APY Range
0.05%-~3.85% (Promotional)
Quick take: M&T Bank serves the NY, PA, NJ, MD, and Northeast corridor. In June 2026, promotional CDs paid ~3.85% on select 7 and 13-month terms and Standard CDs 0.05-0.25% (not current; check mtb.com). The People's United acquisition (2022) doubled the footprint into New England.
Here’s the current M&T Bank CD rate sheet across all standard and promotional terms as of 2026-06-27:
| Term | APY |
|---|---|
| Promotional 7-Month | 3.85% |
| Promotional 13-Month | 3.65% |
| Promotional 25-Month | 3.35% |
| Standard 3-Month | 0.05% |
| Standard 6-Month | 0.05% |
| Standard 1-Year | 0.10% |
| Standard 2-Year | 0.15% |
| Standard 3-Year | 0.20% |
| Standard 5-Year | 0.25% |
Rates as of 2026-06-27. M&T Bank re-prices based on Fed funds and competitive pressure. Confirm current rates on the bank’s site before opening.
M&T's ~1,000 branches concentrated in dense Northeast metros carry high real estate costs. The bank's deposit-pricing reflects branch overhead first; promotional CDs are a sales tool.
A megabank branch costs roughly $1 to 2M per year to operate (real estate, staffing, security, utilities, IT, compliance). Multiply across thousands of branches and the bank’s effective cost of deposits is 2 to 3% before paying you a dime. An online bank with zero branches can pass nearly that entire spread back to depositors as APY. That’s why In late September 2026, Marcus, Ally, Synchrony and Capital One 360 paid 3.90-4.15% on 1-year CDs while megabank standard CDs pay close to zero.
If branch access isn’t critical for you, these alternatives currently pay materially more on the same FDIC-insured deposit:
For a 30+ bank comparison at the 5-year point, see Best 5-Year CD Rates 2026.
A Multi-Year Guaranteed Annuity (MYGA) is the insurance-industry equivalent of a CD: lock a fixed rate for a fixed term, principal-protected. The pricing gap vs. a megabank CD is dramatic.
Math at $250,000 over 5 years:
M&T 5-year Standard CD pays 0.25%. For comparison, A-rated 5-year MYGAs were paying about 5.50-6.05% on October 14, 2026; the math below uses an earlier 5.50% figure. On $250,000:MYGAs also defer tax on interest until withdrawal. CDs are taxed annually as ordinary income whether you touch the interest or not. The trade-off: MYGAs have a fixed surrender schedule (usually with 10%/yr free withdrawal); CDs have shorter penalty periods. For taxable retirement money you don’t plan to touch, the MYGA almost always wins. See CD vs MYGA Comparison.
In June 2026, M&T Promotional CDs paid ~3.85% on 7-month and ~3.65% on 13-month, and Standard CDs 0.05-0.25%. Those are not current quotes; check mtb.com or a branch for today's rate.
Yes. M&T Bank is FDIC-insured (Cert #588) to $250,000 per depositor, per ownership category.
$1,000 for Promotional and Standard CDs.
Yes. M&T offers IRA CDs at the same rates as regular CDs.
90 days interest for under 12 months; 180 days for 12-23 months; 365 days for 24+ month CDs.
Existing PUB CDs converted to M&T at maturity. Mid-term CD terms were honored.
For 3+ year money, yes. ~$73K gap on $250K over 5 years.
This review reflects publicly posted bank rates and approximate APYs as of 2026-06-27. CD rates change frequently. Confirm current rates directly with M&T Bank before opening an account. This article is general information for educational purposes; it is not a personalized recommendation, solicitation, or offer of any specific banking or insurance product. M&T Bank is FDIC-insured to the limits stated; coverage is per depositor, per ownership category. Hans Goldstein is an independent licensed insurance producer (NPN 20602398) appointed with multiple A-rated annuity carriers; he is NOT a bank employee, broker-dealer, or registered representative, and is not paid by M&T Bank for this review. No compensation has been received from M&T Bank in connection with this content. MYGA comparisons reference rates from A-rated carriers as of the date stated; carrier rates change monthly. Always read the actual CD disclosure or annuity contract before purchasing.
Hans Goldstein is an Enrolled Agent, admitted to practice before the Internal Revenue Service. Not affiliated with or endorsed by the IRS. General education, not tax or legal advice for your situation.