certificate of deposit

English

Noun

certificate of deposit (plural certificates of deposit)

  1. (banking, finance) A time deposit offered by a bank or credit union, wherein the depositor commits a fixed sum of principal for a predetermined maturity period, in exchange for a guaranteed interest rate higher than that of a standard savings account.
    Synonym: CD (initialism)
  2. (banking, finance) The certificate issued to the holder of such an account, verifying its ownership.

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