Individual Retirement Accounts (IRA)

The Traditional IRA is an interest-bearing account that can be opened with just $100. It is a secure, FDIC-insured vehicle for customers with earned income looking for a way to save for their future.  And depending upon your income situation, customers may even qualify for tax benefits based on your contributions. IRAs can be set up as statement savings accounts or CDs – check with your local United Prairie Bank location to find out what options are available.

Like the Traditional IRA, the Roth IRA earns interest and can be opened with just $100. This IRA offers the ability to invest after-tax dollars today, and withdraw principal and earnings tax-free after five years.

Minimum to Open:

$100

Interest Rate:
 

Variable for Savings Accounts. Fixed for CDs.
Contact your local bank to check the daily rate report.

Compounding:

Varies bank to bank - check at your location.

Service Charges:

* $50 closing fee applies if funds are transferred out of the bank.
* There are tax penalties for early withdrawals. Customers should consult with their tax accountant.
CD only: Early withdrawal penalties range from three to six months of interest depending upon the term selected.

Statements:

Notices are mailed prior to maturity of the IRA.

Restrictions:

* Must keep a balance of at least $.01 to maintain the account
* Check with your tax preparer to see how much you may contribute this year.