Investing in Cash

Certificates of Deposit - CD

How do I know the terms and rules for a CD?

Each CD issuer has a disclosure statement that outlines all the terms of the certificate, including any risks associated with the investment, the interest rate, and the term of the certificate. The disclosure statement will also describe whether the interest rate is fixed or variable for the term of the CD. If variable, the disclosure statement will also describe the benchmark rate of interest upon which the CD interest rate is based, and how it is computed.


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