What can your bank do for you? Starting now, a whole lot more. Welcome to

Transcription

1 What can your bank do for you? Starting now, a whole lot more. Welcome to

2 Welcome to a bank that does even more for you. With more branches, more products, and more services, here are six ways HomeStreet Bank goes further. 1. Truly better interest rates on checking, savings and money market accounts. Check out our rates at 2. If you ve got a growing business, we ve got a bigger loan. We offer higher commercial loan limits to help finance your business. Talk to a Commercial Loan Relationship Manager for details (subject to credit approval). 3. Your old online banking is our new online banking. Fortune Bank personal and business online banking users will be conveniently transitioned to HomeStreet s Online Banking service. 4. Use any ATM in the USA. We ll make the fees disappear. Open a Select Checking account with a monthly direct deposit of $500 or more. We ll make the surcharges vanish. Welcome Hello, I m Mark Mason. As the CEO of HomeStreet Bank, I d like to welcome you on behalf of myself and our entire banking family. We understand this is a time of transition and we re here to make it as seamless as possible for you. You ll still be banking with the same familiar faces you trust but now with more branches, products and convenience. Our tag line is There s No Place Like HomeStreet and we try to live up to that challenge every day. That starts with customer service and doing what s right. We are local and we pride ourselves on our employees ability to make decisions on their own. I m proud of our bank, and I m excited to be able to prove our worth to you. Please read through this brochure and don t hesitate to call or us for more information. Thanks for your patience and patronage. Mark Mason Vice Chairman, President and CEO Mark Mason 5. We ve been Seattle-based for over 90 years, and we re still growing. We re your Northwest neighbors with a proud history of personal and community service since We love the Seahawks and Sounders FC so much, we sponsored them. We re the official bank of the Seahawks and Sounders FC, with custom checks, debit cards and rewarding incentives just for opening a qualifying account and maintaining a monthly direct deposit of $500 or more. Please Note: The Seattle and Bellevue bank branches of Fortune Bank will be consolidated into existing HomeStreet Bank branch locations within the immediate neighborhoods. The Fortune Bank branch located at 1201 Third Avenue, Suite 700, Seattle WA will be consolidated into the HomeStreet branch located in the One/Two Union Square Building at 1314 Sixth Avenue, Seattle, WA The Fortune Bank branch located at NE 4th Street, Suite 800, Bellevue, WA will be consolidated into the HomeStreet branch located in the City Center Building at th Avenue NE, Bellevue, WA Prior to the consolidation of the Bellevue branches and subject to regulatory approval, HomeStreet Bank s Bellevue branch will be relocated from Suite 1H3 to 1E1 at the address noted above. [ 1 ] [ 2 ]

3 Our bankers are here for you in five states and three time zones. Honolulu Pearl City Sonoma Kahului Retail branches Lynnwood Lynnwood East Mountlake Terrace Stand-alone home loan centers Mill Creek Commercial lending offices AmericanWest branch acquisitions Kirkland Northgate Ballard/Crown Hill Fortune Bank Fremont Wedgwood Yakima National Bank Queen Anne Lake Union Bellevue Central Downtown Seattle Capitol West Seattle Hill Bellevue Newcastle Marysville Everett Southcenter SEATTLE AREA WASHINGTON Bainbridge Island Spokane River Enumclaw Spokane Valley Tacoma Federal Way Kent Puyallup Lakewood Ellensburg Elk Grove Aberdeen Olympia Napa Selah Fairfield Yakima Vancouver Sunnyside Campbell Vancouver Downtown Kennewick Vancouver East Vancouver West Vancouver Northwest Portland Portland CALIFORNIA Lake Oswego Clackamas OREGON Tigard/King City Coeur d Alene IDAHO Save the dates Welcome to HomeStreet Bank. You re now part of our banking family and we ve got your back. To make things easier, here are a few key dates to keep in mind. Visa Business and Personal Debit Cards Jan. 7, 2014 New personal identification numbers (PINs) mailed Jan. 10, 2014 New HomeStreet debit cards mailed Jan. 24, 2014 Last day Fortune Bank debit card may be used Jan. 25, 2014 First day to activate and use new HomeStreet Bank Visa debit card Business Checking Jan. 9, 2014 Jan. 27, 2014 Personal Checking Jan. 9, 2014 Business Banking check ordering information and supplies mailed. First day HomeStreet checks may be used New HomeStreet personal check orders mailed Business and Personal Online Banking Jan. 24, 2014 Online Banking unavailable beginning at 4:00 p.m. Jan. 27, 2014 HomeStreet s Online Banking service available at 7:00 a.m. Table of Contents Section 1 Pg. 5 Business Deposit Accounts Section 2 Pg. 23 Loans Section 3 Pg. 29 Personal Deposit Accounts Section 4 Pg. 47 Frequently Asked Questions Fee Schedule Pg. 51 Salem Hilo Pasadena Irvine Carlsbad Del Mar Central San Diego Eugene Payette Eagle [ 3 ] [ 4 ]

