CD Calculator

Calculate Certificate of Deposit earnings at maturity. Compare CD rates and terms to find the best return for your deposit with guaranteed interest.

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Frequently Asked Questions

What is a Certificate of Deposit (CD)?
A CD is a savings product where you deposit a fixed amount for a set period (term) at a guaranteed interest rate. In exchange for locking up your money, you typically earn a higher rate than a regular savings account. CDs are FDIC-insured up to $250,000 per depositor per bank, making them one of the safest investment options available.
What happens if I withdraw from a CD early?
Early withdrawal from a CD typically incurs a penalty, often equal to several months of interest. For a 12-month CD, the penalty might be 3-6 months of interest. Some banks offer no-penalty CDs with slightly lower rates. Before opening a CD, ensure you will not need the funds before maturity or keep enough liquid savings for emergencies.
What is a CD ladder and how does it work?
A CD ladder is a strategy where you split your deposit across multiple CDs with staggered maturity dates. For example, invest equal amounts in 1-year, 2-year, 3-year, 4-year, and 5-year CDs. As each CD matures, reinvest into a new 5-year CD. This provides regular access to funds while capturing higher long-term rates, balancing liquidity with returns.

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