Discover Cd Rates
Certificates of Deposit - Branch Banks 2021. A certificate of deposit (CD) is a savings product offered by a bank in which a depositor (someone who has money to put into the bank) agrees to commit a certain amount of money for a set period of time, in return for a fixed rate of interest. Mar 03, 2021 A certificate of deposit (CD) is a type of FDIC-insured deposit account offered by many banks and credit unions that usually has a fixed interest rate over a certain number of months or years.
- Competitive interest rates
- No monthly account fees
- No physical locations
- Higher minimum deposit
- Those who want to save according to some of the best rates, without the volatility of investing
Discover Bank offers 12 certificate of deposit terms ranging from three months to 10 years. While some other banks do offer more options, Discover Bank still allows you to open certificate of deposit (CD) accounts to save for short-term as well as longer-term goals like a down payment on a house.
You will have to have at least $2,500 to open a Discover CD. This may be a little high, especially when compared to other banks’ minimum deposit requirements of around $500 or even $0. However, the upside of a bigger deposit is that your money can grow more than it would with a small deposit.
Luckily, you won't have to worry about paying a monthly fee with a Discover CD account.
| Discover CD | Minimum Deposit | Rate | |
| 3 Month | $2,500 | 0.20% | Compare CD Rates |
| 6 Month | $2,500 | 0.25% | Compare CD Rates |
| 9 Month | $2,500 | 0.30% | Compare CD Rates |
| 12 Month | $2,500 | 0.50% | Compare CD Rates |
| 18 Month | $2,500 | 0.50% | Compare CD Rates |
| 24 Month | $2,500 | 0.50% | Compare CD Rates |
| 30 Month | $2,500 | 0.55% | Compare CD Rates |
| 3 Year | $2,500 | 0.55% | Compare CD Rates |
| 4 Year | $2,500 | 0.55% | Compare CD Rates |
| 5 Year | $2,500 | 0.60% | Compare CD Rates |
| 7 Year | $2,500 | 0.60% | Compare CD Rates |
| 10 Year | $2,500 | 0.60% | Compare CD Rates |
3-Month CD Interest Rate Comparison
Overview of Discover CDs
With 12 available CD terms, Discover allows you to open an account for a variety of financial goals whether long term or short term. This also makes for a perfect CD ladder structure. A CD ladder is when you open multiple CD accounts at the same time, each with a different maturity date. That way, you can have a payout every few months or so, depending on the ladder you create.
You will need at least $2,500 to open a Discover CD account. Again, this is pretty high when compared to other banks’ minimums. However, it does yield larger earnings over time, especially with Discover’s strong CD interest rates.
It’s important to remember that CDs are timed deposits. You can only access the funds you’ve deposited into the account when it reaches maturity. Once it matures, you have a nine-day grace period to make any withdrawals or additional deposits you want. Before that, however, an early withdrawal can trigger a penalty.
If you’ve just opened a new CD and you make any withdrawals starting from the eighth day after opening and continuing for the next 22 days, you’ll face a penalty that costs each day’s simple interest on the amount withdrawn. For renewed CDs, the same penalty applies if you make a withdrawal from the end of the grace period through the following 20 days. Outside of these timeframes, your penalty will depend on your CD length. For terms less than a year, you’ll face a penalty of three months’ simple interest. For terms between one and four years, the penalty is six months of simple interest. Terms of four to five years charge a penalty of nine months of simple interest. Terms of five to seven years charge a penalty of 18 months’ simple interest and, finally, terms of seven years or longer charge a penalty of 24 months’ simple interest.
How Much You Earn With Discover Certificate of Deposits Over Time
You stand to earn the most with Discover’s longer-term CDs. You’ll see below that with a 3-month CD, you’ll only earn a few dollars on your deposit at the end of the term. With a longer term, however, like 12 or 60 months would see growth of hundreds of dollars. Again, this depends on your initial deposit, too.
