Plain-English definitions for the terms you'll encounter on your financial journey.
Certificate of Deposit is a type of savings account where you agree to leave your money untouched for a set period, like one year, in exchange for a higher interest rate than a standard savings account.
A strategy of buying multiple certificates of deposit with different maturity dates to maintain liquidity and capture varying interest rates.
A fee charged by a bank when a customer takes money out of a fixed-term account like a CD before the maturity date.
A Qualified Charitable Distribution is a way for people over 70 and a half to send money directly from their retirement account to a charity. Because the money never touches your personal bank account, you do not have to pay income taxes on that donation.