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Founded in 1985, Discover Bank is widely recognized for its credit cards and banking services. It has since expanded into personal finance, offering high-yield savings accounts, money market accounts, and retirement investment options.
Discover IRA accounts cater to individuals looking for low-risk, interest-bearing retirement savings. While the bank’s IRA offerings don’t include stocks or mutual funds, they provide secure and predictable returns through CDs and savings accounts.
Discover IRA provides two main retirement savings accounts:
Discover’s IRA options are designed for those looking to preserve their capital while earning modest interest, rather than aggressive investors seeking high-risk, high-reward opportunities.
Discover IRA is designed for individuals looking for a low-risk retirement savings option. If you want a simple, predictable, and secure way to grow your retirement funds without market fluctuations, these IRAs can be a great fit. However, if you’re looking for investment flexibility with stocks or ETFs, this may not be the best option.
Discover IRA offers two main account options: the IRA Savings Account and IRA CDs, each catering to different retirement savings needs. The IRA Savings Account has no minimum deposit requirement and offers a variable interest rate, making it a flexible option for those who want easy access to funds.
IRA CDs also have no minimum deposit requirements, but provide fixed interest rates for terms ranging from 3 months to 10 years and may incur early withdrawal penalties. Neither account has monthly maintenance fees, and both are FDIC-insured up to $250,000, ensuring security for your retirement savings. While Discover IRAs lack investment options like stocks or mutual funds, they can appeal to conservative investors who prefer stable, predictable returns.
| Feature | Details |
| IRA Savings APY | Competitive variable rate |
| IRA CD Terms | 3 months to 10 years |
| Minimum Deposit | $0 for Savings and CDs |
| Fees | No monthly fees |
| Early Withdrawal Penalty | Applies to IRA CDs |
| FDIC Insurance | Up to $250,000 per depositor |
Discover IRAs come in two types:
Early withdrawals from an IRA CD can result in penalties, making it important to choose terms that align with your financial plans.
Getting started with a Discover IRA is a straightforward process that can be completed entirely online. Whether you choose an IRA Savings Account or an IRA CD, the process involves minimal paperwork and allows you to manage your retirement savings conveniently.
Since the IRA Savings Account has no minimum deposit requirement, it can be a good option if you want to start small and contribute over time. However, if you opt for an IRA CD, be sure to choose a term length that aligns with your financial goals, as early withdrawals may result in penalties.
Discover has a mobile banking app that allows you to:
The Discover mobile app provides a seamless way to manage your IRA accounts on the go, offering features like balance tracking, fund transfers, and account statements. It’s available on both iOS and Android, where it is highly rated for its ease of use and reliability.
While the app is great for basic account management, it doesn’t include advanced investment tracking or portfolio analysis tools that brokerage apps typically offer. However, for those using Discover IRAs for safe, stable retirement savings, the app provides all the essential banking functions needed to monitor and manage funds conveniently.
Discover Bank is a well-established financial institution. Their IRAs are FDIC-insured up to $250,000, providing strong protection for deposits. Discover also uses industry-standard encryption and multi-factor authentication to secure user accounts.
While Discover doesn’t appear on Trustpilot, its banking services generally receive high ratings from customers on other platforms.
Discover Bank offers 24/7 customer support via phone at 1-800-347-7000. Other support options include:
Support wait times are generally short, with most customers able to reach a representative within a few minutes.
Discover IRA is a reliable choice for conservative investors who want low-risk, FDIC-insured retirement savings options. While it lacks diverse investment opportunities like stocks and mutual funds, its high-yield CDs and savings accounts provide stable growth with no monthly fees. If security and predictability are your top priorities, Discover IRA can be a strong option.
Discover Bank
502 E. Market Street, Greenwood, DE 19950
Yes. You can open both a Traditional and a Roth IRA with Discover, but they will be managed as separate accounts.
There are no monthly maintenance fees for either IRA option. However, early withdrawal penalties apply for IRA CDs.
For an IRA Savings Account, you can withdraw funds without penalties. For an IRA CD, early withdrawals may result in fees, depending on the term length.
✔️ Account Minimum: $0
✔️ Fees: No monthly fees
✔️ Investment Options: Fixed interest savings
Why we chose Discover IRA Savings
This account can be a suitable choice for people who want a flexible, low-risk way to save for retirement without committing to long-term investments.
Our experience
The no minimum deposit requirement makes it easy to open an account, and the competitive interest rates are a solid advantage over regular savings accounts.
✅ No minimum deposit
✅ Easy access to funds
✅ FDIC-insured
❌ Interest rates fluctuate
❌ No investment growth from stocks or funds
✔️ Account Minimum: $0
✔️ Fees: Early withdrawal penalties apply
✔️ Investment Options: Fixed-rate CDs
Why we chose Discover IRA CD
We feel that it’s one of the best options for people who want fixed, predictable returns.
Our experience
Discover IRA CDs offer great interest rates for long-term savers. However, the early withdrawal penalties mean you should be comfortable locking in your funds for a set period.
✅ Competitive fixed rates
✅ Various term lengths
✅ Safe & predictable
❌ Less flexible compared to IRA Savings accounts
❌ Withdrawal penalties apply
If you want a safe and stable way to grow your retirement funds, Discover IRA can be a solid choice. However, if you’re looking for market investments like stocks or ETFs, you might need to explore other IRA providers.
Disclaimers:
AI was used in the creation of this content, along with human validation and proofreading.
