There is a 20 calendar day grace period from the maturity date to change the investment terms or withdraw your funds without being charged a penalty. Penalty for early withdrawal may be 90 days interest on CDs with terms less than one year. If the amount of interest earned on the CD is not sufficient to cover the penalty amount, this will result in a reduction in the amount of principal. All CD's will be included on a combined statement unless the customer instructs otherwise. Federal regulations require that interest paid on CDs be based on the actual number of days on deposit.
Interest earned is compounded daily and credited to the account monthly.
IRA CDs will automatically renew at maturity. Normal distributions will be allowed for customers who have reached age 59 . With the exception of IRA distributions as outlined above, if any of the principal is withdrawn before the maturity date, a penalty of 90 days interest, earned or not, may be imposed for certificates with terms of 1 year. A penalty of 180 days interest, earned or not, may be imposed for any withdrawal of principal for certificates with terms of greater than 1 year. You may earn up to 1,000 State Farm Dollars annually.