CDs

The basic difference between a CD and an annuity is that the CD is issued by a bank while an annuity is typically issued by an insurance company.  You will normally have to pay taxes on this return which will lower your effective rate of return.&nbsp

A bank CD (certificate of deposit) is a way of investing money for a specific duration of time, such as 10, 15 or 20 years.

A certificate of deposit is a record of money invested in a bank that, in return, pays interest

Garv breaks down Certificate of Deposits or CDs, learn why it might not be a good investment for your money.

A negotiable certificate of deposit is a receipt from the bank that bears an interest rate that the bank will pay after a certain period of time

A timed certificate of deposit allows the investor to choose the terms and the time the money is held by the bank. 

What is a Certificate of Deposit?