Charles Schwab CD Rates
Updated August 2026 · By the Fintiex Rate DeskCharles Schwab sells brokered CDs through its CD OneSource marketplace: new-issue certificates from many FDIC-insured banks, purchased inside your Schwab brokerage account in $1,000 increments. Schwab itself does not set the rates; issuing banks compete on the shelf, which keeps yields near the top of the market.
In mid-2026, rates on Schwab's shelf ran roughly 4.00 to 4.50% APY depending on term, with the advertised new-issue terms concentrated between 3 months and 2 years. Inventory changes daily as banks add and pull offerings.
Like all brokered CDs, these fit naturally if your money already lives at Schwab: one account, many issuing banks, easy laddering, and extra FDIC coverage by spreading across issuers.
Charles Schwab CD rates
Brokered CDs issued by partner FDIC-insured banks. Minimum deposit: $1,000.
Rates as of mid-2026. Brokered CD rates and available terms change daily with the bond market. The figures above are approximate mid-2026 observations; check CD OneSource at schwab.com for live inventory before buying.
How Charles Schwab CD rates compare
Schwab's shelf generally matches the best online bank CDs and beats them on short terms; 3-month paper around 4.40% APY was better than nearly any 3-month bank CD in mid-2026. Against the FDIC 1-year national average of about 1.99%, there is no contest.
Schwab, Fidelity, and Vanguard marketplaces usually carry similar inventory at similar yields, so if you already have a brokerage account at one of them, that is the one to use. The convenience of your existing account outweighs a few basis points.
Before you open: the fine print
Brokered CDs pay simple interest into your Schwab cash sweep, which historically pays very little; sweep drag can quietly cost more than the CD rate advantage earns unless you reinvest. There is no early withdrawal, only secondary-market sale, and callable CDs on the shelf can be redeemed early by the issuer.
Charles Schwab CD questions, answered
Are Schwab CDs FDIC-insured?
Yes. Each CD on the OneSource shelf is issued by an FDIC-member bank with standard $250,000 per depositor, per bank coverage. Splitting across multiple issuing banks inside one Schwab account multiplies your total coverage.
What is the difference between a Schwab CD and a bank CD?
A bank CD is opened directly with one bank, compounds interest, and auto-renews. A Schwab brokered CD is bought in a brokerage account, pays simple interest to your sweep, does not auto-renew, and is exited early by selling rather than paying a penalty.
Can Schwab CDs lose money?
Held to maturity, no; you get full principal plus interest, and FDIC insurance covers issuer failure. Selling early after rates rise can return less than you paid, and callable CDs can end early, forcing you to reinvest at lower rates.
Why is the cash sweep rate important when buying Schwab CDs?
CD interest lands in your sweep account rather than compounding inside the CD. Schwab's default sweep has paid well under 1%, so interest sitting there earns almost nothing. Reinvest payments into new CDs, a money market fund, or Treasuries to keep the full yield working.
Next step
Before locking any CD, spend two minutes comparing the term you want against the current national leaders. If you need the money to stay liquid, a top high-yield savings account may serve you better than a short CD.