Finding the best CD rate in Michigan can be hard. There are lots of CD options and different banks to pick from, and comparing them all is nearly impossible. Also, each CD account has its own pros and cons.
For instance, some accounts offer higher interest rates for short-term CDs, while others are better for long-term investments. Some accounts have good rates but come with restrictions, while others give you more flexibility but lower rates. You also need to think about how much you need to deposit and if there are any fees for withdrawing your money early.
This article gives you a quick look at some of the top CD accounts in Michigan. But remember, it's not just about the highest rates. You should also consider the right term for your needs, minimum deposit requirements, and CDs with low penalties for early withdrawal.
Synchrony Bank
APY Range
Minimum Deposit
Terms
Fees
If you live in Michigan and want to find an online bank with good CD rates, you should consider Synchrony Bank. They offer different types of CDs, including bump-up and no-penalty, which give you more options for your money.
Synchrony Bank has different terms for CDs, and you don't need to put in a minimum amount of money. Their rates are good whether you want to save for a short or long time. They charge fees similar to other banks if you need to take out money before the end.
CD Term | APY | Early Withdrawal Penalty |
|---|---|---|
3 Months | 0.25% | 90 days of interest |
6 Months | 5.15% | 90 days of interest |
9 Months | 4.90% | 90 days of interest |
12 Months | 4.80% | 90 days of interest |
11 Months – No Penalty | 0.25% | / |
18 Months | 4.50% | 180 days of interest |
24 Months | 4.20% | 180 days of interest |
36 Months | 4.15% | 180 days of interest |
48 Months | 4.00% | 365 days of interest |
60 Months | 4.00% | 365 days of interest |
Synchrony Bank provides competitive deposit options and credit cards specifically designed for retailers and healthcare providers. It started off as a division of General Electric (GE) in 1932 but became fully independent in 2015.
Ally Bank
APY Range
Minimum Deposit
Terms
Fees
Ally Bank offers really good rates for CDs and different options with varying lengths, from three months to five years. This allows people in Michigan to choose the option that suits them best. On top of the regular CDs, Ally also has a special CD that lets you withdraw your money early without penalty.
One great thing about Ally is that their fees for early withdrawal are low. They charge much less compared to other banks and credit unions.
CD Term | APY | Early Withdrawal Penalty |
|---|---|---|
3 Months | 3.00% | 60 days of interest
|
6 Months | 4.40% | 60 days of interest
|
9 Months | 4.45% | 60 days of interest
|
12 Months | 4.50% | 60 days of interest
|
11 Months – No Penalty | 4.00%
| / |
18 Months | 4.45% | 90 days of interest
|
36 Months | 4.00% | 90 days of interest
|
60 Months | 3.90% | 150 days of interest
|
Ally Bank is an online bank and opening a CD account is done online. They provide a wide range of financial services such as savings accounts, money market accounts, loans, mortgages, checking accounts, investments, and retirement services.
Dow Credit Union
APY Range
Minimum Deposit
Terms
Fees
Dow Credit Union has 2 branches in Michigan and it offers two types of CDs: Simple CDs and Standard CDs. The Simple CDs have really good rates for different time periods, but you can only choose a term of up to 3 years. The good thing is that you can start with a low minimum deposit of just $500.
Simple CD | APY |
|---|---|
6 Months | 5.21% |
12 Months | 4.92% |
18 Months | 4.90% |
24 Months | 4.65% |
36 Months | 4.81% |
If you go for the Standard CDs, the rates are not as competitive as the Simple CDs, but there's a perk. You can participate in the Member Saver Reward program, where Dow Credit Union gives back a percentage of their earnings to members who are in good standing.
Standard CD | APY |
|---|---|
6 Months | 4.32% |
12 Months | 4.08% |
18 Months | 4.06% |
24 Months | 3.86% |
36 Months | 4.00% |
Dow Credit Union, which started in 1937 and is the 182nd credit union in Michigan, is really easy to join. Almost everyone is eligible to become a member.
Marcus by Goldman Sachs
APY Range
Minimum Deposit
Terms
Fees
People living in Michigan can also consider Marcus. Marcus is part of Goldman Sachs and offers various financial products. One of their notable options is CDs, which let you choose how long to invest and provide competitive interest rates on all terms.
