Best Short-Term and No-Penalty CDs
Short CDs pay close to the best long-term rates right now, and no-penalty CDs let you leave early. We checked every APY and minimum on the bank's own page on October 19, 2026.
Short-term CDs are paying almost as much as long ones. As of October 19, 2026, the best CD of 13 months or less that we verified paid 4.45% APY (Bread Savings, 1 year), and four more banks paid 4.40% APY on terms of 10 to 13 months. The best no-penalty CD paid 4.00% APY (Marcus, 11 months). The FDIC national average for a 12-month CD was 1.73%.
Rates as of October 19, 2026. Every APY, term and minimum on this page was checked against the bank’s own CD page on October 19, 2026, and each bank was confirmed as an active insured institution in FDIC BankFind the same day. National averages come from the FDIC’s national rates and rate caps, as of September 21, 2026. CD rates for new accounts change often; your rate is fixed once the CD is funded. This page is general information, not financial advice. Some links on Money 8020 are affiliate or partner links; see our advertiser and affiliate disclosure.
Want every term, including 18 months to 5 years? See best CD rates of 2026. Prefer to keep full access to your cash? Compare best high-yield savings accounts and best money market accounts, or browse every CD we track.
Quick answer: which short-term or no-penalty CD is best?
- Best 1-year rate: Bread Savings CD, 4.45% APY on 1 year, $1,500 minimum.
- Best with no minimum: Capital One 360 CD, 4.40% APY on the limited-time 11-month term.
- Best 10-month term: American Express CD, 4.40% APY, no minimum balance.
- Best 13-month term: Synchrony Bank CD, 4.40% APY, no minimum deposit.
- Best 1-year CD with a $500 minimum: Marcus High-Yield CD, 4.40% APY on 12 months.
- Best no-penalty CD: Marcus No-Penalty CD, 4.00% APY on 11 months.
- No-penalty with no minimum: Ally No-Penalty CD, 2.80% APY on 11 months.
How we ranked these CDs
We ranked on four things, in this order:
- APY on a term of 13 months or less, as shown on the bank’s own page on October 19, 2026.
- Minimum deposit: a $0 minimum beats a $500 or $1,500 minimum at the same rate.
- Flexibility: no-penalty withdrawals, rate guarantees and how the rate is locked.
- Fine print: penalties, renewal rules and limits on added deposits.
All rates and terms come from each bank’s own CD page. FDIC BankFind confirmed each bank’s insurance status. We do not use aggregator rate tables for any figure on this page.
Comparison table: short-term and no-penalty CDs (October 19, 2026)
| CD | Best short term | APY | Minimum | Early withdrawal | FDIC cert |
|---|---|---|---|---|---|
| Bread Savings | 1 year | 4.45% | $1,500 | 90 to 180 days of interest | 57570 |
| Capital One 360 | 11 months | 4.40% | $0 | Penalty applies | 4297 |
| American Express | 10 months | 4.40% | $0 | Penalty applies | 27471 |
| Synchrony Bank | 13 months | 4.40% | $0 | Penalty may apply | 27314 |
| Marcus High-Yield | 12 months | 4.40% | $500 | Penalty applies | 33124 |
| Marcus No-Penalty | 11 months | 4.00% | $500 | None after 7 days | 33124 |
| Ally No-Penalty | 11 months | 2.80% | $0 | None after 6 days | 57803 |
Source: each bank’s own CD page, October 19, 2026; FDIC BankFind for certificate numbers. Bread’s penalty is 90 days of simple interest on terms under 1 year and 180 days on 12 months to 3 years, per Bread Savings.
Short-term CD rates by term (October 19, 2026)
| Bank | 6 months | 9 to 11 months | 12 months | 13 months |
|---|---|---|---|---|
| Bread Savings | 4.05% | 4.40% (9 mo) | 4.45% | n/a |
| Capital One 360 | 3.30% | 4.40% (11 mo) | 4.00% | n/a |
| American Express | n/a | 4.40% (10 mo) | 3.65% | n/a |
| Synchrony Bank | n/a | n/a | 4.20% | 4.40% |
| Marcus High-Yield | 3.95% | 4.30% (9 mo) | 4.40% | n/a |
| FDIC national rate (Sep 21) | 1.41% | n/a | 1.73% | n/a |
“n/a” means the bank’s page did not list that term on October 19, 2026, or the FDIC does not publish it. Odd terms such as 10, 11 and 13 months often pay more than the round 12-month term at the same bank.
1. Bread Savings CD: best 1-year CD rate
Bread Savings listed 4.45% APY on its 1-year CD, the highest 12-month rate we verified, plus 4.40% on 9 months and 4.05% on 6 months, all accurate as of 10/19/2026 per Bread Savings. Interest compounds daily and is credited monthly. The catch is the $1,500 minimum deposit, made in a single transaction. Early withdrawal costs 90 days of simple interest on terms under a year. CDs are held at Comenity Capital Bank, FDIC cert 57570. For every Bread term, see our Bread Savings CD rates guide.
2. Capital One 360 CD: best 11-month CD with no minimum
Capital One’s limited-time 11-month CD paid 4.40% APY, its highest consumer CD rate, effective 10/19/2026 per Capital One. The 12-month CD paid 4.00% and the 9-month 3.75%. There is no minimum balance to open or maintain the account and no monthly service charge. The special is limited-time, so lock it in only if 11 months fits. Full ladder: Capital One 360 CD rates.
3. American Express CD: best 10-month CD
American Express paid 4.40% APY on 10 months, accurate as of 10/19/2026 per American Express, with no minimum balance and no monthly fees. Your rate is the higher of the rate when you apply or when the CD is funded, and you have 60 days to fund. The 11- and 12-month terms paid only 3.65%, so the 10-month is the term to pick. See Amex CD rates for every term.
