A $12,000 CD account can produce a return worth hundreds of dollars for savers in a relatively short amount of time.

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A report earlier this month showing inflation declining in June was a step in the right direction for millions of Americans, but it also underlined the work that still lies ahead. With the inflation rate still more than a full percentage point above the Federal Reserve's target 2% goal and interest rates remaining elevated largely because of that, many savers find themselves reevaluating their strategies. And that could lead to a transfer of funds out of a traditional savings account – which comes with a minimal average interest rate of just 0.38% now – and a move into a better, higher-rate alternative.

A certificate of deposit (CD) account is one worth serious consideration now, especially if there's a large, five-figure amount such as $12,000 at play. And with a short-term account, in particular, savers won't be required to forgo access to their money for an extended period of time as these accounts mature in 12 months or less. In the interim, however, they'll protect their principal and grow their interest with a rate around 4%. Still, withdrawing money prematurely here will mean having to pay an early withdrawal fee.

In turn, it's critical that savers know what they'll earn for this short-term accessibility sacrifice. How much interest will a $12,000 short-term CD account earn now, then? That's what we'll calculate below.

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Here's how much interest a $12,000 short-term CD account can earn now

CD accounts have fixed interest rates that will remain the same through the account's maturity date, making interest-earning projections simple to complete with accuracy. Assuming no early withdrawal fees or penalties are issued against the account, then, here's how much interest a $12,000 short-term CD account can earn now, calculated using the top rates for four different terms:

• *$12,000 3-month CD at 3.95%:* $116.78 upon account maturity
• *$12,000 6-month CD at 4.15%:* $246.47 upon account maturity
• *$12,000 9-month CD at 4.10%:* $367.14 upon account maturity
• *$12,000 1-year CD at 4.17%:* $500.40 upon account maturity

Savers stand to earn more than $100 with a CD account of this size in just three months or slightly over $500 if they maintain it through a July 2027 maturity date. Not only will interest here be guaranteed and reliable, however, but with the principal being locked away, it will also be protected against any withdrawals that you may have otherwise made with an account that didn't restrict access.

Just be sure to shop around online, however, as different lenders will offer different rates and terms. By taking the time to review your options, you can boost your chances of finding an account with the best rate and no or minimal fees.

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How much interest can a $12,000 high-yield savings account earn instead?

A high-yield savings account with a top rate of 4.10% will earn savers a similar, albeit slightly lower return, on a $12,000 deposit. And, unlike the CD, they won't have to forego access to their money as they can continue to make deposits and withdrawals as they typically would.

The caveat, however, is that high-yield savings accounts have variable rates that will rise or fall based on market conditions, making the interest-earning predictions less reliable than they will be with a CD. Still, if you want (or need) to maintain access to your funds and are comfortable with a rate that will adapt to a changing economic environment, this could be worth evaluating, too.

Learn more about your high-yield savings account options now.

The bottom line

A $12,000 short-term CD account can produce hundreds of dollars in interest for savers who act now while protecting their principal from any market turbulence. And the funds here will become accessible again in 12 months or less, making it an attractive option for savers who don't want to limit their flexibility long-term. That said, a high-yield savings account also offers some benefits worth exploring now, so that could be a viable alternative. Don't discount the advantages of splitting your funds between both account types, too, which could prove to be a worthwhile strategy for those who find both accounts viable.