Variable Rate Add−On IRA Certificates of Deposit (CDs) Rate and Disclosures

This Rate and Fee Schedule sets forth current conditions, rates, fees, and charges applicable to your Variable Rate Add-on IRA Certificate Accounts at Northwest Community Credit Union at this time.  The Credit Union may offer other rates and fees or amend the rates and fees contained in this schedule from time to time.  Each account holder agrees to the terms set forth on this Rate and Fee Schedule and acknowledges that it is a part of the Membership and Account Agreement.

Current rates for , (Effective Since 7/1/2009)

Truth-in-Savings Disclosures

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

1. Rate Information.  The available Interest Rate and Annual Percentage Yield on your accounts are set forth above.  The Annual Percentage Yield is a percentage rate that reflects the total amount of interest to be paid on an account based on the Interest Rate and frequency of compounding for an annual period.  The Annual Percentage Yield is based on an assumption that interest will remain on deposit until maturity.  A withdrawal of interest will reduce earnings.
2. Variable Interest Rate Information.  The variable rate may be adjusted on the first day of each calendar quarter.  The rate will be determined by credit union management.
3. Compounding and Crediting.  Interest will be compounded and credited monthly.
4. Balance Information.  The minimum opening balance for all Certificates is $500.  Interest is calculated by the daily balance method that applies a daily periodic rate to the principal in the account each day.
5. Accrual of Interest.  Interest begins to accrue on cash and noncash (i.e. checks) deposits on the business day you make the deposit to your account.
6. Transaction Limitations  You may make unlimited additional deposits to your account.  There is no minimum to each additional deposit.  You may not make withdrawals from your account, except during the grace period when the account is renewed for an additional term.  At account opening, you may elect to have accrued interest transferred to another account of yours. 
7. Maturity.  Your account will mature within the term set forth above or maturity date set forth on your Account Receipt or Renewal Notice.
8. 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 as follows: terms of 90 days to 11 months – 90 days, terms of 12 months and over – 180 days.
2. How the Penalty Works.  The penalty is calculated as a forfeiture of part of the Interest that has been or would be earned on the account.  It applies whether or not the interest has been earned.  In other words, if the account has not yet earned enough interest or if the interest 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 an IRA and the owner attains the age of 59 and a half; or becomes disabled.
9. Renewal Policy   Your account will automatically renew for another term upon maturity at the prevailing rate.  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.
10. 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.
11. National Credit Union Administration (NCUA) Federal Deposit Insurance.  Balances are insured up to $250,000 through the National Credit Union Share Insurance Fund (NCUSIF), a federal fund backed by the full faith and credit of the United States government as administered by the National Credit Union Administration (NCUA).

The rates appearing in this Schedule are accurate and effective for Variable Rate Add-on Certificate Accounts as of the Effective Date indicated above.  If you have any questions or require current rate information on your accounts, please contact the Credit Union.