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A 6-month CD is a type of savings option that lets you maintain a fixed interest rate for a short period of time. The national average APY (Annual Percentage Yield) on a 6-month CD is 1.39% APY.
However, there are much higher interest rates on 6-month CDs right now. The best CD rate for a 6-month term is 5.76% APY from TotalDirectBank.
We check rates daily to find the best rates for 6-month terms. Below, you’ll find our top picks.
Best 6-Month CDs
Compare the Best 6-Month CDs
TotalDirectBank 6 Month CD
Annual Percentage Yield (APY)
5.76%
Minimum Deposit Amount
$25,000
- High interest rate
- Standard early withdrawal penalties
- High minimum opening deposit
- Limited customer support
- Doesn’t operate in Florida, Somoa, Guam, Northern Mariana Islands and US Virgin Islands
Product Details
- Online-only division of City National Bank of Florida
- Early withdrawal penalties: 30 days of interest for terms between 30 days up to 6 months; 90 days of interest for terms above 6 months and up to one year; 180 days of interest for terms over 1 year
- Maximum deposit of $1 million
- Interest compounded daily and deposited monthly
- FDIC insured
Credit Human 6 Month Share Certificate
Annual Percentage Yield (APY)
5.75%
Minimum Deposit Amount
$500
- High interest rate
- Low minimum opening deposit
- High early withdrawal penalties
Product Details
- Branches primarily in San Antonio, Texas
- To join Credit Human, you or a family member must be an employe of an employer or organization partner; live, work, worship or attend school in a San Antonio, TX or New Orleans, LA service area; study at a trade school, college or university partner; are a veteran, retiree, or active duty member of the US Armed Forces or National Guard; or become a member of the American Consumer Council
- Early withdrawal penalties: 90 days of interest for terms of 3 months; 180 days of interest for terms of 6 months; 270 days of interest for terms of 12 months; 365 days of interest for terms of 36 months; 730 days of interest for terms of 60 months; 1,095 days of interest for terms of 84 or 120 months
- Terms range from 6 months to 10 years
- Federally insured by the NCUA
Western Alliance Bank 6 Month CD
Annual Percentage Yield (APY)
5.60%
Minimum Deposit Amount
$1
- Accounts pay high interest rates
- No fees
- Open accounts you might not be able access outside of Raisin
- Minimum opening requirements are often lower than if you opened an account directly with a bank
- No checking accounts or business accounts
- Only way to deposit or withdraw money is by connecting to an external account
- Can’t connect to third-party budgeting apps, like Mint
Product Details
- Raisin is an online marketplace that partners with banks to offer competitive rates
- Offers high-yield savings accounts, money market accounts, CDs, and no-penalty CDs
- Filter your search by institution, or by type of institution (e.g., minority-led, family-owned, or supports small business)
- Interest is compounded daily and paid monthly
- Deposits are federally insured by the FDIC or NCUA
Bask Bank 6 Month CD
Annual Percentage Yield (APY)
5.55%
Minimum Deposit Amount
$1,000
- Competitive interest rate on CDs
- $1,000 minimum opening deposit
- Limited term options
Product Details
- CD terms range from 6 months to 24 months
- Early withdrawal penalties: For terms 1 year and under, the penalty is 90 days of simple interest; For any terms over 1 year, the penalty is 180 days of simple interest
- Interest compounded daily, deposited monthly
- FDIC insured through Texas Capital Bank
Popular Direct 6 Month CD
Annual Percentage Yield (APY)
5.55%
Minimum Deposit Amount
$10,000
- Competitive rates for certain term lengths
- Compounds interest daily
- $10,000 minimum deposit
- Standard-to-high early withdrawal penalties
Insider’s Take
Popular Direct’s high-yield savings account is featured in our best high-yield savings account guide because it has one of the highest rates available. The bank’s CDs also offer high rates, but these accounts may not be as appealing due to the high minimum opening deposits and early withdrawal penalties. Also, keep in mind that it’s difficult to access your savings quickly because there’s no checking account.
