💰

CD Calculator

Calculate certificate of deposit growth to maturity with any compounding frequency — interest earned and effective APY.

Deposit amount ($)

Interest rate (% APR)

Term (months)

Compounding

⚠️ Please enter a positive deposit, a rate of 0 or more, and a term in months.

Loading…

Calculate certificate of deposit

Everyday Uses

Comparing bank offers

Banks quote rates with different compounding — compare on effective APY and maturity value, not the headline number.

Goal-dated savings

Money needed in exactly 18 months? See what a CD guarantees versus leaving it in savings.

Building a CD ladder

Model each rung's maturity value when spreading savings across staggered terms.

Lock-up decisions

The early-withdrawal warning is the point: see what you gain locking money away — then decide if you can.

Early withdrawal penalties

Breaking a term deposit typically costs a set number of months' interest. Weighing that penalty against the extra rate tells you how much flexibility you are selling.

Automatic rollover at maturity

A maturing deposit left untouched often rolls into a fresh term at whatever rate is current, which is frequently well below the best available. The maturity date belongs in your diary.

Frequently Asked Questions

What is a certificate of deposit (CD)?

A CD (called a fixed or term deposit in many countries) locks your money with a bank for a fixed term — commonly 3 months to 5 years — in exchange for a guaranteed interest rate, usually higher than a regular savings account. In the US, CDs at insured banks are FDIC-protected up to the coverage limit.

What is the difference between APR and APY?

APR is the stated annual rate; APY includes the effect of compounding within the year. A 4.5% APR compounded monthly yields an APY of about 4.594%. Banks advertise whichever looks better, so this calculator shows the effective APY explicitly — compare offers on APY, not APR.

What happens if I withdraw early?

Most CDs charge an early-withdrawal penalty, typically 3–12 months of interest depending on the term. On short timelines a penalty can even eat into principal. If access matters, consider a no-penalty CD, a shorter term, or a CD ladder rather than breaking a long CD.

What is a CD ladder?

Splitting your money across CDs of staggered maturities — say equal parts in 1-, 2-, 3-, 4-, and 5-year CDs. Each year one matures, giving you access to cash or the chance to reinvest at current rates. Ladders balance the higher rates of long CDs with the flexibility of short ones.

What happens when the term ends — does it renew automatically?

Very often it does, and that is the most expensive detail of a CD. Many banks roll a maturing certificate into a new one of the same length at whatever rate applies that day, which is frequently well below what you would get by shopping around. You normally get a short grace period, often seven to ten days, in which you can withdraw or move the money without penalty. Miss it and the funds can be locked for another full term. Diarise the maturity date when you open the account, not after.

Is the money protected if the bank fails?

Deposits at insured institutions are protected up to a per-depositor, per-bank limit — for example FDIC cover in the US and FSCS cover in the UK, each with its own ceiling and rules. Balances above the limit at a single institution are not covered, which matters for large certificates and is a common reason people split deposits across banks. Limits, eligible account types and how joint accounts are treated vary by country and change over time, so confirm the current position with the scheme itself.

How to calculate CD interest

A certificate of deposit compounds at a fixed rate for a fixed term: maturity = principal × (1 + rate ÷ n)^(n × years), where n is compounds per year. Monthly compounding is the usual case. APY is what that compounding is worth over a year, and it is always slightly above the stated rate.

CD rate examples

$10,000 · 5.00% · 5 years: $12,833.59 — $2,833.59 interestAPY 5.12%, compounded monthly.
$5,000 · 4.50% · 1 year: $5,229.70 — $229.70 interest
$25,000 · 5.25% · 3 years: $29,254.47 — $4,254.47 interest

CD rate vs APY

The rate is the headline; the APY is the rate after compounding. At 5.00% compounded monthly the APY is 5.12% — the gap is the interest your interest earns. Compare CDs on APY, because two accounts can quote the same rate and compound differently. Rates shown here are examples, not offers.