The Best 5-Year CDs — Earn Up to 4.60%

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With interest rates and inflation creating uncertainty for savers, finding a safe place to grow your money can offer some welcome peace of mind. A five-year certificate of deposit (CD) lets you lock in a fixed rate of return, protecting your earnings from potential interest rate cuts over the next five years.

Unlike traditional savings accounts, where rates can change at any time, a five-year CD offers predictable returns. That can make it an attractive option if you have money you won't need to access anytime soon and want to earn interest without taking on market risk.

But not all CDs offer the same returns. Here's where to find some of the best five-year CD rates available today and how much you could earn by locking in your savings.

Top 5-year CD rates

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Account	APY	Min. Deposit
Bread Savings	4.60%	$1,500
America First Credit Union	4.50%	$500
Sallie Mae	4.50%	$2,500
Marcus by Goldman Sachs	4.40%	$500

Why open a 5-year CD?

The number five in green on a white card surrounded by green leaves.

One of the biggest advantages of a five-year CD is predictability. Unlike a traditional savings account, where interest rates can change at any time, a CD allows you to lock in a fixed APY for the entire term. That means you'll know how much interest your money will earn, regardless of where rates go next.

This can be especially valuable when the Federal Reserve cuts interest rates. Banks often respond by lowering the APYs on savings accounts and CDs. But if you've already locked in a five-year CD, your rate won't change, even if rates fall.

The trade-off is accessibility. Because early withdrawals typically come with penalties, a five-year CD works best for money you're confident you won't need during that time.

Pros and cons of a 5-year CD

Pros:

CDs offer guaranteed returns on deposits
Fixed rates on CDs mean that even if rates fall, the APY on your account will remain the same
Most CD accounts from banks and credit unions are federally insured for up to $250,000
Since you can only withdraw funds when your CD account matures, you won't be tempted to spend your money elsewhere

Cons:

If you want to access your money before your term expires, the penalty fee might negate the interest you earn.
If inflation rises faster than your CD's interest rate, your money could lose purchasing power over the five-year term.
Other investments may offer higher returns, although they typically come with greater risk.

How much can I earn with a 5-year CD?

I'll use our top pick, Bread Savings, for this example. It currently offers an APY of 4.60%. Here's how much you can earn with the following deposits over five years:

$10,000: $2,521.56 in earned interest
$25,000: $6,303.90 in earned interest
$50,000: $12,607.80 in earned interest
$100,000: $25,215.60 in earned interest

A tip: If you have $50,000 or more you're looking to save, consider a jumbo CD instead. They offer APYs as high as 4.60% with shorter maturity periods, so if you're on the fence about locking up your money for five years, this is a smart alternative.

A five-year CD can offer peace of mind by locking in a predictable rate of return without exposing your savings to market volatility. While your money can grow steadily over time, it's important to consider how a long-term CD fits into your broader financial goals, especially if you might need access to those funds before maturity.

If you're unsure whether locking up your money for five years is the right move, a financial adviser can help you weigh your options and build a savings strategy that balances growth, security and flexibility.

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Sean is a veteran personal finance writer, with over 10 years of experience. He's written finance guides on insurance, savings, travel and more for CNET, Bankrate and GOBankingRates.