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Synchrony Bank offers several CD accounts with rates above 5.00%
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Fact checked by Hans Daniel Jasperson
Synchrony Bank CD Rates
Synchrony Bank is an online bank that offers a wide variety of financial services, including certificates of deposit (CDs) with terms that range from three months to five years. Synchrony Bank CD rates are competitive for some term lengths.
Another benefit is the fact that Synchrony’s CDs feature no minimum balance requirements. Synchrony Bank also has two specialty CDs available for savers who are interested in bump-up CD accounts and no-penalty CD options.
Important
The APYs listed below are up to date as of the date of publication of this article. We review CD rates every two weeks and update the information below accordingly.
Synchrony CD Overview
| CD Term | APY | Minimum Balance |
| 3 months | 0.25% | None |
| 6 months | 5.15% | None |
| 9 months | 4.90% | None |
| 12 months | 4.80% | None |
| 15 months | 4.50% | None |
| 16 months | 4.00% | None |
| 18 months | 4.50% | None |
| 19 months | 4.00% | None |
| 24 months | 4.20% | None |
| 36 months | 4.15% | None |
| 48 months | 4.00% | None |
| 60 months | 4.00% | None |
See the best CD rates today before choosing the CD that is best for you.
Synchrony Bump-Up CD Overview
| CD Term | APY | Minimum Balance |
| 24 months | 3.60% | None |
Synchrony No-Penalty CD Overview
| CD Term | APY | Minimum Balance |
| 11 months | 0.25% | None |
Synchrony IRA CD Overview
| CD Term | APY | Minimum Balance |
| 3 months | 0.25% | None |
| 6 months | 4.80% | None |
| 9 months | 5.15% | None |
| 12 months | 4.90% | None |
| 18 months | 4.50% | None |
| 24 months | 4.20% | None |
| 36 months | 4.15% | None |
| 48 months | 4.00% | None |
| 60 months | 4.00% | None |
Synchrony Bank CD: Key Features
In addition to competitive annual percentage yields (APYs), especially on its long-term CD products, Synchrony Bank CDs feature no minimum balance requirements. Outside of the no-penalty CD, you will incur an early withdrawal penalty if you attempt to withdraw some or all of the principal funds from your account prior to its maturity date. Early withdrawal penalties range from 90 to 365 days’ worth of simple interest at the current APY, depending on the terms of your account.
It’s worth noting that the grace period on CDs with Synchrony Bank lasts for a short 10 days after your maturity date arrives. During this window you can add additional cash to your account, renew your CD, transfer the cash to a different account, or withdraw your money. If you don’t take any action, the online bank will automatically renew the CD on your behalf at the end of the 10-day grace period and mail you a renewal notice. This isn’t an unusual practice where CDs are concerned, but it’s still important to be aware of and to have a plan for what you want to do with your money when your CD matures.
Below are more key features to consider regarding CDs from Synchrony Bank.
| APY Range | 2.05%–5.15% |
| Minimum Balance | None |
| Term Range | 3–60 months |
| Early Withdrawal Penalty | 12-month terms (or less): 90 days of simple interest at current APY 12 months to 48 months: 180 days of simple interest at current APY 48 months or more: 365 days of simple interest at current APY |
When you’re shopping for a new certificate of deposit, it’s important to look beyond the interest rates a bank offers you. Although earning a high return on your savings does matter, it’s also important to pay attention to other account features when you open a CD and understand how those details might impact you.
| APY Range | 3.60% |
| Minimum Balance | None |
| Term Range | 24 months |
| Early Withdrawal Penalty | 180 days of simple interest at current APY |
| APY Range | 0.25% |
| Minimum Balance | None |
| Term Range | 11 months |
| Early Withdrawal Penalty | 90 days of simple interest at current APY |
| APY Range | 0.25%-5.15% |
| Minimum Balance | None |
| Term Range | 3 to 60 months |
| Early Withdrawal Penalty | 90 days of simple interest at the current APY |
Compare CD Account Rates
Before you open a new CD, it’s wise to shop around and compare offers from multiple banks. As you research the best CD interest rates, account features, balance requirements, and benefits that several financial institutions have to offer, you’ll be in a better position to decide if a CD from Synchrony Bank is right for you.
Nationwide, the average interest rates on certificates of deposit, as of January 16, 2024, are as follows, according to the Federal Deposit Insurance Corporation (FDIC).
- 1-month CD: 0.23%
- 3-month CD: 1.67%
- 6-month CD: 1.51%
- 12-month CD: 1.86%
- 24-month CD: 1.57%
- 36-month CD: 1.40%
- 48-month CD: 1.34%
- 60-month CD: 1.41%
You already know from above that the CD rates for Synchrony Bank far exceed the national average. And there are a number of competing banks that can meet the national average where CD APYs and typical savings accounts are concerned as well.
What Is Synchrony’s Highest Paying CD?
Certificates of deposit offer you a (typically) higher interest rate compared with other types of deposit accounts in exchange for leaving your money in the bank for a set period of time. In the past, it was common for long-term CDs to feature higher interest rates compared to short-term CDs. Yet that’s often not the case in the current environment.
Consider Synchrony’s CDs as an example. At the time of writing, 15-month CDs from Synchrony Bank feature an APY of 5.00%, an excellent return compared to national averages.
Are Synchrony Bank CDs Worth It?
CDs may be worth considering, and Synchrony Bank CDs in particular, under the following circumstances:
- You prefer a (virtually) risk-free way to grow your savings.
- Keeping your cash locked in a CD for a set period of time isn’t an inconvenience.
- The CD rates at Synchrony Bank, combined with its benefits (like no minimum deposit) seem like a good fit for your financial goals.
Important
Everyone’s financial situation is different. As a result, it’s important to examine your money goals as you consider whether a CD is the right tool to help you achieve them.
Are Synchrony Bank CDs FDIC-Insured?
Synchrony Bank is a member of the Federal Deposit Insurance Corporation (FDIC). Therefore, deposit accounts with the bank (including CDs) are insured up to $250,000 per ownership category.
Should I Get a Synchrony Bank CD?
CD rates at Synchrony Bank are pretty competitive compared to other online banks and credit unions. While the highest rate CD at Synchrony Bank might not be the highest APY available on any CD, the bank does offer higher APYs than many of its competitors where long-term CDs are concerned.
If you’re looking for a bank that doesn’t require a minimum deposit, Synchrony stands out. Furthermore, the financial institution offers a wide range of CD terms and specialty CD products that can give savers added flexibility when looking for low-risk ways to save money.
Your Guide to CDs
- What Is a Certificate of Deposit (CD)?
- What Is a Brokered CD?
- What Is a CD Ladder?
- Pros and Cons of CDs
- How to Invest With CDs
- How to Open a CD
- How to Close a CD
- CDs vs. Annuities
- CDs vs. Stocks
- CDs vs. Mutual Funds
- CDs vs. ETFs
- CDs vs. Savings Accounts
- Short-Term vs. Long-Term CDs
- CD Rates News
- Best 1-Year CD Rates
- Best 18-Month CDs
- Best Jumbo CD Rates
- Best 6-Month CD Rates
- Best 3-Month CD Rates
- Best Bank CD Rates
Read the original article on Investopedia.