Citizens Bank CD Rates — Updated 2025 Guide to APYs & Promotions

Citizens Bank CD rates offer a mix of competitive promotional products and standard certificates of deposit designed for savers seeking FDIC-insured, fixed-rate returns on their cash reserves. As of November 2025, Citizens Bank’s most attractive offering is a promotional 6-month CD earning 4.25% APY — though it requires a substantial $25,000 minimum deposit in “new money” (funds transferred from outside Citizens Bank). Understanding the difference between Citizens Bank (headquartered in Providence, Rhode Island, with branches across the Northeast and Midwest) and First Citizens Bank (a separate institution based in North Carolina) is critical, as these are completely different banks with distinct rate structures, account terms, and geographic footprints. This guide explains everything you need to know about Citizens Bank CD rates in 2025, including current APYs across all term lengths, promotional offers, early withdrawal penalties, how they compare to top online banks, and whether these certificates are worth your deposit.

What You’ll Discover: This comprehensive analysis covers Citizens Bank CD rates from every angle — current standard and promotional APYs for terms ranging from 3 months to 5 years, minimum deposit requirements ($1,000 for standard CDs, $25,000 for promotional CDs), FDIC insurance protection details, early withdrawal penalty calculations that could cost you 90-180 days of interest plus a $50 fee, how Citizens Access (the online division) offers better rates than in-branch accounts, the critical distinction between Citizens Bank and First Citizens Bank CD rates, detailed comparisons with top online banks like Ally and Marcus, step-by-step instructions for opening CDs, expert strategies like CD laddering to maximize returns, and frequently asked questions with snippet-optimized answers. Whether you’re a Citizens Bank customer considering a CD, comparing regional bank rates to online alternatives, or trying to determine which Citizens Bank offers the best rates for your situation, this guide provides authoritative information for making smart CD investment decisions.

What Are Citizens Bank CDs? (Overview & How They Work)

Citizens Bank certificates of deposit (CDs) are time deposits that lock your money at a fixed interest rate for a specified term, ranging from 3 months to 5 years.

Basic CD Structure

What a CD Is:
A certificate of deposit is a savings account where you agree to leave money untouched for a set period (the “term”) in exchange for guaranteed interest earnings higher than standard savings accounts.

How They Work:

  1. You deposit a minimum amount ($1,000-$25,000 depending on CD type)
  2. Select a term length (3 months to 5 years)
  3. Citizens Bank guarantees a fixed APY for the entire term
  4. Interest compounds daily and typically pays monthly
  5. At maturity, you can withdraw funds or roll into a new CD

FDIC Insurance Protection

All Citizens Bank CDs are FDIC-insured up to $250,000 per depositor, per account ownership category. This means:

  • Your principal deposit is federally protected
  • Earned interest is also insured
  • Zero risk of losing your money due to bank failure
  • Same protection as checking/savings accounts

Citizens Bank CD Options

Citizens Bank offers three primary CD categories:

1. Standard CDs

  • Terms: 3 months, 6 months, 1 year, 2 years, 30 months, 3 years, 4 years, 5 years
  • APY: 0.03% for most terms (very low)
  • Minimum: $1,000
  • Available: In-branch and online (citizens bank locations)

2. Promotional CDs

  • Terms: Currently 6 months (4.25% APY) and 10 months (3.50% APY)
  • APY: Significantly higher than standard
  • Minimum: $25,000 in “new money” (funds from outside Citizens Bank)
  • Available: Select geographic locations only

3. Citizens Access Online CDs

  • Terms: 8 months, 1 year, 2 years, 3 years, 4 years, 5 years
  • APY: 3.65% (8-month) to 2.75% (5-year) as of July 2025
  • Minimum: $5,000
  • Available: Nationwide through online-only division

How Interest Compounds

Citizens Bank CDs compound interest daily based on your balance and pay interest monthly:

  • Daily compounding means interest earns interest every single day
  • Monthly payment deposits interest into your CD (where it continues compounding)
  • At maturity, you receive principal + all accumulated interest

