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 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: An account in the name of one person.

JOINT ACCOUNT: An account in the name of two or more persons. Each of you intends that when you die, the balance in the account (subject to any previous pledge to which you 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.

PAY-ON-DEATH ACCOUNT: If two or more of you create this type of account, you own the account jointly with survivorship. Beneficiaries cannot withdraw funds unless: (1) all people creating the account die, and (2) the beneficiary is then living. If two or more beneficiaries are named and survive the death of all persons creating the account, beneficiaries will own this account in equal shares, without rights of survivorship. The person(s) creating either of these account types may: (1) change beneficiaries, (2) change account types, and/or (3) withdraw all or part of the account funds at any time.

ACCOUNTS FOR MINORS: We may require any account established by a minor to be a joint account with an owner who has reached the age of majority under state law and who shall be jointly and severally liable to us for any returned item, overdraft, or unpaid charges or amounts on such account. We may pay funds directly to the minor without regard to his or her minority. Unless a guardian or parent is an account owner, the guardian or parent shall not have any account access rights. We have no duty to inquire about the use or purpose of any transaction. We will not change the account status when the minor reaches the age of majority unless the change is authorized in writing by all account owners.

UNIFORM TRANSFERS/GIFTS TO MINORS ACCOUNT: A Uniform Transfers/Gifts to Minors Account (UTMA/UGMA) is an individual account created by a custodian who deposits funds as an irrevocable gift to a minor. The minor to whom the gift is made is the beneficiary of the custodial property in the account. The custodian has possession and control of the account for the exclusive right and benefit of the minor and, barring a court order otherwise, is the only party authorized to make deposits, withdrawals, or close the account. We have no duty to inquire about the use or purpose of any transaction. If the custodian dies, we may suspend the account until we receive instructions from any person authorized by law to withdraw funds or a court order authorizing withdrawal.

FIDUCIARY ACCOUNTS: A fiduciary account is one opened by an executor, administrator, personal representative, trustee, conservator, or other fiduciary in such capacity authorized under a will, court order, or trust instrument establishing the fiduciary relationship or a representative payee authorized by the U.S. Social Security Administration (“fiduciary”). The account owner is the estate, conservatorship, trust or Social Security Administration benefit recipient as the sole owner of this account. The fiduciary is authorized to act on behalf of the account owner but has no ownership interest. The fiduciary is the only authorized party to transact on this account. The fiduciary is expressly authorized to endorse all items payable to or owned by the account owner for deposit with or collection by us, and to execute such other agreements and to perform any other account transaction under the agreement.

BUSINESS ACCOUNTS: Earnings in the form of interest, dividends, or credit will be paid only on collected funds, unless otherwise provided by law or our policy. We may require the governing body of the legal entity opening the account to give us separate authorization until we actually receive written notice of a change in the governing body of the legal 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 item number, date, amount of the item, and the payee.

You may put a 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 may be made only by the person who signed the original stop payment form. If an oral stop payment order is received, it lapses after 14 days unless confirmed in writing.

TELEPHONE TRANSFERS: A telephone transfer of funds from one account to another account with us, if otherwise arranged for or permitted, may be made by the same person(s) and under the same condition(s) generally applicable to withdrawals made in writing.

AMENDMENTS AND TERMINATION: We may change our bylaws and any terms 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 your account if your membership with 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 right to member services if you violate the terms of this agreement. You must keep us always informed of your current address. Notice from us to any one of you is notice to all of you.

STATEMENTS: You must examine your statement of account with “reasonable promptness.” If you discover (or reasonably should have discovered) any unauthorized transactions, 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 signature, alterations, forgeries, or any other error 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.

ACCOUNT TRANSFER: This account may not be transferred or assigned without prior written consent. In the event of a member’s death, the surviving spouse may transfer their name onto the account.

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.

RIGHT TO REPAYMENT OF INDEBTEDNESS: You 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 that is due for which we properly accelerate under the note.

