REGULATIONS. BAC Objetivos Account

Transcription

1 REGULATIONS BAC Objetivos Account 1: Purpose. Bylaws, Requirements and Conditions for a Savings Account BAC Objetivos for BAC San Jose These bylaws contain the regulations for the BAC Objetivos for BAC San Jose service, which consists of a savings account targeting individual non-corporate customers of Banco BAC San José S.A., based on the terms and conditions that will be set forth in this document. Anybody who would like to use this service must read these bylaws, understand them, and accept the terms and conditions related to them. 2: Definitions For the purposes of these bylaws, the following definitions will be in effect: -Bylaws for the Service BAC OBJETIVOS FOR BAC SAN JOSE : this document and any modifications hereto. -Department In Charge of the BAC OBJETIVOS Service: The service will be provided exclusively by the Personal Account and Services Department of Banco Bac San José S.A. as part of the BAC - Credomatic Costa Rica Financial Group. -Main BAC Account Goals: A savings account used to deposit funds debited to meet the savings goals. -Bac, Banco BAC San José, Bank: These terms refer to Banco BAC San José. -Savings Goals: Each savings goal determined by the customer that will be linked to the main BAC Objetivos account. -Dollars: the legal tender of the United States of America.

2 -Colones: the legal tender of the Republic of Costa Rica. -Source account: Account from which to debit the funds that will be transferred to the savings goal account to meet the established savings deadline. -Savings Amount: The amount that the customer saves periodically for the savings goal. -Savings Category: The different savings options that the customer may choose depending on the purpose of the savings. 3: Product Purpose. The purpose of the product called "BAC OBJETIVOS OF BAC SAN JOSE" is to create a savings account in dollars or colones that the customer may use to have savings in the medium- and long-term. 4: Product Features and Requirements. The main BAC Objetivos account must have one or more savings goals associated with it. They will be defined by the customer. The customer may choose the category and the name of the goal (e.g.: vacation, travel, car license plate renewal). Likewise, the customer must determine what the source account will be. The source account is where the funds to save are debited from (the account may be in dollars or in colones). The customer must also determine the deadline for the savings that will have a minimum based on the chosen savings category. During the established savings period, the accrued payments will be blocked or withheld until the end of the period or until the customer decides to withdraw them prior to the end of the established period. The savings amount will be automatically deposited at midnight on the dates chosen for the debit. If the source account (account where savings funds are debited from) does not have the full amount to be deducted available by midnight on the debit date, the system will reattempt starting on the next day and until the next withdrawal date with the objective of continuing with the savings process. During the reattempts and once there are enough funds, the withdrawal will be made and funds will be transfered to the balance, thus modifying the accumulated savings.

3 Likewise, the instructions to be carried out when each goal expires must be explicitly determined. There are two options: The customer may decide to withdraw the saved money and renew the savings goal under the same conditions as stipulated previously (deadline, amounts, dates) or the customer may decide to withdraw the money saved for the BAC Goal and not renew the goal. In the latter case, the account will be closed. When that happens, the customer must go to a BAC branch in person and sign a form to close the bank account. At the end of that period, the customer will have a bonus (interest) credited for the money saved. The interest rate is the equivalent of the current investment certificate rate based on the savings category, which may be for one month or six months. The rate will be variable and will be available at the Electronic Branch for the customer to check. Once the period ends, the money withheld as savings for the BAC Goal will be deposited or "paid out" into the main BAC Objetivos account at midnight. Once it is available, the customer is responsible for transferring the amount into another active account so the customer may use it. Otherwise, the money may be left in the main BAC Objetivos account, but no interest will be earned. The amount that will be transferred from the source account into the BAC Objetivos Account to be deposited for each specific savings goal will be transferred automatically. This transfer will be carried out at midnight on the day that the customer asked for the payment to be applied (e.g., the 12 th day of the month at midnight). If no funds are available in the source account, the savings amount will not be applied under any circumstance. The customer should know that the BAC OBJETIVOS OF BAC SAN JOSE service may not be applied when the salary advance service offered by BAC is being used. 5: Requirements to Be Met by Customers to Use the Service. This service will be provided exclusively to individuals who must have a current, valid identification document recognized in the Republic of Costa Rica. Customers must have any kind of account open at Banco BAC San José; otherwise, they may not have a BAC Objetivos account. Opening the BAC Objetivos account will be subject to fulfilling the internal processes for approval and information checking based on the applicable norms.