Example:
$10,000 in 1-year CD at 3.60% APY with daily compounding = $10,360 after one year (earning $360 in interest)

Fixed vs. Promotional Rates

Fixed Rates (Standard CDs): Guaranteed for the entire term; rate never changes

Promotional Rates: Higher APYs offered for limited time; once you lock in, your rate is fixed for the full term, but the promotional offer may not be available to future applicants

Citizens Bank CD Rates — Latest APYs for 2025

Citizens Bank offers multiple CD products with varying rates depending on whether you open in-branch standard CDs, promotional CDs, or online Citizens Access CDs.

Citizens Bank Standard CD Rates (In-Branch)

TermAPYMinimum Deposit
3 months0.03%$1,000
6 months0.03%$1,000
1 year0.03%$1,000
2 years0.03%$1,000
30 months0.03%$1,000
3 years0.03%$1,000
4 years0.03%$1,000
5 years0.03%$1,000

Standard rates are extremely low (0.03% APY) across all terms as of November 2025

Citizens Bank Promotional CD Rates

TermAPYMinimum DepositRequirements
6 months4.25%$25,000New money only; select locations
10 months3.50%$25,000New money only; select locations

“New money” means funds transferred from outside Citizens Bank. Rates vary by ZIP code

Citizens Access Online CD Rates

TermAPYMinimum Deposit
8 months3.65%$5,000
1 year3.60%$5,000
2 years3.50%$5,000
3 years3.25%$5,000
4 years2.75%$5,000
5 years2.75%$5,000

Citizens Access is the online-only division; rates as of July 2025

Business CD Rates

Citizens Bank also offers Business CDs:

FeatureDetails
Minimum Deposit$1,000
Terms AvailableShorter terms than personal CDs
APYCompetitive rates for business accounts

IRA CD Rates

For retirement savings, Citizens offers IRA CDs:

FeatureDetails
Minimum Deposit$250
Tax AdvantagesTraditional or Roth IRA tax treatment
TermsSame as standard personal CDs

Important Rate Notes

📍 Geographic Restrictions: Promotional CD rates are only available in select states where Citizens Bank has physical branches (CT, DC, DE, FL, MD, MA, MI, NH, NJ, NY, OH, PA, RI, VT, VA).

📍 Rate Verification: Always enter your ZIP code on Citizens Bank’s website to confirm which rates apply to your location.

📍 Citizens Access Availability: The online division (Citizens Access) is available nationwide, offering better rates than in-branch standard CDs.

Citizens Bank Promotional CD Rates (Special Offers)

Promotional CDs represent Citizens Bank’s most competitive offerings, but they come with strict requirements.

What Counts as a Promotional CD?

Promotional CDs are limited-time, higher-rate certificates offered to attract new deposits:

  • Significantly higher APYs than standard CDs (4.25% vs. 0.03%)
  • Available for limited terms (currently 6-month and 10-month only)
  • Require “new money” deposits
  • Geographic restrictions apply
  • May require relationship banking (having checking account)

Current Promotional Offers (November 2025)

6-Month Promotional CD:

  • APY: 4.25%
  • Minimum: $25,000
  • Requirement: New money from outside Citizens Bank
  • Availability: Select locations only

10-Month Promotional CD:

  • APY: 3.50%
  • Minimum: $25,000
  • Requirement: New money from outside Citizens Bank
  • Availability: Select locations only

“New Money” Requirement Explained

To qualify for promotional rates, you must deposit funds that are not currently held by Citizens Bank:

✅ Qualifies as new money:

  • Transfer from another bank
  • Transfer from brokerage account
  • Cash deposits from outside sources
  • Checks from non-Citizens accounts

❌ Does NOT qualify:

  • Transfer from your Citizens checking account
  • Transfer from your Citizens savings account
  • Rollover from maturing Citizens CD
  • Internal transfers within Citizens Bank

Relationship Banking Bonuses

Some promotional CD rates improve if you maintain other Citizens Bank accounts:

  • Higher APY for checking account holders
  • Bonus rates for private banking clients
  • Combined balance tiers across all accounts

How to Find Current Promotions

Citizens Bank promotional offers change frequently:

  1. Visit citizensbank.com and enter your ZIP code
  2. Navigate to “Savings & CDs” section
  3. Look for “Promotional CD” or “Special Offer” labels
  4. Call your local branch to confirm current promotions
  5. Check Citizens Bank’s promotions page for bundled offers

Promotional CD Pros and Cons

Pros:

  • Significantly higher rates than standard CDs
  • FDIC-insured safety
  • Fixed rate for entire term
  • Competitive with online banks

Cons:

  • High $25,000 minimum deposit
  • “New money” requirement excludes existing customers
  • Limited term options
  • Geographic restrictions
  • May expire without warning

First Citizens Bank CD Rates (Not the Same Bank)

Critical Clarification: Citizens Bank ≠ First Citizens Bank

These are two completely separate financial institutions with different ownership, locations, and rate structures.

Citizens Bank

  • Headquarters: Providence, Rhode Island
  • Parent Company: Citizens Financial Group
  • Branch States: Northeast and Midwest (CT, MA, NY, PA, OH, MI, etc.)
  • Founded: 1828
  • Assets: $220+ billion

First Citizens Bank

  • Headquarters: Raleigh, North Carolina
  • Parent Company: First Citizens BancShares
  • Branch States: Primarily Southeast (NC, SC, VA, GA, FL, etc.) plus nationwide presence
  • Founded: 1898
  • Assets: $200+ billion

First Citizens Bank CD Rates (November 2025)

TermBalance TierAPY
6 months$1,000-$4,9993.73%
$5,000-$24,9993.84%
$25,000-$49,9993.94%
$50,000+4.04%
12 months$1,000-$4,9993.49%
$5,000-$24,9993.60%
$25,000-$49,9993.70%
$50,000+3.80%
18 months$1,000-$4,9993.29%
$5,000-$24,9993.39%
$25,000-$49,9993.49%
$50,000+3.60%
24 months$1,000-$4,9992.98%
$5,000-$24,9993.09%
$25,000-$49,9993.19%
$50,000+3.29%
36 months$1,000-$4,9992.88%
$5,000-$24,9992.98%
$25,000-$49,9993.09%
$50,000+3.19%
60 months$1,000-$4,9993.14%
$5,000-$24,9993.24%
$25,000-$49,9993.34%
$50,000+3.44%

First Citizens Bank rates as of November 2025

Key Differences: Citizens Bank vs. First Citizens Bank

AspectCitizens BankFirst Citizens Bank
Geographic FocusNortheast/MidwestSoutheast/Nationwide
Best Promotional Rate4.25% (6-month, $25k min)4.04% (6-month, $50k+ tier)
Minimum Deposit$1,000 standard, $25k promo$1,000 all terms
Tiered RatesNo (flat rate per term)Yes (higher balances = higher APY)
Online DivisionCitizens Access (3.65% 8-month)No separate online brand
Standard CD APYs0.03% (very low)3.29%-4.04% (competitive)

Which Bank Offers Better CD Rates?

For small deposits ($1,000-$5,000):
First Citizens Bank offers significantly better rates (3.49%-3.73% depending on term) compared to Citizens Bank standard CDs (0.03%)

For large deposits ($25,000+):
Citizens Bank’s 6-month promotional CD (4.25% APY) beats First Citizens’ top tier (4.04%), but only if you qualify for the promotional offer

For online-only convenience:
Citizens Access (Citizens Bank’s online division) offers 3.65% on 8-month CDs, competitive with First Citizens’ rates

CD Rates — Citizens Bank vs Online Banks

Comparing Citizens Bank to top online banks reveals significant rate differences.

