Update:  Since this was posted, the rate on CIT’s 11-Month, No-Penalty CD has been raised to 1.85% and the rate on the top tier of Ally’s 11-Month, No-Penalty CD has been lowered to 1.5%.  So, as of March 22nd, 2018, CIT has a commanding lead in this product space.

I recently wrote about how Ally had raised the rate on the $25K+ top tier of their no-penalty, 11-month CD product from 1.5% to 1.6% and then, as a promotion, from 1.6% to 1.75%.  That promotion ended on January 2nd and the rate returned to 1.6%, which is still better than CIT’s no-penalty CD rate of 1.55%, so long as you’re investing at least $25K.  For deposit amounts below $25K, CIT’s no-penalty CD is still superior.  (Note:  Also be aware that CIT just raised the rate on their Premier High Yield Savings Account to 1.55%.)

Here’s the current breakdown for all tiers of Ally’s no-penalty CD:

• 1.60% APY for deposits of $25,000 or more
• 1.35% APY for deposits between $5,000 and $24,999.99
• 1.15% APY for deposits of less than $5,000

This change has been reflected in our complete review of these products as of January 3, 2018.  You can read the fine print and apply for Ally Bank’s no-penalty, 11-month CD here and for CIT Bank’s no-penalty, 11-month CD here.

If you want to quickly compare these products against many of the best nationally-available deposit accounts available in the U.S., you can use our bank accounts tool.