Knowledge Base Article

Certificate of Deposit FAQs

How do I open a CD?

You can open a new CD through your Online Banking. Here, you can add existing joint owner(s) and beneficiaries that are currently included on your primary savings account or elect not to name anyone as a joint owner or beneficiary. Once you have logged in, select Add an Account located under Additional Services.

If you are not an Online Banking User or to open a CD with different joint owner/beneficiaries, you may use the Certificate of Deposit Application. This application requires signatures from you and all joint owners (if applicable).

Can a joint owner open a CD?

No. The signature of the primary member is required to open a CD. A joint owner of the CD is authorized however to request the closing of a CD.

What is the difference between the savings rates and a CD rate?

Rates offered on CDs are higher than rates offered on regular share accounts. However, once a CD is purchased, the rate at the time of purchase is fixed for the term of the CD, whereas the rates on regular shares are not fixed, and can fluctuate monthly based on market demands.

Are CDs insured?

Yes. CDs are insured through NCUA. Existing titling requirements/guidelines apply.

What terms are offered for CDs?

We offer 6, 12, 24, 36 and 60 month terms. Learn more about Certificates of Deposit.

What is the minimum deposit to open a CD?

The minimum deposit is $1,000.

Can I open up the CD today and deposit the money later?

You can take up to 14 days to fund your CD using a variety of payment methods including: Online Banking transfer and Account to Account (A2A) transfer from another financial institution. As a benefit to our members, you’ll be guaranteed the best available rate between the day you open the CD and the date you fund it.

What fees and penalties are involved with a CD?

There is no monthly charge or fee for maintaining a CD. An early withdrawal penalty is incurred when a CD is closed prior to maturity. Early withdrawal penalties are as follows:

For CDs opened or renewed on or after May 1st, 2017, the following early withdrawal penalties would apply:

Available Terms Early Withdrawal
6 months 60 days of interest
Available Terms
6 months
Early Withdrawal
60 days of interest
12 months 90 days of interest
Available Terms
12 months
Early Withdrawal
90 days of interest
24 or 36 months 180 days of interest
Available Terms
24 or 36 months
Early Withdrawal
180 days of interest
60 months 270 days of interest
Available Terms
60 months
Early Withdrawal
270 days of interest

For CDs opened or renewed prior to May 1st, 2017, the following early withdrawal penalties would apply:

Available Terms Early Withdrawal
6 months 31 days of interest
Available Terms
6 months
Early Withdrawal
31 days of interest
12 or 24 months 90 days of interest
Available Terms
12 or 24 months
Early Withdrawal
90 days of interest
36 or 60 months 180 days of interest
Available Terms
36 or 60 months
Early Withdrawal
180 days of interest

Partial withdrawals are not allowed with CDs.

What is a maturity date? Why is it important?

The maturity date is the date on which the term of the CD expires. At this time the CD is either renewed for another term at the current rate, or the funds are transferred into any share and the CD is closed. It is important because the rate remains fixed up to this point.

Can I change my renewal selection I made when opening my CD?

You may change your renewal selection at any time before your CD has reached its maturity date. You can contact us within Online Banking from Secure Email located under Additional Services, by phone or by visiting one of our branches. Please provide your instructions to either renew or deposit the funds into the selected account.

If your CD renews on the maturity date, you will have a 10- day grace period from the date following the maturity date to close the CD without incurring a penalty (penalties can be found above). For example, if your CD renews on the 1st of the month, you will have through the 11th of the same month to close the CD without incurring a penalty.

Changes to an existing CD cannot be made during the grace period. If you would like to change the term of or withdraw funds from your CD, you will need to close the existing CD and open one with new terms and conditions.

Can I discontinue my CD before the maturity date?

Yes. CDs can be discontinued before maturity, although you may be subject to an early withdrawal fee based on the term of the CD (see fees above).

Can I extend my CD term once opened?

No. After your CD matures you may use your funds and open a new CD with a different term.

How do I receive my interest? Can I make a change on how the interest is disbursed before the CD matures?

Your interest may be posted monthly back into your CD, into another share, or a check may be issued for the monthly dividend amount. You may change how your interest is disbursed at any time before your CD reaches maturity. Contact us via Online Banking from the Secure Email under Additional Services, by phone, or come into one of our branches to request the change.

When is interest posted for CDs?

The interest is posted on the last day of the month, just as they are with other deposit accounts.

Are partial withdrawals allowed for CDs?

Partial withdrawals are not allowed. The funds must remain in the CD for the entire term. If a withdrawal is made, it must be for the complete balance and the CD will be closed. If closed prior to maturity date, an early withdrawal fee may be assessed.

Are CDs allowed on a minor's account?

Yes. A CD can be opened on a minor's account with a qualified joint owner.

Can a CD be used as collateral on a loan?

No, a CD cannot be used as collateral.

Can additional deposits be made to the CD after the CD is opened?

Additional deposits cannot be made to the CD once the CD has been opened.

Are joint owners and beneficiaries allowed on a CD and can they be changed after the CD has been opened?

Yes, joint owners and beneficiaries are allowed and can be changed once the CD has been opened.

To change or remove beneficiaries you may use the Designation of Beneficiaries form. To change or remove joint owners please log in and contact us within Online Banking from Secure Email under Additional Services to request the paperwork necessary to make the desired changes.

Learn more about Certificates of Deposit.