Sunday, September 20

Tag: savings

Certificate of Deposit Advantages and Disadvantages
Finance and Business

Certificate of Deposit Advantages and Disadvantages

A Certificate of Deposit or a CD is a savings certificate that entitles the bearer of the same to receive interest. The certificate bears a maturity date, has a fixed rate of interest, and is issued in any denomination. The CDs are generally issued by commercial banks and the tenure ranges from three months to five years. In case, you have some extra money you can invest the same in CD even for a relatively short period of time. CDs are safe investments that are generally suitable for cash amounts that you do not need for long periods. The returns on CDs are guaranteed, which means you are assured of getting your full invested amount in addition to the interest amount that the bank will pay you for your investment. Know More - Advantages and Disadvantages of using Debit Cards Advan...