Rates

Our Rates & Service Charges explain current terms, rates and service charges applicable to the savings, checking and share certificate accounts we offer. We may offer other rates and require other service charges or amend the rates and service charges, as explained in this disclosure. Each owner on an account agrees to the terms described in this disclosure and acknowledges that it is a part of the Member Service Agreement (MSA).

As explained in the MSA, Our Rates & Service Charges disclosure applies to all the accounts we offer. Except as specifically de- scribed, the following terms apply to all of the accounts you have with us.

1. Rate Information

The Dividend Rate and Annual Percentage Yield on the ac-counts you have with us are identified above. For all accounts except cer- tificates, the Dividend Rate and Annual Percentage Yield may change at any time as determined by the Board of Directors. The Dividend Rates and Annual Percentage Yields are the prospective rates as of the effective date shown above. For Certificate Ac- counts, the Dividend Rate and Annual Percentage Yield are fixed and will be in effect for the term of the account. For Certificate Ac- counts, the Annual Percentage Yield is based on an assumption that dividends will remain on deposit until maturity. A withdrawal of dividends will reduce earnings.

2. Nature of Dividends

Dividends are paid from current income and available earnings af- ter required transfers to reserves at the end of a dividend period. The Dividend Rate and Annual Percentage Yield identified above are the rates and yields for the last dividend period, as shown above.

3. Compounding and Crediting

Dividends will be compounded and credited as identified above. For dividend bearing accounts, the Dividend Period begins on the first calendar day of the period and ends on the last calendar day of the period.

4. Accrual of Dividends

Dividends will begin to accrue on noncash deposits (e.g., checks) on the business day you make the deposit to an account you have with us. If you terminate the account before accrued dividends are credited, accrued dividends will not be paid.

5. Balance Information

The minimum balance required to start each account and earn the stated Annual Percentage Yield is identified above. If you do not maintain the minimum balance, you will not earn the stated Annual Percentage Yield. For all accounts, dividends are calculated using the Average Daily Balance method, in which dividends are calcu- lated by applying a periodic rate to the Average Daily Balance in the account for the dividend period. The Aver-age Daily Balance is determined by adding the full amount of principal in the account for each day of the period, and dividing that figure by the number of days in the period.

6. Account Limitations

For all accounts except checking accounts and money market ac- counts, no more than six (6) preauthorized, automatic or telephone transfers may be made per month from these accounts to another account you have with us or to a third party. If you exceed these limitations, the account may be subject to a service charge or be ter- minated. For a Holiday Club account, the entire balance will be trans- ferred to another account with us on or after October 1 and the ac- count will remain open. If any withdrawal is made from this account before the end of the club term, you will pay a service charge as shown in our service charge schedule. You may make transfers or withdrawals in the first seven (7) days the account is open without restriction. Vacation Club accounts are limited to two (2) withdrawals per year. For Escrow Club Accounts, withdrawals are allowed only for payment of property taxes, insurance, HOA dues, lease hold property, and escrow overages.

7. Certificate Account Features

a. Account Limitations

After you start the account, you may not make additional deposits to a Certificate Account.
b. Maturity
The Certificate Account you have with us will mature on the ma- turity date identified on your Account Receipt or Renewal Notice. c. Early Withdrawal Penalty

We may impose a penalty if you withdraw any of the principal of the Certificate Account before the maturity date.
1) Amount of Penalty. The amount of the penalty depends on the

term of the certificate. For certificates with terms of 6 months or less, the penalty equals 90 days dividends on the amount with- drawn. For certificates with terms of more than six months, the pen- alty equals 180 days dividends on the amount withdrawn.

2) How the Penalty Works. The penalty is calculated as a forfei- ture of dividends that have been or would be earned on the amount withdrawn. If earned dividends are insufficient to pay the penalty, or have previously been withdrawn, the penalty will be deducted from the principal balance.

3) Exceptions to Early Withdrawal Penalties. At our option, we may pay the account before maturity without imposing an early withdrawal penalty under the following circumstances: when an owner on an account dies or is determined legally incompetent by a court or other body of competent jurisdiction. Where the account is an Individual Retirement Account (IRA) and any portion is paid within seven (7) days after establishment or where the account is an IRA and the owner attains age 591⁄2 or becomes disabled and begins making periodic withdrawals.

d. Renewal Policy

Certificate Accounts are automatically renewable accounts. Auto- matically renewable accounts will renew for another term upon ma- turity. You have a grace period of ten (10) days after maturity in which to withdraw funds in the account without being charged an early withdrawal penalty.

e. Nontransferable/Nonnegotiable

The account(s) you have with us is/are nontransferable and nonne- gotiable. This means that an account and the funds in the account may not be pledged to secure any obligation of an owner, except obligations with the Credit Union. In other words, you cannot use the funds in any account you have with us to secure any loan or other obligation at another financial institution or organization. These funds can only be used to secure obligations with us.