Traditional and Roth IRA CD Application - USAA

Disclosure Statement and Custodial Agreementsinstructions as required above, the Custodian shall cause the assetsof the custodial account to be distributed in cash and/or in kind, asspecified in such order.9. a) The Depositor shall have the right, by notice to the Custodian in aform and manner acceptable to the Custodian, to designate one ormore beneficiaries (or to change any such beneficiary) to receiveany funds remaining in the custodial account upon the Depositor’sdeath. If, at the time of the Depositor’s death, either (i) no suchdesignation is in effect or (ii) there is no beneficiary who survivesthe Depositor, the Depositor’s beneficiary shall be the Depositor’ssurviving spouse or, if there is no surviving spouse, then the estateof the Depositor. The last designation received and accepted bythe Custodian prior to the Depositor’s death (the “designation ofrecord”) shall be controlling and, whether or not it fully disposesof the custodial account, shall revoke all other such designationspreviously made by the Depositor and received by the Custodian.If the designation of record on file with the Custodian does notappear to fully dispose of the custodial account, the Depositor’ssurviving spouse or, if there is no surviving spouse, then theDepositor’s estate shall be the beneficiary of any undisposed ofportion of the custodial account or of any portion of the custodialaccount for which the identity of the beneficiary is, in the opinion ofthe Custodian, unclear.b) After the death of the Depositor, a beneficiary (“Initial Beneficiary”)shall have the right, by notice to the Custodian in a form andmanner acceptable to the Custodian, to designate one or morebeneficiaries (or to change any beneficiary so designated underthis subsection 9(b)) to receive any funds remaining in the custodialaccount (with respect only to the Initial Beneficiary’s interesttherein) upon the Initial Beneficiary’s death. For purposes of thepreceding sentence, the provisions of the foregoing subsection9(a) shall apply as though the Initial Beneficiary were the Depositor,and the references in subsection 9(a) to the custodial accountshall refer only to the Initial Beneficiary’s interest in the custodialaccount.c) By accepting a designation of record, the Custodian assumes (andshall have) no responsibility or liability with respect to the legalor tax consequences of the designation, including but not limitedto the impact on such designation of community property laws orlaws governing inheritance of property.10. The Custodian, upon the direction of the Depositor in a form andmanner acceptable to the Custodian, shall transfer the assetsheld under this Agreement, reduced by any amounts referred to inparagraph 12 of these additional terms and conditions, to a successorindividual retirement plan for the Depositor’s benefit.11. The Depositor hereby delegates to USAA Investment ManagementCompany the power to amend at any time, and from time to time,the terms and provisions of this Agreement and hereby consentsto such amendments, provided they comply with all applicableprovisions of the Code, the regulations thereunder and any otherstatute, regulation, or ruling. Any such amendments shall be effectiveas of the date specified in a notice sent by first-class mail to theaddress of the Depositor (or the beneficiary following the death ofthe Depositor) indicated by the Custodian’s records, or by such othermethod (including, without limitation, any electronic delivery method)as USAA Investment Management Company may determine to beappropriate, except that no amendment which increases the burdensof the Custodian shall take effect without the Custodian’s prior writtenconsent.12. a) The Custodian may charge the Depositor (or the beneficiaryfollowing the death of the Depositor) reasonable fees, includingan annual maintenance fee, for services rendered hereunderaccording to standard schedules of rates which may be in effectfrom time to time. Initially, the fees payable to the Custodian shallbe those set forth in the literature provided with this Agreement.Upon thirty (30) days’ prior written notice, the Custodian maysubstitute a fee schedule differing from that schedule initiallyprovided.b) Any income taxes or other taxes of any kind whatsoeverlevied or assessed upon or with respect to the assets of thecustodial account, or the income arising therefrom, any transfertaxes incurred, any expenses incurred by the Custodian inthe performance of its duties, including fees for legal servicesrendered to the Custodian, and the Custodian’s compensationmay, at the Custodian’s option, be paid by the Depositor (or thebeneficiary following the death of the Depositor) but, unless sopaid within such time period as the Custodian may establish, shallbe paid from the custodial account, with the Custodian having theright to liquidate shares of any Designated Investment Company orany other securities held in the custodial account. The Custodianreserves the right to reduce or waive fees with respect to any classor group of Depositors.13. The Custodian shall have the right to rely upon any informationfurnished by the Depositor (or the beneficiary following the death ofthe Depositor). The Depositor hereby agrees that the Custodian willnot be liable for any loss or expense resulting from any action takenor determination made in reliance upon such information.14. The Custodian will not purchase an annuity contract on behalf ofthe Depositor.15. The Custodian may perform any of its administrative duties throughsuch other persons or entities as may be designated by the Custodianfrom time to time with the prior approval of USAA InvestmentManagement Company, except that the assets of the custodialaccount must be registered in the name of the Custodian or itsnominee. No such designation or change thereof shall beconsidered an amendment of this Agreement.16. This Agreement shall terminate upon the complete distribution of theassets of the custodial account.17. Any notice herein required or permitted to be given to the Custodianshall be adequately given if mailed to the Custodian, by first-classmail, at USAA Federal Savings Bank, 10750 McDermott Fwy., SanAntonio, Texas 78288-0544, or to such other address as the Custodianshall provide the Depositor (or the beneficiary following the death ofthe Depositor) from time to time in writing, which writing shall statethat such other address is to be used for purposes of this Agreement.Any notice herein required or permitted to be given to the Depositor(or beneficiary, as applicable) shall be adequately given if (i) mailedto the Depositor (or beneficiary, as applicable) at his or her addressappearing on the application, or at such other address as theDepositor (or beneficiary, as applicable) shall provide the Custodianfrom time to time in writing, which writing shall state that such otheraddress is to be used for purposes of this Agreement; or (ii) providedby such other method (including, without limitation, any electronicdelivery method) as USAA Investment Management Company orthe Custodian may determine to be appropriate. The Custodian shallnot be bound by any certificate, notice, order, information, or othercommunication unless and until it shall have been received in the formand manner prescribed by the Custodian at the foregoing address.22