VantageTrust Certificate of Deposit Accounts1
| Rates Offered through Jan 30, 2009 | ||
| CD Account | Annual % Rate (APR) | Annual % Yield (APY) |
| 1 Year | 0.89% | 0.89% |
| 3 Year | 0.62% | 0.62% |
| 5 Year | 0.96% | 0.96% |
The VantageTrust Certificate of Deposit Accounts (CD Accounts) consist of 1-, 3-, and 5-year CD Accounts that lock in a fixed interest rate with no minimum opening investment or minimum account balance. CD Accounts are offered through Countrywide Bank, FSB,* a member of the Federal Deposit Insurance Corporation (FDIC). CD Account assets are protected by FDIC insurance up to $250,000 per investor.
Your employees can invest in the VantageTrust CD Accounts through both fund-to-fund transfers and ongoing contributions. One-month open window periods are offered for investment in CD Accounts. Each of the three CD Account maturities has an interest rate that applies to all assets invested during that month and be applicable for the entire term. Direct transfers from the VantageTrust PLUS Fund to 1- or 3- year CD Accounts are prohibited. However, transfers may be made directly from the PLUS Fund to 5-year CD Accounts.
As with typical CDs, the CD Accounts have early withdrawal penalties if assets are removed prior to the maturity date. However, if your employees need access to their assets for retirement distributions or other special circumstances such as hardship withdrawals, their withdrawals will not be subject to early withdrawal penalties.
The addition of CD Accounts enhances the current stable value investment offerings available through the VantageTrust and provides your employees with a secure retirement savings option designed to help meet their retirement investing goals. For more information on the VantageTrust CD Accounts, please contact Investor Services.
*The Bank of America Corporation purchased Countrywide Financial Corporation (CFC), the parent company of Countrywide Bank, FSB, the institution through which ICMA-RC’s VantageTrust Certificate of Deposit Accounts (CD Accounts) are offered.
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Please note: Effective January 30, 2009, the current VantageTrust Certificate of Deposit Accounts (CD Accounts) program will be terminated. Existing investments in CD Accounts along with additional investments made in CD Accounts prior to the termination date will not be affected. However, contributions made to CD Accounts after the program termination date will not be accepted. Future contributions made to CD Accounts after the program termination date will be directed to the plan sponsor’s designated CD Accounts maturity fund or to an alternative investment option selected by the investor. A new CD Accounts program is under development.