A Certificate of Deposit (CD) is a fixed-time, relatively low risk deposit account in which you deposit a specific sum of money for a specific period, anywhere between a few months to a few years. Interest is typically higher than for a regular savings account and depending on the financial institution, is paid either at regular intervals during the life of the CD or at the date of maturity. Quicken allows you to set up a CD account as a savings account or as an investment account as a matter of personal preference.

Savings Account Set Up

Setting up a CD as a savings account is a simple and straightforward process. The CD will appear in your list of bank accounts, which can be more convenient if this is your only investment. A disadvantage of setting up a CD this way is that you will need to track the maturity date separately. To add a CD account, access the "Account List" from the "Tools" tab on the main menu. Click the "Add Account" button, select "Savings," and enter the name of your financial institution. If you have automatic updates enabled with your financial institution, and if they are a Quicken partner, entering the name will allow Quicken to connect and save you some time by automatically updating account information. If you do not want to enter the name of the financial institution, select that option. On the next screen, change the account default "Savings" name to a more appropriate name for the account. Enter the opening date and amount of the CD to complete the account set up. With the account now set up, you can access it from your main Account List and add details such as the account number, interest rate, and the telephone number and website address of the financial institution.

Investment Account Set Up

To set up a CD as an investment account, access the "Investment" tab from the main menu and click the "Add Security" button. Depending on the version of Quicken you are using, a screen asking for a ticker symbol or name will appear. Enter the name of your financial institution and on the next screen elect "CD" as the account type. Select "Cash" as the asset class and enter the maturity date for your CD.

Recording Interest

If automatic updates are not available for your CD account record interval or final interest payments manually. The process is the same whether the account is set as a savings or investment account. Select the CD account from either the "Accounts" or Investment" tab on the main menu and select "Enter Transactions." From the "Enter Transaction List", select "Income" and fill in the type (Interest) and amount.

Source:

Quicken.com: Adding a CD to a Quicken Security List

"Quicken 2009: The Missing Manual;"Bonnie Biafore; 2008

More Information:

FDIC.com: Certificates of Deposit-Tips for Savers

Quicken.com: Products