Have a question about one of our Deposit Accounts?
Here are some of the most frequently asked questions.
Kids Club
What is the purpose of the IAACU Kids Club?
Teaching kids about money is important to address at an early age. Money management can be a challenging topic for adults and kids. The IAACU kids club encourages practical money saving skills and helps adults promote financial literacy and money management skills to youth.
Will my child have to enroll in the new IAACU Kids Club?
Don’t worry; current Kirby Kangaroo Club Members will now automatically become IAACU Kids Club Members.
My kids have a lot of Kids Club Cash. Can it still be used?
Yes. They will still be able to purchase prizes with your Kids Club cash. When a child makes a deposit, they will receive Kids Club Cash, ($1 for every $5 deposited) which will function in the same way.
How do I enroll a child in the IAACU Kids Club?
Fill out a membership application, call or email us at 800-676-2541, or servicecenter@iaacu.org, or visit a branch.
Is there a minimum balance required for the Kids Club?
$5 is required to open and maintain an account. New Club accounts will be given the $5 to start the account after enrollment.
What is the monthly Kids Club e-newsletter?
The newsletter will provide updates on upcoming activities and events, new prizes available, contests and other news. In addition, it will feature blog articles to help adults teach money management to kids. Monthly newsletter will come to joint account holders email address 21 years of age and older.
CDs/IRAs
What is the minimum deposit to open a CD?
The minimum deposit for a regular CD is $1,000.00 and $500.00 for a youth CD.
Where can I go to see the current listing of the rates?
We have our rates posted at our website.
What is the difference between the APR and APY and how do they affect the interest I earn on my CD?
The APR is the rate of interest earned monthly, as the CD’s interest is compounded monthly. The APY is the total rate of interest earned after 12 months. The APY is generally slightly higher than the APR and it is beneficial to keep the deposit in for its full term.
What is the rate for the Jumbo CD?
The Jumbo rate is .10% higher than the regular CD rate.
How often is the interest paid?
Interest in accrued daily, but it is paid monthly-on the last business day of the month.
Does the interest need to roll back into the CD, or can I have it available to me at the time that it is paid?
You can have the interest dispersed at the time it is paid; either in a check or as a direct transfer into one of your accounts.
What is the penalty for early withdrawal from the CD?
6 Months term is 3-month interest penalty, a 12-24 month term is 6-month interest penalty, 30-60 Month term is 12-month interest penalty.
Can I roll over an IRA, 401(k) or other retirement plan into an IRA?
This has changed as of December 2006 with the Tax Relief and Health Care Act of 2006. The bill would allow a one-time transfer of funds from an Individual Retirement Account to an HSA. All other 401(k) or retirement accounts do not qualify.
What is an IRA?
An IRA is an Individual Retirement Account that enables you to save money from your employment income for your retirement.
What is the minimum deposit for an IRA?
The minimum deposit is $100.00.
Can I contribute at any time?
Contribution limits are set by the IRS and there are some restrictions to how long you can contribute for a particular year. For the current year, you can contribute starting January 1st until April 15th of the next year.
Are there any age restrictions for opening an IRA?
In order to open a Traditional or Roth IRA, the individual must have earned income.
What is the difference between a Traditional and Roth IRA? Are they different from an Education IRA?
Traditional IRA - This account is established in a way that you are able to receive a tax deduction as you make contributions, but once you start to withdrawal from the account, you must claim the amount withdrawn on your taxes as income.
Roth IRA - This account does not receive a tax deduction for contributions, but once you have the account for at least 5 years, the earnings are tax free. There are income restrictions that apply for opening a Roth IRA.
Educational IRA- This IRA is for children under the age of 18. There is no earned income requirement, but the IRS income limits must be met. Anyone is able to contribute for the child, but the contribution cannot exceed $2000.00 a year. Also, the contributions are not tax deductible, but they are tax free when withdrawn.
Roth IRA - This account does not receive a tax deduction for contributions, but once you have the account for at least 5 years, the earnings are tax free. There are income restrictions that apply for opening a Roth IRA.
