| The Federal Reserve's spate of interest rate hikes has had a silver lining for savers, who are currently seeing better yields on savings accounts, certificates of deposits, and other products.
That may be short lived. The Fed indicated it is weighing a pause on rate increases, and some experts are predicting cuts could be on the agenda as soon as late 2023. In other words, we could be at or near peak on some savings product rates in the current cycle.
One easy place to look for a better return on cash: high-yield savings accounts. While the average savings account rate is still below 0.5%, some of the top high-yield online savings accounts are paying over 4%, as of early May.
Many savers aren't making the most of those higher yields. Only 22% are earning interest of 3% or more on savings, according to a recent Bankrate survey.
Check out reporter Kate Dore's article, below, for three more smart options for cash and how to best lock in high rates.
For more advice to help you make smart financial decisions, check out CNBC's Financial Advisor Hub and Personal Finance section. To listen to the latest edition of the PF team's weekly Twitter Space, "This Week, Your Wallet," click here. |
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