Truth-in Savings

TRUTH-IN-SAVINGS DISCLOSURES

Savings, Checking, Money Market and IRA Savings Accounts

Except as specifically described, the following disclosures apply to all of the accounts above:

1. Rate Information. The Dividend Rates and Annual Percentage Yields on these accounts are set forth above and may change monthly as determined by the Board of Directors.
2. 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 Rates and Annual Percentage Yield set forth above are accurate as of the Effective Date, which the Credit Union anticipates paying for the applicable dividend period.
3. Compounding and Crediting. For dividend bearing accounts, dividends will be compounded and credited monthly. The Dividend Period begins on the first calendar day of the month and ends on the last calendar day of the month.
4. Accrual of Dividends. Dividends will begin to accrue on non-cash deposits (e.g. checks) on the business day you make the deposit to your account.
5. Balance Information. The minimum balance required to open each account is set forth above. For Money Market accounts, the Dividend Rates and Annual Percentage Yields applicable depend on the balance ranges set forth above. Once your Money Market Account balance has met a particular range, the highest Dividend Rate and Annual Percentage Yield will apply to the entire balance in your Money Market Account. For Share Savings, Checking accounts, and IRA Savings accounts, the minimum balance required to obtain the stated Annual Percentage Yield is set forth above. If the minimum balance is not met, you will not earn the stated Annual Percentage Yield. For all accounts except Checking accounts, dividends are calculated by the daily balance method which applies a daily periodic rate to the principal in the account each day. For Checking accounts, dividends are calculated by applying a periodic rate to the average daily balance in the account for the period. The average 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. The account limitations for each account are set forth above. For Share Savings, Secondary Savings, and Money Market accounts, transaction limitations will apply. No more than six (6) preauthorized, automatic, telephone transfers may be made from these accounts to another account of yours or to a third party in any month. If you exceed these limitations, your accounts may be subject to a fee or be closed.

TRUTH-IN-SAVINGS DISCLOSURES

Kasasa Accounts

Account Overview:

• Kasasa Cash: A free variable rate checking account with no minimum balance that rewards account holders with dividends and nationwide ATM withdrawal fee refunds when they meet minimum qualifications during the account’s Monthly Qualification Cycle.
• Kasasa Cash Back: A free variable reward checking account with no minimum balance that rewards account holders with cash back on their debit card purchases and nationwide ATM withdrawal fee refunds when they meet minimum qualifications during the account’s Monthly Qualification Cycle.
• Kasasa Saver is a free, variable rate, deposit account with no minimum balance that rewards account holders with dividends when they meet the minimum qualifications associated with their linked Kasasa Cash checking account during each Monthly Qualification Cycle.

Purpose and Expected Use of Account

This account is intended to be the account holder’s primary share draft account in which payroll transactions and day-to-day spending activities including but not limited to grocery, gasoline, apparel, shopping, dining, sporting and entertainment transactions are posted and settled.

Commensurate with the spending activities identified above, we expect the account’s debit card to be used frequently throughout each month and for transaction amounts to reflect a wide dollar range. Small debit card transactions conducted on the same day at a single merchant and/or multiple transactions made during a condensed time period particularly near the end of a Monthly Qualification Cycle are not considered normal, day-to-day spending behavior. These types of transactions appear to be conducted with the sole purpose of qualifying for the account’s rewards and thus will be deemed inappropriate transactions and will not count toward earning the account’s rewards.

Trailhead reserves the right to determine if the account is being maintained for a purpose other than day-to-day, primary use. Account holders who persist in making debit card transactions in a calculated and limited fashion in order to meet their monthly qualifications may have their accounts converted to a different share draft account or closed altogether. We also reserve the right to convert the account to a different share draft account if the account does not have consistent active use over three (3) consecutive Statement Cycles. If your Kasasa Checking is converted for any reason, your Kasasa Saver will also be converted to a different savings share type.

