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CDs are safe investments. Like other bank accounts, CDs have federal deposit insurance up to $250,000 (or $500,000 in a joint account for two people). There's no risk of losing money in a CD, except if you withdraw early.In general, the longer the term, the higher the CD rate.

While bonds and CDs are both considered fixed-income investments, that's usually where their similarities end. The differences between the two include access, rates and risk: Access. CDs are commonly purchased from banks or credit unions, while bonds are most often purchased via a brokerage.

Once a CD matures, you have three options: withdraw your money and put it in another account, withdraw and open a different CD, or let your CD renew.If you don't withdraw, your bank might automatically renew your CD for the same term but at the bank's current rate.

CD accounts held by consumers of average means are relatively low risk and do not lose value because CD accounts are insured by the FDIC up to $250,000.

CDs are primarily a safe investment. They are guaranteed by the bank to return the principal and interest earned at maturity. The Federal Deposit Insurance Corporation (FDIC) insures certificates of deposit for up to $250,000 for each depositor at each insured bank.

A certificate of deposit (CD) is a savings account that holds a fixed amount of money for a fixed period of time, such as six months, one year, or five years, and in exchange, the issuing bank pays interest. When you cash in or redeem your CD, you receive the money you originally invested plus any interest.

CD accounts held by consumers of average means are relatively low risk and do not lose value because CD accounts are insured by the FDIC up to $250,000.CD account terms can range from seven days to 10 years, depending on the amount of money deposited. Banks allow you to renew or close a CD account upon its maturity.