- What is a Credit Union
- MITFCU Important Account Information
- Fee Schedule
- MITFCU Funds Availability Policy
- MITFCU e-Statements Agreement
- MITFCU e-Bills Agreement
- MITFCU e-Deposits Agreement
- MITFCU Funds Transfer Agreement
- Annual Report
- Social Mission
- Visa Update - March 2010
- MITFCU Visa Credit Card Agreement
Click here for Printable Version TERMS AND CONDITIONS IMPORTANT INFORMATION ABOUT PROCEDURES FOR OPENING A NEW ACCOUNT - To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver's license or other identifying documents. AGREEMENT - This document, along with any other documents we give you pertaining to your account(s), is a contract that establishes rules which control your account(s) with us. Please read this carefully. If you sign the signature card or open or continue to use the account, you agree to these rules. If you wish to receive a separate schedule of rates, qualifying balances, and fees, or if you have any questions, please call us. This agreement is subject to applicable federal laws and the laws of the state of Massachusetts (except to the extent that this agreement can and does vary such rules or laws). The body of state and federal law that governs our relationship with you, however, is too large and complex to be reproduced here. The purpose of this document is to: If any provision of this document is found to be unenforceable according to its terms, all remaining provisions will continue in full force and effect. We may permit some variations from our standard agreement, but we must agree to any variation in writing either on the signature card for your account or in some other document. As used in this document the words "we," "our," and "us" mean the MIT Federal Credit Union and the words "you" and "your" mean the account holder(s) and anyone else with the authority to deposit, withdraw, or exercise control over the funds in the account. The headings in this document are for convenience or reference only and will not govern the interpretation of the provisions. Unless it would be inconsistent to do so, words and phrases used in this document should be construed so the singular includes the plural and the plural includes the singular. BYLAWS - Our bylaws, which we may amend from time to time, establish basic rules about our Credit Union policies and operations which affect your account and membership. You may obtain a copy of the bylaws on request. Our right to require you to give us notice of your intention to withdraw funds from your account is described in the bylaws. Unless we have agreed otherwise, you are not entitled to receive any original item after it is paid, although you may request that we send you an item(s) or a copy of an item(s). Dividends are based on current earnings and available earnings of the Credit Union, after providing for required reserves. LIABILITY - You agree, for yourself (and the person or entity you represent if you sign as a representative of another) to the terms of this account and the schedule of charges. You authorize us to deduct these charges directly from the account balance as accrued. You will pay any additional reasonable charges for services you request which are not covered by this agreement. Each of you also agrees to be jointly and severally (individually) liable for any account shortage resulting from charges or overdrafts, whether caused by you or another with access to this account. This liability is due immediately, and can be deducted directly from the account balance whenever sufficient funds are available. You have no right to defer payment of this liability, and you are liable regardless of whether you signed the item or benefited from the charge or overdraft. You will also be liable for our costs to collect the deficit as well as for our reasonable attorneys' fees, to the extent permitted by law, whether incurred as a result of collection or in any other dispute involving your account including, but not limited to, disputes between you and another joint owner; you and an authorized signer or similar party; or a third party claiming an interest in your account. DEPOSITS - We will give only provisional credit until collection is final for any items, other than cash, we accept for deposit (including items drawn "on us"). Actual credit for deposits of, or payable in, foreign currency will be at the exchange rate in effect on final collection in U.S. dollars. We are not responsible for transactions by mail or outside depository until we actually record them. We will treat and record all transactions received after our "daily cutoff time" on a business day we are open, or received on a day we are not open for business, as if initiated on the next business day that we are open. Unless otherwise stated on the item, the Credit Union will only accept items for deposit that are less than six (6) months old. WITHDRAWALS - Unless clearly indicated otherwise on the account records, any of you, acting alone, who signs to open the account or has authority to make withdrawals may withdraw or transfer all or any part of the account balance at any time. Each of you (until we receive written notice to the contrary) authorizes each other person who signs or has authority to make withdrawals to indorse any item payable to you or your order for deposit to this account or any other transaction with us. You agree that, as to any item that we have no opportunity to examine the signatures, such as an electronic check conversion transaction where a check or similar item is converted into an electronic fund transfer as defined in the Electronic Fund Transfers regulation, you waive any requirement of multiple signatures for withdrawal. We may charge your account for a check even though payment was made before the date of the check, unless we have received