We have the right to close this account at any time, with proper notice. Our decision to close the account will not affect your existing obligations to us including any obligation to pay fees or charges incurred prior to termination. No deposits will be accepted and no checks will be paid after the account is closed. If the account is closed, you will forfeit any rewards that have not been credited to your account. A Trailhead check for the remaining balance, if applicable, will be mailed to account holder at the address indicated on our current records. Upon termination of your Kasasa checking account, any optional add-on products / services associated with this account will also be terminated at the same time.

If, for whatever reason the Kasasa Saver portion of your account is closed, your account will automatically be converted to a standalone Kasasa Cash account and only the Kasasa Cash terms and conditions articulated within this disclosure will apply.

Kasasa Cash Checking Account

1. Determination of rate. At our discretion, we may change the interest rate on your account. This is a tiered rate account that pays a high rate of interest, as well as a second-tier rate of interest, if you meet the qualification criteria, and pays a lower rate of interest if you do not meet the qualification criteria. Please refer to our rate sheet for current rate information. The Annual Percentage Yield (APY) disclosed on the Kasasa Cash account assumes that the interest earned in Kasasa Cash compounds; however, by choosing to have Kasasa Saver link to Kasasa Cash, you understand that the interest earned in your Kasasa Cash account is automatically transferred into your Kasasa Saver account at the end of the statement cycle and therefore does not remain in your Kasasa Cash account and does not compound. Additionally, you understand that the interest amount earned in the Kasasa Saver account may be less than the interest amount earned in the Kasasa Cash account.
2. Qualifications. To qualify for the Kasasa Cash Preferred Rate and the ATM fees refund, you must meet the following requirements per monthly qualification cycle:
   • Debit Cards: 10 debit card point-of-sale transactions must post and clear your account per monthly qualification cycle.
   • Electronic Statements: Receive your monthly account statement electronically.
   • Direct Deposit or ACH: One direct deposit or one ACH automatic payment must post and clear your account per monthly qualification cycle
     Account transactions and activities may take one or more days to post and settle to the account and all must do so during the Monthly Qualification Cycle in order to qualify for the account’s rewards. The following activities do not count toward earning account rewards: ATM-Processed transactions, transfer between accounts, ATM deposits, and debit card purchases processed by merchants and received by our credit union as ATM transactions. Transactions bundled together by merchants and received by our institution as a single transaction count as a single transaction for the purpose of earning account rewards.
3. Compounding and crediting frequency. Interest will compound every month and be credited to your account every month unless you also have Kasasa Saver. Then interest will not be compounded. Interest will be credited to your Kasasa Saver account every month.
4. Daily balance computation method. We use the daily balance method to calculate the interest on your account. This method applies a daily periodic rate to the principal in the account each day. The period we use is the Statement Cycle.
5. Monthly qualification cycle. The Monthly Qualification Cycle goes from the last day of the month to the next to last day of the next month.
6. ATM fees refund. If you have met your qualifications for the monthly qualification cycle, we will reimburse you for ATM fees imposed by other U.S. financial institutions on withdrawals and deposit them into your account at the end of each end-of-cycle period. However, if you have a Kasasa Saver account linked to your Kasasa Cash account, any fee refunds will be deposited into your Kasasa Saver account at the end of each end-of-cycle period. We reimburse ATM withdrawal fees based on estimates when the withdrawal information we receive does not identify the ATM withdrawal fee. If you have not received an appropriate reimbursement, we will adjust the reimbursement amount if we receive the transaction receipt within sixty (60) calendar days of the withdrawal transaction. ATM fee refunds are capped at $25 per month.

