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The national average APY (Annual Percentage Yield) on a 2-year CD is 1.50% APY. However, the best CD rate on a 2-year CD is 5.65% APY available at Gulf Coast Federal Credit Union through a limited-time special.
Rising Bank 2 Year CD
Start saving
Annual Percentage Yield (APY)
5.30%
Minimum Deposit Amount
$1,000
- Competitive APY
- Standard early withdrawal penalties
- $1,000 minimum opening deposit
- Limited CD terms
Product Details
- Terms range from 6 months to 3 years
- Early withdrawal penalties: For 6-month and 1-year terms, the early withdrawal penalty is 90 days of interest on the amount withdrawn; For terms 15 months or longer, the early withdrawal penalty is 180 days’ interest
- Interest compounded and deposited every three months
- Member FDIC
We check rates daily to find the best rates for 2-year terms. Read below for our top picks for 2-year CDs.
The Best 2-Year CDs
Market Leader
Gulf Coast Federal Credit Union 2 Year Share Certificate Special: 5.65% APY
You must qualify for membership to open a Gulf Coast Federal Credit Union share certificate. Membership is open to anyone who lives in lives, works, worships, or goes to school in Nueces, San Patricio, or Jim Well Counties in Texas. You may also be eligible for membership if you have an immediate family member who is a member.
Top CD Rates
These are our picks for the best 2-year CD rates. Our top picks for CDs are protected by FDIC or NCUA insurance. Although Silicon Valley Bank, Signature Bank, and First Republic Bank have recently been shut down, keep in mind money is safe at a federally insured financial institution. When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account.
Compare the Best 2-Year CDs
Gulf Coast Federal Credit Union 2 Year Share Certificate Special
Annual Percentage Yield (APY)
5.65%
Minimum Deposit Amount
$500
- $500 minimum opening deposit
- High interest rates
- No term lengths over 3 years
- Interest compounded monthly, not daily
- Must contact your branch for information about early withdrawal penalties
Product Details
- Hispanic American-led credit union with 4 branches in Texas (Corpus Christi, Alice, and Portland)
- Become a member by paying a one-time $2.50 membership fee and opening a savings account with $5
- Terms range from 6 months to 3 years
- Interest compounded monthly, paid monthly
Newtek Bank 2 Year CD
Annual Percentage Yield (APY)
5.60%
Minimum Deposit Amount
$2,500
- High interest rate
- Variety of CD terms
- Standard early withdrawal penalties
- $2,500 minimum opening deposit
Product Details
- Early withdrawal penalties: For terms between 30 days and less the 1 year, the penalty is 90 days of simple interest; for terms of 1 year or more, the penalty is 180 days of simple interest
- Interest is compounded daily and deposited monthly
- FDIC insured
Rising Bank 2 Year CD
Start saving
Annual Percentage Yield (APY)
5.30%
Minimum Deposit Amount
$1,000
- Competitive APY
- Standard early withdrawal penalties
- $1,000 minimum opening deposit
- Limited CD terms
Product Details
- Terms range from 6 months to 3 years
- Early withdrawal penalties: For 6-month and 1-year terms, the early withdrawal penalty is 90 days of interest on the amount withdrawn; For terms 15 months or longer, the early withdrawal penalty is 180 days’ interest
- Interest compounded and deposited every three months
- Member FDIC
Pelican State Credit Union 2 Year Share Certificate
Annual Percentage Yield (APY)
5.27%
Minimum Deposit Amount
$500
- Low minimum opening deposit
- High interest rate
- Steep early withdrawal penalties
- Interest compounded monthly, not daily
Product Details
- 18 locations in Louisiana
- To join Pelican State Credit Union, you are an employee or retiree of a credit union partner; live in Rapise, St. Landry, or St. Tammany Parish; are a credit union employee or become a member of ARC Baton Rouge, the Parents Association of Northwest Support and Services or Pinecrest Parents Assoication
- Early withdrawal penalties: 180 days of interest for terms of one year or less; 270 days of interest for terms between 13 months to 36 months; 365 days of interest for terms between 37 months
- Interest compounded and deposited monthly
- Federally insured by the NCUA
Signature Federal Credit Union 2 Year Certificate
Annual Percentage Yield (APY)
5.25%
Minimum Deposit Amount
$500
- Competitive APY
- $500 opening deposit
- High early withdrawal penalties
