Earn guaranteed interest with a CD

A certificate of deposit (CD) is a type of savings account that allows you to earn interest for a predetermined amount of time. When the term ends, you'll get back your initial deposit—plus interest. CDs are considered safe investments and can provide reliable returns.

• Need help deciding? When comparing accounts, consider these factors before signing up.
  • Annual percentage yield (APY) APY represents how much interest you will earn over the course of a year on your savings. The higher the APY, the more your money will grow over time.
  • Term length Term length is the amount of time you'll need to keep your funds in a CD after making the opening deposit. Terms commonly range from three months to five years, and the period you choose may impact your interest rate and potential earnings.
  • Minimum deposit Most CD accounts require a minimum of $500 to $2,500 to open an account, although some have no minimum deposit requirements.
  • Early withdrawal penalties If you cash in a CD early, before the end of the term, you might incur an early withdrawal penalty. Penalties and terms vary from bank to bank and should be disclosed when you open your CD.