Common use of Average Daily Balance Computation Method Clause in Contracts

Average Daily Balance Computation Method. Dividends are calculated by the average daily balance method which applies a periodic rate to the average daily balance in the Account for the period. The average daily balance is calculated by adding the balance in the Account for each day of the period and dividing that figure by the number of days in the period. The period we use is the monthly statement cycle. Dividends will begin to accrue on the business day you a deposit noncash items (for example, checks) to your Account. If you close your Money Market Savings Account before dividends are paid you will not receive the accrued dividends. During any calendar month, you may not make more than 6 withdrawals or transfers to another Credit Union Account of yours or to a third party by means of a pre-authorized, automatic, or computer transfer, telephonic order or instruction, or by check, draft, debit card, or similar order to a third party transfer or telephone order or instruction. No more than 3 of the 6 transfers may be made by check, draft, ATM/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 a fee as set forth in our Fee Schedule or closure by the Credit Union.