American Express Bank gives its customers several options for choosing a certificate of deposit (CD) with terms from six months up to five years. The bank doesn’t require a minimum deposit to open a CD, giving you the opportunity to choose exactly how much you put into your account. Interest compounds daily, allowing you to efficiently watch your money grow over time.
American Express gives you the option to either withdraw interest payments penalty-free or keep your profits in the account to continue earning interest. Withdrawing interest payments will, however, cause your APY to be lower since your starting rate assumes you will keep your interest payments in the account until the maturity date.
While other banks offer higher CD interest rates, American Express CDs still make our list of the best CDs for offering no minimum deposit and accessible customer service. Bankrate gives American Express Bank four stars out of five in its overall bank rating.
American Express CD Rates
An Amex CD is a straightforward way to lock in a fixed interest rate for your savings. Let’s take a closer look at what American Express Bank offers.
Account name Term APY Minimum deposit
CD 6 months 0.10% $0
CD 12 months 0.20% $0
CD 18 months 0.30% $0
CD 24 months 0.40% $0
CD 36 months 0.45% $0
CD 48 months 0.50% $0
CD 60 months 0.55% $0
Note: The APY (annual percentage yield) shown is as of Nov. 19, 2020. The APY may vary in region.
How American Express compares to top-yielding banks
Amex CD rates are far below those of other banks with top-earning CDs — especially for accounts with terms less than three years. Marcus by Goldman Sachs, for example, offers a much higher rate on its 12-month CD.
American Express does offer accounts with no minimum deposit, while Marcus requires at least $500 to open an account. But Ally Bank, among others, also offers no minimum deposit with much higher interest rates. Other CD terms tell the same story — American Express CD rates don’t reach those of the best certificates of deposit.
Other savings options at American Express
American Express Bank offers more than just certificates of deposit to hold your savings. If you want more flexibility for adding and withdrawing funds, the American Express high-yield savings account with no fees and no minimum account balance. Amex allows up to nine withdrawals from high yield savings each statement cycle.
Because American Express doesn’t offer a checking account or issue debit cards or checks for its high-yield savings account, you’ll have to transfer funds to another bank to make a withdrawal. The bank is completely online, so you won’t be able to visit a physical branch. You can, however, reach American Express customer support 24 hours a day.
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