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A certificate of deposit (CD) is a safe, short-term investment that earns interest over a fixed period. CD terms require investors to keep money deposited until maturity or pay a fee for early withdrawal. CDs offer higher interest rates than savings or money market accounts. They come in various lengths, deposit amounts, and interest rates, with terms and fees varying. Most CDs are issued by banks or brokerages, with bank CDs being FDIC-insured up to a certain amount, protecting against loss.