Home Equity Line of Credit Rates You can obtain loan ...

This brochure describes Technology Credit Union's adjustable Equity Line of Credit with monthly adjustments.

IMPORTANT TERMS OF TECHNOLOGY CREDIT UNION'S HOME EQUITIY LINE OF CREDIT

(Prime Rate Program)

This disclosure contains important information about our Home Equity Line of Credit ("Credit Line"). You should read it carefully and keep a copy for your records.

Availability of Terms: All of the terms described below are subject to change prior to a nal decision on your credit application. If any of these terms change (other than the annual percentage rate) and you decide, as a result, not to enter into an agreement with us, you are entitled to a refund of any fees you paid to us or anyone else in connection with your application.

Security Interest: We will take security interest (deed of trust) in your home. You could lose your home if you do not meet the obligations in your Credit Agreement with us.

Possible Actions: We can terminate your Credit Line, require you to pay us the entire outstanding balance in one payment, and charge you certain fees if: ? You engage in fraud or material misrepresentation in connection

with the Credit Line. ? You do not meet the repayment terms. ? Your action or inaction adversely affects the collateral or our

rights in the collateral.

We can refuse to make additional extensions of credit or reduce your credit limit if: ? The value of the dwelling securing the Credit Line declines

significantly below its appraised value for purposes of the Credit Line. ? We reasonably believe you will not be able to meet the repayment requirements due to a material change in your

nancial circumstances. ? You are in default in a material obligation in the Credit Agreement. ? Government action prevents us from imposing the annual

percentage rate provided for in the Credit Agreement or impairs our security interest such that the value of the security interest is less than 120% of the credit limit. ? A regulatory agency such as the National Credit Union Administration or the California Department of Business Oversight has notified us that continued advances would constitute an unsafe and unsound practice. ? The maximum annual percentage rate is reached. ? The Draw Period provided for in the Credit Agreement has ended.

The Credit Agreement allows the lender to make certain changes to the terms at speci ed times or upon the occurrence of speci ed events such as your default.

Minimum Advance: There is no minimum required advance amount.

Minimum Payment Requirements: Your minimum monthly payment varies with the amount borrowed and with fluctuations in the annual percentage rate (APR).

You can obtain loan advances for ten years (the "Draw Period"). During the Draw Period, the payment will equal the interest

nance charges that accrued on the outstanding balance plus any fees charged during the preceding billing cycle. No principal is included in the minimum payment amount.

The Draw Period is followed by a fteen-year Repayment Period. After the Draw Period ends, the minimum payment will change with the interest rate to an amount suf cient to amortize the outstanding balance over the number of months remaining in the Repayment Period.

During both the Draw and Repayment Periods, increases in the APR can increase the minimum payment amount. During the Draw Period, decreases in the APR will decrease the minimum payment amount. During the Repayment Period, increases in the APR will increase the minimum payment only if the current payment is not suf cient to fully amortize the outstanding balance over the time remaining in the Repayment Period. During the Repayment Period, decreases in the APR will not decrease the minimum payment amount. APR decreases during the Repayment Period may result in early payoff.

Minimum Payment Example: If you made only the minimum monthly payments and took no other credit advances, it would take 25 years to pay off a credit advance of $10,000. The amount of the payments during the Draw and Repayment Periods would depend on the initial APR that applied to your Credit Line. Examples assume that APR remains constant.

Initial ANNUAL PERCENTAGE RATE 120 Payments of

5.50% 6.00% 6.25% 6.50%

$45.21 $49.32 $51.37 $53.42

Followed by 179 payments of

$81.74 $84.42 $85.78 $87.15

and a nal payment of

$81.47 $84.35 $85.34 $86.60

Fees and Charges: To open and maintain a Credit Line, you may be required to pay certain fees and charges.

We will absorb all costs of establishing your Credit Line, including appraisal, title insurance, flood hazard review, and document recording. These fees generally total between $500 and $2,500. If you pay off your Credit Line balance and close your Credit Line within three years of opening it, we will add an Early Closure Fee to your outstanding balance. The Early Closure Fee is based on the credit limit at the time the Credit Line is opened. For limits of $10,000 to $250,000, the Early Closure Fee is $500. For credit limits of $250,001 to $500,00, the Early Closure Fee is $750. For credit limits of $500,001 and up, the Early Closure Fee is $1,500. You may request an itemization of fees, but one will be given to you in any event when your Credit Line is established.

You must carry insurance on the property that secures this Credit Line.

Tax Deductibility: You should consult a tax advisor regarding the deductibility of interest and charges for the Credit Line.

Variable Rate Information: The Credit Line has a variable rate feature, and the APR and the minimum monthly payment can change as a result.

The APR includes only interest. Other costs are not included.

