Best 9-month CD rates of November 2023

Ally Bank High Yield CDs

Blueprint Rating

9-month APY

5.05%

Minimum balance

$0

What you should know

Ally Bank’s 9-month CD has a strong 5.05% APY that compounds daily.

There’s no minimum balance requirements, though should you withdraw your funds early, you will pay a penalty equal to 60 days of interest (for terms of 24 months or less). When the CD matures, you’ll have 10 days to withdraw the money — if you take no action, the CD will automatically renew into the same term, unless otherwise stated. There is currently a promotion that gives you an additional 0.05% loyalty reward on a CD when it is renewed.

As an online-only bank, Ally doesn’t have physical branches. However, it does offer 24/7 customer support both online and on the phone. This gives you the chance to talk to a real person if you have any questions or concerns before opening an account.

Pros and cons

Pros

• High yields.
• No monthly maintenance fees.
• Easy online user experience.

Cons

• No physical branches.
• Can’t make cash deposits.

Greenwood Credit Union Certificates

Blueprint Rating

9-month APY

5.50%

Minimum balance

$1,000

What you should know

Greenwood Credit Union offers a 5.50% APY on its 9-month Certificate, which is manna for savers. Interest compounds daily and is credited monthly. There is a $1,000 minimum balance requirement, which isn’t prohibitive, but could be too high for new savers.

The credit union offers a “Bump Up” feature on its three-, four- and five-year terms, but not for the 9-month certificate. Bump-ups allow you to raise the rate of the CD if interest rates rise during the term of the CD, within limits.

Fees aren’t readily available on the credit union’s website, but you can use its text feature to reach a representative, who told us that the penalty for an early withdrawal is 6 months’ of interest, though you won’t face a penalty if you only take out the interest you’ve earned. Moreover, there’s a 7-day grace period from the time of maturity to withdrawal your funds.

Greenwood Credit Union is headquartered in Rhode Island but all of their products and services are available to customers nationwide. You can manage your Greenwood Certificate (CD) and any other account you open through their app or online through their website.

You will need to open a savings account with $5 to become a member.

Pros and cons

Pros

• High APY.
• Easy online and app usage.
• Available to anyone nationwide.

Cons

• $1,000 minimum balance requirement.
• Bump Up feature only offered on three-, four- and five-year certificates.

Synchrony Bank CDs

Blueprint Rating

9-month APY

5.50%

Minimum balance

$0

What you should know

Synchrony Bank offers a robust 5.50% APY on its 9-month CD with no minimum balance requirements, making it a great option for fledgling savers.

Synchrony also offers traditional CDs from 3 months to 5 years, a Bump Up 24-month CD and a No Penalty 11-month CD — but those APYs are lower than the 9-month traditional CD option.

If you withdraw your funds before the 9-month term is up, you’ll pay an early withdrawal penalty equal to 90 days of simple interest at the current rate. When the CD matures, you’ll have 10 days to withdraw the funds, add new funds or change the term. Otherwise, your CD will automatically renew. You’ll get a notice 30 days before maturity so you don’t miss the window.

Pros and cons

Pros

• High APY.
• No minimum balance to open an account.
• Live chat option for 24/7 customer support.

Cons

• No physical branches.
• No 24/7 phone support.

Sallie Mae Bank CDs

Blueprint Rating

9-month APY

5.10%

Minimum balance

$2,500

What you should know

Sallie Mae Bank’s 9-month CD offers a 5.10% APY, which is significantly higher than the average financial institution provides and in line with the rest of our winners. There is a healthy minimum balance requirement of $2,500. That could be a problem for new savers, or even those looking to craft a CD ladder, but less of an issue if you’re an experienced hand needing just a 9-month CD option.

If you withdraw the funds from the CD before the 9-month term ends you’ll pay a penalty equal to 90 days’ simple interest. When CD matures, you will have 10 days to withdraw the funds penalty free. You could also open a new CD with different terms or for a different amount.

If you don’t take any action, the CD will renew automatically but you may not receive the same APY. The new CD will earn the market rate at that time.

Pros and cons

Pros

• Competitive APY.
• No monthly fees.

Cons

• High opening balance requirement.
• No in-person branch access.

Fidelity CDs

Blueprint Rating

9-month APY

5.40%

Minimum balance

$100

What you should know

Fidelity’s 9-month CD earns a 5.40% APY which is very competitive. You can get started with as little as $100.

It’s important to note that Fidelity offers brokered CDs. These are a lot like bank CDs but you don’t have the option to withdraw the funds early. If you want to cancel the CD during the term you must trade them on the secondary market. This could mean a loss of principal if interest rates have gone up since you got the CD.

It’s also possible that your CD can be “called” which means that your investment is returned early and you don’t get interest on the entire term. Some CDs are protected from calls, so make sure to read your terms.

Pros and cons

Pros

• High APY.
• Lots of CD options available, including fractional and zero-coupon CDs.
• The value of your CD could rise if interest rates drop.

Cons

• Subject to market risk if you need to withdraw the funds early.
• Brokered CDs earn simple interest, not compound interest like traditional CD options.

Compare the best 9-month CDs

What is a 9-month CD?

