Best CD Rates in Massachusetts
We’ve compared 356 CD accounts at 134 nationally available banks and credit unions to find some of the best certificates available in Massachusetts. Read on to learn why we picked each account and to access individual bank reviews.
Annual percentage yields (APYs) and account details are accurate as of May 3, 2024.
Best For Large Deposits
Service Credit Union Certificates of Deposit
4.8
Our ratings take into account a product's APYs, fees, minimums and other category-specific attributes. All ratings are determined solely by our editorial team.
Annual Percentage Yield
0.80% to 5.10%
Minimum Deposit Requirement
$500
Interest Compounding Frequency
Monthly
0.80% to 5.10%
$500
Monthly
Editor's Take
Service Credit Union certificates provide competitive rates and flexible terms ranging from three months to five years. The 12-month Service Credit Union Certificates of Deposit offers the highest return at 5.10% APY. The 15- and 24-month CDs offer competitive APYs as well.
You do have to meet specific eligibility requirements to become a Service Credit Union member, but there are several ways to qualify. For example, membership is open to active-duty service members, veterans and their families, and members of one of the bank’s partner organizations or employer groups.
Pros & Cons
- APYs up to 5.10% with the minimum deposit
- 24/7 customer support
- Interest compounds monthly, not daily
- Must be part of a qualifying group to open an account
Details
Interest compounds and credits to your account monthly. At maturity, you have the option to withdraw your money or roll the funds into a new certificate. The funds you deposit into a Service Credit Union certificate are insured for up to $250,000 by the federal government.
Best For In-Branch Banking
Santander Bank Standard Certificates of Deposit
4.7
Our ratings take into account a product's APYs, fees, minimums and other category-specific attributes. All ratings are determined solely by our editorial team.
Annual Percentage Yield
4.50% to 4.75%
Minimum Deposit Requirement
$500
4.50% to 4.75%
$500
Daily
Editor's Take
Santander CDs require a low minimum investment of $500, but just three CD terms are available: nine months ( APY) and 13 months (N/A APY). Rates vary by location, and individual branches may offer a variety of CD terms.
You must visit a Santander Bank branch to open a CD. The bank has nearly 500 branch locations in the northeast and Florida.
Pros & Cons
- Competitive interest rates
- $500 minimum deposit
- Personal and small business CDs are available
- Must visit a branch to open a CD
- Limited term options
Details
Interest compounds daily and is credited to your account monthly or at maturity, depending on the term length. A penalty applies for withdrawing funds before the maturity date and depends on the term. When a CD matures, you have seven days to make changes to the account before it automatically renews for the same term.
Best For Brokered CDs
Charles Schwab Bank CD OneSource
4.5
Our ratings take into account a product's APYs, fees, minimums and other category-specific attributes. All ratings are determined solely by our editorial team.
Annual Percentage Yield
Up to 5.48%
Minimum Deposit Requirement
$1,000
Interest Compounding Frequency
N/A
Up to 5.48%
$1,000
N/A
Editor's Take
Schwab CD OneSource isn’t a specific CD account—instead, it’s a CD marketplace offered by the brokerage firm Charles Schwab. That means any CD purchased through Schwab OneSource is a brokered CD. Customers can shop for and compare various brokered CDs through the online marketplace before making a purchase.
Rather than compounding, interest on a brokered CD is paid out to customers regularly through the CD’s term. Deposits still receive FDIC insurance as long as the CDs are issued to the broker from an FDIC-insured bank. Investors can also trade or sell brokered CDs before maturity on the secondary market without incurring a penalty.
A benefit of brokered CDs like those offered through Schwab OneSource is competitive interest rates. APYs available from Schwab OneSource are currently as high as 5.46%.
You must be a Charles Schwab customer to open a CD, and these accounts require a $1,000 minimum deposit.
Pros & Cons
- Highly competitive interest rates
- Option to trade brokered CDs on the secondary market
- 24/7 customer service via phone or online chat
- $1,000 minimum deposit requirement
- Brokered CDs can lose value if sold before maturity
Details
Interest on Schwab OneSource CDs doesn’t compound. Instead, it’s paid out in intervals throughout the CD’s term. Customers can sell CDs on the secondary market without penalty before maturity, though it’s possible they can lose value. And like bank CDs, you can withdraw your full principal balance at maturity.
Best For Short-Term CD Rates
Hanscom Federal Credit Union Traditional Certificate
4.4
Our ratings take into account a product's APYs, fees, minimums and other category-specific attributes. All ratings are determined solely by our editorial team.
