Choosing an investment is a big decision, but with the best CD rates in New Jersey, you have a low-risk option to grow your funds.
CDs are a great way to earn interest and not worry about losing money.
We’ve located the best CD rates in New Jersey to help you reach your financial goals. Check out the banks and credit unions to invest your funds below.
Best CD Rates in New Jersey
Here are the best CD rates in New Jersey that you can start earning today:
- Valley Direct: 5.60% APY
- Sallie Mae: 5.40% APY
- Blue Federal Credit Union: 5.25% APY
- Quontic Bank: 5.05% APY
- Discover® Bank: 5.00% APY
- CIT Bank: 5.00% APY
- First Tech: 4.91% APY
1. Valley Direct 
- Minimum Deposit: $500
- APY: 4.60% to 5.60%
- Terms: 12 to 36 months
Valley Direct offers the best CD rates in New Jersey with three terms to consider. If you choose the 36-month option, you get a variable rate CD rather than a fixed rate.
This means your rate may change according to the market, always remaining at least 0.1% above the Federal Funds Target Rate Upper Limit to keep pace with inflation.
If you want a fixed rate, they offer 12 and 24-month options, depending on your financial goals. With a low barrier to entry and high APYs, it’s easy to see why New Jersey residents pick Valley Direct for their CD investments.
Pros:
- Attractive APYs
- Variable rate option
- Short and long-term options
Cons:
- Limited term selection
- Prepayment penalties for early withdrawal
2. Sallie Mae 
- Minimum Deposit: $1
- APY: 4.70% to 5.40%
- Terms: 10 to 14 months
Sallie Mae offers high-yield and no-penalty CDs, giving New Jersey residents many options to take advantage of the best CD rates in New Jersey. No-penalty CDs allow the option to withdraw funds early if necessary. They pay a slightly lower APY, but the flexibility may be worth it.
With a low barrier to entry and short-term investment options, it’s easy to reach your financial goals by withdrawing funds at maturity or rolling over the CD into another short-term option.
The key is to know when you need the funds and to take the term that matches your requirements to avoid early withdrawal penalties.
Pros:
- Low barrier to entry
- Interest compounds daily
- Opportunities for no-penalty CDs
Cons:
- Limited options for CD terms
- No-penalty CDs pay a lower APY
3. Blue Federal Credit Union 
- Minimum Deposit: $1
- APY: 5.00% to 5.25%
- Terms: 9 to 15 months
Blue Federal Credit Union offers its members options if you’re looking for the best CD rates in New Jersey with a no-penalty CD option. Anyone can become a Blue Federal Credit Union member with a donation to the Blue Foundation, making it easy to earn the high AP4.Ys.
Blue Federal Credit Union offers two-term options for fixed-rate CDs with an early withdrawal penalty or a 9-month term with the option to withdraw funds early if necessary without a penalty.
The low minimum deposit requirement and high APYs make Blue Federal Credit Union a favorable option.
Pros:
- Low barrier to entry
- Option for no-penalty or standard CDs
- High APYs for short-term
Cons:
- A limited selection of terms
- You must become a Blue Federal Credit Union member
Open a CD with Blue Federal Credit Union
4. Quontic 
- Minimum Deposit: $500
- APY: 4.30% to 5.05%
- Terms: 6 months to 5 years
Quontic offers short and long-term CD options with the best CD rates in New Jersey for any financial goal. All Quontic CDs automatically renew but have a 10-day grace period that allows you to withdraw the funds if you change your mind, and you won’t pay a penalty.
Quontic is 100% online, but they offer great customer service options to talk to a human to get answers to your questions. However, keep in mind if you withdraw funds before your maturity date, you will incur an early withdrawal penalty.
Pros:
- Online bank with no fees
- Many term options
- Interest compounds daily
Cons:
- CDs are only available online
- Early withdrawal penalties
5. Discover® Bank 
- Minimum Deposit: $2,500
- APY: 2.00% to 5.00%
- Terms: 3 months to 10 years
You might not think of looking for the best CD rates in New Jersey at Discover® Bank, but they offer some great rates with flexible terms. Their CD terms start at three months and go as long as ten years, providing opportunities for people with different savings goals.
Discover® Bank offers fixed-rate CDs, but they have an early withdrawal penalty, so only choose terms you know you can satisfy as the penalties are high.
Pros:
- Clear terms, including early withdrawal fees
- High APYs on many terms
- Large selection of terms
Cons:
- High minimum deposit requirement
- No early withdrawal option
6. CIT Bank 
- Minimum Deposit: $1,000 for standard CD; $100,000 for jumbo
- APY: .2
- Terms: 6 months to 5 years
CIT Bank offers the largest selection of CDs for New Jersey savers. They have standard-term CDs, but they also offer no-penalty and jumbo CDs. Also, if you’re a current customer, you may have the option for RampUp CDs to take advantage of higher market rates if they change.