Product Details
- Terms ranging from 3 months to 5 years
- Early withdrawal penalties: 89 days simple interest for terms under 91 days; 120 days simple interest for terms of 91 days to less than 12 months; 270 days simple interest for terms of 12 months to less than 36 months; 365 days simple interest for terms of 36 months to less than 60 months; 730 days simple interest for terms of 60 months or more
- Interest compounded daily, paid monthly
- FDIC insured
Signature Federal Credit Union 6 Month Certificate
Annual Percentage Yield (APY)
5.50%
Minimum Deposit Amount
$500
- Competitive APY
- $500 opening deposit
- High early withdrawal penalties
- Interest compounded monthly, not daily
- No terms over 5 years
Product Details
- Become a Signature FCU member by depositing $5 in a Signature savings account
- Terms ranging from 3 months to 5 years
- 45 days to 900 days interest early withdrawal penalty
- Interest compounded monthly and paid monthly
Bank5 Connect 6 Month High-Yield CD
Annual Percentage Yield (APY)
5.50%
Minimum Deposit Amount
$500
- Competitive APY
- $500 opening deposit
- Limited term length options
- Standard-to-high early withdrawal penalties
Product Details
- Term lengths between 6 months and 3 years
- 3 months interest early withdrawal penalty for terms under 1 year, 6 months interest early withdrawal penalty for terms of 1 year or more
- A 2-year investment CD allows you to make deposits after opening the account
- FDIC insured
Newtek Bank 6 Month CD
Annual Percentage Yield (APY)
5.50%
Minimum Deposit Amount
$2,500
- High interest rate
- Variety of CD terms
- Standard early withdrawal penalties
- $2,500 minimum opening deposit
Product Details
- Early withdrawal penalties: For terms between 30 days and less the 1 year, the penalty is 90 days of simple interest
- Interest is compounded daily and deposited monthly
- FDIC insured
BMO Alto 6 Month High Yield CD
Annual Percentage Yield (APY)
5.50%
Minimum Deposit Amount
$0
- Low minimum opening deposit
- High interest rates
- Standard-to-low early withdrawal penalties
- Limited term lengths
- Cannot go to BMO branches for support
- No mobile app
Product Details
- BMO Alto is an online-only division of BMO
- Terms range from 6 months to 60 months
- Early withdrawal penalties: For terms of 11 months or less, the penalty is 90 days of interest; For terms of 1 year or more, the penalty is 180 days of interest
- Interest is compounded daily and deposited monthly
- FDIC insured
Dow Credit Union 6 Month Simple CD
Annual Percentage Yield (APY)
5.50%
Minimum Deposit Amount
$500
- Low minimum opening deposit
- High interest rate
- Interest compounded monthly, not daily
- Standard-to-high early withdrawal penalties
Product Details
- Based in Midland, Michigan
- To join Dow Credit Union, you must be an employee or retiree of Dow Inc., the former Dow Corning Corporation, or a Select Employer Group company; have a family member who is eligible to join; donate $10 to the Dow Credit Union Members Endowed Scholarship Fund; are a member of the Midland Center for the Art’s Alden B. Dow Museum of Science & Art or Midland Historical Society; own stock at Dow Inc.; have a revocable trust in which the Grantor is a member of Dow Credit Union; or are a member of Midland Country Club of Great Lakes Loons Founders Club
- Automatically renews to another 3-month CD special as long as the product is offered
- Simple CDs are not eligible for Member Saver Rewards
- Early withdrawal penalty for a 3-month term is 45 days and for a 6-month term is 90 months of interest
- Interest compounded monthly, not daily
- Federally insured by the NCUA
6-Month CD FAQs
The highest 6-month CD rate is 5.76% APY available at TotalDirectBank. The online institution operates everywhere in the US except Florida, Somoa, Guam, the Northern Mariana Islands, or the US Virgin Islands.
A 6-month CD may be worthwhile if you’d like to earn a competitive interest rate on a short-term, fixed-interest savings account. Many CDs offer over 5% APY. However, keep in mind that CDs do not allow additional deposits and have early withdrawal penalties if you have to take out money before the term ends.
With a 6-month CD, you stash away your money for six months and typically earn a fixed rate. You have the option to renew your CD at the end of the 6-month period, or close the account and pocket the money.
Most CDs lock in your rate for the entire term. If you open a 6-month CD at a 5.00% APY, you’ll earn 5.00% for the entire six months. If you renew your CD after it matures, you’ll earn the new rate available in six months. There are exceptions to the fixed-rate rule. Some institutions offer variable-rate CDs or CDs that allow your rate to change after a predetermined amount of time.
