Wells Fargo CD Rates: July 2024
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Updated 5:21 a.m. UTC July 1, 2024
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Wells Fargo’s certificates of deposit (CDs) mostly don’t stack up well against the best options available to savers. No CD terms offered online are longer than a year, and most come with below-market rates that can easily be beat. To see rates for longer terms, up to 120 months, you’ll need to visit a branch in person, which is needlessly cumbersome.
However, the San Francisco-based bank does have one particular compelling offer, which can be boosted even higher if you also adopt an eligible checking account.
Annual percentage yields (APYs) and account details are accurate as of June 20, 2024. Rates can vary depending on the area code; for the rates listed below, we used 78620.
Wells Fargo CDs
The interest on Wells Fargo Standard Fixed Rate CDs (and Wells Fargo standard relationship CDs) automatically compounds daily and pays out monthly, unless you choose a different timeline (such as quarterly, semi-annually, annually or at the maturity date).
You also have the choice to have the interest deposited into the CD or transferred to another Wells Fargo account.
| CD TERM | ANNUAL PERCENTAGE YIELD (APY) |
|---|---|
3 months
| 2.50%
|
4 months (special cd)
| 4.75%
|
6 months
| 2.50%
|
7 months (special fixed cd)
| 4.75%
|
11 months (special cd)
| 4.25%
|
1 year
| 1.50% to 2.00%
|
Currently, Wells Fargo’s four- and seven-month CD specials are, by far, the most competitive options, especially if you already bank with Wells Fargo and get to take advantage of the 5.01% APY.
However, you’ll need a $5,000 minimum opening deposit for it, which is double the required minimum amount for its other CDs. Therefore, it’s more useful to established savers, especially those already banking with Wells Fargo.
The standard CDs, i.e. those that pay less yield, require only $2,500, which is certainly more attainable. But you’d be better off researching for a better yield elsewhere.
Fees and penalties on Wells Fargo CDs
You don’t have to worry about any type of account or maintenance fees here. Yet, early withdrawal penalties apply if you cash out your CD principal before its maturity date.
| CD TERM | EARLY WITHDRAWAL PENALTY |
|---|---|
Less than 90 days
| One month interest
|
90 to 365 days
| Three months’ interest
|
Over 12 months to 24 months
| Six months’ interest
|
Over 24 months
| 12 months’ interest
|
How to open a Wells Fargo CD
It’s easy to open a Wells Fargo CD online, especially when you already have an account with the bank.
If you’re becoming a Wells Fargo customer with this CD, you’ll need to set up your account, which should only take a few minutes. You’ll need to provide some personal details including your name, date of birth, address and Social Security number.
Once you have an account, log in and choose which CD term you’d like, then set up how you’ll fund your opening deposit.
You can fund your Wells Fargo CD in a few different ways:
- Transfer funds from another Wells Fargo account.
- Transfer funds from an external account (have your routing number and account number ready).
- Send a check or money order by mail.
As soon as you fund your CD, it’s open and it starts earning interest. You’ll get a notice about one month prior to your CD’s maturity date.
Once it matures, you have a seven-day grace period to decide what to do with the account. Here are your options:
- Switch to a different CD term.
- Deposit additional funds.
- Withdrawal funds while keeping the CD open (as long as the minimum balance requirement is met).
- Close the CD.
Your CD will automatically renew at the most recent rate if you don’t choose one of these options before the seven-day window closes.
How Wells Fargo CDs compare
Depending on the term you choose, Wells Fargo’s online CDs are either on par with or above the national average.
Most Wells Fargo CD rates are well below the top rates on the market. It will do you well to consider what others offer. Such as:
Capital One offers a useful comparison. Unlike Wells Fargo, there are a number of CD term options at Capital One, ranging from six to 60 months. Moreover, Capital One beats out Wells Fargo in nearly every term, with one conspicuous exception.
The 4.75% APY on Well Fargo’s seven-month Special Fixed Rate CD term, not including any boost for also owning an eligible checking account, is higher than both the 6 and 9-month CDs from Capital One. If you do qualify for the bonus, and earn 5.01% APY, you’ll beat all of Capital One’s offerings.
The special offering is special for a reason, it’s not part of Wells Fargo’s normal lineup. Therefore, it’s something you should consider, especially if you’re creating a CD ladder.
Alternatives to Wells Fargo CDs
You can do a lot with your money, so consider some other possibilities before you commit.
Competitors’ CDs
Wells Fargo’s seven-month special fixed rate CD has a high APY considering the short amount of time your money needs to stay in the account. A similar option would be CIT Bank’s six-month CD but it comes with a lower 3.00% APY. However, the minimum deposit is just $1,000 compared to Wells Fargo’s $5,000 minimum.
You can also find much higher yields for CDs maturing within a year to 18 months, especially if you want to deposit less than Wells Fargo’s $2,500 minimum for regular CDs. Forbright, for instance, offers a nine-month CD with 5.30% APY and just a $1,000 opening deposit.
High-yield accounts
Rather than lock away your cash for months or even years, consider a high-yield savings account, which can provide competitive yields while allowing you to make deposits and withdrawals without penalty.
Money market accounts (MMAs) can offer similarly high rates with more flexibility. They offer features similar to a checking account, including the ability to write checks and use a debit card.
Debt reduction
Using extra cash to pay down your debt may not be as alluring as the idea of investing it, but it could have just as big of a payoff. Look up how much you’re paying in interest on your debt. By paying it off, you may keep more money in your pocket than you would earn in yields.
Frequently asked questions (FAQs)
Wells Fargo offers two types of savings accounts. The first is a lower-tier option called the Wells Fargo Way2Save® Savings. The APY is just 0.01% but it only takes $25 to open the account. There’s a $5 monthly fee (which can be waived with a $300 minimum daily balance, one automatic transfer each fee period of $25 or more from a linked Wells Fargo checking account, one automatic transfer each business day within the fee period of $1 or more from a linked Wells Fargo checking account, one or more Save As You Go® transfers from a linked Wells Fargo checking account or if the primary account owner is 24 years old or under) monthly service fee unless you meet one of five conditions (like maintaining a minimum daily balance).
The other option is the Wells Fargo Platinum Savings. There’s a $12 which can be waived with a $3,500 minimum daily balance each fee period. APYs vary depending on your account balance.
For online CDs, the longest term is 12 months. For terms up to 120 months, visit your local Wells Fargo branch.
Yes, Wells Fargo CDs are insured by the Federal Deposit Insurance Corporation (FDIC). Your deposits are covered up to $250,000 per insured bank, per account ownership category (such as individual, joint and business).
Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.
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