Truth-in-Savings Disclosure Certificate of Deposit

Fixed Rate Information-The interest rate and annual percentage yield (APY) stated are accurate as of the date of application and anticipate accrued interest remain on deposit. This is a tiered rate account. The interest rate and APY will be determined by the term, date and amount of your deposit. The interest rate for your account and annual percentage yield will be paid until first maturity. Please see your Certificate of Deposit Receipt, which you will receive after your account is funded, for confirmation of your interest rate and APY.

Compounding and Crediting Frequency-Interest will be compounded daily and will be credited per payment options below.

Payment Options:

  1. Interest paid to Certificate of Deposit at maturity, semi-annually or annually depending on term selected.
  2. Deposited to AloStar account monthly.
  3. Interest check monthly (for Certificate of Deposit $10,000 and above).
  4. Interest paid monthly to external account via ACH.

Minimum Balance to Open the Account-You must deposit $1,000 to open a Certificate of Deposit.

Minimum Balance to Obtain the Annual Percentage Yield Disclosed-You must maintain a minimum balance of $1,000 in the account each day to obtain the disclosed APY.

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.

Accrual of Interest on Noncash Deposits-Interest begins to accrue no later than the business day we receive your deposit of noncash items such as checks and ACH.

Transaction Limitations-You may not make any deposits into your account before maturity. You may only make withdrawals of principal from your account before maturity, if we agree to the withdrawal, at the time you make the request. Principal withdrawn before maturity is included in the amount subject to early withdrawal penalty. You may only withdraw interest per the Payment Options listed above.

Maturity Date-Please see your Certificate of Deposit Receipt, which you will receive after your account is funded, for verification of your maturity date.

Early Withdrawal Penalties-(a penalty may be imposed for withdrawals before maturity)-If your account has an original maturity of one month, the fee we may impose will equal seven day's of interest on the amount withdrawn subject to penalty. If your account has an original maturity of twelve months or less, the fee we may impose will equal one month's interest on the amount withdrawn subject to penalty. If your account has an original maturity of more than twelve months, but less than thirty six months, the fee we may impose will equal three month's interest on the amount withdrawn subject to penalty. If your account has an original maturity of thirty six months or more, the fee we may impose will equal twelve month's interest on the amount withdrawn subject to penalty.

If a withdrawal is made within the first six days after the date of deposit we will impose a penalty equal to seven day's interest on the amount withdrawn subject to penalty. In certain circumstances such as the death or incompetence of an owner of this account, the law permits, or in some cases requires, the waiver of the early withdrawal penalty. Other exceptions may also apply, for example, if this is part of an IRA or other tax-deferred savings plan.

Early Withdrawal Penalties for IRAs-(a penalty may be imposed for withdrawals before maturity)-If your account is an IRA, with an original maturity of twelve months, the fee we may impose will equal one month's interest on the amount withdrawn subject to penalty. If your account has an original maturity of more than twelve months, the fee we may impose will equal three month's interest on the amount withdrawn subject to penalty.

Withdrawal of Interest Prior to Maturity-The annual percentage yield anticipates accrued interest will remain on deposit until maturity. A withdrawal will reduce earnings.

Automatically Renewable-This account will automatically renew at maturity. You may prevent renewal if you withdraw the funds in the account at maturity or within 10 days after the maturity date, if we receive written notice from you within this grace period. You will have 10 calendar days after maturity to withdraw the funds without a penalty. We can prevent renewal if we mail notice to you at least 30 calendar days before maturity. If either you or we prevent renewal, interest will not accrue after maturity. Each renewal term will be the same as the original term, beginning on the maturity date. The interest rate and annual percentage yield will be the same we offer on new Certificates of Deposits on the maturity date, which have the same term, minimum balance and other features as the original certificate of deposit.

Common Features-Withdrawals from a Certificate of Deposit, also known as a time deposit/account, prior to maturity or prior to any notice period may be restricted and may be subject to penalty. See above for your notice of early withdrawal penalties.

AloStar Bank of Commerce

Customer Service-1-877-738-6391 www.AloStarBank.com

 

Rev. 05.13FN Member FDIC