Does a 6 month CD at 5% pay 5%?

No, and this is the misreading the page exists to catch. Certificate rates are quoted per year, so a six-month term earns about half of it. $10,000 at 5% APY for 6 months earns $246.95, which is 2.4695% of the deposit, not $500. The arithmetic is the deposit times 1.05 to the power of one half, and the result is the same for every compounding frequency once the rate is an APY.

How much interest does it earn each month?

The month by month rows list it. At 4.5% APR compounded monthly on $10,000, the first month earns $37.50 and each later month a few cents more, because the interest stays in the certificate. Over the six months that comes to $227.12. A certificate that pays interest out each month pays the $37.50 every month instead.

What if I renew it for another six months?

The second term runs at whatever rate is offered when the first one matures, which nobody knows today. To see a full year at the same rate, change the term to 12. To estimate a renewal at a different rate, enter the maturity value as the new deposit with the rate you expect, and read it as a scenario.

Can I work out a different short term?

Yes. Type any whole number of months into the term field: 3, 4, 5, 7, 9 and 11 month certificates are all ordinary promotional terms. The 3 month CD calculator page opens on a three-month term.

Does it include the early withdrawal penalty?

No. The penalty is a term of your certificate, often a number of days or months of interest, and it is written on the disclosure. Enter the months you would hold it to see the interest earned by then, and subtract the penalty the disclosure names.

6 Month CD Calculator

Work out what a six-month certificate of deposit is worth when it matures. This page opens on a 6 month term with the balance listed month by month, so you can see the interest each month adds as well as the total. Enter the deposit and the rate from the offer, say whether the bank quoted an APR or an APY, and the maturity value, the interest and the yield come back as you type. The rate is the one you enter; nothing is fetched.

10,000.00 at 4.5% APR for 6 months, compounded monthly10,227.12Interest 227.12 · effective yield 4.593983% APY

Deposit

Rate (%)

Quoted as

Term (months)

Common terms

Compounding

Value at maturityafter 6 months
10,227.12
Interest earnedon 10,000.00 deposited
227.12
Interest a monththe interest earned divided by 6 months
37.85
APYthe effective annual yield, compounding included
4.593983%
APRthe stated annual rate, compounding excluded
4.5%

Show

Balance along the way

Rows

The balance at the end of every month, with the interest earned in that month alone. Compounded monthly, the first month earns the deposit times the stated rate divided by 12, which is also what a certificate that pays its interest out each month pays every month.

Month	Balance	Interest that month	Interest so far
1	10,037.50	37.50	37.50
2	10,075.14	37.64	75.14
3	10,112.92	37.78	112.92
4	10,150.85	37.92	150.85
5	10,188.91	38.07	188.91
6	10,227.12	38.21	227.12

Worked examples

Three 6 month certificates worked through, each one loadable into the fields above. The figures are illustrations of the arithmetic, not rates on offer.

6 months5,000.00 at 4.4%, compounded monthly
5,111.01 · interest 111.01
6 months20,000.00 at 5.05%, compounded daily
20,511.39 · interest 511.39
6 months2,500.00 at 3.8%, compounded quarterly
2,547.73 · interest 47.73

Common questions

Does a 6 month CD at 5% pay 5%?: No, and this is the misreading the page exists to catch. Certificate rates are quoted per year, so a six-month term earns about half of it. $10,000 at 5% APY for 6 months earns $246.95, which is 2.4695% of the deposit, not $500. The arithmetic is the deposit times 1.05 to the power of one half, and the result is the same for every compounding frequency once the rate is an APY.
How much interest does it earn each month?: The month by month rows list it. At 4.5% APR compounded monthly on $10,000, the first month earns $37.50 and each later month a few cents more, because the interest stays in the certificate. Over the six months that comes to $227.12. A certificate that pays interest out each month pays the $37.50 every month instead.
What if I renew it for another six months?: The second term runs at whatever rate is offered when the first one matures, which nobody knows today. To see a full year at the same rate, change the term to 12. To estimate a renewal at a different rate, enter the maturity value as the new deposit with the rate you expect, and read it as a scenario.
Can I work out a different short term?: Yes. Type any whole number of months into the term field: 3, 4, 5, 7, 9 and 11 month certificates are all ordinary promotional terms. The 3 month CD calculator page opens on a three-month term.
Does it include the early withdrawal penalty?: No. The penalty is a term of your certificate, often a number of days or months of interest, and it is written on the disclosure. Enter the months you would hold it to see the interest earned by then, and subtract the penalty the disclosure names.

Exact compound interest arithmetic on the deposit, rate, term and compounding you enter. It cannot know your bank's early withdrawal penalty, fees or tax treatment, and it does not carry any rate of its own.