Are there penalties for early withdrawal on certificates of deposit?

First Californian Bank typically imposes penalties for early withdrawals from certificates of deposit, often also referred to as CDs. These penalties are designed to discourage account holders from withdrawing funds before the maturity date. The specific penalties can vary depending on the terms of the CD, including the length of the term and the amount of interest accrued. Generally, the penalty may involve the loss of a certain number of interest payments, which can be specified in the account agreement. In some cases, account holders might not only lose the interest that would have been earned but also a portion of their principal, especially if the withdrawal occurs early in the term. It is advisable for individuals considering a CD to carefully review the terms and conditions associated with their specific account to fully understand the implications of early withdrawal. For the most accurate and detailed information, reviewing the current web page of First Californian Bank may provide specific guidelines related to this topic.