PLEDGE/STATUTORY LIEN: Unless prohibited by law, you pledge and grant as security for all obligations you may have now or in future, except obligations secured by your principal residence, all shares and dividends and all deposits and interest, if any, in all accounts you have with us now and in the future. If you pledge a specific dollar amount in your account(s) for a loan, we will freeze funds in your account(s) to the extent of the outstanding balance of the loan or, if greater, the amount of the pledge if the loan is a revolving loan. Otherwise, funds in your pledged account(s) may be withdrawn unless you are in default. Section 107(11) of the Federal Credit Union Act (12 U.S.C. § 1757(11)) gives us a statutory lien on all shares and dividends and all deposits and interest, if any, in accounts you have with us now and in the future. Except as limited by applicable law, the statutory lien gives us the right to apply the balance of all your accounts to any obligation on which are in default. After you are in default, we may exercise our statutory lien rights without further notice to you.

Your pledge and our statutory lien rights will allow us to apply the funds in your account(s) to what you owe when you are in default, except as limited by federal or state law. If we do not apply the funds in your account(s) to satisfy your obligation, we may place an administrative freeze on your account(s) in order to protect our statutory lien rights and may apply the funds in your account(s) to the amount you owe us at a later time. The statutory lien and your pledge do not apply to (a) any Individual Retirement Account or any other account that would lose special tax treatment under federal or state law if given as security 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 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 rights to repayment.

By our not enforcing our right to apply funds in your account to your obligations that are in default, we do not waive our right to enforce these rights at a later time. This provision shall not be interpreted to restrict or limit remedies available to us, including any and all remedies provided by applicable statutes, contractual provisions or equitable principles.

RESTRICTABLE LEGENDS: We are not required to honor any restrictive legend on checks you write unless we have agreed in writing to the restrictions. Examples of restrictive legends are “must be presented within 90 days” or “not valid for more than $1,000.00.”

AVAILABLE BALANCE DEFINITION: We authorize and pay transactions using the available balance in your account. We may place a hold on deposited funds in accordance with our Funds Availability Policy, which will reduce the amount in your available balance. The available balance for checks, ACH items, and recurring debit card transactions is comprised of the ledger balance, less any holds on deposited funds and any debit card holds, plus the amount of any Courtesy Pay Limit and any available Overdraft Line of Credit.

If you have not given consent for the authorization and payment of overdrafts caused by ATM and everyday debit card transactions, the available balance for these transactions is the ledger balance, less any holds on deposited funds and any debit card holds, plus any available Overdraft Line of Credit, but does NOT include the Courtesy Pay Limit. If you have given us your prior consent to authorize and pay overdrafts for ATM and everyday debit card transactions, the Courtesy Pay Limit is included in the available balance for authorizing and paying these transactions.

We will place a hold on your account for any authorized debit card transaction until the transaction settles (usually within two business days) or as permitted by payment system rules. In some cases, the hold may exceed the amount of the transaction. When the hold ends, the funds will be added to the available balance in your account. If your account is overdrawn after the held funds are added to the available balance and the transaction is posted to the available balance, an Overdraft Fee may be assessed.

PAYMENT ORDER OF ITEMS: The law permits us to pay items (such as checks or drafts) drawn on our account in any order. To assist you in handling your account with us, we are providing you with the following information regarding how we process the items that you write.

When processing items drawn on your account, our policy is to pay smallest to biggest. The order in which items are paid is important if there is not enough money in your account to pay all of the items that are presented. There is no policy that is favorable in every instance. If an item is presented without sufficient funds in your account to pay it, we may, at our discretion, pay the item (creating an overdraft) or return the item (NSF). The amounts of the overdraft and NSF fees are disclosed elsewhere.

We encourage you to make careful records and practice good account management. This will help you to avoid writing checks or drafts without sufficient funds incurring the resulting fees.

