The best 10-year CD rates right now

Between high-yield savings accounts and certificates of deposit (CDs), savers have many solid account options to choose from right now. Part of that is due to the recent Federal Reserve rate hikes, which have led the rates on deposit accounts to be a lot higher than they were just a few years ago. And, that opens up a range of good choices for those who want to earn big returns on their savings.

For example, it's easy to find a high-yield savings account with a rate of 5% or more currently. But while that rate may be appealing, it's important to remember that high-yield savings accounts also have variable rates. So, the rate you open your account with likely won't be the rate you're earning in a year or two. And, some experts believe that rates have already peaked — or are close to doing so — so it could literally be downhill from here for savings rates.

But that's not the case with CDs. With a CD, you'll get a fixed interest rate, meaning that it won't change throughout the entire CD term — no matter what happens with the overall rate environment. And, if you want to lock in a top interest rate over the long term, it can benefit you to consider a 10-year CD right now. While the rates on these CDs aren't as high as some of the shorter-term ones, they're still high, and they offer continuity in earnings for an entire decade — which can be a big draw for the right saver.

Ready to get started? Find out today's top CD rates here.

The best 10-year CD rates right now

If you're looking for a 10-year CD with a top interest rate, the following CDs offer some of the highest rates on the market right now: 

• Apple Federal Credit Union – 4.00% APY: $500 minimum deposit is required to open the account; early withdrawal penalty is all interest earned (up to 36 months)
• Credit Human – 4.00% APY: $500 minimum deposit is required to open the account; early withdrawal penalty is $50 or 36 months of interest
• Discover Bank – 3.80% APY: $2,500 minimum deposit required to open the account; early withdrawal penalty is 24 months of interest
• Vio Bank – 2.75% APY: $500 minimum deposit required to open the account; early withdrawal penalty is 3% of the amount withdrawn plus a $25 fee
• EmigrantDirect — 2.75% APY: $1,000 minimum deposit required to open the account; early withdrawal penalty of 180 days of interest
• MySavingsDirect – 2.00% APY: $1,000 minimum deposit required to open the account; early withdrawal penalty is six months of interest

Learn more about the best CD rates available to you here.

Benefits of choosing a 10-year CD

While 10-year CDs aren't as common as some of other CD options, there are still a few unique benefits to choosing a CD with such a long term. These include:

Locking in a higher rate

The primary advantage of opting for a 10-year CD — especially during periods of above-average interest rates, like the one we're experiencing now — is the ability to lock in those higher rates for an extended period. Interest rates fluctuate over time, and by securing a long-term CD, investors shield themselves from the impact of potential rate decreases in the future. This means that, regardless of market fluctuations, your investment will continue to earn a competitive rate throughout the entire 10-year term.

Stability and predictability

Investing in a 10-year CD provides a level of stability and predictability that is appealing to risk-averse investors. Unlike more volatile investment options, such as stocks, a CD offers a fixed interest rate and a guaranteed return of principal at maturity. This predictability can be particularly beneficial for individuals planning for long-term financial goals, such as retirement or a child's education.

Higher overall returns

By committing to a 10-year term, investors can capitalize on the higher rates available, leading to greater overall returns. This extended period allows for the compounding effect to work in your favor, potentially boosting the final returns on your investment significantly.

Protection against inflation

Inflation erodes the purchasing power of money over time. A 10-year CD, especially one with an above-average rate, can act as a hedge against inflation, ensuring that your investment keeps pace with or even outpaces the rising cost of living. This can be especially crucial for maintaining your financial well-being over the long term.

Diversification in a balanced portfolio

While it's essential to diversify your investment portfolio, having a portion allocated to longer-term, fixed-income options like a 10-year CD can enhance overall portfolio stability. It provides a counterbalance to more volatile investments and contributes to a well-rounded, risk-managed strategy.

The bottom line

While there may be fewer options than you can get with some of the other CD terms, choosing to invest in a 10-year CD still offers a range of benefits. From locking in favorable rates for an extended period to providing stability and predictability, this financial instrument can be a valuable addition to your investment portfolio. And, right now, rates are a lot higher than normal, so it's a great time to put some of your savings into a 10-year CD. As with any investment decision, though, it's crucial to carefully consider your financial goals, risk tolerance and overall investment strategy before committing.