What Truist CDs offer and how rates compare

Truist offers certificates of deposit (CDs) through its retail banking division, with rates that shift based on the term length you choose and the current interest rate environment. A CD is a savings account where you agree to leave money untouched for a set period — typically three months to five years — in exchange for a fixed interest rate that's usually higher than a regular savings account.

Truist's CD rates vary by term and by whether you open the account online or in a branch. The bank publishes current rates on its website, but the specific rate you receive depends on the amount you deposit, your location, and the date you open the account. Because rates change frequently and differ between branches, you should check Truist's website or call a local branch for the exact rate available to you today.

CDs are FDIC-insured up to $250,000 per depositor, per bank, so your principal is protected even if Truist fails. The trade-off is that you cannot withdraw the money early without paying a penalty — usually a loss of interest or a portion of your deposit.

Key Takeaways

  • Truist CD rates depend on the term length and current market conditions, and you should check the bank's website or call a branch for today's rate.
  • Deposits are FDIC-insured up to $250,000, protecting your principal from bank failure.
  • Early withdrawal penalties typically cost you some or all of the interest you would have earned, so CDs work best for money you won't need before the term ends.
  • Online CDs at Truist sometimes offer slightly higher rates than in-branch accounts, though the difference varies.
  • When the CD matures, Truist will either renew it automatically or move the money to a linked account, depending on your instructions.

How Truist CD terms and minimum deposits work

Truist offers CDs in several standard terms: three months, six months, one year, two years, three years, and five years. Longer terms generally come with higher rates, though this is not may provide — the relationship between term length and rate depends on what the Federal Reserve is doing and what other banks are offering.

The minimum deposit to open a Truist CD is typically $500, though this can vary by account type and whether you open it online or in a branch. Some promotional offers may have different minimums. You should confirm the current minimum when you're ready to open an account, since it can change.

Once your CD matures, Truist will automatically renew it for another term at the current rate unless you tell the bank otherwise. You usually have a grace period of about 10 days after maturity to withdraw the money or change the term without penalty. If you miss that window, the renewal locks in automatically.

Early withdrawal penalties and what they cost

If you withdraw money from a Truist CD before it matures, you will pay an early withdrawal penalty. The penalty amount depends on the term of the CD — longer-term CDs typically have larger penalties. Truist's penalty is usually calculated as a number of months of interest, meaning if you have a five-year CD with a six-month penalty, you lose six months' worth of the interest you would have earned.

The penalty is deducted from your withdrawal, so you may end up with less than your original deposit if you have not earned enough interest yet. For example, if you deposit $5,000 in a one-year CD at 4% annual interest and withdraw after three months, you might lose three months of interest (roughly $50), leaving you with $4,950.

Because of this penalty structure, CDs work best for money you are certain you will not need before the maturity date. If there is any chance you might need the funds, a high-yield savings account with no withdrawal penalty may be a better choice, even if the rate is slightly lower.

Truist CD rates compared to other banks

Truist's CD rates are competitive with other large national banks like Bank of America and Wells Fargo, but online-only banks and credit unions often offer higher rates on the same terms. This is because online banks have lower overhead costs and pass some of those savings to customers through higher rates.

For example, an online bank might offer 4.5% on a one-year CD while Truist offers 4.0%, even though both accounts are FDIC-insured and have similar terms. The difference adds up over time — on a $10,000 deposit, that 0.5% difference means $50 more in interest over the year.

If you already have a checking or savings account at Truist, opening a CD there may be convenient because you can manage all your accounts in one place and set up automatic transfers. But if rate is your main concern, it is worth comparing Truist's current rates to those at online banks and local credit unions before you decide.

How to open a Truist CD and what happens at maturity

You can open a Truist CD online through the bank's website, by phone, or in person at a branch. Online applications usually take a few minutes and require your Social Security number, address, and funding source (a linked bank account or debit card). The CD typically opens within one to two business days.

When you open the CD, you will choose the term, the deposit amount, and what you want to happen when it matures. Most people choose automatic renewal, which means Truist will roll the money into a new CD at the current rate when the term ends. You can also choose to have the money transferred to a checking or savings account instead.

Truist will send you a confirmation statement showing the CD's rate, term, maturity date, and penalty amount. Keep this document for your records. You will also receive a notice a few weeks before the CD matures, reminding you of the maturity date and asking you to confirm your renewal or withdrawal instructions if you want to change them.

Tax reporting and interest income from Truist CDs

The interest you earn on a Truist CD is taxable income in the year you earn it, even if you do not withdraw the money. Truist will send you a Form 1099-INT at the end of the year showing the total interest earned, and you will report this amount on your federal tax return.

This matters because it means you owe taxes on the interest even if the CD has not matured yet. If you have a $10,000 CD earning $400 in interest over the year, you will owe income tax on that $400 even if the money stays in the CD. Plan for this when you decide how much to deposit.

If you are in a high tax bracket, a CD might be less attractive than a tax-advantaged account like a Roth IRA or a 529 college savings plan, where interest can grow tax-free. Talk to a tax professional if you are unsure how CD interest will affect your tax situation.

Special CD offers and promotional rates at Truist

Truist occasionally runs promotional offers on CDs, usually for specific terms like three-month or one-year accounts. These promotional rates are higher than the standard rate for that term and are available for a limited time or to new customers only. Truist advertises these offers on its website and in branches.

Promotional CDs have the same terms, penalties, and FDIC insurance as regular CDs — the only difference is the rate. If you see a promotional offer that interests you, check the fine print to see whether there are any restrictions, such as a requirement to open a new checking account or a limit on how much you can deposit.

Promotional rates change frequently, so if you are considering a CD, it is worth checking back every few weeks to see if a better offer has become available. You can also ask a Truist representative to notify you when a promotional rate matching your preferred term becomes available.

Frequently Asked Questions

Can I withdraw money from a Truist CD before it matures?

Yes, but you will pay an early withdrawal penalty that reduces your earnings or principal. The penalty amount depends on the CD's term — longer terms have larger penalties. You should only withdraw early if you absolutely need the money, since the penalty can wipe out months of interest.

What is the minimum deposit for a Truist CD?

The typical minimum is $500, though this can vary by account type and whether you open it online or in a branch. Some promotional offers may have different minimums. Check with Truist directly for the current minimum on the specific CD you are interested in.

Are Truist CDs safe if the bank fails?

Yes. Truist CDs are FDIC-insured up to $250,000 per depositor, per bank. This means if Truist fails, the federal government will reimburse you for your deposit and accrued interest up to that limit. Your principal is protected.

How often do Truist CD rates change?

Truist updates its CD rates regularly in response to changes in the Federal Reserve's interest rate and market conditions. Rates can change daily or weekly. Once you open a CD, your rate is locked in for the entire term and will not change, even if rates go up or down.

What happens to my CD when it matures?

Truist will automatically renew your CD for another term at the current rate unless you tell the bank otherwise. You usually have about 10 days after maturity to withdraw the money or change the term without penalty. If you do nothing, the renewal happens automatically.