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People Driven Credit Union

Money Market IRA

Grow Your Savings with the Flexibility of a Money Market IRA

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A Money Market IRA from People Driven Credit Union gives you a retirement savings option that combines competitive earnings with the flexibility to access your money when you need it.

You can open this account as either a Traditional or Roth IRA, so you get to choose the tax structure that fits your situation. With a Traditional IRA, your contributions may be tax-deductible now, and you pay taxes when you withdraw in retirement. With a Roth IRA, you contribute after-tax dollars and qualified withdrawals in retirement are tax-free. Either way, your money grows in an account designed to work with your retirement timeline, not against it.

Unlike a Certificate of Deposit, a Money Market IRA does not lock your funds into a fixed term. That makes it a practical choice if you need regular access to your balance, whether for planned withdrawals, unexpected expenses, or required minimum distributions (RMDs) once you reach the age the IRS requires them.

The account requires a minimum balance of $1,000 to open. From there, the rate structure rewards you for saving more. The higher your balance, the higher your rate, with the best available rate kicking in at $25,000 or more. That tiered structure means your account keeps working harder as your retirement savings grow.

A Money Market IRA works well for members who want a retirement account that earns more than a basic savings account, stays liquid enough for distributions, and avoids the commitment of a fixed-term CD. It is not the right fit for every situation, which is why we recommend talking through your options with a PDCU team member before you open one.

Ready to open an account? Schedule an in-person appointment at any of our branch locations to get started. Secure your retirement savings with a blend of flexibility, growth, and security tailored to fit your needs.

Your retirement savings should be working as hard as you did to build them. A Money Market IRA from PDCU is one straightforward way to make that happen.

Why Choose a Money Market IRA?

  • Flexibility: Ideal for retirees or those needing easy access to their funds.
  • Higher Earnings: Maximize your savings with competitive rates that increase with your balance.
  • Security: Know your investment is in a stable, insured account.

Money Market IRA Rates

³New money required to qualify for this rate. Only new funds transferred from external sources to the credit union qualify for this promotion.

Minimum Deposit

Dividend/Interest Rate

APY²
$1,000 to $4,999 0.349% 0.35%
$5,000 to $24,999 0.499% 0.50%
$25,000 and above 1.094% 1.10%

Rates Effective as of:

Frequently Asked Questions

APY stands for Annual Percentage Yield. It is a measure of the total amount of interest earned on an account based on the interest rate and the frequency of compounding over a year. APY is a useful metric for comparing the annual earnings on different savings products, such as savings accounts, CDs, and money market accounts, because it standardizes the effect of compounding.

Key Points About APY

  • Includes Compounding: APY accounts for how often interest is compounded (e.g., daily, monthly, quarterly), which can significantly affect the total interest earned over time.
  • Comparison Tool: APY provides a standard way to compare the annual interest earnings of different savings products, regardless of how frequently interest is compounded.
  • Formula: The formula for calculating APY is: 
    APY = (1 + r/n)^n - 1
    where r is the nominal interest rate (expressed as a decimal), and n is the number of compounding periods per year.
  • Higher APY: A higher APY indicates that you will earn more interest on your money over a year, assuming the same principal amount.

Example

For example, if a savings account offers an interest rate of 5% compounded monthly, the APY would be higher than 5% due to the effect of monthly compounding. This makes APY a useful metric for comparing the real return on different financial products.

A Money Market IRA is a retirement savings account that combines the benefits of a Money Market Account with the tax advantages of an Individual Retirement Account (IRA). It provides a flexible option for those who want to earn competitive interest while maintaining easy access to funds for regular withdrawals or required minimum distributions.
Yes, a Money Market IRA can be opened under either a Traditional or Roth IRA, allowing you to choose the tax structure that best meets your retirement needs.
To open a Money Market IRA with People Driven Credit Union, a minimum deposit of $1,000 is required.
Interest rates for a Money Market IRA are tiered, increasing as your balance grows. Our highest rate is available for accounts with a balance of $25,000 or more.
Yes, a Money Market IRA is well-suited for individuals who need to make regular withdrawals, such as RMDs, as it provides easy access to funds while continuing to earn interest.
Yes, you can access funds as needed. However, early withdrawals may be subject to taxes or penalties depending on your account type (Traditional or Roth) and how long you have held the funds.
To open a Money Market IRA, you’ll need to schedule an in-person appointment at one of our branch locations.
Yes, Money Market IRAs with People Driven Credit Union are federally insured to at least $250,000 by the NCUA and backed by the full faith and credit of the United States Government.

Yes. Money in a People Driven Credit Union Money Market Savings Account is federally insured by the National Credit Union Administration, or NCUA, to at least $250,000 per member, per ownership category.

How NCUA insurance helps protect you

NCUA insurance protects eligible deposits at federally insured credit unions. Coverage limits apply by ownership category, so your total protection may vary depending on how your accounts are structured.

What to keep in mind

A Money Market Savings Account can offer both savings growth and deposit protection, but it is still a good idea to review your account ownership and total balances if you want to understand your full insurance coverage.

If you have questions about your Money Market Savings Account or your coverage, call 844-700-7328 during business hours.

A Money Market Savings Account is a type of savings account that can offer higher dividend rates than a regular savings account while still giving you access to your funds. It may be a good fit if you want to earn more on your savings without locking your money into a certificate.

How it works at People Driven Credit Union

At People Driven Credit Union, the Money Market Savings Account requires a $1,000 minimum deposit to open. Interest is calculated daily based on your balance and is paid and compounded monthly. The account also offers tiered rates, which means higher balances may earn higher dividends.

How it compares to other savings options

A Money Market Savings Account can offer more flexibility than a certificate because your funds remain available, and it may offer higher earnings than a standard savings account. At People Driven Credit Union, you can also write checks from the account.

What to keep in mind

Funds in a Money Market Savings Account at People Driven Credit Union are federally insured by the NCUA to at least $250,000. Fees may apply in some cases, so it is a good idea to review the account terms and fee schedule before opening the account.

If you have questions about whether a Money Market Savings Account is the right fit for your goals, call 844-700-7328 during business hours.

Disclosures

For more details about IRAs, please ask the credit union for a brochure, or visit the Internal Revenue Service.

Federally Insured: Savings at People Driven Credit Union are federally insured to at least $250,000 by the NCUA and backed by the full faith and credit of the United States Government.

²APY = Annual Percentage Yield. APY is a standardized measure of the total interest earned on a deposit account over one year, based on the interest rate and the frequency of compounding. APY assumes that interest remains on deposit until maturity. Early withdrawals and applicable fees may reduce earnings. Rates are effective as of and are subject to change at any time without notice.


Money Market Accounts:

  • $1,000 minimum deposit required to open
  • Interest rate and Annual Percentage Yield (APY) may change at any time without notice, both before and after the account is opened
  • No limit on preauthorized transfers and/or withdrawals

Membership Requirement

All accounts and loans require membership at People Driven Credit Union. Membership is available to individuals who live, work, worship, or attend school in the State of Michigan, as well as relatives of current members. To complete an application for any account or loan, you will need the following information:
  • A valid Driver's License, State ID, or Passport with your current address
  • Your Social Security Number
A Membership Share Savings Account is required to establish membership at People Driven Credit Union. A $5 deposit secures your ownership share in the credit union and unlocks access to our full suite of products and services. This account earns 0.01% APY with a $5 minimum deposit.

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