Share Certificates | A high-yield, short-term way to grow savings and secure funds for the future.
After you’ve started to save up some money, you’ll likely consider the many options for generating interest on your savings. Maybe you’re fortunate enough to have your emergency reserve fully funded, and you have extra money that you don’t want locked away in a long-term investment account. Share certificates earn higher yields than even the best savings accounts and are a great option if you are looking for a high-yield, short-term place to grow your money and secure funds for a large future purchase.
What is a share certificate?
A share certificate is an insured savings account that requires a set deposit for a set period of time, commonly referred to as a “term.” Unlike a traditional savings account, you cannot make withdrawals without penalty. Instead, your money is returned to you with interest after the predetermined period of time — as short as a few months and up to five years or more. The funds in these accounts will grow with a dividend rate that is generally higher than those of typical share savings accounts, and even some money market accounts, too. And because the interest rate is fixed, you can anticipate exactly how much money you will make over time. A share certificate can earn you more interest but restricts you from withdrawing money for a certain time period. What are your savings goals? Do you need a separate place to park some cash to save for a large expense like tuition, a down payment on a home or home improvement project, buying a car or taking a dream vacation? A share certificate allows you to save money while still earning interest, knowing it is safely out of reach, and will be a predictable amount when the time comes to use it. The interest that you earn depends on the amount of your deposit, certificate rate and term length. For example, a $10,000 deposit in a 15-month promotional share certificate with 4.25% APY would earn around $530 in interest at the end of the term. The same deposit in a regular savings account with a 0.35% savings interest rate (national average) would earn only $35 in interest in a year. That puts an extra $500 in your pocket, just by choosing to save your money in a high yield share certificate account. And don’t forget, share certificates earn compound interest—meaning that, the monthly interest you earn is added to your principal. Then that new total amount earns interest of its own, and so on. Right now, you can take advantage of our 1-year New Money certificate to maximize your savings. Grow your savings with 4.75% APY** on a 1-year certificate today. Or choose another term length that works for your savings strategy. All our share certificates offer excellent yields and guaranteed returns. If a certificate sounds like the perfect choice for you, give us a call or stop by one of our branches to learn more. At SRI Federal Credit Union, we are committed to giving your money its best chance at growth. Saving now pays off later. Your future self will thank you. *APY=Annual Percentage YieldWhen should you get a share certificate?
How does share certificate interest work?
Ready to open a share certificate?
**Earn 4.50% APY with existing money or earn 4.75% APY with “New Money”. New money is defined as money not currently on deposit with SRIFCU.