Time Deposit Account Information
General Information
You agree to pay the fees and charges listed in our Account Disclosures, Terms, Conditions, and Miscellaneous Fees and Charges Schedule. A copy will be provided to you at the earlier of your request or at the time of account opening. These accounts are available to personal accounts only.
FENB offers time deposit accounts with
terms of 15 days to 1-1/2 years. Our highest interest yielding FDIC
insured time deposits offer a fixed rate of interest that is guaranteed
for the term you select when the funds are held to maturity. Minimum
opening balance is $1,000. Certain early withdrawal penalties apply
on funds withdrawn prior to maturity.
Rate information: The interest rate and
annual percentage yield on your account will be confirmed at the time
of account opening.
Compounding frequency: Interest is not compounded
on this account.
Crediting frequency: Interest will be credited to your account at maturity.
Minimum balance to obtain
the annual percentage yield disclosed: You must maintain a minimum balance of
$1,000.00 in the account each day to obtain the disclosed annual percentage
yield.
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
non-cash deposits: Interest begins to accrue at the same business day we receive your
deposit of noncash items (for example, checks).
Transaction limitations:
You may not make any deposits into your account before maturity. You may make withdrawals of principal from your account before maturity. Principal withdrawn before maturity is included in the amount subject to early withdrawal penalty. You cannot withdraw interest from your account before maturity.
- If your account has an original maturity of 7 to
31 days, the greatest of:
- 1. All of the interest earned on the amount withdrawn from the most recent date of deposit, date of maturity, or date on which the notice was given; or
- 2. All interest that could have been earned on the amount withdrawn during a period equal to one-half the maturity period or required notice period; or
- 3. Seven days' interest on the amount withdrawn.
- If your account has an original maturity of 32
days to one year, the fee we may impose will equal one month interest
on the amount withdrawn subject to penalty.
- If your account has an original maturity of more
than one year, the fee we may impose will equal three months interest
on the amount 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 withdraw penalty. Other exceptions may also apply, for example, if this is part of IRA or other tax-deferred savings plan.
Automatic renewable time account: This account will automatically renew at maturity. You may prevent renewal if you withdraw the funds in the account at maturity (or within the specified grace period for teh account, if any) or we receive written notice from you within the grace period. If any, we can prevent renewal if we mail motice to you at least 30 calendar days before maturity. If either you or we prevent renewal, interest will not accrue after final maturity.
Each renewal term will be the same as the original term, beginning on teh maturity date. The interest rate will be the same we offer on new time deposits on the maturity date which have the same term, minimun balance (if any) and other features as the original time deposit.
You will have ten calendar days after maturity to withdraw the funds from an automatically renewable time account without a penalty.
Triple Option Time Deposit Account
Rate information: The interest rate and
annual percentage yield on your account will be confirmed at the time
of account opening.
Term: One (1) year.
Compounding frequency: Interest is not compounded on this
account.
Crediting frequency: Interest will be credited to your account at maturity.
Minimum balance to open
the account:
You must deposit at least $10,000.00 to open this account.
Minimum balance to obtain
the annual percentage yield disclosed: You must maintain a minimum balance of $10,000.00 in
the account each day to obtain the disclosed Annual Percentage Yield.
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
non-cash deposits:
Interest begins to accrue on the same business day we receive your deposit of noncash items (for example, checks).
Transaction limitations:
You may make additional deposits into your account before maturity.
The additional deposits must be in a minimum amount of at least $1,000.
You may make withdrawals of principal from your account before maturity,
but such withdrawals will result in loss of earnings and reduction of
the annual percentage yield and may result in early withdrawal penalties.
See the "Early withdrawal penalties" section below. If your
account principal balance is reduced at any time to any amount that
is below the minimum balance required to open
the account, your account will be considered closed.
Early withdrawal penalties:
You may make one (1) withdrawal from your account without early withdrawal
penalties under certain circumstances. We may impose an early withdrawal
penalty if (i) you withdraw any funds from your account within 90 days
after the funds are deposited, (ii) you withdraw funds from your account
resulting in your account balance being reduced to less than 50% of
the highest principal balance of funds that have been in your account
for greater than 90 days at any time between the opening date and the
date of withdrawal, (iii) you make more than one (1) withdrawal from
your account between the opening date and the maturity date, or (iv)
you make a withdrawal from your account after exercising the One-time
Rate Adjustment Feature described below. Your early withdrawal penalty
will be one month's interest which would otherwise have been earned
on the amount withdrawn if that amount had remained on deposit until
maturity.
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 withdraw penalty. Other exceptions may also apply, for example, if this is part of IRA or other tax-deferred savings plan.
