The amount a $10,000 CD earns in a year depends on the annual percentage yield (APY). For example, if a CD has an APY of 4%, the interest earned in one year will be $400 ($10,000 x 0.04). CDs are good options for long-term savings growth and may offer a higher APY than other savings options, like money market accounts and savings accounts.
Our credit union CD, which is also known as a share certificate, is federally insured by the NCUA (National Credit Union Administration) for up to $250,000.
The rate of return you earn with a CD is guaranteed, which means your savings will grow steadily without being affected by market fluctuations. A predictable and secure return makes CDs ideal for long-term savings goals or for growing your retirement savings with an IRA CD.
CDs and share certificates both work the same way. Normally, credit union CDs are referred to as share certificates. The primary difference between a traditional bank CD and a share certificate is that CDs pay interest, while share certificates pay dividends.
Although they both offer guaranteed returns, you may be able to get a higher annual percentage yield (APY) with a credit union CD or share certificate. As a non-profit financial institution, we typically offer better rates and lower fees than banks.
You can withdraw money from a share certificate before it matures, but you will incur an early withdrawal penalty. The penalty will be a loss of dividends earned for a certain period.
IRA CDs have fixed rates of return, which means your earnings are guaranteed. This ensures steady IRA account growth over time, and you don’t have to worry about market fluctuations. The funds in an IRA CD with a credit union are also federally insured by the NCUA for up to $250,000.
Yes, you will need to become a Baton Rouge Telco member to open a share certificate or IRA certificate. Membership is open to anyone who lives, works, or attends school in one of the following Louisiana parishes:
Parents, children, siblings, grandparents, grandchildren, stepparents, or stepchildren of Baton Rouge Telco members are also eligible to join.
We offer some of the best Baton Rouge CD rates! Credit union CD rates are typically higher than with banks. This is because credit unions are nonprofit financial institutions, while banks are typically for-profit. Credit unions also have a member-focused approach, which emphasizes personalized service to help you achieve your financial goals.
Before you begin the balance transfer process, let's get a BR Telco Visa credit card opened for you. We offer two great credit cards to fit your lifestyle. Our credit cards feature no annual fees, no balance transfer fees, and practically unbeatable rates. You can begin your online application here.
Complete this short form and we’ll have one of our experts contact you to discuss options.
*APY = Annual Percentage Yield. Dividend rates are subject to change without notice. Dividends are posted monthly based on the daily balance and compounded monthly. Baton Rouge Telco Federal Credit Union Share Certificate rates are variable rate accounts and are subject to change at any time. Rates are not guaranteed. Penalties for early withdrawals may apply. Fees may reduce earnings on the account. The minimum to open and to earn dividends on all certificates is $500.
1Step-up options apply to two-year terms and up, where your rate can jump once before maturity.
Certificates of Deposit & IRA CDs
Fees apply to early withdrawals. Your certificate matures when you reach the end of your term. At that time, it will automatically renew for the same term at the new APY if we are not notified in advance that you wish to withdraw your funds.
With an IRA CD, you have more flexibility to withdraw funds before retirement compared to other IRAs. But you will likely be penalized if you withdraw funds before the maturity date when your chosen certificate term is complete. For example, three months to five years.
Penalties for early withdrawal will be waived if you are over 72 and your withdrawal is part of a Required Minimum Distribution (RMD), or upon death.
With an IRA CD, you can still choose a Traditional or Roth account but the difference is that your funds are invested in Certificates of Deposit (CDs) instead of stocks or bonds. This means your funds are safeguarded from stock market volatility.
You can choose a term of three months to five years and longer terms earn higher yields for both CDs and IRA CDs. The end of the term is called the maturation date. At the maturation date, you have a 10-day grace period to close your certificate, withdraw funds, or transfer to a new certificate. This can be done by phone, in person, or by secure chat.