Annual Percentage Yield
1.25% to 5.00%
Minimum Deposit Requirement
$1,000
Interest Compounding Frequency
Monthly
1.25% to 5.00%
$1,000
Monthly
Editor's Take
Hanscom Federal Credit Union offers certificates with terms ranging from three months to five years. With a minimum investment of $1,000, you can earn 1.25% to 5.00% APY. The credit union’s six- to 11-month and 12- to 17-month certificates pay the highest rates.
While there are 21 Hanscom Federal Credit Union branches in Massachusetts and Virginia, you can also bank digitally through your online account or the credit union’s mobile app.
Membership is required to open any type of account at a credit union. At Hanscom Federal Credit Union, membership is available for those who meet one of the following requirements:
- You’re a member of a Hanscom Federal Credit Union partner organization
- You have an immediate family who’s a member
- Your employer offers Hanscom Federal Credit Union as a benefit
- You are a current or retired federal employee in Massachusetts
- You are an active or retired member of the military
You can apply for membership online or in person. Once you’re a member, you can open a certificate in person, via email, fax, phone or postal mail.
Pros & Cons
- Select terms have very competitive APYs
- Option to bank in person if you live in Massachusetts or Virginia
- Minimum deposit requirement of $1,000
- Must qualify for membership
- Some terms have less competitive APYs
- Interest compounds monthly, not daily
- Limited customer service hours
Details
Interest compounds monthly. Those who meet membership criteria can apply for membership and open an account online or in person. You’ll have to pay penalties if you make withdrawals before maturity. For terms 12 months or less, the penalty is equal to 90 day’s worth of dividends on the amount withdrawn. For terms longer than 12 months, the penalty jumps to 180 days’ worth of dividends.
Best For Highest Yield
USAlliance Federal Credit Union Certificates of Deposit
4.3
Our ratings take into account a product's APYs, fees, minimums and other category-specific attributes. All ratings are determined solely by our editorial team.
Annual Percentage Yield
0.75% to 5.15%
Minimum Deposit Requirement
$500
Interest Compounding Frequency
Daily
0.75% to 5.15%
$500
Daily
Editor's Take
USAlliance Federal Credit Union certificates come in terms ranging from three months to five years and require a relatively low minimum investment of $500. The credit union’s special certificates offer promotional rates, including up to 5.15% APY for a 12-month certificate.
Residents of Connecticut, Massachusetts, New Jersey and New York can bank in-person at one of the credit union’s nine branch locations. While its footprint is small, the credit union participates in shared branch banking with over 5,600 branch facilities and offers a network of 30,000 fee-free ATMs.
You have to be a member to open a certificate account with USAlliance, but anyone can join by becoming a member of one of the credit union’s partner associations. You’ll also need to open a free checking or savings account to become a member.
Pros & Cons
- High APY on special certificates
- Terms ranging from three months to five years
- Low minimum investment
- Low rates on short-term certificates
- Membership required
- Limited branch locations
Details
Dividends compound daily and are credited to your account monthly. You can withdraw your dividends penalty-free at any time, but this may reduce your earnings. Early withdrawal of the principal will result in a penalty of 180 days’ worth of dividends for certificates with terms shorter than 18 months and 360 days’ worth of dividends for certificates with terms of 18 months or longer.
Summary: Best CD Rates in Massachusetts
| Company | Company - Logo | Forbes Advisor Rating | Forbes Advisor Rating | Annual Percentage Yield | Minimum Deposit Requirement | Compounding Frequency |
|---|---|---|---|---|---|---|
| Service Credit Union Certificates |  | 4.8 |  | 0.80% to 5.10% | $500 | Monthly |
| Santander Certificates of Deposit |  | 4.7 |  | 4.50% to 4.75% | $500 | Daily |
| Charles Schwab Bank Schwab CD OneSource |  | 4.5 | | Up to 5.48% | $1,000 | N/A |
| Hanscom Federal Credit Union Traditional Certificate |  | 4.4 |  | 1.25% to 5.00% | $1,000 | Monthly |
| USAlliance Federal Credit Union CD |  | 4.3 | | 0.75% to 5.15% | $500 | Daily |
Methodology
To come up with the best CD rates in Massachusetts, Forbes Advisor analyzed 356 CD accounts at 134 financial institutions, including traditional brick-and-mortar banks, online banks and credit unions in Massachusetts. For the star ratings, we ranked each CD account based on 10 data points across the categories of APY, minimum deposit requirements, compound interest schedule, customer service, digital experience, available terms and overall availability.
