IRA Accounts

You must deposit $500.00 to open this account.  You must maintain a minimum balance of $500.00 in your account every day to obtain the Annual Percentage Yield (APY).  You may make deposits into the account at any time subject to IRS contribution limits.  Interest will be compounded and credited semi-annually each year.

We use the daily balance method to calculate the interest on your account.  This method applies a daily periodic rate to the principal in the account each day.  Interest begins to accrue on the business day you deposit non-cash items (for example, checks) unless given specific notice.  This notice may be given on a case-by-case basis at time of deposit. 

If you withdraw any principal before the maturity date, a penalty may be charged to your account.  You may also be assessed an IRS penalty.  If the account is automatically renewable, you have a grace period of ten (10) calendar days after the maturity date to withdraw funds without being charged a penalty.

Traditional Individual Retirement Account (IRA)

The traditional IRA offers tax-deferred growth which means you don’t pay taxes on the earnings in your IRA until you withdraw them.  Contributions may be completely or partly tax deductible depending on your income.


Unlike the traditional IRA, contributions to a Roth IRA are not tax deductible.  However, earnings grow tax free and withdrawals may be free from Federal Income tax as long as you are at least 59 ½ , the account is at least 5 years old and you meet income eligibility guidelines.

All types of IRAs, including traditional IRAs and Roth IRAs owned by the same person in the same FDIC-insured bank are added together and the total is insured up to $250,000.