WESTFORCE CREDIT UNION                      What Sort Of Investment Is This?
              Investment Statement                       Description of Securities
This investment statement is dated 18 April 2007         This Investment Statement details a secured offer
                                                         of $1 fully paid-up redeemable shares (“shares”)
Important Information                                    in Westforce Credit Union (“Credit Union”).
(The information in this section is required under the   The offer is made to a section of the public,
Securities Act 1978)                                     being:
Investment decisions are very important. They            (a)      any person living or working in the
often have long term consequences. Read all                       Auckland region or Northland region,
documents carefully. Ask questions. Seek advice                   including any such person aged 16 years
before committing yourself.                                       or younger;
Choosing An Investment                                   (b)      any person who is a member of the same
When deciding whether to invest, consider                         household as, and is a relative of, a person
carefully the answers to the following questions                  who has been admitted to membership
that can be found on the pages noted below:                       and who continues to qualify for
Important Questions                          Page                 membership, of the Credit Union under
What sort of investment is this?               1                  paragraph (a) above. The term “relative”,
Who is involved in providing it for me?        1                  in relation to any person, means:
How much do I pay?                             2                  (i)    the spouse of that person including
What are the charges?                          3                         any former spouse or de facto
What returns will I get?                       4                         spouse; or
What are my risks?                             5
Can the investment be altered?                 6                  (ii)   any lineal ancestor, lineal
How do I cash in my investment?                6                         descendant, brother, sister, uncle,
Who do I contact with enquiries about                                    aunt, nephew, niece, or first cousin of
my investment?                                  7                        that person or that person’s spouse;
Is there anyone to whom i can complain                                   and
 if I have problems with the investment?        7                 (iii) the spouse (including any former
What other information can I obtain                                     spouse or de facto spouse) or any
about this investment?                          7                       relative specified in sub-paragraph
In addition to the information in this document,                        (ii).
important information can be found in the                Members, Mutual and Voting
current registered prospectus for the investment.        Shareholders in the Credit Union are termed
You are entitled to a copy of that prospectus on         “members”.
request.                                                 As a member, your shareholding is held in one or
Choosing An Investment Adviser                           more of the personal share accounts operated
You have the right to request from any                   by the Credit Union and nominated by you. The
investment adviser a written disclosure statement        share accounts are described later in this
stating his or her experience and qualification to       Investment Statement.
give advice. That document will tell you:                The members have a degree of control over the
•     Whether the adviser gives advice only              strategic affairs of the Credit Union. At the
      about particular types of investments;             annual general meeting, members vote on the
•     Whether the advice is limited to the               appointment of directors and trustees of the
      investments offered by one or more                 Credit Union, authorise annual directors’ fees
      particular financial organisations; and            and any amendment to the rules of the Credit
                                                         Union (“Rules”), including any alteration to the
•     Whether the adviser will receive a                 Credit Union’s maximum fee structure.
      commission or other benefit from advising
      you.                                               On every matter determined by a vote, you will
                                                         be entitled to one vote irrespective of the
You are strongly encouraged to request that              number of shares held by you, or whether the
statement. An investment adviser commits an              shares are held jointly with another person.
offence if he or she does not provide you with a
written disclosure statement within 5 working            Who Is Involved In Providing It For Me?
days of your request. You must make the request          The Credit Union
at the time the advice is given or within 1 month        The issuer of the shares is the Credit Union. The
of receiving the advice.                                 registered office of the Credit Union is at 1883
In addition: -                                           Great North Road, Avondale, Auckland.
•     If an investment adviser has any conviction        You can contact the Credit Union at one of its
      for dishonesty or has been adjudged                branches, as follows:
      bankrupt, he or she must tell you this in          •     Avondale Branch
      writing; and                                             1883A Great North Road, Avondale
•     If an investment adviser receives any                    Phone: (09) 828 8285 Fax: (09) 828 8151
      money or assets on your behalf, he or she                Hours: 9.00am – 4.30pm Monday to Friday
      must tell you in writing the methods                            9.00am – 12.00pm Saturdays
      employed for this purpose.                         •     Great Barrier Branch
Tell the adviser what the purpose of your                      Old Auckland City Council Offices
investment is. This is important because different             Hector Sanderson Road, Claris, Great Barrier
investments are suitable for different purposes.               Island
                                                               Phone: (09) 828 8285 Fax: (09) 828 8151
                                                               Hours: 9.30am – 4.30pm Wednesdays
                                                                      and Thursdays


•   Great Barrier Nurses Cottage                         Loans to Members
    Aotea Road, Port Fitzroy                             The Credit Union makes loans from the share
    Great Barrier Island                                 capital of the Credit Union to its members. The
    Phone: (09) 828 8285 Fax: (09) 828 8151              availability of loans to you is dependent upon
    Hours: 10.00am-12.00pm Wednesdays                    the availability of funds from the Credit Union's
•   Glenfield                                            share capital at any particular time.