The APR is calculated monthly on the 24th day of each month by adding an index to a margin. The index is the highest commercial prime rate correctly published in the Wall Street Journal, Western Edition, on the 15th day of the month prior to the rate change. (If the 15th is not a business day, the prime rate published on the next business day will be used.) To obtain the APR that will apply to your Credit Line, we add a margin to the index. The index is published in the Wall Street Journal and the nancial pages of many newspapers.

Ask us for the current index value, margins, discounts, and APRs. After you open a Credit Line, rate information will be provided on periodic statements that we send you.

Rate Changes: In no event will the ANNUAL PERCENTAGE RATE exceed 18%. Other than during any introductory or other promotional rate period, in no event will the ANNUAL PERCENTAGE RATE fall below 2.99%. Otherwise, no limits apply to rate adjustments. If an introductory or promotional rate applies to your Credit Line, the rate and the time through which it will apply will be disclosed to you. At the end of any introductory or other promotional rate period, your ANNUAL PERCENTAGE RATE will adjust to equal the greater of 2.99% or the sum of the index plus margin.

Maximum Rate and Payment Examples: If you had an outstanding balance of $10,000 with an initial ANNUAL PERCENTAGE RATE from 5.50% to 6.50%, the maximum monthly payments at the hypothetical maximum ANNUAL PERCENTAGE RATE of 18.00% would be $147.95 during the Draw Period and $161.20 during the Repayment Period. The maximum APR could be reached at any scheduled rate adjustment during the Draw or Repayment Periods, including the rst scheduled rate adjustment.

Historical Examples: The following tables show how the APR and the minimum monthly payments for a single $10,000 credit advance would have changed at different margins based on changes in the index over the past 15 years. The index values are from January of each year. While only one payment amount per year is shown, payments could have varied during the year.

The tables assume that no additional credit advances were taken and that only the minimum payment was made each month. They do not necessarily indicate how the index or your payments would change in the future. The margins have been used recently.

A copy of this Disclosure is part of the Home Equity Line of Credit Agreement.

Draw Period1

Repayment Period2

Home Equity Line of Credit Rates Prime + .00%

Year

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

2015 2016 2017 2018 2019

Prime Rate

5.25% 7.25% 8.25% 7.25% 3.25% 3.25% 3.25% 3.25% 3.25% 3.25%

3.25% 3.50% 3.75% 4.50% 5.50%

Margin

0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

0.00% 0.00% 0.00% 0.00% 0.00%

Annual Percentage Rate

5.25% 7.25% 8.25% 7.25% 3.25% 3.25% 3.25% 3.25% 3.25% 3.25%

3.25% 3.50% 3.75% 4.50% 5.50%

Minimum Monthly Payment

$43.15* $59.59 $67.81 $59.59 $26.71 $26.71 $26.71 $26.71 $26.71 $26.71 $70.29+ $71.40 $72.44 $75.47 $79.30

Draw Period1

Repayment Period2

Home Equity Line of Credit Rates Prime + .75%

Year

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

2015 2016 2017 2018 2019

Prime Rate

5.25% 7.25% 8.25% 7.25% 3.25% 3.25% 3.25% 3.25% 3.25% 3.25%

3.25% 3.50% 3.75% 4.50% 5.50%

Margin

0.75% 0.75% 0.75% 0.75% 0.75% 0.75% 0.75% 0.75% 0.75% 0.75%

0.75% 0.75% 0.75% 0.75% 0.75%

Annual Percentage Rate

6.00% 8.00% 9.00% 8.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00%

4.00% 4.25% 4.50% 5.25% 6.25%

Minimum Monthly Payment

$49.32* $65.75 $73.97 $65.75 $32.88 $32.88 $32.88 $32.88 $32.88 $32.88 $73.99+ $75.13 $76.20 $79.32 $83.28

Draw Period1 Repayment Period2

Home Equity Line of Credit Rates Prime + .50%

Year

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

2015 2016 2017 2018 2019

Prime Rate

5.25% 7.25% 8.25% 7.25% 3.25% 3.25% 3.25% 3.25% 3.25% 3.25%

3.25% 3.50% 3.75% 4.50% 5.50%

Margin

0.50% 0.50% 0.50% 0.50% 0.50% 0.50% 0.50% 0.50% 0.50% 0.50%

0.50% 0.50% 0.50% 0.50% 0.50%

Annual Percentage Rate

5.75% 7.75% 8.75% 7.75% 3.75% 3.75% 3.75% 3.75% 3.75% 3.75%

3.75% 4.00% 4.25% 5.00% 6.00%

Minimum Monthly Payment

$47.26* $63.70 $71.92 $63.70 $30.82 $30.82 $30.82 $30.82 $30.82 $30.82 $72.75+ $73.88 $74.94 $78.02 $81.94

