Top 5 CDs Worth Your Time (Mar 22)

Brokered CDs and direct CDs are quoting almost identically right now, which means the only thing that matters is whether your bank lets you call the CD or not. Crestmoor 36-mo CD's 5.19% APY 1-year is callable. Read on.

How we tested

We opened a soft-pull control account at Crestmoor 36-mo CD and walked the application flow for the 5.19% APY 12-month CD. The application disclosed: a $1,000 minimum, no maintenance fee, an early-withdrawal penalty of 3 months interest, and automatic renewal at the prevailing rate (which we don't love, but it's the industry standard). We did not actually fund. The disclosed APY held throughout.

The ladder we'd build with this CD

We don't recommend putting an entire emergency fund in a single CD. The ladder we'd build today: 25% in Crestmoor 36-mo CD's 12-month at 5.19% APY, 25% in a 24-month at slightly less, 25% in a 36-month, and 25% kept liquid in HYSA at 4.85. That gives you a maturing rung every year while protecting against a rate shift.

Compared to T-Bills

On a 12-month basis, Crestmoor 36-mo CD's 5.19% APY CD is roughly tied with the auctioned T-Bill rate net-of-state-tax in most jurisdictions. In states with high income tax, the T-Bill wins because Treasury interest is state-tax-exempt. In low-tax states, the CD wins on liquidity (settlement is faster than rolling a Treasury auction).

When this CD makes sense

If you have cash that doesn't need to be liquid for the next 12 months and your HYSA is paying within 0.30 of Crestmoor 36-mo CD's 5.19% APY, the CD wins on a tax-equivalent basis only if you're in a 22%+ federal bracket and intend to roll. Below that, a high-yield savings account at near-parity rate is the better pick because the optionality is free.

What's next on the floor

Crestmoor 36-mo CD's 5.19% APY stays on the certificate of deposit watchlist for the next two weeks. We'll re-pull rates Sunday night and post any meaningful change in the next Weekly Rate Floor. If you've used Crestmoor 36-mo CD recently and your experience differed from what we wrote here, drop a comment below — we read everything that lands on the floor.