On This Page
On This Page
If you’re searching for a certificate of deposit (CD) with no minimum deposit and high rates, Capital One 360 CDs fit the bill. With 10 term lengths and Capital One CD rates ranging from 3.90% to 5.10%, you can find an option that suits your financial situation while maximizing interest earnings.
We’ve created this guide to help you find the best CD for your needs. It will take you through the most important details, including:
Capital One CD rates are among the highest on the market. You’ll get the best return on the Capital One 10-month CD, which currently offers an impressive fixed annual percentage yield (APY) of 5.10%.
The one-year CD also offers a competitive fixed APY of 4.8%. Other Capital One CD rates range from 3.90% to 4.45%, which are strong showings compared to other banks.
There’s no minimum deposit amount required to open a CD account with Capital One. The money you invest will grow at a fixed rate, which minimizes risk and provides a guaranteed return.
Capital One doesn’t currently offer bump-up or no-penalty CDs, so you’ll need to look to another institution if either one is your priority.
Here’s a look at the APYs for various Capital One 360 CD terms.
| Term | APY | Minimum Deposit |
|---|---|---|
| 6 months | 4.25% APY | $0 |
| 9 months | 4.25% APY | $0 |
| 10 months | 5.10% APY | $0 |
| 1 year | 4.80% APY | $0 |
| 18 months | 4.45% APY | $0 |
| 2 years | 4.00% APY | $0 |
| 30 months | 4.00% APY | $0 |
| 3 years | 4.00% APY | $0 |
| 4 years | 3.95% APY | $0 |
| 5 years | 3.90% APY | $0 |
*Figures are correct as of May 2024.
As you search for the right certificate of deposit, the Capital One 360 CD rates should be just one factor in your decision. Make sure you understand how each product works before you invest.
Capital One CDs are a safe savings product. Each one is insured by the Federal Deposit Insurance Corporation (FDIC). Your accounts at Capital One — including CDs, checking accounts and savings accounts — are insured for up to $250,000. If you have a joint account with a partner, your money is FDIC-insured up to $250,000 each for a total of $500,000. In the unlikely event that Capital One was to fail, your funds would be protected up to the maximum coverage limit.
If you’re funding a new Capital One 360 CD from an account at another bank, the transfer can take time. In the meantime, the APY for your CD term may increase or decrease.
To ensure you’re getting the best possible rate, Capital One offers something called the “10-day rate lock guarantee.” As long as you transfer money into your CD account within 10 days, Capital One will automatically give you the best APY offered during that period.
The principal in your Capital One CD accrues interest on a daily basis, and it compounds monthly. This process starts the same day you deposit cash and the next business day if you make a non-cash deposit.
When you open the CD, Capital One asks you to choose an interest-disbursement option. You can receive monthly or annual payments and have them transferred to another Capital One account or a linked external account. The bank can also credit your interest payments to the CD. This is the default option, so if you don’t make a choice within 20 days of opening the account, Capital One will automatically add the interest to your CD balance.
If you withdraw money from a Capital One CD before the term ends, the bank will charge you a penalty.
The amount you’ll pay depends on the length of the CD term:
These penalties don’t apply if you die or become unable to make your own legal decisions.
It’s important to take these penalties into account when choosing a CD amount and term length. To maximize earnings from a CD, you must keep the money in the account for the full term.
Make sure to mark the end of your CD term on the calendar. When the term is up, you have just 10 days to withdraw the money without penalty. After that, Capital One will automatically renew the CD for the same term length, and you’ll need to pay an early withdrawal penalty to take out money.
If you allow the account to renew, keep in mind that the interest rate may not stay the same. The APY that’s current when the CD renews will apply.
The earning potential for a Capital One certificate of deposit depends on the account term, the amount you invest and what you do with the interest.
Put $10,000 in a 10-month CD at the current 5.10% APY, and you’ll earn $423 in interest. Opt for the five-year CD with an APY of 3.9%, and the same amount will earn $2,108. In both of these scenarios, it’s assumed that the earned interest is credited to the account. You’ll earn less if you choose to receive interest disbursements.
One way to maximize your return is to set up a CD ladder. With this strategy, you purchase multiple CDs, each with different terms. Instead of putting $15,000 into a single, three-year CD, for example, you could open one-year, two-year and three-year CDs with $5,000 each. This way, you don’t have to wait the full three years to free up the money.
As each account matures, you can access the funds to pay for things such as unexpected car upgrades or medical bills. If you don’t need the money, you can simply renew the accounts.
Capital One CDs are some of the most accessible savings products available. Since there’s no minimum deposit requirement, you can open an account with any amount and take advantage of the bank’s competitive rates. If you have $3,000 that you don’t plan to use for the next year, you can buy a 10-month CD and earn $127 in interest. That’s more than most high-yield savings accounts on the market.