Citizens Bank vs. Top Online Banks (November 2025)

BankBest RateTermMinimum Deposit
Citizens Bank (Promo)4.25% APY6 months$25,000
Citizens Access3.65% APY8 months$5,000
Citizens Bank (Standard)0.03% APYAll terms$1,000
Bread Savings4.20% APYVaries$1,500
M.Y. Safra Bank4.15% APYVariesVaries
Ally Bank4.00% APY12 months$0
Marcus by Goldman Sachs4.10% APY12 months$500
Discover Bank4.00% APY12 months$2,500
Synchrony Bank4.00% APY12 months$0
Capital One4.00% APY12 months$0

Rates as of November 2025

Detailed Comparison: 1-Year CDs

FeatureCitizens Bank StandardCitizens AccessAlly BankMarcus
APY0.03%3.60%4.00%4.10%
Minimum$1,000$5,000$0$500
Branch AccessYes (select states)No (online only)NoNo
Early Withdrawal Penalty$50 + 180 days interest180 days interest60 days interest90-270 days interest
FDIC InsuredYesYesYesYes

When Citizens Bank Beats Online Banks

Citizens Bank promotional CDs can compete with online banks when:

✅ You have $25,000+ to deposit
✅ You qualify for promotional rates
✅ You live in a state where promotions are available
✅ You value in-person branch access
✅ You want relationship banking benefits

When Online Banks Beat Citizens Bank

Online banks typically offer better value when:

✅ You have smaller deposits ($500-$10,000)
✅ You don’t qualify for Citizens promotional rates
✅ You prefer digital-only banking
✅ You want the absolute highest APY regardless of bank name
✅ You value $0 minimum deposits and lower penalties

The Citizens Access Advantage

Citizens Access (the online division) bridges the gap:

  • Offers competitive online bank rates (3.65% on 8-month)
  • Backed by Citizens Bank’s stability
  • $5,000 minimum (higher than pure online banks but lower than promo CDs)
  • Nationwide availability
  • Same FDIC insurance

How to Open a CD at Citizens Bank

Opening a Citizens Bank CD is straightforward whether you choose in-branch or online options.

Step 1: Choose Your CD Term

Decide how long you can commit funds:

  • Short-term (3-12 months): Best for near-term goals or if you expect rates to rise
  • Medium-term (1-3 years): Balance between rate and flexibility
  • Long-term (4-5 years): Highest rates historically, but currently inverted yield curve makes shorter terms more attractive

Step 2: Check Rates by Location

Citizens Bank rates vary by ZIP code:

  1. Visit citizensbank.com
  2. Click “Savings & CDs”
  3. Enter your ZIP code
  4. View available rates for your area
  5. Confirm promotional vs. standard offerings

Step 3: Prepare Required Documents

Gather necessary information:

  • Valid government-issued photo ID (driver’s license, passport, state ID)
  • Social Security number or Tax ID
  • Proof of address (utility bill, bank statement, lease)
  • Funding source (checking account info, check, wire transfer details)
  • Employment information (may be required for large deposits)

Step 4: Open Online or In-Branch

Option A: Online Application (Citizens Access)

  1. Go to secure.citizensaccess.com
  2. Click “Open an Account”
  3. Select CD term
  4. Complete application form (10-15 minutes)
  5. Link external bank account for funding
  6. Submit application
  7. Transfer funds electronically
  8. Receive confirmation within 1-2 business days

Option B: In-Branch Application

  1. Find nearest Citizens Bank branch using branch locator
  2. Call to confirm CD rates and promotional availability
  3. Visit branch with required documents
  4. Meet with banker to discuss options
  5. Complete application
  6. Fund CD with cash, check, or transfer
  7. Receive CD certificate and confirmation

Step 5: Decide on Interest Payment Options

Choose how you want to receive interest earnings:

  • Compound within CD: Interest stays in CD and continues earning (maximizes returns)
  • Monthly transfer: Interest transfers to checking/savings monthly (creates income stream)
  • Lump sum at maturity: Receive all interest when CD matures

Most savers choose to keep interest in the CD for maximum compounding.

