If you’re thinking about putting your cash in a CD in 2025, now may be the best time. Currently, rates on CDs are still somewhat high — in most cases offering over 4% on your cash — but they likely won’t go higher than they are now. The reason for this is the Federal Reserve cut interest rates three times in 2024, with the last rate cut being 0.25% on December 18.
For this reason, the beginning of this year could be a great time to lock-in CD rates and earn interest on your savings. In fact, many CD accounts have begun to slightly drop rates in recent weeks, so consider taking advantage of the best possible rates while you still can.
