How much can you earn with a long-term CD this fall?

Savers are in a unique position right now. Thanks to the Federal Reserve’s interest rate decisions over the past few years, interest rates have been at levels not seen in decades. In return, both high yield savings accounts and certificates of deposit (CDs) is a smart bet as many of these accounts now offer rates of 5% or higher on your money.

But while both options may be worth considering, savers may want to be very careful about which long-term CDsespecially can offer. Unlike high-interest savings accounts, which come with variable rates which can change over time, a CD allows you to lock in today’s high prices for the entire term. So know opening a long-term CDyou want to make sure that your money earns the same good rate until the account is due.

That feature could be useful now too inflation cools down. After all, the Fed is likely to start cut the rates as soon as next month. When that happens, rates on interest-bearing accounts are likely to fall in line — but that won’t affect you if your CD rate is already locked in. how much can you earn by opening a long-term CD in the fall?

See how much more interest you could earn on a top CD here.

How much can you earn with a long-term CD this fall?

There are a number of factors that can affect your CD earnings, including the interest rate, the term length and the amount you deposit into the account. Any penalties for early withdrawal or other types of fees can also affect your earnings, so it’s important to take them into account when comparing your options.

Today’s best long-term CD prices include:

• 1-year CD: 5.15%
• 18-month CD: 5.10%
• 2-year CD: 5.72%
• 3-year CD: 5.75%
• 5-year CD: 4.50%
• 10-year CD: 3.50%

Let’s break down how much you can earn with these CDs based on different deposit amounts. We calculate the interest earned and the total balance at maturity for deposits of $1,000, $5,000 and $15,000. These calculations assume that no early withdrawal fees or penalties apply.

1-year CD at 5.15%

• $1,000 deposit: You would earn $51.50 for a total balance of $1,051.50
• $5,000 deposit: You would earn $257.50 for a total balance of $5,257.50
• $15,000 deposit: You would earn $772.50 for a total balance of $15,772.50

18-month CD at 5.10%

• $1,000 deposit: You would earn $77.47 for a total balance of $1,077.47
• $5,000 deposit: You would earn $387.34 for a total balance of $5,387.34
• $15,000 deposit: You would earn $1,162.01 for a total balance of $16,162.01

2-year CD at 5.72%

• $1,000 deposit: You would earn $117.67 for a total balance of $1,117.67
• $5,000 deposit: You would earn $588.36 for a total balance of $5,588.36
• $15,000 deposit: You would earn $1,765.08 for a total balance of $16,765.08

3-year CD at 5.75%

• $1,000 deposit: You would earn $182.61 for a total balance of $1,182.61
• $5,000 deposit: You would earn $913.04 for a total balance of $5,913.04
• $15,000 deposit: You would earn $2,739.13 for a total balance of $17,739.13

5-year CD at 4.50%

• $1,000 deposit: You would earn $246.18 for a total balance of $1,246.18
• $5,000 deposit: You would earn $1,230.91 for a total balance of $6,230.91
• $15,000 deposit: You would earn $3,692.73 for a total balance of $18,692.73

10-year CD at 3.50%

• $1,000 deposit: You would earn $410.60 for a total balance of $1,410.60
• $5,000 deposit: You would earn $2,052.99 for a total balance of $7,052.99
• $15,000 deposit: You would earn $6,158.98 for a total balance of $21,158.98

Find the best CD prices available to you here.

Bottom line

Many long-term CDs are offering attractive returns this fall, with potential earnings from over $51 to over $6,000 on deposits between $1,000 and $15,000, depending on the period chosen. Given these high potential returns and the guaranteed interest rates, these interest-bearing deposit accounts can be an attractive option for savers who can tie up their funds for a longer duration.

As you plan your savings strategy for the fall, just be sure to carefully weigh the benefits of these higher returns against the reduced liquidity of long-term CDs. However, with proper planning, long-term CDs can be an excellent tool for increasing your savings in the current economic climate.