Traditional IRA - Frequently Asked Questions
Click on any question below to veiw answers to some common questions about Traditional IRA accounts.
Who can contribute to an IRA and how much can you contribute?
Are Traditional IRA contributions tax deductible?
What if I can’t take a deduction?
Can I transfer my existing IRA to BankDirect?
I am contributing to an employer-sponsored retirement plan. Am I still eligible to contribute to an IRA?
When can I take my money out?
Can I take my money out before I reach age 59½?
If you withdraw any of your IRA savings before the age of 59½, in addition to ordinary income tax liability that you may have on the
money you have taken out, you may have to pay a 10% penalty on your withdrawal amount. You can avoid the penalty if you use
the money for qualified higher education expenses, qualified first-time home purchase (up to a max of $10,000), or qualified permanent disability.
How do I open a BankDirect IRA?