Educational IRA- This IRA is for children under the age of 18. There is no earned income requirement, but the IRS income limits must be met. Anyone is able to contribute for the child, but the contribution cannot exceed $2000.00 a year. Also, the contributions are not tax deductible, but they are tax free when withdrawn.
Health Savings Accounts
How can I access the funds in my HSA?
The IAACU HSA is established as a no-fee checking account. For your convenience we can provide a checkbook or a debit card free of charge to help manage your expenditures. Funds can also be disbursed by contacting us and we will get you the required forms.
How can I contribute to my HSA?
HSA contributions can be made by deposit, ACH, or a transfer from an existing IAACU account, or by payroll deduction (if applicable).
Who can contribute to the HSA?
Contributions to HSA can be made by the employer (if applicable) or the individual, or both. If made by the employer, it is not taxable to the employee. If made by the individual, it is an "above-the line" deduction. Contributions can also be made by others on behalf of the individual.
How much can I contribute to my HSA each year?
Your annual HSA contribution cannot exceed the standard limit set by the IRS. If you are age 55 or older, you can also make additional "catch-up" contributions. This has changed as of December 2006 with the Tax Relief and Health Care Act of 2006.
Is there a limit on how much I can contribute?
Check out our HSA page for all contribution amounts and eligibility information.
What are the "catch up" contributions for individuals age 55 and older?
Individuals 55 and older who are covered by an HDHP can make additional catch-up contributions each year until they enroll in Medicare. The additional "catch-up" contributions allowed to an HSA account is $1,000.
What are qualified medical expenses?
A partial list is provided in IRS Pub 502. There have been thousands of cases involving the many nuances of what constitutes "medical care" for purposes of section 213(d) of the Internal Revenue Code. A determination of whether an expense is for "medical care" is based on all the relevant facts and circumstances. To be an expense for medical care, the expense has to be primarily for the defect or illness. The determination often hangs on the word "primarily."
Who decides whether the money I'm spending from my HSA is for a "qualified medical expense?"
You, the HSA owner, are responsible for that decision, and therefore should familiarize yourself with what qualified medical expenses are (as partially defined in IRS Publication 502) and also keep your receipts in case you need to defend your expenditures or decisions during an audit.
What kind of tax reporting is required for an HSA?
Reporting requirements are straightforward. Form 5498 is used to report total contributions made to the account during the year and the value of the account at the end of the year. Form 1099-SA reports the total distributions taken from the account during the year. Both forms must be sent to the account owner and the IRS.
When is the latest date a member can make a tax free contribution for a prior year?
April 15th, or your required tax filing date.
Do unused funds in a Health Savings Account roll over year after year?
Yes, the unused balance in a Health Savings Account automatically rolls over year after year. You won't lose your money if you don't spend it within the year.
What happens to the money in a Health Savings Account after you turn age 65?
You can continue to use your account tax-free for out-of-pocket health expenses. When you enroll in Medicare, you can use your account to pay Medicare premiums, deductible, co-pays, and coinsurance under any part of Medicare. If you have retiree health benefits through your former employer, you can also use your account to pay for your share of retiree medical insurance premiums. The one expense you cannot use your account for is to purchase a Medicare supplemental insurance or "Medigap" policy.
Once you turn age 65, you can also use your account to pay for things other than medical expenses. If used for other expenses, the amount withdrawn will be taxable as income but will not be subject to any other penalties. Individuals under age 65 who use their accounts for non-medical expenses must pay income tax and a 20% penalty on the amount withdrawn.
Once you turn age 65, you can also use your account to pay for things other than medical expenses. If used for other expenses, the amount withdrawn will be taxable as income but will not be subject to any other penalties. Individuals under age 65 who use their accounts for non-medical expenses must pay income tax and a 20% penalty on the amount withdrawn.
Can I roll the money in a Health Savings Account over into an IRA?
