CD Calculator

A Certificate of Deposit (CD) calculator helps you determine the accumulated interest and final balance of your deposit over time. Tax is considered for a more accurate result.

What is a Certificate of Deposit (CD)?

In the United States, a Certificate of Deposit (CD) is a popular savings product offered by banks and credit unions. When you open a CD, you agree to deposit a fixed amount of money for a set period—ranging from a few months to several years. In return, the bank pays you a guaranteed interest rate, usually higher than a regular savings account. At the end of the term (maturity), you receive your original deposit plus the interest earned. CDs are a safe way for Americans to grow their savings without risk from market fluctuations.

FDIC Insurance: Your Money is Protected

Most CDs in the U.S. are insured by the Federal Deposit Insurance Corporation (FDIC) for banks, or the National Credit Union Administration (NCUA) for credit unions, up to $250,000 per depositor, per institution, per ownership category. This federal insurance means your money is protected even if your bank or credit union fails. Always confirm that your financial institution is FDIC or NCUA insured before opening a CD.

Where and How to Purchase CDs in the U.S.

You can purchase CDs at nearly all U.S. banks and credit unions, both traditional and online. Online banks often offer higher rates and easy account opening. To buy a CD in the U.S.:

Compare rates and terms from different U.S. banks and credit unions—look for FDIC or NCUA insurance.
Choose your deposit amount and the term that fits your savings goals.
Open the CD account online, in a branch, or by phone, and fund it from your checking or savings account.
Keep your money in the CD until maturity to avoid early withdrawal penalties, which are common in the U.S.

Be sure to read all terms and conditions, including how interest is paid, what happens at maturity, and any penalties for early withdrawal. CDs are a great option for U.S. savers who want safety and predictable returns.