CD or certificates of deposit is a fixed term of deposit with a bank with a higher interest than your normal saving account. Fixed term means a period of  3 months, 6 months, 12 months or more. If you withdraw the deposit before the maturity date of the CD, then you will not be able to enjoy any interest payout.

Generally, the longer the maturity period, the higher the interested rate paid. The reason is you are locking up your money for a longer period and the bank will make full use of your money earning higher interest through their mortgage product.

But the economy climate changing everyday and the overnight interest rate between banks does affect the CD rate daily. For example, 3 months CD rate is 0.8% and 12 months CD rate is 1.4% today, should you lock in the 12 months CD in 1.4% today ? That is a very tough question as nobody can predicts what will happen in the future.

As everyone hoping the get the investment return, there are a few methods the get the best CD rates in town.

1) Prepare a spreadsheet with Name of Bank, CD rates for 3 months, 6 months and 12 months respectively.
2) Look through the local daily, Discover Bank advertisement on CD rates.
3) Visit local banks, finance or any leasing or credit unions that offer CD product.
4) Internet is faster and most convenient way to find out the best CD rates offered by Bank, they usually provide detail comparison among their competitors.