Best Certificates of Deposit in Maryland for 2025
- The Peoples Bank has a CD that doesn’t have penalties when you withdraw money before the term ends.
- Vio Bank has CD terms as long as 10 years.
- Taylor Bank offers various savings products, including CDs and health savings accounts.
- Farmers & Merchants Bank offers CDs at some of the highest rates in the state, at over 4%.
Are you looking for a place to put your money right now? Are you thinking about ways to reach your financial goals but don’t want to worry about the risk of volatile investments? Then the best CDs in Maryland are worth looking at.
A certificate of deposit is a type of savings account with a higher interest rate than a regular one. You agree to keep your money in the account for a predetermined time to earn this higher rate. This allows you to safely earn a healthy rate on your investment, while building a relationship with one of the best banks in Maryland.
Continue reading this guide to learn about the banks and credit unions around the state that offer some of the best CD rates in Maryland. Additionally, if you’re interested in online banking, you’ll find information on the institutions offering CDs. And to help you make the best choice for your needs, we include information on the factors consumers usually consider when choosing an account.
Top CD Rates in Maryland
Popular Banks and Credit Unions in Maryland
Local banks have some of the best CD rates in Maryland. Here’s a peek at some of the banks around the state that provide CDs.
SECU: SECU offers several term options, including three-, 12-, and 18-month CDs.
Taylor Bank: This bank offers other savings products, such as CDs, health savings, and club accounts.
The Peoples Bank: The Golden Year CD is a 60-month CD that allows one withdrawal without any penalties.
Online Banks: Online banks have CD rates that are generally higher than those at traditional banks, making them an attractive option for consumers who don’t mind not doing face-to-face transactions.
Online Banks Offering CDs
As consumers have increased the amount of business they do online, they have become more accustomed to the idea of opening an account at an online bank. However, buying merchandise is much different than finding a place for your money, so you may not feel comfortable working with a bank that doesn’t have a presence in your community. Some good reasons exist for opening an online bank account. Let’s take a look at some of them below.
FDIC insurance
If you’re concerned about whether or not your money will be safe in an online bank, rest assured, it will. Online banks, like traditional ones, are insured by the Federal Deposit Insurance Corporation (FDIC), so your money is protected up to $250,000.
Interest rates and fees
One important reason that online banks are becoming more common is that they offer perks since they don’t have expensive overhead. As a result, you can take advantage of higher interest rates than you typically receive at traditional banks. Additionally, these companies tend to have lower fees than other banks, and in some cases, they may charge no fees.
Paperless transactions
People are increasingly trying to make their business transactions more environmentally friendly. Online banks can help you do that because all of your transactions are paperless, and you can get all of the information you need about your account through a website or mobile app.
24/7 accessibility
One frustration people have with brick-and-mortar banks is the limited hours during which they can speak to a customer service representative. With an online bank, you can often speak to customer service 24 hours a day, seven days a week. No matter how busy you are, you can always reach someone to discuss any questions or concerns.
Bill payment services
Online banks allow you to automate your bill payments and easily schedule transfers for expenses like utility bills. This will not only help save you time, but it will also spare you from paying late fees if you forget a payment due date.
Now that you know a little about the benefits of online banks, explore what some specific options have to offer below.
Ally Bank: Ally Bank offers a range of terms, and you can withdraw money from your account without any penalties.
American Express: American Express has a range of products, including 11-month, 18-month, and one-year CD terms.
Bank5 Connect: Bank5 Connect has a special two-year CD that allows you to make deposits into your account throughout the term, which helps you maximize your savings. In addition, there are no monthly maintenance charges.
Bread Savings: When you open an account at Bread Savings, you can easily access information through the company’s mobile app and website. You can choose from a variety of CD terms.
Just like traditional banks and credit unions, online banks offer several good CD options. Compare products to find the best CDs in Maryland that work for you.
Factors to Consider When Choosing a CD in Maryland
You should keep several factors in mind when choosing any type of account, whether you want one of the best checking accounts in Maryland or a savings account. If you’re thinking about opening a CD, remember the following considerations.
Terms. Many banks, such as Shore United Bank and Farmers & Merchants Bank, offer terms as short as three months. You can also get terms that last five years. In addition, at Vio Bank, you can get a 10-year CD.
Rates. Banks and credit unions in Maryland offer CD interest rates that range from 3% to 4%.
Special deals. Banks may periodically have special rates for CDs for a limited time. These rates may be higher than usual, so be on the lookout for what different banks in Maryland offer so you can take advantage of any deals.
Pros and Cons of CDs
There are pros and cons of getting CDs. To give you a realistic view of what you can expect from these investments, we have addressed some of them below.
Pros
- CDs are protected by the Federal Deposit Insurance Corporation or the National Credit Union Administration, so your money is protected up to $250,000.
- Returns are guaranteed by fixed interest rates.
- There are a lot of short-term and long-term CD choices, which allows you to choose the one that works best for your financial needs.
Cons
- The returns for CDs are not as high as the ones you receive from other types of investments.
- Since interest rates are fixed, inflation may reduce the value of your investment in the long term.
- Depending on the type of CD, you may be charged a penalty for withdrawing your money before the term ends.
Find the Best CDs in Maryland Today
CDs are a safe and flexible way to grow your money, which makes them an investment worth having. We’ve covered a lot of information about the best CDs in Maryland here. You can use what you’ve learned to go out and find the CD that meets your needs.
Frequently Asked Questions
Yes, Maryland has income tax, so you must pay taxes on the interest you earn from CDs.
There are some CD terms offered by banks in Maryland that are three months long, such as the ones at Taylor Bank and Shore United Bank.
If you do business with a Maryland-based bank because you want to go into a physical location for face-to-face service, you may not feel comfortable opening a CD with an online bank. However, if you like banking virtually, you can take advantage of the higher interest rates that online banks usually provide.
