A certificate of deposit is a great way to earn a risk free return on your money. CDs are insured by the Federal Deposit Insurance Corporation up to $250,000. Any local bank has them and depending on the length of the CD, you can earn higher interest rates for longer period of times. Should you realize you need the funds in the CD for something, you will have to withdrawal the funds from the bank.
Speak with bank representative and ask that your CD be ended early. You have to explain the reasoning behind it, whatever it might be.
Be aware that early withdrawal for a CD will cost you a penalty. The penalties vary from bank to bank but can result in loss of interest accrued, as well as a processing fee.
Fill out the paperwork requesting the CD be ended prematurely.
Receive the check from the bank for the amount left in the CD. Deposit the check elsewhere or use the funds as you see fit.
Chris Ciaccia is a former oil and gas hedge fund analyst who has been writing since 2008. He has been published in "Miner's Choice" and online at BenZinga. He graduated from Seton Hall with a Bachelor of Science in business administration and finance and a minor in communications.