4 [ 5 ] Section 1: Business Deposit Accounts

5 Business Checking Accounts Some ask, Is choosing the right combination of business checking and cash management services for your business an important decision? And to that we say, You bet your bottom line it is. So we ve designed a variety of flexible, convenient, and secure deposit products and services for your business. Not to mention a few services to help you better manage your cash flow and finances, such as: Business Banking Introduction Kits from HomeStreet Bank will include a coupon for up to $100 off your check order along with 200 duplicate deposit slips and an endorsement stamp. Cash Management Services to help you with the most critical aspects of your business finances collecting funds, disbursing funds, managing funds and staying informed regarding the use of your funds* Non-Interest Checking Accounts: Fortune Bank s HomeStreet s Business Checking will become Business Basics Checking Monthly service charge $10 $10 Minimum opening balance $100 $100 How to avoid monthly service charge Maintain $1,500 daily balance Maintain $300 daily balance Per-check or deposited item charge $0.15 per item for exceeding a $0.50 per check when over 50 checks combined 150 total credits, debits, are paid in a statement cycle deposited items in a statement cycle Cash deposited $0.15 per $100 for currency No charge deposited over $15,000 Schedule of Fees: Applicable to all checking accounts at HomeStreet Bank, unless otherwise noted. Refer to Fee Schedule in back of this packet. Fees may reduce earnings. Banking on your schedule, with most branches open Saturdays from 9:00 a.m. 2:00 p.m. PST (downtown Seattle and downtown Bellevue do not offer Saturday hours of service) *Please Note: Additional fees may apply for Cash Management Services. [ 7 ] [ 8 ]

6 Business Interest Checking Accounts: Fortune Bank s Business HomeStreet s Interest Checking will become Business Advantage Checking Annual Percentage Yield (APY) 0.050% 0.200% Minimum to open $100 $100 Monthly service charge $10 $8 How to avoid monthly service charge Maintain $1,500 daily balance Maintain $1,000 daily balance Per-check or deposited item charge $0.15 per item for exceeding a $0.12 per check paid when over 100 each combined 150 total credits, debits, statement cycle. No per-item fee for other deposited items in a statement cycle debits or deposited items. Cash deposited $0.15 per $100 for currency No charge deposited over $15,000 Schedule of Fees: Applicable to all checking accounts at HomeStreet Bank, unless otherwise noted. Refer to Fee Schedule in back of this packet. Fees may reduce earnings. Business Analyzed Checking Accounts You re in business, so you re good with numbers, right? Well get ready. Because our earnings credit rate is up to six times better for your business checking bottom line. But that s not all here are some other benefits: HomeStreet s 1.00% earnings credit which reduces the monthly cost of your Business Analyzed account Business Banking Introduction Kits from HomeStreet Bank will include a coupon for up to $100 off your check order along with 200 duplicate deposit slips and an endorsement stamp. Cash Management Services to help you with the most critical aspects of your business finances collecting funds, disbursing funds, managing funds and staying informed regarding the use of your funds. Additional fees may apply. Banking on your schedule, with most branches open Saturdays from 9:00 a.m. 2:00 p.m. PST (downtown Seattle and downtown Bellevue do not offer Saturday hours of service) [ 9 ] [10]

7 Business Analyzed Checking Accounts: Fortune Bank s Cash Management Checking will become HomeStreet s Business Analyzed Checking (Analyzed) Earnings credit 0.15% to 0.65% (based on account balance) 1.00% (based on account balance) Minimum to open $100 $100 Monthly service charge $12 $8 How to avoid monthly service charge May be offset by earnings credit May be offset by earnings credit Per-check charge $0.15 per check, $0.10 per electronic debit $0.12 per check (no charge for electronic debit) Charge per deposited item Per credit: $0.25 paper deposits, $0.15 per deposit fee $0.10 ACH, on us $0.05, fed. $0.08 $0.06 per check deposited, including checks drawn on HomeStreet Returned deposited item $5 $5 Cash deposited $0.12 per $100 $0.13 per $100 Strapped currency ordered (per $1,000) $1.20 $1 Rolled coin ordered $0.12 (per roll) $0.10 (per roll) ACH setup fee $135 $0 Monthly online ACH origination $30 $10, plus $0.10 per item ACH origination - per file $4, plus $0.12 per item No charge ACH returns/notifications of charge $2.50 $3 Remote deposit capture setup fee $50 No charge Remote deposit capture monthly $30 $50 maintainence fee Remote deposit capture equipment $10 to $35/month $25 to $40/month Remote deposit capture per deposit charge $0.25 $0.15 per deposit $0.08 per item deposited $0.06 per item deposited Xpress deposit (flatbed scanner) Not available $20 Xpress deposit (mobile) Free Available first quarter 2014 Investment sweep $50/month $75/month Line of credit sweep No charge $75/month Saturday branch hours None 9:00 a.m. to 2:00 p.m. Interest on Lawyer Trust Accounts (IOLTA Accounts) IOLTAs provide safekeeping for client funds, with the interest earnings directed to free or low-cost legal assistance and education. The earnings on these accounts are based on the interest rate paid to the account. A higher interest rate results in more funds being used to benefit those who can least afford legal services. Interest on Lawyer Trust Accounts: Fortune Bank s HomeStreet s IOLTA will become IOLTA Annual Percentage Yield (APY) 0.050% 0.250% Minimum to open $100 $500 Monthly service charge $0 Lesser of $10 or amount of interest paid [11] [12] Please Note: Additional fees apply for Cash Management Services. Refer to Schedule of Fees for other applicable charges.

