Discover Bank IRA CD Rates for May 2013

This month’s featured IRA CD of Discover Bank is a 3 year term IRA CD at 1.20%APY.  The rest of the IRA CD terms are detailed in the rate chart below:

Featured Rate 1.20% APY for a 3-year term

IRA CD Rate Chart
Term Interest Rate APY1
3 Months 0.35% 0.35%
6 Months 0.70% 0.70%
9 Months 0.75% 0.75%
12 Months 0.85% 0.85%
18 Months 0.90% 0.90%
24 Months 1.00% 1.00%
30 Months 1.04% 1.05%
3 Years 1.19% 1.20%
4 Years 1.34% 1.35%
5 Years 1.54% 1.55%
7 Years 1.83% 1.85%
10 Years 1.93% 1.95%

Last month, Discover Bank features the same 3 year term IRA CD but the rate was 1.25%APY. In other words, this month’s 3 year term IRA CD rate dropped by 0.05%APY.  The rest of the IRA CD terms also dropped by 0.05%APY.

If these rates continue to fall, this will mean a very minimal return on your IRA CD investment in the coming months ahead. A good strategy would be to rollover or transfer the IRA to another financial institution who are offering bonuses for eligible IRA rollovers or transfers. An IRA rollover or transfer bonus of say $500 or $600 is not bad at all considering the very low IRA CD rates.

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