To open an IRA Certificate of Deposit (CD) account, the minimum initial deposit is $2,500.
IRA Certificate of Deposit
Open an IRAIt’s never too early to plan for your future. IRA CDs are a simple way to enjoy guaranteed returns—and the peace of mind that comes with them.
X.XX% APY
Annual Percentage Yield (APY) is accurate as of XX/XX/XXXX and is subject to change without notice. The APY will be determined and fixed for entire IRA CD term once account is opened and correctly completed documentation and funding is received. We will send you written confirmation of the interest rate, APY and maturity date of your IRA CD after it is opened or funded. Applies to personal accounts only. A penalty may be charged for early withdrawal. Minimum opening balance is $2,500. Consult a financial advisor or tax professional for guidance.
12-month term
X.XX% APY
Annual Percentage Yield (APY) is accurate as of XX/XX/XXXX and is subject to change without notice. The APY will be determined and fixed for entire IRA CD term once account is opened and correctly completed documentation and funding is received. We will send you written confirmation of the interest rate, APY and maturity date of your IRA CD after it is opened or funded. Applies to personal accounts only. A penalty may be charged for early withdrawal. Minimum opening balance is $2,500. Consult a financial advisor or tax professional for guidance.
24-month term
X.XX% APY
Annual Percentage Yield (APY) is accurate as of XX/XX/XXXX and is subject to change without notice. The APY will be determined and fixed for entire IRA CD term once account is opened and correctly completed documentation and funding is received. We will send you written confirmation of the interest rate, APY and maturity date of your IRA CD after it is opened or funded. Applies to personal accounts only. A penalty may be charged for early withdrawal. Minimum opening balance is $2,500. Consult a financial advisor or tax professional for guidance.
5-year term
Deciding between Traditional and Roth IRA CDs
Fund your tomorrow with ease
Invest in your future with these simple ways to fund a Discover IRA CD.
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Contributions
When you contribute funds, you’ll be depositing money that is not presently deposited in any type of retirement account. The IRS imposes annual limits on how much you can contribute. You may want to contact a financial advisor or tax professional for further information.
Transfer money that is not currently deposited in any type of retirement account directly into our IRAs. -
Rollovers
When you rollover funds, you receive the funds through a distribution from your IRA. You then have 60 days from receipt of those funds to roll them into another IRA or qualified retirement plan to avoid tax consequences. IRA owners are limited to only one IRA-to-IRA rollover in any 12-month period. Rollovers are not counted toward your annual contribution limits. The above reflects general rollover rules. You may want to contact a financial advisor or tax professional for further information specific to your circumstances.
Move money from other retirement plans or accounts into one of our IRAs with ease. -
Transfers
When you transfer an IRA, the funds are moved directly from one financial institution to another. The transfer check is made payable to your financial institution for your benefit. Because you don’t handle the funds directly, the transaction is not considered a distribution. There is no limit to the number of transfers you can make.
Easily transfer an IRA from another financial institution to one of our IRAs.
It all adds up to more freedom down the road
See how our IRA CD interest rates compound your money over time so your earnings are there when you’re ready to retire.
Initial deposit
Please enter an amount between $2,500 and $5,000,000.
Earned interest with Discover
This calculator and the values shown are intended for illustrative and informational purposes only and may not apply to your individual circumstances. This calculator uses an Annual Percentage Yield (APY) that is rounded to the nearest one-hundredth of one percentage point, e.g., .01%. However, actual interest earned calculations use an APY that is rounded to the nearest one-thousandth of one percentage point, e.g., .011%. As a result, the estimated interest earned value shown here may vary from the actual interest earned on your account. Calculation assumes principal and interest remain on deposit and interest rate and APY do not change.
% APYAnnual Percentage Yield (APY) is accurate as of XX/XX/XXXX and is subject to change without notice. The APY will be determined and fixed for entire IRA CD term once account is opened and correctly completed documentation and funding is received. We will send you written confirmation of the interest rate, APY and maturity date of your IRA CD after it is opened or funded. Applies to personal accounts only. A penalty may be charged for early withdrawal. Minimum opening balance is $2,500. Consult a financial advisor or tax professional for guidance.
