Interest rates have been high for a while now, and though that's unfortunate news for consumers needing to borrow cash, for savers, it's a boon. It's particularly beneficial for those willing to leave their cash untouched in a certificate of deposit (CD) account (CD), as these products allow you to lock in today's rates for months or even years at a time. 

Still, interest rates aren't set in stone, and while today's CD rates might look good, that doesn't mean tomorrow's will. With a variety of economic factors at play that can impact the interest rate climate and, thus, the returns savers can secure with a CD, it may be worth pausing to first understand where CD interest rates are actually heading this May. We spoke with a few experts for their thoughts on what is on the horizon. 

Start earning more interest on your money with a CD account here.

What's the CD account interest rate forecast for May 2026?

Predicting the movement of CD account interest rates can be hard to do with precision. Here's what can happen this May and the reasons behind those movements (or lack thereof), according to the experts we spoke with:

Why CD interest rates could remain steady

In the short term, many experts think CD rates are going to remain about where they are. 

"Because the Fed funds rate is projected to remain the same for the next few months, I expect CD rates to remain relatively flat over that period," says Leah Evans, director of product management at Georgia's Own Credit Union. "One moves in tandem with the other."

Evans is referring to the rate set by the Federal Reserve, which is what banks pay to borrow money from each other. This is largely used as a benchmark for setting interest rates on other products, savings accounts and CDs included.

The Fed is set to meet five more times this year, and according to the CME Group's FedWatch tool, there is unlikely to be any change in the Fed rate for at least the next couple of meetings.

Lock in a high-rate CD account while you still can right now.

Why CD interest rates could fall

Another possibility is that CD rates fall — not significantly, due to the unlikelihood of any Fed rate changes — but subtly, as a reaction to current economic conditions.

"CD rates will likely continue to edge downward over the next month or two, but at a noticeably slower pace," says Cassandra Hutchinson, marketing director at CDValet.com. "The biggest forces shaping CD rates in the next month or two will be the broader macro signals that financial institutions are watching closely. With inflation markers, geopolitical pressures, and other economic factors sending mixed signals, our data has found that banks and credit unions are taking a more measured approach."

For any notable dip in rates, economic conditions would need to change a bit, pushing the Fed to take action sooner than is largely expected. 

"For CD rates to fall significantly in the near term, there would need to be a clear shift in macro conditions, such as a notable drop in inflation, more definitive signs of slowing economic growth, or easing geopolitical pressures," Hutchinson says. "This would give institutions confidence to cut more aggressively."

A change in tariff strategy could trickle down to CD rates, too, according to Christopher Walsh, senior financial advisor at Capital Choice Financial Group.

"Tariffs are the wildcard nobody can fully predict right now," Walsh says. "There are even active court challenges to the tariff program that could unwind the whole thing if they succeed, which would take inflation pressure off and give the Fed room to cut rates faster than expected."

Why CD interest rates probably won't rise

Most experts don't think CD rates are going to rise a significant amount any time soon. For one, the Fed is largely expected to hold on any additional rate hikes for the forseeable future.

"While the Federal Reserve has paused rate adjustments for now, the broader expectation is that we are at or near the peak of the rate cycle," says Amanda Erebia, director of retail banking at Amegy Bank.

The FedWatch tool shows only very small chances of a rate hike through the end of the year. Though those forecasts can change, Erebia says it would take "stronger-than-expected inflation or economic growth" to move the needle. 

"For rates to rise meaningfully, we would need hotter inflation, stronger economic data, or renewed uncertainty that pushes banks and credit unions to compete more actively for deposits," Hutchinson says.

The bottom line

CDs aren't your only way to earn interest on your cash. High-yield savings accounts can help, too — and unlike CDs, they allow unfettered access to your funds when you need them (many CDs will incurr a penalty for withdrawing funds prematurely).

And if you do choose a CD, be smart about your terms and deposit amounts and make sure to shop around. Rates can vary widely by institution. "Online banks consistently beat traditional banks," Walsh says. "And if you're putting a meaningful amount in, laddering across a few different terms protects you from being fully locked in at the wrong time."