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what is the difference in having a CD and a CD within an IRA?

If you own a CD inside an IRA, then the interest that is earned each year stays inside the IRA, and you don't have to pay taxes on it. And, if it is a Roth IRA, then, after you retire, you take out your money tax-free. With a Roth IRA, you never have to pay taxes on the interest that your CD earned.

If you own a CD in a regular account, you have to pay taxes each year on the interest it generates.

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