A 6-month CD may be ideal for those with short-term cash needs. It may also be suited for those who do not want to take on the risk that interest rates could rise in the near term.

The best 6-month CDs will be the ones with an excellent interest rate, reasonable early withdrawal penalties, and low deposit minimums. Our list below includes the best 6-month CDs as well as a few 5-month CDs.

Editor’s Pick

technology credit union

Technology Credit Union offers a 5-month no-penalty CD with a rate of %. The rate is one the best available in the 6-month range and if you need your cash to be liquid, this CD won’t charge you a penny for closing it early. all Technology Credit Union CDs are NCUA insured up to the $250,000 maximum.

  • Current APY – %
  • Minimum Deposit Requirement – $1
  • Early Withdrawal Penalty – None

The Rest of the Best 6-Month CD Rates

1. Western Alliance Bank

western alliance bank

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$1

Our Rating: 4.8

★★★★

Pros


  • No fees
  • Excellent rate
  • $1 minimum deposit

Cons


  • Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1

One of the best rates available accompanies the Western Alliance Bank 6-month CD. Western Alliance also has a full suite of other CD terms available, all with just a $1 deposit requirement.

When breaking the terms of the CD and withdrawing early, a 90-day interest penalty is given.

2. SkyOne Federal Credit Union

skyone FCU

Certificate of Deposit

Member NCUA

APY

%

Term

5 Months

Min. Deposit

$1

Our Rating: 4.4

★★★★

Pros


  • No fees
  • Excellent rate
  • $1 minimum deposit

Cons


  • Early withdrawal penalty

Early Withdrawal Penalty

180 days of simple interest

Min. Opening Balance

$1

SkyOne Federal Credit Union is headquartered in California and is available nationally. Their 5-month CD provides a top APY and requires only a $1 minimum deposit.

When closing your SkyOne 56-month CD early, you’ll forfeit any interest earned.

3. BMO Alto

bmo alto

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$0

Our Rating: 4.4

★★★★

Pros


  • No fees
  • Excellent rate
  • No minimum deposit

Cons


  • Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$0

BMO Alto offers a straightforward 6-month CD with a strong interest rate and no minimum deposit to get started.

The early withdrawal penalty with the 6-month BMO CD is 90 days of simple interest.

4. Bask Bank

bask bank

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$1,000

Our Rating: 4.5

★★★★

Pros


  • No fees
  • Excellent rate

Cons


  • Early withdrawal penalty
  • $1,000 minimum deposit

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1,000

Bask Bank offers a wide variety of CDs and deposit products. One of their best products is the 6-month CD with an excellent APY.

In addition to the early withdrawal penalty of 90 days simple interest, all Bask Bank CDs require a minimum deposit of $1,000.

5. Quontic Bank

quontic bank

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$500

Our Rating: 4.3

★★★★

Pros


  • No fees
  • Excellent rate

Cons


  • Early withdrawal penalty
  • $500 minimum deposit

Early Withdrawal Penalty

180 days of simple interest

Min. Opening Balance

$500

Quontic Bank offers a high-yield six-month CD with a $500 minimum deposit required. Quontic has revamped its user interface to make it one of the nicest I’ve used.

180 days of simple interest is forfeited if you close your Quontic Bank CD early.

Highest 6-Month CD Rates by APY

We scoured the internet looking for the best 6-month CD rates we could find. After reviewing almost 150 total banks, here are the top 25 6-month CDs with the highest APY.

101 Results

TotalDirectBank 6-month CD
TotalDirectBank
6-month CD
APY
5.51%
Min
$25,000
Max
-

Bask Bank 6-month CD
Bask Bank
6-month CD
APY
5.30%
Min
$1,000
Max
-

Rising Bank 6-Month CD
Rising Bank
6-Month CD
APY
5.25%
Min
$1,000
Max
$1,000k

America First Credit Union 6-11 months CD
APY
5.25%
Min
$500
Max
-

Prime Alliance Bank 6-month CD
APY
5.25%
Min
$500
Max
-

Banesco USA BaneSmart 6-Month CD
Banesco USA
BaneSmart 6-Month CD
APY
5.20%
Min
$1,500
Max
-

Colorado Federal Savings Bank 6-month CD
APY
5.15%
Min
$5,000
Max
-

Popular Direct 6-month CD
Popular Direct
6-month CD
APY
5.15%
Min
$10,000
Max
-

America First Credit Union 6-11 months Bump-Rate CD
America First Credit Union
6-11 months Bump-Rate CD
APY
5.10%
Min
$500
Max
-

Marcus by Goldman Sachs 6-month CD
APY
5.10%
Min
$500
Max
$1,000k

Dow Credit Union 6-month CD
APY
5.10%
Min
$500
Max
-

Quontic Bank 6-Month CD
Quontic Bank
6-Month CD
APY
5.05%
Min
$500
Max
-

Newtek Bank 6-month CD
Newtek Bank
6-month CD
APY
5.05%
Min
$2,500
Max
$250k

First Internet Bank 6-month High Yield CD
First Internet Bank
6-month High Yield CD
APY
5.03%
Min
$1,000
Max
-

Ally Bank 6-Month High Yield CD
Ally Bank
6-Month High Yield CD
APY
5.00%
Min
$1
Max
-