In most cases, CDs are best for stashing extra money beyond your regular savings, emergency fund and retirement contributions. If there’s a chance you’ll need to pull out the money before the term ends, you might be better off with a high-yield savings account rather than a CD. That way, you can avoid an early withdrawal penalty.
If you’re searching for no-penalty, bump-up, long-term, or jumbo CDs, Capital One doesn’t offer any of these products, so it might not be the right fit. The longest CD term length is five years. If you have a large amount to invest, you might be able to earn more at an institution that offers a jumbo CD product.
Here’s a look at the advantages and disadvantages of Capital One 360 CDs.
Here’s what you can expect from the application and account-opening process:
Or, log into your existing account.
Capital One will provide you with a list of options and current APYs.
ou’ll need to provide contact, identification, tax and income information. If you already have a Capital One account, some of these details will be completed for you.
Set up interest payouts, or opt to roll the interest into the CD balance.
You can do this from another Capital One account or an account at an outside bank.
Capital One only lets you make a single deposit into each CD account, so make sure you fund it fully.
Capital One 360 CD rates are considerably higher than the national average rate for deposit accounts, according to data from the FDIC. A 12-month CD with Capital One has an APY of 4.80%, while the national average is just 1.81%. The current special 10-month Capital One CD rate is even higher at 5.10%.
CD rates at traditional banks are usually lower than those offered by Capital One 360. However, some online banks offer competing APYs.
Discover CDs offer rates similar to Capital One 360 CDs, but they have a considerably higher minimum deposit requirement.
Here’s how the terms compare:
| Bank | 6 Month APY | 12 Month APY | 24 Month APY | Minimum Deposit |
|---|---|---|---|---|
| Capital One 360 CD | 4.25% | 4.80% | 4.00% | $0 |
| Discover CD | 4.25% | 4.70% | 4.00% | $2,500 |
*Figures are correct as of May 2024.
Synchrony Bank CDs are among the top competitors for Capital One 360 CDs. Both banks have no minimum deposit requirements and high APYs.
Synchrony offers a solid 5.15% APY for six-month CDs, which is among the best CD rates on the market.
Check out how the rates compare:
| Bank | 6 Month APY | 12 Month APY | 24 Month APY | Minimum Deposit |
|---|---|---|---|---|
| Capital One 360 CD | 4.25% | 4.80% | 4.00% | $0 |
| Synchrony Bank CD | 5.15% | 4.80% | 4.20% | $0 |
*Figures are correct as of May 2024.
A certificate of deposit isn’t right for everyone. If you need faster access to your money, you may be better off with one of Capital One’s other interest-earning savings accounts.
The Capital One 360 Performance Savings account is a great alternative to a CD. It doesn’t have any fees and offers an APY of 4.25%, which is higher than the rate for many Capital One 360 CD terms. Interest accrues daily and compounds monthly. Plus, you don’t need to worry about meeting a minimum opening balance requirement. The money is FDIC-insured, and you can make a withdrawal at any time without incurring a penalty.
If you have little ones, get them started on their financial journey with a kids savings account from Capital One. This fee-free account offers an APY of 2.50%, and doesn’t have a minimum balance requirement.
We love the unique, kid-focused features. Instead of handing your children their allowance in cash, you can transfer it to their account automatically using the built-in scheduling feature.
The user-friendly app allows young people to make their own deposits. They can use mobile check deposits to save birthday gifts or babysitting payments. It’s a fun way to introduce your kids to money management and set them up for a positive financial future.
Don’t worry — they’ll need you to sign in before they can transfer money.
Capital One CDs are worth it if you want to access high APY rates with no minimum deposit requirement. They offer a great way to get started with CDs, regardless of the amount of money you have to save.
Currently, the Capital One 360 is offering a 10-month CD with an APY of 5.10%. This is one of the best CD rates on the market.
There are no fees charged to open a Capital One 360 CD.
Yes; you can renew your Capital One 360 CD when its original term is up. In fact, if you don’t withdraw the funds within 10 days of the end of the term, the bank will automatically renew the account for you.
If you withdraw money from a Capital One CD before the term ends, you will pay a penalty of three or six months of interest. The exact amount depends on the original term length.
Capital One 360 is the online banking system for Capital One Bank. You can open and manage Capital One 360 accounts online rather than in person at a Capital One branch. Because they don’t require in-person administration, these accounts often come with better rates and fewer fees.
Elizabeth Smith is an experienced travel and finance writer who specializes in topics including credit cards, travel insurance, and personal finance. Travel insurance, in particular, has both professional and personal significance for Smith. She’s traveled to 73 countries, and has extensive experience choosing and using various policies — she understands how valuable the right plan can be in an emergency, and loves to help readers find the perfect fit.
Smith comes to the world of finance from a scientific and technical background. She spent more than 10 years writing about engineering, science, and technology for universities and private companies. When she’s not writing or traveling, Smith can usually be found hiking or Nordic skiing.
