Because CD rates are so low in the current market, investors may be afraid to commit to a five-year CD.
"Rates aren't going to go up overnight," Taylor says.
Still, there are strategies for CD investment that can help a depositor take advantage of above-average CD rates while increasing liquidity. Taylor recommends considering a stepladder or barbell approach instead of committing to a CD ladder that extends for five years.
These two approaches involve investing in shorter maturities with the option to consider long-term maturities in the future. McBride also suggests considering alternatives options such as liquid CDs, bump-up CDs and step-up CDs -- CD alternatives that offer a chance at higher yields later.
Regardless of whether or not you decide to renew your CD, the renewal period is your time to test the market.
"When your CD is due for renewal, this is your shot at free agency," McBride says. "You get to shop around and see where you can get the best return."