Core Conversion. Scheduled for 10/1/2018 Important Information

Core Conversion Scheduled for 10/1/2018 Important Information

One copy of this booklet is being sent to each household. If more than one Empower account holder resides at this address, please do one of the following: Share the content Visit a branch to receive another copy Visit empowerfcu.com to view the online version Contact us to have one mailed Introduction Our current core operating system will no longer be supported going forward. We have been planning accordingly for quite some time. We will be converting to an operating system that provides service enhancements and keeps pace with technology. It places a heavy emphasis on security, efficiency and most importantly - quality service. Please review the content of this important communication to understand some of the changes coming. empowerfcu.com 800.462.5000 Federally insured by NCUA. Membership eligibility required. Loan approval based on creditworthiness. NMLS #412348

Index page # Key Information 1 Member Number/ Account Number Changes 2 Member/Account Number Examples 3-5 FAQs About Member Number/ Account Number Changes 5 FAQs About Online and Checking Account Numbers 6 Nickname your accounts within Online Banking 6 How to update your account nicknames in Online Banking 7 Palm Reader - More secure, convenient and time saving 8 Minimum Balance Requirement 9 ephone 9 Direct deposit/ payroll information 10 Account and Mastercard Statements 10 Mastercard pending charges and Mastercard Rewards 11 Authorization of Direct Payments that you have initiated with Empower 11 Transfers tied to incoming payroll 12 Dividend Calculation Changes 13 Online Banking - Cross member transfers 13 Mobile Check Deposit Processing Deadline 13 Merchandise 13 Home Equity Line of Credit (HELOC) checks 14 Mortgage information 14 Glossary 15 Locations 16

KEY INFORMATION Your Account Number(s) will only change slightly. No action will be required on your part. Your existing direct deposits and/or authorized withdrawals will continue with no interruption. Your checks are still valid. You will not need new checks. Direct deposit/payroll postings will no longer post in advance of the pay availability date. Many will experience no change to their existing Member Number (see examples on pages 3-5). There will be minor changes to all Account Numbers as outlined on page 2. Bill Pay will not be impacted. Your Online Banking user name and password will not change. 1

Member Number/ Account Number Changes The changes happening at the time of conversion are with some Member Numbers and everyone s Account Numbers. Many will experience no change to their existing Member Number, however, your Account Number(s) will change. Your Member Number will be based on two factors: Primary or Joint status on the account (the first name listed on your existing Empower statement(s) is the Primary Account Owner). The number of Membership Accounts you currently have with Empower. Primary Member If you have one Member Number that you are the Primary Owner of, your Member Number will remain the same. Only one unique Member Number will be assigned to each Primary Owner. If you have two or more Member Numbers you are the Primary Owner of, your new Member Number will convert to the LOWEST of those Member Numbers. Joint Owner Only (No other Member Number for which you are the Primary Owner) Joint Owner(s) do not have an individual Member Number. When initially visiting a branch or calling for assistance, you will be able to provide an Account Number or your Social Security Number. Member or Account Number when contacting us Your Member or Account Number will ONLY be used as an identifier when you initiate contact with us by phone or in-branch. Each account will now have its own individual Account Number that will display within Online Banking and on your monthly statement. You will no longer have Sub Account Numbers. You may be required to provide verification or ID before accessing accounts. When visiting a branch location, you will be able to access account(s) using our Palm Readers, once registered (see page 8 for more details). 2

