The Best 6-Month CD Rates

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Is a 6-month CD right for you?

Conservative investors know that 6 month CDs offer some of the best opportunities to secure a higher interest rate than a typical savings account might offer, while maintaining access to your money in the short term.

Here’s a rundown of the financial institutions offering the best 6 month CD rates.

Best 6-month CDs

Bank/Institution

APY

Min to earn APY

Banesco USA

6 Month CD

APY

0.50%

Min to earn APY

$1,500

Apply Now

on Banesco USA's secure site

NexBank

6 Month CD

APY

0.50%

Min to earn APY

$10,000

Apply Now

on NexBank's secure site

M.Y. Safra Bank

6 Month MYSB Direct Online CD

APY

0.45%

Min to earn APY

$1,000

Apply Now

on M.Y. Safra Bank's secure site

How we chose the best 6 month CDs

We used data from DepositAccounts.com to compare CD rates by annual percentage yield (APY). We excluded institutions with a health rating below a B, as well as credit unions with very restrictive membership requirements.

From there, we chose the 10 CDs with the highest APY. If two CDs had the same APY, we broke the tie by choosing the one with the lower minimum deposit (we consider that a better choice, since it will be available to more people).

All products discussed on this page are insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Administration (NCUA).

When to consider investing in a 6 month CD

Six-month CDs can be a strong investment option for someone who wants to make more interest than is typically offered through a savings account, but still needs access to the funds in the near term.

Older individuals who are about to retire could use a 6 month CD as part of their IRA investment strategy, as it provides a safe, short-term investment that will maintain the tax benefits of the IRA, but allow access to the money shortly after retirement.

When to consider other CD options

In general, the longer the term on your CD, the higher the interest rate. If you don’t need access to your investment funds, then a long-term investment of up to five years will provide you with a higher APY.

However, in a rising rate environment, shorter-term CDs offer you the opportunity to take advantage of higher rates on your CDs when rates rise. In those instances, it may be better to go with a 3 month CD, then reinvest in a long-term CD after rates go up.

How to maximize your return on a six-month CD

CD laddering, as our subsidiary MagnifyMoney explains, is a great strategy to allow you to have frequent access to your money for reinvestment while still using long-term CDs as an investment strategy. If you have $1,000 to invest, it may look something like this:

  • Three-month CD: $250

  • Six-month CD: $250

  • Nine-month CD: $250

  • 12-month CD: $250

When the CDs come to maturity, you could continue to reinvest at the current term or go with a longer term, for example, one year. Because of the staggered start times, you’ll have CDs coming to maturity every three months. You’ll usually earn higher rates from your longer-term CDs. However, you’ll still have frequent access to your funds as they mature in your shorter-term investments.