Marcus by Goldman Sachs CD Rates in April 2020 Hold Their Own

These online CDs offer competitive rates.

Goldman Sachs is one of the most prestigious investment banks in the world, tracing its roots back to 1869 and trading on the New York Stock Exchange. Marcus by Goldman Sachs is an online division of the bank, offering no-fee loans, high-yield savings accounts and certificates of deposit. In addition to high-yield CDs, Marcus offers a no-penalty option, which aims to provide more flexibility than a typical CD account while still earning a competitive rate.

If you’re looking to invest in a CD but are unsure about making a long-term commitment, a no-penalty CD might have some appeal. Read on to understand the features and benefits of the bank’s CD options, including interest rates.

Here’s a quick look at what this guide to Marcus by Goldman Sachs CD rates will cover:

Marcus by Goldman Sachs CD Overview

Marcus by Goldman Sachs CD rates beat the national average. Here is a quick look at the various CD term lengths the bank offers and the rate you can expect with each:

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Marcus by Goldman Sachs CDs at a Glance: April 2020
TypeTermsMinimum DepositRate
High-Yield CD6 months to 6 years$500Up to 1.05% APY
No-Penalty CD7 to 13 months$5000.90% APY

More on CDs: Investing In Certificates of Deposit — The Ultimate Guide

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Who Are Marcus by Goldman Sachs CDs Best For?

Marcus by Goldman Sachs CD rates are competitive, which makes them an excellent fit for many. Take a closer look at the pros and cons of a Marcus by Goldman Sachs CD.

Pros

  • Competitive rates
  • Low minimum deposits
  • Range of terms
  • Available with no penalty
  • You can open an account online.
  • You can add funds to the High-Yield CDs for the first 30 days.
  • Interest rate guarantee: As long as the CD has at least the minimum deposit within 10 days of opening, you receive the highest interest rate available during those 10 days.

Cons

  • Early withdrawal penalty of 90-365 days’ simple interest on the High-Yield CD, based on CD term
  • No-Penalty CD has fewer term options
  • You can’t add funds to the No-Penalty CD once you exceed your minimum deposit.
  • Only available online — no brick-and-mortar locations

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Who Might Want To Open a Marcus by Goldman Sachs CD?

Marcus by Goldman Sachs CDs are best for those who want to grow their savings without risk. Folks who are retired or nearing retirement and those who are concerned about stock market volatility might want to consider one or more Marcus by Goldman Sachs CDs. They’re a good choice if you don’t need immediate access to your funds and you like the convenience of an online-only bank.

A good strategy for taking advantage of Marcus by Goldman Sachs CD rates is laddering. This means opening multiple CDs with staggered maturity dates, so you have CDs maturing once or twice per year. This allows you regular, penalty-free access to your money while still taking advantage of the higher interest available on longer-term CDs.

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Who Might Want To Pass On Marcus by Goldman Sachs’ CD Options?

Folks who anticipate needing immediate access to their funds might want to pass on a Marcus by Goldman Sachs CD and choose a high-yield savings account instead. And those who are looking for high returns and have a long-term vision should consider investments that have more growth potential, like mutual funds.

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Anyone who likes personal, face-to-face banking might also want to pass, as Marcus by Goldman Sachs CDs are only available online.

More on Banking: Best Online Savings Accounts for Earning High-Yield Profits

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How To Open a Marcus by Goldman Sachs CD

To open a Marcus by Goldman Sachs CD, visit the bank’s website and choose which type of CD you want to open. You will need to provide your personal information, so have your state-issued ID handy. Marcus by Goldman Sachs will need to verify your identity. Once you open the account, you’ll also need to add at least the minimum amount of funds.

After you open your CD, you can access your CD information at any time online. Marcus by Goldman Sachs also has representatives available by phone seven days a week in case you have questions or need additional assistance.

Once your CD matures, you can renew it with changes, withdraw the money or let it automatically renew for another term. Renewing gives you another 10-day period where the highest interest rate available during the first 10 days after opening the CD is set as your permanent rate.

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More on Marcus by Goldman Sachs

More CD Rates

Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of April 1, 2020.

This article has been updated with additional reporting since its original publication.

This content is not provided by Marcus by Goldman Sachs. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by Marcus by Goldman Sachs.

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About the Author

John Csiszar

After earning a B.A. in English with a Specialization in Business from UCLA, John Csiszar worked in the financial services industry as a registered representative for 18 years. Along the way, Csiszar earned both Certified Financial Planner and Registered Investment Adviser designations, in addition to being licensed as a life agent, while working for both a major Wall Street wirehouse and for his own investment advisory firm. During his time as an advisor, Csiszar managed over $100 million in client assets while providing individualized investment plans for hundreds of clients.

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