Truth in Savings

Share, Daily Market, Club and IRA Accounts

The dividend rate and annual percentage yield may change every dividend period as determined by the credit union board of directors.

Compounding and Crediting – Dividends will be compounded and credited as shown on the Share Rate Chart.  For these accounts types, the dividend period is monthly, for example, the beginning date of the first dividend period of the calendar year is January 1 and the ending date of such dividend period is January 31.

All other dividend periods follow this same pattern of dates.  The dividend declaration date follows the ending date of a dividend period, and for the example above is February 1.  If you close your account before dividends are credited, you will not receive accrued dividends on your regular share and club accounts.  You will receive dividends on your daily market share and IRA accounts to the date of close-out.

Balance Computation Method – Dividends are calculated by the average daily balance method which applies a periodic rate to the average daily balance in your account for the period. The average daily balance is calculated by adding the principal in the account for each day of the period and dividing that figure by the number of days in the period.

Accrual of Dividends – Dividends will begin to accrue on the business day you deposit noncash items (e.g., checks) to your account.

Nature of Dividends – Dividends are paid from the current income and available earnings, after required transfers to reserves at the end of a dividend period.

Regular Share and Daily Market Share Accounts only;

Transactions and Limitations – During any statement period, you may not make more than six withdrawals or transfers to another credit union account of yours or to a third party by means of a preauthorized or automatic transfer or telephonic order or instruction.  No more than three of the six transfers may be made by check, draft, debit card, if applicable, or similar order to a third party.

Truth in Savings Share Certificates

Compounding and crediting – Dividends will be compounded and credited as shown on the Certificate Rate Chart , and are paid directly to the member or are paid to another credit union account.  If you close your certificate account before the dividends are credited, you will not receive accrued dividends.

Balance Computation Method – Dividends are calculated by the average daily balance method which applies a periodic rate to the average daily balance in your account for the period. The average daily balance is calculated by adding the principal in the account for each day of the period and dividing that figure by the number of days in the period.

Accrual of Dividends – Dividends will begin to accrue on the business day you deposit non-cash items (e.g., checks) to your account.

Transaction Limitations – After the account is opened, you may not make any deposits into the account until the maturity date stated on the certificate.

Early Withdrawal Penalties – We may impose a penalty if you withdraw any of the funds before the maturity date. The penalty will equal 30 days dividends on the terms of 12 months or less; 60 days dividends on terms greater than 12 months.  Early withdrawal of funds could result in loss of principal.

Renewal Policies – Your certificate account will automatically renew at maturity. You will have a grace period of 10 business days after the maturity date to withdraw the funds in the account without being charged an early withdrawal penalty.

Nature of Dividends – Dividends are paid from current income and available earnings after required transfers to reserves at the end of a dividend period.