One-time Rate Adjustment
Feature: You
may exercise One-time Rate Adjustment feature prior to the maturity
date by notifying us in any of our branch location. When we receive
your request that you are exercising the One-time Rate Adjustment Feature,
we will adjust your account within one business day to reflect the exercise
of this feature (the "Effective Date"). The interest rate
on your account will be adjusted as of the Effective Date to our current
interest rate for one-year time deposit accounts opened on the Effective
Date. After the Effective Date, you will not be permitted to make any
additional deposits or penalty-free withdrawals to your account until
the new maturity date.
Automatically renewable time account:This account will automatically renew at maturity. You may prevent renewal if you withdraw the funds in the account at maturity (or within the specified grace period for teh account, if any) or we receive written notice from you within the grace period. If any, we can prevent renewal if we mail motice to you at least 30 calendar days before maturity. If either you or we prevent renewal, interest will not accrue after final maturity.
Each renewal term will be the same as the original term, beginning on teh maturity date. The interest rate will be the same we offer on new time deposits on the maturity date which have the same term, minimun balance (if any) and other features as the original time deposit.You will have ten calendar days after maturity to withdraw the funds without a penalty.
Rate information: The interest rate and
annual percentage yield on your account will be confirmed in the contract.
This rate will remain the same for the term of your selected contract
unless you do not make a required monthly deposit. See "Promise
to deposit" for details.
Term: The minimum available term is 1 year
and the maximum available term is 5 years.
Compounding frequency
and crediting frequency:
Interest on your account will not be compounded. Interest will be calculated
on a daily simple interest basis. Interest will be credited to your
account on the contract maturity date.
Minimum opening deposit:
Your minimum opening deposit is your Monthly Deposit Amount as confirmed
in contract.
Minimum target amount: The minimum Target Amount is $2,500.
Target Amount increases must be in increments of $2,500 for Target Amount
under $10,000 or must be in increments of $5,000 for Target Amount of
$10,000 and up.
Promise to deposit: You promise to deposit the full Monthly
Deposit Amount, or make funds available for that amount in your designated
account, on the Designated Monthly Deposit Date for each and every month
until the Contract Maturity Date. If the Bank is unable to deduct the
full Monthly Deposit Amount from your designated account for two consecutive
months, the interest accrued on your current balance will be credited
to your account on the next Designated Monthly Deposit Date and the
interest rate will be lowered to a fixed 1.00% rate. The 1.00% interest
rate will be effective from the next Designated Monthly Deposit Date
through the Contract Maturity Date, resulting in an APY from that date
forward of 1.00%.
Deposit requirements
to obtain the annual percentage yield disclosed: You must deposit the full Monthly Deposit Amount to
the account, or make funds available your designated account, on the
Designated Monthly Deposit Date every month to receive the full target
amount at maturity. If your Designated Monthly Deposit Date falls on
a non-banking day (Saturdays, Sundays, and federal holidays), the deduction
of funds will take place on the next banking day. Since the interest
is calculated on the basis of deposits in the amount and on the date
they are actually received by us, if you make a deposit, or make funds
available, after the Designated Monthly Deposit Date, the pay-off amount
at maturity may be different from the original Target Amount. There
may be differences between the pay-off amount at maturity and the Target
Amount, due to rounding of interest calculations. Your interest rate
will not change if your deposit is received, or is available, after
the Designated Monthly Deposit Date unless you fail to make two consecutive
monthly deposits, in which case your interest rate will change as described
in "Promise to Deposit" above. If your deposit item (or ACH)
is rejected by the other institution for any reason, a service charge
of $10 will be posted to your FENB "FUTURE VALUE" TIME DEPOSIT
ACCOUNT, and the actual APY may be different from the APY stated in
this disclosure.
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
non-cash deposits:
Interest begins to accrue on the same business day we receive your deposit.
Transaction limitations:
You cannot make any withdrawal from your account before the Contract
Maturity Date. However, there are certain circumstances, such as the
death or incompetence of an owner, when we may allow early withdrawal
that is subject to an early withdrawal penalty.
Early withdrawal penalty:
If you close your account before the Contract Maturity Date for a 12-Month
term, your account will be charged a penalty equal to one month of simple
interest, based on the current balance of the account at time of withdrawal.
If you close your account before the Contract Maturity Date for a 24-Month
term and above, your account will be charged a penalty equal to three
months of simple interest, based on the current balance of the account
at the time of withdrawal. This penalty may cause forfeiture of
accrued interest that has not yet been credited to your account and
may result in a reduction of principal and earnings on your account.
The contracted Annual Percentage Yield shown above for your account
assumes that interest remains on deposit until maturity, and an early
withdrawal will reduce earnings.
Renewal: This account will not renew automatically
at maturity. No interest will accrue after the Contract Maturity Date.
You must give us instructions for disbursement of the pay-off amount
at the time of maturity.
Account type limitations:
Certain account types may not be eligible for this product, including
Individual Retirement Accounts (IRAs) and other qualified plans.
Tax reporting: Since interest is paid at maturity,
the Bank will issue a 1099-OID for tax purposes at every year-end.
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