Savers who are on the hunt for the right account to help them grow their balances could benefit from a short-term certificate of deposit (CD). CDs are offered by most financial institutions and typically boast higher interest rates than an average savings account.
Why? Well, CDs require you to lock your money into your account for a set period of time, known as your CD term. At the end of that term, your CD will mature and you can tap into your principal balance (plus any interest earned).
CD terms can range from 3-months up to ten years, but for savers who want to test-drive a CD, we rounded up some of the best 6-month CDs. Note: Minimum deposit requirements, APYs, and other numbers in our list are up to date as of July 17, 2023, but are subject to change (read our methodology here).
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Current rates for our 10 top picks*
- Prime Alliance Bank: 5.25%
- Bank5Connect: 5.30%
- Vio Bank: 5.20%
- MYSB Direct: 5.35%
- First Internet Bank of Indiana: 5.33%
- Bask Bank: 5.25%
- Department of Commerce Federal Credit Union: 5.13%
- First Tech Federal Credit Union: 4.91%
- Rising Bank: 5.15%
- Quontic Bank: 5.05%
*Last updated July 25, 2023
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The 10 best 6-month CDs of July 2023
Here is our list of the best 6-month CDs according to Fortune RecommendsTM editors. Note: Minimum deposit requirements, APYs, and other numbers in our list are up to date as of June 29, 2023, but are subject to change.
1. Prime Alliance Bank: For savers who want the highest APY
Key numbers
Minimum opening deposit: $500
6-month APY: 5.40%
Penalty: 30 days interest on the amount withdrawn
Why we picked it
Prime Alliance Bank, headquartered in Woods Cross, Utah offers checking, savings, money market accounts and more. Customers across the nation can do their banking online or via Prime Alliance’s mobile application. This 6-month CD boasts a 5.40% APY, more than four times the national average, for a minimum deposit of $500. While Prime Alliance doesn’t offer weekend or late-night customer service, customers can still reach a representative over the phone Monday through Friday, between 8:30 a.m. and 5:00 p.m. (MST) or via email.
2. Bank5Connect: For savers who prefer a no-frills online bank
Key numbers
Minimum opening deposit: $500
6-month APY: 5.30%
Penalty: The early withdrawal penalty is equal to 3 months’ interest.
Why we picked it
Bank5 Connect is an online division of BankFive, a Massachusetts-based community that has been serving customers since 1855. The bank offers checking and savings accounts, and certificates of deposit (CDs). Bank5Connect’s 6-month CD made our list for its 5.30% APY and customer service score. For assistance, customers can reach a support specialist via telephone and live chat Monday through Wednesday from 7:30 a.m. to 5:00 p.m. ET, Thursday and Friday from 7:30 am to 7:00 p.m. ET, Saturday from 7:30 a.m. to 3:00 p.m. ET, and Sunday from 11:00 a.m. to 3:00 p.m. ET.
3. Vio Bank: For savers who want to avoid a steep early withdrawal penalty
Key numbers
Minimum opening deposit: $500
6-month APY: 5.20%
Penalty: 1% of the amount withdrawn, plus a $25 fee.
Why we picked it
Vio Bank’s 6-month CD boasts an APY of 5.20% for a minimum opening deposit of $500. While we have other accounts on our list with similar APYs and opening deposits, Vio Bank’s early withdrawal penalty is more lenient than others: just 1% of the amount withdrawn and a $25 fee. Vio’s customer service representatives are available via phone from 7:00 a.m. through 9:00 p.m. CST Monday through Friday; 8:00 a.m. until 6:00 p.m. CST on Saturday; and 12 p.m. until 4 p.m. CST on Sunday. Representatives can also be reached via chat on the bank’s website.
4. MYSB Direct: For savers who are serious about not dipping into their CD
Key numbers
Minimum opening deposit: $500
6-month APY: 5.33%
Penalty: All interest earned.
Why we picked it
MYSB Direct, AKA M.Y. Safra Bank is headquartered in New York City and operates a single branch there. Its products include personal checking and savings accounts, lending services, cash management services, and more.