Ultimately, your choice will likely depend on how soon you plan to need the money. For example, if you want the money to buy a house in less than a year, a longer term isn’t the best idea. Many experts recommend CD laddering. With this strategy, 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.
6-Month CD Reviews
These are our picks for the best 6-month CD rates. Our top picks for CDs are protected by FDIC or NCUA insurance. If you’re worried about bank failures, 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.
TotalDirectBank 6 Month CD
TotalDirectBank CDs may be a good choice if you’re searching for a variety of short-term CDs with high interest rates. The 3-month, 6-month, and 1-year terms, in particular, offer CD rates significantly above the national average.
TotalDirectBank CDs have a steep minimum opening deposit of $25,000 and a maximum deposit of $1 million. The online institution also doesn’t operate in Florida, Somoa, Guam, the Northern Mariana Islands, or US Virgin Islands.
APY for 6-month CD: 5.76% APY
6-month CD early withdrawal penalty: 30 days of interest
Credit Human 6 Month Share Certificate
You might like a Credit Human Share Certificate if you value banking with a credit union over a bank. Credit Human Federal Credit Union has a high interest rate on a 6-month term, and one of the best 1-year CD rates. This credit union also could be a good option if you have at least $500 to open a CD.
To open a Credit Human Share Certificate, you’ll have to qualify for membership. The easiest way to become a member regardless of where you live in the US is to join the American Consumer Council. Credit Human also has other ways to become a member. For example, you’ll be eligible to join if you live in a service area in San Antonio, Texas, or New Orleans, Louisiana, or if you work for a partner employer or organization.
APY for 6-month CD: 5.75% APY
6-month CD early withdrawal penalty: 180 days of interest
Western Alliance Bank 6 Month CD
The Western Alliance Bank 6 Month CD, powered by Raisin offers a competitive interest rate and has a $1 minimum opening deposit. Raisin is an online platform that allows you to find, fund, and manage multiple high-yield savings accounts, money market accounts, and CDs from different bank and credit unions.
While Raisin is a great option for different types of savings accounts, you’ll want to consider other options if you want to open a checking account.
APY for 6-month CD: 5.60% APY
6-month CD early withdrawal penalty: 90 days of interest
Bask Bank 6 Month CD
A Bask Bank CD is an excellent option if you’d like to earn a competitive interest rate on a 6-month term. Bask Bank also has a solid high-yield savings account and one of the best savings accounts for travel.
Bask Bank has limited CD terms. If you’re looking to open a CD with a term over 2 years, consider one of our other top picks.
Interest for 6-month CD: 5.55% APY
6-month CD early withdrawal penalty: 90 days simple interest
Popular Direct 6 Month CD
Popular Direct CDs pay a high interest rate, and compound interest daily.
You’ll need at least $10,000 to open a Popular Direct CD.
APY for 6-month CD: 5.55% APY
6-month CD early withdrawal penalty: 120 days of simple interest
Signature Federal Credit Union 6 Month Certificate
Signature Federal Credit Union Certificates are another great option if you’d like to bank with a credit union. You also might like this option if you’d like to get a CD with a low minimum opening deposit.
Credit unions require membership to open an account. The easiest way to become a member is to enroll in the American Consumer Council. Then you’ll just need to open a savings account.
APY for 6-month CD: 5.50% APY
6-month CD early withdrawal penalty: 90 days of interest
Signature Federal Credit Union Review
Bank5 Connect 6 Month High-Yield CD
Bank5 Connect High-Yield CDs are a good choice if you want a CD with a low minimum opening deposit.
Bank5 Connect is the online operation of the Massachusetts-based bank Bank5. You only need $500 to get started.
You won’t be eligible to open a Bank5 Connect bank account if you’re a resident of Massachusetts or Rhode Island. However, you can open bank accounts at a Bank5 branch.
Interest for 6-month CD: 5.50% APY
6-month CD early withdrawal penalty: Three months of interest on the amount withdrawn
Newtek Bank 6 Month CD
Newtek Bank CDs may be appealing if you’re searching for a variety of terms that pay well above the national average. Newtek Bank also has standard early withdrawal penalties.
Newtek Bank CDs have a $2,500 minimum opening deposit. Other financial institutions may let you open a CD with less money upfront.
