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Depositing a large, five-figure amount of money into a may not seem like the best idea on the surface. Investing in the stock market can generally produce better returns than even the highest rate CD account can. Plus, with an investment in stocks and bonds, savers will have the ability to pivot based on market conditions. Locking that money away in a CD, on the other hand, will result in having to pay an to regain access and shift strategies. And that's assuming a high rate can even be found, which will require a bit of work and, likely, the use of an right now.

That all being said, the interest-earning potential on a large deposit with a CD can still be worthwhile, particularly if you're looking to protect your principal and avoid the volatility many have become accustomed to with this year. For these savers, a deposit in the amount of $40,000 into a CD can still be valuable, and perhaps even their best move to make currently while waiting for market conditions to evolve. Before getting started, however, it helps to know the interest-earning potential that a $40,000 CD comes with if opened now, in the final days of August 2025. Below, we'll do the math.

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Not sure if it's worth depositing $40,000 into a CD now? It can still be a smart move and, thanks to a , it's easy to determine how much you'll make with a variety of and . Here's what to expect now:

So whether you want to keep your money in an account for a few months or a few years, the interest you can earn with a $40,000 CD account opened now is substantial. Just don't wait too much longer to act. With rate cuts on the horizon and the reality that banks don't need to wait for the Federal Reserve to take action to start reducing their rate offers to savers, it makes sense to get started sooner rather than later.

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The answer to this question isn't straightforward, as it depends on your individual circumstances. For some savers, hundreds and even thousands of dollars in guaranteed interest earnings are outweighed by what can potentially be earned by investing in stocks and bonds. For others, however, a to earn more on their money without jeopardizing their principal – and without the effort of constantly monitoring market conditions. Take a closer look at your budget, goals and ability to keep your money in the account for the full account term to better determine if this is the right move for your money now or if you'd be better served by exploring alternatives instead.

A $40,000 CD account can earn anywhere between $424 and $9,020, approximately, if opened now with a lender offering a high rate. Still, $40,000 is a lot of money to part with, even for a few months, so be sure to calculate your budget closely and compare the interest-earning capability here against what alternatives offer to better determine which route makes the most sense for your financial situation.