Member/Account Number Examples The following three pages provide examples to help understand the changes coming. The important point to understand is the difference between a Member Number and an Account Number. One Individual Example This example shows how the changes will impact a member with only one Membership Account that is not joint. Mary Smith Mary will continue to use Member Number 2222 or she may use any of the Future Account Numbers listed in the table below. Sub Account Numbers will no longer be used. The Future Account Number is closely related to the current format (the dash has been replaced with a zero). Current Member Number/Sub Accounts 2222-01 (2222 Member # and 01 Sub Account designating savings) 2222-09 (2222 Member # and 09 Sub Account designating checking) Future Account Number 2222001 14-digit MICR Number What is a MICR Number? MICR (magnetic ink character recognition) is a technology used to verify the legitimacy or originality of a check. Special ink, which is sensitive to magnetic fields, is used in the printing and information is encoded in the magnetic characters. MICR Account Number - Located at the bottom of your checks All Checking Account numbers will change to match what currently appears on the bottom of your checks. You will no longer use the 09 Sub Account when referencing your checking. Checking Account Numbers will be the MICR Account Number* that appears on the bottom of your check (it s the same number used to set up your existing electronic credits and/or debits). No action will be required on your part. Your existing direct deposits and/ or authorized withdrawals will continue. Your checks are still valid. The only change is you will no longer see member number followed by Sub Account Number 09 online or on your statements. 3

Joint Accounts Example This example shows how the changes will impact a member with a Joint Account. Sue will use Member Number 3333, since she is the Primary Owner of the account and was required to prove eligibility when the account was opened. Sub Account Numbers will no longer be used. The Future Account Sue & Bob Jones Number is closely related to the current format (the dash has been replaced with a zero). When Sue provides us with her Member Number or an Account Number, we will be able to see all Account Numbers she has the right to access. Example: Member Number 3333 or Account Number 3333001 may be used. Bob is the Joint Owner of the Account. He may use any of the Future Account Numbers listed below when calling or visiting a branch. Once he provides one of these Account Numbers we can see all accounts he has the right to access. Bob no longer shares a Member Number with Sue, but he shares Account Numbers with Sue. Current Member Number/Sub Accounts 3333-01 (3333 Member # and 01 Sub Account designating savings) 3333-04 (3333 Member # and 04 Sub Account designating club account) 3333-09 (3333 Member # and 09 Sub Account designating checking) Future Account Number 3333001 3333004 14-digit MICR Number What is a MICR Number? MICR (magnetic ink character recognition) is a technology used to verify the legitimacy or originality of a check. Special ink, which is sensitive to magnetic fields, is used in the printing and information is encoded in the magnetic characters. MICR Account Number - Located at the bottom of your checks All Checking Account numbers will change to match what currently appears on the bottom of your checks. You will no longer use the 09 Sub Account when referencing your checking. Checking Account Numbers will be the MICR Account Number* that appears on the bottom of your check (it s the same number used to set up your existing electronic credits and/or debits). No action will be required on your part. Your existing direct deposits and/ or authorized withdrawals will continue. Your checks are still valid. The only change is you will no longer see member number followed by Sub Account Number 09 online or on your statements. 4

Multiple Membership Numbers Example This example shows how the changes will impact a member with more than one Membership Number. Jill s new Member Number will be 7777, since it is the lowest number. Member Number 8888 will no longer be recognized. It will now be Account Number 8888001. The Future Account Number is closely related to the current format (the dash has been replaced with a zero). When Jill provides this one Member Jill Stevens Number or an Account Number to a representative, we will be able to see all Account Numbers Jill has the right to access. Also, it is important to note that Jill will no longer be required to maintain $25 in EACH savings. The hold will remain on $25 in account 7777001. The $25 being held in 8888001 will be released and available for Jill to access. Current Member Number/Sub Accounts 7777-01 (7777 Member # and 01 Sub Account designating savings) 8888-01 (8888 Member # is an additional and separate account) Future Account Number 7777001 8888001 Memberships and Accounts Opened After Conversion When opening a new Membership or Account in the future, the Member and/or Account Number will be randomly assigned. There will no longer be a correlation between your existing Membership or Account Number. FAQs About Member Number/ Account Number Changes Q: I m not primary on an account, but I am joint on more than one. Which account number should I use? A: When calling or visiting a branch, you may provide us with any Account Number that you prefer. Once you provide us with just one Account Number we can see all accounts that you have ownership rights to access. Q: I m primary on an account, but I am joint on more than one. Which account number should I use? A: You may provide us with the Member Number for the account you are primary on or any Account Number that you have the right to access. Once you provide us with just one Account Number we can see all accounts that you have ownership rights to access. 5

