Truth in Savings
Rate Information. The Dividend Rate and Annual Percentage Yield on your accounts are set forth on the rates page. The Annual Percentage Yield is a percentage rate that reflects the total amount of dividends to be paid on an account based on the Dividend Rate and frequency of compounding for an annual period. The Dividend Rate and Annual Percentage Yield on savings, checking and money market accounts may change monthly as determined by the Board of Directors. The Dividend Rate and Annual Percentage Yield on certificate accounts are fixed and will be in effect for the term of the Account. The Annual Percentage Yield on Certificate Accounts is based on an assumption that dividends will remain on deposit until maturity. A withdrawal of dividends will reduce earnings.
Compounding and Crediting. Dividends will be compounded and credited as indicated on the rates page. The Dividend Period begins on the first calendar day of the month and ends on the last calendar day of each month.
Balance Information. The minimum opening balance required for each account is set forth in the rates section of this Web site. The minimum monthly balance required to obtain the stated Annual Percentage Yield or to avoid a transaction account fee is set forth on the rates page. If the required minimum balance is not met we may impose a service fee or you may not earn the stated Yield, as applicable. Dividends are calculated by the daily balance method which applies a daily periodic rate to the daily principal in the account.
Nature of Dividends. Dividends are paid from current income and available earnings after required transfers to reserves at the end of a dividend period. The Dividend Rate and Annual Percentage Yield disclosed are the anticipated Rate and Yield the Credit Union will pay for the applicable dividend period.
Accrual of Dividends. Dividends will begin to accrue on cash deposits and noncash deposits (e.g. checks) on the business day you make the deposit to your account. If you close your account prior to dividend crediting, you will not be paid accrued dividends.
Transaction limitations. For all savings accounts (including Money Market and Youth savings), no more than six (6) pre-authorized, automatic, online or telephone transfers may be made from these accounts to another account of yours or to a third party in any month (loan payments excluded) with no fee; there is no limit to the number of transactions done by check/draft, ATM or Check Card, by mail, or in person. If you exceed these limitations, your accounts may be subject to a fee (refer to our fees page) or be closed. For all certificate accounts, with the exception of Money Builder certificates, after your account is opened you may not make additional deposits to your account, with the exception of the 7-day grace period after maturity for Share and IRA certificates. You may withdraw any dividends that have been paid on the account at any time. Saving__4 accounts have limited access and all withdrawals incur an early withdrawal fee, as noted on our fees page.
The following information applies to Certificate Accounts only:
Maturity. Your account will mature within the term set forth above or maturity date set forth on your Account Receipt or Renewal Notice.
Early Withdrawal Penalty. We may impose a penalty if you withdraw any of the principal before the maturity date.
Amount of Penalty: The amount of the early withdrawal penalty is based on the term of your account. The penalty schedule is as follows: 12 months or less=90 days dividends; 13 to 30 months =180 days dividends; 31 to 60 months = 365 days dividends.
How the Penalty Works. The penalty is calculated as a forfeiture of part of the dividends that have been or would be earned on the account. It applies whether or not the dividends have been earned. In other words, if the account has not yet earned enough dividends or if dividends have already been paid, the penalty will be deducted from the principal.
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: i. When an account owner dies or is determined legally incompetent by the court or other body of competent jurisdiction. ii. 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 becomes disabled.
Renewal Policy. Your accounts are automatically renewable accounts. Your account will automatically renew for another term upon maturity and you have a grace period of seven (7) days after maturity in which to withdraw funds in the account without being charged an early withdrawal penalty.
Nontransferable/Nonnegotiable. Your account is nontransferable and nonnegotiable. The funds in your account may not be pledged to secure any obligation of an owner, except obligations with the credit union.