Frost Bank CD Rates for October 2024
Written by
Karen Doyle
Edited by
Emily Gadd
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Frost Bank offers a range of CDs along with its other banking offerings. CDs are a safe way to earn a good rate of interest on money that you won’t need before the end of the term. Frost Bank offers competitive interest rate on CDs with terms ranging from 14 days to 24 months, with deposits of as little as $1,000.
Read on to find out about CD interest rates from Frost Bank in October 2024.
Regular and Jumbo CDs
Frost Bank offers regular and jumbo CDs for terms that range for 14 days to 24 months.
| Term | $1,000 – $99,999.99 | $100,000 – $499,999.99 | $500,000 and over | Early withdrawal penalty |
|---|---|---|---|---|
| APY | APY | APY | ||
| 14 Days | N/A | N/A | All interest earned | |
| 30 Days | N/A | N/A | 30 days’ interest | |
| 60 Days | N/A | N/A | 30 days’ interest | |
| 90 Days | 30 days’ interest | |||
| 180 Days | N/A | 30 days’ interest | ||
| 12 Months | N/A | 90 days’ interest | ||
| 24 Months | N/A | 90 days’ interest |
IRA CDs
Frost also offers CDs specifically for IRA accounts, including an 18-month variable interest rate IRA CD.
| Term | Fixed or Variable | APY | Early withdrawal penalty |
|---|---|---|---|
| 12 Month | Fixed | 30 days’ interest | |
| 18 Month | Variable | 30 days’ interest | |
| 24 Month | Fixed | 90 days’ interest |
The variable rate CD has an interest rate that can change during the 18-month term, depending on the prime rate or other factors.
About Frost Bank
Frost Bank offers more than just CDs. A full-service bank, Frost Bank offers:
- Checking and savings accounts
- Personal loans
- Lines of credit
- Auto loans
- Investment accounts
- Insurance
Plus, Frost has a complete line of business banking services.
With over 185 branch locations throughout Texas, Frost Bank can provide comprehensive banking services to residents of the Lone Star state.
What Are CDs?
Certificates of Deposit, or CDs, are bank deposits that offer a guaranteed rate of interest for a specified period of time. In most cases, the interest rate is fixed, so you know exactly how much interest you will earn by the end of the term. You can select the amount of time you want to keep the money on deposit, which can range from 14 or 30 days to 5 years or longer.
Typically, you cannot add money to a CD – if you want to invest additional funds, you will have to buy another CD. If you withdraw the money before the end of the term, you’ll usually pay a penalty equal to 3 to 6 months of interest.
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Why Do People Buy CDs?
CDs are a safe way to earn interest on money you know you will not need for a certain period of time. The interest rate on CDs is often higher than that for a savings account that lets you take your money in and out at will.
Things to Be Aware Of
When you buy a CD, there are a couple of things you should be aware of. First, if you have to withdraw the money before the end of the term, you will usually have to pay a penalty equal to three to six months’ worth of interest – maybe more. In some cases, this could mean you would actually get back less money than you put it, so it’s important to be sure you won’t need the money before the end of the term.
At many banks, including Frost Bank, CDs will automatically renew at the end of the term. For example, suppose you purchase a 12-month CD. At the end of 12 months, the amount of money in the account, which includes the principal and the interest that has accrued, will automatically roll over into another 12-month CD at the then-current rate. If you don’t want your CD to roll over, you need to contact the bank prior to the end of the term and tell them so.
With interest rates fluctuating, a CD from Frost Bank is a good way to get a guaranteed rate of interest for the term that works best for you.
Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Oct. 8, 2024.
