How interests are paid on CD investments?

Interest Paid Monthly - Interests of most CDs are paid monthly. But payment dates may follow different schedules as shown below:

1. Monthly Anniversary of the Deposit Date - For example, if you invest $100,000.00 in a 90-day (3-month) CD with a 4.00% APR on 2025-10-16, your statement should look like:

CD Account #: ****** 
Interest Rate: 4.00% 
Issue Date: 2025-10-16
Maturity Date: 2026-01-14

Date        Description        Credit      Balance
----------  -----------   -----------  -----------
2026-01-14  Interest          $320.43  $100,991.13
2025-12-16  Interest          $330.41  $100,670.70
2025-11-16  Interest          $340.29  $100,340.29
2025-10-16  Deposit       $100,000.00  $100,000.00

2. Fixed Day of Each Calendar Month - The bank pays interest on the 28th day of each month. Your statement of the same CD should look like:

CD Account #: ****** 
Interest Rate: 4.00% 
Issue Date: 2025-10-16
Maturity Date: 2026-01-14

Date        Description        Credit      Balance
----------  -----------   -----------  -----------
2026-01-14  Interest          $187.96  $100,991.13
2025-12-28  Interest          $330.85  $100,803.16
2025-11-28  Interest          $340.73  $100,472.32
2025-10-28  Interest          $131.59  $100,131.59
2025-10-16  Deposit       $100,000.00  $100,000.00

3. Last Working Day of Each Month - Your statement of the same CD should look like:

CD Account #: ****** 
Interest Rate: 4.00% 
Issue Date: 2025-10-16
Maturity Date: 2026-01-14

Date        Description        Credit      Balance
----------  -----------   -----------  -----------
2026-01-14  Interest          $154.82  $100,991.13
2025-12-31  Interest          $363.99  $100,836.31
2025-11-28  Interest          $307.81  $100,472.32
2025-10-31  Interest          $164.51  $100,164.51
2025-10-16  Deposit       $100,000.00  $100,000.00

⇒ CD Products from Banks

⇐ Interest Calculation on CD Investment

⇑ Introduction to CD (Certificate of Deposit)

⇑⇑ CD (Certificate of Deposit)