The following is the weighting assigned to each category:
- APY: 50%
- Minimum deposit requirement: 21.5%
- Compound interest schedule: 7.5%
- Digital experience: 6%
- Customer service: 5%
- Availability: 5%
- Available terms: 5%
Using these categories, we ranked certificates in Massachusetts from best to worst. CD accounts with high APYs rose to the top. Certificates with a minimum deposit requirement below $10,000 were preferenced, as were accounts with daily compounding interest schedules rather than monthly or quarterly schedules. To appear on this list, the account must be available in Massachusetts.
To learn more about our rating and review methodology and editorial process, check out our guide on How Forbes Advisor Reviews Banks.
Current CD Rates in Massachusetts
At the time of this writing, the best CD rates in Massachusetts range from around 1.00% APY to above 5.00% APY. Current rates vary by bank, term and minimum deposit.
CD rates can change at any time, so today’s rates may not last long. Check current rates and compare them across multiple institutions before opening a new CD.
How To Find the Highest CD Rates in Massachusetts
Start by reviewing the accounts we listed above. We analyzed more than 350 accounts to come up with the top five CDs in Massachusetts, and each of our choices offers rates of at least 5.00% APY. Keep in mind that rates can change at any time, so it’s worth consulting individual financial institutions’ websites for current rates.
If you expand your search beyond our suggested accounts, focus on credit unions, online banks and community banks. These types of institutions tend to offer higher savings rates compared to traditional banks.
How To Get the Best Credit Union CD Rates in Massachusetts
If you’re looking for the best credit union CD rates in Massachusetts, you can start your search with the accounts listed above. Out of our top five, three of the best CD rates in Massachusetts are offered by credit unions.
Look for credit union certificate accounts with competitive rates, but make sure they also suit your needs. For instance, if you only have $500 to deposit, don’t compare accounts that require $1,000 to open. Keep in mind that you need to be a credit union member to open a credit union certificate. Check eligibility requirements when comparing different accounts to make sure you qualify.
Pro Tip
Community credit unions sometimes offer the best CD rates as promotional offers. These promotional CD rates can help them attract new customers. Check CD rates at smaller credit unions in Massachusetts, and keep an eye out for special rates, which usually only last for a limited time. You can even sign up for credit unions’ email newsletters to stay on top of any upcoming CD promotions.
Short-Term CDs in Massachusetts
Usually, short-term CDs refer to those with terms ranging from three months to one year. Short-term CDs offer more flexibility because you regain access to your money in less time. This makes them ideal for those with short-term goals or those who aren’t ready for a long-term financial commitment. Often, short-term CDs earn a lower APY than long-term CDs, though there are exceptions.
All five of our best CD rates in Massachusetts include accounts with short-term CD options, with some offering terms as short as three months.
Long-Term CDs in Massachusetts
Long-term CDs require you to lock up your money for a longer period of time—typically anywhere from one to five years or longer. CDs with longer terms tend to appeal to those who have longer-term goals and are certain they won’t need access to their deposit in the short term. Long-term CDs may offer higher APYs, but not always.
Most of our five best CD rates in Massachusetts offer long-term CD options ranging up to five years.
Jumbo CDs in Massachusetts
Jumbo CDs require a larger minimum opening deposit—often $100,000 or more—and tend to offer a higher APY in return. For customers who want to invest a lot of money in a CD, opening a jumbo CD rather than a traditional CD might help you earn a little bit more on your money.
Most of the CDs on this list pay a competitive APY on all balance tiers, regardless of how much you invest. If you’re investing more than $100,000, compare these CDs to jumbo CDs in Massachusetts to make sure you’re getting the best rate.
Frequently Asked Questions (FAQs)
Who has the best CD rates in Massachusetts?
Based on our analysis of 356 CD accounts in Massachusetts, we found the best rates at Santander, Charles Schwab, Hanscom Federal Credit Union and USAlliance Federal Credit Union.
What is the best bank to open an account at in Massachusetts?
The best bank to open an account in Massachusetts depends on your goals and preferences. If you’re looking to earn the highest yield on a CD, Hanscom Federal Credit Union or Charles Schwab may be your best bet. But you should look beyond APY when deciding where to bank. Consider factors like account minimums, accessibility, membership eligibility, digital experience and customer service.
What is the largest Bank in Massachusetts?
Citizens Bank is the largest bank in Massachusetts by footprint. In regard to total deposits, Bank of America is the largest bank in Massachusetts.
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