Best 3-month jumbo CD: Luana Savings Bank – 4.16% APY

  • Term: 3 months
  • Minimum deposit: $100,000
  • Early withdrawal penalty: 3 months of interest
  • Overview: Luana Savings Bank was founded in 1908 in northeastern Iowa, and in addition to operating six Iowa branches, it serves nationwide customers online. Luana was founded in 1908 and is headquartered in Luana, Iowa.
  • Rate verified as of Oct. 18, 2024

Best 6-month jumbo CD: Veridian Credit Union – 5.00% APY

  • Term (months): 9
  • Minimum deposit: $100,000
  • Early withdrawal penalty: 3 months of interest
  • Overview: Membership is available to anyone nationwide who donates $5 to Habitat for Humanity. Veridian was founded in 1934 and is headquartered in Iowa.
  • Rate verified as of Oct. 18, 2024

Best 1-year jumbo CD: Quorum Federal Credit Union – 4.85% APY

  • Term (months): 11
  • Minimum deposit: $100,000
  • Early withdrawal penalty: 3 months of interest
  • Overview: Anyone can join Quorum by signing up for a free membership in the nonprofit American Consumer Council and keeping at least $5 in a savings account. Quorum FCU was founded in 1934 and is headquartered in New Jersey.
  • Rate verified as of Oct. 18, 2024

Best 18-month jumbo CD: State Department Federal Credit Union – 4.73% APY

  • Term (months): 15
  • Minimum deposit: $100,000
  • Early withdrawal penalty: All earned interest up to 6 months
  • Overview: Anyone is eligible for membership with SDFCU by joining the nonprofit American Consumer Council. SDFCU was chartered in 1935 and is headquartered in Alexandria, Virginia.
  • Rate verified as of Oct. 18, 2024

Best 2-year jumbo CD: Connexus Credit Union – 4.58% APY

  • Term: 24 months
  • Minimum deposit: $100,000
  • Early withdrawal penalty: 6 months of interest
  • Membership: Anyone can join the credit union by donating $5 to the Connexus Association and holding $5 or more in a savings account. Headquartered in Wasau, Wisconsin, Connexus was established in 1935.
  • Rate verified as of Oct. 18, 2024

Best 3-year jumbo CD: EFCU Financial – 4.35% APY

  • Term (months): 30
  • Minimum deposit: $100,000
  • Early withdrawal penalty: 6 months of interest
  • Membership: Anyone can join EFCU by making a donation of any amount to the EFCU Financial Foundation and keeping at least $5 in a member savings account.
  • Rate verified as of Oct. 18, 2024

Best 4-year jumbo CD: State Department Federal Credit Union – 4.11% APY

  • Term: 48 months
  • Minimum deposit: $100,000
  • Early withdrawal penalty: All earned interest up to 6 months
  • Overview: Anyone is eligible for membership with SDFCU by joining the nonprofit American Consumer Council. SDFCU was chartered in 1935 and is headquartered in Alexandria, Virginia.
  • Rate verified as of Oct. 18, 2024

Best 5-year jumbo CD: State Department Federal Credit Union – 4.11% APY

  • Term (months): 60
  • Minimum deposit: $100,000
  • Early withdrawal penalty: 12 months of interest
  • Overview: Anyone is eligible for membership with SDFCU by joining the nonprofit American Consumer Council. SDFCU was chartered in 1935 and is headquartered in Alexandria, Virginia.
  • Rate verified as of Oct. 18, 2024

In the News

The Fed cut rates for the first time since 2020, reducing them by 50 basis points to a range of 4.75%–5.00% at its Sept. 18 meeting. The federal funds rate had been at a two-decade high after 11 increases from March 2022 through July 2023 in an effort to bring down inflation. Further cuts were expected, but now many believe there will be a smaller rate cut at the next Fed meeting in November thanks to the stronger jobs reports and other indicators that show the economy is humming along.123

Why You Can Trust Our Expert Recommendations on CDs

Investopedia collects thousands of CD rates from hundreds of banks and credit unions every weekday. When ranking CD rates, we look at factors like term, early withdrawal penalty, and minimum opening deposit. Investopedia launched in 1999 and has been helping readers find the best CD rates since 2019.

The CDs we recommend must be available nationwide and offered by an FDIC-insured bank or NCUA-insured credit union (which covers up to $250,000 per depositor). In addition, to be eligible for our jumbo rankings, each CD's minimum opening deposit requirement must be larger than $25,000 but not higher than $100,000. Our resulting rankings present a list of top-paying options that typically offer three to five times as much as the national average rate—sometimes even more.

