The penalty fees can vary depending on your bank and your CD's term length, but it's usually the interest earned, or the interest that you would have earned, over a certain number of days or months.

You can't access your money before your term ends or you'll get hit with an early withdrawal penalty.

Sometimes, there's a minimum deposit requirement (usually $500 and up). You can't make additional contributions over the course of CD's term.

You can only deposit money into the CD once at the beginning of the term.

While a CD is similar to a savings account, they differ in a couple of very important ways.

Term lengths range between three months and five years, and usually the longer the term, the higher the interest rate. When you put your money in a CD, you earn a fixed interest rate for a specific amount of time on the money you deposit when you open an account. Investing +More All Investing Best IRA Accounts Best Roth IRA Accounts Best Investing Apps Best Free Stock Trading Platforms Best Robo-Advisors Index Funds Mutual Funds ETFs Bonds

Help for Low Credit Scores +More All Help for Low Credit Scores Best Credit Cards for Bad Credit Best Personal Loans for Bad Credit Best Debt Consolidation Loans for Bad Credit Personal Loans if You Don't Have Credit Best Credit Cards for Building Credit Personal Loans for 580 Credit Score Lower Personal Loans for 670 Credit Score or Lower Best Mortgages for Bad Credit Best Hardship Loans How to Boost Your Credit Score Taxes +More All Taxes Best Tax Software Best Tax Software for Small Businesses Tax Refunds Small Business +More All Small Business Best Small Business Savings Accounts Best Small Business Checking Accounts Best Credit Cards for Small Business Best Small Business Loans Best Tax Software for Small Business Personal Finance +More All Personal Finance Best Budgeting Apps Best Expense Tracker Apps Best Money Transfer Apps Best Resale Apps and Sites Buy Now Pay Later (BNPL) Apps Best Debt Relief

Best Mortgages for Average Credit Score.

Best Loans to Refinance Credit Card Debt.

Cd rates at peoples united bank