iGObanking Offering 60 Month IRA CD at 4% APY

iGObanking is offering a competitive 60 Month IRA CD that pays 4% APY. This is one of the highest IRA CD rates I could find for that term and it is comeptitive with the best 60 month non-IRA CD rates. The account can be opened as either a traditional IRA or as a Roth IRA. On the IGObanking website is an application which can be filled in and mailed back to the company. With the application you would include a check with the amount you would like to deposit along with two forms of identification. You're also required to include a utility bill telephone bill as proof of residence. This differs from the all-electronic process for opening traditional accounts.

IRA Certificates of Deposit (CD)

For those unfamiliar with IRAs, the abbreviation stands for Individual Retirement Account. IRAs are a retirement vehicle that provide a more tax efficient way to save for retirement. In general, traditional IRAs are tax deferred, meaning you do not pay taxes on the money you put into the IRA until you withdraw it. The idea is that by the time you are ready to retire, you will be in a lower tax bracket, and thus pay lower taxes.

With a Roth IRA, any money you put in is post-taxes, meaning you have already paid taxes on it but the money can grow within the Roth IRA tax free. When you remove the money, you will not have to pay any additional taxes.

With both traditional and Roth IRAs you will pay a penalty if you withdraw the money before retirement.

A CD IRA is simply a Certificate of Deposit that exists within this IRA vehicle.

iGObanking

iGObanking.com is a division of Flushing Savings Bank, FSB and has a 4 out of 5 star (Good) Bauer rating for safety and soundness.

Compare the best IRA CD rates here.