Will I be penalized for an early withdrawal from my Certificate of Deposit (CD) before it reaches maturity?

For all Ally CDs, except the No Penalty CD, you will be charged an early withdrawal fee equal to 60 days’ interest if you withdraw your money before the CD matures. This fee is calculated using the interest method detailed in your Deposit Agreement, and is first deducted from the interest and then—if necessary—the principal.

There are couple of exceptions: We will waive the early withdrawal fee if the depositor should pass away or be judged legally incompetent.