12 best CDs to open before rates are cut in September

Stowing your savings away in an interest-bearing account has been a lucrative move to make over the last couple of years. The interest rates on these accounts have been quite high, after all, with many high-yield savings accounts and certificate of deposit (CD) accounts offering annual percentage yields (APYs) that far surpassed the inflation rate. That, in turn, resulted in big payoffs for the savers who took advantage of earning interest in a high-rate environment.

But the window to capitalize on those hefty earnings opportunities may be closing soon. While the Federal Reserve has kept rates locked at a 23-year high over the last year, inflation is finally cooling — and experts now expect the first of the Fed rate cuts to occur in September. When that happens, it's likely to have an impact on what banks and credit unions are offering on savings and CD accounts.

That's why, if you want to start earning big returns on your savings, it's important to make your move now. CD rates are fixed, so by opening the right account before the Fed rate cut happens next month, you'll lock in a great rate and guarantee your earnings for the full CD term. The key is, though, to find the best CD options possible, and that search starts with the account options outlined below.

Start earning more on your money with a top CD now.

12 best CDs to open before rates are cut in September

If you want to lock in a top CD rate before the Fed's rate cuts next month, consider the following options:

• Farmers Insurance Federal Credit Union 3-year CD — 5.75% APY: This account has a minimum opening deposit requirement of $1,000; the minimum balance required to earn the stated APY is $1,000; accessing your funds before the maturity date comes with an early withdrawal penalty equal to 180 days of interest.
• Elements Financial 2-year CD — 5.72% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $1,000; accessing your funds before the maturity date could result in an early withdrawal penalty.
• One World Bank 6-month CD — 5.50% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $1,000; accessing your funds before the maturity date could result in an early withdrawal penalty.
• Presidential Bank 7-month CD — 5.50% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $1,000; accessing your funds before the maturity date could result in an early withdrawal penalty.
• Vibrant Credit Union 9-month CD — 5.50% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $5; accessing your funds before the maturity date could result in an early withdrawal penalty.
• Bank OZK 7-month CD — 5.40% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $1,000; accessing your funds before the maturity date could result in an early withdrawal penalty.
• EagleBank 1-year CD — 5.40% APY: This account has a minimum opening deposit requirement of $1,000; the minimum balance required to earn the stated APY is $1,000; accessing your funds before the maturity date comes with an early withdrawal fee equal to 180 days of interest.
• INOVA Federal Credit Union 4-month CD — 5.40% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $200; accessing your funds before the maturity date could result in an early withdrawal penalty.
• MutualBank 3-month CD — 5.40% APY: This account does not have a minimum opening deposit requirement but the minimum balance required to earn the stated APY is $500; accessing your funds before the maturity date could result in an early withdrawal penalty.
• Newtek Bank 6-month CD — 5.35% APY: This account has a minimum opening deposit requirement of $2,500; the minimum balance required to earn the stated APY is $2,500; accessing your funds before the maturity date comes with an early withdrawal fee equal to 90 days of interest.
• Sun Canyon Bank 6-month CD — 5.35% APY: This account has a minimum opening deposit requirement of $5,000; the minimum balance required to earn the stated APY is $5,000; accessing your funds before the maturity date comes with an early withdrawal fee equal to 90 days of interest.
• Climate First Bank 6-month CD — 5.34% APY: This account has a minimum opening deposit requirement of $500; the minimum balance required to earn the stated APY is $500; accessing your funds before the maturity date could result in an early withdrawal penalty.

The bottom line

If earning a top rate on your savings is a priority, you may want to open a CD account and lock in a rate for your full CD term. That way, you'll continue to earn the same great rate on your money even after the Federal Reserve starts to slash its benchmark rate. But if you wait, chances are you'll end up with a lower APY on your account — and, in turn, lower interest earnings on your account. Ready to start your search? Find the top CD rates available to you now.