The Best Fixed Annuity and CD Rates in California (July 2024)

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

In the diverse financial landscape of California, where bustling metropolises like San Francisco, Los Angeles, and San Jose intersect with the governmental heart of Sacramento and the sun-kissed tranquility of Orange County, the opportunities for your money to grow are as vast as the Golden State itself. This blog is your compass to navigate this terrain, thoroughly comparing the best and highest CD rates, money market rates, fixed annuity rates, and savings account interest rates available across the state. Whether banking in the vibrant Bay Area, conducting online transactions from the comfort of your home, or being a credit union member in any of these regions, this guide will help you make informed decisions. By evaluating the offerings from various banks, credit unions, and online platforms, we aim to help you discover the most effective ways to grow your savings and benefit from California’s most competitive interest rates.

Our Favorite Rates To Grow Your Money

TermSavings AccountInstitutionAPY
N/AMoney Market AccountHarborstone Credit Union5.25%
N/ASavings AccountWestern Alliance Bank5.27%
12 MonthsCDBread Savings5.15%
5 YearsFixed AnnuityWichita National6.50%

Disclaimer: This is a comparison review. The Annuity Expert is not associated with a bank or credit union. We aim to help you find the highest interest rates for your savings. We may receive a small referral fee if you purchase something using a link in this guide.

The Best Fixed Annuity Rates In California

The following table highlights the best fixed annuity rates in the United States.

Disclaimer: Products are subject to state availability. Please inquire below for details.

The Best CD Rates In California

The following table highlights the best certificates of deposit rates in the United States.

3-Month CD Rates

Banks and credit unions have the highest CD rates for three months.

Best 3-Month CD RatesRateTermMinimum
Merrick Bank5.25% APY3 Months$25,000.00
Total Direct Bank5.51% APY3 Months$25,000.00
Banesco USA 5.25% APY3 Months$1,000.00

6-Month CD Rates

The following banks and credit unions have the highest CD rates for six months.

Best 6-Month CD RatesRateTermMinimum
American Airlines5.35% APY6 Months$1,000.00
My eBanc5.45% APY6 Months$50,000.00
Total Direct Bank5.51% APY6 Months$25,00.00

1-Year CD Rates

The following banks and credit unions have the highest CD rates for 12 months.

Best 12-Month CD RatesRateTermMinimum
NexBank5.40% APY12 Months$25,000.00
Eastman Credit Union5.40% APY12 Months$100,000.00
USAlliance Financial5.40% APY12 Months$500.00

2-Year CD Rates

Banks and credit unions have the highest CD rates for 24 months.

Best 2-Year CD RatesRateTermMinimum
Crescent Bank4.90% APY24 Months$1,000.00
Eastman Credit Union5.40% APY24 Months$100,000.00
NexBank4.80% APY24 Months$10,00.00

3-Year CD Rates

Banks and credit unions have the highest CD rates for 36 months.

Best 3-Year CD RatesRateTermMinimum
Credit Human4.65% APY36 Months$500.00
First National Bank4.37% APY36 Months$500.00
Crescent Bank4.80% APY36 Months$1,000.00

4-Year CD Rates

The following banks and credit unions have the highest CD rates for 48 months.

Best 4-Year CD RatesRateTermMinimum
Eastman Credit Union4.65% APY48 Months$1,000.00
Crescent Bank4.50% APY48 Months$1,000.00
Credit Human4.65% APY48 Months$500.00

5-Year CD Rates

Banks and credit unions have the highest CD rates for 60 months.

Best 5-Year CD RatesRateTermMinimum
First National Bank of America4.50% APY60 Months$1,000.00
Eastman Credit Union4.75% APY60 Months$100,000.00
Virginia Credit Union4.48% APY60 Months$100,000.00
Best And Highest Cd, Annuity, Savings, Money Market Rates In California (Ca)

What Are Fixed Annuities and CD Rates?

Fixed annuities and certificates of deposits (CDs) are two extremely popular investment options that ensure a guaranteed rate of return. When you purchase an annuity, you enter into a contract with an insurance company whereby they promise to provide you with a fixed interest rate in exchange for your lump-sum payment. On the other hand, credit unions and bank CDs guarantee investment returns when placed for specified terms.

