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Best 1-year CD rates top 4%, could earn savers thousands

By Marcus Chen · July 13, 2026

A $50,000 deposit in Bankrate’s top tracked 1-year CD at 4.17% APY from Popular Direct would earn about $2,085 over one year, and NerdWallet’s best listed 12-month CDs are close behind at around 4.10% APY. The rate is fixed, the term is short, and one-year CDs are federally insured, so the yield is known in advance if you are willing to leave the money untouched until maturity.

The FDIC’s June 15, 2026 national-rate table and Bankrate’s July 13, 2026 survey both put the average 1-year CD at 1.99% APY, which works out to about $995 in one year on $50,000. That is roughly $1,090 less than the top 4.17% offer. The FDIC’s rate-cap framework limits how far some institutions, especially less-than-well-capitalized ones, can price above prevailing market rates. The strongest CD rates remain concentrated in shorter maturities and stay above 4% APY.

Bankrate’s top high-yield savings rate is 4.15% APY from Forbright Bank, which would generate about $2,075 on a $50,000 balance over a year, while the national average savings yield is only 0.61% APY, or about $305. That means a top savings account comes within about $10 of the top 1-year CD on the same deposit, but it keeps cash liquid if you think you may need the money or want the option to move fast when rates shift.

The Bureau of Labor Statistics puts consumer prices up 4.2% over the 12 months through May 2026, which means the top 1-year CD’s 4.17% APY trails inflation by about 0.03 percentage point on a nominal basis. TreasuryDirect lists Series I savings bonds at 4.26% and 10-year notes at 4.375%, and IRS guidance makes interest on Treasury bills, notes and bonds subject to federal tax but exempt from all state and local income taxes. That tax treatment can improve the after-tax comparison, especially if you live in a high-tax state, while the longer Treasury note locks money up for much longer than a 1-year CD.

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