Savings

Dividend Rates

For further information regarding appliciable fees and terms, contact Montana Federal Credit Union at (406) 727-2210

Share Certificates

• Available in different terms and investment amounts, minimum investment of $1000.

• Withdrawals made before the maturity date will be subject to penalties.

• On maturity you can renew at the current rate, transfer or withdraw the funds.

Share Certificates pay a higher Annual Percentage Yield in return for your agreement to keep the funds on deposit for a specified period of time. They come in a variety of deposit amounts and length of terms. Withdrawals made before the maturity date will be subject to penalties. After dividends are paid to an account they may be withdrawn without penalty. However, this will result in a lower Annual Percentage Yield than if you simply allow them to accrue until the certificate matures. Upon maturity you may renew your certificate at the current rate, transfer or withdraw the funds.

A Share Certificate is not unlike a Certificate of Deposit (CD) at a bank (but chances are, the certificate rate of return is better!)

To give you the best possible share certificate rate in light of the volatility of the market and current economic environment, Montana Federal Credit Union will establish these rates on a weekly basis. Rates will be reviewed each Tuesday and posted the following day. Feel free to call us with any questions on the current share certificate rates.

Earnings on all savings, checking and certificates are compounded monthly. A penalty applies to certificates withdrawn early. All rates are subject to change. For rates on 6, 12, 24 and 36 month certificates, please call your Credit Union Financial Service Representative at (406) 727-2210

IRAs

Planning for Retirement

Click here for current rates!

• IRA Savings accounts are available
• Traditional and Roth IRAs have a maximum annual contribution amount of $4,000
• All accounts NCUA insured up to $100,000

Take a look at the general guidelines on different IRA structures below. Be sure to consult your tax advisor for more detailed information.

Individual Retirement Accounts (IRAs) are an excellent retirement savings tool because of the tax advantages. The credit union offers traditional IRAs as well as Roth IRA's. Both the Roth and the traditional IRA have a combined contribution of $4,000 per year. Your credit union IRA accounts are NCUA* insured up to $100,000, so you know your investment is secure.

*(National Credit Union Administration)

Traditional IRAs
• All income taxes on dividends are deferred until you reach the age of 59 1/2
• Deposits are tax-deductible
• Penalties apply for early withdrawal

With a traditional IRA, dividends earned are not subject to income tax until you reach the age of 59 1/2. And, for some, the amount deposited may be subtracted from income for tax purposes depending on your income and whether you or your spouse have a pension from your employer. Anyone under age 70 1/2 with income from compensation is eligible.

Roth IRAs
• Deposits are not tax-deductible
• No penalty for early withdrawal
• Earnings can be withdrawn tax-free at age 59 1/2

The Roth IRA doesn't allow deposits to be deducted for tax purposes, but contributions can be withdrawn penalty-free at any time. Earnings can be withdrawn tax and penalty free at age 59 1/2. If you become disabled or for a first time home purchase. Those eligible for this IRA include: married couples filing jointly with modified adjusted income (MAGI) up to $150,000 and single tax filers with MAGI up to $95,000. Those with income above these ranges may qualify for reduced contributions.

Be sure and check with your tax consultant for advice on which IRA is best for you. Investing for the future is easy. You can have deposits made to your IRA account through automatic transfer. Be sure to check out our other smart savings tools, like Share Certificates. For rates on 6, 12, 24 and 36 month certificates, please call your Credit Union Financial Service Representative at (406) 727-2210 or (406) 455-9300.