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With the recent Federal Reserve interest rate hikes, certificates of deposit (CDs) have become increasingly attractive to consumers looking for a place to keep their cash safe. With the CDs offered by our partner Citi, you could earn up to 4.30% APY, depending which option you choose.

The bank also offers a specialty no-penalty CD that can give you more flexibility to access your cash or take advantage of higher interest rates before your account matures.

Citi Certificate of Deposit Options

Citi offers three types of CDs: fixed CDs, a no-penalty CD and a step-up CD. Here's a quick breakdown of how they work.

Note: Citi CD rates may vary by location. All CD rates listed in this article reflect rates offered in the Los Angeles zip code 90028.

Citi® No Penalty Certificate of Deposit

Open CD

at Citi

The Citi No Penalty CD, from our partner Citi, only requires a minimum opening deposit of $500, which is lower than some of its competitors. Even though the rate is much lower than in the past, you can withdraw your full balance plus interest seven days after account funding.

Traditionally, financial institutions will penalize you for taking money out of a CD before the account matures, making CDs less appealing for some consumers than a high-yield savings account. But with Citi's 12-month No Penalty CD, you can withdraw your full balance plus interest just seven days after account funding.

Previously, the Citi No-Penalty CD offered an extremely competitive APY of over 4.00%, but as of April 2023, the APY has dropped to just 0.05% APY. If that rate goes up, though, or you find a better offer with another bank or credit union, you can always withdraw your money without worrying about losing any of the interest you've accrued.

The account has a $500 minimum deposit requirement.

Fixed Rate CD

Citi offers Fixed Rate CDs with a wide variety of maturities and annual percentage yields, each one with a $500 minimum deposit requirement. Here's a breakdown of the different available options:


3 months


4 months


5 months


6 months


7 months


8 months


9 months


10 months


11 months

2.00%-3.00% (depending on balance)

12 months


13 months


14 months


15 months


18 months


24 months


30 months


36 months


48 months


60 months


Annual percentage yields (APY) are accurate at time of writing and may change without notice before a CD account is opened and funded.

As you can see, some of the APYs are far better than others, with the bank highlighting its 9-month, 12-month and 18-month CDs. These rates are higher than what you'd get with Citi's No Penalty CD, but remember that you'll need to keep your money in the account for the full term to avoid penalties. 

For CDs with a term of one year or less, that penalty is 90 days' worth of simple interest. For terms greater than one year, it's 180 days' worth of simple interest. Also, note that if the penalty exceeds the amount of interest accrued on your account, the bank may take the remaining portion from your principal balance.

Once your account matures, Citi will automatically renew it for the same term. However, there is a seven-day grace period starting the day after the maturity date, during which you can make additional deposits, withdrawals or term changes.

Step Up CD

Citi's Step Up CD has a 30-month maturity and automatically increases your annual percentage yield every 10 months. However, the low rates make it unappealing compared to most of its other options. 

With the Step Up CD, you'll start with a 0.05% APY, which jumps to 0.10% APY after 10 months, then 0.15% APY after 20 months. As with the Fixed Rate CD, there will be a penalty if you withdraw your money before the account matures, and there's also a $500 minimum opening deposit requirement.

How Citi's CDs Compare

Citi doesn't offer the best CD rates out there across the board, but the bank's rates on certain terms are competitive, and its minimum balance may be more appealing to some consumers compared to banks that offer better rates. It's also considered one of the safest banks right now, so you have less to worry when it comes to bank failure.

As with any financial product, it's important to shop around and compare several options to determine which one offers the best deal.

Citi® No Penalty Certificate of Deposit

Open CD

at Citi

The Citi No Penalty CD, from our partner Citi, only requires a minimum opening deposit of $500, which is lower than some of its competitors. Even though the rate is much lower than in the past, you can withdraw your full balance plus interest seven days after account funding.

CIT Bank No-Penalty Certificate of Deposit

Open CD

Member FDIC.

  • Our Rating 4.5/5 How our ratings work Read the review
  • Minimum
    Deposit Required
  • 11-Month APY3.50% More Info

    Annual Percentage Yield is accurate as of April 2, 2024. Interest rates for CIT Bank's No-Penalty CD are variable and subject to change at any time without notice.

CIT Bank's No-Penalty CD offers one of the most competitive rates with no early withdrawal penalty on the market. With this account, you can earn a 3.50% APY, and the CD matures in just 11 months, which is shorter than average.

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Should You Open a Citi CD?

Depending on the type of CD and term length you're interested in, Citi's rates can be competitive or unimpressive. For example, the Citi No Penalty CD used to offer one of the top rates available, but that rate has recently decreased, and many of its Fixed Rate CDs offer APYs more akin to traditional savings accounts. For this reason, it's wise to do your research before deciding on a specific CD.

Also, Citi requires you to fund your CD with money transferred from a linked Citi account, which means you need to be an existing Citi customer or you need to open another deposit account with the bank first. If you're already a Citi customer, a slightly lower rate may be worth it if it means you don't have to open an account with another financial institution. 

It's also important to consider whether a CD is right for you at all.

Many CDs offer competitive rates right now, but with traditional CDs, there's still the downside of not being able to access your cash until your account has matured. If interest rates go up again or you need the money for something else, you face penalties. So, it's a good idea to use a traditional CD only if you're certain you won't need that cash until the account matures and you don't mind if interest rates go up in the meantime.

While no-penalty CDs can eliminate the biggest risk of a traditional fixed-rate CD, their interest rates are more in line with high-yield savings accounts, so you'll also want to compare those to see which one is the best fit for you.

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Ben Luthi

Ben Luthi is a personal finance and travel writer and credit card expert. He has a degree in finance from Brigham Young University and worked in financial planning, banking and auto finance before writing full-time for NerdWallet and Student Loan Hero. Ben is now a full-time freelance writer and enjoys traveling and spending time with his two kids. His work has appeared in several publications, including U.S. News & World Report, USA Today, Money, Success and Slickdeals.