This disclosure sets forth the parameters of the different accounts offered by KIT.
This information along with the Membership Agreement, Rate Schedule, and Fee Schedule
sets forth the terms and conditions of all savings, demand, and share certificate
accounts offered by KIT. Be sure to review all these documents to educate yourself
to choose the best accounts for your financial needs. The Credit Union reserves the
right to change the terms and conditions of these accounts from time to time without
notice to you unless provided by law.
Revised as of June 1, 2006
PRIME SHARE SAVINGS
Rate Information
Compounding and Crediting
- Dividends are compounded quarterly and credited to your account quarterly.
- If you close your account before the accrued dividends are credited, the dividend will not be paid.
Minimum Balance Requirements
- You must deposit a minimum of $5 to open this account.
- You must maintain a minimum balance of $5 in the account to earn dividends.
Fees
Transaction Limitations
- You may make 6 transfers from your account, but only 3 may be payments by check to third parties. There are no
limitations governing checks withdrawn at any office, as well as no limitations governing ATM transactions.
CHECKING ACCOUNTS
Rate Information
- Dividends are not paid on checking accounts.
Minimum Balance Requirements
- There is no minimum balance that must be maintained for this account.
Fees
- No monthly maintenance fees
- Other fees may be charged on your account. See Fee Schedule.
Transaction Limitations
- You may make unlimited transactions on your account each month.
MONEY MARKET ACCOUNTS
Rate Information
Compounding and Crediting
- Dividends are compounded montly and credited to your account monthly.
- If you close your account before the accrued dividends are credited, the dividend will not be paid.
Minimum Balance Requirements
- You must maintain a minimum balance of $1,000 in the account to earn dividends.
Fees
- No monthly maintenance fees.
- Other fees may be charged to your account. See Fee Schedule.
Transaction Limitations
- You may make 6 transfers from your account, but only 3 may be payments by check to third parties. There are no limitations governing checks withdrawn at the office. If you exceed or attempt to exceed these transfer limits, the excess transfer requests may be refused or reversed, a fee may be imposed on the excess transfer request, and the Credit Union may reclassify or close your account.
OTHER SAVINGS (including Vacation or other Special Accounts)
Rate Information
Minimum Balance Requirements
- There is no minimum balance required to maintain this account.
Fees
Transaction Limitations
- You may make 6 transfers from your account, but only 3 may be payments by check to third parties. There are no limitations governing checks withdrawn at any office, as well as no limitations governing ATM transactions.
CHRISTMAS SAVINGS
Rate Information
Minimum Balance Requirements
- There is no minimum balance required to maintain this account.
Fees
- If you make a withdrawal prior to October 1st or after December 31st, then a fee of $5 will be imposed on each withdrawal. The account may be closed for excessive withdrawals.
- Other fees may be charged on your account. See Fee Schedule.
Transaction Limitations
- Christmas Accounts mature as of October 1st each year and funds are available for withdrawal at that time.
IRA ACCUMULATION SAVINGS ACCOUNT
Rate Information
Compounding and Crediting
- Dividends are compounded quarterly and credited to your account quarterly.
- If you close your account before the accrued dividends are credited, the dividend will not be paid.
Minimum Balance Requirements
- There is no minimum balance required to maintain this account.
Fees
Transaction Limitations
- The transaction limitations on IRA accounts are governed by separate regulation and will be supply to you upon specific request for IRA information.
SHARE CERTIFICATES
Rate Information
Compounding and Crediting
- Dividends are compounded monthly or quarterly and credited to your account either monthly, quarterly, or at maturity according to the following:
- If the dividend period is monthly, for example, and the account is opened January 1, the beginning date for the first dividend period is January 1, and the ending date of such dividend period is January 31; or, for example, if the dividend period is quarterly and the account is opened January 1, the beginning date for the first dividend period is January 1, and the ending date of such dividend period is March 31. All other dividend periods follow this same pattern of dates until maturity when the final dividend would be credited.
Minimum Balance Requirements
- You must deposit a minimum of $500 to open this account.
- You must maintain a $500 minimum balance to maintain the account.
Fees
Transaction Limitations
- After the account is opened, you may not make deposits into the account until the maturity date stated on the certificate.
Early Withdrawal Penalties
- We may impose a penalty if you withdraw any funds other than dividends before the maturity date.
- If the withdrawal will lower the balance of the share certificate lower than the minimum stated on the share certificate, then the share certificate will be cancelled.
- If the term of the certificate is for one year or less, then a penalty will be imposed by the forfeiture of the smaller of: dividends accrued since issuance or renewal or 90 days dividends.
- If the term of the certificate is for greater than one year, then a penalty will be imposed by the forfeiture of the smaller of: dividends accrued since issuance or renewal or 180 days dividends.
- In certain cases specified in federal regulations, penalties shall not apply.
Renewal Policies
- Your share certificate will automatically renew at maturity.
IRA SHARE CERTIFICATES (including Roth, Traditional, and Educational IRAs)
Rate Information
Compounding and Crediting
- Dividends are compounded monthly or quarterly and credited to your account either monthly, quarterly, or at maturity according to the following:
- If the dividend period is monthly, for example, and the account is opened January 1, the beginning date for the first dividend period is January 1, and the ending date of such dividend period is January 31; or, for example, if the dividend period is quarterly and the account is opened January 1, the beginning date for the first dividend period is January 1, and the ending date of such dividend period is March 31. All other dividend periods follow this same pattern of dates until maturity when the final dividend would be credited.
Minimum Balance Requirements
- You must deposit a minimum of $500 to open this account.
- You must maintain a $500 minimum daily balance to maintain the account.
Fees
Transaction Limitations
- After the account is opened, you may not make deposits into the account until the maturity date stated on the share certificate.
Early Withdrawal Penalties
- We may impose a penalty if you withdraw any funds other than dividends before the maturity date, unless the withdrawal is allowable under federal regulation.
- If the withdrawal will lower the balance of the share certificate lower than the minimum stated on the share certificate, then the share certificate will be cancelled.
- If the term of the certificate is for one year or less, then a penalty will be imposed by the forfeiture of the smaller of: dividends accrued since issuance or renewal or 90 days dividends.
- If the term of the certificate is for greater than one year, then a penalty will be imposed by the forfeiture of the smaller of: dividends accrued since issuance or renewal or 180 days dividends.
Renewal Policies
- Your share certificate will automatically renew at maturity.
THE FOLLOWING DISCLOSURES APPLY TO ALL OF THE ACCOUNTS.
Nature of dividends
Dividends are paid from current income and available earnings after required transfers to reserves at the end of the dividend period. The Dividend Rate and APY are the prospective rates and yields that the Credit Union anticipates paying for the applicable dividend period.
Compounding and Crediting.
The Dividend Period begins on the first calendar day of the period and ends on the last calendar day of the period.
Balance Computation Method
- We use the daily balance method to calculate dividends on your account. This method applies a daily periodic rate to the principal in the account each day.
Accrual of Dividends
- Dividends will begin to accrue on the business day you deposit non-cash items (i.e., checks) to your account.
Internet Banking
- No per transaction, no per transaction fee, and unlimited access via your PC and the Internet.
