Are you considering an Amex CD? Here’s how the prices stack up now

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What American Express CDs Pay for Today’s Top Rates

If you have an American Express bank account or credit card, you’ve probably seen promotions for Amex CDs in your online banking dashboard. These certificates of deposit allow you to lock in a fixed interest rate for a specified period, receiving a guaranteed return for months – or even years – without any risk.

For existing Amex customers, opening one of these CDs will be quick and convenient. But is this the smartest move? How do Amex’s CD prices compare to the best deals available?

In every term now, You can earn more By opening one of the best CDs currently available, usually offered by small banks and credit unions. Because the Federal Deposit Insurance Corporation (FDIC) and National Credit Union Administration (NCUA) insurance provide the same federal protection regardless of the size of the bank or credit union, these lesser-known institutions are just as safe for your savings as American Express.

The above price gaps may not seem like significant differences, but the extra profits add up. On an 18-month CD with a $10,000 deposit, for example, You’ll have about $92 extra By going with the higher rate of 4.20% instead Amex offer of 3.60% – with the same security and less setup effort.

How American Express CDs stack up against other big-name banks

If you still feel more comfortable keeping your money in a CD at one of the big, household-name banks, you’re not alone. If brand recognition is a priority for you, here’s how Amex’s CD prices compare with other major players.

As you can see, Amex beats or matches the higher price point by offering a promotional CD for an odd term, such as 14 or 22 months. But in standard terms, other banks —Especially Capital One and Discover– Pay more than American Express.

Act quickly: Loan interest rates are likely to fall with the Fed’s cuts

Wherever you decide to open a CD, it’s smart to move quickly. That’s because the Fed is widely expected to make another quarter-point cut to its benchmark interest rate in less than two weeks. Since interest rates on bank and credit union deposits generally follow the Fed’s moves, a cut would push CD yields lower. Lock Now allows you to lock in one of today’s high prices before this happens.

Ultimately, whether or not an American Express CD is the right move depends on what you value more — convenience or making your money work a little harder in a higher-paying account.

How to Find the Best Savings and CD Rates

Each business day, Investopedia tracks rate data for more than 200 banks and credit unions that offer CDs and savings accounts to customers across the country and determines a daily ranking of the highest-grossing accounts. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the minimum initial account deposit must not exceed $25,000. It is also not possible to determine A maximum The deposit amount is less than $5,000.

Banks must be available in at least 40 states to be eligible to be available nationwide. While some credit unions require you to donate to a specific charity or association to become a member if you do not meet other eligibility criteria (for example, if you do not live in a certain area or work a certain type of job), we exclude credit unions with donation requirements of $40 or more. To learn more about how to choose the best rates, read our full methodology.