Share certificates are similar to bank's Certificate of Deposit (CD). If you want a higher dividend rate and do not need immediate access to your funds, then share certificates are for you. Credit Union Share Certificates are federally insured by NCUA up to $250,000.
The minimum balance to open a certificate account is $1,000 for a 1,2,3,4 and 5 year, and $2500 for a 6 Month. Dividends are calculated by the daily balance method, which applies a daily periodic rate to the balance in the account each day. Dividends will begin to accrue on the business day you place the funds in your account.
Certificates are offered for three different terms: 6 months, 1,2,3,4,or 5 years. Dividends compound daily and are credited to your Share Account at maturity. Early withdrawal penalties may be imposed.