Kasasa Saver Account

1. This account can only be opened with a new or existing Kasasa Cash account.
2. Determination of rate. At our discretion, we may change the interest rate on your account. This is a tiered rate account that pays a high rate of interest, as well as a second-tier rate of interest, if you meet the qualification criteria in the Kasasa Cash account, and pays a lower rate of interest if you do not meet the qualification criteria in the Kasasa Cash account. Please refer to our separate rate sheet for current rate information.
3. Qualifications. To qualify for the Kasasa Saver Preferred Rate and the ATM fees refund, your Kasasa Cash account must meet the following requirements per monthly qualification cycle:
   • Debit Cards: 10 debit card point-of-sale transactions must post and clear your account per monthly qualification cycle.
   • Electronic Statements: Receive your monthly account statement electronically.
   • Direct Deposit or ACH: One direct deposit or one ACH automatic payment must post and clear your account per monthly qualification cycle.
     Account transactions and activities may take one or more days to post and settle to the account and all must do so during the Monthly Qualification Cycle in order to qualify for the account’s rewards. The following activities do not count toward earning account rewards: ATM-Processed transactions, transfer between accounts, ATM deposits, and debit card purchases processed by merchants and received by our credit union as ATM transactions. Transactions bundled together by merchants and received by our institution as a single transaction count as a single transaction for the purpose of earning account rewards.
4. Daily balance computation method. We use the daily balance method to calculate the interest on your account. This method applies a daily periodic rate to the principal in the account each day. The period we use is the Statement Cycle.
5. Monthly qualification cycle. The Monthly Qualification Cycle goes from the last day of the month to the next to last day of the next month.

Kasasa Cash Back Checking Account

1. Reward Information. When Kasasa Cash Back qualifications are met during a Monthly Qualification Cycle, you will receive 5% cash back on up to a total of $200 in debit card purchases that post and settle to the account during that cycle period. A maximum of $10.00 cash back payments may be earned per Monthly Qualification Cycle.  Cash back payments and nationwide ATM withdrawal fee reimbursements will be credited to your Kasasa Cash Back account on the last day of the current statement cycle.
2. ATM fees refund. When Kasasa Cash Back qualifications are met during a Monthly Qualification Cycle, you will also receive reimbursements for nationwide ATM withdrawal fees incurred within your Kasasa Cash Back account during that Monthly Qualification Cycle. We reimburse ATM withdrawal fees based on estimates when the withdrawal information we receive does not identify the ATM withdrawal fee. If you have not received an appropriate reimbursement, we will adjust the reimbursement amount if we receive the transaction receipt within sixty (60) calendar days of the withdrawal transaction. ATM fee refunds are capped at $25 per month.
3. Qualifications. To qualify for the Kasasa Cash Preferred Rate and the ATM fees refund, you must meet the following requirements per monthly qualification cycle:
   • Debit Cards: 10 debit card point-of-sale transactions must post and clear your account per monthly qualification cycle.
   • Electronic Statements: Receive your monthly account statement electronically.
   • Direct Deposit or ACH: One direct deposit or one ACH automatic payment must post and clear your account per monthly qualification cycle
4. Monthly qualification cycle. The Monthly Qualification Cycle goes from the last day of the month to the next to last day of the next month.
5. Additional Terms. When your Kasasa Cash Back account qualifications are not met, no cash back payments are made and ATM withdrawal fees are not refunded. Rates and rewards are variable and may change after account is opened. No minimum balance is required to earn or receive the account’s rewards. Rewards less than a penny cannot be distributed. $25 minimum deposit is required to open the account. Limit one account per Social Security Number. There are no recurring monthly maintenance charges or fees to open or close this account

TRUTH-IN-SAVINGS DISCLOSURES

Certificate and IRA Certificate Accounts

Except as specifically described, the following disclosures apply to all of the accounts:

