Get 4.25% APY for 5 Years and No Minimum Deposit Now With This CD
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The Barclays Online CD lineup just leveled up -- and if you're willing to lock up your cash for a while, you'll get rewarded for it.
Right now, Barclays is offering a 5 Yr. CD paying a whopping 4.25% APY -- and you can open one with a $0 minimum deposit. That's a rare combo -- a strong rate locked for half a decade, without having to lock up tons of cash to get it.
If you've got money you won't need for a while, it's worth a look. Here's what to know about Barclays, plus a couple more flexible options that are still plenty valuable.
How Barclays' 5-year CD rate stacks up
Barclays' 5-year CD earns a lot above what you'll get from most brick-and-mortar banks. In fact, the national average 5-year CD rate is just 1.36% APY, according to the FDIC. Barclays is offering more than three times that.
I also love how there's no minimum deposit to open a Barclays Online CD. You could fund it with $500 or $50,000 and earn the same APY either way. That's different from a lot of competitors, who dangle their best rates only for savers who can deposit thousands upfront.
The tradeoff with any 5-year CD is that you're guessing where rates will be years from now -- lock in your cash today, and you won't benefit if rates climb later. On the other hand, if rates fall, you'll be in a great spot.
Also keep in mind that if you pull your money out early, you'll get hit with an early withdrawal penalty. That can eat into your principal, not just your gains, if you cash out early enough. So before you commit, ask yourself honestly whether you'll need this money in year two or three.
Barclays Online CD
On Barclays' Secure Website.
Is a high-yield savings account better than a CD?
It depends which you value more: The security of a locked-in rate, or the ability to move your cash.
A CD wins if you want a guaranteed rate for years and won't need the cash. Right now, top CD rates are pretty similar to top savings account rates. A high-yield savings account wins if there's any chance you'll need to dip into it, since withdrawals come with no penalty at all.
Either way, I recommend opening some type of high-yield savings account. The average savings account interest rate is just 0.37% APY, according to the FDIC -- a fraction of what the best high-yield savings accounts pay.
If your cash is sitting in a regular bank account earning close to nothing, moving it to either a CD or high-yield savings account is a big win.
Two savings accounts worth a look today
1. SoFi Checking and Savings (Member FDIC): Tons of perks with direct deposit
SoFi Checking and Savings (Member FDIC) is my personal savings account of choice. That's because along with no account fees or minimums to worry about, you'll get:
- Annual percentage yield (APY) of up to 4.20% on savings with +0.90% APY boost for up to 6 months on new accounts with qualifying direct deposits
- Limited-time offer: Earn $50 or $400 and +0.90% Boost on Savings APY with direct deposit. Terms apply.
- Up to $50 in no-fee overdraft coverage
- Access to paychecks up to two days early with direct deposit
- Terms apply
That's a pretty great combo of strong APY, lack of account fees, and additional perks. It also comes with a checking account, so it's a great place to keep short-term and long-term cash.
On SoFi's Secure Website.
Member FDIC.
SoFi Checking and Savings
On SoFi's Secure Website.
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Earn up to 4.20% Annual Percentage Yield (APY) on one SoFi Savings account with a 0.90% APY Boost (added to the 3.30% APY as of 9/23/26) for up to 6 months. Open your first SoFi Checking and Savings account and receive eligible direct deposits OR qualifying deposits of $5,000 every 31 days by 12/31/26. Rates are variable, subject to change. Terms apply at sofi.com/banking#4. SoFi Bank, N.A. Member FDIC.
- Competitive APY on both Savings and Checking
- No monthly account fee
- Welcome bonus up to $400 (direct deposit required)
- ATM access
- Unlimited number of external transfers (up to daily transaction limits)
- FDIC insured (up to $3M with opt-in to SoFi Insured Deposit Program)
- Early access to direct deposits
- Tools to help you track savings goals
- Combo account only; no stand-alone savings or checking
- Maximum Savings APY requires direct deposit
- No branch access; online only
- Overdraft protection requires monthly direct deposit minimum
For those who plan to set up direct deposit with their new account, we think SoFi Checking and Savings (Member FDIC) is hard to beat. Not only does this savings account offer a strong APY, but the linked checking account earns an above-average rate, too -- which is a rare perk. Plus, new customers earn a bonus of $50 or $400 with eligible direct deposit. Frankly, it's the kind of combo that could make it worthwhile to switch banking relationships.
2. Barclays Tiered Savings: A great APY for all balance sizes
Want to keep it in the Barclays family? The Barclays Tiered Savings account offers 3.50% APY on all balances under $250,000, with no minimum deposit to open and no minimum balance required.
If you save more than $250,000, you can unlock an even higher 3.65% APY.
The only downside here is that Barclays has no branches and no ATM access, so every dollar in or out has to move through an external transfer or a mailed check. Still, if you want a more flexible option than a multi-year CD, Barclays Tiered Savings is worth a look.
On SoFi's Secure Website.
Member FDIC.
Barclays Tiered Savings
On Barclays' Secure Website.
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To earn a $200 bonus, new customers can open a savings account; deposit $25,000 or more within 30 days; and maintain at least that balance for 120 consecutive days. The bonus will be credited to your account within 60 days of meeting these requirements. Offer ends Oct. 31, 2026. Terms apply.
- Competitive APY
- No monthly account fee
- Unlimited number of external transfers (up to daily transaction limits)
- FDIC insured
- No minimum deposit to open an account
- Balance requirement for maximum APY
- No ATM access
- No wire transfers (inbound or outbound)
- No branch access; online only
Barclays Tiered Savings rewards savers with a tiered APY structure, offering higher rates as your balance grows. No monthly fees and no minimum balance to open mean it's accessible to everyone, while unlimited transfers and withdrawals let you manage your savings your way.
FAQs
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It's a good idea if you're confident you won't need the cash for five years and want to lock in today's rate. If rates rise later, you're stuck at your original APY, so it's a tradeoff between certainty now and flexibility later.
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There's no stated maximum for a standard Barclays Online CD, but FDIC insurance only covers up to $250,000 per depositor, per bank. If you're depositing more than that, consider splitting funds across banks to stay fully insured.
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Yes, Barclays Online CDs are FDIC insured up to $250,000 per depositor, per ownership category. That's the same protection you'd get at any other FDIC-insured bank, so your principal is safe even if the bank fails.
Our Research Expert
Ryan Wilcox is a full-time Personal Finance Writer at Motley Fool Money, covering credit cards, bank accounts, investing, auto insurance, and other personal finance topics. Ryan has been writing about credit cards and savings since 2022. Before joining Motley Fool Money, he was a full-time writer at The Points Guy, where he focused on maximizing credit card rewards and travel strategies. He holds a bachelor’s degree in English and American History from the University of North Carolina at Chapel Hill, where he also spent four years reporting for The Daily Tar Heel. With a background in both journalism and consumer finance, he brings a clear and thoughtful voice to money topics. Outside of work, Ryan is likely reading, writing, or updating his Letterboxd account.
Motley Fool Stock Disclosures
The Motley Fool recommends Barclays Plc. The Motley Fool has a disclosure policy.