Discover does boost your growth by compounding interest daily. This grows your money faster and more efficiently than monthly compounding, for example. Daily compounding means your deposit will earn interest today, that new amount will earn interest tomorrow and so on. The amounts below reflect your possible final earnings at the end of each account's term.
| Initial Deposit | 3-Month CD | 12-Month CD | 60-Month CD |
| $2,500 | $2,501 | $2,512.50 | $2,575.91 |
| $5,000 | $5,003 | $5,025 | $5,151.81 |
| $10,000 | $10,005 | $10,050 | $10,303.62 |
How Discover CDs Rates Compare to Other Banks
Discover offers some of the best CD rates in the industry. This is due to the bank’s lack of physical locations throughout the country which makes more room for higher-earning rates. As you can see below, Discover’s rates come very close to those of other online banks like Ally Bank and Marcus by Goldman Sachs. Plus, while Marcus’ rates are higher for longer-term accounts, Discover offers a better rate for the 6-month CD option.
At $2,500, Discover requires a higher minimum deposit than the other banks do. Marcus’ minimum comes in at $500. Ally doesn’t have a minimum deposit requirement, allowing you to deposit whatever amounts you can. This means that if you can only put away $50 responsibly, Ally will let you do that. It is important to note that higher balances can get you better rates and earnings. The Ally Bank rates given below are for its High Yield CDs’ lowest tier.
| CD Account | Discover | Ally Bank | Marcus by Goldman Sachs |
| 6 Month | 0.25% | 0.25% | 0.15% |
| 1 Year | 0.50% | 0.60% | 0.55% |
| 3 Year | 0.55% | 0.65% | 0.55% |
| 5 Year | 0.60% | 0.85% | 0.60% |
Compare Discover Bank to Other Competitive Offers
Should You Get a Discover CD Account?
Discover offers some solid CD account options. Its rates outperform most big bank competitors like Chase CDs or Bank of America CDs. Plus, the rate your account will earn at is pretty straightforward since it does not depend on your account balance.
Discover is a good option if you want to keep your bank accounts all in one place, each with a high-earning interest rate. You do just have to make sure you can meet the bank’s minimum deposit requirements.
YOU'RE IN
THE CLUB
Preferred rates on 12, 24, and 60 month terms.
Two Trusted Partners
A Better Way to Save
FDIC Insurance
Grow your money
- Earn CD APYs that outperform the National Averages2
- Preferred member interest rates and APYs on 12, 24, and 60 month CDs and IRA CD terms.
Enjoy financial control
- Choose terms ranging from 3 months to 10 years
- Option to automatically withdraw interest
- Use electronic deposit to add funds to a maturing CD or fund a new one
- Easy online account management
Bank with confidence
- 100% U.S.-based customer service representatives available 24/7
- FDIC-insured up to the maximum allowed by law.
- Discover is one of the most recognized financial service providers in the U.S.
Interest rates/APYs are applied based on the date the account is funded.
Compare CDs
Earn CD APYs that outperform the National Averages2.
| Term | Interest Rate | APY1 | APY2 | APY3 | APY3 |
For information regarding fees and service charges, see Section 36 in the Deposit Account Agreement.
CD Accounts FAQ
About Your Account
As a benefit of your AAA membership, there is no minimum opening deposit amount.
You can fund your CD Account in the following ways:
- Online transfer from an eligible Discover Bank Account or an external bank account
- Phone Transfers (available for initial funding only)
- Mail a check that includes your CD Account number, made payable to you to:
Discover Bank
PO Box 30417
Salt Lake City, UT 84130
*Please note that Travelers Checks will not be accepted for deposit.
The Discover Bank routing number is 031100649. It is used for electronic transfers made by ACH (including Direct Deposit) and for domestic wire transfers (from another financial institution within the U.S.).
Follow the steps below to send an outgoing wire transfer. Please make sure your request is submitted at least 2-3 days in advance of when you would like us to process your wire to ensure pre-processing can be completed; allow additional time if mailing your request.
International and Domestic Wire Transfer requests received and verified before 3:00 PM ET on a business day will be processed the same day. Requests received and verified after 3:00 PM ET on a business day or any time on a weekend or holiday will be processed by the next business day.
As a reminder, all wire transfer requests require verbal authorization before they can be processed. Once you submit your request, you must call us to authorize it. Failure to do so will result in longer processing times and a possible cancelled request.
You can submit a wire transfer request through the Account Center, or by downloading, completing, and submitting the paper form.