Interest for 6-month CD: 5.50% APY
6-month CD early withdrawal penalty: 90 days of interest
BMO Alto 6 Month High Yield CD
BMO Alto has some of the best CD rates for a variety of terms. You might like this option if you are interested in an online-only banking experience.
BMO Alto lets you open a CD with $0. You’ll need to deposit funds in the first 10 days, or your account will be closed.
You might prefer another financial institution if you’re also looking to open a checking or money market account. BMO Alto is an online division of BMO Bank, and as the online option, it only offers a high-yield savings account and CDs.
Interest for 6-month CD: 5.50% APY
6-month CD early withdrawal penalty: 90 days of interest
Dow Credit Union 6 Month Simple CD
Dow Credit Union Simple CDs are a great option if you prioritize banking with a credit union. The 6-month Simple CD pays a high interest rate, and you only need $500 to get started.
Credit unions require membership to open an account. The easiest way to become a member of Dow Credit Union is to make a $10 donation to the Midland Area Community Foundation. The credit union also has other ways to join, such as being part of a Select Employer Group or having a family member who is a current credit union member.
APY for 6-month CD: 5.50%
6-month CD early withdrawal penalty: 90 days of interest
Alternative CD options
- Bayer Heritage Federal Credit Union Share Certificate: Bayer Heritage Federal Credit Union has a 6-month CD with a competitive interest rate. The credit union has Ohio, Pennsylvania, South Carolina, Texas, and West Virginia. The credit union wasn’t one of our top picks because on November 1, 2023, the credit union experienced a cyber incident causing telephone systems to not work.
- USALLIANCE Financial 6 Month Certificate: USALLIANCE Financial pays 4.25% APY on a 6-month term, which is lower than what our top picks pay.
- Latino Community Credit Union 6 Month Share Certificate: Latino Community Credit Union offers more than the national average for a 6-month term, but it still has a lower APY than all our top picks. You still might like this option if you live in North Carolina and prioritize banking with a local financial institution, though.
- MYSB Direct 6 Month CD: MYSB Direct has an online 6-month CD paying 5.36% APY, but other financial institutions pay higher CD rates for a 6-month term.
- Vio Bank CD: Vio Bank has a 6-month CD offering 5.35% APY, which is just short of the rates included on our list.
- Gulf Coast Federal Credit Union Share Certificate: Gulf Coast Federal Credit Union is a local financial institution in Texas. It has a 6-month CD rate that’s high, but our top picks have even more competitive rates. It still might be worth considering if you live in Nueces, San Patricio or Jim Wells County and prioritize banking locally
- America First Credit Union 6 Month Certificate: America First Credit Union pays 5.30% APY on a 6-month CD, but other financial institutions offer even more competitive CD rates for a 6-month term.
- Rising Bank CD: Rising Bank has a solid rate on a 6-month CD, but it’s just short of the rates on our list.
- First Internet Bank of Indiana CD: First Internet Bank of Indiana pays 5.22% APY, which is lower than the rates on our list.
- Bethpage Federal Credit Union Certificate Account: Bethpage Federal Credit Union pays a solid interest rate, but our top picks offer more competitive rates right now.
- Synchrony Bank CD: Synchrony pays high rates overall, but its 6-month CD rate falls shorts of the rates on our list.
- CIT Bank Term CD: CIT Bank’s 6-month CD rate is more competitive than its other CDs, but you’ll still find higher elsewhere.
- Live Oak Bank CD: Live Oak pays 5.00% APY on its 6-month term, but our top picks have even higher interest rates right now.
- TAB Bank CD: TAB Bank has solid interest rates on CDs, but you can still find more competitive interest rates at other online banks.
- LendingClub CD: LendingClub offers high CD rates, but our top picks have lower minimum opening deposits or even more competitive rates right now.
- Alliant Certificate: Alliant pays solid interest rates on CDs, but its 6-month term pays a lower rate than our top picks.
- Sallie Mae CD: Sallie Mae has a high interest rate, but you’ll need a minimum opening deposit of $2,500.
- Marcus High-Yield CD: Marcus lets you open an account with $500, but our top picks have higher interest rates right now.
- Ally High Yield CD: Ally offers a variety of CDs, but our top picks pay higher interest rates.
- Capital One 360 CD: Capital One has a low minimum opening deposit, but our top picks pay higher interest rates.
