Our experts answer readers’ banking questions and write unbiased product reviews (here’s how we assess banking products). In some cases, we receive a commission from our partners; however, our opinions are our own. Terms apply to offers listed on this page.
Online banks and credit unions have higher interest rates than the average CD. The most competitive 18-month CDs offer more than 5% APY.
The best 18-month CD rate is Newtek Bank 18 Month CD – APY APY from Newtek Bank and Gulf Coast Federal Credit Union. If you are looking for additional CD options, there are other financial institutions with high 18-month CD rates, too.
We check rates daily to find the best rates for 18-month terms. Here are our top picks.
Best 18-Month CDs
Market Leader
Newtek Bank 18 Month CD – Product Name Only: Newtek Bank 18 Month CD – APY APYGulf Coast Federal Credit Union 18 Month Share Certificate – Product Name Only: Gulf Coast Federal Credit Union 18 Month Share Certificate – APY APY
Newtek Bank is an online bank, and anyone in the United States can open a CD.
You must qualify for membership to open a Gulf Coast Federal Credit Union share certificate. Membership is open to anyone who lives in lives, works, worships, or goes to school in Nueces, San Patricio, or Jim Well Counties in Texas. You may also be eligible for membership if you have an immediate family member who is a member.
Top 18-Month CD Rates
USAlliance Financial 18 Month Certificate – Product Name Only: USAlliance Financial 18 Month Certificate – APY APYPopular Direct 18 Month CD – Product Name Only: Popular Direct 18 Month CD – APY APYLimelight Bank 18 Month Online CD – Product Name Only: Limelight Bank 18 Month Online CD – APY APYBarclays 18 Month Online CD – Product Name Only: Barclays 18 Month Online CD – APY APYRising Bank 18 Month Rising CD – Product Name Only: Rising Bank 18 Month Rising CD – APY APYSignature Federal Credit Union 18 Month Certificate – Product Name Only: Signature Federal Credit Union 18 Month Certificate – APY APYCrescent Bank 18 Month CD – Product Name Only: Crescent Bank 18 Month CD – APY APYCFG Bank 18 Month CD – Product Name Only: CFG Bank 18 Month CD – APY APYMYSB Direct 18 Month CD – Product Name Only: MYSB Direct 18 Month CD – APY APY
The best 18-month CDs pay high interest rates. Many of them also have low minimum opening deposits, strong mobile apps, and low early withdrawal penalties.
Compare the Best 18-month CDs
18-Month CD FAQs
What is the best CD rate for 18 months?
Newtek Bank and Gulf Coast Federal Credit Union have the highest CD rate for an 18-month term. You can earn Newtek Bank 18 Month CD – APY APY on an 18-month CD at either financial institution.
Is an 18-month CD worth it?
An 18-month CD might be worthwhile if you can keep money in an account for at least 18 months. When choosing a CD, you also want to be mindful of opening requirements and early withdrawal penalties.
How does an 18-month CD work?
Traditional CDs lock in your rate for a specific term. Let’s say, for example, you want to open an 18-month CD that pays 5.00% APY. You’ll earn 5.00% APY for 18 months — the rate won’t fluctuate until your term ends. If you choose the renew your CD after it matures, you’ll earn the new rate that is currently offered by your bank.
Which is better: a short-term CD or a long-term CD?
Typically, your choice will likely depend on how soon you plan to need the money. For example, if you want the money to buy a house in less than a year, a longer term isn’t the best idea. If you don’t need access to your money soon and you’re searching for a low-risk option, a CD might be a worthwhile option. Many experts recommend CD laddering. With this strategy, you open multiple CDs with different term lengths so you can take advantage of higher rates with longer terms, but also access some of your money earlier.
Is an 18-month CD a good investment?
CDs are generally viewed as a savings account. CDs are a low-risk option since you’re guaranteed fixed returns as long as you keep your money in an account for an entire time. Your potential gains, however, are limited. If you’re comfortable parting with your money for longer and want to take more risk with your money, then you may want to invest in the stock market.
18-Month CD Reviews
These are our picks for the best 18-month CD rates. Our top picks for CDs are protected by FDIC or NCUA insurance. If you are worried about banks failing, keep in mind money is safe at a federally insured financial institution. When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account.