- Interest compounded monthly, not daily
- No terms over 5 years
Product Details
- Become a Signature FCU member by depositing $5 in a Signature savings account
- Terms ranging from 3 months to 5 years
- 45 days to 900 days interest early withdrawal penalty
- Interest compounded monthly and paid monthly
United States Senate Federal Credit Union 2 Year Smart Share Certificate
Start saving
Annual Percentage Yield (APY)
5.18%
Minimum Deposit Amount
$1,000
- High interest rate
- Standard early withdrawal penalties
- $1,000 minimum opening deposit
Product Details
- Locations in Alexandria, Virginia and Washington, DC
- To join USSFCU, you must work for a Select Employee Group; have a family member that’s a current member; become a member of the U.S. Capital Historical Society or the American Consumer Council
- All members have to pay a one-time $1 membership fee
- Early withdrawal penalties: 90 days of interest for terms of 1 year or less; 120 days of interest for terms greater than 2 years and up to 3 years; 360 days of interest for terms greater than 3 years
- Earn higher interest rates with a higher account balance (Tiers: $100,000 and $200,000)
- Interest compounded and deposited monthly
- Federally insured by the NCUA
Bread Savings 2 Year High-Yield CD
Annual Percentage Yield (APY)
5.15%
Minimum Deposit Amount
$1,500
- Competitive APY
- Standard early withdrawal penalties
- $1,500 minimum opening deposit
- Limited term options
Product Details
- CD terms range from 1 year to 5 years
- Early withdrawal penalty: 180 days simple interest for terms between 1 year and 3 years; 365 days simple interest for terms between 4 years and 5 years
- Interest compounded daily, paid monthly
- FDIC Insured
Popular Direct 2 Year CD
Annual Percentage Yield (APY)
5.10%
Minimum Deposit Amount
$10,000
- Competitive rates for certain term lengths
- Compounds interest daily
- $10,000 minimum deposit
- Standard-to-high early withdrawal penalties
Product Details
- Terms ranging from 3 months to 5 years
- Early withdrawal penalties: 89 days simple interest for terms under 91 days; 120 days simple interest for terms of 91 days to less than 12 months; 270 days simple interest for terms of 12 months to less than 36 months; 365 days simple interest for terms of 36 months to less than 60 months; 730 days simple interest for terms of 60 months or more
- Interest compounded daily, paid monthly
- FDIC insured
Connexus Credit Union 2 Year Share Certificate
Annual Percentage Yield (APY)
5.01%
Minimum Deposit Amount
$5,000
- Competitive APY
- Easy to become a Connexus Credit Union member
- $5,000 opening deposit
- No term lengths under 1 year or over 5 years
- Standard-to-high early withdrawal penalties
- Interest is compounded quarterly, not daily or monthly
Product Details
- Term lengths ranging from 1 to 5 years
- 90 days dividends early withdrawal penalty for 1-year CDs; 180 days dividends penalty for 2-year, 3-year, 4-year CDs; 365 days dividends penalty for 5-year CDs
- Interest is compounded quarterly and paid quarterly
- Federally insured by the NCUA
Barclays 2 Year Online CD
Annual Percentage Yield (APY)
5.00%
Minimum Deposit Amount
$0
- No minimum deposit
- High interest rate
- Low-to-standard early withdrawal penalties
- Low mobile app ratings in the Apple store
Product Details
- Terms range from 3 months to 5 years
- Early withdrawal penalties are as follows: 90 days interest for terms of 24 months or less, 180 days interest for terms of more than 24 months
- Interest compounds daily to maximize earnings
- FDIC insured
Crescent Bank 2 Year CD
Annual Percentage Yield (APY)
5.00%
Minimum Deposit Amount
$1,000
- High interest rate
- Standard CD terms
- Standard early withdrawal penalties
- $1,000 minimum opening deposit
Product Details
- 3 branches in Louisiana
- Terms range from 12 months to 5 years
- Early withdrawal penalties: 90 days interest for a 1-year CD term; 180 days interest for all other CD terms
- Interest compounded and deposited monthly
- Member FDIC
2-Year CD FAQs
Gulf Coast Federal Credit Union has the highest-paying 2-year CD right now. A 2-year CD special at the credit union pays 5.65% APY.
A 2-year CD may be worthwhile if you have a specific savings goal with a timeframe of 2 years and you do not need immediate access to your money. Some 2-year CD rates are above 5% APY. Keep in mind that traditional CDs and variable-rate CDs do not allow additional deposits and involve a penalty if you take out any money before a CD term ends.