4. Synchrony Bank CD: best 13-month CD
Synchrony paid 4.40% APY on 13 months and 4.20% on 12 months, accurate as of 10/19/2026 per Synchrony Bank, with no minimum deposit and no monthly fees. One extra month earns a higher rate than the 12-month term. More detail: Synchrony CD and savings rates.
5. Marcus High-Yield CD: best 1-year CD with a $500 minimum
Marcus paid 4.40% APY on 12 months, as of October 19, 2026 per Marcus, with a $500 minimum. Its 10-day rate guarantee gives you the higher rate if your term’s APY rises in the 10 days after you open, as long as you deposit at least $500 in that window. The 9-month term paid 4.30%. See Marcus CD rates.
6. Marcus No-Penalty CD: best no-penalty CD
The Marcus 11-month No-Penalty CD paid 4.00% APY as of October 19, 2026 per Marcus, with a $500 minimum. Starting seven days after funding, you can withdraw the full balance and interest with no penalty. You cannot make a partial withdrawal. Marcus also offers 7-month (3.75%) and 13-month (3.80%) no-penalty terms.
7. Ally No-Penalty CD: no-penalty CD with no minimum
Ally’s 11-month No-Penalty CD paid 2.80% APY, accurate as of 10/19/2026 per Ally, with no minimum deposit and no monthly maintenance fees. You can withdraw the full balance any time after the first 6 days. It makes the list for savers with less than $500, but Marcus paid 1.20 points more.
Regular CD or no-penalty CD?
A regular short-term CD paid more on October 19, 2026: 4.40% to 4.45% APY versus 4.00% for the best no-penalty CD. On $10,000, that gap is roughly $40 a year (our arithmetic). A no-penalty CD makes sense when there is a real chance you will need the money before the term ends, because a regular CD’s penalty can wipe out months of interest. If you are sure you will not touch the money, take the higher fixed rate.
| $10,000 deposit | APY | Interest at maturity (estimate) |
|---|---|---|
| Bread Savings, 1 year | 4.45% | about $445 |
| Capital One 360, 11 months | 4.40% | about $403 |
| American Express, 10 months | 4.40% | about $365 |
| Synchrony, 13 months | 4.40% | about $478 |
| Marcus No-Penalty, 11 months | 4.00% | about $366 |
| FDIC national rate, 12 months | 1.73% | about $173 |
How we calculated: $10,000 × ((1 + APY) ^ (months ÷ 12) − 1), with interest left in the CD and no early withdrawal. Figures are before taxes.
What we left out
- CIT Bank No-Penalty CD: CIT’s page showed a 3.90% APY but dated it “as of July 1, 2026”, outside our 30-day freshness window for deposit rates, so we left it off until CIT shows a current date.
- Sallie Mae: its 11-month CD paid 4.10% and 12-month 4.40% as of 10/19/2026, but it requires a $2,500 minimum balance; it appears on our best CD rates of 2026 list instead.
Methodology and sources
- Bank pages, loaded October 19, 2026: Bread Savings CDs, Capital One 360 CDs, American Express CDs, Synchrony Bank CDs, Marcus High-Yield CDs, Marcus No-Penalty CDs, Ally No-Penalty CD.
- Regulator: FDIC BankFind records for Comenity Capital Bank (57570), Capital One, N.A. (4297), American Express National Bank (27471), Synchrony Bank (27314), Goldman Sachs Bank USA (33124) and Ally Bank (57803), all active on October 19, 2026.
- Benchmark: FDIC national rates and rate caps, as of September 21, 2026.
- Deposit insurance: FDIC, understanding deposit insurance.
Frequently asked questions
How did you verify these short-term and no-penalty CDs?
We loaded each bank's own CD page on October 19, 2026 (Bread Savings, Capital One, American Express, Synchrony, Marcus and Ally) and recorded the APY, term and minimum only where the page stated them. Every page showed rates dated October 19, 2026. Each bank was confirmed as an active FDIC-insured institution in FDIC BankFind the same day. CD rates for new accounts change often, so confirm before you open.
What is the best short-term CD rate right now?
Of the banks we checked on October 19, 2026, Bread Savings paid the most on a 1-year CD at 4.45% APY, with a $1,500 minimum. Capital One (11 months), American Express (10 months), Synchrony (13 months) and Marcus (12 months) each paid 4.40% APY, and Capital One, Amex and Synchrony require no minimum.
What is a no-penalty CD?
A no-penalty CD locks a fixed APY like a regular CD but lets you withdraw early without an early withdrawal penalty, usually after a short waiting period. Marcus allows a full-balance withdrawal starting seven days after funding, and Ally after the first 6 days. Both require you to take the whole balance, not part of it.
Is a no-penalty CD better than a high-yield savings account?
It can be, if the no-penalty CD pays more and you want the rate fixed. On October 19, 2026, the Marcus 11-month No-Penalty CD paid 4.00% APY, fixed for the term, while savings APYs are variable and can drop at any time. A savings account lets you make partial withdrawals and add money; a no-penalty CD does not. Compare current rates on our best high-yield savings list. This is not financial advice.
How much more do these CDs pay than the national average?
The FDIC's national rate for a 12-month CD was 1.73% as of September 21, 2026, and 1.41% for 6 months. On $10,000 for one year, 4.45% APY earns about $445 versus about $173 at the national 12-month average (our arithmetic, interest left in the CD).
Are short-term CDs FDIC insured?
Yes, when they are held at an FDIC-insured bank. Every bank on this list was active in FDIC BankFind on October 19, 2026. Coverage is up to $250,000 per depositor, per insured bank, per ownership category, so deposits above that at one bank may not be fully covered.