Fed’s Next Move in 5 Weeks—Lock in 5% Yields on Cash Before the Door Slams Shut

The clock’s ticking—the Fed’s next rate decision drops in just 35 days, and the gravy train of 5% cash yields won’t last forever. Here’s how to front-run the herd.

Where the smart money’s parking cash (for now)

While traditional banks nickel-and-dime savers with 0.01% APY jokes, high-yield cash plays still exist—if you know where to look. Treasury ETFs? Money markets? Crypto stablecoin farms? We’re not saying… but we’re also not not saying.

The coming yield massacre

Post-Fed pivot, these 5% opportunities will vanish faster than a Wall Streeter’s moral compass during earnings season. The window’s closing—time to move.

Key Takeaways

• The Fed is overwhelmingly expected to lower rates in mid-September, with further cuts in the months ahead.
• Savings, money market, and CD yields begin to fall when banks expect a Fed rate cut is on the way—often before any Fed move.
• That's why now is the time to secure one of today’s standout 4%-5% returns while you can.
• Our daily rate research on the best high-yield savings accounts, money markets, and checking accounts helps you earn top rates easily.
• Even smarter: Stash some savings in a top-paying CD, where your rate is locked in for the full term, protecting you from future rate cuts.
  

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The Fed’s Next Decision Is Near—Here’s What It Could Mean for Your Money

Markets are betting heavily on an end to the Federal Reserve's hold-tight approach: Traders are pricing in a 100% chance of a quarter-point cut on Sept. 17, plus 68% odds of another reduction in October. The Fed has met five times in 2025 without changing rates—a prolonged pause after three straight cuts late last year.

For cash savers, Fed moves are important because bank account yields generally move in step with the Fed’s benchmark rate, which is still NEAR recent highs. That’s why today’s 4%-5% savings rates remain unusually strong—but they won’t last forever with cuts approaching.

Top Savings and Money Market Accounts Offer Up to 5%—With Flexible Access

If you’ve got extra cash sitting in the bank, it could probably be earning far more than you think. The national average savings rate at FDIC banks is just 0.38%, and some of the biggest names—like Chase and Wells Fargo—pay a near-zero 0.01%.

Fortunately, you can do better—think 10, 12, or even 13 times the national average. That's because dozens of high-yield savings accounts currently pay in the mid- to upper-4% range, with two options—Varo Bank and AdelFi—paying 5.00% APY. Whenever you're shopping for savings options, we make the research easy for you, publishing our ranking of the top-APY savings accounts every business day.

Prefer to have check-writing access to your savings? A top-paying money market account might be the answer. Many offer lower rates than the best savings accounts, but HUSTL Digital Credit Union, the leader in our ranking of the best money market accounts, matches the top savings rate of 5.00% without any balance requirements.

Adding a new bank is easy

Opening a top savings or money market account usually means starting with a bank or credit union you haven't used before. But transfers to and from your primary bank will take just just 1-3 business days, and you can even set them to happen automatically. Keeping your savings at a separate bank can also make it easier to resist dipping into the money for unplanned expenses.

This Unexpected Checking Account Also Offers 5%

Sure, this story is about boosting your savings—but some checking accounts are so flexible and pay so well that you can use them almost like a savings account. mph.bank's “Free Account” pays an impressive 5.00% APY on balances up to $50,000, making it one of the highest-yielding accounts in the country.

Many high-interest checking accounts require a long list of debit card purchases to qualify for their top rate. mph.bank’s account makes no such demand—you just need at least $2,000 in direct deposits each statement cycle (multiple deposits can count toward that monthly total). If that’s manageable, this account can double as both your everyday checking and a high-yield savings option.

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Add a CD to Guarantee Today’s Rate for Months or Years

It's also smart to consider one of today's best CDs, which are guaranteeing rates as high as 4.60% right now. Unlike savings or checking accounts, where the APY can be lowered at any time, the rate you lock in with a CD is yours to keep until the CD matures. If you can set aside some of your savings for the long term, a CD lets you lock in today’s yield and ride out any 2025 and 2026 rate cuts by the Fed.

Just be sure to consider your financial timeline and choose a CD term you’re confident you can stick to. That's because you're committing to the full term in exchange for a CD's locked-in rate. Cash out early, and you'll face an early withdrawal penalty that will reduce your CD's earnings.

Also, be sure you have a solid cash reserve that's easily accessible, such as in a high-yield savings account. If you need money quickly for something, you can tap those funds first and potentially avoid withdrawing any CD funds.

Daily Rankings of the Best CDs and Savings Accounts

We update these rankings every business day to give you the best deposit rates available:

• Best High-Yield Savings Accounts - Up to 5.00%
• Best Money Market Accounts - Up to 5.00%
• Best 3-Month CD Rates - Up to 4.41%
• Best 6-Month CD Rates - Up to 4.60%
• Best 1-Year CD Rates - Up to 4.50%
• Best 18-Month CD Rates - Up to 4.40%
• Best 2-Year CD Rates - Up to 4.50%
• Best 3-Year CD Rates - Up to 4.28%
• Best 4-year CD Rates - Up to 4.28%
• Best 5-Year CD Rates - Up to 4.28%

Important

Note that the "top rates" quoted here are the highest nationally available rates Investopedia has identified in its daily rate research on hundreds of banks and credit unions. This is much different than the national average, which includes all banks offering a CD with that term, including many large banks that pay a pittance in interest. Thus, the national averages are always quite low, while the top rates you can unearth by shopping around are often 5, 10, or even 15 times higher.

How We Find the Best Savings and CD Rates

Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs and savings accounts to customers nationwide and determines daily rankings of the top-paying accounts. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the account's minimum initial deposit must not exceed $25,000. It also cannot specify a maximum deposit amount that's below $5,000.

Banks must be available in at least 40 states to qualify as nationally available. And while some credit unions require you to donate to a specific charity or association to become a member if you don't meet other eligibility criteria (e.g., you don't live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.