Compare the Best Jumbo CD Rates

Ranked below are the top 15 or more APYs on nationally available jumbo CDs. To qualify, CDs must have a minimum deposit of at least $50,000. In the case of ties, we rank them first by the shortest available term, then by the lowest minimum deposit, and finally by the smallest early withdrawal penalty.

InstitutionRate (APY)TermMinimum DepositEarly Withdrawal Penalty
Veridian Credit Union4.85%9 months$100,0003 months of interest
Quorum Federal Credit Union4.85%11 months$100,0003 months of interest
GTE Financial4.85%12 months$100,0003 months of interest
Finworth4.80%9 months$100,0003 months of interest
All In Credit Union4.80%12 months$100,0003 months of interest
Spectrum Credit Union4.80%12 months$100,0003 months of interest
Justice Federal Credit Union4.76%6 months$100,0003 months of interest
My eBanc4.75%6 months$50,0003 months of interest
Tampa Bay Federal Credit Union4.75%12 months$100,0006 months of interest
State Department Federal Credit Union4.73%12 months & 15 months$100,000All earned interest up to 6 months
Credit One Bank4.70%6 months$100,0003 months of interest
Grow Financial Federal Credit Union4.70%6–11 months$100,0003 months of interest
Finworth4.70%12 months$50,0006 months of interest
EFCU Financial4.60%6 months & 12 months$100,0003 months of interest for 6 months & 6 months of interest for 12 months

Jump to more about Jumbo CDs

How Do Jumbo CDs Work?

Jumbo CDs work essentially the same as standard certificates of deposit. You agree to make a lump-sum deposit into the CD and keep it there for your chosen term of maturity, and in exchange, the bank or credit union promises the annual percentage yield (APY) they will pay you for the life of the CD.

The only difference between a standard CD and a jumbo certificate is the amount you need to put in. Typically, jumbo CDs require a minimum deposit of $100,000, though some banks and credit unions offer jumbo certificates with minimum deposits as low as $50,000. And while many institutions will pay a slightly higher interest rate on jumbo CDs, it's not universally true. So if you can find a better rate on a standard certificate, you can opt to simply put a jumbo-sized deposit in it.

Also like standard certificates, jumbo CDs will carry an early withdrawal penalty, should you cash in the certificate before its maturity date. Be sure to review the terms of the penalty policy before finalizing any type of CD, as the penalties vary widely across institutions.

Pros and Cons of a Jumbo CD

Pros

  • May pay a higher APY than standard CDs

  • Pays a rate guaranteed not to change

  • Offers entirely predictable earnings

  • Is virtually risk-free when opened at a federally insured institution

  • Allows a single investment for one large lump sum

Cons

  • Requires a very large deposit

  • Locks up your money until maturity

  • Incurs a penalty if withdrawn early

  • May offer a lower rate of return than other options

 

Always carefully review a CD's terms as provided by the bank or credit union before signing paperwork and funding the account. In particular, be sure you've reviewed the institution's early withdrawal penalty and are comfortable with it. If it seems overly harsh, such as possibly eating away at your principal investment, you should consider opening a similar CD at another institution that has a more reasonable policy.

How to Find the Best Jumbo CD Rates

Finding the best certificate of deposit for your financial needs will involve these steps:

  1. Decide your deposit amount - Determine how much you'd like to deposit in one or more CDs. To qualify for most jumbo certificates, you'll need at least $100,000—though occasionally you'll find a certificate available for a minimum $50,000 deposit.
  2. Consider when you'll need the money - Think through your financial timeline, and how long you can afford to keep this money tied up. Thought it's not impossible to get your money out of a CD early, you'll be hit with a penalty if you do so. That means the best way to maximize your return is to keep the CD intact until it matures. Also smart is keeping some cash in reserve in a top-paying high-yield savings account.
  3. Shop around - Research the best-paying options by reviewing our daily ranking of the best jumbo CD rates. But because standard CDs sometimes pay just as much, or even better, review our ranking of the best standard CD rates as well.
  4. Review the fine print - Once you've found a CD with a rate, term, and minimum deposit that meets your needs, do your homework on what that institution's policy is on an early withdrawal penalty. If you have two or three CDs on a short list, with similar returns, consider going with the CD that has a milder policy.
  5. Decide on your number of certificates - If you'll be depositing more than $100,000 in a CD, consider splitting your deposit among more than one certificate. That way you can choose different terms to stagger your commitment. Or you can open more than one of the same CD, so that if you need to cash out early, you can perhaps withdraw from only one of the CDs early, while keeping the other(s) until maturity.