A 9-month CD is a certificate of deposit that pays interest at a fixed rate for nine months. Because you agree to keep your funds in the account throughout the term, you typically earn a higher interest rate than you would with a traditional savings account. 

Once the CD term ends, you can either withdraw your funds — along with the interest you earned — or roll the money into a new CD account. You get the benefit of at least $250,000 in deposit insurance, too, as long as the financial institution is federally insured. Deposit insurance protects you against bank failure.

If you need to withdraw your money before the CD matures, you may pay a penalty that’s equal to a few months’ worth of interest, typically between 60 and 90 days. 

Short-term vs. long-term CDs

Nine-month CDs are usually categorized as short-term CDs, which generally have terms of 12 months or less. Long-term CDs mature in three years or more, while medium-term CDs fall somewhere in the middle. 

No matter the term, standard CDs work the same way: Make a deposit and agree to keep the funds in the account for the term in return for a guaranteed interest rate. If you need your money before the term ends you’ll pay an early withdrawal fee. 

When choosing a CD, one of the most important features to consider is its term. You’ll need to choose one that works with your financial goals and timeline. Here’s a rundown on short-term vs. long-term CDs.

Short-term CDs

A short-term CD generally has a term of 12 months or less, which provides the flexibility to either use your money when the CD matures or renew it at a better interest rate.

Here are some of the benefits of a short-term CD:

Higher interest rates: Short-term CDs right now come with higher interest rates compared to longer-term CDs, so you may earn more money on your deposit. (When the Fed eventually lowers interest rates, and the economy as a whole weakens, that dynamic could change). A CD calculator can help you estimate your earnings.

Shorter maturity timelines: You’ll lock away your funds for a shorter period of time, so you get your money back sooner. This allows you to spend your money if you need it, or open another CD with a higher rate if one’s available.

But short-term CDs also have some downsides:

Interest rate risk: If you prioritize short term CDs because they offer higher yields at the moment, you may end up with less earning over the long-haul. That’s because long-term yields are still relatively high, especially compared to pre-pandemic levels. If you lock in a 10-year CD at a 4.00% APY, say, you guard yourself against rates going down in the future. If you stick with just short-term rates, then, you’re more sensitive to interest rate changes, which is a negative if they end up falling.

Requires a plan: You’ll need to research your options sooner than you would with a longer-term CD. Will you withdraw the funds, research better rates somewhere else or simply renew the CD at the same institution? 

Long-term CDs

Long-term CDs generally have maturities of three to 10 years or more. Savers open long-term CDs when they want to lock in a good rate and know they won’t need their money for a while. 

Some of the pros of a long-term CD include:

Lock in high returns. While your bank or credit union likely offers a lower yield on its long-term CDs than short-term ones (a testament to these weird economic times), long-term rates are high by recent historical standards. Moreover, long-term yields are liable to fall should the economy slow down. If you want to lock in a high rate for money you won’t need for five years, such as your kid’s college tuition, this is a good option. 

Set it and forget it. You don’t have to think about what you’ll do with your funds for a longer period of time compared to a CD with a shorter term. 

But consider the cons of a long-term CD, too:

Opportunity costs. By locking your money into a longer-term CD, “you may miss out on other savings opportunities that could provide higher returns or better liquidity,” said Jane Lee, area director for Citi U.S. Personal Banking. 

What is a good CD rate?

A good CD rate is relative — meaning it depends on the term, what other banks are offering and what’s happening in the overall marketplace. 

As of October 16, 2023, the national average 6-month CD is paying a 1.39% APY, while the national average 12-month CD is paying a 1.79% APY, according to the Federal Deposit Insurance Corp. (FDIC). The national agency doesn’t track 9-month CDs, but they likely pay a rate somewhere in the middle. 

Many banks and credit unions are offering high-yield CDs paying rates around 4.30% to 5.00% APY or more for 9-month terms.

“CD rates are great compared to the last 10 years, but still lower compared to some times in the ‘80s,” when they hit 18%, said Scott Ferguson, a certified financial planner and wealth advisor at Abundant Life Financial.

How to find the best CD term and rate

Researching your options will give you a better chance at finding a CD with the best interest rate and a term that works for you. Here’s how to start:

1. Consider your financial goals. Define what you’re saving for and when you’ll need the money. Then choose a CD term that aligns with that goal. You could also open a CD ladder if you need your money at some point or you think rates are on the rise.
2. Research banks. Check out a mix of large and small banks and credit unions — including the institution where you normally keep your money. Lee says you may qualify for limited-time relationship benefits or special offers depending on where you’re located. If you like your bank and it offers competitive rates on CDs, then “spending a lot of time to go to a new bank with new paperwork may not be worth it for a relatively small rate difference,” Ferguson says. 
3. Compare CDs. After finding several reputable banks, start looking through their CD offerings. Check the terms, interest rates, penalties and minimum opening deposits to see what’s available to you.
4. Narrow your choices. Once you have a few good options, read the fine print and look for any drawbacks. For instance, Ferguson says, “what happens when the CD matures; does it automatically start a new time period and if so, at what rate?”
5. Choose your CD. The best CD has a term that works for your financial goals, pays a good interest rate, and doesn’t charge excessive fees and penalties.