written notice of the postdating in time to have a reasonable opportunity to act. We may refuse any withdrawal or transfer request which you attempt on forms not approved by us, by any method we do not specifically permit, which is greater in number than the frequency permitted, or which is for an amount greater or less than any withdrawal limitations. Even if we honor a nonconforming request, we may treat continued abuse of the stated limitations (if any) as your act of closing the account. We will use the date the transaction is completed by us (as opposed to the date you initiate it) to apply the frequency limitations. The fact that we may honor withdrawal requests that overdraw the available account balance does not obligate us to do so later. You agree that we may charge fees for overdrafts and use subsequent deposits, including direct deposits of social security or other government benefits, to cover such overdrafts and overdraft fees. If we are presented with an item drawn against your account that would be a "substitute check," as defined by law, but for an error or defect in the item introduced in the substitute check creation process, you agree that we may pay such item. See the funds availability policy disclosure for information about when you can withdraw funds you deposit. For those accounts for which our funds availability policy disclosure does not apply, you can ask us when you make a deposit when those funds will be available for withdrawal. OWNERSHIP OF ACCOUNT AND BENEFICIARY DESIGNATION - These rules apply to this account depending on the form of ownership and beneficiary designation, if any, specified on the account records. We reserve the right to refuse some forms of ownership on any or all of our accounts. We make no representations as to the appropriateness or effect of the ownership and beneficiary designations, except as they determine to whom we pay the account funds. Individual Account - is an account in the name of one person. Joint Account - With Survivorship (And Not As Tenants In Common) - is an account in the name of two or more persons. Each of you intend that when you die the balance in the account (subject to any previous pledge to which we have agreed) will belong to the survivor(s). If two or more of you survive, you will own the balance in the account as joint tenants with survivorship and not as tenants in common. Joint Account - No Survivorship (As Tenants In Common) - is owned by two or more persons, but none of you intend (merely by opening this account) to create any right of survivorship in any other person. We encourage you to agree and tell us in writing of the percentage of the deposit contributed by each of you. This information will not, however, affect the "number of signatures" necessary for withdrawal. Revocable Trust Account - One or two of you (called trustees) may create such an account in trust for another. Payments may be made to the trustee, or if there are two trustees, to either or both of the trustees or the survivor. Upon the death of the trustee or the death of both trustees, payment may be made to the person for whom the trust was made, or that person's legal representative. BUSINESS, ORGANIZATION AND ASSOCIATION ACCOUNTS - Earnings in the form of interest, dividends, or credits will be paid only on collected funds, unless otherwise provided by law or our policy. We may require the governing body of the entity opening the account to give us a separate authorization telling us who is authorized to act on its behalf. We will honor the authorization until we actually receive written notice of a change from the governing body of the entity. STOP PAYMENTS - You must make any stop-payment order in the manner required by law, and we must receive it in time to give us a reasonable opportunity to act on it before our stop-payment cutoff time. To be effective, your stop-payment order must precisely identify the number, date and amount of the item, and the payee. You may stop payment on any item drawn on your account whether you sign the item or not, if you have an equal or greater right to withdraw from this account than the person who signed the item. A release of the stop-payment request may be made only by the person who initiated the stop-payment order. Our stop-payment cutoff time is one hour after the opening of the next banking day after the banking day on which we receive the item. Additional limitations on our obligation to stop payment are provided by law (e.g., we paid the item in cash or we certified the item). TELEPHONE TRANSFERS - A telephone transfer of funds from this account to another account with us, if otherwise arranged for or permitted, may be made by the same persons and under the same conditions generally applicable to withdrawals made in writing. Unless a different limitation is disclosed in writing, we restrict the number of transfers from a Prime Share (Savings) Account to another account or to third parties, to a maximum of six per month (less the number of "preauthorized transfers" during the month). Other account transfer restrictions may be described elsewhere. AMENDMENTS AND TERMINATION - We may change our bylaws and any term of this agreement. Rules governing changes in rates are provided separately. For other changes we will give you reasonable notice in writing or by any other method permitted by law. We may close this account if your membership in the Credit Union terminates, or by giving reasonable notice to you and tender of the account balance personally or by mail. At our option, we may suspend your rights to member services if you violate the terms of this agreement. You must keep us informed of your current address at all times. Notice from us to any one of you is notice to all of you. STATEMENTS - Your duty to report unauthorized