This Certificate of Deposit (CD) Still Has a 6% APY -- For Now

For two decades, certificates of deposit (CDs) were nothing to gush over -- just a safe place to park some savings for the long term. Sure, you might have snagged a 2% or 3% rate on a long-term CD in 2022, but with inflation at levels more than twice that, it was hardly worth the effort.

Fast forward to 2024 and many CDs are now paying out at rates above 5%, with the best CDs currently at 5.30%. Almost every bank has its own "special CD," which, regardless of whether it's truly special or in fact mediocre, shows how popular CDs have become in a high interest rate environment.

So popular, in fact, one credit union is still offering the crème de la crème of these products -- the elusive 6% CD. Yes, though many credit unions once offered 6% CDs, the list in 2024 has been reduced to just one -- Financial Partners Credit Union.

Financial Partners Credit Union (8-month CD)

The Financial Partners Credit Union 8-month CD recently dropped from 6.50% to 6.00%. It's still one of the highest paying CDs on the market, though you'll need to meet some strict criteria to open an account.

For one, this CD offer is only available to new members of the credit union. It also has a minimum deposit of $1,000 and a maximum deposit of $5,000. If you were to deposit the maximum, you would earn $200 over eight months, or about $25 monthly.

To join the Financial Partners Credit Union, you must live, work, or study in one of the following California cities or counties:

• Alameda
• Los Angeles
• Orange County
• Riverside
• San Diego
• South San Francisco

I don't live, work, or study in California. What are my alternatives?

If you're not eligible for Financial Partner Credit Union's CD, you still have plenty of great CD options to choose from. I'd recommend shopping on the financial marketplace Raisin, where many of the highest-paying CDs live. For example, as of March 22, you can find a CD for 3 Months from Western Alliance Bank with a 5.26% APY, and a CD for 5 Months with a 5.30% APY.

You can also find great APYs on non-CD products, like savings and money market accounts. For example, the Vio Bank Cornerstone Money Market Savings is currently paying out at 5.30% APY. Unlike CDs, you don't have to lock your cash into a money market account, which might suit your goals better. At the same time, this APY is variable and will likely fluctuate when the Federal Reserve begins cutting interest rates.

Surprisingly, some of the best checking accounts are even paying out at rates above 5%. This can give you immense flexibility with your funds, plus decent earnings on interest every month. If you're interested, check out Redneck Bank, whose Redneck Rewards® Checkin' Account pays out at 5.30% on balances up to $15,000. You might also be interested in Climate First Bank's Choice Checking, which can guarantee an APY of 5.34% until at least June 1, 2024.

All in all, if you're not eligible for the Financial Partners Credit Union 8-month CD, you still have plenty of excellent choices. Take a look at our list of top-paying CDs and lock into a great CD rate before it's too late.