8 Business Savings and Money Market Accounts We love doing business with local businesses. Maybe it s because we are one. Our business savings and money market accounts offer easy, frequent access to your funds along with these great benefits. They ll also help your money grow with competitive interest rates. Earn high variable rates of interest on business savings and money market accounts. Business Savings Accounts: Fortune Bank s HomeStreet s Business Savings will become Business Savings Annual Percentage Yield (APY) 0.100% 0.200% on every dollar in the savings account Minimum opening balance $100 $100 Monthly service charge $3 $1 How to avoid monthly service charge Maintain $300 daily balance Maintain $200 daily balance Fee for exceeding six withdrawals $2/withdrawal $0 per calendar month Refer to Fee Schedule in back of this packet. Fees may reduce earnings. Do your banking on your schedule, with most HomeStreet branches open on Saturdays from 9:00 a.m. to 2:00 p.m. PST (downtown Seattle and downtown Bellevue do not offer Saturday hours of service). [13] [14]

9 Business Money Market Accounts: Fortune Bank s Business Money Market and Business Premier Money Market will become HomeStreet s Business Money Market Annual Percentage Yield (APY) 0.100% to 0.250% 0.450% (depending on balance) (paid on every dollar in the account) Minimum opening balance $10 $1,000 Monthly service charge $0 to $10 $5 How to avoid monthly service charge Maintain $0 to $1,000 Maintain $1,000 daily account balance daily account balance (depending on account type) Fee for exceeding six withdrawals $2/withdrawal $0 per calendar month Refer to Fee Schedule in back of this packet. Fees may reduce earnings. [15] [16]

10 Important information for Business Account customers Business Checks Business Banking Introduction Kits from HomeStreet Bank will include a coupon for up to $100 off your check order along with 200 duplicate deposit slips and an endorsement stamp. Three leading zeros will be added to your existing checking account number. Your new routing and transit number is The routing and transit number is the first set of digits on the bottom of your check before your account number. Please contact your Relationship Manager or call our Customer Service Center to request a copy of our MICR spec sheet if using your own check printer. We will pay up to $100 toward your check order. How can you help assure a smooth account transition? You should begin using HomeStreet checks on Jan. 27, Beginning Jan. 27, 2014, please notify senders of any ACH deposits or withdrawals of the new HomeStreet Bank routing and transit number ( ). Monthly Account Statements Depending on the type of account, your monthly account statement may have different scheduled statement dates: Business checking account statements are issued at the end of each month. Business money market statements are issued on the 10th of each month. Business savings account statements are issued quarterly at the end of each quarter, unless the account has electronic transactions then the statement will be sent at month end. Business Debit Cards All current Fortune Bank Visa debit cards will be replaced by HomeStreet Visa debit cards. Your new personal identification number (PIN) will be mailed to you on Jan. 7, 2014, with your HomeStreet Visa debit card arriving by mail the week of Jan. 13, Your daily purchase limit is the available collected balance in your checking account or $5,000, whichever amount is less. Your daily ATM withdrawal limit is the available collected balance in your checking account or $510, whichever is less. The last day you may use your Fortune Bank Visa debit card is Friday, Jan. 24, You may begin using your HomeStreet Visa debit card on Saturday, Jan. 25, How can you help assure a smooth account transition? Watch for the two separate mailings: your new PIN and new HomeStreet Visa debit card. Do not activate your new HomeStreet Visa debit card before Jan. 25, Provide your new HomeStreet Bank debit card number and expiration date to any merchant or bank where your existing debit card is being used for automatic/recurring charges (such as an athletic club monthly payment). If you would like to change the new PIN to a new number, simply stop by any HomeStreet Bank branch. You will need to provide your new HomeStreet Bank debit card number and expiration date to any merchant or bank where your existing debit card is being used for automatic/ recurring charges. Business Credit Cards If you have a Fortune Bank-issued credit card, we will contact you to assist with the change to your new HomeStreet card. This outreach will be scheduled to ensure your new HomeStreet credit card is available to you by Jan. 24, Until that time, you may continue using your Fortune Bank credit card. [17] [18]

11 Merchant Services (Credit Card Processing) Your existing credit card processing arrangement will not change. Please contact your credit card processor and change your current routing and transit number to the new HomeStreet routing and transit number ( ) by Jan. 27, Business Online Banking HomeStreet Bank will convert existing Fortune Bank business online banking customers to HomeStreet s Business Online Banking, which we identify as BeB. This will mirror your current online banking set up at Fortune Bank. Your company s primary user ID (and any sub-user IDs) will remain unchanged, as long as the ID meets HomeStreet s BeB requirements (alphanumeric, no special characters and a limit of 26 characters). Your company s Primary Online Banking User will have full administrative access and can add/change/delete online banking users and accounts/services associated with each user at any time. Each user will be assigned a temporary password, which must be changed at initial login. Users will be able to log in to BeB during the Preview Period to update their contact information and make any changes to user entitlements. The Preview Period will begin on Jan. 13 at 8:00 a.m. PST and will continue until 5:00 p.m. PST on Jan. 24. The online dashboard feature will allow users to set up shortcuts to view summary and account detail information at a glance. Each Online Banking user may set up and customize their event alerts. If your company is currently enrolled in Bill Pay, this service will be converted. Your existing Bill Pay payees and scheduled payments will be converted. Images of paid checks, deposit slips and deposited items will be available for 18 months; however, the first history for such items will begin on Jan. 27, 2014, and track forward. How can you help assure a smooth account transition? Watch for an from HomeStreet Bank that will be sent prior to Jan. 13 to provide your users with their new HomeStreet BeB Company ID and a new temporary password. Primary Online Banking users will be responsible for assigning accounts and services to their company s sub-users. Primary users will receive instructions as a.pdf attachment to the they receive in January. Contact HomeStreet s Cash Management Department (CashManagement@homestreet.com) or call for personal assistance. Please keep in mind these details regarding the upcoming switch to HomeStreet s Online Banking: The account history from Fortune Bank will not carry over. It may be best to save your account history from Fortune Bank online banking and keep the information on file. Your Primary User will need to re-register for estatements. A one-time security code will be required for initial login, and also at any time a change in device (PC or IP address) is detected. The security code will be delivered as a text message to a cellphone or via a phone call to a home or work number. Recurring (scheduled) internal transfers will not convert; users will need to re-establish those in HomeStreet s Business Online Banking. If you need any assistance in transitioning to HomeStreet s Business Online Banking service, do not hesitate to call our Cash Management Department at , option 5. [19] [20]

