Education IRA
College Savings Made Simple with Education IRAs
VSECU offers an investment program specifically for Vermont parents looking to help fund their child’s future education. Our Education IRA can help you put away money a little at a time to help cover the cost of higher education. Features of the Education IRA include:
- Save for college or higher education.
- Withdrawals are tax-free for qualified education expenses.
- Up to $2,000 in annual contributions per beneficiary.
- Great gift for children or grandchildren.
Although most of us recognize the term Education IRA, the accurate new name for this type of savings is a Coverdell Education Savings Account.
A Coverdell Education Savings Account is a type of IRA that allows people to save for educational expenses from grade school through college. You can contribute a maximum of $2,000 per calendar year, to an account opened for an individual under the age of 18.
| Account Type | Minimum Daily Balance to Earn APY | APY | ||
|---|---|---|---|---|
| IRA Savings | None | 0.10% | ||
| 1 Year Certificate | $500 | .60% | ||
| 2 Year Certificate | $500 | .60% | ||
| 3 Year Certificate | $500 | .85% | ||
| 4 Year Certificate | $500 | 1.05% | ||
| 5 Year Certificate | $500 | 1.40% | ||
| Accounts are compounded and credited monthly and charge a penalty for early withdrawal. Annual Percentage Yield (APY) subject to change without notice.View Rate Sheet for more requirements. | ||||
Helping Your Balance Go UP
You can apply to open additional savings or checking accounts as well as certificates or money market accounts at any branch location.
