Best CD Rates in Alabama

Finding the best Certificate of Deposit rates in Alabama is key to secure your financial future. Whether you are saving for a down payment, or simply looking to grow your interest, Alabama’s financial institutions offer a variety of CD options to meet your goals.

With competitive rates and authenticated approaches, the CDs in Alabama provide a safe and reliable way to earn interest on your hard-earned money.

As we delve further into the best CD rates available across the state, you will discover how to make your money work harder for you. For the most precise overview, here is the most considerable guide stated next;

Overall Best CD Rates in Alabama

No.	Name of the Bank	APY %	Term Length	Address
1	Listerhill Credit Union	5.65%	6-month	4790 East 2nd Street, Muscle Shoals, AL 35661
2	America’s First Federal Credit Union	5.50%	6-month	4740 Eastern Valley Rd McCalla, AL 35111
3	Redstone Federal Credit Union	5.28%	6-month	220 Wynn Drive, Huntsville, AL 35893
4	FirstBank	5.25%	7-month	Online
5	Cadence Bank	5.25%	8-month	710 South Montgomery Avenue, Sheffield, AL 35660
6	Alabama Credit Union	5.25%	7-month	220 Paul W Bryant Drive East, Tuscaloosa, AL 35401
7	Avadian Credit Union	5.25%	7-month	1 Riverchase Pkwy S, Hoover, AL 35244
8	Alabama One Credit Union	5.20%	12-month	1215 Veterans Memorial Parkway, Tuscaloosa, AL 35404
9	Army Aviation Center Federal Credit Union	5.05%	12-month	238 Virginia Ave, Daleville, AL 36322
10	Azalea City Credit Union	5.05%	12-month	505 Boulevard Park E, Mobile, AL 36609
11	Wells Fargo	5.01%	7-month	420 20th Street N, Birmingham, AL 35203.
12	Regions Bank	5.00%	5-month	1900 Fifth Avenue North, Birmingham, AL 35203
13	Bank Independent	5.00%	7-month	3291 U.S. Highway 280, Birmingham, AL 35243
14	America’s First Federal Credit Union	5.00%	6-month	1200 4th Avenue North, Birmingham, AL 35203
15	MAX Credit Union	5.00%	11-month	400 Eastdale Circle, Montgomery, AL 36117
16	Apco Employees Credit Union	5.00%	3-month	370 Chelsea Xrds Chelsea, AL 35043
17	1st Resource Credit Union	5.00%	6-month	47 W Oxmoor Rd Birmingham, AL 35209
18	Coosa Pines Federal Credit Union	5.00%	6-month	42828 Highway 25 Vincent, AL 35178
19	EBSCO Federal Credit Union	5.00%	6-month	5724 Highway 280 E PO Box 1943 Birmingham, AL 35242
20	First US Bank	4.90%	9-month	4800 First Avenue North, Birmingham, AL 35222.
21	Ameris Bank	4.75%	2-month	2611 Legends Drive, Prattville, AL 36066
22	Liberty Bank and Trust Company	4.75%	9-month	660 Adams Ave, Montgomery, AL 36104
23	SouthPoint Bank	4.55%	36-month	2500 Woodcrest Place, Birmingham, AL 35209
24	Trustmark National Bank	4.50%	3-month	2100 3rd Avenue North, Birmingham, AL 35203
25	Wells Fargo Bank, National Association	4.50%	3-month	300 18th St S Birmingham, AL 35233
26	ServisFirst Bank	4.43%	3-month	324 Richard Arrington Jr Blvd N Birmingham, AL 35203
27	Trustmark National Bank	4.40%	3-month	1 Chase Corporate Dr Birmingham, AL 35244
28	PNC Bank	4.25%	18-month	1927 First Avenue North, Birmingham, AL 35203.
