Certificates of Deposit

Certificates of Deposit (CDs) are an excellent tool for managing your money when you are able to set aside funds for a period of time. With a CD, you maximize your interest rate and enjoy the security of FDIC Insurance. Level One Bank offers CDs for many terms, some with a minimum investment of just $500.

Benefits of CDs

• CDs typically pay higher interest rates than many other savings
• Continuous compounding means interest earned today earns interest tomorrow
• Interest can be credited to the CD or to a Level One Bank checking or savings account
• Most accounts are FDIC insured up to $100,000. There is no charge to open a CD
• A Level One CD can be used as collateral for a loan

Withdrawal Penalty
A penalty for early withdrawal may be imposed and is based on the term of the CD. Please see the withdrawal penalties below:

• 1 Month CD: All simple interest earned with a minimum penalty of 7 days’ simple interest
• 3 Month CD: One month’s simple interest
• 6 – 9 Month CD: Three month’s simple interest
• 12 – 36 Month CD: Six month’s simple interest
• 48 months CD and more: Twelve month’s simple interest

Renewal
If you choose the automatic renewal feature for your Certificate of Deposit, there is a one-day grace period (for terms of less than 32 days) or a ten-day grace period (for terms of 32 days or more) after the maturity date to redeem it without penalty. Interest will be paid during the grace period.

Maximize CD Yields and Maintain Liquidity

CD "laddering" can help you reach savings goals
In today's volatile markets, many people are looking for ways to even out swings in their earnings without tying up their cash reserves for long periods of time. CD laddering is a savvy strategy. It lets you take advantage of interest rates spread over several maturities and maximize certificate returns without sacrificing liquidity. Building a laddered CD portfolio is easy.

Here's an example how CD laddering works
Say you have $50,000 in cash reserves. Buy a $10,000 six-month CD, a $10,000 twelve-month CD and so on until your last $10,000 buys you a 30 month CD.  Each six months is a rung on the ladder. When the six-month CD matures, you reinvest that money in a 30 month CD. By that time, your 30 month CD has 24 months left until it matures. As each six month CD comes due, you roll it into a 30 month CD. Access to 20% of your portfolio is never more than six months away.

CD laddering is a smart way to make your cash reserves and fixed assets work harder for you.

CD IRA

Open our CD IRA and get the guaranteed return of a CD with the tax advantages of an IRA.

• FDIC insured to the maximum allowed by law
• Available in Rollover IRAs
• Low $500 minimum opening balance

Withdrawal Penalty
A penalty for early withdrawal may be imposed and is based on the term of the CD. Please see the withdrawal penalties below:

• 1 Month CD: All simple interest earned with a minimum penalty of 7 days’ simple interest
• 3 Month CD: One month’s simple interest
• 6 – 9 Month CD: Three month’s simple interest
• 12 – 36 Month CD: Six month’s simple interest
• 48 months CD and more: Twelve month’s simple interest

Renewal

If you choose the automatic renewal feature for your Certificate of Deposit, there is a one-day grace period (for terms of less than 32 days) or a ten-day grace period (for terms of 32 days or more) after the maturity date to redeem it without penalty. Interest will be paid during the grace period.

Money Market IRA

Level One Money Market Account IRA is a high yield interest earning Money Market Account with the tax advantages of an IRA.

Tiered interest rates on balances.  The higher the balance, the higher the rate
Low minimum opening balance of $50
No monthly service charge with $2,000 minimum daily balance