12 Remote Deposit Capture There is no need to change hardware (scanner). HomeStreet Bank s Merchant Capture service is compatible with the scanners you currently use. HomeStreet s Cash Management Department will contact you to schedule a date and time to install the software for our Remote Deposit Capture service. These appointments will be scheduled between Jan. 27 and Feb. 14. You will be able to use your Fortune Bank Remote Deposit Capture service until the HomeStreet Bank Remote Deposit Capture service has been installed. HomeStreet s same-day deposit deadline for Remote Deposit Capture is 6:00 p.m. PST, compared to your previous 5:00 p.m. daily deadline. HomeStreet s experienced Cash Management staff is available for on-site training at your company. Local phone support is available from 8:00 a.m. to 5:00 p.m. PST, Monday through Friday. Contact HomeStreet s Cash Management Department at or by at CashManagement@homestreet.com for assistance with any aspect of the Remote Deposit Capture service. Online Wire Transfers Each user in your company who can approve online wire transfers will be issued an RSA hardware token, and will receive their token before Jan. 24, Users receiving RSA hardware tokens may activate their tokens upon receipt. They do not have to wait until Jan. 27, 2014 to do so. The daily deadline for sending domestic or international wires in U.S. dollars is 2:30 p.m. PST. Future dated wires (those scheduled for Jan. 27, 2014, or later) will not be converted, but may be re-entered in HomeStreet s Business Online Banking service. HomeStreet s Cash Management staff is available to answer your online wire transfer questions and assist in building new wire transfer templates. Existing wire templates will be converted to Business Online Banking. You will have the opportunity to view these templates beginning Jan. 13 and make any changes. HomeStreet s Cash Management staff is available to answer your online wire questions and assist in building new wire transfer templates. ACH Origination Each user in your company who can approve ACH transactions will be issued an RSA hardware token, and will receive their token before Jan. 24, Users receiving RSA hardware tokens may activate their tokens upon receipt. They do not have to wait until Jan. 27, 2014 to do so. HomeStreet s daily ACH deadline is 3:00 p.m. PST. HomeStreet Bank will provide an encrypted to all ACH origination clients for ACH returns and Notifications of Change. HomeStreet s Cash Management staff is available to answer your ACH origination questions and assist in building new ACH templates. Existing ACH templates will be converted to Business Online Banking. You will have an opportunity to review these templates beginning Jan. 13 and make any changes. Contact HomeStreet s Cash Management Department (CashManagement@homestreet.com) at for assistance. [21] [22]

13 Section 2: Loans [23] [24]

14 Commercial Loans HomeStreet Bank knows the importance of relationships. That s why our Commercial Loan Relationship Managers are people you already know and trust. Your current Fortune Bank Relationship Manager will continue to be your primary contact and partner at HomeStreet Bank. Plus, the terms and conditions of your current loan will remain in effect. In fact, HomeStreet Bank may be able to provide additional financing due to our higher loan limits. Regarding your current Commercial Loan: Effective Jan. 27, 2014 your Fortune Bank commercial loan will become a HomeStreet Bank commercial loan. There will be no change to the terms, rate or amount of your current loan. Your loan will be serviced in accordance with the terms of your current loan documents or credit agreement. There will be some incidental changes to your loan due to the acquisition, including: You will be issued a new loan number upon conversion of your loan to HomeStreet Bank. The new loan number will be your existing Fortune Bank loan number preceded by the numbers 00. Beginning Jan. 27, 2014, your loan payment should be made to: HomeStreet Bank Attn: Commercial Lending 601 Union St, Suite 2000 Seattle, WA You can also use Business Online Banking to make loan payments from a HomeStreet Bank checking or savings account. Personalized assistance regarding your current loan should be directed to: Commercial Lending Support Toll Free: In Seattle: CommercialLending@homestreet.com Hours: Monday through Friday, 8:00 a.m. to 5:00 p.m. PST Your regular payment schedule will remain in effect. [25] [26]

15 Mortgage, Home Equity Line Of Credit (HELOC) and Consumer Loans Effective Jan. 24, 2014, your Fortune Bank loan will become a HomeStreet bank loan. HomeStreet Bank will become the owner and servicer of your loan. Your loan will be serviced in accordance with the terms of your current loan documents or credit agreement. Your regular payment schedule will remain in effect. Access to your HELOC is available and funds (advances) may be requested by: - You may send a request via our secure website at homestreet.com by clicking on Check My Mortgage. Follow the prompts to register your loan and obtain quick and convenient access to your loan account. - Phone: Call customer service at , or in the Seattle area at We are open Monday through Friday, 8:00 a.m. to 5:00 p.m. PST. - Visit any HomeStreet Bank branch to request an advance. If your loan currently has an automatic payment arrangement, this payment method will be established for your new HomeStreet loan and no further action on your part is required. Additional contact information: - Loan payments should be sent to: HomeStreet Bank, P.O. Box 34610, Seattle, WA Billing errors or requests for information should be sent to: HomeStreet Bank, Attn: Loan Servicing, 601 Union Street, Seattle, WA Feel free to contact us with any questions or concerns at Overdraft Line Of Credit (ODLOC) Effective Jan. 24, 2014, your Fortune Bank ODLOC, linked to your deposit account, will become a HomeStreet ODLOC, and your linked deposit account will become a HomeStreet deposit account. Overdrafts in your linked checking account will continue to be covered by an advance, subject to the terms and limits of your existing ODLOC loan documents and credit agreement. Your ODLOC account number will remain the same. Your loan will be serviced in accordance with the terms of your current loan documents or credit agreement. Balance information on your ODLOC will be available through personal online banking beginning Monday, Jan. 27, Making payments: - A billing statement from HomeStreet Bank will be sent to you each month. If your payment is due before you receive your statement, please make your payment by the date shown on the most recent bill that you received from Fortune Bank. - Payments may be made from your checking account through online banking. - Mail payments to: HomeStreet Bank, Attn: Operations Support, 601 Union Street, Ste. 2000, Seattle, WA For billing questions or information, contact our Customer Service Center at or TTY/TDD , Monday through Friday, 7:00 a.m. to 7:00 p.m., and Saturdays 9:00 a.m. to 4:00 p.m. PST, or by mail to the attention of the address listed immediately above. [27] [28]