29	First Community Bank of Central Alabama	4.18%	60-month	715 Wilson Street, Wetumpka, AL 36092
30	Railroad Federal Credit Union	4.05%	60-month	1804 4th Street SW, Birmingham, AL 35211
31	ASE Credit Union	3.30%	60-month	800 Washington Ave, Montgomery, AL 36104
32	North Alabama Educators Credit Union	3.25%	3-month	2100 Sparkman Drive NW, Huntsville, AL 35810
33	Oakworth Capital Bank	3.25%	3-month	2100A Southbridge Pkwy Birmingham, AL 35209
34	APCO Employees Credit Union	3.08%	7-month	750 17th Street North, Birmingham, AL 35203
35	Merchants Bank of Alabama	3.08%	18-month	900 2nd Ave SW, Cullman, AL 35055
36	Four Seasons Federal Credit Union	3.05%	36-month	2915 Pepperell Parkway, Opelika, AL 36801
37	AmeriFirst Bank	3.02%	18-month	104 Hardaway Ave, Union Springs, AL 36089
38	Southern States Bank	3.00%	9-month	615 Quintard Ave, Anniston, AL 36201
39	New Horizons Credit Union	3.00%	6-month	637 Vine Street, Mobile, AL 36603
40	Secure First Credit Union	3.00%	48-month	3000 Winewood Road, Birmingham, AL 35215
41	Peoples Independent Bank	3.00%	3-month	3915 Pope Ave Steele, AL 35987
42	Woodforest National Bank	3.00%	3-month	750 Academy Dr Bessemer, AL 35022
43	PenFed Credit Union	3.00%	6-month	–
44	Birmingham Police Credit Union	2.86%	6-month	708 17th Street North, Birmingham, AL 35203
45	National Bank of Commerce	2.84%	12-month	3501 Grandview Parkway, Birmingham, AL 35243
46	River Bank & Trust	2.75%	60-month	Online
47	Legacy Community Federal Credit Union	2.75	25 months	1400 South 20th Street, Birmingham, AL 35255
48	Synovus Bank	2.25%	60-month	800 Shades Creek Parkway, Suite 200, Birmingham, AL 35209
49	TVA Community Credit Union	2.20%	60-month	303 E Dr Hicks Blvd, Florence, AL 35630
50	Peoples Bank of Alabama	2.06%	36-month	1912 Cherokee Ave SW, Cullman, AL 35055
51	Tuscaloosa Teachers Credit Union	2.04%	24-month	2200 Jack Warner Pkwy, Tuscaloosa, AL 35401
52	ServisFirst Bank	2.01%	12-month	420 North 20th Street, Birmingham, AL 35203.
53	BBVA Compass	2.00%	36-month	Online
54	National Bank of Commerce	1.85%	3-month	5 Inverness Center Pkwy Birmingham, AL 35242
55	Bryant Bank	1.55%	3-month	2700 Cahaba Village Plz Mountain Brook, AL 35243
56	Covenant Bank	1.40%	12-month	7924 Parkway Drive, Leeds, AL 35094
57	Mutual Savings Credit Union	1.25%	18-month	2040 Valleydale Road, Hoover, AL 35244
58	West Alabama Bank & Trust	1.25%	3-month	28921 Highway 5 P.O. Box 304 Woodstock, AL 35188
59	Premier Bank of the South	1.08%	18-month	1011 2nd Ave NW, Cullman, AL 35055
60	Peoples First Federal Credit Union	1.05%	3-month	Online
61	The Hometown Bank of Alabama	1.00%	12 to 60-months	2002 2nd Ave E, Oneonta, AL 35121
62	Auburn University Credit Union	1.00%	11-month	1290 South Donahue Drive, Auburn, AL 36832
63	Family Security Credit Union	1.00%	24-month	2204 Family Security Place, Decatur, AL 35603
64	Heritage South Credit Union	0.08%	60-month	60 Gene Stewart Blvd, Sylacauga, AL 35151
65	Commonwealth National Bank	0.05%	36-month	2214 St. Stephens Road, Mobile, AL 36617

