All You Need To Know About Certificates of Deposit

As an institution devoted to your financial wellness, Forrit Credit Union offers several secure options for your savings. One of our most popular savings products is our certificates of deposit, commonly referred as CDs. You’ll be giving your money a great chance at growth without subjecting it to the risks of investing in the stock market.

Let’s take a closer look at how certificates work and why they might be the perfect choice for you.

What is a certificate?

A certificate is an insured savings account with a fixed dividend rate and a fixed maturity date. Rates tend to be higher than those of savings accounts. Also, unlike a savings account, your money will be less accessible when in a certificate. That means you will not be able to withdraw your funds before the maturity date without paying a penalty.

Terms and conditions of certificates

There are some nominal requirements that must be met before you can open a certificate.

First, you’ll need a minimum deposit amount. This amount will vary widely from one financial institution to the next. In general, the more money you park in a certificate, the higher rate of interest it will earn. At Forrit Credit Union, you can open a certificate with as little as $500.

Second, you’ll need to commit to a term length. Here at Forrit Credit Union, we offer our members certificates that can be open for just 6 months or as long as 3 years. Our interest rates start at 0.95% APY* for short-term certificates and go up to 1.56% APY* for our long-term certificates. To learn more about our terms and rates, connect with a Member Relationship Specialist today.

Is a certificate for everyone?

It’s important to note that your money will be tied up in the certificate, and you will not be able to access it without paying a penalty. A certificate works best for people who have a robust emergency fund and do not anticipate needing to access the funds in their certificate until its maturity date.

Why keep your money in a certificate?

Here are some of the most popular reasons people choose to open a certificate:

  1. No risk. While nearly every investment carries some sort of risk, your money is always safe in a certificate. Each Forrit Credit Union certificate is federally insured by the by NCUA up to $250,000.
  2. Higher dividend rates. Certificates offer higher yields than most savings accounts.
  3. Locked-in rates. There’s no stressing over fluctuating national rates with a certificate. The APY is set when you open the account and is locked in until its maturity date.

If a certificate sounds like the perfect choice for you, connect with a Member Relationship Specialist today to find the one that fits your needs best by calling 503-275-0300 or email We’re committed to giving your money its best chance at growth.

*APY = Annual Percentage Yield. Rates are subject to change without notice.

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