Accounts

The Free Lakota Bank presently offers customers a variety of storage and dividend accounts. Each account is denominated and valued to the hundredth ounce of .999 fine Silver or .9999 fine Gold, not dollars or any other currency. All transfers and deposits are credited or debited to the hundredth of the ounce.

Demand Deposit Accounts:

Our basic account is the Demand Deposit Account, available in both Silver and Gold, which offers the ability to make deposits, send to and receive payments from other Commodity Bank account holders, and facilitate withdrawals. The minimum opening deposit is 20 ounces of Silver or one ounce of Gold. If you hold a GDF Account contract, monthly account storage fees are waived. Otherwise, there is a fee of one ounce of Silver per month to maintain a Demand Deposit account.

Accounts are provided a 30-day grace period upon enrollment to make your initial deposit or inbound transfer.

Silver accounts are designated by the ounce with the XAg symbol, Gold deposits are designated by the ounce with the XAu symbol, and OCX accounts by the currency value with the symbol OCX (local deposits only).

Important Notes Regarding Demand Deposit Accounts:

1) Your account must be funded within 30 days of establishment to avoid service interruption.

2) Your account is not credited until we receive your deposit. If you are funding your account through an exchange at an authorized bullion dealer, your account will not be credited until we physically receive the property or a corresponding in-kind transfer from your dealer.

3) If you establish a GDF deposit of 20 ounces of Silver or more, the fee to maintain a Demand Account is waived.

General Development Fund:

A General Development Fund contract is a term agreement between a depositor and the Free Lakota Bank. Each contribution to the General Development Fund represents a specific agreement with the Bank for a particular length of time and rate of return, much like a Certificate of Deposit. The minimum contract amount is 20 ounces. Subsequent GDF deposits can be made, however each deposit represents a new contract, term and rate.

The following GDF contract term lengths and rates are presently available:

12-month GDF contract – 3.25% annual return
24-month GDF contract – 5.25% annual return
36-month GDF contract – 7.25% annual return

(rates effective 01 January 2014 and may be changed any time without notice)

Important General Development Fund Information:

1) Please note that all accounting is in ounces of minted Silver and Gold. While the “dollar” value of these metals may fluctuate, the number of ounces in a GDF contract do not. Interest on your deposit is calculated in ounces of Silver or Gold, not dollars. For example, if you deposit 100 ounces in a 12-month GDF contract, you will accumulate 3.25 ounces of Silver in interest, rounded down to the nearest hundredth of an ounce. At the end of the contract, the “dollar” value may have fluctuated up or down, however the value of another currency does not affect the number of ounces in your contract and is not considered in the valuation of your account. Your deposit is recorded in ounces of metal – the quantity of which do not fluctuate in “value”.

2) Because establishment of GDF accounts are accepted at the bank’s discretion, not always available and linked to a specific bank investment, early exits from GDF contracts are not permitted. However, if you need to exit a GDF contract early, please contact the bank to coordinate the possible early buy-out of your agreement.

3) We are pleased to announce an important modification in the way GDF contracts are managed and interest paid: now, GDF contracts feature a fixed value that does not appreciate over the term. Instead, interest is paid monthly to your matching currency Demand Deposit account, rounded to the nearest hundredth of an ounce on each dividend payment.

Flex Silver Savings:

New for 2014, Free Lakota Bank is pleased to offer Silver depositors the option of a Silver Flex Savings Demand Deposit account, featuring the ability to deposit and withdraw at your discretion while earning a 1% annualized return, calculated by the average daily balance and compounded in your Flex Savings account on the 1st of each month.