Rate Cut Playbook: How to Lock in a High Yield in September 2025
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After eight straight months of holding interest rates steady, the Federal Reserve could finally be gearing up for a rate cut -- and that's big news for savers.
Once the Fed starts lowering rates, top-paying savings products like certificates of deposit (CDs) and high-yield savings accounts could disappear fast.
There's still a short window to lock in a 4.00%+ APY, but you've got to act pretty fast.
Why a Fed rate cut could hit CD yields soon
The Federal Reserve uses interest rates to help control inflation and economic growth. Here's what we're seeing as of early September:
- The latest core inflation report was 3.1% YoY.
- Unemployment rate rose to 4.3%, the highest since 2021.
- The market expects three rate cuts before the end of 2025, starting at the Fed's next meeting, on Sept. 17.
CDs are highly sensitive to Fed moves. In fact, some banks have already begun lowering their CD rates in anticipation -- and others could follow in the coming weeks.
So if you want to lock in a guaranteed return, it's go-time.
Best CD rates you can still lock in this September
There are still some high-yield CDs on the table right now -- especially from online banks and credit unions.
Here are a few top picks right now:
LendingClub CD
On LendingClub's Secure Website.
Discover® Bank CD
On Discover Bank's Secure Website.
Rates can change pretty fast -- and without notice -- especially when the market senses a Fed shift. If you spot a rate that fits your goals, the smart play is to lock it in before it disappears.
Top high-yield savings accounts are still paying 4.00%+ APY
While CDs offer guaranteed rates for a fixed term, high-yield savings accounts (HYSAs) are still a great option for short-term flexibility.
Many top online banks are offering APYs just over 4.00% right now, and your money stays liquid -- no term commitment or early withdrawal penalties.
The tradeoff is that APYs are variable, and can be lowered at any point with no notice.
But even after the Fed cuts rates, HYSAs still offer rates around 10 times higher than the national average. It's a smart account type to have in any economy.
Pro tip: A combo strategy might work well. Use a CD for the cash you won't need soon, and an HYSA for funds you want to keep handy. One of my favorite setups is with LendingClub -- It offers both high-yield CDs and a competitive savings account, so you can manage everything in one place. Read our full LendingClub high-yield savings review here.
This is your window
CDs aren't sexy. But they let you lock in a great rate now and keep earning long after everyone else is stuck with lower yields.
Once the Fed cuts rates -- likely in the coming weeks -- today's top CD deals will vanish.
So if you've got idle cash sitting in a checking account or low-yield savings account, make a move.
Compare today's top-paying CDs and lock in your rate before the Fed makes a move of its own.
Our Research Expert
Joel O’Leary is a full-time Personal Finance Writer at Motley Fool Money, covering credit cards, bank accounts, investing, mortgages, and other personal finance topics. Joel has been writing about personal finance since 2018, previously leading editorial content for the How To Money podcast and serving as a resident writer at Budgets Are Sexy. He bought his first rental property at age 18, funding the down payment with savings from his high school job at McDonald’s -- a testament to his lifelong passion for smart money decisions. His work aims to make personal finance accessible and actionable for everyday readers. When he’s not writing, Joel enjoys surfing and spending time with his family.