Step 6: Set Auto-Renewal Preference

Citizens Bank CDs automatically renew at maturity unless you specify otherwise:

  • Auto-renewal: CD rolls into new CD with same term at current rates
  • Grace period: 10 calendar days after maturity to make changes
  • Withdrawal: Request full withdrawal during grace period to avoid renewal

Setting preferences:

  • Opt out of auto-renewal during initial application
  • Change settings by calling customer service before maturity
  • Set calendar reminder for maturity date minus 15 days

Funding Your CD

Minimum deposits:

  • Standard CDs: $1,000
  • Promotional CDs: $25,000
  • Citizens Access CDs: $5,000
  • Business CDs: $1,000
  • IRA CDs: $250

Funding methods:

  • Electronic transfer from external bank
  • Internal transfer from Citizens checking/savings (doesn’t qualify for promotional rates)
  • Wire transfer
  • Check deposit
  • Cash (in-branch only)

Early Withdrawal Penalties (Explained)

Understanding Citizens Bank’s early withdrawal penalties helps you avoid costly mistakes.

Penalty Structure

Citizens Bank charges $50 flat fee PLUS interest forfeiture if you withdraw before maturity:

For CDs with terms less than 1 year:

  • Penalty: $50 + 90 days of interest on the amount withdrawn
    OR
    Half the remaining interest to be earned (whichever is greater)

For CDs with terms of 1 year or longer:

  • Penalty: $50 + 180 days of interest on the amount withdrawn
    OR
    Half the remaining interest to be earned (whichever is greater)

Early Withdrawal Penalty Examples

Example 1: 6-Month CD, Early Withdrawal After 3 Months

  • Initial deposit: $10,000
  • APY: 4.25%
  • Term: 6 months
  • Withdrawal timing: After 3 months
  • Interest earned so far: $106 (3 months at 4.25%)
  • Penalty calculation:
    • Option A: $50 + 90 days interest = $50 + $106 = $156
    • Option B: Half remaining interest (3 months left) = $106
    • Actual penalty: $156 (whichever is greater)
  • Net result: You lose all earned interest plus pay $50 fee
  • Amount received: $9,950 (less than your deposit)

Example 2: 1-Year CD, Early Withdrawal After 6 Months

  • Initial deposit: $25,000
  • APY: 3.60%
  • Term: 12 months
  • Withdrawal timing: After 6 months
  • Interest earned so far: $450 (6 months at 3.60%)
  • Penalty calculation:
    • Option A: $50 + 180 days interest = $50 + $450 = $500
    • Option B: Half remaining interest (6 months left) = $450
    • Actual penalty: $500 (whichever is greater)
  • Net result: You lose all earned interest plus $50 from principal
  • Amount received: $24,950 (less than your deposit)

Example 3: 5-Year CD, Early Withdrawal After 4 Years

  • Initial deposit: $10,000
  • APY: 2.75%
  • Term: 5 years
  • Withdrawal timing: After 4 years
  • Interest earned so far: $1,151 (4 years at 2.75%)
  • Penalty calculation:
    • Option A: $50 + 180 days interest = $50 + $137 = $187
    • Option B: Half remaining interest (1 year left) = $137
    • Actual penalty: $187
  • Net result: You keep most interest but lose 180 days worth plus $50
  • Amount received: $11,014 ($10,000 principal + $1,151 earned – $187 penalty)

When Penalties Eat Into Principal

You can lose part of your original deposit if:

  • You withdraw very early (before earning enough interest to cover penalty)
  • Your CD has low APY and high penalty
  • The CD hasn’t accumulated 180 days of interest yet (for 1+ year terms)

How to Avoid Early Withdrawal Penalties

✅ CD Ladder Strategy: Spread deposits across multiple terms so some mature regularly
✅ Emergency Fund First: Build 3-6 months emergency savings before tying up money in CDs
✅ Choose Shorter Terms: If uncertain about commitment, select 6-12 month terms
✅ Calendar Reminders: Set alerts 30 days before maturity to plan next steps
✅ Grace Period Planning: Use the 10-day grace period after maturity to withdraw penalty-free

Pros and Cons of Citizens Bank CDs

Pros: Why Choose Citizens Bank CDs

✅ Trusted Regional Bank with 197-Year History

Citizens Bank has operated since 1828, providing stability and trust that newer online banks may lack.

