This Disclosure describes your ability to withdraw funds at Associated Healthcare Credit Union. It only applies to the availability of funds in transaction accounts. The Credit Union reserves the right to delay the availability of funds deposited to accounts that are not transaction accounts for periods longer than those disclosed in this policy. Please ask us if you have a question about which accounts are affected by this policy.

1. GENERAL POLICY — Our policy is to make funds from your cash and check deposits available to you on the same business day that we receive your deposit. Electronic direct deposits will be available on the day we receive the deposit. Once they are available, you can withdraw the funds in cash and we will use the funds to pay the checks that you have written. For determining the availability of your deposits, every day is a business day, except Saturdays, Sundays, and federal holidays. If you make a deposit before the close 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 the close of business or on a business day we are not open, we will consider that the deposit was made on the next business day we are open.

2. RESERVATION OF RIGHT TO HOLD — In some cases, we will not make all of the funds that you deposit by check available to you on the same business day that we receive your deposit. Funds may not be available until the second business day after the day of your deposit. However, the first $225.00 of your deposit will be available on the first business day after the day of your deposit. If we are not going to make all of the funds from your deposit available on the same business day, we will notify you at the time you make your deposit. We will also tell you when the funds will be available. If your deposit is not made directly to one of our employees or if we decide to take this action after you have left the premises, we will mail you the notice by the next business day after we receive your deposit. If you will need the funds from a deposit right away, you should ask us when the funds will be available.

3. HOLDS ON OTHER FUNDS — If we cash a check for you drawn from another financial institution, we may withhold the availability of a corresponding amount of funds 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 financial institution, 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.

4. LONGER DELAYS MAY APPLY — We may delay your ability to withdraw funds deposited by check into your account an additional number of days for these reasons:

• We believe a check you deposit will not be paid.
• You deposit checks totaling more than $5,525.00 on any one (1) day.
• You redeposit a check that has been returned unpaid.
• You have overdrawn your account repeatedly in the last six (6) months.
• There is an emergency, such as a failure of communications or computer equipment.

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.

5. SPECIAL RULES FOR NEW ACCOUNTS — If you are a new member, the following special rules will apply during the first 30 days your account is open. Funds from electronic direct deposits to your account will be available on the day we receive the deposit. Funds from deposits of cash, wire transfers, and the first $5,525.00 of a day’s total deposits of cashier’s, certified, teller’s, traveler’s, and federal, state, and local government checks will be available on the next business day after the day of your deposit if the deposit meets certain conditions. For example, the checks must be payable to you. The excess over $5,525.00 will be available on the seventh business day after the day of your deposit. If your deposit of these checks (other than a U.S. Treasury check) is not made in person to one of our employees, the first $5,525.00 will not be available until the second business day after the day of your deposit. Funds from all other check deposits will be available on the seventh business day after the day of your deposit.

6. DEPOSITS AT NONPROPRIETARY ATMS — Funds from any deposits (cash or checks) made at automated teller machines (ATMs) we do not own or operate will not be available until the fifth business day after the date of your deposit. All ATMs that we own are identified as our machines.

7. FOREIGN CHECKS — Checks drawn on financial institutions located outside the U.S. (foreign checks) cannot be processed the same as checks drawn on U.S. financial institutions. Foreign checks are exempt from the policies outlined in this disclosure. Generally, the availability of funds for deposits of foreign checks will be delayed for the time it takes us to collect the funds from the financial institution upon which it is drawn.

Overdraft Coverage for Debit Cards

WHAT YOU NEED TO KNOW ABOUT OVERDRAFTS AND OVERDRAFT FEES

A Return Item Fee occurs when you do not have enough money in your account to cover a transaction and the item is returned to the payee/merchant. An overdraft occurs when you do not have enough money in your account to cover a transaction, but we authorize and pay it anyway. We can cover your over-drafts in a couple of different ways:

• We have a standard overdraft practice for qualified members.
• We also offer overdraft protection plans, such as a link to a savings account or a Line of credit loan, which may be less expensive than our standard over-draft practices. To learn more, ask us about these plans.

