Certificate of Deposit Rates

Amount of Time Interest Rate In Effect: Until Maturity
Interest Compounded: Continuously
Interest Credited: Monthly

The Following Information Applies to the Certificate of Deposit Accounts Listed Above – This represents your Deposit Account Disclosure and Schedule of Interest for Certificate of Deposit Accounts:

I. Interest Rate on Certificates:
The interest rate in effect on the day your CD is opened will remain in effect until the maturity date of the CD, unless a withdrawal is made that brings your balance below the $ 5.00 minimum.
II. Effect of Interest Withdrawal:
The annual percentage yield assumes interest remains on deposit until maturity.  A withdrawal will reduce earnings.
III. Minimum Balance Requirements:
You must deposit  $ 500.00 to open this account. You must maintain the minimum balance shown above in your account each day to earn the annual percentage yield disclosed.
IV. Interest Crediting and Compounding:
Interest for your account will be compounded continuously and credited monthly.
V. Accrual of Interest on Noncash Items:
Interest begins to accrue on the business day you deposit noncash items, (for example, checks).
VI. Balance Computation Method:
We use the daily balance method to calculate interest on your account.  This applies a daily periodic rate to the principal in your account each day.
VII.  Transaction Limitations and Early Withdrawal Penalties:
You may not make withdrawals of principal from your account before the maturity date without our consent.  Except in the case of death or a court’s declaration of your incompetence, if you withdraw any principal before the maturity date, a penalty will be charged to your account equal to (3) months interest for certificate(s) with a term of 91 days to (1) year, and (6) months interest for certificate(s) with a term of more than (1) year.  You may not make additional deposits into your account during the term of the account.
Special Rules for 7 Year Certificate(s):  If you withdraw any principal before the maturity date, a penalty will be charged to your account equal to (1) year’s interest. This disclosure supersedes any information that may be addressed in the Deposit Account Contract and Schedule of Charges if there is a conflict of information.        ** IRA accounts are not eligible to participate. **
VIII.  Renewal Policy:
Your account will be automatically renewed at maturity.  You have a grace period of (7) calendar days after the maturity date to withdraw the funds without being charged a penalty or to make deposits to the account.  Upon maturity, any interest paid during the term of the CD will be included as principal of the renewed CD if not withdrawn during the grace period.
Special Rules for 9 Month Certificate(s):  Following the (7) day grace period, this account will be automatically renewed as of the maturity date for a term and rate we are then paying on six-month Certificate(s). 
Special Rules for 18 month Certificate(s):  Following the (7) day grace period, this account will be automatically renewed as of the maturity date for a term and rate we are then paying on 1-year Certificate(s).
IX.  Essex Savings Bank is a Member FDIC, Equal Housing Lender