What is a CD?

Sally's answer: A CD is a certificate of deposit. You can buy at the bank in $1000.00 increments and are for a specific amount of time (1 month-5 years). They are investments that are insured from the FDIC (up to $250,000) and need to be held until their maturity. You will earn interest on the money. You must claim any interest earned on your tax returns.

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