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.
- The Best Fixed Annuity Rates In California
- The Best CD Rates In California
- What Are Fixed Annuities and CD Rates?
- The Advantages and Disadvantages of Fixed Annuities and CD Rates
- How to Find the Best Fixed Annuity and CD Rates in California
- Next Steps
- Related Reading
- Earn The Highest Interest Rates On Savings Today
- Request Help
Earn The Highest Interest Rates On Savings Today
Fixed annuities are almost identical to Certificates of Deposit (CDs) accounts and provide higher interest rates and penalty-free withdrawals for income.
| Term | Insurance Company | APY |
|---|---|---|
| N/A | Money Market Account – American First Credit Union | 5.29% |
| N/A | Money Market Account – StagePoint Federal Credit Union | 5.29% |
| N/A | Savings Account – Customers Bank | 5.30% |
| 12 Months | CD – Western Alliance | 5.51% |
| 5 Years | Clear Spring Fixed Annuity | 6.00% |
Disclaimer: This is a review. The Annuity Expert is not associated with a bank or credit union. However, fixed annuities are sold at most financial institutions. We aim to help you find the highest interest rates for your retirement 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 Rates | Rate | Term | Minimum |
|---|---|---|---|
| Signature Federal Credit Union | 5.55% APY | 3 Months | $500.00 |
| Western Alliance Bank | 5.51% APY | 3 Months | $1.00 |
| Ponce Bank | 5.40% APY | 3 Months | $1.00 |
6-Month CD Rates
The following banks and credit unions have the highest CD rates for six months.
| Best 6-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| TotalDirectBank | 5.76% APY | 6 Months | $25,000.00 |
| Franklin Mint Federal Credit Union | 5.60% APY | 6 Months | $500.00 |
| Western Alliance | 5.70% APY | 6 Months | $1.00 |
1-Year CD Rates
The following banks and credit unions have the highest CD rates for 12 months.
| Best 12-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| My eBanc | 5.77% APY | 12 Months | $50,000.00 |
| Popular Direct | 5.67% APY | 12 Months | $10,00.00 |
| State Bank of Texas | 5.85% APY | 12 Months | $50,000.00 |
2-Year CD Rates
Banks and credit unions have the highest CD rates for 24 months.
| Best 2-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Luana Savings Bank | 5.63% APY | 24 Months | $100,000.00 |
| Maple Mark Bank | 5.40% APY | 24 Months | $25,000.00 |
| Newtek Bank | 5.60% APY | 24 Months | $50,000.00 |
3-Year CD Rates
Banks and credit unions have the highest CD rates for 36 months.
| Best 3-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| U.S. Senate Federal Credit Union | 5.23% APY | 36 Months | $200,000.00 |
| Mountain Credit Union | 5.03% APY | 36 Months | $2,500.00 |
| Bread Savings | 4.90% APY | 36 Months | $1,500.00 |
4-Year CD Rates
The following banks and credit unions have the highest CD rates for 48 months.
| Best 4-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Bread Savings | 4.50% APY | 48 Months | $1,500.00 |
| The State Exchange Bank | 4.50% APY | 48 Months | $1.00 |
| Barclays | 4.45% APY | 48 Months | $1.00 |
5-Year CD Rates
Banks and credit unions have the highest CD rates for 60 months.
| Best 5-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Farmers Insurance | 5.00% APY | 60 Months | $1,000.00 |
| Barclays | 4.50% APY | 60 Months | $0.00 |
| Bread Savings | 4.50% APY | 60 Months | $1,500.00 |
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.
Next Steps
Investing in fixed annuities and CDs is an effective way to secure your financial future. However, selecting the right option for your needs and goals can be difficult. To help you make an informed decision, we’ve put together a guide that reviews California’s best-fixed annuity and CD rate offerings, their advantages and disadvantages, and how various investing strategies can benefit certain people. We hope this has helped help you understand the different types of investments available.
Picking an investment option isn’t a one-size-fits-all choice. Each of us faces unique situations, so take the time to consider your needs before making any decisions. Then, if you still have questions or want assistance narrowing down your options, we’re here to help! Contact us today for more information on our quotes and professional advice.
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Related Reading
Disclaimer: I may receive a small referral fee if you purchase something using a link in this guide.