Certificate of Deposit

  • Certificates are sold in any denomination over $1,000.00.
  • Maturities can be set for specific times from 3 months to 5 years.
  • Rates are guaranteed to the maturity of the certificate.
  • They can be used as collateral at most financial institutions and are normally accepted at 100% of face value for collateral purposes.
  • Interest rates paid are set periodically by the bank and are compounded on the certificate semi-annually.
  • Interest may be paid to the customer or allowed to accrue on the certificate improving the net yield.
  • Balances are FDIC insured.

  • You will earn more money because certificates generally pay a higher rate of interest than transaction accounts.
  • You will be able to earn a better rate of interest and arrange to have funds available when you need them because you can set your maturity to match your needs.
  • You know the rate of return on your money will be stable despite a fluctuating money market because they are guaranteed to remain as written.
  • Despite the fixed nature of the certificate, under most circumstances you will be able to obtain money in an emergency by using the instrument as collateral.
  • You can increase your yield on your certificate by allowing the interest to compound.
  • Your money is safe because the federal government insures it.

  • Customers with transaction accounts that consistently maintain an average balance exceeding $1,000.00.
  • Parents saving for their children’s education.
  • Customers saving for major purchases.
  • Elderly customers seeking safe income producing investments.

* Disclosure od Certificate of Deposit and IRA Deposits
* Rate Sheet

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