Flagstar Bank CD Rates

Flagstar Bank 7-Month CD

5.05% APY

Flagstar has a wide range of certificate of deposit (CD) account term lengths. The bank's terms and rates are largely not publicly available, but its 7-month and 13-month special CD rates are quite strong.

Whether your objective is earning some interest in the short term or building up your savings over many years, Flagstar's selling point is its vast array of options. It has more than a dozen different CD terms, at a steadily increasing variety of yields. The low $500 minimum on all CD accounts will be attractive to investors who may not have lots of cash at the ready to park in a CD for a long period of time.

Flagstar recommends an in-person consultation with one of its bankers, so as to pair you with a CD that will best fit your financial goals.

To calculate how much interest you could earn with a CD, try using SmartAsset's CD calculator.

7-Month CD Interest Rate Comparison

Overview of Flagstar CDs

Flagstar Bank, which has its headquarters in Troy, Michigan, is a community bank. It has around 400 brick-and-mortar locations throughout Michigan, Indiana, New York, California, Arizona, New Jersey, Florida, Ohio and Wisconsin. Flagstar was chartered in 1987 as a federal savings bank. Because Flagstar only operates in nine states, it’s best suited for residents of those places. The bank recommends in-person consultations for those looking to open a CD account.

The variety of options is Flagstar's true advantage when it comes to CDs. However, most of these aren't available for public viewing.

How Much You Earn With Flagstar CDs Over Time

In order to open a CD account, it requires a minimum deposit of $500. This is a relatively low minimum, as many banks require at least $1,000 to open a CD account. The longer your account term, the bigger your payoff. However, the caveat here is that you’ll need to wait for the long-term account to mature fully.

Additionally, Flagstar will compound your interest on a monthly basis. Compounding means growth of your interest on a faster and more efficient scale by getting larger every month. However, there are some banks of comparable size that will compound on your deposits daily. As you can imagine, the more often a compounding is given, the more money you earn in the future.

Should You get a Flagstar CD Account?

If you qualify for a Flagstar CD account, and more importantly if you live in one of the three states that hosts Flagstar brick-and-mortar stores, opening a CD account may be a great financial decision.

If you're looking for some guidance along the way, Flagstar excels at customer service, offering around-the-clock phone operators and email support, ensuring your needs will be met in a timely fashion. Not to be overlooked, the Flagstar Coverdell Savings Certificates enable you to save for your education, unencumbered by taxes. If you’re living in one of the nine states Flagstar operates locations and are looking for the options you need for local banking that can amount to substantial savings down the line, consider an account at Flagstar.