Submit Online
- International Wire Transfer Request may only be submitted using the paper form
Download Form
- Domestic Wire Transfer Request Form (wire transfers within the United States)
- International Wire Transfer Request Form (wire transfers outside the United States)
Once you have completed your Wire Transfer Request Form, you can submit it through any of the following methods:
- Upload the form through Secure Document Upload
- Fax the form to 1-224-813-5213, Attention 'Wire Transfer Request'
- Mail the form to Discover Bank, PO Box 30417, Salt Lake City, UT 84130
For domestic wire transfers (from another bank in U.S.), please wire funds to:
- Beneficiary Bank: Discover Bank
- ABA/Routing Number: 031100649
- Beneficiary Bank Address (if required): 502 Market Street, Greenwood DE 19950
- Beneficiary Name: Your name (as it appears on your Discover Bank account)
- Beneficiary Account Number: Your Discover Bank account number
For international wire transfers (from another bank outside the U.S.), please wire funds to:
- Beneficiary Bank: Bank of New York Mellon
- ABA/Routing Number: 043000261
- SWIFT Code: IRVTUS3N
- Beneficiary Bank Address (if required): #3 Mellon Bank Center, Pittsburgh, PA 15258
- Beneficiary Name: Discover Bank
- Beneficiary Account Number: 9914394
- For Further Credit to: Your name (as it appears on your Discover Bank account) and your Discover Bank account number
Wire transfers received before 4:00 PM ET will be posted to your account on the business day we receive them.
Wire transfers received after 4:00 PM ET will post to your account the following business day, with an effective date of the business day the funds were received.
Some wire transfers may require additional processing time. In those cases, your wire transfer will post to your account upon completion of processing, with an effective date of the business day the funds were received. If it has been more than 2 business days since your inbound wire was sent and it has not yet posted, feel free to call us at 1-800-347-2683.
We do not charge any account-related fees, however, there is a $30 Wire Transfer Service Charge for outgoing wires as well as early withdrawal penalties, which are outlined below.
For CDs opened or renewed through 3/14/13
- <1 year: 3 months simple interest on principal amount withdrawn
- 1 year-5 years: 6 months simple interest on principal amount withdrawn
- 6+ years: 9 months simple interest on principal amount withdrawn
For CDs opened or renewed from 3/15/13 through 2/16/14:
- <1 year: 3 months simple interest on principal amount withdrawn
- 1 year-3 years: 6 months simple interest on principal amount withdrawn
- 4 years-6 years: 9 months simple interest on principal amount withdrawn
- 7+ years: 15 months simple interest on principal amount withdrawn
For CDs opened or renewed on or after 2/17/14:
- <1 year: 3 months simple interest on principal amount withdrawn
- 1 year-3 years: 6 months simple interest on principal amount withdrawn
- 4 years: 9 months simple interest on principal amount withdrawn
- 5 years-6 years: 18 months simple interest on principal amount withdrawn
- 7+ years: 24 months simple interest on principal amount withdrawn
*Please note that in some cases, the Early Withdrawal Penalty may reduce the principal in the CD.
Yes, funds on deposit at Discover Bank are FDIC-insured up to the maximum allowed by law. For more information, visit the FDIC website.
Yes. Click here to log into your account. Once logged in, select your CD Account on the 'Account Summary' page. Your maturity date will be displayed in the CD account details.
Not registered for the Account Center? Register Now
We will send you a notification 30 days before your CD matures. When your CD matures, you may make a deposit or withdrawal and change the term of your CD during the grace period. The grace period lasts for 9 days immediately following the maturity date. Your CD will automatically renew if you don't take any action during the grace period and interest withdrawn on the account will not affect the grace period. Any term change, deposit, or withdrawal of principal during the grace period will end the grace period.
In some cases, the Early Withdrawal Fee may reduce the principal in the CD.
No. You will not receive a certificate for your CD, however, you will receive a welcome kit when you open your account, and you can access your account information anytime via the Account Center. Click here to log in.
Not registered for the Account Center? Register Now
Click here to reset your User ID and Password. If you are still unable to log in, call us at 1-888-204-8990 and a Banking Specialist will help you reset your User ID and Password.
Opening an Account
As a benefit of your AAA membership, there is no minimum opening deposit amount.
