What is the difference between a time deposit and a certificate of deposit?

Here's a good reference for finance terms and definitions





http://www.investopedia.com/terms/t/time鈥?/a>





What Does Time Deposit Mean?


A savings account or CD held for a fixed-term with the understanding that the depositor can only withdraw by giving written notice.





Investopedia explains Time Deposit


The term generally is at least 30 days.





Also


http://www.investopedia.com/terms/c/cert鈥?/a>





What Does Certificate Of Deposit - CD Mean?


A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate and can be issued in any denomination. CDs are generally issued by commercial banks and are insured by the FDIC. The term of a CD generally ranges from one month to five years.





Investopedia explains Certificate Of Deposit - CD


A certificate of deposit is a promissory note issued by a bank. It is a time deposit that restricts holders from withdrawing funds on demand. Although it is still possible to withdraw the money, this action will often incur a penalty.





For example, let's say that you purchase a $10,000 CD with an interest rate of 5% compounded annually and a term of one year. At year's end, the CD will have grown to $10,500 ($10,000 * 1.05).





CDs of less than $100,000 are called "small CDs"; CDs for more than $100,000 are called "large CDs" or "jumbo CDs". Almost all large CDs, as well as some small CDs, are negotiable.|||Nothing. A Certificate of Deposit is a time deposit. because you have to leave it until it matures to receive interest. Otherwise you have to pay a penalty.