Current certificate of deposit rates and terms at Discover Bank, the nation’s 31st largest bank, are among the best performing rates across a multitude of terms. The Discover CD rates being offered by Discover Bank at the end of June exceed the national average by a considerable margin. These CD rates may not necessarily be the absolute highest rate per term but are consistently among the highest CD rates in the nation.

Discover Bank offers their CDs and other bank products including money market accounts, savings account and IRA CDs by phone and online. The Discover CDs can be obtained with terms from 3 months to 10 years. There is a $2,500.00 minimum balance needed to open a Discover Bank CD.

Discover CDs earn interest that is compounded daily and credited to the account holder monthly.
CD account holders have the option of allowing the interest earned to remain in the certificate account and take advantage of compounding, have the interest transferred to another Discover Bank account or to another bank account, or have the interest paid via bank check for a small fee.

Discover CD rates as of June 30, 2011 include the following terms and APY’s:

Discover 3 month CD rate 0.50%
6 month CD rate is 0.90%
9 month CD interest rate 1.00%
12 month CD rate 1.20%
18 month CD rate is1.30%
24 month CD interest rate 1.40%
30 month CD rate 1.50%
3 year CD rate is 1.75%
4 year CD rate 2.00%
5 year CD rate 2.35%
7 year CD rate is 2.60%
10 year CD interest rate 3.00%

A penalty may be charged for early CD withdrawal. The early withdrawal penalty schedule for the Discover CDs is as follows: for CD terms of less than one year there is a penalty of 3 months simple interest on the amount withdrawn, for bank CD terms of one year to 5 years the penalty is 6 months simple interest on the amount withdrawn and for CD terms longer than 5 years the early withdrawal penalty is 9 months simple interest on the amount withdrawn.

CD rates listed are current as of the close of June 2011 but are subject to change daily without notice.

Discover Bank is a subsidiary of Discover Financial Services. Discover Financial Services is one of the largest credit card issuers in the United States as the issuer of the Discover card and also offers personal and student loans, online savings products, certificates of deposit and money market accounts.

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