Best Certificates of Deposit in Mississippi for 2025
- Community Bank of Mississippi offers some of Mississippi's most competitive CD rates.
- Renasant Bank has special CD offers, which give higher interest for a set period of time.
- Discover® has a rare 10-year-term CD for those who are ready for long-term investments.
- No-penalty CDs, such as the one offered by CIT Bank, allow easy access to your money for no cost, even if the term is not over.
Certificates of deposit are a great way for those in Mississippi to lock in a solid interest rate for a set period of time, thus allowing for easier planning of their financial future. CDs often provide higher interest rates than savings accounts and offer terms anywhere from a few months to several years.
Read on to learn how to make the most of your hard-earned money by using a certificate of deposit as an investment tool in the Magnolia State.
Mississippi CD Rates
Popular Banks and Credit Unions in Mississippi
There are many banks and credit unions in the Magnolia State that offer competitive rates and terms for certificates of deposit.
Renasant Bank: In addition to the usual CDs, Renasant offers their certificate of deposit special, which offers unique terms and higher-than-usual rates. These special CDs can even be used as collateral for a personal loan, making your money stretch further.
Community Bank of Mississippi: Understand what your money will do and how much of a deposit you will need by using the CD calculator on the Community Bank of Mississippi website. With over 120 years of service to communities in Mississippi, this bank provides numerous opportunities to grow your money.
Hancock Whitney Bank: Hancock Whitney offers a 10-day grace period before CD renewals, allowing for withdrawal without penalty. They also have some of the highest rates in the state, especially on higher deposit amounts.
Online Banks: Many online banks provide the opportunity for CDs at longer terms or higher interest rates than local banks.
Online Banks Offering CDs
Online banks are often a great option for CDs that offer high interest rates and a wide variety of terms. Here are some of the reasons why an online bank might be a good bet for you.
Higher interest rates
Many online banks offer higher interest rates than local banks do, or offer special sign-up bonuses that give impressive returns.
24/7 accessibility
Never worry about the bank being closed; online banks are open around the clock and accessible no matter where you roam.
Low or no fees
Many online banks use no fees as a strong selling point.
Quick account setup
Signing up for an account is easy, as it is all handled online. Many banks offer strong customer service for any issues that might arise.
Mobile app convenience
Access your accounts anytime from your smartphone with powerful apps that keep your money at your fingertips.
A Selection of Online Banks Offering CDs
Discover®: Lock in your rate for as little as 3 months or as long as 10 years. Rates are very competitive, especially on shorter terms. While other rates might offer a 10-year CD, most of them provide rock-bottom interest rates for the term, while Discover’s long-term rates are on a par with the shorter-term CDs.
Chase: Chase offers numerous certificate options for deposits but falls short in providing the high-yield rates customers have come to expect from online banks. However, there is the advantage of receiving interest payments—there is no need to wait for maturity to collect the extra cash.
Capital One 360: You can choose from terms of 1 to 5 years and the option between a traditional CD and an IRA CD, explicitly designed for retirement goals. The rates are tiered, so expect to see higher returns for longer terms.
CIT Bank: The no-penalty CD option through CIT Bank helps ensure that you can access your money at any time without paying a fee for doing so. The CD requires $1,000 to start and is the only CD offering at CIT Bank – but it’s a solid place for your emergency cash.
Online banks offer strong customer service, competitive interest rates, and a variety of terms to give you more control of your money.
Factors to Consider When Choosing a CD in Mississippi
Choosing a CD in Mississippi requires comparing the different banks in the state and determining the right interest rate and term length. Here are a few points to consider while searching for the right CD.
Interest rates
You will likely find higher interest rates with online banks, as they have lower overhead than brick-and-mortar banks. However, some local banks might surprise you, so always take the time to shop around.
Term lengths
Some CDs are designed to give you a strong interest rate for a short-term period, such as three months, six months, or one year. Others lock you in for a slightly lower rate but a much longer period.
Early withdrawal penalties
Most CDs impose a penalty for early withdrawal, usually a percentage of the total amount plus a flat fee. If you think you might need to access your money before the term is up, look for a no-penalty CD.
Minimum deposit
Opening a CD with a minimum of $1,000 is the most common for both local and online banks; however, some CDs can be opened with as little as $500.
Insurance
Reputable banks and credit unions guarantee your money through the FDIC (banks) and NCUA (credit unions). Up to $250,000 of your money per account, per depositor is safe if the institution fails.
Customer service
Excellent customer reps are ready to serve in person or over the phone at places like Community Bank of Mississippi or Hancock Whitney, but online banks can also offer robust customer service via phone, text, email, or chat.
Promotional offers
Keep an eye out for banks and credit unions that offer special rates on CDs for a short period of time. You could make even more money by taking advantage of these special opportunities.
Pros and Cons of CDs
There are advantages and disadvantages to every banking product. Here’s what to expect from CDs.
Pros
- Get the rates and returns you expect.
- Higher interest rates than what you get with other banking products.
- A variety of terms to help you meet your financial goals.
Cons
- Your money is locked up for a specific period of time.
- Higher returns might be possible with stocks and bonds.
- Penalties for early withdrawal.
CDs Grow Your Money Safely
Now is the time to begin saving for the future on your chosen terms. Compare CD rates in Mississippi to find the one that’s right for your financial bottom line.
Frequently Asked Questions
While there is state tax imposed on CD earnings, there are some ways around that. The most common is to place the CD in an IRA or 401(k), where tax on the interest is deferred until you pull the money, usually for retirement.
Special CDs offer a promotional period for higher interest or longer terms. For example, Cadence Bank offers a CD with 4.25% APY, but only if you invest $25,000 or more. Some special CDs require lower deposits and offer higher interest rates for a short period of time as a promotional tool to introduce new customers to the bank.
While online banks often offer good terms and interest rates, those who want the personal touch can choose a local bank for in-person services. In addition to banking in person, local banks allow for growing relationships with the community and its members, which could result in more flexible financial options in the future.
