Discover Bank CD Rates 2023: How Do They Compare?

Discover the comparison between Discover Bank CD rates and others to help you grow your money with a healthy annual percentage yield (APY) that you can count on. Having to compare CD rates is much of a good idea. See the full details!

Overview of Discover Bank CD Rates

Discover Bank’s CD rates are very competitive with other online banks and are always among the best you can find. They offer extensive terms ranging from three mont24bottles mandarinaducksaldi andcamiciesaldi senzamai gabssaldi gabssaldi diegodallapalmaoutlet negozitata cainsmooredonna loevenichmutze saldibenetton vondutchmutzen vondutchmutzen tatascarpe ynotoutleths to 10 years max.

Additionally, the bank also holds strong checking and savings opportunities, which give it an edge over other banks. However, the minimum CD deposit of $2,500 may be lofty for certain individuals.

Discover Bank CD Rates

3-month CD	2.00% APY.
6-month CD	3.40% APY.
9-month CD	5.30% APY.
1-year CD	5.20% APY.
18-month CD	5.00% APY.
2-year CD	4.40% APY.
30-month CD	4.30% APY.
3-year CD	4.30% APY.
4-year CD	4.00% APY.
5-year CD	4.00% APY.
7-year CD	3.80% APY.
10-year CD	3.80% APY.

More Details About Discover Bank CDs

Minimum deposit	$2,500.
Monthly fee	None, which is typical for CDs.
Range of CD terms	3 months to 10 years.
Compounding period	Daily. (This detail assists you estimate what you can earn using a CD calculator.)
Early withdrawal penalty	3 months’ worth of interest for CDs of terms lesser than 1 year 6 months’ worth of interest for CDs of terms 1 year to lesser than 4 years 9 months’ worth of interest for CDs of terms 4 years to lesser than 5 years 18 months’ worth of interest for CDs of terms 5 years to lesser than 7 years 2 years’ worth of interest for CDs of terms 7 years or longer. The penalty can contain more than the actual interest earned if the withdrawal occurs early enough.
Grace period	9 days after the CD’s maturity timeline. Discover CDs automatically renew, so this 9-day window is the only moment to withdraw without paying a penalty.
No-penalty CDs available?	No; see best no-penalty CD options.
Discover IRA CD available?	Yes; compare the best IRA CD rates.

What to Consider When Opening CDs

• Interest rates are set. If you sign up for a Discover Bank CD today, its annual percentage yield will remain the same until the CD term ends. This allows you to lock in a CD if rates are relatively high, though there is a risk of losing out if rates continue to rise. Here’s a brief look at historical CD rates. Or, if you want a sample of rates each month, see current CD rates.
• You lose interest if you withdraw earlier. CDs are built to keep your cash out of sight, out of mind. If you dip into a Discover CD before it expires, there’s an early withdrawal penalty, which implies losing some or all the interest you earned.

Pros and Cons of Discover Bank CD

Pros

• No fees.
• $150 and $200 bonus for savings.
• 1% cash-back rewards checking account.
• Competitive savings rates.
• Large ATM network.

Cons

• Only one physical branch location.

Discover Bank Fees

	Bank rate	National Average
Monthly Inactivity	N/A	$6
Non-Sufficient Fund (Overdraft)	$30	$30
Stop Payment item	$15	$27
Return Deposit	$15	$13
Domestic Wire Transfer (Outbound)	$30	$22
Domestic Wire Transfer (Inbound)	$0	$10
Non-Bank ATM	$0	$1

Read Also:

• Are Extended Warranties Worth it: All you Need to Know
• The Percentage of Business Failure and How to Avoid It
• Market Competition and Method Winning Customers
• Arizona Student Loans: Arizona Student Loan and Interest Rate
• Where can I get Money from my EBT Card for Free?

Benefits of Discover Bank

With a robust lineup of products and services, Discover Bank can handle most of your financial needs. Below are some of their benefits:

• Free checking accounts with online bill payment and check writing.
• Competitive interest rates on savings accounts.
• No minimum balances or monthly fees on checking or savings.
• Cashback rewards on debit card purchases.
• CDs, savings, and money market accounts under one login.
• 24/7 customer service (including chat support for enrolled customers).
• Account opening bonuses for new customers.

How Discover Bank CD Rates Compare to Others

Discover’s CDs have strong rates. Let’s compare with two other online banks:

1-year APY: 2.00% 3-year APY: 2.05% 5-year APY: 2.10% Minimum deposit: $2,500	1-year APY: 2.15% 3-year APY: 2.10% 5-year APY: 2.25% Minimum deposit: $500	1-year APY: 2.00% 3-year APY: 2.00% 5-year APY: 2.10% Minimum deposit: No minimum

How to Open Discover Bank CD

Opening a CD is simple. You can do it online, step by step, or on the phone.

1. Visit DiscoverBank.com.
2. Enter your info: They need your address, phone, email, and social security number.
3. Fund your account: Open with as little as $2,500. You can send them a check or transfer funds from an existing bank account.
4. Verify your information: Verify your information and electronically sign your application.
5. Confirmation email: They’ll send a confirmation email, then watch the mail for your Welcome Kit.

What to Consider When Opening CDs

• Interest rates are fixed. If you open a Discover Bank CD today, its annual percentage yield will remain the same until the CD term ends. This benefits you if you lock in a CD if rates are dropping, but on the flip side, you’ll earn less on a CD if rates rise. It’s hard to know when CD rates will go up or down since it depends on Fed rate hikes and other factors.
• You lose interest if you withdraw early. CDs are built to keep your money out of sight, out of mind. If you dip into a Discover CD before it expires, there’s an early withdrawal penalty, which means losing some or all the interest you earned.

Read Also:

• Does Costco Take EBT?
• Starbucks Competitive Advantage & Sustainable Strategies
• Fast-food Restaurants that Accept EBT Near
• Does Schwan accept EBT?
• Top 18 Benefits and Disadvantages of Online Shopping Reviewed

In a Nutshell

We recommend opening Discover Bank CDs with a term of 10 years for the maximum bonus. Put money you don’t want to touch for a while, like your child’s college tuition or your retirement fund.

This is great for people with higher net worth or low income in retirement. Finally, if you find this article informative, kindly share this link and subscribe to this page.