2 Year Bank CD Rates: Best Rates at 1.26 Percent and Average Rates at 0.91 Percent

No big moves in average 2 year CD rates or the best CD rates this week. The current national average 2 year CD rate in Bankrate's survey this week is at 0.91 percent. The current FDIC average 2 year rate is less than half at 0.42 percent. The highest CD rates on 24 month certificates of deposit are higher than both average rates this week. The best rate on our 2 year CD rate list this week is from Alostar Bank at 1.25 percent with an APY of 1.26 percent.

The highest 24 month rate is only 15 basis points higher than the highest 1 year CD rates this week. That being said investing in either term certificate of deposit is a good move. Investing in longer term certificates of deposit probably isn't a good move since CD rates at banks will be moving higher in the next few years.

The biggest question is when will rates move higher? At this point we believe rates won't start heading higher until at least 2015 or possibly sooner if the economy picks up steam. Recent economic data released on housing, employment and consumer sentiment has us optimistic that CD bank rates will move higher before 2015.

The second highest 2 year CD rate on our national rate list is from two well-known national online banks, CIT Bank and Barclays Bank. Current CIT Bank CD rates and Barclays Bank CD rates on 24 month certificates of deposit are at 1.24 percent with an APY of 1.25 percent. These bank rates on 24 month rate are just 1 basis point below Alostar Bank's 2 year rate. Below is a list of the top 10 two year CD rates this week:

Best CD Rates on 2 Year Certificates of Deposit

1. Alostar Bank CD Rate 1.25% APY 1.26%
2. CIT Bank CD Rate 1.24% APY 1.25%
3. Barclays Bank CD Rate 1.24% APY 1.25%
4. Able Banking CD Rate 1.18% APY 1.19%
5. Doral Bank CD Rate 1.16% APY 1.17%
6. Discover Bank CD Rate 1.14% APY 1.15%
7. California First National Bank CD Rate 1.13% APY 1.14%
8. OneWest Bank CD Rate 1.09% APY 1.10%
9. USAA Bank CD Rate 1.09% APY 1.10%
10. Giant Bank CD Rate 1.09% APY 1.10%

Just a few years ago 1 year bank CD rates just above 1.00 percent were pathetic, now very few banks are offering 1 year rates above 1.00 percent. The worst CD rates on our 24 month rate list are also well below these rates and well below the national average rates. The worst 2 year CD rate on our rate list this week is from iGOBanking at a measly 0.15 percent with an APY of 0.15 percent. Feel free to use your rate tables to search for the highest CD rates for any certificate of deposit term.