This disclosure provides important information about your commercial checking account (“Account”) with Erebor Bank, NA (“Bank,” “we,” “us,” or “our”) and is incorporated into your Commercial Deposit Account Agreement. Please read it carefully and keep it for your records.
Interest
Interest Rate Information
The interest rate for your Account will be disclosed to you prior to opening your Account. The interest rate and APY may change at any time, including daily, without prior notice. The interest rate will be based on a fixed rate, a variable rate based on an index equal to the effective federal funds rate (“EFFR”), or a tiered rate structure. If the EFFR becomes unavailable or is no longer published, we may select a substitute index or other method for determining the interest rate, in our sole discretion.
Compounding and Crediting
Interest will be compounded monthly and will be credited into this Account on the last day of each month.
Computation Method – Daily Balance
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 Noncash Deposits
Interest does not begin to accrue on non-cash deposits until we determine that the funds have been received and credited to your Account as described below.
ACH Transfers and Wire Transfers
For deposits made by ACH transfer or wire transfer, interest begins to accrue no earlier than the Business Day on which we receive final credit for the deposit.
Internal Transfers
For transfers completed between accounts on our systems, interest begins to accrue on the calendar day on which the transfer is completed, as determined by our systems.
Incoming Stablecoin Conversions
If you have entered into a Stablecoin Custody Agreement and an Incoming Stablecoin Conversion has been completed, interest begins to accrue no earlier than the calendar day on which we determine funds from your Stablecoin Custody Account have been credited to your Account.
We may delay the accrual of interest to the extent permitted by applicable law, including where any deposit or transfer is subject to reversal, return, or delay in settlement.
Minimum Balance Requirements
No minimum balance is required to open or maintain this Account.
Effect of Closing an Account
If your Account is closed for any reason before interest is credited, subject to applicable law, any accrued but uncredited interest will be forfeited and will not be paid.
Deposit Limitations
You may make an unlimited number of deposits into your Account, subject to the limitations described in this section and any other limitations we may establish from time to time. We do not accept deposits made by cash, check, money order, debit or credit card, automated teller machine (ATM), mobile check deposit, third-party payment application, or other paper-based, card-based, or similar instruments. Deposits may be made only by ACH transfer, wire transfer, internal transfer between accounts with us, or Stablecoin Conversion (if applicable).
We may, in our sole discretion and without prior notice, reject, refuse, return, or reverse any deposit or attempted deposit, including any deposit that is not made through an approved method or that we determine to be unauthorized, irregular, or otherwise unacceptable. If we accept a deposit that is not made through an approved method, we may do so in our sole discretion and without prior notice. Any such deposit may be treated as provisional, subject to verification, collection, and final settlement, and may be rejected, returned, or reversed at any time. Our acceptance of any such deposit does not obligate us to accept similar deposits in the future and does not constitute a waiver of these limitations or any other rights.
All deposits are subject to verification, collection, and final settlement. We may delay availability, delay or refuse credit, or reverse any deposit to the extent permitted by applicable law, including where we do not receive final credit or where a deposit is subject to return, reversal, or adjustment.
Withdrawal Limitations
You may make an unlimited number of withdrawals from your Account, subject to the limitations described in this section and any other limitations we may establish from time to time.
We do not permit withdrawals by check, cash, debit card, automated teller machine (ATM), external bill payment service, third-party payment application, or other similar methods. We do not issue checks, provide ATM or debit card access, or permit the purchase of money orders, cashier’s checks, or other similar monetary instruments from this Account. Withdrawals may be made only by wire transfer, ACH transfer (including authorized third-party ACH debits and credits), internal transfer to another account with us, or Stablecoin Conversion (if applicable).
We may, in our sole discretion and without prior notice, delay, limit, refuse, reject, or reverse any withdrawal or transfer request, including any request that is not made through an approved method or that we determine to be unauthorized, irregular, or otherwise unacceptable. If we permit a withdrawal or transfer that is not made through an approved method, we may do so in our sole discretion and without prior notice. Any such transaction may be delayed, limited, or reversed to the extent permitted by applicable law. Our decision to permit any such transaction does not obligate us to permit similar transactions in the future and does not constitute a waiver of these limitations or any other rights.
All withdrawal and transfer requests are subject to verification, authentication, and applicable processing and security procedures. We may delay or refuse to process any withdrawal or transfer to the extent permitted by applicable law, including where we believe such action is necessary to comply with applicable law, manage risk, prevent fraud, or address operational or security concerns.
Fees
Any account maintenance fees or transaction fees applicable to your Account will be disclosed to you prior to opening your Account.
We may, however, establish fees or other charges by separate agreement with you, including in connection with specialized services, products, or features. Any such fees will be disclosed to you and agreed upon separately and may supplement or supersede the terms of this disclosure.
We reserve the right to introduce or modify fees for this Account in the future to the extent permitted by applicable law. We will provide any required notice of such changes in accordance with applicable law and the terms of your Commercial Deposit Account Agreement.
Miscellaneous
Defined Terms
Capitalized terms not defined in this disclosure have the meanings set forth in your Commercial Deposit Account Agreement.
Determinations and Calculations
Any determinations, calculations, or decisions we make under this disclosure, including with respect to interest accrual, balances, and transaction processing, will be made by us in our sole discretion, acting reasonably where required by applicable law, and will be final and binding.
Changes
We may change the terms of this disclosure at any time to the extent permitted by applicable law. We will provide any required notice of such changes in accordance with applicable law and the terms of your Commercial Deposit Account Agreement.