Yes. We allow a range of account ownership types including Trust, Custodial, Guardian, and Estate. To open one of these account types, please call us at 1-888-204-8990 and a Banking Specialist will assist you.
You can fund your CD Account in the following ways:
- Online transfer from an eligible Discover Bank Account or an external bank account
- Phone Transfers (available for initial funding only)
- Mail a check that includes your CD Account number, made payable to you to:
Discover Bank
PO Box 30417
Salt Lake City, UT 84130
*Please note that Travelers Checks will not be accepted for deposit.
Follow the steps below to send an outgoing wire transfer. Please make sure your request is submitted at least 2-3 days in advance of when you would like us to process your wire to ensure pre-processing can be completed; allow additional time if mailing your request.
International and Domestic Wire Transfer requests received and verified before 3:00 PM ET on a business day will be processed the same day. Requests received and verified after 3:00 PM ET on a business day or any time on a weekend or holiday will be processed by the next business day.
As a reminder, all wire transfer requests require verbal authorization before they can be processed. Once you submit your request, you must call us to authorize it. Failure to do so will result in longer processing times and a possible cancelled request.
You can submit a wire transfer request through the Account Center, or by downloading, completing, and submitting the paper form.
Submit Online
- International Wire Transfer Request may only be submitted using the paper form
Download Form
- Domestic Wire Transfer Request Form (wire transfers within the United States)
- International Wire Transfer Request Form (wire transfers outside the United States)
Once you have completed your Wire Transfer Request Form, you can submit it through any of the following methods:
- Upload the form through Secure Document Upload
- Fax the form to 1-224-813-5213, Attention 'Wire Transfer Request'
- Mail the form to Discover Bank, PO Box 30417, Salt Lake City, UT 84130
For domestic wire transfers (from another bank in U.S.), please wire funds to:
- Beneficiary Bank: Discover Bank
- ABA/Routing Number: 031100649
- Beneficiary Bank Address (if required): 502 Market Street, Greenwood DE 19950
- Beneficiary Name: Your name (as it appears on your Discover Bank account)
- Beneficiary Account Number: Your Discover Bank account number
For international wire transfers (from another bank outside the U.S.), please wire funds to:
- Beneficiary Bank: Bank of New York Mellon
- ABA/Routing Number: 043000261
- SWIFT Code: IRVTUS3N
- Beneficiary Bank Address (if required): #3 Mellon Bank Center, Pittsburgh, PA 15258
- Beneficiary Name: Discover Bank
- Beneficiary Account Number: 9914394
- For Further Credit to: Your name (as it appears on your Discover Bank account) and your Discover Bank account number
Wire transfers received before 4:00 PM ET will be posted to your account on the business day we receive them.
Wire transfers received after 4:00 PM ET will post to your account the following business day, with an effective date of the business day the funds were received.
Some wire transfers may require additional processing time. In those cases, your wire transfer will post to your account upon completion of processing, with an effective date of the business day the funds were received. If it has been more than 2 business days since your inbound wire was sent and it has not yet posted, feel free to call us at 1-800-347-2683.
Deposits and Withdrawals
You can fund your CD Account in the following ways:
- Online transfer from an eligible Discover Bank Account or an external bank account
- Phone Transfers (available for initial funding only)
- Mail a check that includes your CD Account number, made payable to you to:
Discover Bank
PO Box 30417
Salt Lake City, UT 84130
*Please note that Travelers Checks will not be accepted for deposit.
Follow the steps below to send an outgoing wire transfer. Please make sure your request is submitted at least 2-3 days in advance of when you would like us to process your wire to ensure pre-processing can be completed; allow additional time if mailing your request.
International and Domestic Wire Transfer requests received and verified before 3:00 PM ET on a business day will be processed the same day. Requests received and verified after 3:00 PM ET on a business day or any time on a weekend or holiday will be processed by the next business day.
As a reminder, all wire transfer requests require verbal authorization before they can be processed. Once you submit your request, you must call us to authorize it. Failure to do so will result in longer processing times and a possible cancelled request.
You can submit a wire transfer request through the Account Center, or by downloading, completing, and submitting the paper form.