Marcus is a good choice if you want to use CD laddering. Among online banks, they are known for offering some of the best rates for CDs. You don't need to deposit a large amount of money to start, and the fees for withdrawing your money early are reasonable.
CD Term | APY | Early Withdrawal Penalty |
|---|---|---|
6 Months | 4.80% | 90 days interest |
9 Months | 4.90% | 90 days interest |
12 Months | 4.90% | 180 days interest |
13 Months – No Penalty | 4.15% | / |
18 Months | 4.60% | 180 days interest |
24 Months | 4.90% | 180 days interest |
36 Months | 4.15% | 180 days interest |
48 Months | 4.05% | 180 days interest |
60 Months | 4.00% | 180 days interest |
72 Months | 3.90% | 270 days interest |
Since Marcus is an online bank, they don't have physical branches. However, you can easily reach their customer support team through their website, app, or phone services.
Sallie Mae
APY Range
Minimum Deposit
Terms
Fees
If you're living in Michigan and looking for a good banking option, Sallie Mae is a great choice. They offer really nice interest rates and plenty of choices for how long you want to save your money.
In order to open a certificate of deposit (CD) account with Sallie Mae, you need to deposit at least $2,500. If you take your money out early, Sallie Mae doesn't charge as much as other banks – the early withdrawal penalties are reasonable.
CD Term | APY | Early Withdrawal Penalty |
|---|---|---|
6 Months | 4.80% | 90 days of interest |
9 Months | 4.85% | 90 days of interest |
12 Months | 4.95% | 90 days of interest |
18 Months | 4.75% | 180 days of interest |
24 Months | 4.50% | 180 days of interest |
30 Months | 4.00% | 180 days of interest |
36 Months | 4.00% | 180 days of interest |
60 Months | 4.00% | 180 days of interest |
Sallie Mae Bank is part of a company called SLM Corporation, which is known for helping students with loans. They focus on online banking and offer different ways to save money, like regular savings accounts, CD accounts, and a money market account.
Discover Bank
APY Range
Minimum Deposit
Terms
Fees
Discover Bank has good CD rates that compete well with other banks and credit unions almost every term. This means finding the right option for your savings goals or setting up a CD ladder is easy.
If you want to open a CD with Discover, you'll need to deposit at least $2,500. Discover Bank is one of the few banks that offer a 10-year CD. Although they have penalties for withdrawing early, they are fair and depend on how long you've had the CD.
CD Term | APY | Early Withdrawal Penalty |
|---|---|---|
3 Months | 2.00% | 3 months interest
|
6 Months | 4.25% | 3 months interest
|
9 Months | 4.25% | 3 months interest
|
12 Months | 4.70% | 6 months interest
|
18 Months | 4.40%
| 6 months interest |
24 Months | 4.00% | 6 months interest |
30 Months | 3.75% | 6 months interest |
36 Months | 3.75% | 6 months interest |
48 Months | 3.75% | 9 months interest |
60 Months | 3.75% | 18 months interest |
120 Months | 3.75% | 24 months interest |
Discover Bank is a great choice if you live in Michigan and you're looking for a reliable bank with excellent customer service and a wide range of banking products.
Bank of America
APY Range
Minimum Deposit
Terms
Fees
Even though regular banks usually offer low CD rates, many people still prefer to stick with their old, well-known bank. That's why we've decided to include one such bank on our list.
Bank Of America is one of the biggest banks in the US and has over 15 branches in Michigan. They offer competitive CD rates, but only for specific time periods known as “featured CDs.” It's important to choose wisely because not all CD periods have good interest rates.
CD Term | APY |
|---|---|
6 Months | 0.03% |
7 Months (Featured) | 4.75% |
12 Months | 0.03% |
13 Months (Featured) | 4.30% |
24 Months | 0.03% |
25 Months (Featured) | 3.20% |
36 Months | 0.03% |
To make the best decision, it's recommended to explore the available featured CD periods and have discussions with a bank representative about the current opportunities.
Moreover, if you have a large amount of money to deposit, Bank Of America, a traditional bank, allows for rate negotiations. So, if you find yourself in this situation, it's beneficial to make use of this opportunity and secure the best possible rate.
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Jumbo CDs In Michigan
Jumbo CDs are like regular CDs but require you to deposit more money. The minimum deposit can vary depending on the bank, but it's usually more than $100,000. Other terms and conditions are similar to regular CDs.
