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It can be purchased from a banking institution. It is always purchased as a short-term investment.
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A CD is ideal for someone who doesnt need access to their funds in the short-term and wants to.
Lock in your fixed rate and watch your money grow with a Certificate of Deposit CD. 20statements and balance disclosures provided to consumers through automated systems. Certificate of Deposit CD A certifiicate issued by a bank to a person deoposititng money for a specified length of time. Check All That Apply. 27A certificate of deposit is a great way to earn a risk free return on your money. CDs are insured by the Federal Deposit Insurance Corporation up to 250000.
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