10 Best Cd Accounts Of 2017 With Dependable Returns And Solid Choice

In a low-interest-rate environment, finding secure investment vehicles that offer competitive returns is critical for cautious savers. In 2017, certificate of deposit (CD) accounts remained a cornerstone of conservative financial planning, combining safety, predictability, and modest yield growth. Unlike volatile stocks or complex derivatives, CDs offered peace of mind backed by FDIC insurance and fixed interest rates. This guide highlights the 10 best CD accounts available in 2017—those that delivered dependable returns while operating under reputable, financially sound institutions.

Why CD Accounts Mattered in 2017

Despite historically low yields across most savings products, 2017 marked a turning point as the Federal Reserve began raising interest rates after years of near-zero policy. This shift created new opportunities for savers to lock in higher returns through CDs before rates peaked. Financial institutions responded by introducing more attractive terms, particularly online banks that could pass on lower overhead costs in the form of better APYs (Annual Percentage Yields).

CDs were especially valuable for individuals saving for specific goals—such as a home down payment, car purchase, or emergency fund—where capital preservation was paramount. With terms ranging from three months to five years, investors could tailor their strategy based on liquidity needs and market outlook.

“Even modest rate increases can significantly improve long-term returns when compounded over time—especially when locked into multi-year CDs.” — Dr. Laura Simmons, Senior Economist at Beacon Financial Review

Top 10 CD Accounts of 2017

The following institutions stood out in 2017 for offering strong yields, transparent fee structures, and excellent customer service. All are FDIC-insured, ensuring deposits up to $250,000 per account holder, per bank.

Rank	Institution	APY (1-Year CD)	Minimum Deposit	Notable Feature
1	Ally Bank	1.45%	$0	No minimum deposit; easy online access
2	Marcus by Goldman Sachs	1.40%	$500	No penalties for early withdrawal after 7 days
3	Synchrony Bank	1.42%	$0	High-yield options across multiple term lengths
4	Discover Bank	1.35%	$2,500	Free e-statements and mobile check deposit
5	Capital One 360	1.30%	$1,000	Branch network and robust app support
6	TIAA Bank	1.38%	$500	Rate-bump option available
7	Comenity Direct	1.40%	$1,000	Competitive mid-term yields
8	Barclays Online Savings	1.35%	$1,000	Global banking reputation
9	FNBO Direct	1.32%	$500	Friendly for smaller savers
10	Popular Direct	1.30%	$1,000	Strong customer service ratings

Tip: Always verify the current APY and penalty structure before opening a CD—rates changed frequently in 2017 due to Fed movements.

How to Choose the Right CD Account

Selecting a CD isn’t just about chasing the highest advertised rate. Several factors determine whether an account aligns with your financial objectives:

• Liquidity Needs: If you might need access to funds, consider no-penalty CDs or shorter terms.
• Minimum Deposits: Some high-yield accounts require $1,000 or more; others accept zero minimums.
• Rate Bumps: A few banks allowed one-time rate increases if market conditions improved during the term.
• Customer Support: Especially important for older savers or those less comfortable with digital banking.
• Reputation & Stability: Stick with well-established banks or those with strong independent ratings.

Real Example: Building a CD Ladder in 2017

Consider Sarah, a 42-year-old teacher saving for her daughter’s college tuition due in six years. In early 2017, she invested $10,000 using a CD ladder strategy across four accounts:

1. $2,500 in a 1-year CD at Ally Bank (1.45% APY)
2. $2,500 in a 2-year CD at Synchrony (1.50% APY)
3. $2,500 in a 3-year CD at Marcus (1.60% APY)
4. $2,500 in a 5-year CD at TIAA (1.75% APY)

Each year, as a CD matured, she reinvested the proceeds into a new 5-year term. This approach gave her annual access to funds while capturing rising rates over time. By 2022, her portfolio had earned nearly 40% more than a standard savings account would have under the same conditions.

Avoid These Common CD Mistakes

Even experienced savers made missteps in 2017. The following checklist helps avoid pitfalls that erode returns or create unnecessary risk.

📋 CD Investment Checklist – Do’s and Don’ts

• ✅ DO compare APYs across multiple institutions monthly
• ✅ DO consider no-penalty CDs if flexibility is needed
• ✅ DO diversify maturities to hedge against rate drops
• ❌ DON’T ignore early withdrawal penalties—they can erase months of interest
• ❌ DON’T assume all “high-yield” claims are equal—verify terms and fine print
• ❌ DON’T overlook taxes—CD interest is taxable income unless held in retirement accounts

Frequently Asked Questions

Are CD accounts safe in 2017?

Yes. All CDs listed here were offered by FDIC-insured banks, meaning principal is protected up to $250,000 per depositor, per institution. As long as you stay within insurance limits, your money is secure regardless of market fluctuations.

Can I lose money in a CD?

Not due to market performance—the interest rate and return are guaranteed. However, withdrawing funds before maturity typically triggers penalties that may exceed accrued interest, resulting in a net loss on earnings. Inflation also subtly reduces purchasing power over time, though this affects all cash holdings.

What happens when a CD matures?

At maturity, you have a grace period (usually 7–10 days) to withdraw funds, roll them into a new CD, or transfer them elsewhere. If no action is taken, many banks automatically renew the CD at the current rate, which may be lower than your original yield.

Maximizing Returns: A Step-by-Step Guide

To get the most from your CD investments in 2017, follow this timeline-based strategy:

1. Step 1: Assess Your Goals – Determine how much you can allocate and when you’ll need the funds.
2. Step 2: Research Current Rates – Use comparison sites like Bankrate or NerdWallet to identify top performers weekly.
3. Step 3: Open Accounts Strategically – Spread deposits across different institutions to maximize FDIC coverage and rate diversity.
4. Step 4: Build a Ladder – Invest in staggered terms so portions mature annually, giving you flexibility and reinvestment options.
5. Step 5: Monitor and Rebalance – Track economic indicators and adjust future purchases based on Federal Reserve trends.

Conclusion: Secure Growth Still Matters

The best CD accounts of 2017 proved that even in modest yield environments, disciplined savers could achieve dependable returns without sacrificing security. Institutions like Ally Bank, Marcus, and Synchrony set the standard for transparency, accessibility, and value—making them enduring choices beyond a single calendar year.

Whether you're preparing for a major expense or simply protecting capital during uncertain markets, CDs remain a vital tool in any balanced financial plan. Take control of your savings today: evaluate your options, lock in favorable rates, and build a foundation of predictable growth.

💬 Have experience with CD accounts from 2017? Share your insights or lessons learned in the comments—your story could help others make smarter decisions.