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ertificate of Deposits (CDs) are deposits made by investors to banks or brokers, earning interest over a set period. They are a safe, short-term investment with higher interest rates than savings or money market accounts. The main difference is that with CDs, funds are locked in for a specific period, whereas savings or money market accounts allow withdrawals at any time. CDs come in different lengths, deposit amounts, and interest rates, and terms and fees may vary. Bank CDs are usually FDIC-insured, guaranteeing against losses.