Certificate Dividends definition
Certificate Dividends. The ESA Certificate has a minimum balance requirement and will earn dividends for each monthly dividend period at the dividend rate and APY specified. Dividends are a division and distribution of earnings among members after all expenses have been paid and the required amount has been set aside for reserves. Payment of all dividends is dependent on the availability of earnings at the end of the period. Dividends are earned from day-of-deposit to day-of-withdrawal at the specified rate. Dividends are computed using the daily balance method by applying the daily periodic rate for the full amount in your account at the end of each day. Dividends are credited on the last calendar day of each month in which they are earned unless another dividend distribution option has been chosen. The APY assumes dividends remain in the account until maturity. Early withdrawals reduce earnings. Rates for three-year Variable Rate Certificates may change on the Certificate’s anniversary dates (at 12 and 24 months) and are based on the one-year Constant Maturity Treasury (CMT). Navy Federal guarantees that the Certificate’s dividend rate will never decrease more than one-half percentage point (0.50%) below the dividend rate at the time the Certificate was purchased or renewed, and there is no upper limitation on dividend rate changes.
Examples of Certificate Dividends in a sentence
Delivery of Guarantor Certificate; Dividends Deemed Declared..14 Section 5.03.
Delivery of Guarantor Certificate; Dividends Deemed Declared..15 Section 5.03.
Delivery of Guarantor Certificate; Dividends Deemed Declared...15 Section 5.03.
Delivery of Guarantor's Certificate; Dividends Deemed Declared.......................................................15 Section 5.03.