CIT Bank is an online bank, but they don’t charge monthly fees, and you can easily manage your account in the app. Watch the rates and terms closely to ensure you choose the option that best suits you, as their longer-term CDs have much lower rates than their short-term options.
Pros:
- Interest compounds daily
- Many options, including a no-penalty CD
- No fees
Cons:
- Long-term CDs have low APYs
- Only one option for early withdrawal (11-month CD)
7. First Tech 
- Minimum Deposit: $500
- APY: 25% to 4.91%
- Terms: 6 months to 5 years
First Tech is a credit union that offers share certificates, the credit union’s version of CDs. They have many Bump Up and fixed-rate certificates to give New Jersey savers many options.
With only $500 required to deposit and the option to invest in Bump Up certificates, you can take advantage of higher interest rates if market rates change without worrying about being stuck in a lower-rate CD.
Pros:
- NCUA insured up to $250,000 per depositor
- Options for Bump Up certificates
- Easy to open online
Cons:
- APYs can be low on some terms
- Must be a credit union member
Summary of the Best CD Rates in New Jersey
| Company | APY | Min. Dep. Requirement | Compounding Frequency |
| Valley Direct | 4.60% – 5.60% | $500 | Daily |
| Sallie Mae | 4.70% – 5.40% | $1 | Daily |
| Blue Federal Credit Union | 5.00% – 5.25% | $1 | Daily |
| Quontic | 4.30% – 5.05% | $500 | Daily |
| Discover | 2.00% – 5.00% | $2,500 | Daily |
| CIT Bank | 0.30% – 5.00% | $1,000 | Daily |
| First Tech | 2.25% – 4.91% | $500 | Daily |
Learn More:
Types of CDs Available in New Jersey
If you’re looking for the best CD rates in New Jersey, you must know the various types of CDs you can open.
Short-Term CDs in New Jersey
Short-term CDs have up to one-year terms, but many banks and credit unions offer terms starting at a couple of months. This allows you to grow your funds without a long-term commitment. You can access your fund early, avoiding early withdrawal penalties.
Many banks and credit unions offer their best promotional rates on short-term CDs. In addition, many renew automatically, allowing you to keep the earnings going if you don’t need the funds yet.
Long-Term CDs in New Jersey
Long-term CDs tie up your funds longer but provide a fixed interest rate. Depending on the bank or credit union, you may find CDs for two to ten years. Only choose this option if you know you don’t need the funds sooner because most banks charge a hefty early withdrawal fee.
When choosing a longer-term CD, be sure to pay attention to the rates. Some banks drop their rates drastically on longer terms.
Liquid CDs in New Jersey
Savers in New Jersey who aren’t sure if they need access to their funds can access liquid or no-penalty CDs.
This option allows you to withdraw funds early without a penalty. Be sure to read the fine print when choosing this option, as each bank has a different rule regarding when you can access the funds. It’s usually 7 to 30 days, but see what each bank requires.
Liquid CDs often pay lower APYs because you can withdraw funds early, so weigh the pros and cons of this option before deciding.
Step Up/Bump Up CDs in New Jersey
Locking up your funds in a CD can be nerve-wracking if you think rates will increase. Bump-up or step-up CDs allow you to increase the rate according to the most current rates if they increase. The flexibility allows you to invest your funds without worrying.
Initially, step-up or bump-up CDs have lower APYs than fixed-rate terms because you can increase the rate if the market cooperates.
Add-on CDs in New Jersey
You’ll need an add-on CD if you want to make regular contributions to your CDs. Most banks and credit unions only allow a deposit once when you open the account. If you have more funds to deposit, you must open another CD.
But if you want to increase your investment, add-on CDs allow regular deposits, sometimes even allowing automatic deposits to increase your balance and earnings.
Our Methodology
The BankBonus team has reviewed dozens of brick-and-mortar banks, online banks, credit unions, and fintech companies offering CD accounts in New Jersey.
To provide you with accurate recommendations for the best CD rates in New Jersey, we used the metrics below to assess each account:
- APY: First and foremost, we evaluate CD offers based on how competitive their APY is
- Compounding schedule: Another major factor we consider is the account’s compounding schedule, prioritizing banks that compound interest daily rather than monthly or quarterly
- CD terms: We also consider the variety of CD term lengths each financial institution offers
- Account minimum: Additionally, we look at each CD’s minimum opening deposit requirements and any ongoing account minimums
- User experience: We carefully consider the ease of applying and managing CD accounts on each bank’s website and factor in reviews of the mobile app from the App Store and Google Play Store
- Customer service: In our review process, we also explore each institution’s customer service channels, hours of availability, and third-party reviews
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