Best Certificates of Deposit (CDs) in Washington for 2025
- Washington banks and credit unions offer CDs with competitive rates as high as 4.11% and opening deposit requirements as low as $500.
- Columbia Credit Union in Washington offers CDs with terms from 3 months to 5 years and $500 opening deposits.
- Bask Bank is an online bank available to Washington residents offering CDs with terms from 2 to 24 months and above-average interest rates.
Certificate of deposit (CD) accounts are designed to help you grow your money safely and securely. When you open a CD, you agree to leave your savings in place for a set term and earn interest until maturity.
Washington savers have plenty of choices when deciding where to open a CD. Let’s look at the best CD rates in Washington to help you pick the right bank.
Washington’s Best CD Rates
Popular Banks and Credit Unions in Washington
1. 1st Security Bank: 1st Security Bank offers standard CDs with terms from 3 to 60 months and an 11-month special CD. The 1-year CD has the best rate overall and requires a $500 minimum deposit to open.
2. Peoples Bank: Peoples Bank offers competitive CD rates with a low opening deposit requirement. You can open a CD with a little or a lot of money, and deposits are FDIC-insured.
3. WaFD Bank: WaFD Bank has CDs with terms as short as 14 days; the maximum term is 60 months. The highest rates apply to the bank’s special CDs, which have terms of 6 to 11 months and require $1,000 to open.
4. Columbia Credit Union: Columbia Credit Union features a range of CD options with rates that match those at some of the top banks. The highest APY is reserved for the 6-month CD, which you can open with $500.
Online Banks Offering CDs
You might open a CD account online if you don’t mind forgoing branch banking access. Online banks have a lot to offer savers; here are some of the highlights to know.
Higher interest rates
Online banks have a reputation for paying competitive rates on CDs and savings accounts. Some online bank CDs easily outstrip traditional bank CDs, paying much more than the national savings rate.
Low minimum deposits
An online bank could appeal to you if you want to open a CD with only a little money. Some online banks have no opening deposit requirement at all for new CD accounts.
Low or no fees
Online banks are often fee-friendly, so you don’t have to worry about being nickel-and-dimed. It’s possible to find online CDs with minimal or no fees at all.
Quick account setup
Opening a CD online only takes a few minutes. You just need to fill out an application and link your bank account to make your opening deposit. You can do it all from your mobile device without leaving home.
FDIC insurance
FDIC insurance protects deposits when a bank fails. Most online banks are FDIC-insured, so you don’t have to worry about losing your savings if the worst should happen.
Mobile app convenience
Mobile banking helps you manage your savings wherever you are. You can view statements, check your interest earnings, or open a new CD account from your phone or laptop.
Which online banks have the best CD rates? Here are four possibilities you might consider.
1. Vio Bank: Vio Bank offers a mix of short and long-term CDs to help you grow your savings. Rates are competitive, but you’ll earn the most interest with a 6 or 9-month CD. The minimum opening deposit is $500.
2. Capital One: Capital One CDs have no minimum opening deposit requirement, which could be perfect if you’re just getting started with saving. You can choose from multiple term options, all of which earn a stellar rate.
3. Bask Bank: Bask Bank offers fewer CD terms than other banks, but you can’t beat the rates. You’ll earn the highest APY with a 12-month CD, but rates are impressive overall. Bask Bank CDs have a $1,000 minimum deposit requirement.
4. Ally Bank: Ally Bank is another online bank offering CDs with no opening deposit requirement. You can open multiple types of CDs here, including a no-penalty CD, so you can pick and choose the ones that work best for your goals.
Should you open a CD at an online bank? You might consider it if you’re not tied to the idea of banking in person at a branch. Online banks can offer exceptional CD rates, and you may not need a lot of money to open an account.
Factors to Consider When Choosing a CD in Washington
We’ve shared our picks for the best CD rates in Washington, but you may want to do your own research. Here are some helpful factors to weigh as you shop around for a CD account.
Interest Rates
Of course, you want to get the best rate possible on a CD account, and where you bank in Washington could make a difference. Look at local banks to see how rates compare, then cast the net wider to see how other banks across the state measure up.
Term Length
Your CD term represents how long you’re expected to keep your savings in your account until it matures. Most Washington banks offer CDs with terms from 3 to 60 months, though some may offer shorter or longer terms.
Minimum Deposit
Washington CD deposit requirements may be as low as $0 or as high as $100,000–it all depends on where you decide to open an account. If you plan to ladder CDs, consider what kind of minimum deposit requirement works best for your budget.
Accessibility
Some Washington banks have a bigger geographic footprint than others. Check out the number of branch and ATM locations available and how close they are to you. Also, look at the bank’s website and mobile app to see how user-friendly they are and what features are included.
Pros and Cons of CDs
CDs can be great for some savers, but not so much for others. Here’s an honest look at the pros and cons of using CDs to grow savings.
Pros
- CDs pay fixed rates, so you know how much interest you’ll earn
- You can choose the CD term that fits your needs and goals
- Laddering can help you avoid early withdrawal penalties
- Special CDs may pay higher rates than the best savings accounts
Cons
- CDs lock your money in for a set term
- Withdrawing from a CD early could trigger a fee
- Changing rates can make CDs less valuable as a savings tool
- You may earn higher rates for your money elsewhere
CDs Can Fill Gaps in Your Savings Plan
Saving is a good thing and CDs can help you earn a decent amount of interest until it’s time to spend the money you’ve been stashing away. Washington banks and credit unions may offer what you need if you’re in the market for a CD, but don’t count out online banks.
Ready to kickstart your savings efforts? Compare the best CD rates available now.
Frequently Asked Questions
Washington does not have a personal income tax, however, CD interest may still be taxable in certain situations. If you’re earning interest with CDs, you may want to talk to a certified public accountant or another tax professional about whether that income is subject to taxation.
Washington banks may allow anyone to open a CD account, or they may limit new accounts to state residents only. If you’re eligible to open a CD at a Washington bank, you’ll need to meet the minimum deposit requirement and complete an application. Remember that only adults can open CDs; minors will need a parent or legal guardian’s help to open a bank account.
Washington credit unions can extend the field of membership to people across the state, or to people who live, work, worship or attend school in certain counties. Some credit unions may allow anyone to join; others may limit membership to people in certain professions, like teachers or military members.