signatures, alterations and forgeries - You must examine your statement of account with "reasonable promptness." If you discover (or reasonably should have discovered) any unauthorized signatures or alterations, you must promptly notify us of the relevant facts. As between you and us, if you fail to do either of these duties, you will have to either share the loss with us, or bear the loss entirely yourself (depending on whether we used ordinary care and, if not, whether we substantially contributed to the loss). The loss could be not only with respect to items on the statement but other items with unauthorized signatures or alterations by the same wrongdoer. You agree that the time you have to examine your statement and report to us will depend on the circumstances, but will not, in any circumstance, exceed a total of 30 days from when the statement is first sent or made available to you. You further agree that if you fail to report any unauthorized signatures, alterations or forgeries in your account within 60 days of when we first send or make the statement available, you cannot assert a claim against us on any items in that statement, and as between you and us the loss will be entirely yours. This 60-day limitation is without regard to whether we used ordinary care. The limitation in this paragraph is in addition to that contained in the first paragraph of this section. Your duty to report other errors - In addition to your duty to review your statements for unauthorized signatures, alterations and forgeries, you agree to examine your statement with reasonable promptness for any other error - such as an encoding error. You agree that the time you have to examine your statement and report to us will depend on the circumstances. However, such time period shall not exceed 60 days. Failure to examine your statement and report any such errors to us within 60 days of when we first send or make the statement available precludes you from asserting a claim against us for any such errors on items identified in that statement and as between you and us the loss will be entirely yours. Errors relating to electronic fund transfers or substitute checks - For information on errors relating to electronic fund transfers (e.g., computer, debit card or ATM transactions) refer to your Electronic Fund Transfers disclosure and the sections on consumer liability and error resolution. For information on errors relating to a substitute check you received, refer to your disclosure entitled Substitute Checks and Your Rights. ACCOUNT TRANSFER - This account may not be transferred or assigned without our prior written consent. DIRECT DEPOSITS - If, in connection with a direct deposit plan, we deposit any amount in an account which should have been returned to the Federal Government for any reason, you authorize us to deduct the amount of our liability to the Federal Government from the account or from any other account you have with us, without prior notice and at any time, except as prohibited by law. We may also use any other legal remedy to recover the amount of our liability. TEMPORARY ACCOUNT AGREEMENT - If this option is selected, this is a temporary account agreement. Each person who signs to open the account or has authority to make withdrawals (except as indicated to the contrary) may transact business on this account. However, we may at some time in the future restrict or prohibit further use of this account if you fail to comply with the requirements we have imposed within a reasonable time. RIGHT TO REPAYMENT OF INDEBTEDNESS - You each agree that we may (without prior notice and when permitted by law) charge against and deduct from this account any due and payable debt owed to us now or in the future, by any of you having the right of withdrawal, to the extent of such persons' or legal entity's right to withdraw. If the debt arises from a note, "any due and payable debt" includes the total amount of which we are entitled to demand payment under the terms of the note at the time we charge the account, including any balance the due date for which we properly accelerate under the note. In addition to these contract rights, we may also have rights under a "statutory lien." A "lien" on property is a creditor's right to obtain ownership of the property in the event a debtor defaults on a debt. A "statutory lien" is one created by federal or state statute. If federal or state law provides us with a statutory lien, then we are authorized to apply, without prior notice, your shares and dividends to any debt you owe us, in accord with the statutory lien. Neither our contract rights nor rights under a statutory lien apply to this account if prohibited by law. For example, neither our contract rights nor rights under a statutory lien apply to this account if: (a) it is an Individual Retirement Account or similar tax-deferred account, or (b) the debt is created by a consumer credit transaction under a credit card plan (but this does not affect our rights under any consensual security interest), or (c) the debtor's right of withdrawal arises only in a representative capacity. We will not be liable for the dishonor of any check or draft when the dishonor occurs because we charge and deduct an amount you owe us from your account. You agree to hold us harmless from any claim arising as a result of our exercise of our right to repayment. AUTHORIZED SIGNER (Individual Accounts only) - A single individual is the owner. The authorized signer is merely designated to conduct transactions on the owner's behalf. We undertake no obligation to monitor transactions to determine that they are on the owner's behalf. RESTRICTIVE LEGENDS - We are not required to honor any restrictive legend on checks you write unless we have agreed in writing to the restriction. Examples of