# Top 12-Month CD Rates Reach 4.35% in September 2026

Secure higher returns with the best CD rates available today.

- **Source:** [The College Investor](https://brifing.si/source/d431d77d-492e-4105-be7c-2525bbb643ab)
- **Published:** 2026-09-23
- **Topic:** [Finance](https://brifing.si/c/finance)
- **Original article:** <https://thecollegeinvestor.com/88879/best-12-month-cd-rates-for-september-23-2026/>
- **On Brifing:** https://brifing.si/s/695fe74f-f061-4274-88fe-e8bc1f1e7579

## Rising CD Rates

Despite major banks lowering savings account rates, certificates of deposit (CDs) have seen a steady increase. As of September 23, 2026, the best 12-month CD rates reach up to 4.35% APY, significantly higher than the national average of 1.73%. This trend offers savers a chance to lock in higher returns amid fluctuating interest rates.

## Top Offers

Quorum Federal Credit Union and E*TRADE lead with 4.35% APY, requiring minimum deposits of $100 and $500, respectively. Credit One Bank offers 4.30% APY for jumbo CDs with a $100,000 minimum. American First Credit Union and Barclays Bank provide competitive rates at 4.25% APY, with minimal deposit requirements of $1 and $0, respectively.

## How CDs Work

A 12-month CD pays a fixed interest rate for one year, requiring funds to remain deposited until maturity. Early withdrawals incur penalties, typically three months of interest. CDs appeal to savers seeking guaranteed, short-term returns, especially when high-yield savings accounts offer less predictability.

## Rate Protection

CDs lock in APY, shielding savers from potential rate cuts. For example, a $25,000 CD at 4.00% APY earns roughly $1,000 annually, compared to $420 at the national average rate. This makes CDs ideal for short-term goals like tuition, weddings, or home down payments.

## Ladder Strategy

Pairing a 12-month CD with longer-term CDs (24- or 36-month) can maximize returns while maintaining liquidity. This strategy allows savers to capture higher rates over time while ensuring access to funds periodically.

## Safety and Insurance

CDs are federally insured up to $250,000 per depositor, per institution, by the FDIC or NCUA. This guarantees the safety of funds, making CDs a low-risk investment option for conservative savers.

## Key Considerations

Before opening a CD, understand the terms: minimum deposit requirements, withdrawal penalties, renewal policies, and rate guarantees. Ensure the bank offers online access for easy transfers and e-statements.

## Why Now?

With rates near cycle highs, locking in a short-term CD can be advantageous before potential rate cuts. Savers can secure predictable returns while protecting against future declines in interest rates.

## Sources covering this story

- https://thecollegeinvestor.com/88879/best-12-month-cd-rates-for-september-23-2026/ — 

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_Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._