Marcus by Goldman Sachs’ certificates of deposit offer some of the highest rates available right now. And if it raises rates within the first 10 days of opening your account, Marcus will increase your annual percentage yield. This is a rare perk among CDs.
But there are a few drawbacks. There’s a minimum $500 deposit, and you’ll need to be comfortable managing your account entirely online -- Marcus doesn’t have physical branches. And since Marcus doesn’t offer a checking account or cash deposits, it’s not a good option for anyone looking to keep all of their money in one place.
Marcus CDs: At a glance
| CD type | Minimum deposit | Term | Early withdrawal penalty |
| High-yield | $500 | 6-month to 6-year | 90 to 270 days’ interest, depending on the term (longer terms have higher withdrawal penalties) |
| No-penalty | $500 | 7- to 13-month | None |
| Rate-bump | $500 | 20-month | 180 days’ interest |
Currently, Marcus’ 12-month CD offers the bank’s highest rate: 5.50% annual percentage yield, or APY. This bank also offers a unique six-year CD term, but its 4.00% APY isn’t particularly impressive when high-yield savings accounts, Treasury bills and money market accounts offer higher rates without sacrificing liquidity over a longer time.
Marcus’ seven- and 11-month no-penalty CDs -- a type of CD that lets you withdraw your money before the term ends, fee-free -- have low rates. But its 13-month no-penalty option yields a solid 4.60% APY.
Lastly, its rate-bump CD -- which lets you raise your rate once over the CD’s lifetime -- earns a respectable 4.50% for a 20-month term.
We like that all Marcus CD interest compounds daily, which helps your savings grow a bit faster than CDs that compound monthly or quarterly.
Marcus by Goldman Sachs is a member of the Federal Deposit Insurance Corporation, which means funds deposited in its CD accounts are insured up to the maximum allowed by law. This equates to $250,000 for all your individually owned accounts combined and $250,000 per owner for jointly owned accounts.
Marcus high-yield CDs
| Term | APY |
| 6-month | 5.25% |
| 9-month | 5.30% |
| 12-month | 5.50% |
| 18-month | 5.25% |
| 2-year | 4.85% |
| 3-year | 4.40% |
| 4-year | 4.20% |
| 5-year | 4.10% |
| 6-year | 4.00% |
Marcus no-penalty CDs
| Term | APY | Minimum deposit |
| 7-month | 0.45% | $500 |
| 11-month | 0.35% | $500 |
| 13-month | 4.60% | $500 |
Marcus rate-bump CD
| Term | APY |
| 20-month | 4.50% |
How much can you earn with a Marcus high-yield CD?
Here’s how much your savings could grow if you invest $1,000 in a Marcus high-yield CD.
| CD term | APY | Total interest earned |
| 6-month | 5.25% | $25.91 |
| 9-month | 5.30% | $39.49 |
| 12-month | 5.50% | $55.00 |
| 18-month | 5.25% | $79.77 |
| 2-year | 4.85% | $99.35 |
| 3-year | 4.40% | $137.89 |
| 4-year | 4.20% | $178.88 |
| 5-year | 4.10% | $222.51 |
| 6-year | 4.00% | $265.32 |
How much you’ll earn with Marcus’ specialty CDs
Here’s how much you could earn if you invest $1,000 in a Marcus specialty CD.
| CD term | APY | Total interest earned |
| No-penalty, 7-month | 0.45% | $2.62 |
| No-penalty, 11-month | 0.35% | $3.21 |
| No-penalty, 13-month | 4.60% | $49.93 |
| Rate-bump, 20-month | 4.50% | $76.12 without any rate increase |
How do Marcus’ CD rates compare?
Marcus by Goldman Sachs offers some of the most rewarding APYs you can find -- often more than three times higher than FDIC averages.
| CD term | FDIC | Marcus |
| 6-month | 1.49% | 5.25% |
| 1-year | 1.86% | 5.50% |
| 3-year | 1.41% | 4.40% |
| 5-year | 1.40% | 4.10% |
However, other banks offer CD APYs comparable -- and sometimes even higher -- than Marcus by Goldman Sachs. Here’s how Marcus stacks up against Synchrony, Capital One, Ally and Wells Fargo.
| Bank | 6-month | 1-year | 3-year | 5-year |
| Marcus by Goldman Sachs | 5.25% | 5.50% | 4.40% | 4.10% |
| Synchrony | 5.25% | 5.30% | 4.30% | 4.00% |
| Capital One | 4.35% | 5.25% | 4.30% | 4.10% |
| Ally Bank | 5.00% | 5.10% | 4.25% | 4.10% |
| Wells Fargo | 2.50% | 1.50% | N/A | N/A |
Check out CNET’s guide to the best CD rates to compare rates across other top banks.
Alternatives to Marcus’ CDs
In addition to its diverse suite of CD options, Marcus offers a high-yield online savings account that earns 4.40% APY. If you want easy access to your funds, a high-yield savings account may be better than a CD, even though you can’t lock in your rate like you can with a CD. Marcus’ savings account has no fees or account minimums to worry about, and unlike a CD, you can add funds at any time to grow your savings.
Factors to consider before opening a Marcus by Goldman Sachs CD
If you’re considering opening a CD with Marcus by Goldman Sachs, there are a few factors to consider.
Marcus is an online-only bank, so you’ll need to be comfortable managing your account digitally or opt for a bank with a physical branch for in-person assistance. Marcus also notes that it has a 24/7 contact center.
The minimum deposit to open a CD is $500, so if you don’t have that amount set aside, you may consider a bank with a lower minimum deposit that still has a competitive APY.
It’s also worth noting that Marcus charges an early withdrawal penalty if you take money out of the CD before the term ends -- unless it’s a no-penalty CD. The penalty amount depends on your CD term.
| CD term | Early withdrawal penalty |
| Less than 1 year | 90 days of interest |
| 1 to 5 years | 180 days of interest |
| Over 5 years | 270 days of interest |
Even though the penalties are on par with other banks, it’s best to make sure you won’t need the money for the duration of the term before opening an account. And keep in mind that you can’t withdraw from your principal before the CD term ends -- only the interest earned.
Should I get a CD from Marcus by Goldman Sachs?
The main draw of a CD is locking in your savings rate. Since Marcus offers some of the best CD rates available today, it’s a good option to explore if you want to earn a predictable return on your money while rates are high.
However, we recommend taking the time to compare rates in the current high-interest rate environment. You might find rates or other perks that are a better fit for you. For example, if you don’t want to deposit $500 to open an account, you may consider other banks, such as Ally or Synchrony, for a competitive rate with no minimum deposit required.
Or if you’re unsure about locking your money away for a specific period, consider a high-yield savings account, money market account or no-penalty CD with a high rate.
How to open a Marcus by Goldman Sachs CD
When you’re ready to open a CD with Marcus, you can do so online. Here’s what you’ll do:
- Complete an application: Marcus will ask for your personal information, such as your email address, phone number and Social Security number or Individual Taxpayer Identification Number. You’ll also have the option to open multiple accounts at once. Marcus will also ask about your employment status, income range and other personal details.
- Create a password: Next, you’ll create a password and secret word to protect your account. Marcus will then send a six-digit code to verify your identity.
- Fund your account: Lastly, once your account is approved, you’ll make a one-time deposit of at least $500. You may also consider downloading the Marcus by Goldman Sachs app to manage your account and track your return.
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