Newtek Bank 18 Month CD – Product Name Only
Newtek Bank CDs pay competitive interest rates for a variety of terms. You also might like this account if you’re comfortable with online-only banking or if you’re also looking for a high-yield savings account.
Newtek Bank CDs require a minimum opening deposit of Newtek Bank 18 Month CD – Minimum Deposit. Other financial institutions may allow you to open a CD with $1,000 or less upfront.
Interest for an 18-month CD: Newtek Bank 18 Month CD – APY APY
18-month CD early withdrawal penalty: 180 days of interest
Gulf Coast Federal Credit Union 18 Month Share Certificate – Product Name Only
The Gulf Coast Federal Credit Union Share Certificate also pays Gulf Coast Federal Credit Union 18 Month Share Certificate – APY APY for an 18-term. You may prefer this option if you prioritize banking with a local financial institution.
Membership is open to anyone who lives in lives, works, worships, or goes to school in Nueces, San Patricio, or Jim Well Counties in Texas. You may also be eligible for membership if you have an immediate family member who is a member.
Interest for an 18-month CD: Gulf Coast Federal Credit Union 18 Month Share Certificate – APY APY
18-month CD early withdrawal penalty: Must contact your nearest branch for information about early withdrawal penalties
Gulf Coast Federal Credit Union Review
USAlliance Financial 18 Month Certificate – Product Name Only
USALLIANCE Financial Share Certificates offer a high rate for an 18-month term. Certificates at USALLIANCE Financial also have low minimum opening deposit requirements.
USALLIANCE Financial has steep early withdrawal penalties. Also, to open a bank account at the credit union, you must become a member.
You may join USALLIANCE Financial if you 1) live in a select area in Massachusetts, Connecticut, New Jersey, or New York 2) work for a select employment group, or 3) become a member of the American Consumer Council, Arco of Westchester, Tread Lightly! or the Council of Community Services.
Interest for an 18-month CD: USAlliance Financial 18 Month Certificate – APY APY
18-month CD early withdrawal penalty: 360 days of interest
Popular Direct 18 Month CD – Product Name Only
Popular Direct CDs have high interest rates, and compound interest daily.
You’ll need at least Popular Direct CD – Minimum Deposit to open a Popular Direct CD. The early withdrawal penalty is also fairly high.
APY for 18-month CD: Popular Direct 18 Month CD – APY APY
18-month CD early withdrawal penalty: 270 days of simple interest
Limelight Bank 18 Month Online CD – Product Name Only
The Limelight Bank Online CD pays a high interest rate on its 18-month term. Limelight Bank, an online division of CCBank, is also included in our best 1-year CD rates guide.
You’ll need at least $1,000 to open a CD. Some of our other picks let you open an account with $500 or less.
APY for 18-month CD: Limelight Bank 18 Month Online CD – APY APY
18-month CD early withdrawal penalty: 90 days of interest
Barclays 18 Month Online CD – Product Name Only
Barclays Online CDs may be a good choice if you’re looking for an account that’s easy to open. Barclays lets you open CDs with Barclays 18 Month Online CD – Minimum Deposit. This account also has low early withdrawal penalties for an 18-month term.
Keep in mind other financial institutions may offer higher CD rates right now.
Interest for an 18-month CD: Barclays 18 Month Online CD – APY APY
18-month CD early withdrawal penalty: 90 days of simple interest
Rising Bank 18 Month CD – Product Name Only
Rising Bank CDs pay competitive rates for a variety of terms, and its 18-month rate is especially high. It may be a good choice if you’re comfortable using an online-only bank.
However, you’ll need Rising Bank 18 Month CD – Minimum Deposit to open an 18-month CD — Rising Bank requires Rising Bank 1 Year CD – Minimum Deposit to open shorter-term CDs. The bank also only compounds interest quarterly, while many other institutions compound interest monthly or even daily. Depending on your balance, this compounding schedule may or may not make a significant difference.
Interest for an 18-month CD: Rising Bank 18 Month CD – APY APY
18-month CD early withdrawal penalty: 90 days of interest
Signature Federal Credit Union 18 Month Certificate – Product Name Only
The Signature Federal Credit Union Certificate – Product Name Only stands out because it has a low Signature Federal Credit Union Certificate – Minimum Deposit minimum opening deposit.