restrictive legends are "must be presented within 90 days" or "not valid for more than $1,000.00." CREDIT VERIFICATION - You agree that we may verify credit and employment history by any necessary means, including preparation of a credit report by a credit reporting agency. PLEDGES - Unless we agree otherwise in writing, each owner of this account may pledge all or any part of the funds in it for any purpose to which we agree. Any pledge of this account must first be satisfied before the rights of any surviving account owner or account beneficiary become effective. CHECK PROCESSING - We may process items mechanically by relying on the information encoded along the bottom of the items. This means that we may not individually examine all of your items to determine if the item is properly completed, signed and indorsed. You agree that we have not failed to exercise ordinary care solely because we use an automated system to process items and do not inspect all items processed in such a manner. We reserve the right not to inspect each item because using an automated process helps us keep costs down for you and all account holders. We may determine the amount of available funds in your account for the purpose of deciding whether to return an item for insufficient funds at any time between the time we receive the item and when we return the item or send a notice in lieu of return. We need only make one determination, but if we choose to make a subsequent determination, the account balance at the subsequent time will determine whether there are insufficient available funds. CHECK CASHING - We may charge a fee for anyone that does not have an account with us who is cashing a check, draft or other instrument written on your account. We may also require reasonable identification to cash such a check, draft or other instrument. We can decide what identification is reasonable under the circumstances and such identification may be documentary or physical and may include collecting a thumbprint or fingerprint. ACH AND WIRE TRANSFERS - This agreement is subject to Article 4A of the Uniform Commercial Code - Fund Transfers as adopted in the state in which you have your account with us. If you originate a fund transfer for which Fedwire is used, and you identify by name and number a beneficiary financial institution, an intermediary financial institution or a beneficiary, we and every receiving or beneficiary financial institution may rely on the identifying number to make payment. We may rely on the number even if it identifies a financial institution, person or account other than the one named. You agree to be bound by automated clearing house association rules. These rules provide, among other things, that payments made to you, or originated by you, are provisional until final settlement is made through a Federal Reserve Bank or payment is otherwise made as provided in Article 4A-403(a) of the Uniform Commercial Code. If we do not receive such payment, we are entitled to a refund from you in the amount credited to your account and the party originating such payment will not be considered to have paid the amount so credited. If we receive a payment order to credit an account you have with us by wire or ACH, we are not required to give you any notice of the payment order or credit. FACSIMILE SIGNATURES - You authorize us, at any time, to charge you for all checks, drafts, or other orders, for the payment of money, that are drawn on us regardless of by whom or by what means the facsimile signature(s) may have been affixed so long as they resemble the facsimile signature specimen filed with us, and contain the required number of signatures for this purpose. -------------------------- ELECTRONIC FUND TRANSFERS Indicated below are types of Electronic Fund Transfers we are capable of handling, some of which may not apply to your account. Please read this disclosure carefully because it tells you your rights and obligations for the transactions listed. You should keep this notice for future reference. Electronic Fund Transfers Initiated By Third Parties. You may authorize a third party to initiate electronic fund transfers between your account and the third party's account. These transfers to make or receive payment may be one-time occurrences or may recur as directed by you. These transfers may use the Automated Clearing House (ACH) or other payments network. Your authorization to the third party to make these transfers can occur in a number of ways. For example, your authorization to convert a check or draft to an electronic fund transfer or to electronically pay a returned check or draft charge can occur when a merchant provides you with notice and you go forward with the transaction (typically, at the point of purchase, a merchant will post a sign and print the notice on a receipt). In all cases, these third party transfers will require you to provide the third party with your account number and Credit Union information. This information can be found on your check or draft as well as on a deposit or withdrawal slip. Thus, you should only provide your Credit Union and account information (whether over the phone, the Internet, or via some other method) to trusted third parties whom you have authorized to initiate these electronic fund transfers. Examples of these transfers include, but are not limited to: Transfer limitations for nontransaction accounts - A depositor may make no more than six "convenient" transfers per month from a Share (Savings) Account. "Convenient" transfers, for purposes of this limit, include preauthorized or automatic transfers (such as overdraft-protection transfers and direct bill payments) and transfers initiated by a depositor by telephone, facsimile, or computer. Other, less convenient types of transfers, such as withdrawals or