Under federal law, we are required to report our deposits in a certain way for regulatory reporting purposes. We are simply changing the way we report checking accounts and we are notifying you of this change. It does not affect you in any way.
Effective immediately, the Bank may make a change in your Checking Account that will not affect your available balance, interest earnings, FDIC Insurance, or bank statement. This account will consist of a checking sub-account and a savings sub-account. The Bank may periodically transfer funds between these two sub-accounts. On a sixth transfer during a calendar month, any funds in the savings sub-account will be transferred back to the checking sub-account. If an account is on a Plan on which interest is paid, your interest calculation will remain the same. Otherwise, the savings sub-account will be non-interest bearing. The savings sub-account will be governed by the rules governing our other savings accounts.
Frequently Asked Questions Regarding Deposit Reclassification
What are you doing to my account? Why are you doing this?
Under federal law, we are required to classify our deposits in a certain way for regulatory reporting purposes. We are simply changing the way we report checking accounts and we are notifying you of this change. It does not affect you in any way.
Has my availability of funds been changed?
No, our funds availability will not be affected in any way.
Is my account still insured by the FDIC?
The FDIC insurance on your account will remain as it is today.
How is Blue Foundry Bank benefiting from this?
This change will lower the amount of funds that we are required to keep on deposit at the Federal Reserve Bank, providing more funds for lending and investment purposes.
Will you increase your rate on my interest-bearing accounts?
No, but this change will allow us to continue to pay competitive rates on all of our deposit products.
Will my fees go up?
No, this change will not affect your account in any way.