Monthly Compounding
The balance grows each month using the monthly periodic rate. balanceAfterNMonths = deposit × (1 + APY/12)^(termInMonths)
Finance
About CD Rate Calculator
Estimate maturity value, interest earned, and maturity date from APY, term, and start date.
About this calculator
What this does
Estimates the maturity value and total interest earned on a Certificate of Deposit (CD) based on your initial deposit, APY, term length, and start date. It also projects how your balance grows over the term and shows the exact maturity date.
Who it is for
Anyone comparing CD offers from different banks or credit unions. Useful for savers who want to see exactly how much a CD will return before locking in their money for a fixed term.
How it works
The calculator compounds interest monthly using your entered annual percentage yield (APY). It multiplies your deposit by (1 + APY/12)^(number of months) to determine the ending balance, then subtracts the original deposit to show total interest earned. The maturity date is calculated by adding the term to your start date and adjusting for month-end boundaries.
Limitations
Does not account for early withdrawal penalties, taxes on interest income, or bank-specific compounding schedules. Assumes the CD is held to full maturity with no additional deposits.
Formula
Interest Earned
Total interest is the ending balance minus the original deposit. interest = maturityValue − deposit
Maturity Date
Add the term length to the start date, adjusting for month-end boundaries so the date is always valid. maturityDate = startDate + term, clamped to valid calendar dates.
How it works
Step 1
Enter your deposit amount
Input the amount you plan to deposit into the CD. This is the principal that will earn interest over the term.
Step 2
Set the APY
Enter the annual percentage yield offered by the bank or credit union. The calculator compounds interest monthly at this rate.
Step 3
Choose the term length
Select the CD term in months. Common terms range from 3 months to 5 years (60 months).
Step 4
Pick a start date
Choose the date you expect the CD to be opened or funded. The calculator uses this to determine the exact maturity date.
Step 5
Review the results
The calculator shows the maturity value, total interest earned, and a month-by-month growth chart. Compare different APY and term combinations to find the best option.
Reference ranges
Short-Term CDs (3–12 months)
Typically offer lower APYs but more liquidity. Commonly used for emergency funds or money needed in the near future. Rates are often 1–3% below longer-term CDs.
Medium-Term CDs (1–3 years)
Often offer the best balance of rate and term length. This range typically has the most competitive APYs from online banks and credit unions.
Long-Term CDs (3–5 years)
Usually offer the highest APYs but lock up your money the longest. Rate changes during the term do not affect your locked-in APY.