WHAT ARE THE STANDARD OVERDRAFT PRACTICES THAT COME WITH MY ACCOUNT?

Our Standard Overdraft Practice is to allow qualified members to overdraw their account using Overdraft Privilege funds. We authorize and pay overdrafts for the following types of transactions:

• Checks and other transactions made using your checking account number
• Automatic bill payments- If funds are available in your savings account, we will transfer funds to checking to cover the overdraft up to Reg D limitations.

We DO NOT authorize and pay overdrafts for the following types of transactions unless you ask us to:

• Everyday debit card transactions

WHAT IF MY TRANSACTION IS NOT PAID?

If we do not authorize and pay everyday Debit Card overdrafts your transaction may be declined.

If we do not pay your check or other transaction the item will be returned to the payee/merchant as a returned Item.

WHAT FEES WILL I BE CHARGED?

If we pay the item:

• We will charge you a fee of up to $35 each time we pay an overdraft. No per day limit, not to exceed basic limits. The privilege has some basic limits:
• You cannot exceed $500.00 (negative) balance, including fees.

We pay overdraft transactions at our discretion, which means we do not guarantee that we will always authorize and pay for any type of transaction. If we do not authorize and pay the overdraft, your transaction will be declined.

WHAT IF I WANT ASSOCIATED HEALTHCARE CREDIT UNION (AHCU) TO AUTHORIZE AND PAY OVERDRAFTS ON MY EVERYDAY DEBIT CARD TRANSACTIONS?

If you also want us to authorize and pay overdrafts on everyday debit card transactions you must fill out an Opt-in form.

Overdraft Coverage for Checking Accounts

Overdraft coverage is a service that allows the credit union to pay an item presented against our member’s checking account even if it causes the account to become overdrawn. While it is not an invitation to overdraw your account, it is an added layer of safety should you accidentally present items for more than you have in your account, or an inadvertent error causes the account to become overdrawn.

Overdraft coverage may provide certain account holders in “good standing” with the ability to overdraw their personal checking account up to $500 including fees.

If the account has been open at least 90 days and maintained in good standing, defined as A) There is a regular Deposit to the checking account; B) Bringing the account to a positive balance at least once every thirty days or less, and; C) There are no legal orders outstanding on your account. We may, at our sole discretion, pay overdrafts up to the limits mentioned above, including our normal return item or Overdraft coverage charge(s). Whether we pay or return an item, your account will be assessed a fee, either as an Overdraft coverage charge or a return item fee, but you will not be charged both fees.

Overdraft coverage offers additional flexibility and convenience in managing account holder funds and provides peace of mind knowing that items may be paid up to the authorized overdraft limit.

This non-contractual courtesy of paying an overdraft requires no account holder action. No additional agreements need to be signed, and it costs nothing unless the privilege is used – by initiating checks, electronic funds transfers or other payment for more than is on deposit in the account. If you maintain the account in good standing and have need for this “courtesy”, we may, at our sole discretion, pay the item(s) up to the authorized limit, and we will charge the account our normal Non-Sufficient Funds or Overdraft coverage charge for each item that overdraws the account. We will send you a notice each time an overdraft occurs. If you receive a direct deposit of your monthly Social Security payment into your checking account or for any other reason do not want Overdraft coverage eligibility, you must advise us in writing to stop us from paying your overdrafts with these funds. Generally, this will require you to opt-out of the Overdraft coverage Program.

Overdraft coverage allows Associated Healthcare Credit Union to provide a higher level of service to our members by helping to protect your account and reputation when an inadvertent overdraft occurs.

If after reading this notice, you have questions, please contact us at 651-383-4000, or write to:

Associated Healthcare Credit Union
6789 Upper Afton Road
Woodbury, MN 55125

Rev 06/2023