Minimum Balance Information
The minimum balance required to open a CD, earn interest and obtain the disclosed Annual Percentage Yield is $1,000.
Interest Rate Information
Interest is compounded daily and paid from the day of deposit up to, but not including, the day of maturity, calculated on a 365-day basis (366 days in a leap year).We use the daily balance method to calculate 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 deposits your noncash items (for example, checks.)
You may elect to have your interest paid monthly, quarterly, semi-annually, annually or at maturity. The Annual Percentage Yield assumes funds remain on deposit for a full calendar year. Any withdrawal will reduce earnings.
Rates on CDs will vary based on the term requested. CDs are offered in monthly increments in the following terms: 3 to 5 months, 6 to 11 months, 12 to 23 months, and 24 months. The interest rate and Annual Percentage Yield for a CD are determined on the day we receive your deposit. Our current interest rate and Annual Percentage Yield are included in the Interest Rate Schedule.
Renewals
Your CD will automatically renew with like terms on each succeeding maturity date, unless otherwise indicated. For each renewal term, we will pay interest based upon the interest rate and Annual Percentage Yield disclosed in the Interest Rate Schedule as of the maturity date.
You will have 10 calendar days after the maturity date to withdraw funds without penalty. The CD will not automatically renew if you ask for payment within 10 calendar days of the maturity date. The interest that would accrue during the 10 day "grace period" will not be paid out to you if the CD is redeemed.
Limitations on Transactions
You may not make additional deposits to a CD before the maturity date. If you choose to withdraw principal funds from a CD prior to maturity, the withdrawal is subject to penalty. Early withdrawal penalties are as follows:
- If the CD has a maturity length of 12 months or less the penalty will be one month's interest.
- If the CD has a maturity length of over 12 months the penalty will be three month's interest.
Any premature withdrawal, which reduces the balance below the required minimum balance, will be considered a withdrawal of the entire account balance and will be subject to the penalty prescribed in this section.
The penalties prescribed in this section will not be imposed for a withdrawal of principal following the death or adjudication of incompetence or incapacity of any account owner.
If your account is a retirement account, the penalty prescribed in this section will not be imposed if you are disabled as defined in section 72 (m)(7) of the Internal Revenue Code.