Will CD account interest rates rise this summer? Experts weigh in
Summary
CD (certificate of deposit) interest rates are currently high compared to historical levels and are expected to stay stable through the summer. Experts say these rates allow savers to lock in good returns now, but future changes will depend on inflation and Federal Reserve decisions.Key Facts
- Current national average CD rates range from about 0.21% to 1.50%, with top rates around 4.10% to 4.15%.
- CD accounts let savers lock in interest rates for months or years, unlike typical savings accounts.
- The Federal Open Market Committee (FOMC) has kept rates steady this year and is expected to hold rates at its June 17 meeting.
- About 57% of recent CD rate changes were increases, while 43% were cuts.
- Future CD rate changes will depend on inflation trends and Federal Reserve policy decisions.
- If inflation stays high, the Fed might delay cutting rates or even raise them in 2026, which could keep CD rates stable or higher.
- Locking in a CD rate now acts as protection against possible future rate drops.
- CD rates vary by bank and by the length of the CD term, so shopping around can help find a better rate.
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