High CD rates available due to Federal Reserve cutting interest rates, offering opportunity for investors to lock in rates

From Yahoo Finance: 2025-06-30 06:00:00

Today’s CD rates remain higher than the national average, with the Federal Reserve cutting interest rates three times in 2024. Lock in high rates with a certificate of deposit (CD) now. The highest CD rate as of June 30, 2025, is 5.5% APY from Gainbridge® on a 5-year CD with a $1000 minimum deposit. Online banks and credit unions usually offer more competitive rates than traditional banks.

The national average interest rate for a 1-year CD is 1.77%, but current CD rates are some of the highest in nearly two decades due to the Federal Reserve’s efforts to combat inflation. When opening a CD, choose one with a high APY and term length that suits your financial goals. Consider shopping around, looking into online banks, checking minimum deposit requirements, and reviewing account terms and conditions for the best rates and accounts.

Read more: Best CD rates today, June 30, 2025 (Lock in up to 5.5% APY)