A 2-year traditional CD is a savings vehicle offered by banks and credit unions that typically pays a fixed rate over time. You cannot access your money before the 24 months is up without paying a penalty. You have the option to renew your CD at the end of the 2-year period, or close the account and pocket the money.
The best CD term length will likely depend on how soon you plan to need the money and which term pays the highest rate. A shorter term gives you the opportunity to get a better APY if rates are up in a year or two. On the other hand, you could avoid lower rates with a 3-year or 5-year term if rates drop later. Many experts recommend CD laddering, which involves opening multiple CDs with different term lengths to take advantage of higher rates with longer terms, but also access some of your money earlier.
You may prefer a money market account over a 2-year CD if you want quick access to your money. With a CD, withdrawing money before the term ends means you’ll usually face an early withdrawal penalty. Money market accounts do not have early withdrawal penalties, but many banks require higher deposits for money market accounts than CDs. Remember that you can add more funds to your money market account over time, while a CD typically only allows an opening deposit.
2-Year CD Reviews
Choosing a CD term will likely depend on the timeline of your goals. A 2-year CD might be a good choice if you can keep money in an account for at least two years. If you’re also interested in other CD terms, check out our overall best CD rates guide.
Gulf Coast Federal Credit Union 2 Year Share Certificate Special
The Gulf Coast Federal Credit Union Share Certificate Special offers the highest 2-year CD rate on our list. The 2-year term specifically requires new deposits to obtain 5.65% APY. You also may like this option if you prioritize banking with a local financial institution.
Membership is open to anyone who lives in lives, works, worships, or goes to school in Nueces, San Patricio, or Jim Well Counties in Texas. You may also be eligible for membership if you have an immediate family member who is a member.
APY for 2-year CD: 5.65%APY
2-year CD early withdrawal penalty: Must contact your nearest branch for information about early withdrawal penalties
Gulf Coast Federal Credit Union Review
Newtek Bank 2 Year CD
Newtek Bank CDs might be a good option if you’re looking for a variety of terms with high interest rates. The 2-year term has the highest rate at the online bank.
Newtek Bank also has a 24-month variable rate CD offering 5.66% variable APY right now. With a variable-rate CD, your monthly interest rate may go up or down monthly according to market conditions.
The CD requires a minimum opening deposit of $2,500.
APY for 2-year CD: 5.60% APY
2-year CD early withdrawal penalty: 180 days of interest
Rising Bank 2 Year CD
The Rising Bank 2 Year CD is a great choice if you’d like to get short-term CDs. The bank’s 2-year term pays a great rate, and it’s also featured in our best 1-year CD rates guide. You also might like this institution if you are searching for a CD with reasonable early withdrawal penalties.
Rising Bank compounds and deposits interest every three months. Other financial institutions may compound interest daily. Depending on how much money you plan to deposit into your account, this could potentially make a significant difference.
APY for 2-year CD: 5.30% APY
2-year CD early withdrawal penalty: 180 days of interest
Pelican State Credit Union 2 Year Share Certificate
The Pelican State Credit Union 2 Year Share Certificate has a low minimum opening deposit of $500.
Pelican State Credit Union is a financial institution based in Louisiana, but you don’t have to live in the state to become a member and open a certificate.
Pelican State Credit Union has steep early withdrawal penalties. Also, make sure you qualify for membership at the credit union. The easiest way to join is to become a member of ARC Baton Rouge ($5 membership fee), the Parents Association of Northwest Support and Services ($5 membership fee), or the Pinecrest Parents Association ($20 membership fee).
APY for 2-year CD: 5.27% APY
2-year CD early withdrawal penalty: 270 days of interest
Signature Federal Credit Union 2 Year Certificate
The Signature Federal Credit Union Certificate has a low $500 minimum opening deposit. Signature Federal Credit Union is a solid choice if you prioritize banking with a credit union.
APY for 2-year CD: 5.25% APY
2-year CD early withdrawal penalty: 180 days of interest
What to look out for: Credit unions require membership to open an account. The easiest way to become a member is to enroll in the American Consumer Council. Then you’ll just need to open a savings account.
Signature Federal Credit Union Review
United States Senate Federal Credit Union 2 Year Smart Share Certificate
The United States Senate Federal Credit Union 2 Year Smart Share Certificate pays a high interest rate. The bank also has jumbo ($100,000 minimum opening deposit) and plus jumbo CDs ($200,000 minimum opening deposit) with even higher rates.
