U.S. Bank Certificate of Deposit Account Review 2024
Certificate of deposit accounts, or CDs, are designed to help you save money for short- and long-term goals. Depending on where you decide to open a CD account, you might be able to earn a more competitive rate than what you could get with a savings account.
U.S. Bank is one option you might consider if you’d like to open a CD at a traditional bank. You can choose from several CD types, depending on your goals and needs.
This U.S. Bank certificate of deposit account review breaks down the details of how these CDs work and what you can expect if you decide to open one.
U.S. Bank Certificates of Deposit Accounts At-a-Glance
Which Banks Have the Best CD Rates?
Hundreds of banks offer CDs, and there’s fierce competition among them to offer the best rates. Use our comprehensive listing below to find a CD that fits your financial goals.
Pros and Cons of U.S. Bank CD Accounts
U.S. Bank could be a good fit for some savers, though it may not be right for everyone. Here are a few pros and cons to help you with your decision-making when considering where to open a CD account.
Pros
- Easily open an account online or at a branch
- Manage your accounts from anywhere with online and mobile banking
- Earn competitive rates on deposits with CD specials
- FDIC-insured savings
- Standard CDs only require a $500 minimum deposit
- No monthly maintenance fees
- Link to external accounts for convenient transfers
- Step Up and Trade Up CDs can help you keep pace with rising rates
Cons
- Standard, Step Up, and Trade Up CD rates are lower
- $1,000 minimum is required for special CDs
- Branches not available in every state
- Rates for other deposit accounts tend to be low
Compare to Other CD Accounts
U.S. Bank could appeal to people who are interested in saving money at a brick-and-mortar bank. However, you might consider saving with CDs at an online bank instead. Online banks can offer great CD rates with minimal fees.
Here are three competitors you might consider for CD savings.
Bread
Bread offers a range of CD terms to choose from, along with competitive rates. There are no monthly fees or hidden fees of any kind, and Bread features a user-friendly mobile banking app.
There’s one key difference from U.S. Bank CDs. You’ll need at least $1,500 for a minimum opening deposit.
Brio Direct
Brio Direct could be a good choice if you’re looking for short-term CD options that still earn impressive rates. You can open a CD with as little as $500 and lock in a great rate for the entire term.
Compared to U.S. Bank, Brio Direct offers fewer banking products and services overall. That might be a con if you’re looking for a full-service banking option.
Marcus by Goldman Sachs
Marcus by Goldman Sachs offers a variety of banking options, including high-yield CDs. There’s a $500 minimum deposit requirement, but you can choose from flexible terms.
You don’t get branch banking or ATM access with Marcus, but that’s typical of most online banks.
Read our Marcus by Goldman Sachs review
Who Are U.S. Bank Certificates of Deposit Accounts For?
U.S. Bank might be a good fit for CD accounts if you already have a bank account here or you’re more comfortable saving at a traditional vs. online bank.
You may want to consider a U.S. Bank CD if you:
- Have at least $500 to deposit
- Are interested specifically in step-up or trade-up CDs, which can help you keep pace with rising interest rates
- Want to take advantage of Special CDs, which offer higher interest rates
- Appreciate being able to manage your money online, via mobile banking, by phone, or at a branch location
In terms of drawbacks, U.S. Bank doesn’t offer no-penalty CDs. These CDs don’t charge an early withdrawal penalty if you take money out before the maturity date.
That may not matter, however, if you’re opening multiple U.S. Bank CDs in order to build a CD ladder. Laddering CDs can help you take advantage of rising interest rates while also avoiding early withdrawal penalties since you’re always close to a maturity date.
Top Features of U.S. Bank Certificates of Deposit Accounts
Before opening a new bank account, it’s a good idea to know what you’re getting. Evaluating the features and benefits offered can help you decide if a particular bank is right for you.
Here are some of the highlights to know about U.S. Bank.
Account Types
U.S. Bank offers the standard range of account options you’d expect with a traditional bank. That includes checking accounts, savings accounts, and CD accounts, as well as credit cards and personal loans.
