Today’s rising interest rates are great news for savers. And if you have some time on your hands, you can maximize your earnings by putting your money in a certificate of deposit (CD). These accounts tend to pay higher returns than traditional savings accounts while protecting your funds from market risk.
Not sure where to start? We partnered with Curinos, a leading provider of banking data and insights. More than 20,000 data points were analyzed to uncover the best CD rates in Florida. (Note that we haven’t analyzed every provider and our rankings are based solely on APY.)
Best CD rates in Florida overall
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Your search for the best CD rates doesn’t have to be limited to Florida financial institutions. The following CD accounts promise competitive rates and low minimum deposit requirements, no matter where you’re located.
Best CD rates in Florida by term
Looking for the top CD rates available in Florida? We analyzed Curinos data to identify the best rates by term length, including 6-month, 1-year, and 5-year CDs.
To qualify to open an account, you may need to meet specific requirements as indicated in the “Notes” column. However, keep in mind that the notes field may be blank for some entries. We recommend contacting the financial institution directly for the most up-to-date account information and requirements.
Best 6-month CD rates in Florida
If you want to earn a competitive rate on your savings, but don’t want to lock up your money for an extended period, a 6-month CD may be your best option. In just a few months, you can help your money grow with an impressive fixed interest rate that’s guaranteed for the entire term.
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Best 1-year CD rates in Florida
For savers with more time on their hands, a 1-year CD could offer higher rates than shorter-term options. You don’t have to commit to keeping your money on deposit for several years in order to earn a great return.
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Best 5-year CD rates in Florida
For those who are working toward a long-term savings goal and want to lock in today’s outstanding rates, a 5-year CD may be the solution. You can rest assured that you’re earning a competitive rate on your savings without any risk to the principal.
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What is a certificate of deposit?
A certificate of deposit is a type of time deposit account offered by banks and credit unions. CDs often offer higher interest rates than what you’d get with a traditional savings account in exchange for keeping your funds on deposit for a set period of time. This time period can range from a few months to several years. CDs also provide a fixed interest rate, meaning the rate stays the same throughout the term.
When you put your money in a CD, you agree to leave your funds untouched until the term expires, known as the maturity date. Withdrawing funds before this date usually results in a penalty, which varies depending on the institution and the length of the CD term. Once your CD matures, you can withdraw your initial deposit along with the accrued interest. Often, you can also opt to roll it over into a new CD at the current market rate.
What does APY mean on a CD?
APY stands for “Annual Percentage Yield,” and it's a key term when it comes to understanding interest earned on a CD. The APY represents the total amount of interest that a CD will earn in one year, expressed as a percentage of the initial deposit. It differs from the simple interest rate because it takes into account the effects of compound interest.
What are the most common types of CDs?
There are several types of CDs, which cater to different investment strategies and preferences. If you’re shopping around for a CD, consider these different options:
- Traditional CD: This is essentially a standard CD.
- No-Penalty CD: Also known as a liquid CD, these CDs allow you to withdraw your funds before the maturity date without paying a penalty. The trade-off is usually a lower interest rate compared to traditional CDs.
- Bump-up CD: This type of CD allows you to take advantage of rising interest rates, with the option to “bump up” your interest rate to a higher one if the market rates increase during the term.
- Jumbo CD: This type of CD requires a significantly larger minimum deposit, often $100,000 or more. Jumbo CDs typically offer a higher interest rate than standard CDs due to the larger deposit amount.
- Brokered CD: These are sold through brokerage firms. Brokered CDs can be traded on a secondary market and their value can fluctuate, making them more complex and potentially riskier.
- Callable CD: These CDs come with a higher interest rate, but give the issuing bank the right to "call" or buy back the CD after a certain period (typically, if interest rates fall). This means you might have to reinvest your money at a lower rate.
How to choose the best CD in Florida
There are more than 90 FDIC-regulated banks in Florida and 130 NCUA-regulated credit unions. Here’s how to choose the right one for your needs:
- Term: The duration of your CD, known as the term length, indicates the time it will take for the CD to reach maturity. CD terms vary, ranging from a few weeks to several years, so it's important to select a term that fits your financial goals and needs.
- Annual percentage yield: Your CD’s APY plays a big part in the growth of your savings. A higher APY means greater potential earnings from interest.
- Minimum deposit requirement: Most financial institutions set a required minimum deposit for opening a CD, which can be as low as a few dollars or as high as several thousand dollars. Make sure you have enough funds to fulfill the minimum deposit needed to open a particular account.
- Penalties: In most cases, banks and credit unions impose a penalty for withdrawing funds from your CD before the maturity date. Even though you might not anticipate withdrawing early, it's a good idea to be aware of any potential penalties in case you need to access your funds before the term is up.
- Deposit protection: The FDIC and NCUA safeguard deposits at banks and credit unions, respectively, up to $250,000 per person in the event of a failure. Confirm that your account is covered by this insurance to ensure your funds are protected in case the institution fails.
