5 Options When Your Certificate Account Matures

The aging process happens whether we like it or not, right? We can't stay young and adventurous forever. That goes for your certificates, too! One of the top benefits of a certificate account is that it’s a low maintenance, low-risk savings option. Deposit money for a specific timeframe, usually from 6 to 60 months, while earning a higher dividend rate than a regular savings account. As a smart saver, it’s a steady, predictable option that helps you diversify your long-term investments.

But, what happens now that the maturity date is a few months away? After you receive a notification from your financial institution, you’ll have several options for what to do. Start by considering the economic forecast. Is the economy stable? Have interest rates been projected to go up or down? These answers may help you decide what to do next. 
 

1. Take no action and have the funds roll over automatically
   The right option for you may be to continue with your current saving strategy. If you decide to do this, all the funds will roll over with the existing term at the market’s current dividend rate. Review the dividend rate available prior to maturity to help you decide.




2. Cash out the dividends and roll over the initial investment only
   Balance savings and spending by withdrawing only the dividends earned. Then roll the initial investment into a new certificate.




3. Increase or reduce your investment
   You may have more money to invest or perhaps you need some of the funds for another purpose. Consider your personal circumstances and investment goals as you analyze this option.




4. Invest in a different savings product
   If you’re unsure whether you want to be locked in to a longer term, simply adjust the certificate length to 6 or 12 months instead. Or, consider a different savings option all together. Mountain America Credit Union offers a Growth Certificate account which lets you continue making deposits throughout the life of the certificate. This flexibility may be just what you need moving forward.




5. Cash out the entire amount
   Perhaps your savings plan has served it’s purpose. You are ready to tackle that home renovation, buy your dream car or enjoy a tropical vacation. Enjoy it! Your savings strategy has paid off.

Mountain America Credit Union has many options for certificates including our latest addition, the Growth Certificate* account. This account gives you everything you love about regular certificates, like choosing the term that works best for you and higher dividends than traditional savings accounts, but then there’s more!
A Growth Certificate lets you start your account with as little as $5 (perfect for showing young children how to save and invest) and you can add money to your account at any time.

Open a certificate account and start earning today!

* Early-withdrawal penalties may apply. Each member is limited to $100,000 in any one or combination of Growth Certificate accounts. Accounts can be opened in terms from 6 to 60 months. Membership required—based on eligibility. Federally insured by NCUA.