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Key Takeaways
- If flexibility matters for your goals and timeline, today’s best high-yield savings accounts are a strong choice—offering up to 5.00% APY.
- But these elevated returns aren’t expected to last, with Fed rate cuts forecasted this year and next that will push savings yields lower.
- The best nationwide CDs, however, let you lock in a mid-4% rate for months or years, protecting your returns while other rates drop.
- For many savers, the smartest move is a two-bucket strategy: keeping some cash in savings for easy access and putting longer-term funds in a CD to prolong your elevated return.
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Today’s Best Savings Accounts Offer Flexibility You Can Tap Anytime
If you need quick access to your money—or just like the comfort of knowing you can withdraw anytime—a high-yield savings account is a smart move. While big banks pay close to zero and the national average rate is just 0.39%, top savings accounts today pay around 4%, with some reaching as high as 5.00% APY.
By moving your cash into one of these top-paying accounts, you can capitalize on rates that remain near peak levels, supported by the Federal Reserve’s decision to keep interest rates elevated this year.
But what the Fed has given, it can also take away. With two or three cuts forecasted by the end of 2025—and more likely next year—those generous savings APYs will slip. Because savings accounts are variable-rate products, banks and credit unions will begin lowering them as soon as—or even before—the Fed makes its first move.
Still, the main selling point of a savings account is compelling: You can deposit or withdraw whenever you want. For many savers, that flexibility isn’t just nice to have—it’s essential.
CDs Guarantee Returns for Months or Years—Even as Fed Cuts Loom
If you don’t need to touch some of your savings for a while, certificates of deposit (CDs) can be a smart option. They let you lock in today’s higher interest rates for the full term—usually between 3 months and 5 years—giving you a steady return that won’t drop if rates fall later.
CDs become especially valuable when broader interest rates are expected to fall—as is the case right now—because the rate you secure at opening is yours to keep until maturity, no matter how far or how often the Fed cuts interest rates.
Right now, the best high-yield savings account rate of 5.00% APY edges out the top CD rate of 4.60%. But later this year or in 2026, that savings account rate could slip well below 4.60%. That makes CDs a smart strategy for elevating your return over the long haul.
What you give up with a CD is the flexibility to withdraw whenever you like. Because cashing out before maturity usually means paying an early withdrawal penalty, it’s important to choose a CD term that matches how long you can confidently set your funds aside.
A Two-Bucket Strategy Can Help You Make the Most of Today’s High Rates
Using both a CD and a high-yield savings account lets you get the best of both worlds:
- Keep money for emergencies, bills, or unexpected costs in a savings account. You’ll earn interest and can withdraw anytime.
- Put money you won’t need soon into a CD to lock in today’s higher rates.
Some savers take this further by spreading funds across CDs of different lengths—such as a 6-month and a 1-year CD, or extending to longer terms. This “CD ladder” strategy helps prolong today’s high yields while staggering maturity dates for added flexibility.
By combining a savings account with CDs, you keep cash available for when you need it while letting longer-term funds grow at guaranteed rates. The exact mix depends on your goals and timeline, but choosing from today’s top-paying options can help you maximize returns now and in the future.
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 consistently 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.