Know the Early Withdrawal Penalty Before Opening a CD

Early withdrawal penalties most commonly take the form of a number of months of forfeited interest. For instance, if you have a 1-year CD, the early withdrawal penalty may be six months of interest. You won't have to pay this penalty out of pocket, but rather, it will be deducted from the interest you earned on the CD, reducing your payout.

Early withdrawal penalties vary widely across institutions. Some are quite mild, most are moderate, and some are extremely harsh, such as those that can eat into the principal of your initial deposit amount. If a CD you're considering has a penalty policy that seems especially onerous, consider opening a similar CD at another institution that has a more reasonable policy.

Fast Fact

When asked in September where they are investing their money, 13% of Investopedia readers said they are putting more into CDs, behind ETFs, individual stocks, index funds, and money market funds.

Alternatives to a Jumbo CD

For investors whose primary concern is preserving their principal, CDs are one of several options you can weigh. And jumbo CDs can make sense when you have a large amount of cash to invest in this way. But some of the alternatives may suit your goals better.

  • Standard (Non-Jumbo) CDs: As we've mentioned, just because a CD requires a jumbo-sized deposit doesn't mean it pays a jumbo-sized rate. In fact, it's commonly true that you can earn a higher annual percentage yield (APY) by opening a standard CD and simply putting a large deposit into it as the vast majority of CDs have a very maximum investment limit (such as $250,000 or $1 million).
  • Savings and Money Market Accounts: If you want more flexibility with your money, you could instead put your funds into one of the best high-yield savings accounts or best money market accounts. That would allow you to withdraw and deposit your funds more or less anytime you want. The disadvantage, however, is that rates on these accounts are variable. That means they can go down at any time, unlike a CD rate that is fixed for the entire term.
  • U.S. Treasuries: Various types of bonds are also possibilities for your cash savings. Some, like U.S. Treasury savings bonds and Treasury notes, are very similar to CDs in that the rate is typically predictable if you hold the bond until maturity. They are also backed by the federal government, so like CDs, they are exceptionally safe.
  • I Bond: U.S. Treasury I bonds are another option. However, their fixed rate is only known for six months at a time, with the rate being adjusted twice a year based on the current inflation rate (hence the name I bonds). Like a CD, I bonds have an early withdrawal penalty, but it's a mild three months' worth of interest. But unlike a CD, you cannot for any reason cash in an I bond during its first 12 months.4
  • Bond funds: To potentially earn a little more on your investment than a CD can provide, diversified bond funds are another idea. Of course, there's always a risk that bond returns could be negative from one year to the next, so the longer your time horizon, the less risky an investment in bonds would be. If you're considering a relatively short CD term instead, like 1 to 2 years, or even less, then bonds represent a much riskier option than a CD, with no guarantee of delivering a return.5
  • Equities: If you know you won't need your funds for many years, you could consider investing in stocks instead. The upside is that you could potentially earn quite a bit more in the stock market than with a fixed CD rate. However, the significant downside is that you can always lose money on equities, including scenarios where you lose most of your investment. So while CDs won't return as much as stocks that are doing well, on the flip side, CDs are guaranteed to grow with no risk of losing your initial principal.

Frequently Asked Questions

  • What Is a Jumbo CD?

  • What Is the Advantage of a Jumbo CD?

  • Are Jumbo CDs Safe?

  • Who Has the Highest-Paying Jumbo CD Right Now?

  • What If I Need to Withdraw Before My Jumbo CD Reaches Maturity?

  • What Is the Difference Between Regular, Jumbo, and IRA CDs?

  • Are Jumbo CDs Negotiable?

  • Are Jumbo CDs Worth It?

  • Financial Institutions We Review

How We Find the Best Jumbo CD Rates

Every business day, Investopedia tracks the rate data of more than 70 banks and credit unions that offer jumbo CDs to customers nationwide, and determines daily rankings of the top-paying certificates in every major term. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), the CD's minimum initial deposit must not exceed $25,000, and any specified maximum deposit cannot be under $5,000.

Banks must be available in at least 40 states. And while some credit unions require you to donate to a specific charity or association to become a member if you don't meet other eligibility criteria (e.g., you don't live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.

Learn More About CDs

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