Some banks are raising CD rates even as the Federal Reserve holds steady, with eight certificates claiming best in term status over the past month and seven of those offers still open to new savers.
Why Yields Are Popping Up in a Flat Market
The Fed spent much of 2022 and 2023 pushing the federal funds rate to a 23 year high, then held it there for 14 months. Starting in September 2024, it cut rates three times through December, trimming a full percentage point off its benchmark. Since then, the central bank has met three times in 2025 without touching rates again, and that pause has left certificate of deposit yields largely stuck in place.
Stability at the top doesn't mean nothing is happening underneath. When the overall rate picture goes quiet, some banks and credit unions see an opening. Nudging a CD yield higher, even briefly, is a cheap way to grab attention and pull in fresh deposits without waiting for the Fed to make the first move.
Which CDs Actually Raised Their Rates
Eight certificates lifted their annual percentage yields enough to become the top offer in their term over the last month. The best nationwide rate briefly climbed from 4.50% to 4.65%, and gains showed up across terms from 6 months to 5 years. Seven of those eight deals remain available, including the current national leader from Newtek Bank, paying 4.60% APY on a 9 month term.
| Date | Institution | Term | Previous APY | New APY | Status |
|---|---|---|---|---|---|
| May 19 | Popular Direct | 36 months | 4.00% | 4.15% | Available |
| May 19 | Popular Direct | 48 months | 3.90% | 4.15% | Available |
| May 19 | Popular Direct | 60 months | 4.05% | 4.20% | Available |
| May 27 | Technology Credit Union | 6 months | Top national rate was 4.50% | 4.65% | Expired June 6 |
| June 3 | Newtek Bank | 9 months | 4.50% | 4.60% | Current national leader |
| June 4 | PenAir Credit Union | 21 months | 4.40% | 4.50% | Available |
| June 10 | T Bank | 12 months | 4.40% | 4.45% | Available |
| June 10 | Prime Alliance Bank | 36 months | 4.00% | 4.15% | Available |
What the Fed's Next Moves Mean for CD Rates
The Fed's rate setting committee opened its June meeting with a decision expected the following afternoon. Pricing from the CME Group's FedWatch Tool put the odds of another hold near 100%, and traders were assigning roughly 85% odds to a third straight pause at the July 29 and 30 meeting. That points to September as the earliest realistic window for a cut, which could mean two to three more months of relatively flat CD pricing.
None of that guarantees silence, though. Just as several institutions raised rates last month to stand out from competitors, more could do the same in the weeks ahead, particularly if deposit competition heats up. Forecasts still call for the Fed to trim rates by roughly half a percentage point, possibly more, before the year is out. Once a cut looks likely, CD rates typically start falling faster in anticipation.
Should Savers Wait for a Better Rate to Show Up
Holding out for a slightly higher yield carries its own risk. Rates on the best CDs have been drifting in a narrow band for months, and there's no guarantee a future offer will beat what's on the table now. Once the Fed signals it's ready to cut, banks tend to pull their top rates quickly rather than let them linger. Locking in a competitive APY today secures that return for the full term, whether it's six months or five years, regardless of what the Fed decides next.
Shoppers comparing offers should also look past headline APYs to the fine print. Minimum deposits, early withdrawal penalties, and whether a credit union requires a donation or membership fee to join can all affect the real value of a CD. Federally insured institutions, whether backed by the FDIC for banks or the NCUA for credit unions, remain the baseline requirement for protecting deposits up to standard coverage limits.