Best CD Rates in Alabama by Term

The significance of finding the best CD rates in Alabama by term lies in the opportunity to make the investment strategy more compelling. It must align with your specific financial goals.

This approach further enables the savers in Alabama to strategically position their investments across different time frames. It ultimately creates a balance between accessibility and maximizing the returns, by optimizing their savings growth.

Best 6-Month CD Rates in Alabama

For those looking for the best 6-month CD rates in Alabama, the next overview is quite considerable. This short-term investment horizon is perfect for individuals seeking a safe space for their funds, by earning a competitive return.

1. Bask Bank

Minimum Amount: $1000.00

APY / Rate: 4.45% APY

Pros:

• FDIC Approved Bank
• Terms available from 6-24 months
• Top-tier APY rate with secured return guaranteed
• Customer-friendly terms

Rules:

• New customers have to open an account with the bank before investing in Bask Bank’s CDs.
• CDs can be opened at the bank as well as online
• The minimum deposit amount of $1000 must be deposited to the account within 10 days of account opening
• Early withdrawal is subject to a penalty.
• Investors can withdraw the interest credited to the account without any penalty.
• There is a 10 days grace period after maturity to make additional deposits to the CD.

2. All In Federal Credit Union

Minimum Amount: $1000.00

APY / Rate: 3.66% APY

Pros:

• Low minimum deposit of only $1,000; no maximum
• Great dividend rates
• They have 6,000 branch offices at Credit Union Service Center locations nationally.
• Federally insured by the NCUA.

Rules:

• Rates subject to change after the account is opened.
• Minimum balance to obtain the advertised annual percentage yield is $1,000.
• The minimum balance required to open a Variable Rate Share Certificate is $1,000.00 and must be maintained to receive the disclosed APY.
• Additional deposits allowed during the life of this Share Certificate.
• Rate is based upon the 1 Year Treasury Bill rate less 0.50%.
• Rate will adjust monthly and will not fall below 1.00% APY or exceed 8.00% APY.
• A penalty may be imposed for early withdrawal and fees could reduce the earnings on the account.

3. Oakworth Capital Bank

Minimum Deposit: $10,000

APY: 2.41%

Pros

• Competitive APY for the region.
• Access to personalized banking services.
• Strong customer service reputation.

Rules

• High minimum deposit requirement.
• Limited branch locations.

Best 12-Month CD Rates in Alabama

Best 12-month CD rates in Alabama offer a perfect blend of higher interest rates as compared to short-term CDs. They are more accessible funds as compared to those locked in for longer periods.

1. Ivy Bank

Minimum Amount: $1000.00

APY / Rate: 4.85% APY

Pros:

• FDIC-insured bank up to maximum
• With a quick and easy application process,

Rules:

• Minimum opening deposit of $1,000.
• The Annual Percentage Yield (APY) is based on monthly compounding with funds held to maturity. $10 minimum daily balance required to earn APY.
• Additional deposits are not permitted. Substantial penalties for early withdrawal may be imposed.
• Ivy Bank and Cambridge Savings Bank are treated as the same entity for the purposes of calculating FDIC insurance limits.
• The National Certificates of Deposit Average is calculated monthly by the Federal Deposit Insurance Corporation.

2. M.Y. Safra Bank

Minimum Amount: $500

APY / Rate: 4.52% APY

Pros:

• Monthly compounding interest
• Low minimum balance required
• Interest is calculated on deposit until maturity
• FDCI insured savings

Rules:

• Interest is compounded monthly and credited in account at months end
• A penalty is charged on early withdrawal

3. FirstState Bank

APY: 3.75%

Minimum Deposit: $500

Pros

• Lower minimum deposit makes it more accessible
• Focused on personalized customer service
• Supports local community initiatives

Rules

• APY might be lower than some competitors
• Limited branch locations
• Could have fewer online banking options

Best 3 Years CD Rates in Alabama

For all the Alabamians who are looking to strike a balance between a precise yield and a manageable commitment period, the best 3-year CD rates in the state is a smart move.

1. All In Federal Credit Union

Minimum Amount: $1000.00

APY / Rate: 4.75% APY

Pros:

• Low minimum deposit of only $1,000; no maximum
• Great dividend rates
• They have 6,000 branch offices at Credit Union Service Center locations nationally.
• Federally insured by the NCUA

Rules:

• Rates subject to change after the account is opened.
• Minimum balance to obtain the advertised annual percentage yield is $1,000.
• The minimum balance required to open a Variable Rate Share Certificate is $1,000.00 and must be maintained to receive the disclosed APY.
• Additional deposits allowed during the life of this Share Certificate.
• Rate is based upon the 1 Year Treasury Bill rate less 0.50%.
• Rate will adjust monthly and will not fall below 1.00% APY or exceed 8.00% APY.
• A penalty may be imposed for early withdrawal and fees could reduce the earnings on the account.

2. Alliant Credit Union

Minimum Amount: $1000.00

APY / Rate: 4.60% APY

Pros:

• Funds are insured up to $250,000 by NCUA
• Low minimum deposit of only $1,000; no maximum
• Great dividend rates

Rules:

• Dividends compounded every month and at maturity.
• Incur an early withdrawal penalty

3. Quontic Bank

Minimum Deposit: $500

APY: 4.40%

Pros:

• Lower minimum deposit compared to some competitors
• Competitive APY
• FDIC insured

Rules

• Minimum balance requirement to obtain APY
• Early withdrawal penalties apply
• Account management online

Best 5 Years CD Rates in Alabama

In Alabama, by committing funds for five years, investors can take advantage of the stability and predictability. Here are some authentic option provided below;

1. All In Federal Credit Union

Minimum Amount: $1000.00

APY / Rate: 5.00% APY

Pros:

