The interest rates paid by a bank or financial institution for the use of money you deposit in a CD, or certificate of deposit. Rates are expressed as a percentage and annual percentage yield (APY). CDs are time-based deposits. This means you agree to leave the money on deposit for a set period of time, usually from three months to five years or more. Historically, CDs have paid higher interest rates than savings accounts, though rates for both have been at record lows in recent years. Usually you must pay a penalty for withdrawing funds from a CD before the maturity date. Most CDs are FDIC-insured up to $250,000. Here’s where to find the best CD rates offered nationwide and in your area.