Capital One is one of the few big banks that offers competitive rates on certificates of deposits and in-person banking access. Although CD rates have been falling since late 2023, Capital One is still offering above-average annual percentage yields, or APYs, that range from 4% to 5%.
You can open a CD at Capital One for terms ranging from six months to five years, with no minimum balance requirements. Plus, we like that its early withdrawal penalties, grace period and terms are all on par with other top banks and credit unions. However, Capital One’s CD rates aren’t the highest we’ve seen, so shop around if you’re chasing higher yields.
Read more: Capital One Plans to Buy Discover. What It Means for Credit Card Customers
Capital One CDs: At a glance
| CD types offered | 360 CDs (featuring one-, two- and five-year terms) |
| Minimum deposit | $0 |
| Term lengths | Six months to five years |
| Compounding schedule | Monthly |
| Early withdrawal penalties | For CDs with terms of one year or less, the penalty for withdrawing early is three months’ worth of interest. For CD terms longer than 12 months, the penalty for withdrawing early is six months’ worth of interest. |
| Grace period | There’s a period of 10 days after your CD matures to decide whether to withdraw your money and put it in another account, withdraw your money and open a different CD or allow your CD to renew under current rates. |
Capital One’s 360 CDs have terms ranging from six months to five years -- all with no minimum deposit requirement. Interest accrues daily and is credited monthly. However, Capital One doesn’t offer any specialty CDs, so if you’re looking for an add-on or no-penalty CD, you’ll have to look elsewhere.
Here’s what else you’ll need to know.
Capital One CD payout
Capital One compounds interest on its CDs daily and credits it monthly. You may put the interest earnings in a high-yield savings account if it’s offering a higher rate at Capital One or any external account. What’s more, the balance amount for each 360 CD account is insured by the Federal Deposit Insurance Corporation for up to $250,000 per depositor for each account ownership category.
Capital One’s early withdrawal penalties
Like most banks that offer CDs, Capital One charges early withdrawal penalties if you take money out of your CD before it matures or the term ends.
For CD terms of 12 months or less, the penalty for withdrawing early is three months’ worth of interest. CD terms longer than 12 months have a penalty of six months’ worth of interest. Keep in mind that you can’t make a partial withdrawal during your CD term, according to Capital One -- you’ll have to pull out your full balance.
What happens after your Capital One CD matures
Capital One offers three options when the CD term ends. When your CD matures, you’ll have 10 days to decide if you’d like to:
- Withdraw your money and put it in another account.
- Withdraw your money and open a different CD term at current rates.
- Keep your money in the same account and let it renew automatically with Capital One’s current rate.
Example: How much can you earn with a Capital One 360 CD?
Capital One currently offers nine terms for its 360 CD account, ranging from six months to five years. Here’s how much you’ll earn with a high-yield CD with a $1,000 investment (earnings are compounded daily).
| CD term | APY | Interest earned |
| 6 months | 4.35% | $21.52 |
| 9 months | 4.35% | $32.45 |
| 12 months | 5.00% | $52.50 |
| 18 months | 4.70% | $75.93 |
| 24 months | 4.3% | $89.94 |
| 30 months | 4.1% | $110.99 |
| 36 months | 4.1% | $134.63 |
| 48 months | 4.05% | $178.88 |
| 60 months | 4% | $222.51 |
Comparing Capital One’s CD rates
Despite the fact that most national, big banks with physical branches offer less competitive CD rates, Capital One’s CD rates are on par with online-only banks. However, when it comes to short-term CDs, such as six-month and one-year terms, Capital One lags behind online competitors. Here’s a closer look at how Capital One stacks up to CNET’s average tracked CD rates and the FDIC by the numbers.
| 6-month | 1-year | 3-year | 5-year | |
| Capital One | 4.35% | 5.00% | 4.10% | 4.00% |
| CNET | 4.89% | 5.05% | 4.15% | 3.96% |
| FDIC | 1.53% | 1.83% | 1.40% | 1.40% |
Factors to consider before opening a Capital One CD
Before opening a CD with Capital One, it’s best to think about your financial goals and time horizon to make sure you’re comfortable with the CD term and deposit amount you choose.
If you need to withdraw funds from the CD before the term ends, you’ll pay an early withdrawal penalty. For CD terms that are one year or shorter, you’ll lose three months of interest. Terms greater than one year will lose six months of interest.
If there’s a chance you’ll need the money before the CD term ends, it’s best to consider Capital One’s high-yield savings account to withdraw and deposit money, penalty-free. To note, if you choose Capital One’s high-yield savings account, you’ll be limited to six transfers per statement cycle.
Also, Capital One offers only high-yield CDs, not specialty CDs such as bump-up or no-penalty CDs. If you prefer a different type of CD, it’s best to consider another bank, such as Ally or Synchrony.
How to open a Capital One CD
You can open your account online or at one of Capital One’s physical branches. When you’re ready, you’ll need your personal information -- including your name, address and Social Security number. You’ll also need your one-time deposit. Since it’s a traditional, high-yield CD, you won’t be able to add money to your account after your initial deposit.
Next, you’ll choose your CD term. Capital One shows all the available rates and terms to choose from. You’ll be asked to provide your personal contact information, employment status and income. When you’re ready to make your deposit, you can link a personal checking or savings account to transfer money for your deposit.
What other savings options does Capital One offer?
Capital One offers two savings accounts with no minimum balance to open or maintain.
- 360 Performance Savings: This high-yield savings account currently has a variable 4.35% APY. You can open and manage your account via the mobile app, website or a Capital One branch or café.
- Kids Savings Account: This account has a much lower APY of 2.50%. Parents can manage the account and schedule money to be deposited regularly when linking a Capital One or external bank account. When the child reaches 18, they’ll automatically be upgraded to the 360 Performance Savings account.
FAQs
Capital One doesn’t have a minimum deposit to open a CD, but keep in mind that it is a one-time deposit. You won’t be able to deposit any more funds after your initial deposit.
Yes, you can renew your CD when the term ends for the same term at the current rate. You may also choose a different term and make a one-time deposit when you renew. Keep in mind that your CD will automatically renew after 10 days.
Yes, Capital One is insured by the Federal Deposit Insurance Corporation for up to $250,000 per person, per account.
If your CD term is less than one year, you’ll lose three months of interest. If your CD term is longer than one year, you’ll lose six months of interest.
The editorial content on this page is based solely on objective, independent assessments by our writers and is not influenced by advertising or partnerships. It has not been provided or commissioned by any third party. However, we may receive compensation when you click on links to products or services offered by our partners.
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