CD Calculator
Calculate the maturity value and interest earned on your Certificate of Deposit (CD). See how your money grows with guaranteed returns.
Amount you plan to deposit in the CD
Annual Percentage Yield (APY) offered by the bank
Length of the CD term (common: 6, 12, 24, 36, 60 months)
How often interest is compounded
What is a CD (Certificate of Deposit)?
A CD is a savings account that holds a fixed amount of money for a fixed period (term) at a guaranteed interest rate. Unlike regular savings accounts, you can't withdraw money before maturity without paying an early withdrawal penalty. CDs are FDIC-insured up to $250,000, making them very safe investments.
What happens when a CD matures?
When your CD reaches its maturity date, you have several options: 1) Withdraw your principal plus interest, 2) Roll it over into a new CD (often automatic), or 3) Add more money and open a new CD. Most banks give you a 7-10 day grace period to decide without penalty.
What is the early withdrawal penalty for CDs?
Early withdrawal penalties vary by bank and CD term. Common penalties are 3-6 months of interest for CDs under 2 years, and 6-12 months of interest for longer terms. Some banks charge a percentage of principal. Always check your CD agreement before withdrawing early.
Are CD rates better than savings account rates?
Generally yes. CDs typically offer higher rates than savings accounts (often 1-2% more) because you commit to leaving your money untouched for a set period. Longer CD terms usually offer higher rates. However, high-yield savings accounts sometimes match short-term CD rates with more flexibility.