The Best CD Rates in Florida for 2025

The Sunshine State's large population has attracted many financial institutions competing for your deposits. With plenty of options from Florida's coastlines and inland communities, comparing certificate of deposit (CD) rates can be time-consuming. We've done the legwork for Florida residents by assessing the market to present you with the most attractive CD rates currently offered across the state.

The Best CD Rates in Florida

Fifth Third Bank

Fifth Third Bank typically offers CDs with maturity terms ranging from 7 days to 7 years but their promotional CD rates (specific maturity terms may vary) tend to be the most attractive–among the highest available nationwide and beating the CD rates found at many online banks. The minimum opening deposit for Fifth Third Bank promotion CDs is $5,000.

Valley National Bank

Valley National Bank stands out with stellar CD rates on most of their available maturity terms ranging from 3 months to 4 years. Promotional CD rates are also available from time to time. The minimum opening deposit for Valley National Bank CDs is $500 (may vary for promotional CD rates).

BankUnited

BankUnited offers very high promotional rates, notably on their shorter maturity terms up to 12 months. The minimum opening deposit for BankUnited CDs is $1,000.

Lock In The Highest CD Rates Before Interest Rates Crash Again

The Federal Reserve plans to continue dropping interest rates. To ensure that you continue to generate reliable returns for years to come, consider a CD now to lock in the highest available rates:

Methodology

To choose the best CD rates in Florida, the MyBankTracker team surveyed the certificate of deposit accounts offered by the top 50 banks by deposit market share in Florida (based on FDIC June 2024 data) with more than 10 retail branches in the state--covering major cities including Jacksonville, Miami, Tampa, Orlando, St. Petersburg, and Tallahassee.

The top recommendations are the results of analyzing the CDs based on the following criteria:

• Annual percentage yield (APY) for each CD’s corresponding maturity term
• The number of CD maturity terms available from the bank with which their corresponding APYs are competitive
• Minimum opening deposit requirements

How Do CDs Work?

Certificates of deposit (CDs) are time deposit accounts offered by banks that provide a fixed interest rate for a specific period. Unlike traditional savings accounts, which allow frequent deposits and withdrawals, CDs require you to lock in your funds for a set term. In return, you earn a guaranteed CD interest rate.

Locking in funds

When you open a CD, you agree to keep your money deposited for the entire term, ranging from a few months to several years. During this time, you cannot withdraw your funds without facing penalties. The benefit of locking in your funds is receiving a guaranteed interest rate, which means your earnings are predictable and secure.

How to Pick a Certificate of Deposit

Choosing the right CD involves considering several factors to ensure it aligns with your financial goals and needs.

Interest rate

The CD interest rate determines how much you will earn on your deposit. It is crucial to compare rates from different banks to maximize your earnings. Higher interest rates mean more significant returns, so shopping around can help you find the best deal.

Maturity term

CDs come with various maturity terms, ranging from short-term (a few months) to long-term (several years). Short-term CDs offer more liquidity, allowing you to access your funds sooner. Long-term CDs typically provide higher interest rates but require a longer commitment.

Minimum opening deposit

Different banks have varying minimum deposit requirements for opening a CD. Some may require as little as $1, while others need thousands. Ensure you understand the minimum deposit requirement before choosing a bank.

Early withdrawal penalty

Withdrawing funds from a CD before it reaches maturity usually results in penalties. These penalties can significantly reduce your earnings or even cause you to lose some of your principal. It is essential to be aware of these consequences and choose a term that fits your financial plans.

Flexibility options

Some CDs offer additional features for flexibility:

• Bump-Up CDs: Allow you to increase your interest rate if rates rise during the term.
• Additional Deposits: Some CDs let you make extra deposits, providing more flexibility in managing your funds.

Compared to Online CDs Available Nationwide

Online banks often provide competitive options for Certificates of Deposit. Here’s why they should be considered:

• Higher interest rates: Online banks frequently offer higher CD interest rates compared to traditional brick-and-mortar banks.
• Lower minimum deposits: Many online CDs have lower minimum deposit requirements, sometimes as low as $1.

FDIC Insurance

FDIC insurance is vital to certificates of deposit. It protects your deposits up to the maximum allowed by law in case the bank fails. Most banks, including online banks, are FDIC-insured, ensuring that your funds are safe.

FAQs

What happens when a CD reaches maturity?

When a CD reaches maturity, you have several options:

• Withdraw your funds: You can take out your initial deposit and the earned interest.
• Renew the CD: Many banks offer automatic renewal at the current interest rate or allow you to renew at a different term.

What is a CD ladder?

A CD ladder is a strategy that involves opening multiple CDs with varying maturity terms. This approach allows you to take advantage of higher interest rates on long-term CDs while maintaining liquidity through shorter-term CDs.

How is interest accrued in a CD?

Interest on CDs can accrue daily, monthly, or at other intervals, depending on the bank's policies. The interest rate and compounding frequency determine how quickly your earnings grow.

How are interest earnings in CDs taxed?

The interest earned from CDs is typically considered taxable income by the IRS. You will receive a Form 1099-INT from your bank at the end of the year, detailing the interest earned. This form should be included with your tax return so you can report your earnings accurately.