Updated: Oct 03, 2024
Comparing Early Withdrawal Penalty Fees for CDs
A certificate of deposit (CD) is an investment option offered by banks and credit unions when you want to invest a portion of your money and “lock” it up for certain amount of time. Because the mon...
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A certificate of deposit (CD) is an investment option offered by banks and credit unions when you want to invest a portion of your money and “lock” it up for certain amount of time. Because the money tied up in CDs are locked for a length of time, banks offer an interest rate that is higher than the usual savings account rate.
Comparing CD Early Withdrawal Penalty Fees Across Major Banks
| Compare | 1-year deposit | 5-year deposit |
|---|---|---|
| Ally Bank | 60 days of interest | 150 days of interest |
| Bank of America | 180 days of interest | 365 days of interest |
| Capital One 360 | 3 months of interest | 6 months of interest |
| CIT Bank | 3 months of simple interest | 12 months of simple interest |
| Discover Bank | 6 months of interest | 18 months of interest |
| American Express National Bank | 270 days of interest | 540 days of interest |
| Chase | 1% of the withdrawal amount | 2% of the withdrawal amount |
| Wells Fargo | 6 months of interest | 12 months of interest |
| Citibank | 90 days of interest | 180 days of interest |
| U.S. Bank | $25 + either 1/2 of the interest you would have earned if the funds were withdrawn after maturity OR 1% of the withdrawal amount, whichever is greater | $25 + either 1/2 of the interest you would have earned if the funds were withdrawn after maturity OR 3% of the withdrawal amount, whichever is greater |
Current CD rates
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Amy covers personal finances, student loans, and money management for younger adults. Her work has appeared in The Atlantic, Business Insider, New York Daily News, and more. Education: B.A. in Journalism from New York University.
