Info regarding CD IRA
Hi Terry
have Traditional IRA at one bank longtime receiving regular distribution. Wish to convert to CD IRA to receive some interest and consolidate dollars at my main bank. I am quite elderly and time to simplify. Distribution out before conversion to CD? Best way to do? Believe bank holding dollars charge to close account. Can go with that if necessary to gain interest. Thanks and regards….
Terry Says
Wait –that doesn’t sound right to me. Your traditional IRA is at a bank. How is it invested there. If you’re in stock funds, you could ask them to put all the money in a CD — or a money market fund, so you have liquidity.
If you want to move — ROLLOVER — your IRA, contact your “main bank” and ask them to help you do a rollover to this bank. They will handle all the details– and you should NOT receive a check. The money must go directly from custodian to custodian.
And your former account will require you to take this year’s RMD before you move the account.
If this doesn’t cover the situation, please write back.
