b. Grace Period. The Credit Union is revising Section 7 Finance charges below regarding the “Grace Period” for avoiding Finance Charges on purchases transactions. The Grace Period is changed and will now apply to any portion of the purchases or balance transfer balance that is paid by the due date.

c. Late Fees/Overlimit Fees. The Credit Union is increasing the amount of the late payment fee and eliminating the overlimit fee.

1. Sec. 6. Monthly Payment. The current Section 6.a. Minimum Payment is replaced with the following provision:

“a. Minimum Monthly Payment. We will mail you a statement every month if your account has a balance. You agree that you will pay each month not less than the minimum monthly payment on or before the scheduled monthly due date. The minimum monthly payment will be 3.0% of your outstanding balance (“New Balance”) or $20.00, whichever is greater. If your outstanding balance is $20.00 or less, you agree to pay the balance in full. You may pay in full for all your purchases and cash advances each month, or you may repay in monthly installments. We can accept late payments or partial payments, or checks, drafts, or money orders marked “payment in full” without prejudice to our rights under this Agreement, which are hereby explicitly reserved. A credit posting from a merchant or reversal of fees do not constitute a minimum payment. The minimum monthlypayment may be allocated at the Credit Union’s discretion to pay off lower rate balances, such as promotional offers, before higher rate balances, such as cash advances or purchases. Payments in excess of the minimum monthly payment will be allocated first to higher rate balances, as applicable. From time to time, we may allow you to skip your minimum monthly payment due. If you choose to skip that payment, FINANCE CHARGES will continue to accrue in accordance with this Agreement. Payments received at: Whatcom Educational Credit Union, PO Box 9750, Bellingham WA 98227 at or before 5:00 PM Pacific Time on any business day will be credited to your Account as of that date; payments received by mail at that address after 5:00 PM Pacific Time, on a weekend or federal holiday will be posted to your Account as of the next business day. Payment crediting to your Account may be delayed up to five days if your payment is received by mail at any other address or not accompanied by the remittance portion of your Account statement.” Please note that Platinum accounts still require all payments be paid via any electronic method listed: online using E-Max at www.wecu.com, by phone using Tele-Max at 360-756-7777, payroll deduction or pre-authorized transfer from your WECU account.

2. Sec. 7 Finance Charges. The 1st paragraph of current Section 7 is replaced with the following provision:

“A FINANCE CHARGE will be imposed on the portion of purchases included in the New Balance that remains unpaid within 25 days after the closing date. This “grace period” allows you to avoid a FINANCE CHARGE on purchases for a billing cycle. However, if you do not pay the New Balance for purchases within the grace period, your FINANCE CHARGE will accrue on any unpaid purchase transactions from the date of purchase.”

3. Sec 8. Other Charges. Late Fee/Overlimit Fee. The late charge is increased to: “5% of the minimum monthly payment or $15.99 whichever is greater.” Previously it was “5% of the minimum payment or $5.99 whichever is greater.” This change is effective February 20, 2010. The overlimit fee of $10 is eliminated effective February 20, 2010.