transfers made in person at the credit union, by mail, or by using an ATM, do not count toward the six-per-month limit and do not affect the account's status as a Share (Savings) Account. Also, a withdrawal request by telephone does not count toward the limit, provided that the withdrawal is disbursed via check mailed to the depositor. MIT TouchTone Teller Telephone Transfers - types of transfers - You may access your account by telephone 24 hours a day at 1-800-648-4411 using your personal identification number and your account number, to: Your Option to Limit Cash Withdrawals - In addition to dollar amount limitations for withdrawals using your ATM Card or Debit MasterCard® and/or code that we may establish, you have the option to limit the amount of cash that can be withdrawn by your ATM Card or Debit MasterCard® and/or code to $50.00 per day or some other amount acceptable to us. ATM Transfers - types of transfers and dollar limitations - You may access your account(s) by ATM using your ATM Card and personal identification number or Debit MasterCard® and personal identification number, to: Please refer to our separate fee schedule for information on charges. Some of these services may not be available at all terminals. Types of ATM/Debit MasterCard® Point-of-Sale Transactions - You may access your Share Draft (Checking) Account(s) to purchase goods (in person) and pay for services (in person). Point-of-Sale ATM Transactions - dollar limitations and charges - Using your ATM card for point-of-sale transactions: Types of Debit MasterCard Point-of-Sale Transactions - You may access your Share Draft (Checking) Account to purchase goods (in person, by Internet, or by phone), pay for services (in person, by Internet, or by phone), get cash from a merchant, if the merchant permits, or from a participating financial institution, and do anything that a participating merchant will accept. Point-of-Sale Transactions - charges - Using your Debit MasterCard: Making Deposits at MITFCU-Owned ATMs. You may deposit cash and/or checks to your account(s) with your ATM or Debit MasterCard only at the following deposit-accepting, MITFCU-owned ATMs: 50 Ames St., Cambridge (Bldg E18); 77 Massachusetts Ave., Cambridge (Bldg 10); The Stratton Student Center at 84 Massachusetts Ave., Cambridge (Bldg W20); 700 Technology Sq., Cambridge (Bldg NE48); and The Stata Center at 32 Vassar St., Cambridge (Bldg 32). Currency Conversion and Cross-Border Transaction Fees. If you effect a transaction with your Debit MasterCard® in a currency other than US Dollars, MasterCard will convert the transaction into a US Dollar amount. The MasterCard currency conversion procedure includes use of either a government-mandated exchange rate, or a wholesale exchange rate selected by MasterCard. The exchange rate MasterCard uses will be a rate in effect on the day the transaction is processed. This rate may differ from the rate in effect on the date of purchase or the date the transaction was posted to your account. MasterCard charges a Currency Conversion fee of .2% and an Issuer Cross-Border Assessment of .8% of the transaction amount. We charge an International Transaction Processing fee of 1.0% based on the transaction amount. The Cross-Border Transaction fee is charged on all cross-border transactions regardless of whether there is a currency conversion. A cross-border transaction is a transaction processed through the Global Clearing Management System or the MasterCard Debit Switch in which the country of the merchant is different than the country of the cardholder. Advisory Against Illegal Use. You agree not to use your card(s) for illegal gambling or other illegal purpose. Display of a payment card logo by, for example, an online merchant does not necessarily mean that transactions are lawful in all jurisdictions in which the cardholder may be located. e-Branch Computer Transfers - types of transfers - You may access your account(s) by computer at www.mitfcu.org and using your member number and personal identification number, to: Termination - Minimum account balance - FEES Except as indicated elsewhere, we do not charge for these electronic fund transfers. ATM Operator/Network Fees. When you use an ATM not owned by us, you may be charged a fee by the ATM operator or any network used (and you may be charged a fee for a balance inquiry even if you do not complete a fund transfer). DOCUMENTATION PREAUTHORIZED PAYMENTS ADDITIONAL INFORMATION REQUIRED Unless otherwise provided in this agreement, you (the consumer) may not stop payment of electronic fund transfers, therefore you should not employ electronic access for purchases or services unless you are satisfied that you will not need to stop payment. MITFCU'S LIABILITY If we do not complete a transfer to or from your account on time or in the correct amount according to our agreement with you, we will be liable for your losses or damages. However, there are some exceptions. We will not be liable, for instance: CONFIDENTIALITY In order that your privacy may be protected, we will not disclose any information about you or your account to any person, organization, or agency except: If an unauthorized disclosure has been made, we must inform you of the particulars of the disclosure within 3 days after we have discovered that an unauthorized disclosure has occurred. UNAUTHORIZED TRANSFERS (a) Consumer liability. (b) Contact in event of unauthorized transfer. If you think your card and/or code has been lost, stolen or that someone has transferred or may transfer money from your account without your permission, for example, by using the information from your check or draft, call or write us at the telephone number or address listed in this brochure. PROTECTED CONSUMER USE Chapter 167B of the Massachusetts General Laws was enacted to provide a means for financial institutions, businesses, and consumers to conduct their business relations more conveniently. Transferring funds electronically will supplement the use of checks, credit, and cash and will not replace these present methods of doing business. As a consumer, you should be aware of your rights if you choose to utilize this system. ERROR RESOLUTION NOTICE In Case of Errors or Questions About Your Electronic Transfers, if you think your statement, passbook or receipt is wrong, or if you need more information about a transfer listed on the statement, passbook or receipt, telephone or write us at the telephone number or address listed in this brochure as soon as you can. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error appeared. If you tell us orally, we may require that you send us your complaint or question in writing within 10 business days. We will determine whether an error occurred within 10 business days (20 business days if the transfer involved a new account) after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days (90 days if the transfer involved a new account, a point-of-sale transaction, or a foreign-initiated transfer) to investigate your complaint or question. If we decide to do this, we will credit your account within 10 business days (20 business days if the transfer involved a new account) for the amount you think is in error, so that you will have the use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within 10 business days, we may not credit your account. Your account is considered a new account for the first 30 days after the first deposit is made, unless each of you already has an established account with us before this account is opened. We will tell you the results within one business day after completing our investigation. If we decide that there was no error, we will send you a written explanation. If an error did occur, we will correct the error within one business day. You may ask for copies of the documents that we used in our investigation. MASSACHUSETTS INSTITUTE OF TECHNOLOGY MORE DETAILED INFORMATION IS AVAILABLE NOTICE OF ATM/NIGHT DEPOSIT As with all financial transactions, please exercise discretion when using an automated teller machine (ATM) or night deposit facility. For your own safety, be careful. The following suggestions may be helpful. -------------------------- YOUR ABILITY TO WITHDRAW FUNDS This policy statement applies to all accounts. According to the "Funds Availability Policy," during a hold period you may not withdraw held funds and we will not use the held funds to clear any debit transactions on your account. Our policy is to make funds from your check deposits available to you on the second business day after the day we receive your deposit, with the first $100 available on the first business day after the day of your deposit. Electronic direct deposits will be available on the day we receive the deposit. Cash, wire transfers, and some specified check deposits will also be available before the second business day, as detailed below. Once the funds are available, you can withdraw them in cash and we will use the funds to pay checks that you have written. Please remember that even after we have made funds available to you, and you have withdrawn the funds, you are still responsible for checks you deposit that are returned to us unpaid and for any other problems involving your deposit. For determining the availability of a deposit every day is a business day except Saturdays, Sundays, federal holidays, MIT holidays, and special closings. If you make a deposit at a teller window before end of business on a business day that we are open, we will consider that day to be the day of your deposit. However, if you make a deposit after end of business or on a day we are not open, we will consider that the deposit was made on the next business day we are open. If making an ATM deposit, please refer to the "ATM Deposits" section of this policy for funds availability. Same-Day Availability Expedited Funds Availability Disclosure If deposits of the following items were not made in person to an employee of the Credit Union (for example, if you mail the deposit), the Credit Union may delay availability of funds until the 2nd business day following the date of deposit: cash, state or local government checks, cashier's, certified, and teller's checks, or Federal Reserve Bank checks, and Federal Home Loan Bank checks. Other Check Deposits Subject to Second-Day Availability The first $100 from a deposit of other checks will be available on the first business day after the day of your deposit. The remaining funds will be available on the second business day after the day of your deposit. For example, if you deposit a check of $700 on a Monday, $100 of the deposit is available on Tuesday. The remaining $600 is available on Wednesday. If we cash a check for you that is drawn on another bank, we may withhold the availability of a corresponding amount of funds that are already in your account. Those funds will be available at the time funds from the check we cashed would have been available if you had deposited it. If we accept for deposit a check that is drawn on another bank, we may make funds from the deposit available for withdrawal immediately but delay your availability to withdraw a corresponding amount of funds that you have on deposit in another account with us. The funds in the other account would then not be available for withdrawal until the time periods that are described elsewhere in this disclosure for the type of check that you deposited. LONGER DELAYS MAY APPLY Funds you deposit by check may be delayed for a longer period under the following circumstances: We will notify you if we delay your ability to withdraw funds for any of these reasons, and we will tell you when the funds will be available. They will generally be available no later than the seventh business day after the day of your deposit. SPECIAL RULES FOR NEW ACCOUNTS -------------------------- TRUTH-IN-SAVINGS DISCLOSURE PRIME SHARE (SAVINGS) ACCOUNT Rate information: The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly, for example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of such dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements: The minimum required to open this account is the purchase of a share in the Credit Union. Please see the bylaw requirements in the Common Features section on page 13 for additional information. You must maintain a minimum daily balance of $100.00 in your account each day to obtain the disclosed annual percentage yield. