1 Year CD Rates

In the United States a one year CD or certificate of deposit is a 1 year (12 month) low risk investment and savings product provided by banks and thrifts for investors or customers. It typically offers a higher rate of interest than a regular savings account with banking institutions providing a variety of maturity range options such as 7 days to 10 years with 1 year maturity products commonly available.

The convention historically for a 1 Year US dollar local currency CD was calculated at 360, however more recently some retail banks offer their CDs at 365 days which is similar to the UK. Like other CD products, when a 1 year CD matures you receive your principal plus interest however if you redeem this product before it matures you may have to pay an "early withdrawal" penalty or forfeit some of the interest it has earned.

Where can you get 1 Year Certificate of Deposit Products?

One year CD products are available through banks, credit unions, thrifts as well as many brokerage firms who offer 'brokered CDs'. The interest options by these firms for these 1 year CDs may include interest payments at maturity, semi-annual or monthly with many offering daily compounding.

A 1 year certificate of deposit is covered under the FDIC with deposit insurance covered up to the applicable limit on a per customer and per institution basis. (More information at the FDIC.gov website).

How are Interest rates for 1 Year CD maturity determined?

Like other CD products, a one year CD interest rate is affected by various variables that a financial institution would use in their financial models determining the rate including the federal funds rate, regulation requirements, competition as well as liquidity and funding requirements. The most important factor is the federal funds rate set by the FOMC through its current and future policy expectations of inflation and forecasted interest rate movements. In particular the yields on a 1 year CD tend to exceed the treasury rate as well other short term federal instruments with the higher rate attributable to that the a CDs earnings are taxable while the Treasury bond interest is exempt from state and local income taxes.

When considering opening up a CD account it always important to consider the the real rate of return on a certificate of deposit after inflation is taken into account.

Highest Interest Rates on One Year / 12 month CD rates in the United States

Deposit Account Type APY Account Details
MetLife Bank 1 Year CD Rates1.10% Interest Rate is for a deposit $100,000+ for a 12 month period.  The related MetLife Bank de - USD - Aug, 2014More Info
Discover Bank 1 Year CD Rates1.00% The current interest for this CD product is for a 12 month term with a minimum of $2,500 to open - USD - Aug, 2014More Info
Ally Bank 1 Year CD Rates1.00% The interest rate for the cd product 'high yield cd' is for a 1 Year Term which requires no minim - USD - Sep, 2014More Info
SECU 1 Year CD1.00% The rate indicated is for a standard STC or CD for a 1 year/12 month period. Please note that SEC - USD - Sep, 2014More Info
Navy Federal Credit Union 1 Year CD Rates0.85% The interest rate indicated is for the 'Short-Term Certificate'  product and is f - USD - Aug, 2014More Info
PenFed 1 Year CD Rates0.80% - USD - Aug, 2014More Info
USAA 1 Year CD Rates0.76% This cd product is for a 12 month / 1 year period with standard, jumbo and super jumbo cd interes - USD - Aug, 2014More Info
Ameriprise 1 Year CD Rates0.75% This CD product is called a 'AmeripriseŽ Flexible Savings Certificate' and the indicated rate app - USD - Aug, 2014More Info
Sovereign Bank 1 Year CD Rates0.60% This interest is determined from the 15 month special product (closest to 1 year rate), calculate - USD - Aug, 2014More Info
Edward Jones 1 Year CD Rates0.55% The rate is applicable for the 1 year CD product with a minimum $5,000 deposit. The product - USD - Aug, 2014More Info
American Express Bank 1 Year CD Rates0.55% The interest rate for this 12 month CD account is for a 1 year term requiring as much as $1 minim - USD - Aug, 2014More Info
Fidelity 1 Year CD Rates0.50% The interest rate yield for this fixed income investment is for a 1 year period. Selected from Fi - USD - Aug, 2014More Info
Vanguard 1 Year CD Rates0.45% The applicable yield rate is for a 12 month CD product and new issue.  The Vanguard Brokerag - USD - Aug, 2014More Info
BBVA Compass 1 Year CD Rates0.45% This interest rate applies to the State of California - 'Southern California', please refer to we - USD - Aug, 2014More Info
ING Direct USA 1 Year CD Rates0.40% The Interest rate for this ING Direct 'Orange CD' (Capital One) Account is for a 12 month / 1 yea - USD - Aug, 2014More Info
Bank of China USA 1 Year CD Rates0.35% The following interest rate APY is for a 'Certificate of Deposit' account type, a 1 year term and - USD - Jul, 2014More Info
Fifth Third Bank 1 Year CD Rates0.25% The current interest rate applies to the 'Standard CD' product and is for a 12 to 24 month CD ter - USD - Aug, 2014More Info
Rabobank America 1 Year CD Rates0.25% The interest rates for this CD requires a minimum of $2,500 and is for a time horizon of 1 year ( - USD - Aug, 2014More Info
PNC 1 Year CD Rates0.22% Rate is for 12 months with a minimum balance of 500,000 or more at a 'Fixed Rate CD Only' for the - USD - Sep, 2014More Info
Citibank 1 Year CD Rates0.20% 12 month Rate is applicable for a state of California. - USD - Aug, 2014More Info
Union Bank 1 Year CD Rates0.15% The interest rate provided below was based on the CD product for a range between 12 to 17 months - USD - Aug, 2014More Info
BMO Harris Bank 1 Year CD Rates0.10% The interest rate for this BMO Harris certificate of deposit account is for a 1 year / 12 month p - USD - Aug, 2014More Info
US Bank 1 Year CD Rates0.10% This interest rate applies the 'Standard CD' product and is for a 12 month / 1 year term and was - USD - Aug, 2014More Info
KeyBank 1 Year CD Rates0.10% The interest rate for this cd account was determined using a postcode for New York and is for the - USD - Aug, 2014More Info
Regions Bank 1 Year CD Rates0.10% The interest rate is applicable for Houston, Texas (77002) and is for a 12 month/1 year time fram - USD - Aug, 2014More Info
Wells Fargo 1 Year CD Rates0.05% - Rate is for 'Standard CD Rates' for 1 year and applies for the state of California, it also req - USD - Aug, 2014More Info
CHASE 1 Year CD Rates0.05% Rate is for a deposit for 12 months with a $1,000 Minimum Opening Deposit from 90210 postcode but - USD - Aug, 2014More Info
Bank of America 1 Year IRA CD Rates0.05% This IRA interest rate is for a term between 1 year to 17 months and is under the 'Standard CD/IR - USD - Sep, 2014More Info
Charles Schwab 1 Year CD Rates0.03% The rate indicated is for a 12 month/1 year term with the tier balance required to be above $20,0 - USD - Aug, 2014More Info
HSBC USA 1 Year CD Rates0.01% This interest rate is for '12 Months - online cd' with minimum balance to open the account is $10 - USD - Aug, 2014More Info