✅ FDIC Insurance Up to $250,000

All deposits are federally protected, guaranteeing principal and interest safety.

✅ Competitive Promotional Rates (4.25% APY)

The 6-month promotional CD matches or beats many online banks when you qualify.

✅ Physical Branch Access

Unlike online-only banks, Citizens offers in-person service in 11 states for customers who value face-to-face banking.

✅ Citizens Access Online Option

The online division provides competitive rates (3.65%) without geographic restrictions.

✅ Relationship Banking Benefits

Bundling CDs with checking accounts may unlock higher rates or promotional bonuses.

✅ Multiple CD Types

Standard, promotional, business, and IRA CDs accommodate different savings goals.

Cons: Citizens Bank CD Limitations

❌ Standard CD Rates Extremely Low (0.03% APY)

If you don’t qualify for promotional rates, standard CDs earn essentially nothing.

❌ High Minimum Deposits for Best Rates

The competitive 4.25% rate requires $25,000 — out of reach for many savers.

❌ “New Money” Requirement Excludes Existing Customers

Promotional rates only apply to deposits from outside Citizens Bank.

❌ Geographic Restrictions on Promotions

Not all states qualify for promotional CD offers.

❌ Steep Early Withdrawal Penalties

$50 fee plus 90-180 days interest forfeiture can erase all earnings or eat into principal.

❌ Online Banks Often Offer Better Rates

Ally, Marcus, and Discover frequently beat Citizens Bank rates with lower minimums.

❌ Limited Term Options for Promotional CDs

Only 6-month and 10-month promotional terms currently available.

❌ Auto-Renewal Can Lock You Into Lower Rates

If you miss the 10-day grace period, your CD renews automatically at current rates (which may be lower).

Who Should Choose Citizens Bank CDs?

Citizens Bank CDs work best for specific saver profiles.

Ideal Candidates for Citizens Bank CDs

1. Existing Citizens Bank Customers

If you already bank with Citizens:

  • Convenient to manage all accounts in one place
  • May qualify for relationship bonuses
  • Familiar with online banking platform
  • Easy transfers between accounts

2. Large Deposit Holders ($25,000+)

The promotional 4.25% rate is competitive for:

  • Retirement distributions needing safe parking
  • Sale proceeds from property or investments
  • Inheritance or windfall funds
  • Business reserve funds

3. Regional Customers Valuing Branch Access

For savers in CT, DC, DE, FL, MD, MA, MI, NH, NJ, NY, OH, PA, RI, VT, or VA who want:

  • In-person customer service
  • Face-to-face financial advice
  • Physical branch security
  • Local banking relationships

4. Conservative Investors Avoiding Market Risk

CDs suit those who:

  • Want guaranteed returns with zero volatility
  • Are risk-averse and prioritize principal safety
  • Are nearing retirement and can’t afford market losses
  • Need predictable income streams

5. CD Ladder Strategists

Citizens Bank CDs work well for laddering when:

  • You have multiple maturity dates across various terms
  • You use Citizens Access online CDs for competitive rates
  • You’re building systematic savings discipline

Who Should Look Elsewhere

❌ Small savers with under $10,000: Online banks offer better rates with $0-$500 minimums

❌ Those seeking maximum APY: Online banks consistently beat Citizens standard rates

❌ Savers outside branch states: Without access to promotional offers, Citizens Access is your only option

❌ Those needing liquidity: CDs lock money for the term; emergency funds belong in high-yield savings

❌ Customers wanting flexibility: Bump-up CDs or no-penalty CDs (offered elsewhere) provide more flexibility

FAQs — Citizens Bank CD Rates

What are the current CD rates at Citizens Bank?