4 Likewise, BAC reserves the right to decide whether to open the account or not. The customer accepts that, if the customer does not satisfactorily complete the account opening processes, a temporary account number will be assigned. However, the account will only be opened temporarily while the requirements are being checked. The temporary account may be closed by BAC San José S.A. if it is determined that there is any reason for the customer to not qualify for the account to be opened. When the temporary account is closed, it will be reported to the customer via a notification, all of which is accepted and understood by the customer. Customers must be familiar with and meet the requirements, conditions, limitations, and responsibilities contained in these bylaws and any modifications hereto. Minors may participate in this BAC Objetivos service so long as they have the consent of their parents / guardians or legal representatives and the parents / guardians or legal representatives accept liability for using the service. 6: Term and Effective Period for the Service. The BAC Objetivos service is to be provided for an unlimited period of time or until the customer decides to stop making the savings. 7: Conditions for the Account and Specific Goals.. 1) The account will solely and exclusively be offered to a BAC customer for it to be used as a sub-product and no additional information will be required for it to be opened. 2) Depending on the savings category chosen by the customer, there will be specific conditions related to the minimum amount, minimum effective period, and the interest rates for calculating the savings for each Savings Goal opened based on the category. The customer may make extra payments to the account using the Electronic Branch option that says Extra Savings. BAC Objetivos payments must be made directly to the goal using the Electronic Branch option that says Extra Savings. 3) Once the customer has created and determined the savings goals, the funds will be frozen during the whole effective period, so they will be held by the bank during the period chosen by the customer. At the end of this period, the bank will transfer them to the BAC Objetivos account from the money available in the account, along with the accrued interest at the end of the chosen period in conformity with the regulations in these bylaws.

5 The minimum savings period will go into effect as of the first deposit and not as of the date that the account is opened. 4) The interest rate or the bonus for the goals may be capitalized each day but will only be credited at the end of the savings period. The percentage paid is subject to change without notification. The current interest rate for this service is available at the Electronic Branch. In addition, unlike the specific goals, the BAC Objetivos account as such does not have any interest but it has a bonus that is capitalized daily. However, if the savings goal is paid out prior to the end of the savings period, this bonus will not be paid out by the bank. 5) All the instructions that the customer gives in relation to his or her BAC Objetivos account must be provided using any of the suitable media accepted by the Bank to communicate instructions for this type of service ( , telephone calls, written instructions, etc.). 6) If the customer would like to use the BAC Objetivos service, he or she must accept the clauses that govern the BAC Objetivos account where the savings conditions are specified. Therefore, the customer must accept the conditions by going to a physical BAC branch, by going to the Electronic Branch, or by using any other channel allowed by BAC. 7) A form to close the account must be signed at a physical BAC branch (as was mentioned previously) to be able to totally close out the BAC Objetivos service. 8) The customer may choose the savings account debit date, either weekly, every two weeks, or monthly. If the customer chooses a weekly debit, he or she must choose the day of the week for the debit to be processed. If it is every two weeks, from the first to the last day of the month may be chosen (for months that end on a day that is prior to the selected date, the payment will be applied on the last day of that month). Likewise, if a monthly debit is chosen, the day of the month when the savings amount is to be debited must be chosen. 9) The customer may change the savings goal, the savings payment amount (respecting the minimum savings), the expiration date (so long as it is after the current period), the days to use to apply the payment; the scheduling for the savings and the type of pay-out for the goal when the savings period ends. Therefore, changes may be made automatically by using the Electronic Branch or by going to a physical BAC branch.

6 10 The customer may not change the source account for the goal, i.e., funds may not be taken from any account other than the account that was first registered as the goal s source account. 11) The customer may make partial or full withdrawals whenever needed but a fee will be charged for early withdrawal as stipulated by the Bank and posted on the Electronic Branch, depending on the savings category conditions. For medium-term savings conditions for the following: Miscellaneous Savings, Christmas Savings, Vacation Savings, School Savings, and Vehicle / License Plate Renewal Savings, the fee will be as follows: For accounts in colones, 1.5% of the amount to withdraw with a minimum of 3,000; for accounts in dollars, 0.4% of the amount to withdraw with a minimum of $6. For long-term savings: First Home, Long-Term and INCAE Studies, the early pay-out fee will be as follows: In colones, 2.0% with a minimum of 9,000; in dollars, 1.0% with a minimum of $18. The fees for both categories may change at any time. If so, the customer will be notified of the change. Likewise, the Bank reserves the right to charge the fee in case the account is closed due to any cause that may be attributed to the customer, whether directly or indirectly. 12) The customer may withdraw all of the saved money that is deposited in the BAC Objetivos account prior to the previously stipulated goal expiration date. If all of the money is withdrawn, the customer will not receive the final bonus. If just some of the money is withdrawn, the customer will be credited for the amount and savings will continue, also subject to the application of the aforementioned fees. 13) Any partial or full withdrawal of the funds saved for any of the savings goals may only be processed by the customer by using the Electronic Branch. 8: Bylaws Modification BAC reserves the right to modify these bylaws at any time to add any modification that may be needed for the service to function properly. The customer pledges to check the entity s web page for any modifications that may be posted there. 9: Compensation The Bank is irrevocably authorized by the customer to use the account balances and earned interest related to any other asset in the name of the customer to be used to cover any erroneous crediting of funds or any overdue debt with the Bank or associated with any entity in its financial group. Therefore, the Bank may, without prior notification, pay the balances owed by the customer with the assets in the customer s name, without assuming any liability for doing so.

7 10: Service Queries For more information and any questions about this service, please call telephone number You may also go to any of the BAC San José or Credomatic offices or branches during business hours or you may visit