When buying or selling a home, there are a number of potential closing costs that you may incur. One of these is the cost of a certificate of deposit, or CD. This article will provide an overview of what a CD is and how it is used in a real estate closing.
What is a Certificate of Deposit?
A certificate of deposit, or CD, is a type of savings account offered by banks and credit unions. A CD typically has a fixed interest rate and a fixed term, such as six months, one year, or two years. When you open …