FAQs About Online and Checking Account Numbers Q: Is my username for Online Banking staying the same? A: Yes. There will be no change to how you access your account online or when using the mobile app. Q: Can I still use the checks I have for my Checking Account? A: Yes. Your checks have the correct Account Number. Q: What will I see when I log into Online Banking? A: When logging into Online Banking with your EXISTING Username, you will continue to see all accounts you see today. You will notice the new Account Number will display. If you have not already done so, we encourage you to establish nicknames for accounts within Online Banking (see next page for instructions). Q: Will the change to Account Numbers impact my Bill Pay? A: No, your Bill Pay payments will continue to process as you established. Q: Will the change to the checking account number impact my existing automatic electronic credits and/or debits or checks clearing? A: No, the MICR number is the same number we previously supplied to you as your electronic account number, so your electronic transactions will continue to process. The MICR number also already appears on your existing checks. Helpful Hint - Nickname your accounts within Online Banking We encourage you to establish nicknames for accounts within Online Banking. This will make the change of account numbers and identification of accounts much easier after conversion since the name that will appear online will be a name you selected to identify each account. Example: If you have a club account that is designated for vacation, you may nickname the account Vacation within Online Banking to make recognizing the account easy. 6

How to update your account nicknames in Online Banking Step 1: Hover your mouse over your name and click on Settings in the drop down. Next, click on the Accounts tab. Step 2: To customize the nickname of your account click on the pencil icon. Step 3: Enter the nickname in the Nickname field and click Save. Post conversion, this Account Number will be 2222001. Step 4: Repeat above steps for all accounts. 7

Palm Reader - More secure, convenient and time saving On your next visit to a branch location please bring your photo identification. It will only take a few minutes to register your photo identification and biometric palm scan. Future visits will be easier, safer and faster. The palm reader will provide greater security in branches. No more hunting for ID, or verbally sharing Member or Social Security Number in the lobby. In addition, your photo ID will display on the screen of the representative assisting you as another layer of identity confirmation. More details about Palm Readers and how they will save you time and provide greater security A highly reliable means of personal identification, Palm Authentication uses biometric technology to scan the vein pattern of the palm. Authentication is unobtrusive and presents information to service representatives quickly, consistently and accurately. Reliable Authentication - Palm vein scanning is a highly reliable method of identification. Palm vein patterns are complex with greater than 5 million reference points providing superior accuracy. Reduced Transaction Times - Palm Readers make accessing your accounts easy and efficient, eliminating the exchange of IDs, reducing keystrokes, eliminating search screens and inaccurate selections, minimizing errors and speeding transactions. Privacy and personal data are protected, without an uncomfortable exchange of sensitive information at the front counter. Superior Security - Palm vein patterns are stable throughout life and are not affected by external factors such as cuts/abrasions, dry skin or lotions. Authentication is hygienic, intuitive and easy. You will need to complete a one-time registration to use this new identification system. Registration for the Palm Reader is not required. 8

$25 will only be held in one savings account. You will now only be required to keep $25 on deposit in your primary membership share savings account. Thanks to our new individual based core operating system, we are now able to identify when one individual has multiple primary account relationships with Empower. Note: this applies only to multiple accounts for which you are the Primary Owner. Previously, if you were the Primary Owner on two memberships $25 would be held in the savings account of each. Moving forward, the $25 will only be held in your primary share savings account. Any other savings accounts that you are the Primary Owner of will now show those funds available. Call center will access your account(s) faster. This update to our core operating system will also allow us to make changes to our phone system. One efficiency that will benefit you is ID recognition. When you call and enter your Member Number or Social Security Number, the representative that answers your call will automatically see your account profile on the screen. You will still be required to know your over-the-phone password. ephone - Additional communications will be coming ephone passwords will require a reset when you first access the system after we convert. Your temporary password will be sent in a separate communication. Upon conversion, you will be able to access all of your accounts using one Member Number when using ephone. 9