Signature Federal Credit Union is another good choice if you prioritize banking with a credit union.
Credit unions require membership to open an account. The easiest way to become a member is to enroll in the American Consumer Council. Then you’ll just need to open a savings account.
Interest for an 18-month CD: Signature Federal Credit Union 18 Month Certificate – APY APY
18-month CD early withdrawal penalty: 180 days of interest
Signature Federal Credit Union Review
Crescent Bank 18 Month CD – Product Name Only
Crescent Bank CDs have standard early withdrawal penalties for an 18-month term.
To deposit money into an online Crescent Bank CD, you may mail a check or transfer money from an account from another bank or credit union.
Crescent Bank CDs will automatically renew at the end of each term, unless you call customer service to cash out your CD.
Interest for an 18-month CD: Crescent Bank 18 Month CD – APY APY
18-month CD early withdrawal penalty: 180 days of interest
CFG Bank 18 Month CD – Product Name Only
CFG Bank CDs may stand out if you’re searching for a low minimum deposit of CFG Bank 18 Month CD – Minimum Deposit. CFG Bank has strong 1-year and 18-month terms.
CFG Bank only offers 1-year, 18-month, 3-year and 5-year terms. For more CD variety, consider other financial institutions.
Interest for an 18-month CD: CFG Bank 18 Month CD – APY APY
18-month CD early withdrawal penalty: 180 days of interest
MYSB Direct 18 Month CD – Product Name Only
The MYSB Direct CD might be a good choice if you’re comfortable with a fully online banking experience. MYSB Direct has a variety of CDs with high interest rates. It also has a low minimum opening deposit.
The bank compounds interest monthly, not daily. Depending on how much money you plan to keep in a CD, this may or may not make a significant difference.
Interest for an 18-month CD: MYSB Direct 18 Month CD – APY APY
18-month CD early withdrawal penalty: 90 days of interest
Other 18-Month CDs We Considered
Capital One: Capital One’s 18-month CD pays Capital One 18 Month 360 CD – APY APY. Our top picks offer more competitive rates, though.CIBC Agility CD: CIBC has a 18-month term offering 5.17% APY, but it’s just short of the rates on our list. Sallie Mae CD: Sallie Mae has a lower interest rate on its 18-month term than our top picks. First Internet Bank of Indiana CD: First Internet Bank of Indiana has an 18-month term that pays 5.07% APY, but our top picks have higher CD rates right now.Ally High Yield CD: Ally has an 18-month term paying 5.15% APY, but our top picks have even higher interest rates right now. Alliant Certificate: Alliant Credit Union pays 5.05% APY on an 18-month certificate, but it is just short of the rates on our list. Synchrony Bank CD: Synchrony has an 18-month term paying Synchrony 18 Month CD – APY APY, but our top picks have higher rates right now. Discover CD: Discover’s 18-month term pays 5.00% APY, but you’ll need at least $2,500 to open an account. Our top picks offer higher CD rates or a lower minimum opening deposit.LendingClub CD: LendingClub offers an 18-month CD that pays 5.00% APY, but our top picks have lower minimum opening deposit requirements or even higher rates.Air Force Federal Credit Union Certificate Account: Air Force Federal Credit Union has a solid interest rates on its 18-month term, but our top picks have even higher rates.Marcus High-Yield CD: Marcus CDs have a low minimum opening deposit, but its 18-month term has a lower interest rate than our top picks. Pentagon Federal Credit Union Money Market Certificate: Our top picks have higher interest rates and lower early withdrawal penalties.CIT Bank Term CD: CIT Bank has variety of CD terms, but our top picks have higher interest rates for an 18-month term.Citi Fixed Rate CD: Citi CDs have a $500 minimum opening deposit. But if you’re strictly searching for a high rate, our top picks might be a better choice. Bask Bank CD: Bask Bank has fewer term options than most of our top picks. Its CD rates are also lower than our top picks.Live Oak Bank CD: Live Oak CDs require at least $2,500. Our top picks have lower minimum opening deposits.Bethpage Federal Credit Union Certificate Account: Bethpage offers a high interest rate on some CDs. Its 18-month CD doesn’t stand out as much as our top picks.Nationwide CD: Nationwide offers a solid interest rate on its 18-month CD, but our top picks pay higher interest rates.EverBank CD: EverBank has a variety of CD terms, but our top picks offer even higher rates.American Express® CD: American Express has a low minimum opening deposit, but our top picks pay higher interest rates.Bank5 Connect High-Yield CD: Bank5 Connect has solid CD rates on short-term CDs, but its 18-month CD doesn’t stand out as much our top picks do.Navy Federal Credit Union Standard Certificate: Navy Federal Credit Union has solid interest rates, but our top picks have higher interest rates.Charles Schwab Bank CD: Charles Schwab has brokered CDs, meaning Charles Schwab doesn’t actually own the CD. Instead, Charles Schwab acts as the middleman for you and the bank that owns the CD. Depending on your preferences, you may prefer open a CD directly with the financial institution. TAB Bank CD: TAB Bank’s 18-month CD offers a lower interest rate than our top picks.Quorum Federal Credit Union Term Savings: Quorum Federal Credit Union’s 18-month CD isn’t as competitive as some of its other terms.
