Charles Schwab 5 Year CD Rates. Type Fixed: Rate 0.03%: Currency: USD: The rate indicated is for a 5 year term with the tier balance required to be above $20,000. The rate of 0.03% is 1.36% lower than the average 1.39%. Also it is 2.72% lower than the highest rate. The Charles Schwab Corporation provides a full range of brokerage, banking and financial advisory services through its operating subsidiaries. Its broker-dealer subsidiary, Charles Schwab & Co., Inc. ( member SIPC ), offers investment services and products, including Schwab. For each of these trade orders placed through a broker, a $25 service charge applies. Schwab reserves the right to change the funds we make available without transaction fees and to reinstate fees on any funds. Certificates of deposit available through Schwab CD OneSource typically offer a fixed rate of return, although some offer variable rates.
- Option to open CDs issued by several banks with competitive rates
- Option to choose from fixed-rate and variable CDs
Cons
- Fees apply for secondary trades
- Some CDs require large minimum deposits
- Interest doesn’t compound, but is instead paid into your brokerage account at different time intervals
- Investors looking to park large sums of money in multiple CD accounts
Through Schwab CD OneSource, you can open several certificate of deposit (CD) accounts issued by multiple banks including options with some of the best CD rates we’ve seen. However, these CDs are a bit different from those banks offer. Charles Schwab has brokered CDs. Financial institutions typically buy brokered CDs issued by different banks in bulk and then sell them at competitive rates to their brokerage customers. However, terms and rates can vary across banks. Nonetheless, you can open and manage the CD directly through Charles Schwab for no additional fees.
Schwab Brokered CDs
Charles Schwab offers CDs with some of the highest rates in the industry. And because Charles Schwab sells these CDs but different banks issue them, you can choose a rate and term length that’s right for you. In fact, you can open one with as little as $1,000 for terms stretching from 1 month to 20 years. Minimum deposits, however, depending on issuing bank. Furthermore, Schwab’s online platform allows you to search for CDs based on term length, CD type, institution, and other preferences. The table below illustrates examples of what you’d be likely to find at the Schwab OneSource marketplace.
| Maturity Ranges | Rates |
| 1-3 Months | 0.05% |
| 4-6 Months | 0.1% |
| 7-9 Months | 0.1% |
| 10-18 Months | 0.1% |
| 1.5 – 2.5 Years | 0.25% |
Overview of Schwab CDs
Charles Schwab offers brokered CDs with competitive rates. Through the firm’s platform, you can open CDs with interest rates as high as 1.35% for a variety of terms. These offerings launch Schwab to the head of the competition when it comes to CDs. Their annual percentage yields (APYs) can compete with Vanguard CD rates and options other financial services giants like Fidelity offer. Charles Schwab also charges no maintenance fees for managing your CD. But you may incur some fees if you sell your CD on the secondary market because Schwab offers brokered CDs. According to Charles Schwab’s website, the firm charges a $1 transaction fee per $1,000 CDs. The fees have a $250 maximum. Broker assisted trades cost the online price plus a $25 per trade service charge.
Save more with these rates that beat the National Average
How Much Do You Earn With Schwab Certificate of Deposits Over Time?
Vanguard Cd Rates
As with any CD, investing for the long term will usually generate the highest return. Through Schwab’s marketplace, you can open CDs with terms ranging from a few days to several years. However, interest does not compound in the CD. So you end up getting your principal plus interest delivered to your brokerage account. Thus, your return would be the same each year. Nonetheless, Schwab still offers higher CD rates than a lot of the competition, so you could earn a large amount by making a large deposit.
Compare Charles Schwab Bank to Other Competitive Offers
How Schwab’s CD Rates Compare to Other Banks
Schwab doesn’t have its own CDs. Instead, it offers CDs other banks issue. However, you’d likely find stronger interest rates by opening a CD through Schwab than you would opening it directly through a bank. Other financial institutions such as Vanguard and Fidelity offer these types of CDs as well. Across the board, however, interest rates tied to the CDs these firms have are higher than those most banks offer. In comparison, they tend to offer similar CD rates. If you want a bit more flexibility, you can use our CD comparison tool to evaluate options across the banking industry.
| CD Account | Charles Schwab | Vanguard | Fidelity |
| 3 Months | 0.05% | 0.10% | 0.05% |
| 6 Months | 0.1% | 0.10% | 0.10% |
| 1 Year | 0.1% | 0.15% | 0.10% |
Should You Get a Schwab CD Account?
You should get a Schwab CD if you’re willing to invest a large amount of money for the mid- to long-term as this would earn you the highest return. But because Schwab offers so many CDs through its platform, you’re likely to find something that meets your needs.