16 Section 3: Personal Deposit Accounts [29] [30]

17 Personal Checking Accounts HomeStreet Bank personal checking accounts give you anytime access to your funds, and we re here for you on Saturdays. Sure, we ll miss a lot of great college ballgames but we think you re worth it. We also offer some pretty outstanding benefits. Depending on the account you choose, you can get: High interest rates on variable-rate checking accounts Unlimited ATM surcharge refunds at any ATM in the U.S. Free* mobile banking with check deposit by phone Free access to your accounts via online banking Banking on your schedule, including Saturdays at most branches from 9:00 a.m. to 2:00 p.m. PST (downtown Seattle and downtown Bellevue do not offer Saturday hours of service) Exclusive Seattle Seahawks and Seattle Sounders FC Checking accounts *Phone service provider fees may apply. Non-Interest Checking Accounts: Fortune Bank s Founders Checking and Fortune Checking Monthly service charge None None HomeStreet s Choice Checking Check orders Free first order of logo checks 120 free checks and coupon for next check order, then pay for future check orders ATM usage 10 free per monthly statement cycle, Free use of more than 23,000 ATMs then fees apply in U.S. including MoneyPass ATM network plus surcharges refunded for two out-of-network ATM uses per month Charge for using Fee charged by ATM owner 2 free each month, then $1.50 each out-of-network ATMs after 10 ATM uses/month ATM use and fee charged by ATM owner Free* mobile banking Yes Yes with check deposit by phone Online banking Free access to accounts, Free access to accounts, Bill Pay and balance information. Bill Pay and balance information. Fees may apply to other services. Fees may apply to other services. *Phone service provider fees may apply. will become Please Note: You may wish to consider HomeStreet s non-interest Select Checking with unlimited ATM refunds for using any ATM, anywhere in the U.S. Simply arrange for and maintain a monthly direct deposit of $500 or more to your Select Checking account. Schedule of Fees: Applicable to all checking accounts at HomeStreet Bank, unless otherwise noted. Refer to Fee Schedule in back of this packet. Fees may reduce earnings. Effective Jan. 25, 2014, if you have a Fortune Bank Founders Checking or Fortune Checking account, the terms and conditions of your account will change to match the features of HomeStreet s Choice Checking, listed above. [31] [32]

18 Interest Checking Accounts: Fortune Bank s Interest Checking and Premier Checking HomeStreet s Premium Select Checking Annual Percentage Yield (APY) 0.050% to 0.100% 0.300% to 0.400% Minimum balance to earn interest No minimum $2,500 Monthly service charge $0 to $10 (depending on account type) $10 How to avoid monthly service charge Maintain $0 to $1,500 balance, Maintain $2,500 daily account balance depending on account type Check orders Free first order of logo checks 120 free checks and coupon for next check order, then pay for future check orders Free ATM usage 10 free uses per monthly Free use of more than 23,000 ATMs in U.S. statement cycle Charge for using out-of-network ATMs Fee charged by ATM owner Unlimited ATM refunds when you after 10 ATM uses/month maintain a $2,500 monthly balance Online banking Free access to accounts, Free access to accounts, Bill Pay and balance information. Bill Pay and balance information. Fees may apply to other services. Fees may apply to other services. Free mobile banking and mobile deposits will become Free mobile banking and mobile deposits Schedule of Fees: Applicable to all checking accounts at HomeStreet Bank, unless otherwise noted. Refer to Fee Schedule in back of this packet. Fees may reduce earnings. Effective Jan. 25, 2014, if you have a Fortune Bank Interest Checking or Premier Checking account, your account will become a HomeStreet Premium Select Checking account, with terms and conditions shown above. Ask us how to show your team pride with exclusive Seattle Seahawks or Seattle Sounders FC Checking. New Exclusive Seattle Seahawks Checking: Unlimited ATM fee refunds at ATMs within the U.S. with direct deposit of $500 or more Free Seahawks starter checks (12 or 24 checks on request as needed) Free Seahawks Visa debit card (choice of two designs) $100 gift card incentive when you set up direct deposit of $500 or more (limit one per account) No monthly service charge $100 minimum to open Free ATM usage at HomeStreet Bank, MoneyPass and Bank of Hawaii ATMs Free online banking and Bill Pay New Exclusive Seattle Sounders FC Checking: Unlimited ATM fee refunds at ATMs within the U.S. with direct deposit of $500 or more Free Sounders FC starter checks (12 or 24 checks on request as needed) Exclusive free Sounders FC Visa debit card (choice of two designs) Full $90 cash incentive when you set up direct deposit of $500 or more (limit one per account) No monthly service charge Free ATM usage at HomeStreet Bank, MoneyPass and Bank of Hawaii ATMs $100 minimum to open Free online banking and Bill Pay [33] [34]