You cannot roll the HSA funds over into an IRA. They will stay in the HSA or be rolled into another HSA.
Can I roll over an IRA, 401(k) or other retirement plan into an IRA?
This has changed as of December 2006 with the Tax Relief and Health Care Act of 2006. The bill would allow a one-time transfer of funds from an Individual Retirement Account to an HSA. All other 401(k) or retirement accounts do not qualify.
What are the transfer limits on my Money Market account?
You get 6 transactions per month. (checks, withdrawals or transfers)
What kind of HSA Savings accounts are available?
The IAACU HSA has been initially established to yield the IRA money market rate. In addition, members with over $1,000 deposited into accounts may move money into Certificates (CDs) with maturities of 6 months through 5 years. Penalties may apply for early withdrawal from CDs.
Debit
How do I activate my ATM Debit Card?
Call our activation PIN Number 800-631-3197 or call into our Service Center 800-676-2541
Can I use my IAACU Credit Card to earn debit purchase rewards?
No, you must use your IAACU Debit card to earn purchase rewards through the checking account (after activated in online banking). Our Rewards VISA Credit Card is another great option to earn points towards rewards – apply today!
I've added a purchase reward to my card and made a qualifying purchase. The reward is not reflecting on my accounts. Why?
2 Possible reasons: It can take up to 2 weeks for rewards to show in your account after the qualifying purchase is made. It is also possible the transaction has processed under the address, rather than the name of the retailer. In this instance you will not receive a reward.
Are there any restrictions on the use of an ATM?
There is a $500 daily ATM withdrawal limit.
Are there any restrictions on the use of the Debit Card?
There is a limit of 25 transactions per day and a limit of $3500 per day.
Are there foreign transaction fees on my Debit Card?
Yes, there is a 1% fee for every overseas transaction.
All Plastic Cards
How do I get a replacement card?
Call our Service Center at 800-676-2541 for assistance in replacing a debit or credit card.
How long does a replacement card take to get to me?
If you are local, you can come in and we can print you an Instant Issue Debit card. If you are not local or need a Credit Card, those take 7 to 10 business days to arrive in your mailbox. They are mailed in a plain white envelope.
What do I need to do if I will be using my card out of state or out of the country?
Please set a travel alert with us. This can be done by calling our Call Center at 800-676-2541 or logging into the IAACU Cards APP.
How do I view transactions for my credit card?
You can view transactions from our IAACU Cards APP. The APP can be downloaded from your APP store. Once you have that downloaded and register your card, the card will show on the main screen. Click on the card and transactions will be listed there for you to view.
How do I make a payment on my credit card?
There are three ways to make a payment to your VISA.
- You can mail your credit card payment to our VISA processing center at PO Box 660493, Dallas, TX 75266-0493 or to IAA Credit Union | 808 IAA Drive, Bloomington, IL 61701.
- You can log in to the IAACU Cards APP and click on the Credit Card. At the bottom of that screen, you will want to click on "make a payment". This will take you to the payment screen. You can make your payment with an IAACU account or an outside bank account.
- Log in to online banking, select the credit card number listed under your accounts, and then on the right-hand side of the credit card screen there are "Quick Links." Select "make a payment." To set up a payment from an outside bank account, select "edit account info" and change what account you would like the payment to come from. If you do not have online banking, simply mail your payment in. (Please Note: all payments take 24 hours to process and reflect on card activity).
What are your current credit cards rates?
Visit our rates page for the most update rates.
I received a new Credit Card, but my old number is still showing. How do I change it to the new card number?
Click on one of the card numbers (XXXXXXXXXXXX1234). On the account home screen
select Simply select “remove card.” Then return to the main screen of IAACU
Home Banking. Click on the new card number, and “add” the new card number into
the system. Once the card information is completed, the new card summary and
information will be available.
How do I qualify for a VISA credit card?
Your qualifications and limits are determined
by credit score, income vs. current debt, and credit history.
How old do I have to be to apply?
18 years old with a co-signer and 21 years old as a sole applicant.
