Best 5-Year CD Rates in Homewood, Alabama, AL

You are viewing rates from banks across Homewood

Below are 5-year CD Rates from banks that are located in Homewood, { Alabama}. Five Year Certificates of Deposit (CD) are generally the longest term CD that most banks will offer. They tend to offer the highest rates but require the longest commitment. Five year CDs are especially popular in a declining interest rate environment as depositors can lock money in at the highest rate possible for the longest period of time. They are also popular with depositors who are willing to lock up money for five years in return for extra yield.

Homewood, AL - December 22, 2024

5 Year CD National Average : 0.92% ^?

Banks	APY	MIN	MILES ^?
EvaBank	3.56%	$1,000	-	Learn More Add Review
Bank Independent	2.51%	$1,000	-	Learn More Add Review
Rate History: 3.01% → 4.01% → 2.51%
Farmers and Merchants Bank	1.76%	$1,000	-	Learn More Add Review
Rate History: 2.01% → 1.76%
Sweet Water State Bank	1.76%	$10,000	-	Learn More Add Review
Union State Bank	1.75%	$500	-	Learn More Add Review
The Citizens Bank	1.75%	$10,000	-	Learn More Add Review
The Farmers & Merchants Bank	1.51%	$10,000	-	Learn More Add Review
Cullman Savings Bank	1.50%	$10,000	-	Learn More Add Review
Metro Bank	1.50%	$10,000	-	Learn More Add Review
Millennial Bank	1.50%	$10,000	-	Learn More Add Review
Woodforest National Bank	1.35%	$500	-	Learn More
Rate History: 1.00% → 1.35%
Jabbroadway42 \| Nov 17, 2020 Is notarie services available today at a woodforest on wilkinson blvd Read More Reviews (2)
FirstState Bank	1.26%	$500	-	Learn More Add Review
NobleBank & Trust	1.25%	$10,000	-	Learn More
kdm0030 \| Jan 13, 2023 Disappointed! Wellsfargo is not great but better than Noble. Read More Reviews (1)
The Exchange Bank of Alabama	1.20%	$10,000	-	Learn More Add Review
First Bank of Alabama	1.16%	$10,000	-	Learn More Add Review
PeoplesTrust Bank	1.15%	$10,000	-	Learn More Add Review
Peoples Bank of Alabama	1.10%	$10,000	-	Learn More Add Review
Bank of Brewton	1.05%	$10,000	-	Learn More Add Review
First Community Bank of Central Alabama	1.05%	$10,000	-	Learn More Add Review
Citizens Bank & Trust	1.05%	$10,000	-	Learn More Add Review
Central State Bank	1.01%	$10,000	-	Learn More
Bob Kuehner \| Apr 23, 2020 If you're not with Central State Bank and you're in business... why the heck not? I've been with CSB since 2007. In that time they've provided top tier service and a down home feel. My most recent exper... Read More Reviews (1)
Alamerica Bank	1.01%	$10,000	-	Learn More Add Review
The Southern Bank Company	1.00%	$10,000	-	Learn More Add Review
The Hometown Bank of Alabama	1.00%	$10,000	-	Learn More
OldCrone \| Mar 16, 2023 The branch manager is unavailable and doesnt care what goes on as long as he is not bothered. The tellers are rude and referr to customers who ask for help as " special needs customers". Read More Reviews (1)
First Southern State Bank	1.00%	$10,000	-	Learn More Add Review
First Community Bank of Cullman	1.00%	$500	-	Learn More Add Review
Citizens Bank & Trust, Inc.	1.00%	$500	-	Learn More Add Review
First Southern Bank	1.00%	$10,000	-	Learn More Add Review
SouthPoint Bank	1.00%	$10,000	-	Learn More Add Review
The Commercial Bank Of Ozark	0.98%	$10,000	-	Learn More Add Review
Southern States Bank	0.95%	$10,000	-	Learn More Add Review
First National Bank of Pulaski	0.95%	$10,000	-	Learn More
Tim, In Pulaski TN \| Aug 10, 2022 1st National Bank of Tennessee is not, in my opinion, a mobile friendly bank. Be aware that they do not have a 1-800 number on their cards. So, if it happens to be a weekend and you're out of town trying... Read More Reviews (1)
Liberty Bank	0.95%	$10,000	-	Learn More Add Review
First Jackson Bank, Inc.	0.90%	$1,000	-	Learn More Add Review
CB&S Bank, Inc.	0.90%	$10,000	-	Learn More
Terry \| Jun 7, 2018 Fabulous bank Read More Reviews (1)
Liberty Bank and Trust Company	0.90%	$10,000	-	Learn More Add Review
Commonwealth National Bank	0.85%	$10,000	-	Learn More Add Review
First Fidelity Bank	0.85%	$10,000	-	Learn More Add Review
MidSouth Bank	0.85%	$10,000	-	Learn More