1. Rate Information. The Dividend Rates and Annual Percentage Yields on your accounts are set forth above. 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 are fixed and will be in effect for the term of the Account. The Annual Percentage Yield is based on an assumption that dividends will remain on deposit until maturity. A withdrawal of dividends will reduce earnings. The Dividend Rates and Annual Percentage Yields applicable to each account depend on the balance ranges set forth above. Once a principal balance range is met, the highest dividend Rate and Annual Percentage Yield for that range will apply to the entire balance in your account.
2. Compounding and Crediting. Dividends will be compounded and credited as set forth above. The Dividend Period begins on the first calendar day of the Dividend Period and ends on the last calendar day of the Dividend Period.
3. Balance Information. The minimum balances required to open each account are set forth above. Dividends are calculated by the daily balance method which applies a daily periodic rate to the principal in the account each day.
4. Accrual of Dividends. Dividends begin to accrue on cash deposits on the business day you make the deposit to your account. Dividends will begin to accrue on the business day you deposit non-cash items (e.g. checks) to your account.
5. Transaction Limitations. After your account is opened, you may not make additional deposits to your account. Dividends can be withdrawn on or after the crediting date.
6. Maturity. Your account will mature within the term set forth above or maturity date set forth on your Account Receipt or Renewal Notice.
7. Early Withdrawal Penalty. We may impose a penalty if you withdraw any of the principal before the maturity date.
   1. Amount of Penalty. The amount of the early withdrawal penalty is based on the term of your account. The penalty schedule is as follows: for terms one year or less–the lesser of 90 days dividends or the amount of dividends since issuance; for terms greater than one year–the lesser of 180 days dividends or the amount of dividends since issuance.
   2. 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 the dividend has already been paid, the penalty will be deducted from the principal.
   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:
      1. When an account owner dies or is determined legally incompetent by a court or other body of competent jurisdiction.
      2. 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 a Keogh Plan (Keogh) provided that the depositor forfeits an amount of at least equal to the simple dividends earned in the amount withdrawn; or where the account is an IRA or Keogh and the owner attains age 59½ or becomes disabled.
8. Renewal Policy. All accounts are automatically renewable accounts. For renewal accounts, your account will automatically renew for another term upon maturity, and 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.
9. 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. The rates appearing in this Schedule are accurate and effective for Certificate Accounts as of the Effective Date indicated above. If you have any questions or require current rate information on your accounts, please call the Credit Union.

TRUTH-IN-SAVINGS DISCLOSURES

Other Certificate Accounts

Except as otherwise described, the following disclosures apply to the above certificate accounts:

1. Rate Information. The Dividend Rates and Annual Percentage Yields on your certificate accounts are set forth above. The Annual Percentage Yield is a percentage rate that reflects the total amount of dividends to be paid on a certificate account based on the Dividend Rate and frequency of compounding for an annual period. The Dividend Rate and Annual Percentage Yield are fixed and will be in effect for the term of the certificate account. 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. Compounding and Crediting. Dividends will be compounded and credited as set forth above. The Dividend Period begins on the first calendar day of the Dividend Period and ends on the last calendar day of the Dividend Period.
3. Balance Information. The minimum balances required to open these certificate accounts are set forth above. Dividends are calculated by the daily balance method which applies a daily periodic rate to the principal in the account each day.
4. Accrual of Dividends. Dividends begin to accrue on cash deposits on the business day you make the deposit to your certificate account. Dividends will begin to accrue on the business day you deposit non-cash items (e.g. checks) to your certificate account.
5. Transaction Limitations. After one of these certificate accounts is opened, you may make additional deposits to it. Dividends can be withdrawn on or after the crediting date.
6. Maturity. Your account will mature within the term set forth above or maturity date set forth on your Account Receipt.
7. Early Withdrawal Penalty. We may impose a penalty if you withdraw any of the principal before the maturity date.
   1. Amount of Penalty. The amount of the early withdrawal penalty is based on the term of your account. The penalty schedule is as follows: for terms one year or less–the lesser of 90 days dividends or the amount of dividends since issuance. In addition, the certificate cannot be reopened for 12 months.
   2. 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 the dividend has already been paid, the penalty will be deducted from the principal.
   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:i. When an account owner dies or is determined legally incompetent by a court or other body of competent jurisdiction.
8. Renewal Policy. These certificate accounts will not renew automatically. Dividends will be paid on October 31, (for Holiday and Tax Saver Certificates) and the funds will be transferred to your primary share savings account on November 1. The Money Builder and Easy Saver Certificates will be transferred to your primary share savings account at maturity.
9. 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.
10. Subsequent Deposits: You may make additional deposits to the above certificates at any time. The Money Builder certificate requires subsequent monthly deposits of at least $10.00 by payroll deduction or by automatic transfer.
11. Age Requirement: The Easy Saver Certificate’s purpose is to help young members save, therefore the primary account owner must be under age 20 at the opening of the certificate. The rates appearing in this Schedule are accurate and effective for these specific Certificate Accounts as of the Effective Date indicated above. If you have any questions or require current rate information on your accounts, please call the Credit Union.