Best IRA CD Rates for November 2024: Grow Your Retirement Fund

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If you're planning on retiring soon, an IRA CD can be a good way to build up some extra money for retirement.

An IRA CD is not the same as a regular CD. If you're looking for a regular CD that isn't geared toward retirement, check out our best CD rates guide instead.

An IRA CD is a type of retirement account that invests your money in a CD. When you open a regular CD, you're putting away money for the near future — with an IRA CD, your CD is part of your long-term retirement savings strategy.

Best IRA CD Rates

• Digital Federal Credit Union IRA CD: 3.40% to 4.75% APY
• Quorum Federal Credit Union IRA Term Savings: 2.20% to 4.75% APY
• Signature Federal Credit Union IRA Certificate: 4.00% to 4.75% APY
• America First Credit Union IRA Certificate: 4.10% to 4.65% APY
• NASA Federal Credit Union IRA CD: 3.85% to 4.64% APY
• Wells Fargo IRA CD: 0.01% to 4.51% APY
• Delta Community Credit Union IRA CDs: 3.35% to 4.50% APY
• Citi IRA CD: 0.05% to 4.50% APY

Compare the Best IRA CDs

The best IRA CDs pay significantly more than average CD rates. Our top picks also have reasonable fees and come in a variety of terms.

You can open the best IRA CDs regardless of where you live in the United States. These CDs are available nationwide. Learn more about our top picks below.

Digital Federal Credit Union IRA Certificate

Digital Federal Credit Union offers both regular IRA certificates and jump-up IRA certificates, which work like bump-up CDs. It has strong short-term IRA certificate rates, and it has a relatively low opening minimum deposit of $500.

Like all credit unions, Digital Federal Credit Union limits who can join. However, it makes joining easier than most.

To be eligible to join, you can be an employee of one of its many participating employers, you can live, work, worship, or attend school in specific parts of Massachusetts, or you can be related to a member.

If none of those are true for you, you can become eligible by joining one of several participating organizations. The membership fees for these organizations range from $10 to $120, and you can join several of them while applying for Digital Federal Credit Union membership.

Minimum opening deposit: $500

Term options: 3 months to 5 years

Early withdrawal penalties: Digital Federal Credit Union IRA certificates have the following early withdrawal penalties:

• 60 days interest for terms of 3 months to 11 months
• 90 days interest for terms of 1 year to 35 months
• 180 days interest for terms of 3 years to 5 years

Quorum Federal Credit Union IRA Term Savings

Quorum Federal Credit Union offers a good rate on its IRA term savings. They also double as jumbo CDs: if you put over $100,000 in the account, you'll receive a small boost to your interest rate. If you're looking for an IRA CD that's also a jumbo CD, this might be a good choice for you.

Like all credit unions, Quorum Federal Credit Unions has limits on who can join. Luckily, Quorum is easier to join than most. The easiest way to join is to become an American Consumer Council member, but you can also join by becoming a Select Savers Club member, working for a select employee group, or being a family member of someone who's already part of Quorum.

Minimum opening deposit: $1,000

Term options: 3 months to 5 years

Early withdrawal penalties: Digital Federal Credit Union IRA certificates have the following early withdrawal penalties:

• 1% of the amount withdrawn, never to exceed the original principal, for terms from 2 to 11 months
• 2% of the amount withdrawn, never to exceed the original principal, for terms from 1 year to 2 years
• 3% of the amount withdrawn, never to exceed the original principal, for terms of 25 months and over

Quorum Federal Credit Union Review

Signature Federal Credit Union IRA Certificate

Signature Federal Credit Union offers strong rates on its IRA CDs. Its IRA CDs can be traditional, Roth, or ESA (educational) IRAs. If you're interested in opening an educational IRA, Signature might be a good choice for you.

However, Signature's CDs compound monthly, not daily. If you're interested in a CD that compounds daily, you might want to look elsewhere.

All U.S. residents can join Signature Federal Credit Union by joining the American Consumer Council for free.

Minimum opening deposit: $500

Term options: 3 months to 5 years

Early withdrawal penalties: The penalties for early withdrawal are as follows: 

• No penalty for a CD term of 3 months to 1 year
• 180 days interest for a CD term of 18 months to 4 years
• 1 year of interest for a 5-year CD

Signature Federal Credit Union Review

America First Credit Union IRA Certificate

America First Credit Union offers good rates on its CDs, especially short-term CDs. It also offers CDs for each month between 3 months and 60 months. Most banks and credit unions don't have that many term length options.

America First Credit Union limits who can join. Membership is available to people who live, work, study, worship, or volunteer in select counties of Arizona, Idaho, New Mexico, Nevada, Oregon, and Utah. You're also eligible to join if you work for a company on its Select Employer Group list or are a member of an affiliated association.

