These CDs have 5% APY (and higher) – and no fees

Higher interest rates are rarely good news for consumers. The cost of living rises, the prices of goods and services rise, and the purchasing power of the dollar declines. However, there is one way you can benefit: the potential to earn more interest on your savings.

when The latest Federal Reserve numbers Inflation is slightly lower than in recent months, the difference is negligible. And many experts predict that inflation will remain close to its current level for some time. That makes now a great time Increase your savings.

A simple way to do this is a Certificate of Deposit (CD). Unlike the product High Yield Savings Account, the CD rate is determined when you open the account. So, by acting now while rates are still high, you can secure a great rate for the entire term of your CD. There are many CD options on the market today.

Below, we explore some with the highest yields to help you find the best one for you Even better, each account carries no ongoing fees, allowing you to keep more of your earnings for yourself.

Check today’s CD rates here to see how much you could earn.

These CDs have 5% APY (and higher) – and no fees

Comes with various CDs Various posts. The accounts below offer a range of terms, so you can choose the one that best suits your savings goals Remember you always can Ladder multiple CDs To enjoy a regular source of cash while securing the best rate.

In addition to being fee-free, these accounts are all FDIC-insured, meaning your deposits are protected up to $250,000 per account, in case the bank fails.

Bread Savings: 5.20% APY (1 year term)

One-year CDs from Bread Savings have one of the highest APYs on the market. You can earn 5.20% APY if you deposit at least $1,500 when opening the account. This CD has no maintenance fee, although you will pay 180 days of interest if you withdraw funds before the CD matures.

If you want a longer term, Bread Savings offers a two-year CDO. That account has a still-competitive 5.00% APY.

Basque Bank: 5.10% APY (6 month term)

Savers looking for a short-term CD should consider Basque Bank’s six-month CD, which offers an APY of 5.10%. You must deposit at least $1,000 to open the account to earn this APY. There is no maintenance fee, but there is an early withdrawal penalty of 90 days worth of interest.

Basque Bank offers one-year CDOs with 5.00% APY. That account requires the same $1,000 minimum initial deposit.

CIT Bank: 5.00% APY (6 months tenure)

CIT Bank’s six-month CD has a 5.00% APY if you make an initial deposit of at least $1,000. It has no maintenance fee and no early withdrawal penalty of three months interest — the lowest penalty on this list

Citizen Access: 5.00% APY (1 year term)

If you have more to deposit, you can earn 5.00% APY with a one-year CD from Citizens Access. This account requires a minimum of $5,000 and no maintenance fee. Early withdrawal penalty is 90 days interest.

Synchrony Bank: 5.00% APY (6 Month Term)

Synchrony Bank’s six-month CD is a good option if you don’t have large deposits. It has no minimum balance requirement but still earns an attractive 5.00% APY Like the other CDs on this list, there are no account maintenance fees If you have to withdraw the funds before the expiry date, you will be charged a penalty of 90 days worth of interest.

Compare CD rates online now!

Bottom line

The above CDs are all great ways to take advantage of today’s high interest rates and avoid fees But, as with any financial product, you should be sure to research your options and compare them to your short-term savings goals.

One thing to consider, in particular, is the possibility that you may need to withdraw funds sooner. Some of the higher-API options on this list carry higher early withdrawal penalties, so that should be taken into account when determining the best option for you.