That makes now a great time to open a CD and lock in a high APY before rates start dropping. As inflation cools and banks begin pumping the brakes on rate increases, some experts predict we’ve already reached the peak of CD rates. However, many experts expect CD rates will begin falling mid-2024 - and potentially sooner depending on the Fed’s next move. Here’s how rates for the top CDs we track at CNET currently compare to average national rates: Term And while the central bank has chosen to pause rate hikes during its last two meetings, CD rates remain high. The Fed has regularly raised rates since March 2022 to combat persistently high inflation, leading to a steady increase in CD rates. Banks tend to follow suit, adjusting rates on consumer products like credit cards, personal loans and savings accounts. The Federal Reserve periodically adjusts this rate to stimulate the economy. How long will CD rates stay high?ĬD and savings account rates are influenced by the federal funds rate, which determines how much banks charge to lend and borrow money. Earnings are based on APYs and assume interest is compounded annually. 10, 2023, based on the banks we track at CNET. Here’s a look at some of the best CD rates available right now and how much you could earn if you deposited $5,000 today.
