While most of its lower-tier CD rates are not exactly competitive, considering the higher yields other banks are offering, OneWest Bank and its 5-year CD maintains one of the highest CD rates in the market today. It dropped from 3.30% APY to 3.00% APY since last December, but it’s still considered a high yield compared to other Certificate of Deposit rates online.

Just to be on the safe side, you would want to check out the bank’s rates before opening an account. Even the best CD rates can drop overnight. Also, the rates are locked only once your application and funds have been received by the bank.

You can also fund the account no later than three days after the account has been opened. Otherwise, the rate won’t be held. The CD is probably more beneficial for Southern California residents who are already in the region and could process their applications in person. This CD is not limited locally, though. Online applications are accepted.

Should you need to withdraw your funds early, you just need to pay a penalty fee that’s equivalent to 6 months of the CD’s interest rates.

OneWest Bank is still a fairly new bank and is yet to get ratings from BauerFinancial and Bankrate.com. It has an entry in the FDIC databank, though, which you would want to check out.