American Bank 182-day CD
American Bank
182-day CD
APY
5.00%
Min
$500
Max
-

American Bank 182-day Business CD
American Bank
182-day Business CD
APY
5.00%
Min
$500
Max
-

LendingClub Bank, N.A. 6-month CD
APY
5.00%
Min
$2,500
Max
$250k

Ally Bank 6-month IRA CD
Ally Bank
6-month IRA CD
APY
5.00%
Min
-
Max
-

NexBank 6-month Online CD
NexBank
6-month Online CD
APY
4.96%
Min
$25,000
Max
$100k

Western Alliance Bank  6-month CD via Raisin
Western Alliance Bank
6-month CD via Raisin
APY
4.95%
Min
$1
Max
-

Luana Savings Bank 6-month Jumbo CD
Luana Savings Bank
6-month Jumbo CD
APY
4.91%
Min
$100,000
Max
-

Credit Human Federal Credit Union 6-11 month Share Certificate
Credit Human Federal Credit Union
6-11 month Share Certificate
APY
4.90%
Min
$500
Max
-

NexBank 6-month Standard CD
NexBank
6-month Standard CD
APY
4.86%
Min
$10,000
Max
$25k

NASA Federal Credit Union 6-month CD
APY
4.85%
Min
$1,000
Max
-

How We Chose the Best 6-Month CDs

Six-month CDs are short-term, risk-free investments and our list of the best six-month CDs was carefully chosen based on a set of three criteria.

  1. Interest Rate (APY) – The most important feature of a short-term CD is the interest rate and our list showcases the best rates available today.
  2. Minimum Deposit Requirement – If you have a lot of money available to open a CD, then the minimum requirement probably does not matter to you but for those with less than $10,000 available, it’s important to make sure the highest rate is available when the deposit size is as small as $1.
  3. Early Withdrawal Penalty – Even though no one goes into the purchase of a CD thinking they will have to withdraw early, it’s important to consider the penalty for doing so. Most CDs of this length have a full-term penalty but we were able to find a few six-month CDs that will still pay interest if you have to withdraw early.

Every bank above is also FDIC insured up to the $250,000 per depositor maximum.

Banks we included in our review are as follows: Affirm, Alaska USA Federal Credit Union, All America Bank, All In Credit Union, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank of the West, Bank5 Connect, Bank7, Barclays, Bask Bank, Bayer Heritage FCU, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, Capital One, Carver Federal Savings Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Credit Human Federal Credit Union, Current, Delta Community Credit Union, Discover™ Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, GO2bank, GreenState Credit Union, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Interior FCU, Ivy Bank, KeyBank, Lake Michigan Credit Union, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, mph.Bank, Nationwide (by Axos), Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Ponce Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, Signature Federal Credit Union, SkyOne Federal Credit Union, SoFi, State Employees’ Credit Union of North Carolina, State Exchange Bank, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Teachers Federal Credit Union, Technology Credit Union, Truist Bank, U.S. Bank, UFB Direct, Union Bank, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.

When Should I Open A 6-Month CD?

Six-month CDs are short-term investment options perfect for those looking for risk-free diversification. The interest rate is almost always the most important thing to consider but there are a few other things to look at before opening a six-month CD.

You’ll want to ensure that you have enough cash available elsewhere before opening a CD because the early withdrawal penalty could wipe away every penny you’ve earned in interest. It’s also important to take note of the rollover structure of the bank you’ve chosen because you may have a very short window to withdraw your funds after maturity before it’s locked in again.

To answer the question of “when” should you open a six-month CD; it’s always best to do so now rather than later. Interest rates are high and every day you’re not guaranteed a rate of return is a day’s worth of interest that slips through your fingers. All CDs here are FDIC insured up to the $250,000 maximum so as long as your deposit stays under this amount, it’s a risk-free rate of return.

Frequently Asked Questions (FAQ)

Are 6-month CDs a smart investment?

When interest rates are high, CDs are always a smart investment. You may be able to find a better rate of return in the stock market (or other alternative investments) but you won’t find one risk-free.

Six-month CDs allow you to park cash while earning a strong rate of return and they also have the added benefit of making cash unavailable (for those who have trouble keeping cash unspent).

Can I lose my deposit if I close my CD early?

No. The early withdrawal penalty on CDs means that you’ll only lose the interest accrued, not any of your initial deposit.

So, for example, if you have deposited $5,000 into a new six-month CD and have to close the CD after a month, you will have your $5,000 initial deposit returned but are likely not to earn any interest (as the penalty is typically at least 90 days of simple interest).

Final Thought on the Best 6-Month CDs

When comparing six-month CDs to other terms, you’re unlikely to find a big variation in interest rates. They’re similar to others and the important difference is the length of term, not the APY.

If you can, when opening a six-month CD you should also look to open other short-term CDs so that every couple of months, your ladder has a maturing CD that offers you cash if you need it.

Editor’s Note: Make sure to check your local banks for the best 6-month CD rates as well. Sometimes the national brands can’t match what your bank down the street can provide.

Author

  • Rob Berger

    Rob Berger is the founder of Dough Roller and the Dough Roller Money Podcast. A former securities law attorney and Forbes deputy editor, Rob is the author of the book Retire Before Mom and Dad. He educates independent investors on his YouTube channel and at RobBerger.com.

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