CD’s and IRA’s
Certificates of Deposit
Certificates of Deposits (CDs) are a convenient savings option. CDs offer you peace of mind and great earnings potential, without risking what you have worked hard to save. We offer several FDIC-insured options. The interest you earn can be compounded for the ultimate return, mailed to you by check, or deposited into your account.
Individual Retirement Accounts
An IRA is a save and secure method of saving for retirement. Planning for retirement is an important action, no matter what your age.
With the Traditional IRA your contributions may be eligible as a tax deduction and the investment earnings are tax deferred until the time of withdrawal. Penalty-free withdrawals can be made for college expenses or the purchase of a first home. Withdrawals prior to investment maturity may be subject to bank penalty. IRA owners may contribute up to $5,000 in 2008. Some owners may be eligible for catch up contributions. Owners may start penalty-free distributions after they have reached the age of 59 ½. Owners over the age of 70 ½ must take a required minimum distribution each year.
The Roth IRA allows you to invest after-tax dollars now, receive the growth of tax-deferred earnings, and have the principal amount tax-free when you take distributions. Plus, your tax-deferred earnings can become tax-free if the account is open for a minimum of 5 years and one of the following events occurs: you are age 59 ½, purchase a new home, disability, or death. Withdrawals prior to investment maturity may be subject to bank penalty. IRA owners may contribute up to $5,000 in 2008. Some owners may be eligible for catch up contributions.
Visit with you friendly banker to find an account that best suits your needs.