19 Personal Savings and Money Market Accounts HomeStreet Bank s traditional savings and money market accounts feature easy, anytime access to your funds and rewarding variable interest rates which means we ll help your money grow, and put it into your hands where and when you want it. Saturdays included. Key benefits: You ll earn high rates of interest on savings and money market accounts, so your money will grow over time. Bank on your schedule, with most branches open Saturdays from 9:00 a.m. 2:00 p.m. PST (downtown Seattle and downtown Bellevue do not offer Saturday hours of service). Personal Savings Accounts: Fortune Bank s HomeStreet s Fortune Savings will become Statement Savings Annual Percentage Yield (APY) 0.100% 0.200% on every dollar in the savings account Minimum opening balance $100 $100 Monthly service charge $3 $1 How to avoid monthly service charge Maintain $300 daily balance Maintain $200 daily balance, or set up pre-authorized monthly deposit Fee for exceeding six withdrawals $2/withdrawal $0 per calendar month Free* mobile banking Yes Yes with check deposit by phone *Phone service provider fees may apply. Please Note: Fees may reduce earnings. [35] [36]

20 Personal Money Market Accounts: Fortune Bank s Personal Money Market and Premier Money Market will become HomeStreet s Money Market Annual Percentage Yield (APY) 0.100% to 0.250% 0.450% (depending on balance) (paid on every dollar in the account) Minimum opening balance $100 (depending on account type) $1,000 Minimum balance to earn interest $0 $0 Monthly service charge $0 to $10 (depending on account type) $5 How to avoid monthly service charge Maintain $0 to $1,000 Maintain $1,000 daily account balance daily account balance (depending on account type) Fee for exceeding six withdrawals $2/withdrawal $0 per calendar month Free* mobile banking with Yes Yes check deposit by phone Certificates of Deposit (CDs) and Individual Retirement Accounts (IRAs) There will be no changes to your current CDs. HomeStreet Bank will assume the role as custodian for all IRA accounts. Do your banking on your schedule, with most HomeStreet branches open Saturdays 9:00 a.m. 2:00 p.m. PST (downtown Seattle and downtown Bellevue do not offer Saturday hours of service). HomeStreet Bank will honor the terms and conditions of your current Fortune Bank CDs and IRAs. Prior to the maturity date on your account, you will receive a notice of the terms and conditions of the account that will apply, should your certificate automatically renew or should you choose a different HomeStreet certificate term. HomeStreet Bank CD and IRA CD terms include one-month, three-month, six-month, nine-month, one-year, 18-month, two-year, three-year and five-year terms and require an opening balance from as low as $500. For current interest rates and annual percentage yields (APYs) on these accounts, visit or call , TTY/TDD , Monday through Friday, 7:00 a.m. to 7:00 p.m., and Saturday, 9:00 a.m. to 4:00 p.m. PST. *Phone service provider fees may apply. Please Note: Fees may reduce earnings. [37] [38]

21 Important information for Personal Account customers Checks A full order of 120 personal checks will be mailed to you beginning Jan. 9, You will find a coupon good for another free order of 120 personal checks included with your initial check order. Three leading zeros will be added to your existing checking account number. Your new HomeStreet Bank routing and transit number is The routing and transit number is the first set of digits on the bottom of your check before your account number. How can you help assure a smooth account transition? You may begin using your new HomeStreet checks on Jan. 27, Beginning Jan. 27, 2014, please notify senders of any ACH deposits or withdrawals of the new HomeStreet Bank routing and transit number ( ). Personal Debit Cards All current Fortune Bank Visa debit cards will be replaced by HomeStreet Visa debit cards. Your personal identification number (PIN) will be mailed on Jan. 7, 2014, and your new HomeStreet Visa debit card will be mailed on Jan. 10, The new HomeStreet Visa debit card will have a new card number. Your daily purchase limit is the available collected balance in your checking account or $5,000, whichever amount is less. Your daily ATM withdrawal limit is the available collected balance in your checking account or $510, whichever is less. The last day you may use your Fortune Bank Visa debit card is Friday, Jan. 24, You may begin using your HomeStreet Visa debit card on Saturday, Jan. 25, How can you help assure a smooth account transition? Watch for the two separate mailings: your new PIN and new HomeStreet Visa debit card. You will need to provide your new HomeStreet Bank debit card number and expiration date to any merchant or bank where your existing debit card is being used for automatic/ recurring charges (such as an athletic club monthly payment). If you would like to change the new PIN to a new number, simply stop by any HomeStreet Bank branch. Overdraft Protection on Your Checking Account If you currently have an Overdraft Line Of Protection (ODLOC) on your Fortune Bank checking account, the overdraft service will continue without change, including the ODLOC account number. HomeStreet Bank can provide overdraft protection by linking another deposit account (savings or money market account) to your checking account. If your checking account becomes overdrawn, we will transfer money automatically from the linked account to your HomeStreet checking account. The fee for this transfer is $5.00. To add overdraft protection from a linked deposit account, please contact HomeStreet Bank s Customer Service Center at or TTY/TDD Monthly Account Statements Depending on the type of account, your monthly account statement may have different scheduled statement dates: Personal checking account statements are issued on the fifth of each month. Money market statements are issued on the 10th of each month. Savings account statements are issued quarterly at the end of each quarter, unless the account has electronic transactions then the statement will be sent at month end. [39] [40]

