Fidelity CD rates currently range from about 3.70% to 4.35% APY depending on term and CD type, making the brokerage's certificates of deposit a reasonably competitive place to park cash, though savers should still compare them against bank offers before committing. These figures are accurate as of June 15, 2026.
Key Takeaways
- Fidelity sells brokered CDs, which work like bank CDs but can be traded on a secondary market before maturity.
- New issue CDs require a $1,000 minimum and come in terms from 3 to 60 months, with APYs between 3.90% and 4.35%.
- Fractional CDs lower the entry point to $100 but only come in a 24 month term, paying between 3.70% and 4.05%.
- Selling a CD early costs $1 per certificate and there's no guarantee a buyer will be available at a favorable price.
- Because Fidelity buys CDs from FDIC insured banks, the underlying deposits carry that same protection.
How Fidelity's Two CD Types Compare
Fidelity offers two main flavors of brokered CD, and the differences matter more than they might first appear. New issue CDs are the standard option, sold in $1,000 increments, so a $10,000 deposit means buying ten separate CDs. At any given time, Fidelity typically lists somewhere between 50 and 100 new issue CDs across various banks and terms. Investors can also buy prebuilt CD ladders that stagger maturities across several terms at once.
Fractional CDs exist for people who don't want to commit a full $1,000 to a single certificate. These start at just $100, which makes it easier to build a diversified CD portfolio or to fit a CD purchase into a smaller budget. The tradeoff is flexibility: fractional CDs only come in a 24 month term, while new issue CDs span anywhere from 3 to 60 months.
| Feature | New Issue CDs | Fractional CDs |
|---|---|---|
| APY Range | 3.90% to 4.35% | 3.70% to 4.05% |
| Term Range | 3 to 60 months | 24 months only |
| Minimum Deposit | $1,000 | $100 |
| Trading Fee Upon Sale | $1 per CD | $1 per CD |
Neither type charges a purchase fee, and neither carries an early withdrawal penalty in the traditional sense. Instead of paying a penalty, a CD holder who needs cash before maturity sells the certificate on Fidelity's secondary market for $1 per CD. That distinction is worth sitting with for a moment, because it changes the math on early access compared with a typical bank CD.
What Selling Early Actually Costs You
With a bank CD, breaking the term usually means forfeiting some interest, a penalty that's fixed and predictable. Brokered CDs work differently. Because their prices move with interest rates, a CD bought last year could be worth more or less than its face value today depending on where rates have gone since. Sell during a period of rising rates and the resale price can fall below what was originally paid in, meaning an investor could get back less than the original deposit, aside from the $1 trading fee.
There's also a liquidity wrinkle that doesn't exist with a standard savings product. Selling on the secondary market depends on finding a buyer willing to pay a given price at that moment. If demand for that particular CD is thin, an investor might have to accept a lower price or simply wait longer than expected to unload it. That's a real risk worth weighing against the higher headline rates, particularly for anyone who might need the cash on short notice.
Where Fidelity CDs Fit Against Other Options
Fidelity's rates sit on the higher end of what's available from brokerages and banks alike, but they're not automatically the best deal on the market. Shopping around before locking in a term remains worthwhile, since online banks and credit unions sometimes beat Fidelity's published APYs, especially on shorter terms.
A few alternatives are worth considering alongside brokered CDs:
- High-yield savings accounts: Online savings accounts can sometimes out-earn Fidelity's CD rates while keeping funds fully liquid.
- High-yield checking accounts: Certain checking accounts pay competitive rates too, though usually with balance caps or activity requirements.
- CDs from other institutions: Traditional banks and credit unions offer their own CD lineups worth comparing directly against Fidelity's.
- Money market accounts: These blend some of the liquidity of savings accounts with rates that can rival CDs.
- Treasury securities: Government backed bills, notes, and bonds occasionally pay more than CDs while offering comparable or better liquidity.
Eligibility for Fidelity CDs requires an open brokerage account, since these aren't sold as standalone bank products. Fidelity does offer a cash management account with a competitive APY, debit card access, and check writing, but that's a distinct product from the CDs themselves and doesn't replace typical checking or savings account features found at a bank.
How FDIC Protection Applies to Brokered CDs
Fidelity CDs are FDIC insured because the certificates are issued by banks, not by Fidelity itself. The brokerage simply acts as the middleman, purchasing large denomination CDs and reselling pieces to individual investors. That structure means the FDIC coverage limit of $250,000 applies per issuing bank, per account owner, not just once across the entire brokerage account. Investors who spread purchases across multiple issuing banks can, in effect, extend their total insured coverage well beyond the standard $250,000 cap without needing separate brokerage accounts.
Opening an account to buy these CDs is straightforward. Fidelity requires basic personal details, including a Social Security number and employment information, and funds can be transferred in from another bank or brokerage during setup. From there, choosing between a new issue CD, a fractional CD, or a prebuilt ladder comes down to how much flexibility on minimum deposit and term length an investor needs.
Is a Brokered CD the Right Move Right Now
The appeal of Fidelity's CDs is clear: solid rates, FDIC backing, and the ability to sell before maturity if plans change. But that sale option isn't a free pass. Anyone weighing a brokered CD against a bank CD should think through how likely they are to need the money early, because that's where the two products diverge most. For savers who plan to hold to maturity and want a competitive rate without opening a new bank account, Fidelity's lineup is a reasonable fit. For those who prioritize guaranteed liquidity terms, a closer look at bank CDs, savings accounts, or Treasury securities may still make sense before committing funds.
