CDs and IRAs
Save with Purpose
Whether you're planning for retirement, setting aside funds for the future, or simply looking for a smarter way to grow your savings, the right account can make all the difference. At First Security Bank, our Certificates of Deposit (CDs) and Individual Retirement Accounts (IRAs) are designed to help you earn competitive returns while keeping your financial goals front and center. As a community bank, we believe saving should feel personal, not complicated, so our team is always here to answer questions and help you choose the option that fits your plans best. When you're ready to take the next step in your savings journey, give us a call at (507) 775-2316 or reach out online to connect with our personal banking team.
Certificates of Deposits
We offer traditional certificates of deposits to help you grow your money with stronger interest rates than you find with traditional savings accounts. Here’s what you need to know about our CDs:
- $500 minimum deposit
- Terms ranging from 90 days to 60 months
- Multiple cashout options available at maturity
- Funds are FDIC-insured up to $250,000
- Early withdrawals are subject to penalty
Youth CDs
We also offer multiple youth CD options with our Grow Green and Youth CD options. Here’s what you need to know about our Youth CDs:
CD Option | Details |
|---|---|
Grow Green CD | Must have Kids Klub savings account to qualify Certificate of deposit will be set up as UTMA account Available to Kids ages 12-17 $25 minimum deposit required to open Only one account per child The maximum amount that may be deposited into this CD is $2,000 Rate is at the discretion of First Security Bank and may change at any time Interest compounds semi annually This account will not automatically renew at maturity Substantial penalty for early withdrawal Certificate term will vary depending on child's 18th birthday This certificate matures on the customers (minors) 18th birthday at which time the custodial rights terminate, and the funds will be released to the minor who will then be age of majority. |
Youth CD | Available to kids under the age of 18 Minimum balance of $250 required to open Account is automatically renewable Interest compounds semiannually Same rates and terms as First Security Bank’s $500 minimum balance certificates Substantial penalty for early withdrawal Fees could reduce earnings |
Retirement Accounts
First Security Bank offers both Traditional and Roth IRA options for you to save for your retirement. Check out the chart below to learn more about these retirement account options and which one may be the right choice for you.
Roth IRA | Traditional IRA | |
|---|---|---|
Tax Treatment | Contributions: Made with after-tax dollars. Earnings: Grow tax-free.* Withdrawals: Tax-free and penalty-free for contributions at any time. For earnings, tax-free if you meet IRS qualified distribution requirements. | Contributions: Made with pre-tax dollars (tax-deductible if income requirements are met). Earnings: Grow tax-deferred until withdrawn.* Withdrawals: You pay taxes on both contributions and earnings when you make withdrawals. |
Required Minimum Distributions (RMDs) | None: Roth IRAs do not require you to withdraw a minimum amount at a certain age. | Yes: Generally, you are required to withdraw a minimum amount starting at age 73. |
Income Requirements | Anyone 18 or older with earned income within specific IRS limits can contribute. Upper limits for partial contributions are:
| None: Anyone 18 or older with earned income can contribute. However, for tax-deductible contributions, specific income limits apply. |
Early-Withdrawal Penalties | If you withdraw before age 59½, you might pay taxes on earnings plus an additional 10% penalty (exceptions apply). | Withdrawals before age 59½ result in taxes on both contributions and earnings, plus a 10% tax penalty (exceptions apply). |
*Consult your tax advisor