If you’ve been watching CD rates slide downward for months like a depressing stock ticker, here’s some unexpected good news: the trend just reversed.
For the first time in a while, more banks and credit unions are raising their CD rates than lowering them.
CD Valet—a digital platform that helps savers find the best certificate of deposit rates from thousands of financial institutions nationwide—just dropped their May analysis, and the numbers tell an interesting story. Between early April and early May 2026, about 54% of CD rate changes were increases, while 46% were cuts. It’s not a massive swing, but it’s the first time the scales have tipped in savers’ favor in months.
“The Federal Open Market Committee held rates steady again, but there was unusual division among committee members,” explains Mary Grace Roske, Head of Marketing and Communications at CD Valet. “Economic signals are still all over the map. With inflation staying stubbornly high and nobody quite sure when the Fed will actually cut rates, banks and credit unions are keeping their CD yields steady or even bumping them up—especially on shorter terms like 12-month CDs.”
The Numbers Behind the Trend
CD Valet’s monthly Ratewatcher report is no small sample size—they track over 40,000 publicly listed CD rates from nearly 5,000 banks and credit unions across the country. In their May analysis, 1,128 institutions increased their CD rates while 969 lowered them. When rates went up, they climbed an average of 28 basis points (that’s 0.28%). When they dropped, they fell by an average of 23 basis points.
The star of the show? Twelve-month CDs, which accounted for more than 20% of all rate increases. Mid-term options like 24-month and 36-month CDs also saw plenty of action on the upside.
What This Means for Your Money
If you’ve got cash sitting in a low-yield savings account, now might be a smart time to shop around. Financial institutions are still fighting for deposits, and that competition is working in your favor—particularly for short-term CDs.
“For savers, this environment is all about timing and choice,” Roske notes. “Many institutions are still competing aggressively for deposits, especially on short-term CDs, which means there are real opportunities to lock in competitive yields. The key is shopping around and not assuming your current bank or credit union is offering the best deal.”
She also suggests considering a CD laddering strategy—where you split your money across multiple CDs with different maturity dates. This lets you take advantage of today’s rates without trapping all your cash if rates shift again later this year. Think of it as not putting all your eggs in one basket, except the eggs are your money and the baskets are CDs with staggered terms. (Okay, maybe that analogy needs work, but you get the idea.)
Bottom line: Don’t assume the CD rate at your longtime bank is the best option out there. A little comparison shopping could earn you meaningfully more interest over the next year or two—and in today’s economic climate, every basis point counts.
Related:
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