Is time running out to open a $10,000 CD account? Here's what to consider.

A few years ago, when inflation was surging and interest rates were rising in tandem, it was hard to avoid hearing about certificate of deposit (CD) accounts. 

Rates on these accounts were (and still are) fixed, giving savers predictability and reliability, which was particularly beneficial during tough economic periods. And those rates, in 2023 and 2024, were exponentially higher than they were just a few years prior, with some savers qualifying to earn returns as high as 6% or 7%.

But the economy is much different now. The inflation rate is under 3% (compared to the plus-9% it was in 2022). And the Federal Reserve has cut rates four times over the past year (compared to the multiple hikes that led to rates hitting a 22-year high in 2023). As such, the obvious advantages of CD accounts have since waned.

And they're likely to continue to decline in the upcoming months, with two additional Fed rate cuts widely anticipated for the final months of 2025. The next of those cuts is expected next week, when the Fed meets for its October meeting. So while a $10,000 CD account, for example, may have been an obvious choice in the recent past, it's less so right now. But is time running out to open a lucrative $10,000 CD account? It may be. Below, we'll detail what savers should be considering right now.

See how much interest you could still be earning with a top CD account here.

Is time running out to open a $10,000 CD account?

Technically, time isn't running out to open a $10,000 CD account, as this account type in this amount can be opened at any point. However, the window of opportunity to open a highly profitable $10,000 CD account is rapidly closing. Here's what savers need to consider (and why they should act promptly now):

Rates are already lower than they had been in recent years

While you can still find a competitive CD rate around 4% or higher now, they're becoming harder and harder to find. And they almost all reside with online banks versus those with physical banking branches. Compared to the ubiquitous presence of CD accounts with rates over 5% in the past years, it's clear that savers who still want to lock in a high CD rate should do so now. 

With a $10,000 deposit into a 2-year CD with a rate of 4%, for example, savers can still see earnings worth more than $800 if they take quick action. But the emphasis there is on "quick" as rates here could fall again even before the Fed meets next.

Get started with a high-rate CD account online today.

But they're still competitive and better than traditional savings accounts

Sure, CD rates aren't what they once were, but they still offer savers a secure and easy way to earn $4 or more on every $100 deposited right now. That can't be said with many alternatives. Traditional savings accounts, for example, have rates of just 0.40% currently. Using the same 2-year time frame as above, that will result in just $80 earned. 

To put another way: A CD is 900% more profitable than traditional savings accounts are now. And that differential is likely to become even more stark, considering that traditional savings accounts have variable rates that are poorly positioned to respond to additional Fed rate cuts, while the CD rate you lock in now will remain the same until account maturity.

It could take years for rates to rise this high again

It's important not to make today's "good" CD rates the enemy of perfection. It took years and multiple economic factors at play for CD rates to rise as high as they are now. And it could take many more years and a variety of market conditions, both good and bad, for them to bounce back to these levels. It makes sense, then, to protect a sizable portion of your available funds, like $10,000, with one of these accounts while the return is still sizable. This opportunity may not resurface again for the foreseeable future.

The bottom line

Considering that rates are lower than they've been in the recent past, but that they're still competitive and higher than traditional savings accounts, a CD could be the smart home for your $10,000 right now. Just don't wait too much longer to act here, as rates have been on a noticeable and consistent downward slope, and it could take years for them to rise to the level they're at right now. Before acting, however, be sure to carefully calculate your ability to keep the funds in the account untouched for the full CD term, as an early withdrawal penalty on account of this size could be expensive.