Electronic Funds Transfer Disclosure

Ascend Federal Credit Union is pleased to tell you about rights and responsibilities, yours and ours, when you use any of the Electronic Funds Transfer (EFT) services offered or accepted by us. These rules govern the relationship between Ascend and each person authorized to use any of our electronic funds transfer services. Please read the following carefully and retain this copy with your Ascend records.

EFT Services Available

The following services are offered or accepted by the credit union, and allow you to access your credit union account 24 hours a day.

(a) Automated Teller Machines (ATMs). Use your Ascend ATM card at thousands of ATMs worldwide to:

• Withdraw cash from your savings, checking, and Money Market accounts.

• Make deposits to your savings, checking, and Money Market accounts.

• Make open-end loan advances.

• Make inquiries about your account.

All transactions listed here may not be available at all ATMs. (If you use an ATM that is not affiliated with us, you may be charged a fee by the ATM operator and/or by any national or local network utilized for such a transaction. The ATM surcharge will be debited from your account if you elect to complete the transaction.)

ATM cards are not available for Health Savings Account (HSA) checking accounts.

(b) Simple Touchtone Audio Response (STAR). STAR is the credit union’s touchtone telephone service which allows you to access the following services:

• Change your STAR personal identification number (PIN).

• Check the balance of checking, savings, loans, credit cards, mortgage, certificates, and IRAs.

• Check pending and recent transactions, loan history and credit card transactions.

• Transfer funds between accounts on which you have ownership interest.

• Transfer funds to and from another member on accounts where you have cross account access established.

• Request a check withdrawal.

• Make credit card payments.

• Report a lost or stolen debit or credit card.

• Review or request a stop payment.

• Request a check copy.

• Request a monthly statement.

• Request an IRS form 1099-INT.

(c) Automated Clearing House (ACH) Deposits and Withdrawals. ACH allows you to receive preauthorized deposits to and withdrawals from your credit union accounts. This service allows you to pay or receive recurring payments, subject to certain terms and conditions.

(d) Debit card. The debit card can be used at Visa-Merchant terminals (any terminal by which a merchant electronically verifies the authorization for use of a Visa Debit Card) to purchase goods and services in POS transactions (use of the card to pay a merchant for goods and services at point-of-sale). Use your debit card as an ATM card to easily access your available funds at thousands of ATMs worldwide.

(e) Online Banking. Online banking is your credit union’s Internet account access service. It offers you maximum convenience through the provision of 24-hours-a-day, seven-days-a-week access to your credit union account from the comfort of your home or office via the Internet. The delivery of your transaction information is real-time and accurate. With online banking, you may access the following:

• Transfer funds between your savings, checking, HSA checking, or Line-of-Credit accounts.

• Make account to account transfers, provided you are a joint owner on said accounts.

• Make loan payments on your Credit Union accounts.

• Determine which checks have cleared.

• Verify your account balance.

• Order checks online.

• Make application for consumer, home equity, and mortgage loans.

• Pay bills electronically.

• Receive statements electronically.

(f) Point-of-Purchase Transactions and Accounts Receivable Check Entries. The Credit Union allows electronic check transactions to post to member’s checking accounts.

(g) HSA Debit Card. The HSA debit card can be used at Visa-Merchant terminals (any terminal by which a merchant electronically verifies the authorization for use of a Visa Debit Card) to purchase goods and services in POS transactions (use of the card to pay a merchant for authorized goods and services at point-of-sale).

Card Ownership Termination

All cards remain our property and shall be surrendered immediately to the Credit Union upon request. We may terminate your privilege of using the card and may withhold approval of any transaction at any time without notice to you.

Personal Identification Number (PIN)

Some electronic services require a PIN for access. When a PIN is made available to you to access any credit union service, it is your responsibility to safeguard that information. If a PIN is associated with a card, do not keep your card and PIN in the same place. Try to memorize your PIN and do not reveal it to anyone.

Member Liability

Tell us AT ONCE if you believe your card has been lost or stolen. Contacting us immediately is the best way of keeping your possible losses down. You could lose all the money in your account (plus your maximum overdraft line of credit unless protected by law). If a transaction was made with your card or card number without your permission, and is either a Visa or Interlink transaction, you will have no or only a certain amount of liability for the transaction, unless you were grossly negligent in the handling of your account or card. Your liability for unauthorized use of your card or account will be determined under the following paragraphs for transactions that are not Visa or Interlink transactions, for transactions at ATMs, or if you were grossly negligent in the handling of your account or card.