The Advantages and Disadvantages of Fixed Annuities and CD Rates

Fixed annuities and CD rates offer several advantages to investors, including:

  • The guaranteed rate of return: Both fixed annuities and CD rates offer a guaranteed rate of return on your investment, providing stability and security for your financial future.
  • Low risk: Fixed annuities and CD rates are considered low-risk investments, making them an excellent option for risk-averse investors.
  • Access to funds: With fixed annuities, you can access your funds through a lump sum withdrawal, annuity payments, or a combination of both. With CD rates, you can access your funds after the maturity date.

However, both fixed annuities and CD rates also have disadvantages, including:

  • Limited flexibility: Once you have invested in a fixed annuity or CD rate, you cannot access your funds without incurring penalties.
  • Low returns: Compared to other investment options, fixed annuities, and CD rates tend to offer lower returns, making them less attractive to investors seeking higher returns.

How to Find The Best Fixed Annuity and CD Rates in California

When searching for the best fixed annuity and CD rates in California, consider the following factors:

  • Interest rate: Look for fixed annuities and CD rates that offer the highest interest rate possible.
  • Length of term: Consider the length of the term when choosing a fixed annuity or CD rate. Longer terms tend to offer higher rates of return but also limit your access to your funds.
  • Insurance company: When choosing a fixed annuity, research the insurance company’s financial stability and track record.
  • Bank: When choosing a CD rate, research the bank’s financial stability and history.

How We Can Help

At The Annuity Expert, we understand that finding the right investment can be overwhelming. With 15 years of experience as an insurance agency, annuity broker, and retirement planner, we’re dedicated to helping you navigate your options to find the best solutions at the lowest costs.

Your Financial Challenge

The core problem we solve is finding secure and profitable savings solutions tailored to your needs. Many savers struggle with low-interest rates and uncertain financial products, which can lead to anxiety and frustration. We recognize these challenges and are here to offer our expertise.

Our Commitment to You

We believe in transparency, reliability, and personalized service. Our goal is to provide you with the highest quality financial products that ensure your money works as hard as you do.

What We Recommend

Step 1: Initial Consultation

  • First Step: Schedule a free consultation with our experts. During this session, we will understand your financial goals and assess your current investment strategy.
  • Main Benefit: Gain clarity on your financial goals and the best path forward.

Step 2: Personalized Recommendations

  • What We Do: Based on your unique needs, we will provide tailored investment recommendations that offer the best returns and terms.
  • Main Benefit: Receive personalized advice that maximizes your investment potential.

Step 3: Secure Your Investment

  • Final Step: We assist you in opening your chosen investment accounts, ensuring all details are handled smoothly and efficiently.
  • Main Benefit: Secure a high-return investment with confidence, knowing you’ve made an informed decision.

Features and Benefits

  • Expert Advice: Personalized guidance to help you select the best investment options.
  • Updated Rates: Access to the latest and most competitive investment products.
  • Convenience: A wide range of investment options in one place.

Addressing Common Objections

  • Objection: “I’m worried about investment risks.”
    Response: We’ll help you choose a diversified portfolio that matches your risk tolerance and financial goals.
  • Objection: “Investment options seem too complex.”
    Response: Our experts simplify the process, providing clear and concise recommendations tailored to your needs.

Without our guidance, you might miss out on the best investment options and returns, potentially impacting your financial growth and stability.

By working with us, you’ll enjoy higher returns on your investments, peace of mind from secure financial products, and the confidence that comes with expert financial advice.

Imagine the relief and satisfaction of knowing your investments are growing efficiently and securely. Our tailored approach ensures you feel valued, supported, and confident in your financial future.

For free advice or a personalized quote, contact The Annuity Expert. Let us help you secure the best investment options and achieve your financial goals.

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Frequently Asked Questions

Are annuities insured in California?

Yes, in California, annuities are covered by the California Life & Health Insurance Guarantee Association (CLHIGA), which is the state’s equivalent of a State Guaranty Association (SGA). This organization provides a safety net for policyholders if an insurance company fails. Coverage limits apply, so it’s important for policyholders to understand the specifics of what is covered and the maximum limits set by CLHIGA.

Related Reading

Disclaimer: I may receive a small referral fee if you purchase something using a link in this guide.

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Shawn Plummer is a Chartered Retirement Planning Counselor, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

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