CD Calculator

Know exactly what your CD will pay

A certificate of deposit locks your money for a fixed term in exchange for a guaranteed rate. Enter your deposit, the rate, the term, and how often it compounds — the calculator shows your value at maturity, the interest you'll earn, and the true APY so you can compare offers fairly.

APY is the number that matters

Two CDs with the same rate can pay different amounts if they compound differently. The APY folds compounding into a single figure, so a 4.5% rate compounded daily (≈4.60% APY) beats the same rate compounded annually. Always compare CDs and high-yield savings accounts by APY.

Is a CD right for you?

• Good for money you won't need until a known date — locks in today's rate.
• Build a CD ladder (several CDs maturing at staggered dates) to keep some cash accessible.
• Keep your emergency fund liquid instead — early-withdrawal penalties defeat the purpose.

Frequently Asked Questions

What is the difference between APR and APY on a CD?

The APR (interest rate) is the simple annual rate. The APY is what you actually earn once compounding is included — it is always equal to or higher than the APR. Banks advertise APY, so APY is the number to compare between CDs.

How often do CDs compound?

It varies by bank — daily, monthly, or quarterly are all common. More frequent compounding earns slightly more. This calculator lets you switch the frequency to match your CD and see the effect on the APY.

What happens if I withdraw early?

Most CDs charge an early-withdrawal penalty — often a few months of interest. This calculator shows the value if you hold to maturity; factor a penalty in separately if you might need the money sooner. An emergency fund in a high-yield savings account stays penalty-free.