You have a few options if you're interested in getting a jumbo CD in Michigan. The first option is to search online for better rates on jumbo CDs. You can try typing “best Jumbo CDs” and see your results. However, only a few online banks offer slightly higher rates on jumbo CDs. Also, these comparison websites may not show you all the available options.
Another option is to check with your regular bank. Traditional banks are often willing to offer higher rates for large deposits and may be open to negotiating. Since you already have a relationship with your banker, talk to them and see what they can offer you.
The last option is to check out with 5-6 traditional banks in Michigan. Before committing to your bank, explore what other banks are offering. Putting in a little effort can potentially save you thousands of dollars.
Can I Find Better CD Rates In Michigan
Yes, this is possible. There are many banks and credit unions in X, and it's definitely possible to find better rates for specific terms elsewhere. It's always recommended to check out and compare, as things are constantly changing – banks increase and decrease rates frequently, and they sometimes offer promotions for specific terms.
However, the list above not only takes into account the best CD rates in Michigan but also considers additional factors such as minimum deposit, early withdrawal fees, and ease of use.
The selected banks and credit unions are relevant for different types of customers in Michigan, including individuals looking to grow their emergency fund, families saving for a down payment, traditional banks, credit unions, or online banking.
We have covered all these options, providing competitive rates and CD conditions that are above average.
How To Smartly Compare CDs?
When comparing and choosing the best CD for your needs, there are several key factors to consider:
Interest Rate: Compare the interest rates offered by different CDs. The interest rate directly affects your investment earnings. Look for CDs with competitive rates that maximize your returns.
Term: CDs have specific lengths, such as 3 months, 6 months, 1 year, etc. Consider your financial goals and needs to determine the ideal term for your investment. Longer-term CDs generally offer higher interest rates but tie up your funds for a longer period.
Bank Reputation: Place your money in a bank that instills confidence. Read online reviews, assess the bank's financial stability, and check customer service records.
Early Withdrawal Penalty: Understand the terms and conditions regarding early withdrawal penalties. If you anticipate needing access to your funds before the CD matures, look for CDs with lower penalties or flexible withdrawal options.
Minimum Deposit Requirements: Some CDs have minimum deposit requirements. Ensure that you can meet the minimum deposit amount before opening the account. Consider whether you're comfortable with the required deposit and if it aligns with your investment goals.
Compounding Method: CDs can compound interest at different intervals, such as daily, monthly, quarterly, or annually. The more frequent the compounding, the higher your overall returns will be.
CD Type: Certain CDs may offer additional features, like step-up rates (interest rate increases over time) or add-on options (allows additional deposits). Evaluate these features to see if they align with your investment strategy.
Compare CD Rates Side By Side
Best CD Rates In Michigan: Research Methodology
The Smart Investor team extensively researched to identify the best CD rates in Michigan. We assessed them based on four main categories:
- Interest Rates and Terms (50%): We examined the interest rates offered by CD accounts in Michigan and any accompanying terms, such as the duration of the CD term, early withdrawal fees and minimum deposit requirements. CD accounts with higher interest rates and more favorable terms received higher ratings in this category.
- Account Features (20%): This category evaluated additional features offered by CD accounts, such as the option for automatic renewal at maturity, flexibility in terms of interest payout frequency (e.g., monthly, quarterly, or at maturity), and any special promotions or bonuses. CD accounts with extra features and flexibility earned higher scores.
- Customer Experience (20%): We analyzed the ease of opening a CD account, communication with customer service representatives, the usability of online banking platforms (tested by our team), and the availability of support channels. CD accounts offered by banks with user-friendly interfaces, responsive customer support, and efficient digital banking tools received higher ratings.
- Bank Reputation (10%): Our team scrutinized each bank's reputation based on factors such as customer satisfaction ratings, JD Power scores, TrustPilot reviews, and the bank's Better Business Bureau (BBB) profile. Banks with positive reputations and minimal customer complaints regarding CD account services received higher ratings.
We assigned weights to various features and qualities within each category to ensure a comprehensive evaluation of each CD account's offerings. Our ratings were based on a combination of these factors to assist consumers in selecting the best CD account in Michigan to meet their financial needs.