Bank Trustworthiness and BBB Ratings
We’ve compared each company’s Better Business Bureau score. The BBB grades businesses based on factors like responses to customer complaints, honesty in advertising, and transparency about business practices.
Signature Federal Credit Union does not have a profile with the Bureau yet, so there are no complaints or reviews to use for evaluating the company’s business practices.
Here is each company’s score:
InstitutionBBB ratingNewtek Bank A+Gulf Coast Federal Credit Union A+USALLIANCE Financial D-Popular DirectA+ (Rating for its parent bank, Popular Bank)Limelight BankA+ (Rating for its parent bank, CCBank)BarclaysA+Rising BankA+ (Rating for its parent bank, Midwest BankCentre)Crescent BankA+CFG Bank NRMYSB DirectNR (rating for parent bank, M.Y. Safra Bank)
USALLIANCE Financial received a D- rating from the BBB because it has failed to respond to six customer complaints on the BBB website.
The BBB doesn’t have a specific rating for MYSB Direct, but its parent bank has an NR (No Rating) because there isn’t enough information to provide a rating on the company yet.
CFG Bank does not have a rating because its profile is being updated.
A good BBB rating doesn’t necessarily mean that your relationship with the bank will be perfect. Talk to current customers or read online customer reviews to get a more well-rounded perspective about whether the bank may be ideal for you.
Why You Should Trust Us: Expert Advice on Choosing the Best 18-Month CD
To learn more about what makes a good CD and how to choose the best fit, four experts weighed in:
Insider
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, certified financial planner at SaverLife:
“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, certified educator in personal finance, banking reporter, Personal Finance 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.”
How should someone choose a CD term length?
Roger Ma, certified financial planner with lifelaidout® 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, MBA, certified financial education instructor, BoujieBudgets.com:
“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.”
How should someone decide whether to put their money in a high-yield savings account, money market account, or CD?
Tania Brown, CFP:
“So I guess we’ll start off with how much money you want to put in and … the level of transactions you want to have. If you want to have any transactions, that automatically takes out CDs. Then you’re stuck between the high-yield savings and the money market account.”
Sophia Acevedo, Personal Finance Insider:
“Generally, I think a high-yield savings account or money market account could be good options for an emergency fund or short-term savings goals. A high-yield savings account offers a higher interest rate than traditional savings accounts at brick-and-mortar banks. Meanwhile, money market accounts might be worth considering if you want more account accessibility — several offer paper checks, ATM cards, or debit cards. 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.”
Methodology: How we Chose the Best 18-Month CD Rates
At Personal Finance Insider, our goal is to create helpful reviews, guides, and explainers so that you can make good decisions about your money. We recognize every person has distinct preferences, so we provide ample options to help you find the most suitable financial product or account.
First, we researched to find over two dozen banks and credit unions that offered 18-month CDs. Then, we reviewed each institution to find the most-well rounded banking options. For each account, we compared the minimum opening deposits, early withdrawal penalties, and interest rates. We also considered the overall banking experience at each bank by assessing customer support availability, mobile app ratings, and ethics. Read more about how we rate CDs.
+ There are no comments
Add yours