Should You Lock In Today's CD Rate for Longer? Here's How to Decide

If you’re waiting for a clear signal that it’s the “right” time to open a certificate of deposit, you’re not alone. Every week seems to bring another prediction – some analysts expect rates to move higher while others believe they'll eventually move lower. The truth is that no one knows with certainty where rates will be a year or more from now.

That’s one reason many savers choose not to build their strategy around interest rate forecasts alone. Instead, they choose a term that fits when they’ll actually need the money. If rates rise, they’ll know they selected a timeline that matched their goals. If rates fall, they’ll appreciate having locked in today’s return for longer. In the end, choosing the right CD is really about picking a timeline you’ll still feel good about if and when you need to use your money.

The right CD term has less to do with predicting interest rates and more to do with matching your savings to your timeline. If you expect to need the money in three months, a short-term CD may be the better fit. If your goal is about a year away, locking in today’s rate for at least that long may help you stop worrying about where rates go next.

Key Takeaways

• Don’t build your savings strategy around interest rate predictions alone.
• A mid-term CD can balance flexibility with the certainty of locking in today’s rate.
• Choosing the right CD term depends more on when you’ll need your money than where rates may go next.
• Eligible deposits at FDIC-insured banks like OMB Bank are protected up to applicable limits.

How Often Do You Want to Think About Your Savings?

Choosing a CD isn’t just about the rate – it’s also about how involved you want to be in managing your savings over the coming year. Consider someone saving for a home renovation planned for next summer. They don’t need the money today, but they also don’t want to lock it away for several years. A short-term CD may give you more opportunities to adjust your strategy, but you’ll also need to make another decision every time it matures.

For savers who find themselves in that middle ground, OMB Bank’s 13-month CD special is designed to provide a guaranteed return without committing funds for several years.

Current 13-Month CD Special

• APY: 4.19% annual percentage yield

• Term: 13 month certificate of deposit

• Minimum opening deposit: $1,000

• Fees: No setup or maintenance fees

• Availability: Open online nationwide and at all OMB Bank branches

• Rate effective date: July 1, 2026

Why 13 months? Promotional CD terms don’t always align with traditional calendar periods. A 13-month term allows savers to lock in a competitive rate beyond one year while helping banks meet funding needs.

Which CD Term Fits Your Savings Style?

What Counts as a Short-, Mid- or Long-Term CD?

These categories aren’t official banking terms, but they’re commonly used by banks and financial publications to describe CDs based on how long your money remains on deposit.

What If Rates Go Up?

If rates rise after you open a mid-term or longer-term CD, your rate won't change. But rates could also remain steady or move lower. Because no one can predict the future, choosing a CD is often less about forecasting interest rates and more about selecting a timeline that fits your financial goals.

That’s why many savers choose a CD term based on their timeline first and treat future rate changes as a secondary consideration.

Who Should Consider a Mid-Term CD?

• You won't need the money for about a year.
• You value predictable earnings.
• You prefer fewer renewal decisions.
• You're saving for a goal beyond the next several months.

For many savers, that’s the real benefit of a mid-term CD. Once it’s opened, they can stop wondering whether they made the right decision every time another interest-rate headline appears.

When a Mid-Term CD Might Not Be the Best Choice

• You expect to need the money soon.
• You enjoy actively managing your savings.
• You’re intentionally waiting for future rate changes.

The best CD isn’t always the one with the shortest term or even the highest advertised rate. It’s the one that matches when you’ll actually need your money.

If you’ll need your money in a few months, a shorter-term CD may be the better choice. If you’re comfortable setting those funds aside for about a year and appreciate knowing exactly what you’ll earn, a mid-term may offer the right balance. And if you're saving for something far in the future like a home purchase, education expenses or another long-term goal, a long-term CD could be the answer.

Should You Consider a CD Ladder?

If you’re torn between the flexibility of a short-term CD and the certainty of locking in a rate for longer, you may not have to choose just one. Many savers use a CD ladder by dividing their savings among CDs with different maturity dates.

For example, you could open OMB Bank's 3-month CD, 9-month CD and 13-month CD at the same time. As each one matures, you’ll have the opportunity to use the money, reinvest it at current rates or adjust your strategy based on your financial goals and the interest rate environment.

A CD ladder can also help reduce the pressure of trying to guess where interest rates are headed, since a portion of your savings is regularly maturing and available to reinvest. Want to learn more? Read our companion guide on how to build a CD ladder and see how the strategy works step by step.

Before You Choose a CD Term

Ask yourself these questions:

• When will I actually need this money?

• Am I comfortable leaving it untouched until maturity?

• Would I rather revisit rates every few months or make one decision today?

• Am I choosing a term because it fits my goals – not because I’m trying to predict the market?

Frequently Asked Questions

Is now a good time to lock in a CD?

There’s no universally right time to open a CD. Rather than trying to predict where interest rates are headed, many savers choose a term that matches when they’ll need the money and the level of certainty they want along the way.

Should I wait for a better CD rate?

No one can predict future interest rates with certainty. Rather than trying to time the market, many savers choose a CD term that aligns with when they’ll need their money and the level of certainty they prefer.

What happens at maturity?

You'll have a grace period to renew, change terms or withdraw funds.

What happens if I withdraw money from my CD before it matures?

You can generally withdraw money from an OMB Bank certificate of deposit before maturity, but an early withdrawal penalty may apply. For OMB Bank CDs, the penalty is generally equal to one-half of the interest the CD would have earned if it had been held to maturity. For example, a 13-month CD carries a penalty equal to 6½ months of interest. Because the penalty is based on the original term rather than how long the CD has been open, it’s a good idea to choose a term that matches when you expect to need your money.

Are CDs FDIC insured?

Yes, eligible deposits are protected up to applicable limits.

Is a mid-term CD considered short-term or long-term?

A mid-term CD generally refers to certificates with terms of about one to two years. It offers a middle ground between the flexibility of short-term CDs and the longer commitment of multi-year CDs.

Why would someone choose a 13-month CD instead of a 12-month CD?

Promotional CD terms don’t always follow traditional calendar lengths. Banks sometimes offer terms like 13 months because they align with funding needs while allowing customers to lock in a competitive rate beyond one year.

Can I open a 13-month CD online?

Yes, OMB Bank's 4.19% APY 13-month CD can be opened online nationwide.

Explore Your Options

Whether you’re ready to open a CD or simply comparing your options, you can view current OMB Bank CD rates, estimate your earnings potential with our CD calculator or open any OMB Bank CD online in minutes. If you'd rather talk through your options, visit any convenient OMB Bank branch in southwest Missouri or the Kansas City metro area.

Last reviewed: July 2026

OMB Bank and its affiliates do not provide legal, tax or accounting advice. Consult your advisors before making financial decisions.