CD Rate Forecast: Are CD Rates Going Up in 2026?

Last updated September 2026

CD rates are moving following the Federal Reserve’s September rate hike, but the strongest opportunities aren’t necessarily in the most common terms. Savers willing to shop across maturities can find rates above 4.50 percent, with some of the most attractive yields appearing in CDs with terms between 18 and 36 months. The absolute highest verified CD rate is 9.00% Annual Percentage Yield (APY) from a credit union, while the highest verified bank CD rate is 4.95% APY. Last updated September 23, 2026.

Are CD Rates Going Up In 2026?

Yes. More changes to rates offered by financial institutions were increases than decreases in the latest weekly data, and increases still substantially outnumber decreases.

During the past week, approximately 84.1 percent of all rate changes by financial institutions moved CD rates higher. With just 15.9 percent of rate changes showing as decreases, CD rate increases outnumbered decreases by more than five to one, according to CD Valet data from September 21, 2026.

CD Rate Trends Over The Last 12 Months

12-month term

24-month term

36-month term

48-month term

60-month term

*Annual Percentage Yield
¹ National average based on CD Valet’s latest rate surveys of 40,000+ rates. Rates are based on publicly available data for CD products and updated as often as daily.

What Happens to CD Rates When the Fed Cuts Rates?

The Federal Reserve’s Federal Open Market Committee increased rates at its September 16 meeting, reversing the direction of policy we have covered in recent months. The committee voted unanimously, 12–0, to raise the federal funds target range by 25 basis points to 3.75 percent to 4.00 percent. This is the Fed’s first rate increase since 2023.

Just as rate cuts generally push newly offered CD APYs lower, an increase tends to push them higher, although banks, credit unions, and CD terms would not necessarily respond at the same speed or by the same amount.

CD rates are moving following the Fed’s decision and could move further as policymakers’ latest projections point to another rate increase this year. With the economy showing signs of strength as well, competition among banks and credit unions for deposits could also push CD rates higher.

At his September 16 press conference, Fed Chair Kevin Warsh said, “the plain fact is that inflation is too high and has been for too long,” as he outlined a primary focus on price stability. He also described an economy expanding steadily, supported by resilient domestic spending, strong productivity growth and robust capital investment, while job gains have kept pace with the workforce and unemployment has changed little.

With the next FOMC meeting scheduled for October 27–28, here’s a deeper look at what economic data suggest for the future of deposit rates.

Should You Lock In A CD Rate Now?

Locking in a CD rate now can protect your yield if deposit rates unexpectedly decline, but the latest economic data continue to suggest caution about locking up funds when the future of rates and inflation is uncertain.

A hypothetical $10,000 deposit held for one year at 4.00 percent APY earns $400, compared with $425 at 4.25 percent APY. That 25-basis-point gap amounts to just $25 before taxes, assuming interest remains deposited and there are no fees. Larger rate increases or larger balances would make the dollar difference more significant.

The possibility of higher rates alone does not necessarily outweigh the benefit of securing today’s yield when the funds must be placed somewhere. Other accounts and investment types come with their own risks, which may outweigh the $25 difference in this example.

Some savers use a CD ladder, which divides deposits among several maturity dates so portions of the money become available for reinvestment at regular intervals. Consider using the CD Yield Curve, or the yields on U.S. Treasuries, and available 6-, 12-, 24-, 36- and 60-month terms, to research yields before selecting a maturity.

CD Rate Forecast By Term

Rates across the broader CD market continue to move higher, with 84.1 percent of rate changes in the latest weekly data showing increases. At the very top of the market, however, none of the three standard terms tracked by CD Valet rose during the week. The 99th-percentile APY remained unchanged at 4.25 percent for 6-, 12- and 24-month CDs.

How CD Valet Forecasts and Verifies Rates

Every CD rate listed on CD Valet is verified with publicly available data from federally insured banks and institutions. Rates are directly sourced and verified through a combination of daily manual reviews and structured data checks to ensure accuracy, availability and transparency.

CD Valet operates as a comprehensive CD marketplace, featuring over 40,000 rates from nearly 5,000 federally insured banks and credit unions. Rates are updated as often as daily, including after every FOMC meeting. Learn more about CD Valet’s data verification policy.

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