A certificate of deposit (or CD) is a savings instrument offered by a bank that has a fixed date of maturity and a fixed interest (“dividend” for state-chartered credit unions) rate. A credit union might use the term Share Certificate, Term Certificate or just Certificate to refer to the same product. Most Certificates require a minimum deposit amount and may offer rates contingent on the size of the deposit. As a Certificate depositor, you are committing to leave your funds in the Certificate for the term of the Certificate. As a result of that time commitment, rates offered on Certificates are typically higher than traditional savings or money market accounts. Keep in mind that an early withdrawal of funds will likely come with a financial penalty.