What is a Share Certificate?

A share certificate is our credit union’s version of a CD. It is a savings certificate entitling the bearer to receive dividends. A share certificate bears a maturity date, a specified fixed interest rate, and can be issued in any denomination (minimums apply). When you open a Certificate, your money is on deposit for a specific time. For agreeing to keep it on deposit for a specified time, you earn more than you would in a regular savings account. If you cash it in before its maturity date, you may pay a penalty.