• Low minimum deposit of only $1,000; no maximum
• Great dividend rates
• They have 6,000 branch offices at Credit Union Service Center locations nationally.
• Federally insured by the NCUA

Rules:

• Rates subject to change after the account is opened.
• Minimum balance to obtain the advertised annual percentage yield is $1,000.
• The minimum balance required to open a Variable Rate Share Certificate is $1,000.00 and must be maintained to receive the disclosed APY.
• Additional deposits allowed during the life of this Share Certificate.
• Rate is based upon the 1 Year Treasury Bill rate less 0.50%.
• Rate will adjust monthly and will not fall below 1.00% APY or exceed 8.00% APY.
• A penalty may be imposed for early withdrawal and fees could reduce the earnings on the account.

2. Popular Direct

Minimum Amount: $10000.00

APY / Rate: 4.55% APY

Pros:

• Highly competitive rates for 6-month CDs
• 24/7 access to the bank account
• No hidden fees or charges
• Customer support for all sorts of queries and concerns
• FDIC-insured bank up to maximum

Rules:

• APY can be earned assuming the interest and the principal remains on deposit until maturity.
• Interest is compounded monthly and added to the account at the end of the month.
• Early withdrawal fetches a penalty and there is a grace period after maturity to add additional funds to the CD

3. Discover Bank CD

APY/Rates: 3.90%

Minimum Deposit: $2,500

Pros:

• Competitive APY compared to national average
• Online banking convenience
• Member FDIC ensures security of deposits

Rules

• Early withdrawal penalties apply
• Rates are subject to change
• Online account management 

Alabama Economic Statistics

Investors and savers in Alabama face a unique and most crucial financial landscape. It represents the broader economic conditions of the state.

• With an average household income of approximately $51,734, Alabama presents a diverse range of saving and investment opportunities for its residents​​.
• The average home value in the state stands at around $157,977, indicating a relatively affordable housing market compared to national averages​​.
• Furthermore, Alabama’s population, numbering over 4.9 million people, showcases a varied demographic that can benefit from tailored financial products, including CDs, to meet their saving goals​​.

Economic Indicator	Statistic
Average Household Income	$51,734
Average Home Value	$157,977
Population	4.9 million
1-Year CD Rate Average	0.5%
3-Year CD Rate Average	1.0%
5-Year CD Rate Average	1.5%

Given these statistics, the best CD rates in Alabama can be a strategic choice for all the investors who are looking to optimize their returns in a state where the cost of living and housing remains accessible to a large portion of the population.

How to Get Best CD Rates in Alabama

To get the authentic and best VD results and output, the first and foremost step is to find relevant Cd rates and terms. However, one must be careful to potentially find the best pick. Here is a concise review that can help one in this regard;

• Research Local and National Banks – Start by checking out both local banks and credit unions in Alabama, as well as national banks that accept deposits from residents of the state.
• Consider Online Banks – Do not overlook online banks. They often offer higher CD rates than traditional brick-and-mortar institutions as they have the lower overhead costs.
• Compare CD Terms and Rates – Look at different CD terms to find the one that best suits your financial goals. Shorter-term CDs offer more flexibility, while longer-term CDs typically provide higher interest rates.
• Check for Promotional Offers – Also consider the promotional CD rates, which can significantly exceed standard rates. These are often available to new customers or for limited time periods.
• Read & Revise – Before committing any CD option, properly understand the terms and conditions, that especially rely on the early withdrawal penalties and renewal policies. This will help you avoid any error and ensure that the CD aligns with your financial plans.

CD Rates Methodology

Our CD rates methodology involves a comprehensive review of 163 banks, including a mix of large national banks, regional banks, and credit unions across the United States. The methodology particularly focuses on those serving Alabama residents. From this extensive pool, only 65 institutions made our list.

It is selected on the basis of their ability to offer;

• Competitive CD rates
• Variety of terms available
• Their overall accessibility to consumers in Alabama.

This rigorous selection process ensures that our recommendations reflect the best combination of high-yield opportunities and financial security.

Moreover, the criteria for making the list include the financial institution’s reputation, FDIC or NCUA insurance status, minimum deposit requirements, and the flexibility of terms.

Conclusion

In conclusion, navigating the landscape of CD rates in Alabama can provide a rewarding opportunity for savers at every level. However, by carefully selecting the right term based on your financial goals, and by staying informed about the best rates available, you can maximize the growth of your savings securely.

The primary key to make the most return from your CD investment is not just finding the highest rate but also understanding the terms and conditions that align with your financial planning.

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