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations: During any month, you may not make more than six withdrawals or transfers to another Credit Union account of yours or to a third party by means of a preauthorized, automatic, or computer transfer, telephonic order or instruction, or by check, draft, debit card (if applicable), or similar order to a third party. If you exceed the transfer limitations set forth above, your account will be subject to closure by the Credit Union. Members would be entitled to accrued dividends if the account were closed prior to crediting. Par value of a share: The par value of a share in this account is $5.00. SELECT SAVINGS Rate information - The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly. For example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of the dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements - A minimum daily balance of $25,000.00 must be maintained to earn a dividend. No dividend will be paid on days in which the balance falls below the required minimum. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations - Transactions are unlimited. However, there is one (no fee) withdrawal and/or transaction each calendar month. Fees - In the event there is more than one withdrawal or transfer out of the account, a $25.00 fee will be assessed on each withdrawal or transfer. Members would be entitled to accrued dividends if the account were closed prior to crediting. HOLIDAY CLUB ACCOUNT Rate information: The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly, for example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of such dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements: No minimum balance requirements apply to this account. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations: The minimum deposit we allow for payroll deduction is $2.00 per week or $10.00 per month. You may not make any withdrawals or transfers to another Credit Union account of yours or to a third party by means of a preauthorized or automatic transfer, computer transfer, telephonic order or instruction, or similar order to a third party. Members would be entitled to accrued dividends if the account were closed prior to crediting. VACATION CLUB ACCOUNT Rate information: The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly, for example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of such dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements: No minimum balance requirements apply to this account. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations: The minimum deposit we allow for payroll deduction is $2.00 per week or $10.00 per month. You may not make any withdrawals or transfers to another Credit Union account of yours or to a third party by means of a preauthorized or automatic transfer, computer transfer, telephonic order or instruction, or similar order to a third party. Members would be entitled to accrued dividends if the account were closed prior to crediting. SHARE PLUS (MONEY MARKET) ACCOUNT Rate information: The dividend rate and annual percentage yield may change every week. We may change the dividend rate for your account as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly, for example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of such dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements: A minimum daily balance of $1,000.00 is required to earn a dividend and the annual percentage yield. No dividend will be paid on days the balance falls below the required minimum. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations: Transactions are unlimited. However, there are three (No Fee) withdrawals and/or transactions each calendar month. Fees - If the number of withdrawals or transfers exceed three per month, a $25.00 charge will be assessed for each transaction above the allowed minimum. SHARE DRAFT (CHECKING) ACCOUNT Minimum balance requirements: No minimum balance requirements apply to this account. Transaction limitations: No transaction limitations apply to this account unless otherwise stated in the Common Features section. Additional information: Cost for draft or check printing varies depending on the style ordered. The Credit Union does not provide a check cashing facility. SHARE DRAFT (PLUS CHECKING) ACCOUNT Rate information - The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly. For example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of the dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements - A minimum daily balance of $2,500.00 must be maintained to earn a dividend. No dividend will be paid on days in which the balance falls below the required minimum. