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Advantages of certificates of deposit (CDs)
(Source: Merrill Lynch)

Liquidity

If you buy CDs and need to sell them prior to maturity, you may be able to do so in the secondary market. The price you receive in the secondary market may be higher or lower than the price you originally paid, depending on market conditions.

Because CDs are time deposits, early withdrawals are not generally allowed. However, early withdrawals with no interest penalty are permitted in limited instances, such as death, an adjudication of incompetence or, with retirement accounts, disability.

Low Minimum Investment

It usually takes just a low minimum investment of $1,000 to gain access to the national CD market.

Flexibility of Reinvestment

All interest payments and returns of principal on your CDs are usually automatically credited to your account. You can easily reinvest these funds by instructing your financial consultant to roll the money over into another CD or to place it in other investments.

If your CDs are held in your ............................

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Recommended further reading:
Certificates of Deposit: Large Negotiable Certificates of Deposit 
Certificates of Deposit Offerings
Certificates of Deposit: Utilizing foreign fixed deposits (CD's) for credit lines 
U.S. Certificate of Deposits (CD’s)
Eurodollar
Books on Financial Instruments