As of November 2025, Citizens Bank CD rates range from 0.03% APY for standard CDs ($1,000 minimum) to 4.25% APY for the promotional 6-month CD ($25,000 minimum in new money). Citizens Access, the online division, offers 3.65% APY on 8-month CDs with a $5,000 minimum. Standard CD rates (0.03%) apply to terms from 3 months to 5 years when opened in-branch without qualifying for promotional offers.

What are the current CD rates at First Citizens Bank?

First Citizens Bank (a separate institution from Citizens Bank) offers tiered CD rates as of November 2025: 6-month CDs range from 3.73% to 4.04% APY depending on balance ($1,000 minimum), 12-month CDs range from 3.49% to 3.80% APY, and 60-month CDs range from 3.14% to 3.44% APY. Higher deposit amounts earn higher APYs within each term.

What is the current CD rate at First Citizens Bank?

First Citizens Bank’s highest current CD rate is 4.04% APY for a 6-month CD with a balance of $50,000 or more. For balances of $1,000-$4,999, the 6-month CD earns 3.73% APY. First Citizens Bank uses tiered pricing where larger deposits earn higher rates within the same term.

What are CD rates at Citizens Bank?

Citizens Bank offers three rate tiers: (1) Standard CDs earn 0.03% APY across all terms ($1,000 minimum), (2) Promotional CDs earn 4.25% APY for 6 months or 3.50% APY for 10 months ($25,000 minimum in new money, select locations only), and (3) Citizens Access online CDs earn 3.65% APY for 8 months to 2.75% APY for 5 years ($5,000 minimum).

What are Citizens Bank CD rates?

Citizens Bank CD rates vary significantly by product type. The most competitive rate is 4.25% APY on a 6-month promotional CD requiring $25,000 in new funds. Standard in-branch CDs earn only 0.03% APY regardless of term. The online division (Citizens Access) offers competitive rates ranging from 3.65% APY (8-month) to 2.75% APY (5-year) with a $5,000 minimum deposit.

Does Citizens Bank offer promotional CD rates?

Yes, Citizens Bank offers promotional CD rates significantly higher than standard rates. Current promotions include a 6-month CD at 4.25% APY and a 10-month CD at 3.50% APY, both requiring $25,000 in “new money” (funds from outside Citizens Bank). Promotional CDs are available only in select geographic locations and may require entering your ZIP code to verify eligibility.

Are Citizens Bank CDs FDIC-insured?

Yes, all Citizens Bank CDs are FDIC-insured up to $250,000 per depositor, per account ownership category. This federal insurance protects both your principal deposit and earned interest in the event of bank failure. Citizens Bank is a member of the FDIC with continuous insurance since its founding.

What are Citizens Bank early withdrawal penalties?

Citizens Bank charges a $50 flat fee plus interest forfeiture for early CD withdrawals. For CDs under 1 year, the penalty is $50 + 90 days of interest OR half the remaining interest (whichever is greater). For CDs of 1 year or longer, the penalty is $50 + 180 days of interest OR half the remaining interest (whichever is greater). In some cases, penalties can exceed earned interest and reduce your principal.

Expert Tips to Maximize CD Earnings at Citizens Bank

Strategic CD management significantly increases your returns over time.

CD Laddering Strategy

Create a CD ladder by spreading deposits across multiple maturity dates:

How It Works:

  1. Divide your total savings into equal parts (example: $20,000 into four $5,000 portions)
  2. Open CDs with staggered maturity dates (6 months, 12 months, 18 months, 24 months)
  3. As each CD matures, reinvest in the longest term (24 months)
  4. After 24 months, you have a CD maturing every 6 months while all earn 24-month rates

Benefits:

  • Regular access to funds without penalties
  • Average return higher than all short-term CDs
  • Flexibility to adjust strategy as rates change
  • Reduces reinvestment risk

Rate Shopping Across Citizens Products

Compare all Citizens Bank CD options before committing:

ProductBest ForRateMinimum
Standard CDBranch customers, small deposits0.03%$1,000
Promotional CDLarge deposits, new money4.25%$25,000
Citizens AccessOnline banking, competitive rates3.65%$5,000

Strategy: If you have $25,000+ in new money and live in qualifying state, choose promotional CD. Otherwise, choose Citizens Access online CDs for better rates.