We authorize and pay transactions using the available balance in your account. We may place a hold on deposited funds in accordance with our Funds Availability Disclosure, which will reduce the amount in your available balance. The available balance for checks, ACH items, and recurring debit card transactions is comprised of the ledger balance, less any holds on deposited funds and any debit card holds, plus the amount of any Courtesy Pay Limit and any available Overdraft Protection. If you have not given consent for the authorization and payment of overdrafts caused by ATM and everyday debit card transactions, the available balance for these transactions is the ledger balance, less any holds on deposited funds and any debit card holds, plus any available Overdraft Protection, but does NOT include the Courtesy Pay Limit. If you have given us your prior consent to authorize and pay overdrafts for ATM and everyday debit card transactions, the Courtesy Pay Limit is included in the available balance for authorizing and paying these transactions.

We will place a hold on your account for any authorized debit card transaction until the transaction settles (usually within two business days) or as permitted by payment system rules. In some cases, the hold may exceed the amount of the transaction. When the hold ends, the funds will be added to the available balance in your account. If your account is overdrawn after the funds held are added to the available balance and the transaction is posted to the available balance, a Courtesy Pay Fee may be assessed.

An overdrawn balance must be repaid within 32 days. We may not pay items under your Courtesy Pay Limit if you do not maintain your account in good standing by bringing your account to a positive balance within every thirty-two (32) day period for a minimum of 24 hours, if you default on any loan or other obligation to Alpine Federal Credit Union or if your account is subject to any legal or administrative order or levy.

NSF FEES: We assess NSF fees based on the available balance rather than the actual balance. Check holds and debit card preauthorization holds are part of the actual balance but not included as part of the available balance. NSF fees are calculated on the available balance. If an item is returned for insufficient funds and the same item is later re-presented for payment by the merchant or payee, each re-presentment is treated as a separate transaction for purposes of assessing NSF fees. This means you may be charged more than one NSF fee in connection with the same underlying item if it is presented to us multiple times. We do not control how many times a merchant or payee re-presents an item. To avoid additional NSF fees on a returned item, you should contact the merchant or payee directly to make alternative payment arrangements.

If, on re-presentment of the item, the available balance in your account is sufficient to cover the item we may pay the item, and, if payment causes an overdraft, charge a Courtesy Pay Fee.

PLEDGES: Unless we agree otherwise in writing, each owner of this account may pledge all or 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.

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 Fed-wire is used, and you identify by name and number the beneficiary financial institution, intermediary financial institution or beneficiary, we and every receiving or beneficiary financial institution may rely on the identifying number to make the 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 (1) of the Uniform Commercial Code. If we do not receive such, 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 credit to 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.

MEMBERSHIP EXPULSION POLICY: Alpine Federal Credit Union may terminate your membership in one of three ways, as described in Article XIV of our Bylaws. (1) By a two-thirds vote of the members present at a special meeting called for that purpose, after you have been given an opportunity to be heard. (2) Under a non-participation policy adopted by the board of directors and provided to each member, where membership may be terminated based on your failure to participate in the affairs of the credit union. (3) By a two-thirds vote of a quorum of the board of directors for cause, in accordance with the procedures set forth below.

For purposes of this policy, “cause” means: (A) a substantial or repeated violation of this Agreement or any other membership or account agreement you have with Alpine Federal Credit Union; (B) a substantial or repeated disruption, including dangerous or abusive behavior, to the operations of the credit union; or (C) fraud, attempted fraud, or conviction of other illegal conduct in relation to Alpine Federal Credit Union, including in connection with our employees conducting business on behalf of us. “Dangerous or abusive behavior” includes violence, intimidation, physical threats, harassment, or physical or verbal abuse of officials, employees, members, or agents of the credit union, when (a) on credit union premises or otherwise related to credit union activities or by telephone, mail, email, or other electronic means; (b) when it causes or threatens damage to credit union property; or (c) involving unauthorized use or access of credit union property. Expressions of frustration through elevated tone, statements of intent to seek lawful recourse, or repeated routine interactions with employees do not, by themselves, constitute dangerous or abusive behavior. You will not be expelled in retaliation for complaints made to the NCUA or any other regulator, and current or former employees will not be expelled for protected whistleblower activity. If we are considering expelling you for repeated non-substantial violations or repeated non-substantial disruptions, we will provide you with written notice of the violation or conduct at least once before any notice of expulsion, and the violation or conduct must be repeated within two years after that warning notice for it to support expulsion.

