What is the definition of a certificate of deposit?

Answer A Certificate of Deposit, more commonly known as a CD, is an investment instrument with low risk and a guaranteed return, assuming the conditions of the financial agreement are met.FeaturesAn inves... Read More »

Top Q&A For: What is the definition of a certificate of deposit

What is the definition of a tiered certificate of deposit?

A tiered certificate of deposit is a banking product that gives consumers the ability to earn a higher interest rate as the value of the CD increases. Some banks require monthly deposits in the tie... Read More »

How do I calculate yearly deposit amounts based on total certificate of deposit amount?

Figuring the DepositAdd 1 to the interest rate per month, then raise the number to the power of the number of times the CD compounds. This is the interest factor. Divide the total amount of the CD ... Read More »

Is a Certificate of Deposit an IRA?

An IRA is a retirement vehicle that allows your money to grow tax-free. Traditional IRAs allow you to tax-deduct the money you put into the investment vehicle but you pay tax when you remove the mo... Read More »

Can a 401(k) be a certificate of deposit?

A 401k can be a certificate of deposit. A certificate of deposit is an appropriate savings method for any 401K plan. It is a safest choice to protect the principal. Unlike stocks and mutual funds, ... Read More »