MYSB’s 6-month CD boasts a competitive APY for a $500 minimum deposit—however it does impose the a strict withdrawal penalty should you dip into your CD before it reaches maturity. Its early withdrawal penalty requires savers to forfeit all interest earned on their balance.
5. First Internet Bank of Indiana: For savers who have at least $1,000 to put away into a CD
Key numbers
Minimum opening deposit: $1,000
6-month APY: 5.33%
Penalty: 180 days worth of interest.
Why we picked it
First Internet Bank was established in 1999 and operates entirely online, though its headquarters are located in Indiana. First Internet’s 6-month CD offers a 5.33% APY, although its minimum opening deposit is one of the highest on our list at $1,000. Customer service representatives can be reached via email, chat, or phone from 7 a.m. until 9 p.m. EST and on Saturday between 9 a.m. and 3 p.m. EST.
6. Bask Bank: For savers who don’t mind a higher opening deposit for a stellar APY
Key numbers
Minimum opening deposit: $1,000
6-month APY: 5.25%
Penalty: 90 days of simple interest based on the principal amount withdrawn.
Why we picked it
Bask Bank is an online-only bank backed by Texas Capital Bank, based in Dallas. It offers a mix of savings products, including a high-yield savings account and certificate of deposit (CD), as well as a mileage earning savings account through a partnership with American Airlines. Bask’s 6-month CD offers a 5.25% APY—over four times the national average. Customers can reach a Bask Bank representative by email at customersupport@baskbank.com, or by phone—Monday through Friday from 7:00 a.m. to 7:00 p.m. CST as well as Saturdays between the hours of 9:00 a.m. and 4:00 CST.
7. Department of Commerce Federal Credit Union: For savers who prefer a credit union and don’t mind a membership fee
Key numbers
Minimum opening deposit: $500
6-month APY: 5.13%
Penalty: 90-days worth of interest.
Why we picked it
The Department of Commerce Federal Credit Union’s 6-month CD boasts a 5.13% APY. The catch–as a credit union, the DOCFCU does have certain membership requirements. Anyone who lives, works, worships, or attends school in Washington, D.C. can join, as well as current or retired employees of certain government offices, their relatives, or anyone who lives with a DOCFCU member.
If that’s not you, you can also become eligible to join by paying $15 to become a member of the American Consumer Council. The DOCFCU has shared branches across the U.S. and offers a mobile app for 24/7 banking and email support, as well as phone support between 8:30 a.m. and 3:30 p.m. ET, Monday through Friday.
8. First Tech Federal Credit Union: For savers who prefer a credit union and want to keep all of their accounts under one roof
Key numbers
Minimum opening deposit: $500
6-month APY: 4.85%
Penalty: If the Share Certificate Account has a term to maturity less than one (1) year, the penalty imposed will be the required Federal Reserve Board Regulation D penalty, whether or not earned.
Why we picked it
First Tech Federal Credit Union is an Oregon-based institution that was founded in 1952. To become a member of this credit union, you must have a family member or household member who is already a First Tech member, you or a family member must work for a company who currently partners with First Tech or for the State of Oregon, work or live in Lane County, Oregon, or belong to the Computer History Museum or the Financial Fitness Association. First Tech’s 6-month CD offers savers a 4.85% APY for a minimum of $500 as an initial deposit. What’s more—First Tech’s wide range of products makes this an appealing option for savers who want to keep all of their financial accounts in one place. First Tech representatives are available to answer your call 24/7. You can also ask for assistance via mail, secure message, or chat.
9. Rising Bank: For savers who want a wide range of CD terms
Key numbers
Minimum opening deposit: $1,000
6-month APY: 5.15%
Penalty: 90 days’ interest.
Why we picked it
Rising Bank is the online division of Midwest BankCentre and offers a large host of banking products including personal CDs, checking and savings accounts, home loans, business accounts, and more. Rising Bank’s 6-month CD took the final spot on our list for its 5.15% APY. One flag: you’ll need at least $1,000 to open this account. The upside: Rising offers a wide range of CD terms for savers who may want to rollover their 6-month CD into a longer term account. Customer service representatives are available via email and telephone, Monday through Friday from 8 a.m. to 12 a.m. ET, and 10 a.m. to 6 p.m. on weekends.
