- 1). Contact the bank, mutual fund family or brokerage firm holding your IRA and ask about their CD rates. Many brokerage firms and mutual funds have access to bank CDs so be sure to check those rates before moving your funds to another institution.
- 2). Ask your IRA custodian to move your money into a CD at the same institution if one is available. Otherwise, ask the custodian for an IRA transfer form.
- 3). Complete the IRA transfer form completely. Make sure to fill out all sections of the form, including your account number, name and address. It is helpful to have a copy of your most recent IRA statement with you when filling out the form.
- 4). Contact the bank offering the CD you want to invest in and tell the representative you want to transfer your IRA money to their CD. Complete the appropriate forms for the transfer and send those forms, along with the account transfer form, to the appropriate address.
- 5). Write a letter to the new custodian instructing them to transfer your IRA funds to the bank's IRA. Specify that the transfer is to be done as a custodian-to-custodian transaction--this will ensure that there are no negative tax ramifications to the transfer.
- 6). Follow up with the new custodian to make sure that the funds have been received. It can take up to 10 days for the transfer to be completed so allow time for the transfer before checking on the new account.
Source...