USAA CD rates range from 0.05% to 5.05% APY, with a $1,000 minimum deposit.
USAA Bank CD Rates for (May 2024)
Written by:
Lauren Ward
Lauren Ward
Edited by:
Andrew Dunn
Andrew Dunn
Updated:
May 15, 2024
Key Takeaways
- USAA Bank CD rates go as high as 5.05% APY, one of the highest in the industry.
- The minimum deposit for the highest rate is $1,000.
- USAA CDs may be good for active and former military members, who qualify to become members.
USAA Bank has a broad offering of certificate of deposit (CD) terms, but access to them is quite a bit more narrow. Only current or former military members and their spouses and children are eligible to become members of the bank and open a CD account.
However, if you do qualify, you could get CDs with annual percentage yields (APYs) that are up to three times higher than national average interest rates.
USAA Bank CD Rates
USAA Bank offers a wide range of standard CD terms, starting with just 91 days and going all the way to seven years. Most require a minimum deposit amount of $1,000 to open an account.
USAA’s best standard CD rates are mostly on accounts with terms ranging from six to 18 months, with the best rate at six months for 5.05% APY.
USAA also offers jumbo (minimum $95,000 deposit) and super jumbo (minimum $175,000 deposit) CD rates, but the MarketWatch Guides team is focusing on the bank’s standard CD options:
| CD Term | APY* | Minimum Deposit | $1,000 Deposit Value at Close of CD |
|---|---|---|---|
| 91 days | 0.05% | $1,000 | $1,000.12 |
| 182 days | 4.90% | $1,000 | $1,024.94 |
| 7 months | 0.05% | $1,000 | $1,000.29 |
| 9 months | 4.90% | $1,000 | $1,036.53 |
| 1 year | 4.65% | $1,000 | $1,048 |
| 15 months | 4.55% | $1,000 | $1,057.19 |
| 18 months | 4.45% | $1,000 | $1,069.79 |
| 2 years | 4.25% | $1,000 | $1,089.94 |
| 30 months | 2.75% | $1,000 | $1,070.17 |
| 3 years | 2.75% | $1,000 | $1,084.79 |
| 4 years | 2.50% | $1,000 | $1,103.81 |
| 5 years | 2.50% | $1,000 | $1,131.41 |
| 7 years | 2.02% | $1,000 | $1,150.26 |
USAA Adjustable-Rate CD
USAA’s adjustable-rate CD gives you some flexibility if interest rates increase in the future. You can choose to adjust the interest rate one time throughout the length of the CD term, swapping it out for the current rate on a CD of the same term. At that time, you’re also allowed to make a one-time additional deposit into your CD account.
The downside is that the APY is significantly less than the bank’s standard CDs, coming in at just 0.01% to start.
USAA’s adjustable-rate CD has a $1,000 minimum deposit and balance requirement. You can choose from four terms: three, four, five or seven years.
USAA Variable-Rate CD
The variable-rate CD from USAA comes with a lower minimum deposit and balance requirement than the fixed- and adjustable-rate CDs: just $250. The term length is fixed, but the USAA Bank CD interest rate fluctuates at the bank’s discretion. There’s no set schedule for rate changes.
Currently, this CD earns a 0.01% APY for either a one-year or 182-day term. One benefit of the variable-rate CD is that you can make additional deposits throughout the term. So if rates go up, you can add more money to your account.
USAA CDs: Additional Information
USAA is a member of the Federal Deposit Insurance Corporation (FDIC), so all of its CDs are insured up to $250,000 per saver. Check out the following details about USAA CDs before you open an account, so you know exactly what to expect leading up to the CD maturity date.
Minimum Deposit
Most standard CDs require a minimum deposit and balance of $1,000. There are a few jumbo CDs that require a $95,000 deposit (and even super jumbo CDs requiring at least $175,000), but the rates don’t change from the standard options.
Compounding Method
Interest compounds daily and is added to your account monthly. You can also choose to have interest deposited into another account.
Early Withdrawal Penalties
Taking out money early from your CD results in lost earned interest on the withdrawn principal amount. The penalty is 30 days of interest on CD terms of 30 days or less; 90 days of interest on CD terms between 31 days and one year; 180 days of interest on CD terms over one year but less than five years; and 365 days of interest on terms over five years.
Grace Period
Before your CD matures, you’ll receive a 30-day notice from USAA Bank so you can decide if you want to renew or close the account. Afterward, you have an additional 10-day grace period before your CD automatically renews.
USAA Bank CD Rates vs. Competitors
USAA Bank is most competitive with its CDs that mature between six months and two years, according to our research. It also has the lowest minimum deposit compared to other financial institutions analyzed by the MarketWatch Guides team. If you’re looking for no minimum deposit, the closest contender is Ally Bank with a 5.10% APY on its one-year CD.
| Bank | APY on One-Year CD* | Minimum Deposit | $2,500 Deposit Value at Close of CD |
|---|---|---|---|
| Ally Bank | 4.50% | None | $2,612.50 |
| Bank of America | 4.00% | $1,000 | $2,600.00 |
| Capital One | 5.00% | None | $2,625 |
| Chase | 2.00% (relationship rate) | $1,000 | $2,550 |
| Citibank | 2.00% | $500 | $2,550 |
| Discover | 4.70% | $2,500 | $2,617.50 |
| Navy Federal Credit Union | 4.80% | $50 | $2,620 |
| PenFed Credit Union | 4.00% | $1,000 | $2,600 |
| USAA | 4.65% | $1,000 | $2,616.25 |
Other Ways To Save With USAA Bank
USAA Bank has three other types of savings accounts, none of which have a monthly service fee.
- USAA Savings: This basic savings account requires only a $25 opening deposit but only earns 0.01% APY on all balances.
- USAA Performance First: You can earn more with this account, but the minimum opening deposit is $10,000. Depending on your balance, you could earn 0.10% to 1.60% APY.
- USAA Youth Savings: This account is for children (under 18 years old). You’ll need $25 to open an account, and all balances earn just 0.01% APY.
Overall, none of these options stack up to the best high-yield savings accounts from other financial institutions, but they may work for you as a day-to-day account.
How To Open a USAA Bank CD
To open a CD with USAA Bank, you must first become a member of the bank. Eligibility is reserved for current and former military members, their spouses and children.
Once you’re a member, you can open a CD either online or through USAA’s mobile app. Be prepared to submit copies of the following documents:
- Legal name
- Address
- Date of birth
- Social Security Number or Taxpayer Identification Number
Although USAA is open to individuals nationwide, it only has five physical locations. That means a digital banking experience for most people.
The Bottom Line: Why Choose a USAA Bank CD?
USAA Bank offers competitive CD rates for terms lasting six to 18 months. You’ll also find terms as long as seven years with a 2.02% APY. No matter how long you want to lock in your funds, USAA Bank most likely has a CD term that fits.
FAQ: USAA Bank CD Rates
The current CD rates at USAA range from 0.05% APY to 5.05% APY, depending on the term length you choose. All CDs at USAA are FDIC-insured.
The highest 12-month CD rate we found among banks and credit unions is 5.30% APY. These do require a $1,000 to $2,500 initial deposit, depending on the bank.
The highest interest rate for USAA is 5.05% APY. Currently, this rate is available for six-month deposits.
*Data accurate at time of publication
**Rates accurate as of May 15, 2024
Editor’s Note: Before making significant financial decisions, consider reviewing your options with someone you trust, such as a financial adviser, credit counselor or financial professional, since every person’s situation and needs are different.
If you have questions about this page, please reach out to our editors at editors@marketwatchguides.com.
