Traditional
Here at First Choice America, we want our customers to have options when it comes to investing their money. We also offer IRA’s. An IRA is an Individual Retirement Account, a type of savings account that offers tax breaks for individuals investing money for the future. IRA’s are great because the contributions may be counted as a deduction on your taxable income for the year. The IRA account will grow tax-deferred until you begin to withdraw during retirement.
Roth IRA
Roth IRA’s are another option available under this umbrella of investment type. Roth IRA’s offer a large tax break* for the future. Unlike a traditional IRA, contributions are made with post-tax dollars, which means there’s no upfront tax deduction. The major advantage with this type of IRA comes with retirement as you may withdraw without paying taxes because you’ve already done so initially upon contribution.
The annual percentage yields are accurate as of December 20, 2024
| Term | Rate | APY | Early Withdrawal Penalty |
| 91 day | .80% | .80% | 90 days dividend penalty |
| 6 month | .80% | .80% | 90 days dividend penalty |
| 7 month | 4.30% | 4.39% | 180 days dividend penalty |
| 9 month | .80% | .80% | 180 days dividend penalty |
| 12 month | .85% | .85% | 180 days dividend penalty |
| 15 month | 3.80% | 3.87% | 180 days dividend penalty |
| 18 month | .90% | .90% | 180 days dividend penalty |
| 24 month | .90% | .90% | 180 days dividend penalty |
| 25 month | 1.85% | 1.87% | 180 days dividend penalty |
| 30 month | .95% | .95% | 180 days dividend penalty |
| 36 month | 1.00% | 1.00% | 180 days dividend penalty |
| 39 month | 1.95% | 1.97% | 180 days dividend penalty |
| 48 month | 1.00% | 1.00% | 180 days dividend penalty |
| 60 month | 1.05% | 1.06% | 180 days dividend penalty |
| 72 month | 1.05% | 1.06% | 180 days dividend penalty |
| 84 month | 1.10% | 1.11% | 180 days dividend penalty |
| 120 month | 1.15% | 1.16% | 180 days dividend penalty |
Coverdell Education Savings Account
First Choice America wants to make sure our customers have the option to share the gift of education with their friends and family. We offer customers the opportunity to open a Coverdell Education Savings Account. A Coverdell ESA is a trust or custodial account for the purpose of paying the qualified education expenses of the designated beneficiary (which may be defined at a later date) of the account. The beneficiary must be younger than the age of 18 and the account is to be used towards expenses related to enrollment or attendance at an eligible postsecondary school.
Additional Notes on IRA’s
- Dividends are calculated using the Daily Balance Method and are compounded and credited monthly
- ROTH IRAs and Coverdell Savings Accounts are available – Call for details
- IRA Certificate rates are subject to change daily
