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Key Takeaways
- The Fed’s rate cut on Wednesday will put downward pressure on savings and CD yields.
- For now, the best CD offers are still on the table—letting you lock in mid-4% returns well into 2026.
- Longer-term CDs may also be smart if Fed projections for additional cuts this year and beyond play out.
- Banks can change or withdraw CD offers without warning, so acting quickly may be a wise move right now.
The full article continues below these offers from our partners.
The Fed Cut Rates, but Savers Still Have Strong CD Options
After nine months on hold, the Federal Reserve cut its benchmark rate Wednesday by a quarter percentage point. The move was widely expected, so many banks and credit unions had already priced it in and made few changes to savings or CD rates today.
But that doesn’t mean rate declines aren’t coming. Alongside its decision, the Fed released its quarterly “dot plot” forecast, showing most policymakers expect additional cuts this year. With the median projection pointing to another half-point reduction by the end of 2025, banks are likely to trim savings and CD yields in the weeks and months ahead.
For now, though, this week’s top short- and mid-term CD offers are still available. Longer-term rates have slipped a bit, but not dramatically. So, if a CD fits your goals, it may be smart to lock in quickly.
These 4.60% and 4.50% CDs Are Still Available—For Now
For nearly six weeks, our best CD rates leaderboard has been led by a 7-month CD paying 4.60% annual percentage yield (APY). Offered by Connexus Credit Union, it’s still available today, letting you lock in that APY until April 2026. But like any CD deal, it could disappear overnight.
You also have other ways to secure a strong return into next year. One standout is a 12-month CD from HUSTL Digital Credit Union paying 4.50%, which guarantees your rate until next September. Our daily ranking of the best nationwide CDs also includes 15 more top offers that pay 4.35% or better on terms from 3 to 10 months—at least for now.
Longer CDs could also be smart, depending on your financial timeline. With more Fed cuts expected, it may pay to consider getting a CD with a longer term so your rate is locked in for more time.
More Fed Cuts Could Be Coming—Should You Lock In Longer?
No future Fed rate decision is certain until it’s made official. For now, the best guide is the central bank’s quarterly “dot plot” forecast, released yesterday after the meeting. It reflects policymakers’ best guesses at this point in time for where the federal funds rate will land at year-end and over the next two years. Below, you can see the current median projection for how rates may move through 2027.
If the Fed’s forecast plays out, savings and CD rates could drift lower over the next two years—potentially a full percentage point below today’s levels. That means top CDs in the low-to-mid 4% range now could be closer to 3% by 2026 or 2027.
That’s why it may pay to lock in a multi-year CD while rates are still strong. Though no one knows for sure if the Fed will keep cutting, CDs above 4% today offer attractive guaranteed returns. So, if your timeline allows, putting some savings into a 2-year or longer CD could boost your returns over time—while waiting too long could mean settling for much lower yields.
For cash you want to keep flexible
The top savings accounts still pay up to 5%, but those rates may slip soon. See our daily ranking of the best high-yield savings accounts for the latest.
Daily Rankings of the Best CDs and Savings Accounts
We update these rankings every business day to give you the best deposit rates available:
Important
Note that the “top rates” quoted here are the highest nationally available rates Investopedia has identified in its daily rate research on hundreds of banks and credit unions. This is much different than the national average, which includes all banks offering a CD with that term, including many large banks that pay a pittance in interest. Thus, the national averages are always quite low, while the top rates you can unearth by shopping around are often 5, 10, or even 15 times higher.
How We Find the Best Savings and CD Rates
Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs and savings accounts to customers nationwide and determines daily rankings of the top-paying accounts. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the account’s minimum initial deposit must not exceed $25,000. It also cannot specify a maximum deposit amount that’s below $5,000.
Banks must be available in at least 40 states to qualify as nationally available. And while some credit unions require you to donate to a specific charity or association to become a member if you don’t meet other eligibility criteria (e.g., you don’t live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.
