Individual Retirement Accounts (IRAs) at USAA
Points to Remember:
- USAA offers IRA CDs with FDIC insurance.
- Investment IRAs can no longer be opened at USAA.
- Schwab is a great fallback for an investment IRA.
If you’re trying to save for retirement, USAA is worth checking out. The company does have some flaws, so Schwab may be worth considering as a substitute.
IRAs at USAA
USAA offers Certificates of Deposit (CDs) as retirement vehicles. A CD at USAA can be opened as a Roth or Traditional IRA. With either setup, the CD is insured by the FDIC up to program limits. USAA has an automatic renewal feature on its CDs, so once a CD is established, it can remain a CD indefinitely.
Terms on USAA’s IRA CDs range from 30 days to 7 years. It’s easy to browse the company’s website to find a term and deposit amount that fits your needs. Here are a few fixed-rate examples:
| Term | APY |
|---|
| 91 Days | 0.05% |
| 1 Year | 1.80% |
| 7 Years | 1.25% |
These are not great rates. The bank’s variable-rate CDs all pay 0.01%, which is even lower.
IRA Fees and Minimums
USAA charges no recurring fees for its IRA CDs. Early withdrawals do have penalties that range from 30 to 365 days of interest, depending on the CD term.
An IRA CD at USAA has at least a $250 minimum deposit. Some products have higher minimums (up to $175,000). The rates above are for $1,000 deposits.
USAA’s Partnership with Charles Schwab
The rates listed above aren’t very competitive. Normally, switching from a bank product to an investment product can offer higher return potential. But USAA has shut down its investment business, so you can’t open investment accounts there anymore.
Here’s the workaround: USAA has partnered with Charles Schwab to provide investment accounts, including both taxable and retirement accounts. An IRA opened through the USAA website will be held at Schwab and accessible through both the Schwab and USAA sites. For trading and account management, use Schwab’s website.
You can open a Schwab IRA through the USAA site or go directly to Schwab. Either way, the IRA will be a Schwab account, so opening it at Schwab directly may be simpler.
Free Charles Schwab IRA
Satisfaction guarantee, ACAT reimbursement, and $0-fee trades at Charles Schwab.
Open Schwab Account
Reasons To Choose Charles Schwab IRA
There are several reasons USAA relies on Schwab. Schwab has many programs that IRA and other investors
can benefit from. Examples include:
Multiple IRA types: Roth, Traditional, Rollover, SEP, SIMPLE, Inherited, and Minor accounts.
IRA calculators and retirement education: Lots of DIY retirement tools on Schwab’s site.
General education: Resources like Schwab Network and Onward magazine.
Investment-advisory program: Managed accounts with investment advice if you don’t want to trade on your own.
Financial planning: Advisors at local branches can help with retirement, charitable giving, and estate planning.
Wide range of investments: Stocks, options, fixed income, mutual funds, ETFs, closed-end funds, futures, forex, foreign stocks, annuities, and insurance.
Excellent software: Many assets can be traded on thinkorswim, which also works with IRAs.
Brokered CDs: A large marketplace of CDs from many banks, easy to search on Schwab’s site.
Long-term products: Trust accounts, alternative investments, and tax-efficient strategies for larger portfolios.
Low fees and commissions: Discount pricing; no recurring or closeout fees on self-directed IRAs, and $0 commissions on U.S.-listed stocks and ETFs.
Free Charles Schwab IRA
Satisfaction guarantee, ACAT reimbursement, and $0-fee trades at Charles Schwab.
Open Schwab Account
Updated on 1/23/2026.
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