3 CD account mistakes to avoid in today's economy

MoneyWatch: Managing Your Money 3 CD account mistakes to avoid in today's economy We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. .chip { background-image: url('/fly/bundles/cbsnewscore/images/chip-bgd/chip-bgd-moneywatch.jpg'); } By Matt Richardson Matt Richardson Sr. Managing Editor, Managing Your Money Matt Richardson is the senior managing editor for the Managing Your Money section for CBSNews.com. He writes and edits content about personal finance ranging from savings to investing to insurance. Read Full Bio Matt Richardson May 21, 2026 / 3:09 PM EDT / CBS News Add CBS News on Google To boost their chances of CD account success in today's economy, savers should know which costly mistakes to first avoid. J Studios/Getty Images The economic terrain millions of Americans find themselves in lately may not be the one many were hoping for. With inflation surging in recent months – now at its highest level in three years – and elevated interest rates effectively frozen for the foreseeable future, many understandably feel stuck right now. For savers, however, there remains a silver lining in the form of elevated interest rates on select savings accounts. That can help boost their money and protect it from the volatility it would otherwise feel if invested or stored in low-rate account alternatives.A certificate of deposit (CD) account, for example, now comes with an interest rate of 4% or higher, depending on the term. That's $4 earned for every $100 deposited. Considering that the average rate on a traditional savings account is just 0.38% now, the benefits of a CD account are clear. Plus, CD rates are fixed, meaning that they won't change even if the economy or interest rate climate does. That's something that traditional, high-yield savings and money market accounts all fail to offer.At the same time, a CD account is a savings tool that, like all others, will only be as effec...