Minimum opening deposit: $500

Term options: 3 months to 5 years

Early withdrawal penalties: America First Credit Union IRA certificates have the following early withdrawal penalties:

• 60 days interest for terms of 3 months to 12 months
• 180 days interest for terms of 13 months to 5 years

America First Credit Union Review

NASA Federal Credit Union IRA Certificate

NASA Federal Credit Union offers several specialty IRA certificates. Its specialty certificates include a 1-year Early Savers IRA certificate for members 23 or under, a 1-year Add-On IRA certificate that lets you add money into your CD during its term length, and two Bump-Rate IRA certificates that let you raise your rate once during the certificate's term length if NASA Federal Credit Union raises its rates.

The Early Savers IRA certificate has a very low minimum opening deposit of $50, while the Add-On IRA certificate has a still-low minimum opening deposit of $250.

Unfortunately, if you're interested in NASA Federal Credit Union's best rates, you'll need to have at least $10,000 for a minimum opening deposit. Otherwise, NASA's IRA certificates have a standard $1,000 minimum opening deposit.

To open an IRA CD with NASA Federal Credit Union, you'll need to meet its eligibility requirements. Luckily, NASA Federal Credit Union makes this easier than most.

When joining NASA Federal Credit Union, it will provide you with a free one-year membership with the National Space Society, which will qualify you for membership. You can also qualify for membership if you work or worked for NASA, are an employee of one of NASA Federal Credit Union's many partner companies, or if you are directly related to a current member.

Minimum opening deposit: $50 to $10,000

Term options: 6 months to 5 years

Early withdrawal penalties: Early withdrawal penalties for NASA Federal Credit Union IRA certificates are as follows:

• 182 days of interest for terms up to 24 months
• 365 days of interest for terms greater than 24 months

Wells Fargo IRA CD

Wells Fargo offers strong rates on several IRA CDs, although not all of its IRA CDs' rates are high. It's also a nationwide brick-and-mortar bank, so if you want to bank in-person, Wells Fargo might be your best bet.

To earn Wells Fargo's best IRA CD rates, you'll need to meet several criteria. First of all, you'll need to have a Wells Fargo checking account to earn its relationship rate. You'll also need to match the higher minimum opening deposit of $2,500 that Wells Fargo requires for its best rates. And Wells Fargo IRA CD rates differ by location, so you'll need to live in an area that offers the best rates.

Minimum opening deposit: $1,000 to $2,500

Term options: 1 month to 12 years

Early withdrawal penalties: The penalties for early withdrawal are as follows: 

• 1 month of interest for terms of less than 3 months
• 3 months of interest for terms of 3 months to 1 year
• 6 months of interest for terms of over 1 year to 2 years
• 1 year of interest for terms over 2 years

Wells Fargo Bank Review

Delta Community Credit Union IRA CDs

Delta Community Credit Union offers both regular and IRA CDs. Its IRA CDs have similar requirements and terms as its regular CDs, but they don't offer a 6-month term. Its IRA CDs offer strong rates. Its 1-year CD has the strongest rate, at 4.50% APY. Its CDs also come with slightly lower-than-average early withdrawal penalties, depending on the term you choose.

You'll have to meet some requirements to join Delta Community Credit Union. You're automatically eligible to join if you live or work in certain parts of Georgia, or if you work for one of the credit union's employer groups. You can also join by being a part of one of its affiliated associations, by being related to a current member, or by being a Delta Airlines employee who is a non-U.S. citizen and lives in one of several countries.

Minimum opening deposit: $1,000

Term options: 1 year to 5 years

Early withdrawal penalties: Delta Community Credit Union IRA certificates have the following early withdrawal penalties:

• 60 days of interest for terms of 6 months
• 90 days of interest for terms of 1 year
• 180 days of interest for terms of 2 years to 3 years
• 270 days of interest for terms of 5 years

Delta Community Credit Union Review

Citi IRA CDs

Citi offers IRA CDs with a wide range of term lengths. Several of its IRA CDs, such as its 3-month IRA CD, offer high rates. Citi has a low minimum opening deposit for its IRA CDs, which can be helpful if you want to open an IRA CD with a small amount of money. 

Some of Citi's IRA CDs offer rates as low as 0.05% APY. Before you commit to a Citi IRA CD, make sure the term length you're interested in has a high interest rate.

Minimum opening deposit: $250

Term Options: 3 months to 5 years

Early withdrawal penalties: Citi IRA CDs have the following early withdrawal penalties:

• 90 days of interest for terms of 1 year or less
• 180 days of interest for terms of greater than 1 year 

Citi Review

Bank Trustworthiness and BBB Ratings

We review the ethics of each company so you can see if a specific financial institution aligns with your values.

We include the settlement history of the last 3 years so you're aware of any recent public controversies involving the bank. None of the banks on our list have any recent public scandals, though.