10. Quontic Bank: For savers who want all of the customer service options
Key numbers
Minimum opening deposit: $500
6-month APY: 5.05%
Penalty: The penalty will be equal to the interest for the full length of the stated term.
Why we picked it
Quontic Bank is a digital bank that first started as a community bank in New York City in 2009. It offers a number of checking accounts, savings accounts, and mortgage products. Quontic’s 6-month CD made our list for its competitive APY, medium-range opening deposit, and daily compounding frequency. Customers can contact a customer service representative via live chat, email, and telephone Monday through Friday between 9:00 a.m. and 6:00 p.m. ET.
How to choose a 6-month CD
When considering 6-month CDs from different banks or credit unions, you’ll want to weigh a few different factors to find the right CD for you:
- APY: The higher your APY, the more you can expect your money to grow throughout your term. Shop around and compare rates from various financial institutions. Also, it might pay to start with your primary banking institution—certain banks or credit unions may offer higher relationship rates for existing customers.
- Minimum deposit requirement: Depending on how much you’re ready to stowe away in your CD, you might want to opt for a CD with a higher or lower minimum deposit requirement. Accounts with a lower deposit requirement give you the flexibility to decide how much you feel comfortable locking away, while still capitalizing on a lucrative APY.
- Early withdrawal penalty: Most financial institutions will charge you a fee for making a withdrawal before the end of your term. Be sure to take this into careful consideration when selecting a CD and be honest with yourself about whether or not you think there’s a chance you’ll need access to your money before your CD matures.
Alternatives to 6-month CDs
For savers who prefer an account with more flexibility and greater access to their funds, some alternatives to a 6-month CD may include a:
- High-yield savings account: Similar to a traditional savings account, a high-yield savings account offers a much higher yield on the money you keep in your account. The most recent rates from the Federal Deposit Insurance Corporation (FDIC) puts the national savings APY average at 0.42%, while most high-yield savings accounts offer 1.00% APY or higher.
- Money market account: A money market account is sort of a combination between a checking account and a savings account. These accounts typically offer much higher APYs than checking accounts, but in many cases include some of the same features including check writing, debit card access, and the ability to make withdrawals and deposits via ATM. However, unlike checking accounts, there may be a limit on the number of withdrawals that can be made from your money market account each month, and not all money market accounts come with a debit card.
Best CD rates for other terms
Frequently asked questions
What is the best 6-month CD rate right now?
Some of the 6-month CDs on our list are offering APYs of 5% and above.
Is a 6-month CD worth it?
6-Month CDs can be a worthwhile investment if you can secure a lucrative APY and keep your hands off your principal balance for the duration of your term. Making a withdrawal before your CD matures could eat into your principal balance and any interest earned.
What is the average rate for a 6-month CD?
The average APY for a 6-month CD is 1.26%.
Our methodology
The Fortune RecommendsTM team compared 6-month certificates of deposit (CDs) from more than 50 major banks, credit unions, and online-only banks. Our top picks are available across the U.S., so you can sign up for an account no matter where you’re located.
We ranked the best one-year CDs on the following categories:
- 6-month term (50%): This number represents the real rate of return on your balance; the higher the APY, the better.
- Minimum deposit requirement (40%): In order to open a CD at any financial institution, it will require that you deposit a minimum dollar amount.
- Customer service (10%): Top picks offer customers three ways to get in contact: chat support, by phone, or even email. Among the three options, we gave the phone support the most weight.
The best CDs offer APYs twice the national average. We didn’t include brokered CDs on our list, which are sold on the secondary market through brokerages instead of banks and can be riskier because of this.
The rates, fees, and minimum deposit requirements for CDs are available for limited time periods, and APYs are subject to fluctuation, which could impact how much interest you earn. All the bank and credit unions on this list are insured by the FDIC and NCUA respectively. Should you choose to terminate your CD before it matures, you may likely be subject to a penalty, which varies by bank.
EDITORIAL DISCLOSURE: The advice, opinions, or rankings contained in this article are solely those of the Fortune Recommends™ editorial team. This content has not been reviewed or endorsed by any of our affiliate partners or other third parties.