CD Early Withdrawal Penalty Calculator: See the Cost of Cashing Out Early

Estimate your CD early withdrawal penalty and see whether reinvesting at current verified CD rates could increase your earnings.

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Use this penalty calculator to estimate how much interest you'll lose if you withdraw your money early.
CD Early Withdrawal Calculator
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Terms & Penalties
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Your Results
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Fill out the form and click calculate to see your results
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What Is a CD Early Withdrawal Penalty ?
Most financial institutions charge a penalty if you withdraw funds from a CD before it reaches its maturity date. The fee is typically based on the amount of interest you would have earned, often 90 to 365 days of interest, depending on the financial institution.
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When Paying a CD Early Withdrawal Penalty Might Make Sense ?
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You’ve found a significantly higher APY elsewhere.
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You need cash for an emergency.
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Your current CD is barely earning more than a savings account.
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How are CD Early Withdrawal Penalties Calculated ?
CD early withdrawal penalties are typically calculated based on the interest the CD would have earned over a set period, such as 90 or 180 days. The exact penalty depends on the CD term and the bank’s policy. For short-term CDs, the penalty might be 90 days of interest; for long-term CDs, it could be 6 to 12 months.
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If you withdraw early, you may lose part of your earned interest or even dip into your principal amount. Always check the CD's early withdrawal penalty details before opening a certificate of deposit.
Frequently Asked Questions
How much is the penalty for breaking a CD ?
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The early withdrawal penalty on a CD typically depends on the bank or credit union and the term of the certificate of deposit. Most financial institutions charge a penalty equal to 90 to 365 days of interest, depending on the CD’s length. For example, breaking a 1-year CD might cost you 90 days of interest, while a 5-year CD could cost 12 months of interest. You can use our CD early withdrawal penalty calculator to estimate exactly how much interest you'd lose if you withdraw funds before maturity. Always review your CD terms and penalty policies before opening or closing an account.
Can I avoid early withdrawal penalties ?
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Avoiding early withdrawal penalties on a CD is possible in a few cases. Some banks offer no-penalty CDs, which allow you to withdraw your money early without losing interest. And some financial institutions offer CD secured loans which allow you to borrow a percentage of your CD (typically 90%) at a low interest rate until the CD matures. You can also avoid penalties by waiting until the CD reaches its maturity date or by choosing a CD laddering strategy for more flexible access. Use our CD penalty calculator to compare traditional vs. no-penalty options and see what works best for your financial goals.
Is switching to a new CD worth the early withdrawal penalty?
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When comparing CD rates, focus on the APY (annual percentage yield) rather than just the interest rate, as APY reflects your true earnings including compounding.

Match the APY with your preferred term by reviewing options like 6-month CD rates, 12-month CD rates, 24-month CD rates and longer terms such as 3-year CD rates, 4-year CD rates, and 5-year CD rates to see how returns vary over time.

Then, use the calculator above to estimate your total earnings based on your deposit, APY, and term—so you can quickly identify the best option for your goals.

Ready to Start Earning ?
Compare CD rates from top banks and credit unions to maximize your returns
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Overview


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* Annual Percentage Yield (APY) for certificates of deposits are from the latest rate surveys which are updated as often as daily. Rates are based on publicly available data for CD products. Additional restrictions and requirements may apply. The APY assumes interest remains on deposit until maturity. Early withdrawal penalty may be imposed if funds are withdrawn prior to maturity. Fees and penalties may reduce earnings. The APY for variable CD Rates may change after the account is opened.

** Annual Percentage Yield (APY) for High Yield Savings Accounts (HYSA) are effective as of the date shown above. HYSA are variable rate accounts. Rates may change after the account is opened. Fees may reduce earnings. Additional restrictions and requirements may apply. Please review the account deposit agreement and fee schedule for the financial institution for further information regarding fees, terms, and conditions.

Tiered rates may be included in the account listings. Please refer to the financial institution's website for the full listing of any tiered rates. Visitors should independently verify all terms, conditions, and limitations including, but not limited to deposit insurance coverage, credit union eligibility and membership requirements. CD Valet is not a federally insured deposit institution; deposit insurance is offered through the bank or credit union. CD Valet is compensated by a limited number of financial institutions that have either contracted marketing services with CD Valet or have an Open Now or affiliate link on CD Valet. Visit our Privacy and Disclosure Center to read related disclosures and policies of CD Valet and its partners.

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