Q. I have found an investment firm offering a one-year certificate of deposit (CD) with a 4.44% rate with no brokerage fees. Is this a good investment?

A. It can be. But there are several things you need to watch out for to make sure your money is safe.

What you've found is a broker who invests money for a number of customers and uses their combined savings as leverage to obtain a better rate than you could as an individual.

For example, if you take $10,000 to the bank, you might be paid 3.6% on a one-year CD. But a broker who offers to bring new deposits totaling $200,000 or $300,000 might be offered a significantly higher rate -- such as the one you've seen.

When using a broker, here are some things you should insist on:

• At least two or three banks to choose from, with CD rates and yields stated.
• Banks that are FDIC-insured, which guarantees that if the bank goes under, you will get your money back.
• The name of the bank, not the broker, on the check you write to open the account.
• The CD held in your name, not the broker's.
• An account representative at the brokerage who can handle any questions while your money is invested.
• The ability to directly contact the bank holding your deposit.

You'll probably have to open the account in person at the broker's nearest office. But the only real difference between a CD bought through a broker or at your neighborhood bank is the early-withdrawal penalty.

If you get it from your bank and need to withdraw your funds before the maturation date, you probably will be charged around three months' interest. If withdrawal is necessary, you can deal with that.

But with a brokered CD, you not only will lose interest but part of your principal, as well. That could turn a good investment into a bad one.

Life is uncertain and full of surprises, so one can never be 100% sure of anything. But when you buy a brokered CD, you should be 99.9% positive that you will not need that money before the maturity date. It could cost you.