Financial guarantees are rare, especially in today's economy. and inflation rise again and cut interest rates Pause for a moment, savers have to be strategic about where they keep their money. Fortunately, there's at least one way to protect and grow your savings: Certificate of Deposit (CD) Account.

different from account floating interest rate Just like a traditional savings account productivethis CD rates Pinned as complete CD terminology. This provides savers with security as they do not have to worry about changes in the larger interest rate environment. But it also provides predictability as they can easily determine how much revenue they will earn when the account reaches its limit expiration date.

Although interest rates on CDs have declined over the past 12 months, they are still higher than in recent years. With interest rates in the 4% to 5% range, savers have many ways to make money hundreds of dollars On their money. With the right lender and initial deposit, they could make $500 this year on a CD. Below, we explain how.

Find out how much extra money you can earn with top CD accounts here.

How to make $500 from CDs in 2025

To determine how much money you can earn with a CD, you need three numbers: the interest rate, the term (or length) of the CD, and the amount of money you deposited at opening. Well, using some existing rates and terms, savers could earn $500 on a CD this year (assuming no fees or charges) Early withdrawal penalties):

Deposit $23,000 into a 6-month CD

Putting $23,000 in a 6-month CD with an interest rate of 4.55% would earn you about $520 by July. While the deposit amount may seem high, you will regain access to your funds by mid-summer, allowing you to move your funds again relatively quickly, reducing the risk of having to pay an early withdrawal penalty to regain your funds. You'll be protected against any market fluctuations that occur in the first half of 2025.

Start making money with CDs now.

Deposit $15,500 into a 9-month CD

If you want to save less but are willing to keep your money in a CD for around 90 days, a 9-month CD with an interest rate of 4.40% may be more beneficial. Deposit $15,500 into this account now and receive a $509 return at maturity, bringing your total to just over $16,000 by October.

Deposit $12,000 to purchase a 1-year CD

While you technically won't be able to access your funds until early January 2026, a 1-year CD is still a smart way to make $500 or more now. You can earn it with the smallest deposit from this list. Deposit $12,000 this month in a 1-year CD with an interest rate of 4.50% and you will earn $540 by January next year. Just transfer some of your money into this type of account and earn more than $1 a day every day for the next year.

bottom line

although CD interest rates have dropped Compared to the situation in January 2024, they are still safe Now is your sure way to get a good return on your money. While all of the above options provide a clear path to a $500 return, they aren't the only possible ways. You can reduce or increase your deposit and extend or shorten the term according to your personal preference. Must explore online bankingAlso, because they tend to offer higher returns than banks with physical branches. please remember Interest earned on CDs has tax consequences This is something to take into consideration when filing your 2025 tax return.

Learn more about your current CD account options here.