If you tell us within two (2) business days, you can lose no more than $50 if someone used your card without your permission. If you do NOT tell us within two (2) business days after you learn of the loss or theft of your card or PIN, you could lose as much as $500.

Also, if your statement shows transfers that you did not make, tell us at once. If you do not tell us within sixty (60) days after the statement was mailed to you, you may not get back any money you lost after the sixty (60) days. If a good reason (such as an unexpected circumstance or a hospital stay) kept you from telling us, we may extend the time periods.

For Debit Card Users

In the United States, lost or stolen debit cards should be reported directly to 800-250-9655 if the credit union is closed.

Address and Telephone Numbers

If you believe your card or PIN has been lost or stolen or that someone has transferred or may transfer money from your account without your permission, immediately call: 931-455-5441 or 800-342-3086 or write: Ascend Federal Credit Union P.O. Box 1210 Tullahoma, Tennessee 37388

Charges For Transfers (Fees)

(a) Automated Teller Machines (ATMs) - Refer to Fee Schedule on the enclosed “Rate and Fee Addendum: Deposits.”

(b) Simple Touchtone Audio Response - Refer to Fee Schedule on the enclosed “Rate and Fee Addendum: Deposits.”

(d) Debit Cards - Refer to Fee Schedule on the enclosed “Rate and Fee Addendum: Deposits.”

(e) Online Banking - Refer to Fee Schedule on the enclosed “Rate and Fee Addendum: Deposits.”

(f) Point of Purchase Transactions and Accounts Receivable Check Entries- Refer to Fee Schedule on the enclosed “Rate and Fee Addendum: Deposits.”

(g) Foreign Transaction Fee (Visa card, debit card, HSA debit card, ATM card) - Refer to enclosed fee schedule on the “Rate and Fee Addendum: Deposits.”

The Credit Union reserves the right to establish and maintain service charges and/or transaction fees and may change such fees and charges from time to time.

(If you use an ATM that is not operated by us, you may be charged a fee by the ATM operator and by any national, regional or local network used in processing the transaction. The ATM surcharge will be debited from your account if you elect to complete the transaction.)

Disclosure of Account Information

We may disclose information to third parties about your account or the transfers you make:

(a) When it is necessary for completing transactions; or

(b) In order to verify the existence and condition of your account for a third party, such as a credit bureau or merchant; or

(d) If you give us your permission; or

(e) As required by law.

Documentation of Transfers

You may receive receipts, statements or notices, according to the type of service you use, so you will have a record of your electronic funds transfers. You can get a receipt at the time you make any transfer to or from your account when using an automated teller machine. If you have arranged to have direct deposits made to your account at least once every sixty (60) days from the same person or company, you can call us at 800-342-3086 or 931-455-5441 to find out whether or not the deposit has been made. You will get a monthly account statement unless there are no transfers in a particular month. In any case, you will get the statement at least quarterly.

When using online banking, you will receive a confirmation screen with reference information after every transfer you make. You may save or print this information for your records. Your monthly statement will show all electronic fund transfers.

Business Days of Credit Union

Our business days for purposes of this disclosure are Monday through Friday. Saturday, Sunday, and holidays are not business days and are considered part of the following business day.

Limitations on Transfers

The following limitations for dollar amount will apply when using the services listed above. For security reasons, the number of ATM, debit card and HSA debit card transactions within a 24-hour period has been limited.

(a) Dollar Amounts:

• ATM Transactions – You may withdraw up to $500 or the available balance in your account, whichever is less, from our ATMs each 24-hour period.

• Debit Card, Go Debit Card and HSA Debit Card – Purchases made with your card are limited to $5,000 or the available balance in your checking account, whichever is less, each 24-hour period. With your debit card, you may withdraw up to $500 or the available balance in your checking account, whichever is less, from an ATM each 24- hour period.

• Venture Debit Card – Purchases made with your card are limited to $1,000 or the available balance in your checking account, whichever is less, each 24-hour period. With your Venture Debit Card, you may withdraw up to $300 or the available balance in your checking account, whichever is less, from an ATM each 24-hour period.