Direct deposit/ payroll will no longer post to your account before the availability date. Payrolls and direct deposit will now display in the account history on the available date provided to us by the sender. Previously the deposit would pre-post and display as pending. You will no longer see the posting in advance of the availability date. If the actual pay date provided by the sender falls on a holiday, it will post on the next business day. The same will apply for any deposit/withdrawal that is dated during a weekend. Account and Mastercard Statements - Only Primary Account Holders will receive a statement. All accounts will be on one statement. Both account and Mastercard statements will now be addressed and sent to the Primary Tax Owner only. Therefore, you will no longer see the name(s) of any Joint Owners on the account statement. All your primary accounts will be on one statement and sent to the one address we have on file for the Primary Account Owner. Mastercard will continue to be a separate statement. Joint Owners may still access account history within Online Banking or request a history print-out. However, Joint Owners will not be provided with mailed statements or be provided with any statement copies while in branch or per phone request. Statement (Electronic vs. Paper) - If one statement is sent electronically, all statements will be sent electronically. Statement settings will be applied to all accounts. If electronic is set for one, all statements will be delivered in this manner. The option to select different statement options by Account Number will no longer be available. If you have an Empower Mastercard and set your statement settings to be mailed AND be delivered electronically, this option will not be available after conversion. Accounts with this setting will convert to electronic statement. If you wish to establish estatements after conversion, please contact us through the message center within Online Banking, visit a local branch, or contact us by phone. 10

Mastercard pending charges will not display within Online Banking. After conversion your pending credit card transactions will no longer display online. Pending debit card account transactions will continue to display. We are working diligently with our vendor to again offer this feature. In the meantime, please rest assured that your available balance does reflect pending transactions. Therefore, there is no need to worry that this will cause you to go over your limit. MasterCard Rewards Mastercard Rewards will be unavailable within Online Banking from 9/28/18 until 10/5/18. You may still call 800.462.5000 (select option 2, option 2 again, and then option 4) to redeem points or to order gift cards during this time period. Authorization of Direct Payments that you have initiated with Empower If you currently have authorized direct payments to be withdrawn from or deposited to your Empower account from another institution on the following dates: Friday, September 28, 2018 Saturday, September 29, 2018 Sunday, September 30, 2018 Last business day of the month We will be posting these transactions on Thursday, September 27, 2018. 11

We are moving away from transfers tied to incoming payroll. We are moving away from loan payments and savings transfers tied to your incoming direct deposit. Our Online Banking offers a great alternative. We began contacting impacted Members in April of 2018. With our previous system, your payroll triggers the transfer of funds to the accounts/ loans you chose. Going forward, you can manage the frequency and amount of transfer(s) within Online Banking, giving you greater control and consistency. ACTION REQUIRED IF YOU HAVE TRANSFERS TIED TO YOUR INCOMING PAYROLL: Visit www.empowerfcu.com/scheduletransferswitch for details regarding the required action. We highly recommend payroll be sent to an Empower checking account and all transfers originate from the checking account. A Federal Regulation (Reg D) limits the number of electronic transactions allowed each month to no more than 6 from a savings account. To learn more, visit www.empowerfcu.com/ Regulation-D. Note: Reg D transactions include items like transfers by phone, online, and ephone. This applies to all scheduled and savings transfers (excluding loan payments). To prevent any disruptions to transfers contact your payroll department to request your deposit be sent to your checking account if it s not being directed there already. 12

Dividend Calculation Changes Effective October 1, 2018, the balance computation method for Premium Money Market, IRA Premium Money Market and Share Draft Checking Plus accounts will be the Daily Balance method for calculating dividends (the prior method was the Average Daily Balance). The Daily Balance method applies a daily periodic rate to the principal in the account each day. Online Banking - Cross member transfers To perform a cross member transfer, both the sender and the recipient must be registered Online Banking users. Due to the Account Number format change existing Empower accounts set up for cross member transfers will need to be re-established. Mobile Check Deposit Processing Deadline On Friday, September 28 th, 2018 mobile deposit must be sent by noon to begin processing on the next business day. Merchandise will no longer be available After conversion Empower will no longer be selling the following items: Theme park tickets Postage stamps Movie tickets Mastercard gift cards 13