Chadpatt \| Jun 14, 2021 I have banked with Midsouth for 4 years. I deposited a check that was for $6,000. I explained at the time of the deposit that I needed the mo ur available for my sons surgery that was in a few days. They t... Read More Reviews (1)
The First National Bank and Trust	0.80%	$10,000	-	Learn More Add Review
HNB First Bank	0.80%	$10,000	-	Learn More Add Review
Pinnacle Bank	0.75%	$10,000	-	Learn More Add Review
West Alabama Bank & Trust	0.75%	$1,000	-	Learn More
Gavin Howard \| Mar 4, 2023 OMB controller currency CFPB mortgage loans originator regulation G 3170-0005 requested full disclosure Read More Reviews (1)
First Federal Bank, A FSB	0.75%	$500	-	Learn More Add Review
Trustmark National Bank	0.75%	$10,000	-	Learn More
trbf15 \| Nov 4, 2020 Transfer cds to checking. Trustmark Madison ok, Not, 6 figures deposit lost for 6 days they say due to scanner error. Then when we go to branch office mgr. all huffy tht error upset because of their mist... Read More Reviews (1)
First Bank of Boaz	0.75%	$10,000	-	Learn More Add Review
ServisFirst Bank	0.71%	$10,000	-	Learn More Add Review
AuburnBank	0.70%	$500	-	Learn More Add Review
PeoplesSouth Bank	0.70%	$10,000	-	Learn More Add Review
Bryant Bank	0.65%	$100,000	-	Learn More Add Review
First State Bank of the South, Inc.	0.65%	$10,000	-	Learn More Add Review
FirstBank	0.65%	$10,000	-	Learn More Add Review
Community Spirit Bank	0.65%	$10,000	-	Learn More Add Review
The First, A National Banking Association	0.60%	$10,000	-	Learn More Add Review
Armed Forces Bank, National Association	0.60%	$10,000	-	Learn More
BENNIE BROOKS \| Mar 25, 2015 OLIVER NORTH AIR LINES GOVERNOR BLANCO Read More Reviews (2)
Synovus Bank	0.60%	$10,000	-	Learn More
deb \| Jun 11, 2015 Synovus no longer offers this rate as of 5/8/2015---I called and asked Read More Reviews (1)
Centennial Bank	0.55%	$10,000	-	Learn More
Asj \| Nov 15, 2020 Do they? Read More Reviews (1)
Community Bank of Mississippi	0.55%	$10,000	-	Learn More Add Review
Bryant Bank	0.55%	$10,000	-	Learn More Add Review
Robertson Banking Company	0.55%	$10,000	-	Learn More Add Review
Renasant Bank	0.55%	$10,000	-	Learn More
rand \| Mar 25, 2019 CDs shown are not offered in Knoxville area Read More Reviews (1)
Century Bank	0.55%	$10,000	-	Learn More Add Review
Merchants & Marine Bank	0.50%	$10,000	-	Learn More Add Review
Citizens Trust Bank	0.50%	$10,000	-	Learn More Add Review
AmeriFirst Bank	0.50%	$10,000	-	Learn More Add Review
Southern Independent Bank	0.45%	$1,000	-	Learn More
Terrible on line account information. Doesn't work on the weekends and neither do they \| Jul 27, 2020 If you don't mind the web site for your account on the week ends being down. This is the bank for you. When you have a problem you have to wait one to two days for someone in charge to call you back after ... Read More Reviews (1)
First Cahawba Bank	0.45%	$10,000	-	Learn More Add Review
CCB Community Bank	0.40%	$500	-	Learn More Add Review
Citizens' Bank, Inc.	0.40%	$1,000	-	Learn More Add Review
BankFirst Financial Services	0.35%	$10,000	-	Learn More Add Review
Metro City Bank	0.33%	$1,000	-	Learn More
thedon \| Mar 29, 2020 have been waiting 8 weeks - yes 8 weeks for a closing date from this bank ..... they keep giving flimsy excuses requesting insignificant and unnecessary paperwork from us ( the seller ) the buyers who know... Read More Reviews (1)
Troy Bank & Trust Company	0.21%	$10,000	-	Learn More Add Review
Ameris Bank	0.20%	$10,000	-	Learn More
COLETTE B \| May 30, 2022 I HAVE TO AGREE WITH THE OTHER REVIEWERS. THIS BANK HAS THE WORST CUSTOMER SERVICE OF ALL TIME. I HAD NO CHOICE BUT TO GO HERE... IF THERE'S ANY WAY YOU CAN AVOID, IT IS HIGHLY RECOMMENDED. LET ME GIVE ... Read More Reviews (4)
Friend Bank	0.10%	$10,000	-	Learn More Add Review
Regions Bank	0.05% 0.01%	$2,501 $2,500	-	Learn More Add Review
Rate History: 0.03% → 0.05%
PNC Bank, National Association	0.03%	$25,000	-	Learn More
GAM \| May 18, 2019 Had checking and savings for years when living in Philly. Went into PNC 2.35 APY high yield savings. They have thus far maintained rate. Easy web site and great customer phone service. Still maintain check... Read More Reviews (1)