22 Personal Credit Cards If you have a Fortune Bank-issued credit card, we will contact you to assist with the change to your new HomeStreet card. This outreach will be scheduled to ensure your new HomeStreet credit card is available to you by Jan. 24, Until that time, you may continue using your Fortune Bank credit card. ATMs (Cash Machines) There are ATMs at all HomeStreet Bank branches. You also have the benefit of using more than 23,000 surcharge-free ATMs through the nationwide MoneyPass ATM network and surcharge-free Bank of Hawaii ATMs. Regardless of where you may be in the U.S., you can always find the nearest surcharge-free ATM by visiting With HomeStreet s Select Checking or our exclusive Seahawks Checking or Sounders Checking, we will refund any and all ATM charges you pay no matter what ATM you use anywhere in the United States. Simply maintain a monthly $500 direct deposit to any of these three accounts, and each month we will refund all ATM charges from use of ATMs in the U.S. Deposits may be made directly to your account at any of the HomeStreet Bank ATMs. Personal Online Banking How can you help assure a smooth account transition? When logging on to HomeStreet s Online Banking for the first time, you will be prompted to read and accept our Electronic Services Agreement. As of Jan. 27, 2014, please log on to HomeStreet Online Banking to: - Re-enroll in estatements. - Update your online bookmarks and favorites. - Personalize your online banking by setting up alerts. - Re-establish any external transfer of funds. If you have a payment due from Jan. 20, 2014, through Jan. 27, 2014, and you would normally make that payment through Fortune Bank online bill pay, please make other payment arrangements. HELOCs are not accessible through HomeStreet Online Banking. Account history information will be available over an 18-month period; however, the first history for your account(s) will begin on Jan. 27, 2014, and track forward. Print existing account history from Fortune Bank online banking and keep the information on file. Have questions or need assistance with HomeStreet s Online Banking service? Contact our Customer Service Center at or TTY/TDD for assistance with Online Banking. Your current personal online banking service will be disabled at 4 p.m. on Friday, Jan. 24 and your online bill payment service will be disabled at 1 p.m. PST on Friday, Jan. 24. HomeStreet Bank s Personal Online Banking service will be available to you by Jan. 27, Your User ID will basically remain the same, but will need to be all lowercase letters. The temporary password will be the last six digits of your Social Security Number. Future and scheduled bill payment dates and amounts will have to be re-entered. However, your previous online Bill Pays will show the name(s) of the business(es) or payee(s) and the account number(s) to which bill payments have previously been made. [41] [42]

23 There s no place like HomeStreet Bank. Even if you re nowhere near your home. Or a street. Maybe it s late. Maybe you re far from home. Maybe you re an astronaut. Wherever you are, HomeStreet Bank provides you with mobile, online and telephone banking so you can access account information and complete transactions without visiting a branch. All right, so maybe we don t have ATMs in space. Yet. Free* Consumer Mobile Banking Whether you need to check your account balance at the grocery store or transfer money between accounts while on the go, HomeStreet has you covered with Mobile Banking. And that s not all. Our FREE mobile app gives you the opportunity to: Deposit checks Check your account balance Pay bills to your payees Make transfers of funds between accounts of same ownership at HomeStreet Bank Enjoy the convenience and security of Mobile Banking from HomeStreet Bank. If you are already enrolled in our Online Banking, you are set to go mobile. If not, sign up for free Online Banking and add free Mobile Banking. *Phone service provider fees may apply. Business mobile banking and mobile deposit will be available in the first quarter of Free 24-Hour Telephone Banking Access to account information or transferring funds is just a phone call away. With HomeStreet s 24-Hour Telephone Banking service, you can: Access account balance inquiries Get recaps of most recent transactions Make transfers of funds between accounts of same ownership at HomeStreet Bank Call and select option 1 for a full list of Telephone Banking resources. [43] [44]

24 Free Online Banking Personal Online Banking Features and Benefits: Access your accounts for up-to-date information when you need it. Customize your Online Banking experience, including your password, the way information is sorted and even how you view the screen. Create nicknames for your accounts, and more. View front and back of canceled check images print or save them to your computer. Enroll in estatements for access to checking account statements. Set up alerts to advise you of certain account conditions, such as when a check has cleared your account, or to notify you of account balance information. Set up one-time or recurring transfers between your HomeStreet accounts. Pay bills, set up automatic payments, run reports and more. Business Online Banking Features and Benefits: Access your accounts for up-to-date information when you need it. Enroll in estatements for access to checking account statements. View loan balances and history. Review all pending and completed transactions. Set up alerts to notify you of certain types of transactions like incoming wire transfers or ACH transactions. Pay bills, set up automatic payments and issue checks with Online Bill Pay. Make loan payments and advances. View front and back of canceled check images and print or save them to your computer MoneyPass Surcharge-free ATMs HomeStreet Bank is a member of the MoneyPass network of surcharge-free ATMs. HomeStreet customers can access their checking and savings accounts, absolutely free, at more than 23,000 ATMs across the country (including 900 in Washington and Oregon) all in addition to HomeStreet ATMs. The MoneyPass network includes all US Bank Branch ATMs, as well as those of hundreds of other banks and credit unions. Look for the MoneyPass logo. Customer Service Centers We understand that you may not be able to schedule a visit to a branch during the day. That s why we maintain a team of dedicated banking specialists in our Customer Service Center who have the expertise to answer your questions and help you with a variety of banking issues, including online banking. Call or TTY/TDD and select from a variety of options for personalized customer service resources: Option Two: Personal Banking Customer Service Center Get assistance with Online Banking and Mobile Banking Reset passwords Inquire about your balance(s) Research your accounts Hours: Monday through Friday, 7:00 a.m. to 7:00 p.m., and Saturday, 9:00 a.m. to 4:00 p.m. PST Option Four: Commercial Deposit Service Center Get assistance in opening new business checking accounts Order business account supplies Research questions regarding your business account Get assistance in updating existing business accounts Hours: Monday through Friday, 8:00 a.m. to 5:00 p.m. PST Option Five: Cash Management Department Get assistance with business Online Wire transfers Get assistance with ACH origination Get assistance with Remote Deposit Capture Get assistance with RSA tokens Hours: Monday through Friday, 8:00 a.m. to 5:00 p.m. PST HomeStreet customers can also use all Bank of Hawaii ATMs surcharge-free in Hawaii and [45] the Pacific Islands. [46]

