New Visitors Privacy Policy Sponsorship Contact Us Media
Baby Boomers Family Green Home and Auto In Critical Condition Just Starting Out Lifestyle Money
- advertisement -
Bankrate.com
News & Advice Compare Rates Calculators
Rate Alerts  |  Glossary  |  Help
Mortgage Home
Equity
Auto CDs &
Investments
Retirement Checking &
Savings
Credit
Cards
Debt
Management
College
Finance
Taxes Personal
Finance

 
Early withdrawal

What does 'early withdrawal penalty' mean?

Federal law requires a minimum penalty of seven days' interest for early withdrawal on any account classified as a time deposit. Since the law doesn't set a maximum penalty, banks are free to, and usually do, charge much more. Before opening a CD account, find out all the details.
- advertisement -
Bankrate.com's corrections policy
-- Updated: Nov. 21, 2005

 
 
Answers to the most-frequently-asked questions on CDs
 
 RESOURCES
Weekly CD and investing newsletter
Sign up for CD rate alert
Early withdrawal can erase earnings
 TOP SAVINGS STORIES
Winners and losers: Certificates of deposit
Winner or loser: Mortgage shopper
Winner or loser: Home equity loans
 

CDs and Investments
Compare today's rates
NATIONAL OVERNIGHT AVERAGES
1 yr CD 0.75%
2 yr CD 0.91%
5 yr CD 1.52%
- advertisement -
- advertisement -

About Bankrate | Privacy Policy/Your California Privacy Rights | Online Media Kit | Partnerships | Investor Relations | Press Room | Contact Us | Sitemap
NYSE: RATE | RSS Feeds |

* Mortgage rate may include points. See rate tables for details. Click here.
* To see the definition of overnight averages click here.

Bankrate.com ®, Copyright © 2012 Bankrate, Inc., All Rights Reserved, Terms of Use.