Traditional IRA
A traditional IRA is an individual retirement account that features tax-deferred earnings until you begin withdrawing funds.
IRA certificates of deposit:
- $500 minimum deposit to open
- Terms ranging from seven days to 120 months
- 10-day grace period
- At the time of renewal, the interest credited to the account becomes part of the principal for the next term
- Low annual fee of $5 that covers all accounts under the retirement plan
- Distributions without penalty if you are over the age of 59½
IRA savings account:
- Appeals to those who want to save for retirement a little at a time
- An initial deposit is required at the time the account is established
- Low annual fee of $5 that covers all accounts under the retirement plan
- Interest paid monthly
- 24-hour telephone banking
- Preferred CD rates available by keeping $5,000 or more in combined checking, savings, and money market accounts1
- Ability to view principal and paid interest online when you open a checking, money market, or savings account
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Please visit your nearest Flagstar branch to learn more about IRAs.
You must be under age 70½ and you, or your spouse, must have earned income to enroll in a Traditional IRA. Your contributions may be tax deductible. Withdrawals from Traditional IRAs before age 59 1/2 may be subject to taxes at your current rate, a 10% federal additional tax, and possible state tax. Please consult a tax or legal expert for advice before making contributions, withdrawals or other investment decisions. For Traditional IRA CDs, we may assess fees for withdrawals before the maturity date. For Traditional IRA Savings, a $500 deposit is required to open the account. Fees may reduce earnings. Accounts will be FDIC insured up to the maximum amount allowed by law.
1Excludes promotional rates.