Although the credit union is called the United States Senate Federal Credit Union, the credit union’s eligibility requirements aren’t limited to occupation. To join USSFCU, you may work for a Select Employee Group; have a family member that’s a current member; or become a member of the United States Capital Historical Society or the American Consumer Council.
APY for 2-year CD: 5.18% APY
2-year CD early withdrawal penalty: 120 days of interest
Bread Savings 2 Year High-Yield CD
The Bread Savings 2 Year CD pays a higher CD rate than what you would earn at many brick-and-mortar banks or online banks. Bread Savings also could be a good choice if you’re looking to open a high-yield savings account as well.
The minimum opening deposit for Bread Savings CDs is $1,500, which is a bit steep compared to other institutions.
Bread Savings is also an online-only bank with a high-yield savings account and CDs. It doesn’t have a checking account or ATM network.
APY for 2-year CD: 5.15% APY
2-year CD early withdrawal penalty: 180 days of interest
Popular Direct 2 Year CD
A 2-year Popular Direct CD pays a higher interest rate than most brick-and-mortar and online banks.
Popular Direct also might be appealing if you’re looking for a high-yield savings account.
Popular Direct CDs have a $10,000 minimum opening deposit. Other financial institutions may let you open a CD with less money.
APY for 2-year CD: 5.10% APY
2-year CD early withdrawal penalty: 730 days of interest
Connexus Credit Union 2 Year Share Certificate
The Connexus Credit Union 2 Year Share Certificate pays a high interest rate. Connexus is also featured in our best 1-year CD rates guide.
Connexus Share Certificates have a $5,000 minimum opening deposit. Generally, financial institutions only require a $1,000 minimum opening deposit.
APY for 2-year CD: 5.01% APY
2-year CD early withdrawal penalty: 180 days of interest
Crescent Bank 2 Year CD
The Crescent Bank 2 Year CD offers a high interest rate. Yu can also find a variety of other terms with competitive rates.
To open the Crescent Bank, you’ll need to deposit at least $1,000 in new money. New money means funds that haven’t already been deposited into a Crescent Bank account.
Crescent Bank CDs will automatically renew at the end of each term unless you call customer service to cash out your CD.
APY for 2-year CD: 5.00%
2-year CD early withdrawal penalty: 180 days of interest
Barclays 2 Year Online CD
Barclays Online CDs may be a good choice if you prioritize an account with low early withdrawal penalties. Barclays also lets you open CDs with $0 — most financial institutions require a minimum opening deposit of $1,000 or more.
Keep in mind other financial institutions may offer higher CD rates right now.
Interest for an 18-month CD: 5.00% APY
18-month CD early withdrawal penalty: 90 days of simple interest
Other 2-Year CDs We Considered
We looked at the following 2-year CDs as well. These CDs ultimately weren’t chosen among our top picks because they may have lower rates than our winners, higher minimum opening deposits, or more substantial early withdrawal penalties.
You might find some of these options appealing though, depending on your preferences.
- Delta Community Credit Union CD: Delta Community Credit Union’s 2-year CD rate recently dropped, and now it’s lower than our top picks.
- First Internet Bank of Indiana CD: First Internet Bank of Indiana’s 2-Year CD pays 4.85% APY, but our top pick offer higher rates right now.
- CIBC Agility CD: CIBC Bank USA pays 4.75% to 4.80% APY on its 2-year term, which is less than our top options.
- Sallie Mae CD: Sallie Mae has a 2-year CD that offers 4.65% APY, but our top picks have higher interest rates right now. You’ll also need a minimum of $2,500 to open an account.
- Quorum Federal Credit Union Term Savings: Quorum Federal Credit Union pays 3.50% (on balances of $1,000 – $99,999) to 3.60% (on balances of $100,000 or more) APY. There are financial institutions with higher CD rates on 2-year terms available.
- First National Bank of America CD: First National Bank of America has a variety of CD terms and pays good rates. However, the rates on its CDs don’t compete with any of the banks on our list.
- Alliant Certificate: Alliant’s 2-year certificate pays a lower interest rate than our top picks.
- Marcus High-Yield CD: A 2-year Marcus CD is the online institution’s most appealing option, but the banks on our list stand out for their higher interest rates or lower minimum opening deposits.
- Synchrony Bank CD: Synchrony has a variety of CD terms and pays good interest rates. However, our top picks have higher interest rates for 2-year CDs.