The Better Business Bureau grades companies based on responses to customer complaints, honesty in advertising, and transparency about business practices. Here are the BBB scores for our top picks:

Signature Federal Credit Union has a B- rating from the BBB because it hasn't responded to a few customer complaints.

NASA Federal Credit Union has an A rating from the BBB because of a few unresolved customer complaints.

Citi has an F rating from the BBB because it hasn't responded to or resolved many complaints filed against the business.

Wells Fargo and Citi have been involved in a few public controversies. 

In December 2022, the Consumer Financial Protection Bureau required Wells Fargo to pay more than $3.7 billion in a settlement that accused the bank of wrongfully charging fees that led thousands of customers to lose vehicles and homes. The settlement also accuses the bank of wrongfully charging overdraft fees on checking and savings accounts.

In 2021, Wells Fargo consented to a Cease and Desist order from the Office of the Comptroller of the Currency. The OCC stated that the bank's home lending loss mitigation program was unsuccessful, and it charged Wells Fargo a $250 million civil penalty.

In November 2023, the Consumer Financial Protection Bureau claimed Citi intentionally discriminated against Armenian-American credit card applicants. The CFPB ordered the bank to pay $25.9 million in fees and to applicants who were impacted.

In addition, Citi is currently being sued for sexual harassment by a managing director at the company, Ardith Lindsey. Citi hasn't admitted to any wrongdoing, and this case is ongoing.

Types of IRA CDs

Traditional IRA CDs

Traditional IRA CDs work like Traditional IRAs, in that you put money into the account before you pay income tax on that money. You'll be taxed on your funds when you take them out of the account. You can deduct your contributions when you file your tax returns.

Roth IRA CDs

Roth IRA CDs work like Roth IRAs, in that you put post-tax money in the account. This means you won't have to pay taxes on the money when you take it out of the account, but it also means you're putting less money in the account than you would if you went with a traditional IRA CD. You can't deduct your contributions when you file your taxes.

SEP IRA CDs

If you're self-employed, or if you own a small business, you can still open an IRA CD. SEP IRAs, or Simplified Employee Pension IRAs, are a type of IRA that allows you to contribute funds for both yourself and any eligible employees of your business. SEP IRAs come with higher contribution limits than other types of IRAs. Some banks allow you to open SEP IRA CDs, in addition to standard SEP IRAs.

What Influences the Best IRA CD Rates

Market Fluctuations

Banks and credit unions have to respond to market changes when setting their rates. For example, if other banks and credit unions raise their rates, then your financial institution will have to raise its rates as well to stay competitive. And if other financial institutions lower their rates, then your bank or credit union can still make a profit while lowering their own rates.

Federal Reserve Actions

If you're wondering what the Federal Reserve is, also known as the Fed, it's the central banking system of the U.S. It meets several times a year to decide its rates and announce rate changes. Generally, if the Fed changes its rates, other banks and credit unions follow suit.

Individual Institution Rates

Ultimately, each individual institution will offer different interest rates on its IRA CDs for a diverse set of reasons. Banks might set rates depending on location, for example, or because it wants people to open an IRA CD with a specific term length, such as a 6-month CD. Always compare multiple financial institutions when looking for an IRA CD to make sure you're getting the best rate.

Choosing the Right IRA CD Strategy

When choosing which IRA CD to go with, you'll use many of the same strategies when choosing regular CDs. You'll want to consider the annual percentage yield the account offers, as well as the minimum opening deposit. You'll also want to think about the term length: do you want to choose the best rate and go with a 6-month or 1-year CD, or do you want to lock in your interest rate for longer and go with a long-term CD?

In addition, decide whether you go with a traditional IRA CD or a Roth IRA CD. You might want a Roth IRA if you think you'll pay less tax on your funds if you pay now; otherwise, a traditional IRA might be a better fit, as you'll be able to earn more interest on the larger amount of money you're putting into the account. Also consider whether you want a CD at all; see if one of the best Roth IRA accounts might be a better fit for your needs if you want more variety in investment options.

You might also want to consider going with an eco-friendly bank or community development financial institution for your IRA CD. Both types of financial institutions use the money you put in the bank for good; eco-friendly banks help the environment, while CDFIs provide financial services to underserved communities. Using one of these banks can be an easy way to support causes you believe in.

Best IRA CD FAQs

Why You Should Trust Us: Experts' Advice on Choosing the Best IRA CDs

We consulted banking and financial planning experts to inform these picks and provide their advice on finding the best CDs to use for your money. You can read their insights at the bottom of this post.

BI

Here's what they had to say about CDs. (Some text may be lightly edited for clarity.)

How can someone determine whether a bank is the right fit for them?

