IRA SAVINGS ACCOUNT

Patriots Bank offers two different products to hold your IRA, Certificate of Deposit and an IRA Savings Account

  • Certificates of Deposit are a great investment for your Individual Retirement Account because they offer the safety of FDIC insurance with the potential for higher returns
  • A Certificate of Deposit provides a fixed rate of return for a specific period of time (term)
  • Choose a longer term CD with a potentially higher interest rate, or a shorter tem CD for quicker access to your funds

    If you’re interested in greater liquidity you can open an IRA Savings Account
    (Transaction limitations apply. There is a $50 fee if the IRA account is closed)

 

Which IRA is right for you?
There are a variety of self-directed IRA options.

  • A tax-deductible, tax-deferred Traditional IRA
    With a traditional IRA, you can contribute up to $5,000 per tax year. Your contribution(s) may be tax-deductible, and any earnings grow tax-deferred. Distributions are generally taxable in the year received and may be subject to a 10% early withdrawal penalty if you are under age 59 1/2. You must be at least 18 and have earned income to open an account.
  • A Contributory Roth IRA offering tax-free growth of investment earnings
    With a contributory Roth IRA, You can contribute up to $5,000 per tax year. Your contributions will not be tax-deductible; however, earnings grow tax-free, and distributions are generally tax-free in the year received provided certain requirements are met. Eligibility to make a Roth IRA contribution is phased out for individuals with Adjusted Gross Income (AGI) of between $101,000-$116,000 (and couples with AGI between $159,000-$169,000). You must be at least 18 and have earned income to open an account.
  • A Roth Conversion IRA to take advantage of tax-free growth of investment earnings
    With a Roth Conversion IRA, you can generally convert (or "roll over") all or a portion of a distribution from a Traditional IRA. Earnings grow tax-free and distributions are tax-free in the year received provided certain requirements are met. Individuals, or married couples filing jointly, with AGI greater than $100,000 are not eligible to convert. The converted assets will be taxable in the year that the conversion is completed.
  • An IRA Rollover for distributions from employer-qualified retirement plans
    With an IRA rollover, you can roll over any eligible distributions from an employer-sponsored retirement plan. An IRA rollover is also known as a "conduit IRA" since this IRA allows you to preserve your right to roll over your savings into another employer-sponsored retirement plan at some later date. Any earnings grow tax-deferred and distributions are generally taxable in the year they are received. Distributions may be subject to a 10% early withdrawal penalty if you are under age 59 1/2.

Rate Information - Your interest rate and annual percentage yield may change.
Frequency of rate changes - We may change the interest rate on your account at any time.
Determination of rate - At our discretion, we may change the interest rate on your account.
Compounding and crediting frequency - Interest will be compounded every quarter. Interest will be credited to your account every quarter.
Effect of closing an account - If you close your account before interest is credited, you will not receive the accrued interest.
Minimum balance to open the account - We require a deposit of $500.00 to open this account.
Daily balance computation method - 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.
Accrual of interest on noncash deposits - Interest begins to accrue no later than the business day we receive credit for the deposit of noncash items (for example, checks).
Transaction limitations- You may not make any transfers from this account to another account of yours or to third parties by preauthorized, automatic, telephone or computer transfer or similar order to third parties.
Fees- A closing fee of $50.00 will be charged when the account is closed.
Special Note: E-mail may not be secure, so please do not use e-mail to send us communications which contain confidential information such as Account Numbers, Social Security Number, PIN and Passwords, or communications which require immediate attention. If you have questions about your existing account, please call us at one of our locations. For more information on security and privacy view our privacy statement.