- Nationwide CD: Nationwide CDs has a solid 12-month CD, but its 6-month CD isn’t as strong.
- EverBank CD: EverBank’s 6-month CD isn’t as strong as its long-term CDs.
- Citi Fixed Rate CD: Citi pays has good rates, but our top picks have even higher interest rates.
- Navy Federal Credit Union Standard Certificate: Navy Federal Credit Union has solid interest rates on long-term CDs, but its short-term CDs aren’t as competitive.
- Discover CD: Discover has competitive interest rates on long-term CDs, but its short-term CDs aren’t as strong. You’ll also need at least $2,500 to get a CD.
- PenFed Credit Union Money Market Certificate: Pentagon Federal Credit Union offers a competitive interest rate, but the early withdrawal penalties are high compared to our top picks.
- Charles Schwab Bank CD: Charles Schwab has brokered CDs, meaning Charles Schwab doesn’t actually own the CD. Instead, Charles Schwab acts as the middleman for you and the bank that owns the CD. Depending on how your bank, you may prefer open a CD directly with the financial institution.
- American Express CD: American Express offers a good interest rate, but our top picks offer even higher rates.
Bank Trustworthiness and BBB Ratings
We’ve compared each financial institution’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.
Signature Federal Credit Union does not have a profile with the Bureau yet, so there are no complaints or reviews to use for evaluating the company’s business practices.
Here is each company’s score:
Bask Bank also received a B rating from the BBB because it’s received 30 customer complaints on the BBB website. However, its parent company, Texas Capital Bank, has an A+ rating from the BBB.
Raisin received a B+ rating from the BBB because there are several complaints against the company on the BBB website.
Credit Human received an A- rating from the BBB because it has not resolved several customer complaints.
BBB ratings aren’t necessarily the be-all and end-all. To see if a company is right for you, you may also read online customer reviews or talk to current customers.
In 2021, a San Antonio resident filed a lawsuit against Credit Human Federal Credit Union. According to the San Antonio Express News, the Texas resident claims the credit union has unfair overdraft practices and has charged fees when it shouldn’t have. The case is currently ongoing.
In 2022, a Minnesota jury ordered BMO bank to pay $564 million in damages in a lawsuit involving a Ponzi scheme operated by a Minnesota businessman. That said, the Ponzi scheme was uncovered in 2008 at M&I Bank, and BMO Harris didn’t buy M&I Bank until 2011.
Why You Should Trust Us: Expert Advice on Choosing the Best 6-Month CD
To learn more about what makes a good CD and how to choose the best fit, Insider consulted four experts:
Insider
Here’s what they had to say about CDs. (Some text may be lightly edited for clarity.)
How can someone figure out whether a bank is right for them?
Tania Brown, certified financial planner at SaverLife:
- It should be FDIC insured
- It should fit the banking experience you want (A local bank to visit in person? An online bank to use through your phone? The ability to write checks?)
Sophia Acevedo, certified educator in personal finance, banking reporter, Personal Finance Insider:
- Prioritize what matters to you, like whether you can waive a monthly service fee
- Pay attention to rates if you want a high-interest account (it should pay higher than average bank account rates)
How should you choose the right CD term length?
Roger Ma, certified financial planner with lifelaidout® and author of “Work Your Money, Not Your Life”:
- Consider when you need the money
- Compare your timeline with current CD rates to find the best rates for the closest timeline
Mykail James, MBA, certified financial education instructor, BoujieBudgets.com:
- Have a goal for the money in that CD
- Consider your timeline for the goal, and choose a term length that matches that timeline
How should you decide between a high-yield savings account, money market account, or CD?
Tania Brown, CFP:
- Start off with how much money you want to put in
- Add the level of transactions you plan to have — CDs won’t let you touch the money
Sophia Acevedo, Personal Finance Insider:
- A high-yield savings account or money market account are good options for an emergency fund or short-term savings goals
- Money market accounts are worth considering if you want more account accessibility (paper checks, ATM cards, or debit cards)
- CDs could be worthwhile if you don’t need access to that money, since they have a fixed interest rate for a specific term
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 6-month 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.
SoFi Checking and Savings
Earn up to a $250 bonus with qualifying direct deposits for eligible customers through 12/31/2023. Earn up to 4.60% APY on savings balances (including Vaults) with direct deposit
