Online Banking

Share Certificates

Share Certificates of Deposit

If you want to place your savings in a sound, yet profitable investment for the future – share certificates are the perfect choice!

With a share certificate you can rest assured that your money is safe and sound. Certificates provide higher yields on funds as you invest your money for a set period of time.

As your savings grow. Certificates allow you to “lock in” at a high rate of return for as few as 3 months or as long as 60 month terms.

Additional Details

• Known as “time deposits”

• Safest investment, low end of risk/reward spectrum

• Has a higher interest rate than a Share (savings) account

• FDIC/NCUA insured investment available at banks, savings & loans and credit unions

• A certificate of deposit (CD’s) is where consumers agree to lend money to the institutions for a certain amount of time; in exchange the consumer is paid a predetermined rate of interest

• There is a penalty if the consumer withdraws or closes the certificate of deposit (CD’s) before the maturity date. Unless they open an 11-month, no penalty certificate (see below).

• Penalties can be waived due to death or serious hardships with supporting documentation

• The amount of the penalty is based on the term of the certificate of deposit (CD’s)

• Penalty is calculated as a forfeiture of part of the dividends that have been or would be earned (in other words, the CD has not yet earned enough dividends or if the dividends have already been paid, the penalty will be deducted from the principle)

• Penalty schedule is as follows

o Terms of 12 months or less 90 days’ dividends

o Terms of 13 to 48 months 180 days’ dividends

o Terms longer than 48 months 360 days’ dividends

• Minimum amount to open a certificate is $500, unless it is a no-penalty or bump-up certificate. The minimum balance to open a no-penalty or bump-up certificate is $2,500.

• Certificate of Deposit (CD’s) Term, Minimum Opening Amount and Rate are subject to change

• 11 month “No Penalty”

o Dividends are compounded daily and paid at maturity

o Cannot withdraw prior to maturity, have to close it out

o Withdrawing dividends only during the grace period is permitted

o Withdrawing principal during grace period is Not permitted

o If member closes certificate of deposit (CD) with seven (7) days of the date it was opened there will be a penalty equal to seven (7) days’ dividends

For a look at our rates, product rate, and fee information, CLICK HERE.