provide updates as needed.
Keep in mind that a BBB rating isn’t necessarily the be-all and end-all. To see if a bank is a good fit, talk to current customers about their experiences or read online customer reviews.
UFB High Yield Savings
Earn up to 5.25% APY on your savings. No monthly maintenance fees. No minimum deposit required to open an account.
