Certificates of Deposit

A CD is a time-bound deposit with a higher interest rate compared to a traditional savings account. Funds are deposited into a CD for a specific, fixed amount of time with a fixed interest rate. When the CD reaches maturity, the customer can withdraw the funds plus interest. Unlike a savings account, funds in a CD are not accessible until the maturity date has been reached.

Opening a CD account is similar to opening a traditional savings account in that there may be a minimum initial deposit you’re required to make (see “Types of CDs” table above). Next, you’ll choose a CD term, which is the length of time you agree to keep your money tied up in the CD. Remember, the longer your CD term, the higher the interest rate you can earn. Once a CD matures, you can withdraw the money you saved, along with the interest amount earned throughout the term.

To open a certificate of deposit at Fifth Third, visit your local branch, schedule an appointment, or give us a call at 1-877-579-5353.

A penalty will apply if principal is withdrawn prior to the maturity date, based on the term of the CD.

The amount of the penalty shall not exceed interest earned, except for during the first 6 days of the term where a minimum 7 day interest penalty must be applied and may be deducted from principal. The entire penalty will be waived in the event of death, court ordered withdrawal, or court declared incompetency of an owner. Partial withdrawals are not allowed.

If you choose the automatic renewal feature for your CD, there is a one-day grace period (for terms of less than 32 days) or a ten-day grace period (for terms of 32 days or more) after the maturity date to redeem it without penalty. Interest will not be paid after the maturity date unless the account is renewed. (Renewals not available for 529 CDs.)

If you do not choose the automatic renewal feature for your Certificate of Deposit, interest will not be paid after the maturity date unless the account is renewed.

CD laddering is an investment strategy that involves spreading funds across multiple certificates of deposit (CDs) with different maturity dates. Compared to investing in a single short-term CD and rolling it over at maturity, CD laddering provides increased returns while creating access to funds periodically to reinvest or withdraw if funds are needed for an unexpected or planned expense.