Get started with as little as $2,500.
Open an IRAIRA CD FAQ
View IRA FAQ
Can I have more than one IRA CD?
Yes. You can have multiple IRA CD accounts as well as you can have both Traditional and Roth IRA accounts at Discover Bank. Your Traditional IRA accounts will be grouped into and administered under a single Traditional IRA plan, and Roth IRA accounts will be grouped into and administered under a single Roth IRA plan. Additionally, if you maintain Inherited IRA accounts, they will also be in separate plans because they need to be titled separately.
How is interest on my IRA CD calculated?
Interest is compounded daily, credited to your IRA CD account monthly, and calculated on a 365-day basis. For additional detail, see Section 5 of the Deposit Account Agreement.
Can I designate a beneficiary for my IRA CD account?
Yes. We recommend that all of our IRA plan holders designate at least one beneficiary by completing the IRA Designation or Change of Beneficiary form. When completing the form make sure to:
- Name your primary beneficiary in section 2
- Complete section 3 for spousal consent if you are designating someone other than your spouse as 100% primary beneficiary
- Name your contingent beneficiaries and their share in whole numbers totaling 100%
- Sign and date it
We also recommend reviewing your beneficiary information after a major life event, such as marriage, divorce, birth or adoption of a child, or death. If a beneficiary is not designated, beneficiary payment will generally go to the IRA plan holder's estate, which is subject to any applicable community property state law requirements.
Please note: Beneficiaries are designated at the plan level. You may maintain different beneficiaries if you have Traditional IRA and Roth IRA plans.
Can I contribute to both a Roth IRA CD and a Traditional IRA CD?
Yes. Your annual contribution can be divided between both types as long as you meet the eligibility requirements for each IRA type. You may not contribute more than the annual allowable maximum across all of your Traditional and Roth IRA accounts at all of your financial institutions.
For guidance on the best way to contribute, we encourage you to consult a financial advisor or tax professional at your expense. For general questions and information regarding IRA accounts, contact an IRA Specialist at 1-888-204-8966. We’re here to help.
Know your limits.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
IRAs are subject to IRS contribution limits. Use this calculator to determine the max you can contribute.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
Let's get started! How old are you?
Your age
What's your modified adjusted gross income?
Your income
What's your filing status?
Do you participate in an employer retirement plan?
Here's how much you can invest.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
If eligible, contributions may be made to both a Traditional IRA and a Roth IRA, but the aggregate amount cannot exceed the maximum annual contribution limit.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
Roth IRA CD
Contribute up to $7,500 per year
Contribute greater than $0 but less than $7,500 per year
Contribute $0
Contribute up to $6,500 per year
Contribute greater than $0 but less than $6,500 per year
Traditional IRA CD
Eligible for full deduction of contribution (up to $7,500) per year
Eligible for a partial deduction of contribution (greater than $0 but less than $7,500) per year
Typically not eligible for deductible contributions
Eligible for full deduction of contribution (up to $6,500) per year
Eligible for a partial deduction of contribution (greater than $0 but less than $6,500) per year
Need to withdrawal early?
Just keep in mind that all IRA Certificate of Deposit accounts have a penalty if you withdraw before your maturity date. The early withdrawal penalty depends on the length of the CD.
“Simple interest” is calculated by multiplying the daily interest rate by your principal by the number of days that elapse between payments. (One month equals 30 days for simple interest fee calculation.)
Beginning on the 8th day after your CD is opened and funded and for the next 22 calendar days, we will deduct each day’s simple interest on the issue amount withdrawn from the funding date to the date of withdrawal. Thereafter, the Early Withdrawal Penalty will be calculated as described in the chart below.
In some cases, the early withdrawal penalty may reduce the principal in the CD.
Opening an IRA CD account couldn’t be simpler
- Just give us a few basics (like address and Social Security Number), and we’ll get the ball rolling for you.
- Sign the paperwork. It should be in your mailbox within 7-10 days of opening your account. Make a deposit now to get going on your goals.
- Check your email for a confirmation, and you’re on your way to making your finanical goals a reality.