But if you want expert guidance on CD investing, you should contact a qualified financial advisor. If you’ve never reached out to one before, you can use our SmartAdvisor tool. It asks you a few simple questions in order to link you to advisors in your area based on your unique needs.
- Option to open CDs issued by several banks with competitive rates
- Option to choose from fixed-rate and variable CDs
- Fees apply for secondary trades
- Some CDs require large minimum deposits
- Interest doesn't compound, but is instead paid into your brokerage account at different time intervals
- Investors looking to park large sums of money in multiple CD accounts
Through Schwab CD OneSource, you can open several certificate of deposit (CD) accounts issued by multiple banks including options with some of the best CD rates we’ve seen. However, these CDs are a bit different from those banks offer. Charles Schwab has brokered CDs. Financial institutions typically buy brokered CDs issued by different banks in bulk and then sell them at competitive rates to their brokerage customers. However, terms and rates can vary across banks. Nonetheless, you can open and manage the CD directly through Charles Schwab for no additional fees.
Schwab Brokered CDs
Charles Schwab offers CDs with some of the highest rates in the industry. And because Charles Schwab sells these CDs but different banks issue them, you can choose a rate and term length that’s right for you. In fact, you can open one with as little as $1,000 for terms stretching from 1 month to 20 years. Minimum deposits, however, depending on issuing bank. Furthermore, Schwab’s online platform allows you to search for CDs based on term length, CD type, institution, and other preferences. The table below illustrates examples of what you’d be likely to find at the Schwab OneSource marketplace.
| Maturity Ranges | Rates |
| 1-3 Months | 0.05% |
| 4-6 Months | 0.05% |
| 7-9 Months | 0.05% |
| 10-18 Months | 0.05% |
| 1.5 - 2.5 Years | 0.15% |
Overview of Schwab CDs
Charles Schwab offers brokered CDs with competitive rates. Through the firm’s platform, you can open CDs with interest rates as high as 0.15% depending on the term. These offerings launch Schwab to the head of the competition when it comes to CDs. Their annual percentage yields (APYs) can compete with Vanguard CD rates and options other financial services giants like Fidelity offer. Charles Schwab also charges no maintenance fees for managing your CD. But you may incur some fees if you sell your CD on the secondary market because Schwab offers brokered CDs. According to Charles Schwab’s website, the firm charges a $1 transaction fee per $1,000 CDs. The fees have a $250 maximum. Broker assisted trades cost the online price plus a $25 per trade service charge.
Unfortunately, we are currently unable to find savings account that fit your criteria. Please change your search criteria and try again. |
Best Cd Rates Schwab
Unfortunately, we are currently unable to find savings account that fit your criteria. Please change your search criteria and try again. |
How Much Do You Earn With Schwab Certificate of Deposits Over Time?
As with any CD, investing for the long term will usually generate the highest return. Through Schwab's marketplace, you can open CDs with terms ranging from a few days to several years. However, interest does not compound in the CD. So you end up getting your principal plus interest delivered to your brokerage account. Thus, your return would be the same each year. Nonetheless, Schwab still offers higher CD rates than a lot of the competition, so you could earn a large amount by making a large deposit.
Compare Charles Schwab Bank to Other Competitive Offers
How Schwab’s CD Rates Compare to Other Banks
Schwab doesn’t have its own CDs. Instead, it offers CDs other banks issue. However, you’d likely find stronger interest rates by opening a CD through Schwab than you would opening it directly through a bank. Other financial institutions such as Vanguard and Fidelity offer these types of CDs as well. Across the board, however, interest rates tied to the CDs these firms have are higher than those most banks offer. In comparison, they tend to offer similar CD rates. If you want a bit more flexibility, you can use our CD comparison tool to evaluate options across the banking industry.
| CD Account | Charles Schwab | Vanguard | Fidelity |
| 6 Months | 0.05% | 0.05% | 0.02% |
| 1 Year | 0.05% | 0.05% | 0.05% |
| 2 Year | 0.15% | N/A | 0.05% |
Should You Get a Schwab CD Account?
Best Schwab Cd Rates
You should get a Schwab CD if you’re willing to invest a large amount of money for the mid- to long-term as this would earn you the highest return. But because Schwab offers so many CDs through its platform, you’re likely to find something that meets your needs.
Schwab Money Market Rates
But if you want expert guidance on CD investing, you should contact a qualified financial advisor. If you’ve never reached out to one before, you can use our SmartAdvisor tool. It asks you a few simple questions in order to link you to advisors in your area based on your unique needs.