Best Certificates of Deposit (CDs) in New York for 2025
- HAB Bank offers the highest CD rates of the New York banks included in our research.
- Quorum is an online credit union that anyone in New York can join and put money in a CD with a minimum deposit of $1,000.
- You can open high-yield CDs, no-penalty CDs, and raise-your-rate CDs at Ally, an online bank, but you may find rates slightly lower than other New York CDs.
- Synchrony Bank has many CD terms to choose from with an opening deposit requirement of $0.
Certificate of deposit accounts help you save money toward your goals while earning a guaranteed rate of return. If you live in New York, you’ve got many banks to choose from to open a CD, but some offer better rates than others.
Read on to learn where to find the best CD accounts in New York state so you can grow your money.
Best CDs in New York
Certificates of deposit (CDs) are a secure investment option, providing fixed returns and protection of up to $250,000 through the Federal Deposit Insurance Corporation (FDIC), or up to $500,000 for joint accounts.
Finding the best CD rates in California requires some research, but these financial institutions currently offer competitive interest rates.
Popular Banks and Credit Unions in New York
There are more than 4,000 bank branches and credit unions in New York, so when you’re ready to open a new CD account, you’ve got plenty of options. Here are three of our top picks for the best New York CD rates.
- HAB Bank. HAB Bank offers the highest CD rates of the New York banks included in our research. The minimum opening deposit requirement is a bit higher than other New York CD options, but you can earn competitive rates with every CD term.
- Ponce Bank. Ponce Bank has a lower opening deposit requirement, but you still get generous CD rates. You also get the convenience of multiple branch locations to choose from, including branches in neighboring New Jersey.
- Quorum Federal Credit Union. Quorum is an online credit union that anyone in New York can join, which is a plus since some credit unions have more exclusive membership requirements. Regarding the CD rates, you could earn a pretty penny in interest if you have at least $1,000 to open an account.
Online Banks Offering CDs
New York is home to some of the biggest banks in the world, including banks that offer CD accounts online. Here are a few reasons to consider an online bank for CDs versus a traditional bank or credit union.
Higher rates: Thanks to their low overhead costs, online banks can offer some of the best CD rates around. For example, the national average savings rate for a 1-year CD is 1.80%, but you could earn more than double that rate at an online bank.
Lower minimums: Don’t have a lot of money to deposit into a CD? That’s no problem with online banks since some banks set the minimum deposit requirement as low as $0.
Variety: Online banks can offer a wide range of CD terms to meet different needs. Whether you’re looking for a 1-month CD, an 18-month CD, a 2-year CD, or a 10-year CD, online banks have what you need.
Online and mobile banking: The best online banks offer user-friendly mobile apps and online banking access. You can log in to check your CD balance, track your maturity date, or open a new account to build a CD ladder.
Easy account opening: Opening a CD at an online bank is quick and simple. You choose a bank, complete the application, verify your identity, and make your first deposit to start saving.
Special CDs: Online banks can offer special CDs that do more than just pay interest. For example, a no-penalty CD lets you take money out early without a fee, while raise-your-rate CDs let you increase your interest rate once or twice during the CD term.
With that in mind, here are four of the best online CD accounts for New York residents.
- Bread Savings. Bread Savings offers some of the highest CD rates in New York, though you’ll need to meet a higher opening deposit requirement to get started. You can choose a shorter term of three months or a longer term of up to 60 months.
- Marcus. Marcus could be a great fit if you’re looking for longer CD terms; the longest term available is 72 months. Rates are outstanding, and you only need $500 to open an account.
- Ally Bank. Ally earns top marks for variety since you can open high-yield, no-penalty, and raise-your-rate CDs. Rates are slightly lower than some of the New York banks we’ve profiled, but the opening deposit requirement is as low as it gets.
- Synchrony Bank. Synchrony Bank also keeps the opening deposit requirement low, at $0. There are plenty of CD terms to choose from, and if you need a little flexibility, you can also open a high-yield savings account or money market account.
Are these the only banks for CDs in New York? Not at all, but they’re some of the top options to consider if you’re ready to open a new CD account.
Factors to Consider When Choosing a CD in New York
How do you find the best CDs in New York? Here are a few things to weigh as you do your research.
Tax Rates
CD interest is treated as income for tax purposes. New York has one of the highest income tax rates of any state, which could affect your tax bill if you’re earning a lot of interest with CDs.
Credit Union vs. Bank
Credit unions are membership organizations, which means you own a share when you join. Banks, meanwhile, don’t have that requirement. Opening a CD at a bank may be easier, but credit unions can offer some unique perks, like discounts at partner businesses.
Interest Rates
It’s important to look at which New York banks offer the best CD rates. It’s also wise to weigh what’s happening with interest rate trends nationwide to see how New York banks measure up.
Pros and Cons of CDs
CDs offer safety and security, but they can also have some downsides. If you’re debating whether New York CD accounts are right for you, consider the pros and cons.
Pros
- CDs sometimes pay higher rates than high-yield or money market savings accounts.
- Opening a CD is fairly easy, whether you do it at an online bank or in person at a traditional bank or credit union.
- Rates are locked in for the entirety of the CD term, so you know exactly how much interest you’ll earn.
- You can choose the CD term (or terms) that fit your needs and goals.
Cons
- Banks may charge an early withdrawal penalty if you tap into your CD savings before maturity.
- If rates go up after you open a CD, you could lose out on a chance to earn more interest.
Supercharge Your Savings with CDs
CDs can be a great addition to your savings plan if you already have a high-yield savings account. The key is knowing which banks offer the best combination of high rates, minimal fees, and low opening deposit requirements.
Ready to see just how much interest you could pocket? Compare CD rates in New York now!
FAQs
According to our research, HAB Bank pays the highest CD rates in the Empire State if you’re looking for a New York-based banking option. If you’re interested in an online bank, you can’t go wrong with CD rates from Bread Savings.
CD interest is taxable in New York, which means you’ll need to report it on your tax return. How much you’ll pay in tax on CD interest depends on which tax bracket you land in.
To open a New York CD account online, you’ll typically need a valid, government-issued ID, some basic information, and funds for your opening deposit. Basic information includes your name, date of birth, and contact details.