All rates listed are Annual Percentage Yield (APY). The Min listed is the minimum deposit account balance required to obtain the rate listed.

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PRODUCT INFORMATION

Five Year CDs - Branch Banks 2024

Five-year CDs are the big kahuna of the CD world. While banks may offer six-year, seven-year, or even 10-year CDs, the five-year is the longest of the most commonly offered terms. The 5-year CD is therefore often the highest offer at your local bank. Therefore, the temptation for those looking for yield is to open one, deposit money, and forget about it for five years. This could be a mistake. In rising rate environments a five-year CD may not be a good investment.

Safety

Like every other CD term, five year CDs from FDIC insured banks are protected up to FDIC limits (generally $250,000 per account holder per bank). If your deposit is over the FDIC limit then you may not receive the uninsured money in case of a bank failure.

Inflation

The principle threat to a a five year CD is inflation. If the CD is opened in a low rate environment, and rates and inflation subsequently rise, then inflation will erode the value of the certificate of deposit over its five years. For example, if a depositor opened a five year CD in year 1 with a yield of 2.05% APY and inflation at 1.5%, then the real return is .55 percentage points. But if inflation rises the next year to 2.5% and stays there for the next four years, then the CD in real terms is losing money every year: 2.05% - 2.5% = -.45%.

While it is impossible for anyone to predict too far into the future, savers should be cognizant of the economic environment before locking up money for a five year time-period. Our rate analysis page provides some insight into where we think rates will go.

On the other hand, if rates are falling and will continue to do so for some time due to an economic recession then it makes sense to lock in a higher rate with a five year CD. Savers who opened five year CDs in 2008 immediately after the financial crisis were able to lock in rates in the 6% range, a great move considering two years later a five year CD paid below 3%.

Interest

Five-year CDs currently pay about 1.00% more in interest than a one year CD. In general, CDs of this duration are best opened as part of a laddered CD portfolio or if the depositor thinks that rates will either stagnate or drop over the next couple of years.

Opening a Five Year CD

Opening a five year CD in a branch is relatively easy and similar to every other CD term. Most banks require the customer be a resident of the United States and most branch-based banks ask that the account be opened in the bank. Funding can be performed by transferring money that is already located at that bank or by check or ACH transfer from another bank. The CD can be opened that day and the rate locked.

With longer term CDs, savers should make sure they put a record of the CD in a safe place and that if they move, they forward their new address to the bank. In cases where the bank cannot find the CD holder, the bank may hand the funds over to a state authority as a lost deposit, and it will require onerous paperwork to reclaim the money.

ADVANTAGES AND DISADVANTAGES OF FIVE YEAR CDs

Advantages of five year CDs

5 year CDs provide the highest rate of the common CD terms.
The return is fixed for five years, which is an advantage in a flat or falling rate environment.

Disadvantages of five year CDs

The money is locked away for five years and cannot be withdrawn without a substantial penalty.
In a rising rate environment, inflation will reduce the value of the money in the CD over time.
Branch CDs require the saver to visit a branch and be subjected to cross-sell pitches and other marketing tactics.

All banks listed on BestCashCow are FDIC insured; BestCashCow.com strongly recommends that you stay within FDIC insurance limits and that if you are unsure of how the limits affect you, please visit the FDIC website.

To understand all of the income generating options available to a saver, please view the Income Generating Investments Comparison Chart.

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Homewood, Alabama CD Rates – 5-Year

PRODUCT INFORMATION

Five Year CDs - Branch Banks 2024

Safety

Inflation

Interest

Opening a Five Year CD

ADVANTAGES AND DISADVANTAGES OF FIVE YEAR CDs

Advantages of five year CDs

Disadvantages of five year CDs

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