- Capital One 360 CD: Capital One 360 might be worth considering if you’d like to open a CD with a $0 initial deposit. But, its CD rates aren’t as competitive as our top picks.
- Bask Bank CD: Bask Bank only has a few CD terms to choose from. While its CDs offer higher interest rates than the average CD, its rates aren’t as appealing as banks and credit unions on our list.
- LendingClub CD: Our top picks have lower minimum opening deposits. You’ll need at least $2,500 to open a LendingClub CD.
- Ally Raise Your Rate CD: Ally has a $0 minimum opening deposit, but some of our top picks offer higher interest rates.
- American Express CD: American Express offers a good interest rate, but our top picks offer even higher rates.
- Navy Federal Credit Union Standard Certificate: Navy Federal Credit Union has a variety of CD terms, but its 1-year CD rate isn’t as strong as the institutions we’ve chosen.
- NBKC CD: NBKC offers competitive interest rates on long-term CDs, but its short-term CDs aren’t as strong.
- Discover CD (Member FDIC): Discover has competitive interest rates on long-term CDs, but you must have at least $2,500 to get a CD.
- CIT Bank Term CD: Other institutions on our list offer higher interest rates right now.
- BrioDirect High-Yield CD: BrioDirect has a variety of CD terms, but its 1-year CD rate isn’t as strong as our top picks.
- Golden 1 Credit Union CD: Golden 1 Credit Union offers competitive rates, but you must live in California to join.
Bank Trustworthiness and BBB Ratings
We’ve compared each bank’s Better Business Bureau score. The BBB grades businesses based on factors like responses to customer complaints, honesty in advertising, and transparency about business practices. A good BBB rating doesn’t necessarily mean that your relationship with the bank will be perfect. Talk to current customers or read online customer reviews to get a more well-rounded perspective about whether the bank may be ideal for you.
Signature Federal Credit Union does not have a profile with the Bureau yet, so there are no complaints or reviews to use for evaluating the company’s business practices.
Here is each company’s score:
The Better Business Bureau gives Gulf Coast Federal Credit Union an NR (“No Rating”) grade because the BBB doesn’t have enough information to provide a rating yet.
United States Senate Federal Credit Union received an A- rating from the BBB because it has received one customer complaint on the BBB website.
Bread Savings’ partner bank has a B+ grade because the company has failed to resolve the issue behind a pattern of complaints. According to a note on the BBB website, the BBB may publish one out of every four complaints it receives as of April 23, 2023, because it has received a high volume of customer complaints.
Why You Should Trust Us: Experts’ Advice on Choosing the Best 2-Year CD
We consulted four banking and financial planning experts to inform these picks and provide their advice on finding the best place to keep your money.
Insider
Here’s their insight about CDs.
How can someone choose between all of the available banks and credit unions?
First of all, you want a bank that is FDIC-insured (or a credit union that is NCUA-insured). Then, consider your own priorities: Are you looking for an in-person banking experience? Do you need a high-tech mobile app? Do you write checks? Are you looking for a high interest rate? Will you meet the requirements to waive any monthly maintenance fees?
There are plenty of banks and credit unions that offer good rates and useful products, but the best one for you will come down to how it fits your needs.
How should you choose a term length for a CD?
When you put money in a CD, you want to have two things: a plan for how you will use that money, and a timeline for when you’ll do it. Once you know when you’ll spend it, take a look at rates for terms that are near your planned timeline, and choose the CD with the best rate.
When you can put money in high-yield savings account, money market account, or CD, how do you choose between them?
While all three options pay somewhat similar rates, the difference comes down to how you plan to interact with that money over time. If you need access to it in the next few months or years, that means you can’t use a CD (or at least not one that spans however many months or years). Money market accounts tend to offer more account accessibility — several offer paper checks, ATM cards, or debit cards — while high-yield savings accounts are a good place to leave your money alone, knowing you can access it if needed.
Methodology: How Did We Select the Best 2-Year CDs?
At Personal Finance Insider, our goal is to create helpful reviews, guides, and explainers so that you can make good decisions about your money. We recognize every person has distinct preferences, so we provide ample options to help you find the most suitable financial product or account.
First, we researched to find over two dozen banks and credit unions that offered 2-year CDs. Then, we reviewed each institution to find the most-well rounded banking options. For each account, we compared the minimum opening deposits, early withdrawal penalties, and interest rates. We also considered the overall banking experience at each bank by assessing customer support availability, mobile app ratings, and ethics.
See our full ratings methodology for certificates of deposit »
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