Best Certificates of Deposit (CDs) in Arizona for 2025
- Desert Financial Credit Union is one of the largest credit unions in Arizona offering a range of CDs with strong APYs.
- OneAZ Credit Union offers high-yield CDs and a wide selection of term lengths to meet short-and long-term savings goals.
- Marcus by Goldman Sachs, an online bank, has flexible CD options, strong rates, and no hidden fees for users looking for straightforward savings.
- Many Arizona financial institutions offer CD rates that compare to those found at some online banks.
Certificates of deposit (CDs) offer Arizona residents a secure way to build savings with consistent returns. Whether you’re planning for a short-term goal or setting money aside for the future, CDs are low-risk investments that can bring peace of mind to savers of all types.
Arizona has a diverse mix of financial institutions offering competitive savings and CD products. From local banks and credit unions to national institutions and online banks, there are plenty of options to consider. Comparing rates, terms, and features can help you make the most of your money.
Best CD Rates In Arizona
Popular Banks and Credit Unions in Arizona
Arizona is home to several regional banks and credit unions that offer attractive CD offerings:
Bell Bank: A well-established regional bank offering straightforward CD options and competitive interest rates.
National Bank of Arizona: Known for its personalized banking services and solid savings products.
Desert Financial Credit Union: One of the largest credit unions in the state, offering a range of CDs with strong APYs.
Pima Federal Credit Union: A community-focused credit union in Southern Arizona offering a variety of CD terms and competitive rates.
OneAZ Credit Union: Provides high-yield CDs and a wide selection of term lengths to meet various savings needs.
Online Banks Offering CDs
Online banks continue to be an appealing choice for Arizona savers seeking high CD rates and convenience. These banks operate without physical branches, which helps them offer more competitive returns. Here are some of the advantages of opening a CD with an online bank:
Higher Interest Rates: Online banks frequently offer better CD rates due to lower overhead costs.
Low Minimum Deposits: Many online banks allow you to open a CD with a small initial deposit, making it easier to get started with saving.
Deposit Protection: CDs at online banks are insured by the FDIC, while the NCUA insures CDs at credit unions. Both protect your funds up to $250,000 per depositor.
Online banks frequently top the list of best CD rates nationwide with high-yield APYs. Here are some of the top choices:
Barclays: Barclays Bank offers strong CD rates and no minimum deposit requirements, making it easy for new savers to get started.
Discover Bank: Discover provides a wide selection of CD terms, reliable service, and easy-to-use online tools.
Synchrony: Synchrony Bank is known for its high-yield CDs and simple digital account management platform.
Marcus by Goldman Sachs: Marcus delivers flexible CD options, strong rates, and no hidden fees for users looking for straightforward savings.
Online banks are a compelling alternative to traditional banking. They typically offer better interest rates, greater flexibility, and convenient access. Comparing online options can help you maximize your savings potential through short-term or long-term CDs.
Factors to Consider When Choosing a CD in Arizona
Consider a range of factors when deciding which CD best fits your needs. Here are some factors to consider besides interest rates:
State Economic Outlook
Arizona’s economy remains strong, with job growth expected to outpace the national average through 2025. Tight labor markets and steady population growth may help sustain competitive rates across the state.
Tax Considerations
CD interest is subject to both federal and Arizona state income tax. Check the latest guidelines from the Arizona Department of Revenue or speak with a tax professional to understand your specific situation.
Promotional Offers
Some banks and credit unions offer limited-time promotional CD rates on select terms.
Banking Needs
Determine whether it makes sense to keep all of your bank accounts in one place or if another institution offers more competitive rates on CDs.
Also, consider your timeline. If flexibility matters, shorter terms like 1-year CDs or 18-month CDs might work well. If you’ve set long-term savings goals, 2-year CDs and 5-year CDs could make more sense.
Pros and Cons of CDs
Pros
- CDs provide a guaranteed return with fixed interest rates.
- Many CDs outperform traditional savings accounts in terms of interest earned.
- Deposits to CDs are protected by FDIC or NCUA insurance.
- CDs come in a range of terms to fit most savings goals.
Cons
- CD funds are locked in until maturity unless you pay an early withdrawal penalty.
- Fixed CD rates may not keep pace with inflation over time.
- Funds kept in CDs aren’t available for investments with potentially higher returns.
Start Saving Smarter in Arizona
CDs can be a valuable tool to help you grow your savings. Predictable returns make it easy to calculate how much interest you’ll earn based on the term length. Compare CD rates from Arizona banks, credit unions, and online institutions to find the best fit for your goals. Compare CD rates in Arizona now.
Frequently Asked Questions
Yes, many local institutions offer CD rates that compare to those found at some online banks.
Compare local banks, credit unions, and online banks, considering APYs, terms, fees, and minimum deposit requirements to find the best fit.
Most banks allow early withdrawals but may charge a penalty fee for doing so.