25 Section 4: Frequently Asked Questions FAQs We know you may have questions about the acquisition. We hope the answers to these FAQs can help. We re dedicated to making your transition to HomeStreet Bank as easy as possible, and more information will be provided in the weeks to come. When will the conversion to HomeStreet accounts and services occur? The conversion is scheduled for the weekend of Jan. 25, The changes to your accounts will be noticeable on Monday, Jan. 27. What will change with the Fortune Bank branches? The existing Fortune Bank branches in Seattle and Bellevue will close and be transitioned to the nearby Seattle and Bellevue HomeStreet branches. Will any of my current services be unavailable during the conversion weekend? You will not be able to access your accounts through online banking during conversion weekend. However, you will have access to your checking account through use of your new HomeStreet debit card. Does HomeStreet offer a Personal Mobile Banking application? Yes, HomeStreet s Personal Mobile Banking application is available for iphone and Android. Will my deposit account numbers change? We will add three leading zeros to your existing account number to create a 10-digit account number. Will I be able to continue using my existing checks and deposit slips? Yes, you may continue using your existing checks and deposit slips after the conversion. [47] [48]

26 Will my ACH deductions/credits transfer without interruption or will I have to set them up again? No, you will not need to set them up again. All existing deductions/credits will continue to be processed after conversion. Will I have to reset my Bill Pay accounts? No, your existing Bill Pay accounts will be set up before the conversion, so you do not need to take any action at this time. I currently have a Certificate of Deposit (CD). Will my rate change? No, we will honor all rates and terms on CDs that you have established with Fortune Bank for the duration of the certificate term. For all maturing CDs, we send out a maturity letter about two weeks before maturity so that you can make a decision on next steps. Does HomeStreet belong to the same ATM network as Fortune Bank? Yes, and in addition, HomeStreet refunds ATM fees at non-homestreet ATMs nationwide for certain checking accounts. Will my debit card number change? Yes, your debit card number will change. We will order new HomeStreet debit cards, which should arrive in your mail 1-2 weeks before conversion. You will receive further instructions about the use of your new debit card when you receive your card in the mail. Will there be any cost to me for any of the above changes to access funds in my deposit accounts? No. Will my deposits still be FDIC-insured? Yes, your accounts will be insured up to the maximum amount, provided they meet certain requirements. Please note that if you have accounts at HomeStreet before Jan. 25, 2014 those account balances will be added together with the accounts that are coming over from Fortune Bank and will be insured together up to the maximum. The FDIC calculator website, can assist you in determining your FDIC coverage. Where can I find additional information about HomeStreet and its products and services? Contact our Customer Service Center at or TTY/TDD with questions, or visit for additional information. If your question isn t so frequently asked, please give us a call or stop by. We ll be happy to answer it. Will I need to change the address where I send deposits and loan payments? Yes, specific addresses are listed for each account type elsewhere in this booklet. Will my IRA transfer to HomeStreet? Yes, HomeStreet will become the new custodian of your IRA. [49] [50]

27 Schedule of Fees Effective Jan. 24, 2014, the following fees apply Item paid or returned for insufficient funds; includes checks, Automated Clearing House (ACH) or ATM/debit card point of sale (POS)... $30 For Personal Accounts only: Fee assessed only if account is overdrawn more than $10.00 Maximum charges that may be assessed are for four items ($120.00)* per day Automatic transfer service from a related account to provide overdraft protection (each day a transfer is made)... $5 Deposited item returned (per check or ACH item)... $5 Stop payment request (per check or ACH item)... $28 Outgoing wire transfers (domestic and foreign)... $20 Incoming wire transfers (domestic and foreign)... $15 Wire tracer fee: Domestic... $10 Foreign... $55 Cashier s checks (per check)... $5 Paper copies of checks or deposited items: With Check Safekeeping, you are entitled to 24 free check copies per year. Additional copies (per item or check copy)... $2 Without Check Safekeeping (per item or check copy)... $2 Note: You may also view and download check images at no charge from within our free Online Banking service. Statement copies: each additional copy (per account per month)... $2 Automated Teller Machine (ATM) fees: HomeStreet Bank ATMs... Free MoneyPass Network ATMs... Free Bank of Hawaii ATMs... Free Non-affiliated ATMs (per transaction)... $1.50 Note: If you use an ATM that is not owned by or affiliated with HomeStreet Bank, you may be assessed an additional fee by the owner/operator of the ATM. ATM/Visa Debit Card reissue (standard order)... $5 ATM/Visa Debit Card or PIN rush order... $35 ATM/Visa Debit Card transactions in foreign currency or in U.S. dollars outside the United States are assessed a 1% transaction amount converted to U.S. dollars using rate selected by Visa International, Inc. Online Banking and Bill Pay Personal... Free Business... Free Cash Management Services ACH origination fee... $10 per month & $0.10 per item ACH returns and/or notifications of change per item... $3 Remote deposit capture fees... See agreement Investment sweep... $75 per month per account Line of credit sweep... $75 per month per account Zero balance account (ZBA)... $10 per month per account Positive Pay monthly maintenance (first account)... $20 Positive Pay monthly maintenance (each additional account)... $15 Positive Pay per check issue reported... $0.05 Positive Pay per exception returned... $2 ACH Debit Block/Filter Monthly Maintenance (per account)... $10 ACH Debit Block/Filter included with Positive Pay (per account)... $5 Additional Business Services Currency ordering... $1 per $1,000 Coin ordering... $0.10 per roll Cash deposited (Business Analyzed accounts only)... $0.13 per $100 [51] [52]