Notice and hearing procedures (for-cause board expulsion). Before the board of directors’ vote to expel you for cause, we will provide you with a written notice of the proposed expulsion. The notice will include relevant dates, sufficient detail for you to understand the grounds for expulsion, your right to request a hearing, instructions for how to request a hearing, the procedures for the hearing, the consequence of not requesting one, and (where applicable) a general statement on the effect of expulsion on your accounts and loans. The notice will be delivered in person, by mail to your address on file, or, if you have elected to receive electronic communications from us, electronically. It is your responsibility to keep your contact information current and to open and read notices from us.

You have 60 calendar days from the date you receive the notice to request a hearing or to submit a written response to the board. If you do not request a hearing or submit a written response within that period, your membership will terminate at the end of the 60-day period. You are not entitled to attend a hearing in person, but you will be given a meaningful opportunity to present your case orally to the board through a videoconference hearing. If you cannot participate by video conference, we may offer a telephonic hearing. You may also choose to submit a written statement to the board instead of an oral hearing. At any hearing, the board may not raise any rationale for expulsion that was not included in the notice to you. After a hearing, the board will hold a vote on the expulsion within 30 calendar days. If you are expelled (whether by the 60-day automatic-expulsion provision or by board vote following a hearing), we will provide written notice of the expulsion in person, by mail, or electronically (for members who have elected electronic communications). The notice will explain the effect of the expulsion, including account access and any deductions related to amounts owed.

Complaints. If you have a complaint related to your pending expulsion or expulsion that cannot be resolved with the credit union, you may submit it to the NCUA’s Consumer Assistance Center.

REINSTATEMENT: If you are expelled, you may request reinstatement of your membership. We may act on a reinstatement request through a majority vote of a quorum of the board of directors, a majority vote of members present at a special meeting, or a majority vote of members at the annual meeting (provided the annual meeting occurs within 90 days of your reinstatement request). We are required to act on only your first reinstatement request following expulsion.

Effect of expulsion or withdrawal. Expulsion or withdrawal from membership does not relieve you of any liability to the credit union, and we may demand immediate repayment of any amounts you owe us after expulsion, subject to applicable contract terms and conditions. We will pay all of your shares to you upon expulsion or withdrawal less any amounts due to us.

Limitation of services (member not in good standing). Apart from expulsion, the board of directors may adopt a policy limiting credit union services for members not in good standing — that is, members who have engaged in any of the conduct described above as “cause.” If the board limits any of your services under such a policy, we will notify you of which accounts or services have been affected. Subject to any limitation-of-services policy, you retain the right to attend, participate in, and vote at annual and special meetings of members and to maintain a share account.

For additional information on expulsion and a copy of our expulsion policy, Article XIV of our Bylaws.

BINDING ARBITRATION AND CLASS ACTION WAIVER: Either you or we may elect, without the other’s consent, to require that any dispute between you and us, except for claims excluded below, will be resolved by binding arbitration. This Agreement is subject to the provisions of the Federal Arbitration Act (9 U.S.C. §§ 1 et seq.) and, to the extent consistent therewith, the Utah Uniform Arbitration Act. This includes claims based on contract, tort, equity, statute, or otherwise, as well as claims regarding the scope and enforceability of this provision.

Disputes include not only claims made directly by you but also made by anyone connected with you or claiming through you, such as a joint account holder, account beneficiary, employee, representative, agent, predecessor or successor, heir, assignee, or trustee in bankruptcy. The only exceptions to arbitration of claims are that both you and we have the right to pursue a claim in state court, instead of arbitration, for claims related to our collection of any negative balance or amounts you owe us including but not limited to fraud, counterfeit items, unpaid loans or lines of credit, and other unpaid obligations.

Any Arbitration of a claim will be on an individual basis. You are waiving the right to participate as a class representative or class member in a class action lawsuit. Unless you and we both agree, claims of two or more persons may not be joined, consolidated, or otherwise brought together in the same arbitration unless those persons are joint account holders or beneficiaries on your account and/or related accounts, or parties to a single transaction or related transaction.