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...
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| U.S. Bank | $25 + either 1/2 of the interest you would have earned if the funds were withdrawn after maturity OR 1% of the withdrawal amount, whichever is greater | $25 + either 1/2 of the interest you would have earned if the funds were withdrawn after maturity OR 3% of the withdrawal amount, whichever is greater |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
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.
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