Promotional Rate Timing

Watch for promotional CD offers during specific times:

  • Quarter-end: Banks often boost rates to meet deposit goals (March 31, June 30, September 30, December 31)
  • New Year: January promotions common
  • Rate environment changes: When Fed cuts rates, banks may offer short-term high rates before lowering

Set alerts: Subscribe to Citizens Bank promotional emails or check website monthly for new offers.

Large-Deposit Negotiation

For deposits over $100,000, consider negotiating:

  1. Call Citizens Private Client Banking: (888) 333-9626
  2. Mention you’re comparing rates with other banks
  3. Ask if relationship discounts or custom CD rates available
  4. Request waived fees or enhanced rates for combined balances

Private banking clients sometimes receive rates not publicly advertised.

Auto-Renewal Strategy

Use auto-renewal strategically rather than letting it happen by default:

Smart Auto-Renewal:

  • Set calendar reminder 30 days before maturity
  • Review current rates 15 days before maturity
  • If current rates are higher, let auto-renewal happen
  • If rates dropped, withdraw during 10-day grace period and seek better options

Grace Period Management:

  • Citizens Bank provides 10 calendar days after maturity
  • Make changes without penalty during this window
  • Withdraw, transfer, or adjust term/amount

Combining Citizens Access and Branch CDs

Maximize returns by using both divisions:

  • Citizens Access: Open competitive-rate online CDs for most savings
  • Branch Promotional CDs: Watch for limited-time high-rate offers
  • Standard CDs: Avoid due to extremely low rates (0.03%)

IRA CD Tax Strategy

Maximize tax-advantaged retirement savings:

  • Open IRA CDs ($250 minimum) for retirement funds
  • Traditional IRA: Deduct contributions, pay tax on withdrawals
  • Roth IRA: No deduction, but tax-free withdrawals
  • CDs within IRAs provide guaranteed growth without market risk
  • Combine with other retirement accounts for diversification

Conclusion — Are Citizens Bank CD Rates Worth It in 2025?

Citizens Bank CD rates present a mixed value proposition in November 2025, offering genuinely competitive promotional products (4.25% APY on 6-month CDs) that can match or beat online banks, while simultaneously maintaining standard CD rates (0.03% APY) so low they’re effectively worthless. The key to maximizing value with Citizens Bank CDs is qualification for promotional offers or using the Citizens Access online division, which consistently delivers rates (3.65% on 8-month CDs) that compete reasonably with pure online banks despite requiring higher minimum deposits.

Citizens Bank CDs make sense when:

  • You have $25,000+ in new money and qualify for 4.25% promotional rates
  • You value relationship banking and already maintain Citizens accounts
  • You prefer regional bank stability with physical branch access
  • You’re comfortable with $5,000 minimums for Citizens Access online CDs

Look elsewhere when:

  • You have smaller deposits ($500-$10,000) better served by online banks with $0 minimums
  • You want maximum flexibility with bump-up or no-penalty CD options
  • You prioritize absolute highest APY regardless of bank brand
  • You live outside Citizens Bank’s branch network and don’t qualify for promotions

The bottom line: Citizens Bank CDs can absolutely be worth it — but only if you qualify for promotional rates, use the Citizens Access online division, or deeply value the combination of competitive rates with regional bank convenience. For most savers, comparing Citizens Bank promotional CDs against top online banks before committing ensures you’re getting the best possible return for your deposit size and time horizon.

Ready to Open a CD?

Compare Citizens Bank CD rates with leading online banks before locking in your deposit. Visit citizensbank.com to check current promotional offers in your ZIP code, or explore Citizens Access for competitive online CD rates available nationwide.

Before tying up funds in CDs, ensure you’ve built an adequate emergency fund in a liquid high-yield savings account. Use our free Emergency Fund Calculator to determine your ideal emergency savings target (typically 3-6 months of expenses) before committing money to less-accessible CD products.

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