Here's what to do if your CD account matures this January, according to experts

When a certificate of deposit (CD) account matures it will auto-renew unless you've previously decided to withdraw or transfer the funds to another account(s).

You face a narrow grace period to act when your CD account reaches maturity and, while you might feel confident making the same decisions you had in the past, you should acknowledge we're in the middle of interest rates trending down. A new CD account you open isn't likely to have the same CD interest rate as the one that is set to mature.

The Federal Reserve lowered interest rates multiple times in 2024 and 2025 and today's CD account rates are likely lower than rates you saw when you first opened your account. Since rates were on the move for most of 2025, your decision now can meaningfully affect returns in 2026.

"With the Federal Reserve having lowered interest rates, and expectations pointing toward more cuts, newer CD rates may continue to trend downward, for both short and longer-duration offerings," says Winnie Sun, Managing Director of Sun Group Wealth Partners. "If you don't need immediate access to your money and your financial plan is already in place, you might consider locking in longer-term CDs while current rates are still available."

In short, a new CD account at current rates could be a great decision when looking at ways to maximize interest gains in 2026 and beyond. Below, we'll break down what to consider if your current account is set to mature this month.

Start by seeing how high your current CD rate offers are here.

What to do if your CD account matures this January, according to experts

You typically have the following options when a CD account matures:

• Auto-renewal
• Withdraw and transfer funds to a different account
• Withdraw and deposit funds into a new CD account

Each option comes with trade-offs that look different based on current rate trends, so you'll want to know how rates today are compatible with your investment strategy.

Experts generally advise that you avoid auto-renewals, however. Letting your bank renew your CD account automatically may deposit your money into an account with an interest rate that is not competitive, meaning you will earn less interest than if you shopped around for a new CD account with a good rate to deposit your funds into. Knowing your maturity date can help you navigate your grace period and make the best choice.

"Consumers should be aware of their CD maturity date and any associated grace period, setting reminders to proactively assess renewal options. Failure to do so will result in an auto-renewal at a potentially lower interest rate and a less-than-ideal term," says Cyndee Kendall, Region Lending Director for Northern California and Nevada at Citi.

Experts also advise you to consider whether you need the money in your CD account. A CD account that reaches maturity provides you with new liquidity that can help you meet financial obligations elsewhere.

"If you have a CD coming due in January, this could be a good time to consider whether some of those funds might support your 2026 IRA or Roth IRA contributions (if eligible) or if your money may be better positioned elsewhere based on your financial goals," says Sun. You might also consider allocating your matured CD account funds to Roth IRA contributions for 2025, or withholding some of the funds for 2025 tax filings.

Learn more about your current CD account options here.

What experts say should guide your CD account decisions

You should weigh rate forecasts, liquidity needs and near-term financial goals before deciding how to handle matured CD funds. Your decision now is unique and shouldn't replicate decisions you made in previous financial situations; it should be informed by your needs, goals, and investment strategy.

"Before doing anything, pause and reset your personal terms and conditions. Banks already have theirs ready," says Nadia Vanderhall, Financial Planner and Educator. "Yours should be based on your goals, your timeline, and what you need this money to do next."

According to Vanderhall, you should consider if your CD account rates reflect your savings goals, what you plan to use the money for, and how long you can deposit it for. Your answers to these questions will guide your decision.

What to do with a CD account that reaches maturity

Experts agree that splitting a mature CD account and laddering it into multiple CD accounts is a great way to balance investment growth and liquidity. If you're unsure how you want to proceed right now, you might consider laddering CD accounts as a great strategy for maintaining some liquidity while not missing out on valuable interest growth.

"I'm a fan of a laddered CD strategy where you purchase a mix of CDs with different durations and interest rates," says Sun. "If you're a saver who's concerned about future interest rates, especially as we're looking ahead to 2026, and if you feel committed to CDs, this could be a good time to explore a laddered strategy."

Kendall also supports that strategy of laddering CD accounts with different terms, noting that "short-term CDs can provide flexibility for those wishing to capitalize on potentially higher rates at a later date." Laddering CD term maturity dates "allows you to take advantage of higher rates with longer terms as funds mature, while also retaining access to some funds to capitalize on higher rates should they happen."

The flexibility that comes with laddering might be best suited during a time when rates are trending up, as they were a few years ago, but it's also a suitable strategy for a time of uncertainty and declining rates, like now.

The bottom line

Choosing a CD account for the new year is a big step toward meeting financial goals. Allowing auto-renewal when your CD term ends without reviewing alternatives can make it hard to meet your savings goals because it's rare that the auto-renewal rate and term is compatible with your strategy and needs. It's essential to shop around and align your next step with both market conditions and personal priorities.

"Above all, this is why your personal terms and conditions matter," said Vanderhall. "Don't chase the rate, market, or Fed headlines. Focus on how your money should work for you — your timeline, your need for access, and your goals."