As rates tumble, Barclays is the last major bank with a CD paying above 5% APY — for now Affiliate links for the products on this page are from partners that compensate us and terms apply to offers listed (see our advertiser disclosure with our list of partners for more details). However, our opinions are our own. See how we rate banking products to write unbiased product reviews.
The best CD rates across various term lengths have dropped after the Fed announced a rate cut.The Barclays 6 Month Online CD is paying 5.10% APY, but it may not be for long. You can still lock in 5% APY on a few other CDs, too, before rates drop further. After the Federal Reserve announced a rate cut of 50 basis points this Wednesday, the best CD rates across various terms have started to fall. This is because CD rates are directly impacted when the Federal Reserve changes rates. CD rates fall when the Fed makes cuts.
The pace at which CD rates drop tends to vary by bank, though, and a few financial institutions are holding onto 5% interest CDs for a bit longer.
Most notably, the well-known online bank Barclays Bank still has a 6-month CD paying 5.10% annual percentage yield (APY) on a 6-month CD, but it may not be for long.
If you're interested in locking in a high CD rate before they decline further here's what you need to know.
How to earn 5.10% APY on a Barclays CD
Since Barclays is an online-only bank, you'll have to apply for the Barclays 6 Month Online CD online. It has a $0 minimum opening deposit. Banks typically require a minimum of $1,000 to open, so Barclays is more lenient than most.
You'll earn 5.10% APY on your account balance as long as you make a deposit within the first 14 days and keep your account until it reaches maturity in six months.
Just like with any other CD, you'll need to be mindful of early withdrawal penalties . If you take out money before your Barclays 6 Month Online CD ends, you'll have to pay a penalty that equals 90 days of simple interest on the amount withdrawn. That takes away from your interest earnings, so you want to make sure that the term fits your timeline and goal beforehand.
Other 5% interest CDs still available after the rate cut
If you're interested in banking with smaller banks, there are a couple of lesser-known financial institutions still paying 5% APY or more on a CD. This list specifically includes shorter terms of because longer terms are no longer paying 5% interest.
TotalBank 3 Month CD : You can earn 5.15% APY on this 3-month CD with a $25,000 minimum opening deposit. Bask Bank 3 Month CD : This 3-month CD pays 5.00% APY with $1,000 intial deposit. Bank5 Connect 6 Month High-Yield CD : This 6-month CD offers 5.05% APY. You'll need at least $500 to open an account. Newtek Bank 6 Month CD : With a deposit of $2,500 or more, you can earn 5.05% APY on this 6-month CD. Sophia Acevedo Banking Editor
Sophia Acevedo is a banking editor at Business Insider. She has spent three years as a personal finance journalist and is an expert across numerous banking topics. Sophia leads Personal Finance Insider's banking coverage, including reviews, guides, reference s, and news. She edits and updates s about banks, checking and savings accounts, CD rates, budgeting, and general saving. Sophia was also a part of Business Insider's 2024 series " My Financial Life ," which focused on telling stories that could help people live and spend better.Before joining Business Insider, Sophia worked as a journalist at her college newspaper and was a freelance writer. She has spent seven years writing and editing as a journalist.Sophia was nominated for an Axel Springer Award for Change in 2023 for her coverage of ABLE Accounts, tax-free savings accounts for people with disabilities. She was also a winner of a 2018 California Journalism Awards Campus Contest for her photography.She loves helping people find the best solutions for their unique needs and hopes that more people will find the tools to solve their financial problems. She's inspired by stories of everyday people adapting to their financial circumstances and overcoming their fears around money.Sophia's expertise includes:Bank accountsSavings and CD rate trendsHow banks operateSophia graduated from California State University Fullerton with a degree in journalism and a minor in political science.Sophia is a member of the National Association of Hispanic Journalists.She is an avid reader across a variety of genres, and she started running in 2021. She ran in the 2024 Los Angeles Marathon.Read moreRead less Top Offers From Our Partners Western Alliance Bank High-Yield Savings Premier Take advantage of today's rates and earn 5.31% APY on your entire account balance A tooltip 5.31% annual percentage yield (APY) is accurate as of 7/11/2024 and subject to change at the Bank's discretion. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY. 's biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Go to newsletter preferences Thanks for signing up! Access your favorite topics in a personalized feed while you're on the go. By clicking "Sign Up", you accept our Terms of Service and Privacy Policy . You can opt-out at any time by visiting our Preferences page or by clicking "unsubscribe" at the bottom of the email.
