7 Best 1-Year CD Rate With No Penalty
1. Quontic Bank 1-Year CD (5.30% APY)
Quontic Bank operates entirely online which is one of the reasons they can offer a very competitive rate on CDs. Withdrawals before the CD maturity date are subject to penalties. Interest is compounded daily and credited to your account monthly. Quontic Bank's commitment to sustainable banking and innovative products make it an appealing option for those looking for a modern banking experience.
Pros
- $500 minimum deposit to open.
- Once the maturity date arrives, you have the option of cashing out or automatically renewing the CDs for another term.
- You may withdraw the total balance and interest earned, without penalty, beginning seven days after funds have been received for your CD.
- Robust digital banking portal that allows customers to easily carry out all their banking activities online.
- Daily compounding interest to maximize your earning potential.
- FDIC insured.
Cons
- Requires a $500 minimum deposit that might make this bank’s CDs out of reach for some.
- Only branch location in New York but available online in 50 states.
2. Idabel National Bank (4.40% APY)
Idabel National Bank is a community bank based in Idabel, Oklahoma that offers a variety of financial products and services, including competitive rate certificates of deposit. The bank was founded in 1921 and has always operated as an independent, locally own institution. The CD is offered through the Raisin platform.*
Pros
- $1 minimum deposit to open.
- Earn 4.40% APY.
- Withdrawals made before maturity are subject to a fee equal to three (3) months' interest.
- The term automatically renews at maturity unless you choose to cash-out and close your Certificate.
- FDIC Insured up to $250,000.
Cons
- Only branch locations in Oklahoma but available online in 50 states.
3. Blue Federal Credit Union – 9-Month CD (5.10% APY)
Blue Federal Credit Union is based in Wyoming with a history dating back to 1951. This credit union provides a range of services, including personal and business banking along with mortgage, student, auto and personal loans. The CD is offered through the Raisin platform.*
Pros
- $1 minimum deposit to open.
- Earn 5.10% APY.
- Excellent rates with NO fees.
- The term automatically renews at maturity unless you choose to cash-out and close your Certificate.
- NCUA Insured up to $250,000.
Cons
- Only branch locations in Wyoming but available online in 50 states.
4. CIT Bank No-Penalty CD (3.50% APY)
With a CIT Bank No-Penalty CD, you get the security of an 11-month CD plus know you can withdraw the total balance and interest earned without penalty. The No-Penalty CD kicks into full effect 7 days after your deposit is made. That means you can access your funds, if needed, so long as it’s seven days after they’ve been received.
Pros
- $1,000 minimum deposit to open.
- A fixed-rate CD lets you lock in a guaranteed rate throughout the 11-month term plus get access to your funds when you need them.
- You may withdraw the total balance and interest earned, without penalty, beginning seven days after funds have been received for your CD.
- Earn a higher rate than the interest rate on regular savings accounts.
- Daily compounding interest to maximize your earning potential.
- FDIC insured.
Cons
- Requires a $1,000 minimum deposit that might make this bank’s CDs out of reach for some.
- Only available online, no physical locations.
5. Nationwide Bank 1-Year CD (4.75% APY)
Nationwide Bank is a subsidiary of a larger financial services group that offers a range of products, including life insurance. Nationwide CDs are competitive and compare well to the best CD rates but unlike traditional banks, Nationwide does not have physical branches. All banking is conducted online along with telephone customer service access to live representatives.
Pros
- $500 minimum deposit to open.
- Earn 4.75% APY*.
- CDs automatically renew with a full 10-day grace period.
- Overview of your financial health in online banking.
- Account can be funded via wires or check.
- FDIC Insured up to $250,000.
Cons
- Requires a $500 minimum deposit that might make this bank’s CDs out of reach for some.
- Only available online, no physical locations.
6. Sallie Mae Bank 10-Month No-Penalty CD (4.70% APY)
Sallie Mae Bank offers a range of financial products with some of the highest rates on CDs. Sallie Mae primarily known for student loans but in 2004 it became a publicly traded consumer bank. Sallie Mae Bank's No-Penalty CDs may be a good option for customers who want to earn a competitive fixed interest rate with the flexibility to access their funds if needed. The CD is offered through the Raisin platform.*
Pros
- $1 minimum deposit to open.
- Earn 4.70% APY.
- No Fees.
- No penalty. Withdrawals may be made 30 days after opening.
- FDIC Insured up to $250,000.
Cons
- Customers must have another bank to fund Sallie Mae accounts.
- To access the money in your Sallie Mae account, you will have to transfer it to your external account first.
7. First Mid Bank & Trust 12-Month No-Penalty CD (4.82% APY)
First Mid Bank & Trust offers a wide range of financial products with some of the highest rates on CDs. The bank has over 150 years of experience with a reputation as a full-service financial institution. First Mid Bank & Trust's No-Penalty CDs may be a good option for customers who want to earn a competitive fixed interest rate with the flexibility to access their funds if needed. The CD is offered through the Raisin platform.*
Pros
- $1 minimum deposit to open.
- Earn 4.82% APY.
- No Fees.
- No penalty. Withdrawals may be made 30 days after opening.
- FDIC Insured up to $250,000.
Cons
- Customers must have another bank to fund the CD account.
*Disclaimer
Raisin partners with a variety of banks and credit unions to offer above-average There’s no monthly maintenance fee for CD accounts when you open it through the Raisin platform.
You always have access to your account through the Raisin website. You can log in, schedule a deposit from a linked bank account or transfer money out to a different bank.
You’ll need to create a Raisin user login with your email address and password. You’ll also need to tell Raisin your first and last name.
From there, you can select the account you want to open. You’ll need to tell Raisin the following:
- Your address
- Date of birth
- Social Security number
- Preferred minimum deposit (There is a $1 Minimum Deposit required.)
- You’ll need your banking information to link an account to make your initial deposit.
Once your account is open, you can manage it online through the Raisin website.