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CD Rates Dip: Lock in 4%+ APY Now!
18 Nov
Summary
- Best short-term CDs currently offer 4% to 4.5% APY.
- Top CD rates have fallen from their peak due to Fed rate cuts.
- The highest CD rate available is 4.1% APY for various terms.
The landscape for deposit accounts is shifting as rates on savings accounts begin to decline. However, certificates of deposit (CDs) currently present an opportunity to lock in a competitive annual percentage yield (APY), with top offers still exceeding 4%. This presents a timely chance to preserve earning power before rates potentially dip further.
As of November 2025, the most attractive short-term CD rates, typically for terms between six to 12 months, hover around 4% to 4.5% APY. The absolute highest rate available is 4.1% APY, offered by institutions like Marcus by Goldman Sachs, Sallie Mae, and Synchrony across different CD terms. These rates, while declining from their recent peak, remain robust compared to historical averages.
The economic environment has seen significant fluctuations in CD rates over the past two decades. Following the 2008 financial crisis, rates plummeted, reaching lows of around 1% for one-year CDs by 2009 and even lower in the 2010s. A period of rate increases between 2015 and 2018 offered some respite, but the COVID-19 pandemic led to another sharp decline. The subsequent surge in inflation prompted aggressive rate hikes by the Federal Reserve between March 2022 and July 2023, which in turn boosted CD yields. However, with inflation now under control, the Federal Reserve began cutting rates in 2025, leading to the current downward trend in CD yields.