(b) Payment Transfers via Online Bill Payment:

Deductions made to transact payments using online bill payment are from checking accounts only.

Right to Stop Payment

If you have told us in advance to make regular payments out of your account, you can stop any of these payments. Here is how:

Call us at 800-342-3086 or 931-455-5441 or write us at P.O. Box 1210, Tullahoma, Tennessee 37388, in time for us to receive your request three business days or more before the payment is scheduled to be made. If the request is made verbally, we may also require your request in writing and our receipt of said request within 14 days after your initial verbal notice. (You will be charged a fee as disclosed in the fee schedule on the “Rate and Fee Addendum: Deposits” per request for each stop-payment order you give.)

If the amount of these regular payments will vary, we must be notified of the amount of the payment at least 10 days prior to the date of each payment. No stop payment request is guaranteed.

With online bill payment, an account holder may cancel a pending bill payment by going to the View Payments screen, selecting the payment to be canceled, and clicking on Delete Payment. Payments may be canceled only when they are found on the View Payments screen.

Once the transaction is completed, the amount is debited from the account, and the transaction may be seen on Bill Payment History.

Our Liability if We Fail to Make Certain Transfers

Our failure to complete a transfer on time or in the correct amount, to or from your account, when you have properly instructed us to do so, may result in us being liable to you for damages subject to certain requirements. There are, however, some exceptions to our liability. We will not be liable for instance:

• If, through no fault of ours, you do not have enough money in your account to make the transfer;

• If the transfer would go over the credit limit on your personal line of credit loan;

• If the terminal or system was not working properly, and you knew of the breakdown before you began the transfer;

• If circumstances beyond our control (such as fire, flood, or equipment malfunction) prevent the transfer, despite reasonable precautions that we have taken;

• If the automated teller machine where you are making the transfer does not have enough cash;

• If we have identified you as a credit risk and have chosen to terminate your subscription to services;

• With online bill payment, if you do not obtain confirmation at the time you initiate a payment and/or transfer;

• With online bill payment, if you have not provided us with the correct information for those merchants to whom you wish to direct payment or accounts to which you wish to make the transfer;

• With online bill payment, if the merchant mishandles or delays handling payments sent by us; or

• There may be other exceptions not stated in this disclosure.

You may recover only your actual damages if our failure to make a transfer resulted from a bona fide error, notwithstanding the maintenance of procedures reasonably adopted to avoid such error. (With online bill payment, maximum reimbursement cost is disclosed in the fee schedule on the “Rate and Fee Addendum: Deposits.”)

Limitations on Credit Union’s Responsibilities

The credit union is not liable for any personal injury, tangible, property, or other damage suffered or incurred by you through use or attempted use by you of the card at any automated teller machine.

In Case of Errors or Questions About Your Electronic Transfers

Telephone us at 800-342-3086 or 931-455-5441, or write us at P.O. Box 1210, Tullahoma, Tennessee 37388, immediately if you think your statement or receipt is wrong, or if you need more information about a transfer listed on the statement or receipt. You must notify us no later than 60 days after we send the first statement on which the problem or error appears. We will require the following information:

(a) Your name and account number.

(b) A description of the error or the transfer you are unsure about, and a clear explanation of why you believe it is an error, or why you need more information.

If you notify us verbally, we may require that you send us your complaint or question in writing within 10 business days.

We will tell you the results of our investigation within 10 business days (20 business days instead of 10 if you give notice of an error within 30 days after you make the first deposit to your account) after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 business days (90 business days instead of 45 if you give notice of an error within 30 days after you make the first deposit to your account, notice of an error involving a point of sale transaction, or notice of an error involving a transaction initiated outside the U.S., its possessions and territories) to investigate your complaint or question unless otherwise mandated by law. If we decide to do this, we will credit your account within 10 business days (20 business days instead of 10 if you give notice of an error within 30 days after you make the first deposit to your account) for the amount you think is in error, so that you will have use of the money during the time it takes us to complete our investigation. (If the error you assert is an unauthorized Visa transaction, other than a cash disbursement at an ATM, we will credit your account within 5 business days or sooner unless we determine that the circumstances or your account history warrant a delay, in which case you will receive credit within 10 business days.) 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.