CDs in May 2025: Here's What $10K Can Earn You This Year
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KEY POINTS
- The best 6-month CD is offering 4.55% APY in May 2025.
- A $10,000 deposit would yield about $225 before year's end.
- Short-term CDs are a great strategy to shield your savings from potential rate cuts this year.
Experts are forecasting at least one rate cut by the Fed before the end of 2025 -- possibly two or more. If they're right, today's higher CD rates could be on their way out.
Consider this: the national average APY for a 6-month CD is around 1.60% right now. But some banks are offering rates as high as 4.55% APY. That's a big difference in potential earnings. Locking in a top rate now could mean earning hundreds more -- with zero risk -- just by being proactive.
Earnings on $10,000 in a 6-month CD
Here's a look at the top 6-month CD rates as of early May 2025, as well as how much you'd earn with a $10,000 deposit.
| CD Term | APY | Ending Balance |
|---|---|---|
| 6 months | 4.55% | $10,225 |
| 6 months | 1.60% (national average) | $10,079 |
It really pays to shop around. If you were only earning the national average rate of 1.60% APY, your earnings would be just $79.
Looking for longer-term options? While they don't pay as high a rate as today's 6-month options, long-term CDs let you lock in a guaranteed return for the entire term -- we're talking years. Discover® Bank is one CD issuer that offers a huge variety of terms, from 3 months all the way up to 10 years! Explore Discover® Bank's CD rates today to find a match for your needs.
Is a 6-month CD right for you?
A short-term CD (typically anything less than 12 months) can be a smart move if you're looking for a low-risk place to park your money. Buying one now would mean you'd get your money back right before the holidays.
Short-term CDs might be a good fit if:
- You've got a chunk of cash you won't need until later this year
- You want to lock in a high rate before potential Fed rate cuts
- You're saving up for a big expense (like holiday travel or gifts)
Experts don't expect CD rates to rise from here -- so if you're thinking about opening one, now's the time to act.
High-yield savings are still paying well
If you want quicker access to your money and don't mind if the rate drops later, a high-yield savings account (HYSA) might be a better fit.
Right now in May 2025, the top HYSAs are offering rates around 4.10% APY. That's right in the same ball park as a short term CD -- and you can withdraw your money at any time.
A $10,000 deposit at 4.10% would earn $205 in interest in six months. Not quite as much as a 6-month CD could earn, but the flexibility might be worth it.
A great option right now is opening a Barclays Tiered Savings account. It pays a strong 3.90% APY -- that's over 10x the national average -- and there's no minimum balance needed to earn it.
Our Research Expert
Joel O’Leary is a full-time Personal Finance Writer at Motley Fool Money, covering credit cards, bank accounts, investing, mortgages, and other personal finance topics. Joel has been writing about personal finance since 2018, previously leading editorial content for the How To Money podcast and serving as a resident writer at Budgets Are Sexy. He bought his first rental property at age 18, funding the down payment with savings from his high school job at McDonald’s -- a testament to his lifelong passion for smart money decisions. His work aims to make personal finance accessible and actionable for everyday readers. When he’s not writing, Joel enjoys surfing and spending time with his family.