CD Calculator
Free CD calculator to estimate maturity value and interest using APY, term, and compounding (daily, monthly, quarterly). Includes nominal APR conversion, early-withdrawal penalty estimate, and growth chart.
CD Calculator
Enter your details below to calculate
CD Calculator
Estimate maturity value and interest using APY and compounding.
Inputs
Typical penalties: 3 months (<12 mo), 6 months (12–47 mo), 12 months (≥60 mo). Policies vary by bank.
Results
Estimates are based on APY and selected compounding. Banks quote APY and typically compound daily. Early withdrawal penalties vary by institution and may reduce principal if interest is insufficient.
How to Use Cd Calculator
Enter deposit and term
Add your initial deposit and choose the CD term in months (e.g., 12, 18, 24, 60).
Set APY and compounding
Input the quoted APY and select compounding (most banks use daily compounding for CDs).
Review results and chart
See maturity value, interest earned, and the nominal APR computed from your APY.
Estimate penalties if needed
Optionally enter months of interest to estimate an early‑withdrawal penalty per bank policy.
Key Features
Accurate maturity value using APY and compounding
Nominal APR conversion for daily/monthly/quarterly compounding
Growth chart with month‑by‑month balance
Early withdrawal penalty estimate by months of interest
Mobile‑first, private—calculations run in your browser
Export results to CSV for recordkeeping
Complete Guide: CD Calculator
Free CD calculator to estimate maturity value and interest using APY, term, and compounding (daily, monthly, quarterly). Includes nominal APR conversion, early-withdrawal penalty estimate, and growth chart.
Instantly estimates maturity value and interest for any deposit, term, and APY, with nominal APR conversion and a month‑by‑month growth chart.
We derive nominal APR from your APY and selected compounding, then apply it over your term. APY already reflects compounding, making comparison across banks easier.
All calculations run in your browser. CDs at FDIC‑insured banks are generally insured up to applicable limits per depositor and ownership category.
CD Interest Basics: APY vs. Interest Rate
Banks list APY (Annual Percentage Yield), which captures both the stated rate and the impact of compounding over one year. If two CDs have different compounding schedules, APY lets you compare apples to apples. Our calculator converts APY to a nominal APR for the compounding option you select (daily, monthly, quarterly, semiannual, or annual) and then estimates your maturity value.
Given APY and compounding periods n per year, the nominal APR is APR = n × ((1 + APY)^(1/n) − 1). Maturity value is P × (1 + APR/n)^(n × years) where P is your initial deposit.
Choosing the Right Term
Shorter terms (3–12 months) maximize flexibility if rates rise, while longer terms (24–60 months) typically pay higher APY. Consider your cash needs and rate outlook. A CD ladder—splitting funds across staggered maturities—can balance yield and liquidity.
Compounding Schedules
Many banks compound interest daily, but monthly or quarterly compounding is also common. Because APY already reflects compounding, two CDs with the same APY should provide the same one‑year yield regardless of schedule. Our tool still lets you view the equivalent nominal APR for your selected compounding.
Early‑Withdrawal Penalties
If you withdraw before maturity, banks usually charge a penalty equal to a fixed number of months of interest (e.g., 3, 6, or 12 months). The penalty can reduce principal if accrued interest is insufficient. Use the penalty field to see a quick estimate; always verify your bank's disclosure for exact terms.
CDs are generally illiquid until maturity. Consider an emergency fund in a high‑yield savings account for unexpected expenses before locking money in a long‑term CD.
Strategies to Maximize CD Returns
- Rate shopping: Compare APY from multiple banks and credit unions. Promotional CDs can offer significantly higher yields.
- CD ladders: Build a 1–3 year ladder to capture higher long‑term rates while keeping periodic liquidity.
- No‑penalty CDs: Consider them when flexibility matters; APY is usually slightly lower.
- Brokered CDs: Available through brokerages and can be sold before maturity, but market prices may fluctuate.
Tip: If rates are rising, consider shorter terms now and roll maturing CDs into higher‑yield CDs later.
Key Takeaways
- APY reflects total annual yield including compounding and is the best way to compare CDs.
- Our calculator converts APY to a nominal APR given your compounding choice and estimates maturity value precisely.
- Plan for liquidity and potential penalties; a CD ladder can balance return and access to cash.
Use the calculator above to test different terms and APYs, export your results, and choose the CD that aligns with your goals.
About the Author
Jurica Šinko
Finance Expert, CPA, MBA with 15+ years in corporate finance and investment management
Connect with JuricaFrequently Asked Questions
What is a CD and how does APY work?
A certificate of deposit is a time deposit that pays a fixed rate for a fixed term. Banks quote APY (annual percentage yield), which reflects the total yield over a year including compounding.
How does this calculator compute maturity value?
We use your APY and selected compounding frequency to derive a nominal APR, then apply it over your term to estimate maturity value and total interest earned.
What compounding do banks typically use for CDs?
Most banks compound daily for CDs, though monthly or quarterly compounding also exists. APY normalizes these differences so you can compare offers.
Are CDs FDIC‑insured?
Yes, CDs at FDIC‑insured banks are generally insured up to applicable limits per depositor, per institution, per ownership category.
How are early‑withdrawal penalties estimated?
Penalties are often expressed as a set number of months of interest. We estimate the dollar impact based on the nominal APR—actual penalties vary by bank and may reduce principal if interest is insufficient.
Related Calculators
Explore more tools in Banking & Savings
APY Calculator: Calculate Annual Percentage Yield with Precision
Calculate true Annual Percentage Yield (APY) with our advanced calculator. Compare compounding frequencies, see yearly breakdowns, and find the best current rates from top banks in 2025.
Compound Interest Calculator: Daily, Monthly, Yearly | Free Tool (2025)
Free compound interest calculator with daily, monthly, quarterly & annual compounding. Visualize growth with charts, calculate APY, and project your savings with 2025 interest rates.
Effective Interest Rate Calculator: Free EIR Calculator (2025)
Calculate the true annual interest rate with compounding. Compare effective rates for loans, savings, and investments with our free EIR calculator.
High Yield Savings Account Calculator: APY and Growth
Maximize growth with our high yield savings account calculator. Enter deposit, APY, and compounding to compare yields vs. standard savings and view projections.
Money Market Calculator: APY, Compounding, and Growth
Estimate growth with our money market calculator. Enter balance, APY and compounding to project earnings, compare accounts, see how rate changes affect results.
Real Interest Rate Calculator: Inflation‑Adjusted Returns
See the true return after inflation with our real interest rate calculator. Enter nominal rate and inflation to get real yield and compare accounts easily.