certificates of deposit

Cultural  

1. Bonds issued by banks and savings and loan associations to individual investors. CDs have terms ranging from a few months to several years; in general, the longer the term, the higher the interest rate that they bear. At the expiration of the term, investors may withdraw both the principal and the accrued interest. Penalties are imposed for early withdrawal.

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Example Sentences

Rates on many savings accounts or certificates of deposit are set competitively.

From The Wall Street Journal • Dec. 13, 2025

One obvious answer is certificates of deposit, which promise a fixed interest rate for a set term, such as one, three, or five years.

From Barron's • Dec. 11, 2025

High-yield savings accounts are more liquid than certificates of deposit, meaning you can take your money out more easily, with withdrawals usually limited to half a dozen per month.

From MarketWatch • Nov. 4, 2025

With the stock market so high, I have suggested that he might want to sell the investments, take the tax hit and consolidate into short-term certificates of deposit or similar.

From Los Angeles Times • Aug. 11, 2024

The greater part of it—everything, indeed, but the house and grounds—was in cash, represented by certificates of deposit accompanying the will, and bonds of the United States.

From The Master of Silence A Romance by Bacheller, Irving