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations - No transaction limitations apply to this account unless otherwise stated in the Common features section. Fees - In the event your balance falls below the required daily minimum, a $5.00 monthly fee will be withdrawn from your account. Additional information - Cost for checks or check printing varies depending on the style ordered. The Credit Union does not provide a check cashing facility. Members would be entitled to accrued dividends if the account were closed prior to crediting. SHARE DRAFT (SELECT CHECKING) ACCOUNT Rate information - The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly. For example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of the dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements - A minimum daily balance of $10,000.00 must be maintained to earn a dividend. No dividend will be paid on days in which the balance falls below the required minimum. Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations - No transaction limitations apply to this account unless otherwise stated in the Common features section. Fees - In the event your balance falls below the required daily minimum, an $8.00 monthly fee will be withdrawn from your account. Additional information - Cost for checks or check printing varies depending on the style ordered. The Credit Union does not provide a check cashing facility. Members would be entitled to accrued dividends if the account were closed prior to crediting. IRA SHARE ACCOUNT Rate information: The dividend rate and annual percentage yield may change at any time, as determined by the Credit Union Board of Directors. Compounding and crediting - Dividends will be compounded every day. Dividends will be credited to your account every month. Dividend period - For this account type, the dividend period is monthly, for example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of such dividend period is January 31. All other dividend periods follow this same pattern of dates. The dividend declaration date is the last day of the dividend period, and for the example above is January 31. Minimum balance requirements: Daily balance computation method - Dividends are calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day. Accrual of dividends on noncash deposits - Dividends will begin to accrue on the business day you place noncash items (for example, checks) to your account. Transaction limitations: Members would be entitled to accrued dividends if the account were closed prior to crediting. COMMON FEATURES Bylaw requirements: You must complete payment of one share ($5.00) in your Prime Share (Savings) account as a condition of admission to membership. Transaction limitations: We reserve the right to at any time require not less than seven days notice in writing before each withdrawal from a dividend-earning account other than a time deposit, or from any other savings account as defined by Regulation D. Change in account terms - The dividend rate and annual percentage yield (APY) may change at any time, as determined by the Credit Union Board of Directors. Nature of dividends - Dividends are paid from current income and available earnings, after required transfers to reserves at the end of a dividend period. (This disclosure further explains the dividend feature of your non-term share account(s).) National Credit Union Share Insurance Fund - Member accounts in this Credit Union are federally insured by the National Credit Union Share Insurance Fund. Overdraft Fee Transaction Categories - The categories of transactions for which an overdraft fee may be imposed are those by any of the following means: share draft, in-person withdrawal, ATM withdrawal, or other electronic means. Please refer to our separate fee schedule for additional information about charges. -------------------------- YOUR ACCOUNT These are the accounts you have opened or inquired about. Further details about these accounts are inside this brochure. If the figures are not filled in, please see the insert that is with this disclosure or your periodic statement.
OF YOUR ACCOUNT
YOUR RIGHTS AND RESPONSIBILITIES
the account balance of Share Draft (Checking) Accounts
You will get a monthly account statement for your account(s) with us.
Call or write us at the telephone number or address listed in this brochure in time for us to receive your request 3 business days or more before the payment is scheduled to be made. If you call, we may also require you to put your request in writing and get it to us within 14 days after you call.
Please refer to our separate fee schedule for the amount we will charge you for each stop-payment order you give.
BY MASSACHUSETTS LAW
FEDERAL CREDIT UNION
MEMBER SERVICES
700 TECHNOLOGY SQUARE, MIT BLDG. NE48
CAMBRIDGE, MASSACHUSETTS 02139
Business Days: Monday through Friday
Business Hours:
Tech Square and Lincoln Lab, 8:30 A.M. - 4:00 P.M., M-F
Student Center, 9:00 A.M. - 4:30 P.M., M-W, F
9:00 A.M. - 5:30 P.M., Thursdays
Excluding MIT Holidays
Phone: (617) 253-2845
ON REQUEST
FACILITY USER PRECAUTIONS
-require you to use a preauthorized electronic fund transfer as a condition of the extension of credit unless the credit is being extended in connection with an overdraft checking plan, or is being extended to maintain a specified balance in your account, or
-require you either to accept a transfer service or to establish an account which is accessed electronically as conditions of employment or receipt of governmental benefit, or
-require you to pay electronically for the purchase of goods or services.
If your account is to be credited by a preauthorized transfer you may choose the financial institution to which the transfer may be made, if the institution is technically capable of receiving such preauthorized transfer.
A minimum daily balance of $100 is required to earn a divident and the annual percentage yield. No divident will be paid on days that the balance falls below the required minimum.
Account transactions must follow the applicable IRA contributions and distribution guidelines. Please refer to product brochure information.
