That means savers still have time to enjoy attractive rates on certificates of deposit and savings accounts.
This latest pause is likely to result in more of the same.
The changes can take several weeks or even months to take effect.
As such, there may be dramatic differences in account interest rates from bank to bank.
The Fed paused rates.
“If you want more flexibility, short-term options might make sense in case rates shift.”
In exchange for fixed growth, you agree not to withdraw your money before the term ends.
Community or regional banks,credit unionsandonline-only banksoften offer higher rates on deposit accounts to attract new customers.
Thebest high-yield savingsaccounts continue to offer APYs up to 5%, low fees and no minimum balance requirements.
Thebest CD ratesare as high as 4.65% APY.
When evaluating a savings account, note any fees associated with opening or maintaining the account.
Terms can last anywhere fromthree monthstofive yearsor more.
This protects your money for up to $250,000 per person, per institutionif the bank fails.
You should also compare APYs and how easily you could access your money before making your decision.
But the sooner you act, the better.
Experts expect the Fed will resume rate cuts later this year.
