Best Certificates of Deposit (CDs) in Idaho for 2025
- When you renew CDs at Ally, you'll earn an increased interest rate on your account with terms of up to five years.
- Idaho United Credit Union and First Federal Bank have CD terms as short as three months.
- Synchrony and Marcus, both online banks, offer no-penalty CDs that don’t have penalties if you withdraw funds early.
If you’re looking for a way to maximize your savings, you may want to consider opening a certificate of deposit (CD). The best CDs in Idaho allow consumers to grow their savings at a fixed rate that can be significantly higher than what you’d receive from a regular savings account. In exchange, you must keep your money in the account for a certain amount of time, generally six months to five years. This makes CDs a good way to have your money work for you without the risks associated with other types of investments.
Banks and credit unions around Idaho offer savings accounts and CDs with extremely healthy interest rates. In this guide, we explore some of the best CD options. Continue reading for details about the financial institutions, both local and online, with the best CD rates. You’ll also learn the advantages and disadvantages of certificates of deposit and what to look for in these financial products.
Top CD Rates in Idaho
Popular Banks and Credit Unions in Idaho
- ICCU: Members of this credit union can take advantage of a range of CD terms, which is great for laddering. You can find out how much you will earn on your investment through the calculators found on the organization’s website.
- Idaho United Credit Union: This credit union offers CDs and other savings products, including a Christmas and vacation club, to encourage customers to save for those special occasions.
- First Federal Bank: This bank offers several CD terms to meet your needs, as well as specials that bump the rate when you also open a checking account.
- Online Banks: Idaho consumers have access to online banks with extremely attractive CD rates, which are often higher than what you get from financial institutions around the state.
Online Banks Offering CDs
Online banks are gaining popularity with consumers around the country, so it’s definitely worth considering one that offers CDs. Here are some good reasons to open CD accounts at online banks.
Budgeting Tools
Online banks give you access to tools that can help you keep your finances on track. If you open other accounts in addition to a CD, this can be especially useful for keeping an eye on your money and spending.
Higher Interest Rates
Since online banks don’t have any physical locations, they save a great deal of money on overhead. This is good news for you because when you open an account, you’re often able to enjoy higher interest rates on CDs than you would get from a traditional bank.
Low or No Fees
Just as you can get better interest rates at online banks, these institutions also charge low or no fees. This means you don’t have to worry about your money getting eaten up by charges like monthly maintenance fees.
Mobile App Convenience
Online banks may provide mobile apps with robust features so you can conveniently make transactions. Whether you want to check your account balances, make deposits, or transfer funds, you can do it conveniently on your mobile devices.
Paperless Transactions
Online banks are an environmentally friendly option since you’re able to do paperless transactions. If you want to make your banking more green, these companies can be the solution.
Now that you know what online banks offer, let’s examine some of the companies with the most competitive interest rates on CDs.
- Ally Bank: If you renew your CDs at this bank, you’ll earn an increased interest rate on your account. There are terms of up to five years.
- Discover® Bank: Discover Bank does not require a minimum deposit on any of its CDs, whether you get a short- or long-term product.
- Marcus by Goldman Sachs: This bank offers 24/7 customer service, gives you access to your account, and helps make the experience convenient.
- Synchrony Bank: Synchrony Bank has CDs that don’t have penalties when you withdraw funds early.
If you weren’t sure about opening a CD at an online bank before, this should help you make a more informed decision.
Factors to Consider When Choosing a CD in Idaho
When you open a CD, there are some factors that you will want to consider. First, you’re probably wondering what kind of interest you can earn at banks and credit unions in Idaho. The good news is that there are organizations around the state that offer competitive rates, often in the range of two to five percent. Also, the rates are locked in when you open an account.
When it comes to terms, a wide variety of long- and short-term choices are available. If you’re looking for a shorter-term product, you may consider six to 18-month CD options. However, there are longer choices, which include two-year CDs. In some cases, you may find CDs that have terms of five years or more.
You can also look at special deals that may be available. Certain banks offering the best CDs in Idaho may provide special rates at certain times, or you may increase your rate by opening another type of account at that bank.
Pros and Cons of CDs
Pros
- Offer higher interest rates than typical savings accounts, including some of the best savings accounts in Idaho.
- Fixed interest rates provide stability and protect against economic fluctuations.
- Considered a safer investment compared to more volatile options.
Cons
- Fixed interest rates mean you could miss out on higher returns if market rates rise.
- May not be as favorable as other investment options during times of rising interest rates.
- Early withdrawals usually incur penalties, which vary by bank—important to research beforehand.
Increase Your Savings Today
You have learned about the best CD rates in Idaho, as well as the banks that offer some of the best rates in the state. Now is a good time to think about the information we’ve provided and weigh it against your own personal finances and goals. Whether you’re concerned about terms, penalties, or interest rates, there are products available to meet your needs.
Frequently Asked Questions
Yes. According to the Idaho State Tax Commission, earnings from interest on bank accounts are subject to being taxed in the state along with other types of income.
If you don’t want to keep your money in a CD for years, you don’t have to. Financial institutions like Idaho United Credit Union and First Federal Bank have CD terms that are as short as three months.
It depends on what you’re looking for. If you’re comfortable banking online, opening a CD at one of these institutions makes sense. Also, there is the added benefit of being able to find a significantly higher interest rate at an online bank because these companies don’t have the same overhead costs as traditional banks with branches. However, an Idaho-based bank is a better choice if you want to do your banking closer to home. When you open one of the best CDs in Idaho, you’re able to speak to someone in person at a branch if that makes you feel more comfortable.
