Strategies to Maximize Fixed-Rate Certificate of Deposit Use Diversification Strategy As with any investment, it's wise not to put all your eggs in one basket.

A certificate of deposit is a type of savings account that earns interest for a set time frame, known as a term. The term is the length of time you agree to leave your money deposited in the CD.

Minimum balance requirements: Some of the best CDs require you to deposit $1,000, $2,500 or even more to open an account, whereas others don’t have a minimum balance requirement at all.

Initial deposit The “initial deposit” is the amount you agree to put into your CD at opening. CIT Bank, for instance, has a $1,000 minimum deposit for most of its CDs.

5 Steps to Open a Certificate of Deposit (CD) The following steps can help you find, open and fund a CD. Step 1: Consider Different Types of CDs ...

A certificate of deposit, or CD, is a type of bank account that requires the account owner to agree to keep their money in the account for a certain period. For this reason, CDs are also known as ...

Not to be confused with the metallic music-playing discs of the '80s and '90s, CDs — formally known as certificates of deposit — are a savings option still very much in play.

Discover how CDs work, including their interest rates, types, early withdrawal penalties, and terms lengths. We also explain how to open and manage a CD.