Submit Online
- International Wire Transfer Request may only be submitted using the paper form
Download Form
- Domestic Wire Transfer Request Form (wire transfers within the United States)
- International Wire Transfer Request Form (wire transfers outside the United States)
Once you have completed your Wire Transfer Request Form, you can submit it through any of the following methods:
- Upload the form through Secure Document Upload
- Fax the form to 1-224-813-5213, Attention 'Wire Transfer Request'
- Mail the form to Discover Bank, PO Box 30417, Salt Lake City, UT 84130
For domestic wire transfers (from another bank in U.S.), please wire funds to:
- Beneficiary Bank: Discover Bank
- ABA/Routing Number: 031100649
- Beneficiary Bank Address (if required): 502 Market Street, Greenwood DE 19950
- Beneficiary Name: Your name (as it appears on your Discover Bank account)
- Beneficiary Account Number: Your Discover Bank account number
For international wire transfers (from another bank outside the U.S.), please wire funds to:
- Beneficiary Bank: Bank of New York Mellon
- ABA/Routing Number: 043000261
- SWIFT Code: IRVTUS3N
- Beneficiary Bank Address (if required): #3 Mellon Bank Center, Pittsburgh, PA 15258
- Beneficiary Name: Discover Bank
- Beneficiary Account Number: 9914394
- For Further Credit to: Your name (as it appears on your Discover Bank account) and your Discover Bank account number
Wire transfers received before 4:00 PM ET will be posted to your account on the business day we receive them.
Wire transfers received after 4:00 PM ET will post to your account the following business day, with an effective date of the business day the funds were received.
Some wire transfers may require additional processing time. In those cases, your wire transfer will post to your account upon completion of processing, with an effective date of the business day the funds were received. If it has been more than 2 business days since your inbound wire was sent and it has not yet posted, feel free to call us at 1-800-347-2683.
Additional deposits cannot be made during the term of any CD. However, once your CD matures, you can deposit additional funds once during the grace period.
Discover Cd Rates For Aaa Members
You can withdraw money from your CD Account in the following ways:
- After your CD maturity date, there is a grace period of 9 days when you can make changes to your CD, including a withdrawal without an Early Withdrawal Fee. Please note that any term change, deposit, or withdrawal of principal during the grace period will end the grace period.
- Interest can be withdrawn from your CD at any time without a penalty.
- Principal withdrawals can be made outside of the grace period, however, an Early Withdrawal Fee will apply
The Early Withdrawal Penalties are as follows:
For CDs opened or renewed through 3/14/13
- <1 year: 3 months simple interest on principal amount withdrawn
- 1 year-5 years: 6 months simple interest on principal amount withdrawn
- 6+ years: 9 months simple interest on principal amount withdrawn
For CDs opened or renewed from 3/15/13 through 2/16/14:
- <1 year: 3 months simple interest on principal amount withdrawn.
- 1 year-3 years: 6 months simple interest on principal amount withdrawn
- 4 years-6 years: 9 months simple interest on principal amount withdrawn
- 7+ years: 15 months simple interest on principal amount withdrawn
For CDs opened or renewed on or after 2/17/14:
Discover Cd Rates As Of Today
- <1 year: 3 months simple interest on principal amount withdrawn
- 1 year-3 years: 6 months simple interest on principal amount withdrawn
- 4 years: 9 months simple interest on principal amount withdrawn
- 5 years-6 years: 18 months simple interest on principal amount withdrawn
- 7+ years: 24 months simple interest on principal amount withdrawn
*Please note that in some cases, the Early Withdrawal Penalty may reduce the principal in the CD
Interest
You can allow the interest earned to remain in your account and take advantage of compounding or have the interest transferred to an eligible Discover Bank Account.
If we receive your deposit before your Account is opened, interest will begin to accrue on the deposit on the Business Day your Account is opened. Once an Account is opened, interest begins to accrue on a deposit on the Business Day we receive your deposit.
Discover Cd Account
If we receive your funding deposit within 10 days of submitting your application(including your application date), you will receive the highest interest rate offered on one of these dates: the date you submit your application, the date your account is opened or the date we receive your funding deposit.
Discover Cd Rates September 2020
If we receive your funding deposit after 10 days, you will receive the current interest rate on the date we receive the funding. Please note that if we don't receive funding within 45 days, your CD Account will be closed.
Discover Cd Rates December 2020
Interest is compounded daily and credited to your account monthly.