Certificate Of Deposit (CD) Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Certificate Of Deposit (CD), written in plain English, along with examples of how it is used.

What is Certificate Of Deposit (CD)?

(n) Certificate of Deposit is the document issued by commercial and other saving banks certifying the deposit made by the holder containing the interest and maturity date of the deposit. CDs are issued for deposit for a definite period and when the depositor can collect periodical interest.