LENDING Home Equity Line of Credit (HELOC) checks will no longer be accepted. HELOC checks are no longer being offered as of 7/1/2018 and WILL NOT be accepted for clearing after 10/1/2018. Any HELOC checks presented after 10/1/2018 will be returned. If you have existing HELOC checks, they must be destroyed. They will no longer be honored after conversion. All future draws may be transferred to an Empower account for withdrawal or for payment through your Empower checking account. Making a withdrawal directly from the HELOC in the form of a cashier s check or cash is also an option. Mortgage information can be viewed online and in real-time. After conversion Online Banking users with a Mortgage will see the following enhancements: Mortgage payments will display in real-time. Future history will be viewed within Online Banking without being redirected. You will need to refer to statements for previous history. We are pleased to bring these changes that will be more efficient and convenient. 14

GLOSSARY Account Number: The number used to identify each individual account. Member: A person holding at least one credit union share who can receive the credit union financial and related services and has a right to one vote at the annual meeting. The Primary Account Holder is the actual Member since they are required to prove eligibility. Member Number: The number the Primary Account Holder provides to identify themselves when calling or visiting a branch. Once the Member Number is provided, the representative can see all Account Numbers associated with the individual Member they are serving. MICR Number: (Magnetic Ink Character Recognition) The number at the bottom of your checks. It typically follows the routing transit number. This is also the Electronic Account Number provided through Online Banking on the Account Details tab. Routing Transit Number: The nine-digit code identifying the financial institution. It would be the first 9 digits that appear at the bottom of your checks. Sub Account Number: Previously, under each Member Number was a series of Sub Account Numbers or suffixes that identify an account. Example: 01 represents Share Savings; 09 represents Checking; 142 represents Line of Credit. Sub Account Numbers will no longer exist after conversion. 15

Locations Auburn 65 State Street Auburn, NY 13021 Baldwinsville 15 East Genesee Street Suite 110 Baldwinsville, NY 13027 Canandaigua 400 Fort Hill Avenue Building 7 Canandaigua, NY 14424 Cheektowaga 2690 Walden Avenue Cheektowaga, NY 14225 Chittenango 278 Genesee Street Chittenango, NY 13037 Cicero 5791 Route 31 (Corner of Route 31 & 11) Cicero, NY 13039 East Syracuse 900 Kinne Street East Syracuse, NY 13057 Elmira 351 North Main Street Elmira, NY 14901 Fairmount 3700 W. Genesee Street Syracuse, NY 13219 Fayetteville 7320 E. Genesee Street Fayetteville, NY 13066 Fulton (West) 722 W. Broadway Fulton, NY 13069 Fulton (East) 520 S. 2nd Street Fulton, NY 13069 Johnson City 760 Harry L Drive Johnson City, NY 13790 Lakeland 963 State Fair Blvd. Syracuse, NY 13209 Liverpool 7670 Morgan Road Liverpool, NY 13090 North Medical Center 5112 W. Taft Road Suite B Liverpool, NY 13088 Oswego 100 George Street Oswego, NY 13126 Palatine Bridge 121 Palatine Plaza Palatine Bridge, NY 13428 Syracuse 515 Erie Boulevard West Syracuse, NY 13204 300 Erie Boulevard West Syracuse, NY 13202 (Not Open to Public) 800 Irving Avenue Syracuse, NY 13210 (VA Employee Access Only) Green Hills Farms Grocery Store 5933 South Salina Street Syracuse, NY 13205 Utica 1928 Genesee Street Utica, NY 13502 Western Lights 4729 Onondaga Blvd. Syracuse, N.Y. 13219 16

1 Member Way Syracuse, NY 13212