Tania Brown, CFP® professional and vice president of coaching strategy at OfColor:

"Obviously, you want to make sure it's FDIC insured. Also, your banking experience — do you like walking into a bank? Well, then you need someone local. Do you just not care if you ever see your bank? Then you're okay online. Do you write checks? Do you not write checks? So it's thinking through how your experience with it is going to be before you make that decision."

Sophia Acevedo, banking editor, Business Insider:

"I would create a list of what I prioritize most in a bank account. For example, some banks have accounts that charge monthly service fees. I would look to see what the requirements are for waiving the monthly service fee and whether I think I could feasibly meet those requirements each month. If I'm searching for an interest-earning bank account I'll pay attention to interest rates. I would make sure the account pays a higher interest rate than the average bank account."

What makes a CD good or not good?

Mykail James, MBA, certified financial education instructor, BoujieBudgets.com:

"You always want to look at how much money you need to start up. And then if you can continuously add money in. Also, check not just what the interest rate is, but how often they pay out interest, whether it's monthly or quarterly."

Sophia Acevedo, Business Insider:

"CDs could be worthwhile if you don't need access to some of your money, since they have a fixed interest rate for a specific term. I would look at current CD rates and see how they stack up to other types of savings accounts."

How should someone choose a CD term length?

Roger Ma, CFP® professional and author of "Work Your Money, Not Your Life":

"I would think about when you need the money and then compare that with what the prevailing CD rates are, and then what makes sense from a financial perspective, but also from your own personal timing perspective."

Mykail James, CFEI:

"I believe in having a plan for whatever the funds are. If it's supposed to be a house fund, and you want to wait for another two years to buy a house, that's what you should be thinking of when you want to have this money."

Methodology: How We Chose the Best IRA CDs

At Business Insider, our mission is to help smart people make the best decisions with their money. We understand that "best" is often subjective, so in addition to highlighting the clear benefits of a financial product or account — a high APY, for example — we outline the limitations, too. We spent hours comparing and contrasting the features and fine print of various products so you don't have to.

Through our research, we've found that the best banks for IRA CDs pay high rates, offer a variety of IRA CD terms, and don't charge maintenance fees.

While interest rates are an important aspect of any online bank account, several offer the same annual percentage yields (APYs). To differentiate between them, we also considered minimum deposit and balance requirements, mobile apps, and other standout features.

We rate bank products on a scale from zero to five stars. A one-star rating is the lowest rating a CD can have. It indicates that the CD needs significant improvement. A five-star rating is the highest rating possible; it shows that the CD is a superior option. See our bank account rating methodology to learn more about how we rate bank accounts.

Laura Grace Tarpley, CEPF

Personal Finance Reviews Editor

Laura Grace Tarpley (she/her) is an expert in mortgage rates, refinance rates, lenders, bank accounts, and borrowing and savings tips for Personal Finance Insider. She worked on  Business Insider's "The Road to Home" series, which won a Silver award from the National Associate of Real Estate Editors.She has written about personal finance for over seven years. Before joining the Business Insider team, she was a freelance finance writer for companies like SoFi and The Penny Hoarder, as well as an editor at FluentU.

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Kit Pulliam

Banking reporter

Kit Pulliam (they/them) is a banking expert who specializes in certificates of deposit, savings accounts, and checking accounts. They’ve been reporting, editing, and fact-checking personal finance stories for more than four years. ExperienceIn college, Kit worked as an undergraduate research assistant in a psychology lab. While there, they found that they were passionate about writing and helping others write about topics that matter.Before Business Insider, Kit was an editorial specialist for Tax Analysts, diving into the tax code to help readers get the best information about a confusing but necessary subject.They find banking similar to taxes in that way: There are some things everyone needs to know because just about everyone needs to work with a bank — and you don’t want to end up with an account that doesn’t serve your needs.As interest rates change, they enjoy the fast pace of reviewing rates for products like CDs and high-yield savings, which can change daily and have a direct impact on readers’ money.Their work has been featured in Business Insider and MSN. They were part of the My Financial Life series with Business Insider.ExpertiseTheir expertise includes:

• Certificates of deposit
• Savings accounts
• Checking accounts
• CD rates
• Bank reviews

EducationKit is an alumnus of Vanderbilt University, where they studied English and psychology and received the Jum C. Nunnally Honors Research Award for their senior thesis.Outside personal finance, Kit enjoys reading, film, video games, and cross stitching. They are based in the DC area.

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Evelyn He

Compliance and Operations Associate

Evelyn He is a Compliance and Operations Associate on the Personal Finance team to ensure content accuracy and editorial independence so readers get up-to-date and objective financial advice.The compliance team's mission is to provide readers with fact-checked and current stories so they can make informed financial decisions. The team also works to minimize risk for partners by ensuring language is clear, precise, and fully compliant with regulatory and partner marketing guidelines that align with the editorial team.

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