You can also find wealth management services and business banking options as well. That’s something you might appreciate if you’re hoping to manage all of your money in one place.
Competitive Rates
Traditional banks are not always known for offering the best rates on CDs or savings accounts. U.S. Bank breaks the mold by offering some of the highest rates around with CD specials.
These promotional CDs require a $1,000 opening deposit, but they can be a good way to lock in a high rate of savings.
Low Minimums
Like other banks, the minimum to open a CD with U.S. Bank is $500. That’s the minimum deposit for a Standard CD.
How much you decide to deposit is up to you, however, and you might choose to open a CD with $1,000, $5,000, or more. The higher the deposit, the more interest you could earn on your money.
Convenient Access
Traditional banks can offer branch banking, ATM access, phone banking, online banking, and mobile banking. U.S. Bank is no different in that respect.
Having plenty of ways to manage your money is a good thing, especially if you value being able to talk to someone in person about your accounts.
FDIC Coverage
The Federal Deposit Insurance Corporation (FDIC) insures deposits at member banks in the rare event that a bank fails. U.S. Bank is an FDIC member bank, which means your deposits are protected.
The current FDIC coverage limit is $250,000 per depositor, per account ownership type, and per financial institution.
How to Get Started
If you’d like to open a CD with U.S. Bank, the first step is deciding which type of CD to open. Next, you’ll need to figure out how much money you’d like to deposit.
It’s easy to open a U.S. Bank CD online or at a branch. If you already have a U.S. Bank account, you can log in to online banking to open a CD. If you’re a new customer, you’ll just need to provide some basic information, including:
- Your name
- Mailing address
- Email address and phone number
- Social Security number
- Date of birth
You’ll need to link an external bank account to make your minimum deposit if you’re not a U.S. Bank customer or you’re opening a CD account online. The entire process takes just a few minutes to complete.
Customer service is available by phone if you need help with your application.
Rating the Features
When opening a new CD account, it’s always helpful to check out the features in detail. Here’s more on what you can expect from U.S. Bank.
User Experience
Overall, U.S. Bank offers a solid user experience. The website and mobile banking app are easy to navigate, and you can call customer support if you have questions or need help.
You also have the added benefit of being able to visit a branch near you to open accounts, make deposits or withdrawals, or get answers to banking questions.
Fees
There are no monthly maintenance fees for U.S. Bank CD accounts. You will pay an early withdrawal penalty if you take money out of your CD before it reaches maturity.
The amount of the penalty depends on the CD term and how long your account has been open.
Rates
U.S. Bank CD rates for Standard, Step Up, and Trade Up CDs are in line with what you’ll find at other traditional banks. Where the rates shine is with special CDs.
These promotional CDs offer rates that are substantially higher than the national average.
Variety
As mentioned, U.S. Bank offers a full suite of personal and business banking products and services. You can open a CD account and a checking account, apply for a credit card, get a home loan, or set up a business bank account all in one place.
Customer Support
U.S. Bank customer support is available in person at branch locations during regular business hours. You can also get help by phone. There is no live chat support option at this time.
Access
You have multiple ways to access and manage your U.S. Bank accounts. Your options include phone banking, mobile banking, online banking, branch banking, or ATM banking.
On the other hand, you may want to compare CD options at online banks to see how the rates add up.
The Bottom Line
U.S. Bank could be a contender if you’re interested in getting a stellar rate on CDs while being able to bank in person at a branch.
Special CDs can offer great rates for your money, and you can open more than one if you’d like to build a CD ladder.
If you’re ready to start earning interest, you can take the next step and open a U.S. Bank CD online today.
Frequently Asked Questions (FAQs)
U.S. Bank Special CDs offer highly competitive rates that are comparable to what you could get with CDs offered at online banks. You’ll need at least $1,000 to open a special CD.
U.S. Bank is an established banking brand, and it’s a member of the FDIC. That means your CD deposits are protected against bank failure up to $250,000 per depositor, per account ownership type.
Yes, you can open U.S. Bank CDs online or at a branch. It’s easy to open and fund your new CD account if you have a few key pieces of information and your minimum deposit ready to go.
