Rules and Regulations - Local Government Federal Credit Union

Variable Rate AccountsShare Accounts, IRA/SEP/HSA Accounts, Checkingand Money Market Share Accounts are variable-rateaccounts. The rate is subject to change daily at thediscretion of the board of directors.Nature of DividendsDividends are paid from the available earnings afterany required transfers to reserves.Transaction LimitationsShare, Money Market Share, and tax-advantagedaccounts (except Health Savings Accounts [HSAs])are limited to no more than six withdrawals and/or transfers per account per calendar month (SeeRegulation D).No checks can be written and no automated clearinghouse (ACH) debits are allowed on CashPoints ®Global, Share or Money Market Share Accounts.RatesCurrent dividend rates and corresponding annualpercentage yields for all Share accounts may beobtained online at www.lgfcu.org, by calling our 24-Hour Voice Response Service at 888.732.8562 or, in theRaleigh area, 919.857.2150 from a touch-tone phone, orby calling or visiting your local branch.SafetyYour Credit Union shares are federally insured bythe National Credit Union Association (NCUA), anindependent government agency that charters,regulates and insures federal credit unions. TheNCUA is backed by the full faith and credit of theUnited States Government.Individual accounts are insured up to $250,000 forcombined balances in your savings, checking, sharecertificates, and money market savings accounts.Joint accounts are insured up to $250,000 for eachjoint owner on the account. The most share insurancecoverage any member can have as a result of jointownership is $250,000, regardless of the number ofaccounts that are jointly owned.Combined balances in your Traditional, SimplifiedEmployee Pension (SEP), and Roth IRA plans areinsured separately from your other LGFCU accountsfor up to $250,000. Educational savings accounts arealso insured separately from your other Credit Unionaccounts for $250,000.Payable on Death (POD) accounts are insuredseparately from your other LGFCU accounts. Eachowner is insured up to $250,000 per beneficiary.Naming the same beneficiary on more than onePOD account does not increase insurance coverage.Deposit Trust Accounts are insured separately fromyour other Credit Union accounts. Each beneficiaryaccount established under a trust arrangement isinsured up to $250,000.For more information about NCUA’s Share InsuranceFund please call the Contact Center at 1.888.732.8562, visityour local branch, or go to our website www.lgfcu.org.Share Accounts *F The dividend is computed daily based on the actualaccount balance, beginning on the business day thedeposit is received.F Dividends are variable (subject to change) daily.F Dividends are paid every month.F Dividends are declared at the beginning of thedividend period (dividend period begins on theday your monthly statement is created).F The minimum balance required is $25.00.F You will be charged $1.00 per month when thebalance is below $25.00. Fat Cat Share Accountsare exempt from service fees.F There is no minimum withdrawal.F There is no early withdrawal penalty or maturity date.Checking AccountF If we receive a deposit (cash or checks) to yourChecking Account, you begin earning dividendson the business day the deposit is received.F The dividend is computed on the actual dailyaccount balance beginning on the day of receiptof the deposit.F Dividends are paid every month.F Dividends are declared at the beginning of thedividend period (dividend period begins on theday your monthly statement is created).F There is no minimum deposit to open an account* Please see the Regulation D section of this brochure for thewithdrawal/transfer limitations on this account.10 11