Draw Period1

Repayment Period2

Home Equity Line of Credit Rates Prime + 1.00%

Year

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

2015 2016 2017 2018 2019

Prime Rate

5.25% 7.25% 8.25% 7.25% 3.25% 3.25% 3.25% 3.25% 3.25% 3.25%

3.25% 3.50% 3.75% 4.50% 5.50%

Margin

1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00%

1.00% 1.00% 1.00% 1.00% 1.00%

Annual Percentage Rate

6.25% 8.25% 9.25% 8.25% 4.25% 4.25% 4.25% 4.25% 4.25% 4.25%

4.25% 4.50% 4.75% 5.50% 6.50%

Minimum Monthly Payment

$51.37* $67.81 $76.03 $67.81 $34.93 $34.93 $34.93 $34.93 $34.93 $34.93 $75.25+ $76.40 $77.48 $80.63 $84.63

*During the ten-year Draw Period, payments equal interest only. +During the fifteen-year Repayment Period, payments are fully amortized.

CONTACT INFORMATION For additional information or to le a complaint, you can contact the CFPB or one of the other federal agencies listed below, depending on the type of institution. If you are not sure which agency to contact, you can submit a complaint to the CFPB and if the CFPB determines that another agency would be better able to assist you, the CFPB will refer your complaint to that agency and let you know.

REGULATORY AGENCY

REGULATED ENTITY IES

CONTACT INFORMATION

Consumer Financial Protection Bureau (CFPB) P.O. Box 2900 Clinton, Iowa City, IA 52733

Insured depository institutions and credit unions with assets greater than $10 billion (and their a liates), and non-bank providers of consumer nancial products and services, including mortgages, credit cards, debt collection, consumer reports, prepaid cards, private education loans, and payday lending

(855) 411-2372 consumer consumer complaint

Board of Governors of the Federal Reserve System (FRB) Consumer Help P.O. Box 1200 Minneapolis, MN 55480

Federally insured state-chartered bank members of the Federal Reserve System

(888) 851-1920

O ce of the Comptroller of the Currency (OCC) Customer Assistance Group 1301 McKinney Street, Suite 3450 Houston, TX 77010

National banks and federally chartered savings banks/associations

(800) 613-6743 occ.

Federal Deposit Insurance Corporation (FDIC) Consumer Response Center 1100 Walnut Street, Box #11 Kansas City, MO 64106

Federally insured state-chartered banks that are not members of the Federal Reserve System

(877) ASK-FDIC or (877) 275-3342 or consumers

Federal Housing Finance Agency (FHFA) Fannie Mae, Freddie Mac, and the Consumer Communications Constitution Center Federal Home Loan Banks 400 7th Street S.W. Washington, DC 20024

Consumer Helpline: (202) 649-3811 AboutUs/Contact Consumer@

National Credit Union Administration (NCUA) Consumer Assistance 1775 Duke Street Alexandria, VA 22314

Federally chartered credit unions

(800) 755-1030

Federal Trade Commission (FTC) Consumer Response Center 600 Pennsylvania Avenue N.W. Washington, DC 20580

Finance companies, retail stores, (877) FTC-HELP or auto dealers, mortgage companies (877) 382-4357 and other lenders, and credit bureaus or bcp

Securities and Exchange Commission (SEC) Complaint Center 100 F Street N.E. Washington, DC 20549

Brokerage rms, mutual fund companies, and investment advisers

(202) 551-6551 e/complaint/question.shtml

Farm Credit Administration O ce of Congressional and Public A airs 1501 Farm Credit Drive McLean, VA 22102

Agricultural lenders

(703) 883-4056

Small Business Administration (SBA) Consumer A airs 409 3rd Street S.W. Washington, DC 20416

Small business lenders

(800) U-ASK-SBA or (800) 827-5722

Commodity Futures Trading Commission (CFTC) 1155 21st Street N.W. Washington, DC 20581

Commodity brokers, commodity trading advisers, commodity pools, and introducing brokers

(866) 366-2382 ConsumerProtection/index.htm

U.S. Department of Justice (DOJ) Criminal Division 950 Pennsylvania Avenue N.W. Washington, DC 20530

Fair lending and fair housing issues

(202) 514-3301 To report an incident of housing discrimination: 1-800-896-7743 Criminal

Department of Housing and Urban Development (HUD) O ce of Fair Housing/Equal Opportunity, 451 7th Street S.W. Washington, DC 20410

Fair lending and fair housing issues (800) 669-9777 complaints

?Technology Credit Union. All rights reserved. Federally insured by NCUA. Equal Housing Lender. Corporate NMLS #551926

?2019 Greene & Allison LLP. All rights reserved.

Rev. 03/2019

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