    Shop 4, 111 Bentley Avenue, Glenfield,               The Credit Union’s ability to lend to you is
    Phone: (09) 828 8285 Fax: (09) 828 8151              governed by its Rules, the Trust Deed and the
    Hours: 9.00am – 4.30pm Monday to                     Act. These may from time to time specify the
            Thursday                                     maximum amount which may be loaned to you,
            Fridays, site visitors by appointment        the maximum term of loans or the lending to
•   Papakura Branch                                      assets ratio to be observed by the Credit Union.
    47 O’Shannessey Street, Papakura, Auckland           As at the date of this Investment Statement, the
    Phone: (09) 828 8285 Fax: (09) 828 8151              indebtedness of a member to the Credit Union
    Hours: 9.00am – 4.30pm Monday to Friday              must not exceed:
           9.00am – 12.00 pm Saturdays                   •   10% of the total tangible assets of the Credit
•   Pukekohe Branch                                          Union, in the case of a secured loan;
    14 King Street, Pukekohe                             •   5% of the total tangible assets of the Credit
    Phone: (09) 828 8285 Fax: (09) 828 8151                  Union, in the case of an unsecured loan; or
    Hours: 9.00am – 4.30pm Monday to Friday
            9.00am – 12.00pm Saturdays                   •   Such lesser amount as the board of the Credit
                                                             Union may from time to time determine.
•   Whangarei Branch
                                                         As at the date of this Investment Statement, the
    70 Cameron Street, Whangarei                         maximum period which a loan by the Credit
    Phone: (09) 828 8285 Fax: (09) 828 8151              Union to a member must be repaid is fixed by
    Hours: 9.00am – 4.30pm Monday to Friday              the board of the Credit Union but must not
           9.00am – 12.00pm Saturdays                    exceed:
The branch offices may also be contacted by              •   Twenty years in the case of a loan secured by
telephoning (toll free) on 0508 937 836 if you are           mortgage over property;
calling from outside the Auckland free calling
area only. Operator assistance will be available         •   Ten years in the case of all other secured
during office hours between 8.45am to 4.45pm                 loans;
Mondays to Wednesdays and Fridays, 9.00am to             •   Five years in the case of an unsecured loan;
4.45pm Thursdays and 9.00am to 12.00pm on                    or
Saturdays.                                               •   Such other period as may from time to time
The Prudential Supervisor                                    be authorised by the Act or approved by the
The Credit Union has appointed Trustees                      Registrar of Friendly Societies and Credit
Executors Limited (“Trustees Executors”) for the             Unions in accordance with the Act.
purposes of the Securities Act 1978 to act as            All applications for loans must be made on the
trustee of all the members’ shares. Trustees             form prescribed by the Credit Union from time to
Executors’ contact details are as follows:               time. You will be required to detail in the
     Trustees Executors Limited                          application form the purpose for which the loan
     Level 12,                                           is desired and the security offered (if any). A
     45 Queen Street                                     loan application form can be obtained from
     PO Box 4197                                         one of the Credit Union’s branch offices.
     Auckland                                            Please contact the Credit Union for further
     Phone (09) 308 7100, Fax (09) 308 7101              details of the Credit Union’s terms and conditions
The Credit Union and Trustees Executors have             of lending.
entered into a trust deed dated 20 June 2000 as          The Credit Union reserves the right to decline any
amended by a deed of modification of trust               application for a loan without giving any reason.
dated 21 October 2002 (“Trust Deed”) to record
Trustees Executors’ appointment and their                How Much Do I Pay?
respective rights and obligations.                       Moneys Payable by Subscribers
Trustees Executors does not guarantee the                You must pay for your shares in the Credit Union.
repayment of the shares or of the payment of             The shares are of a fixed, $1 denomination and
any returns thereon.                                     cannot be allotted to you until fully paid-up in
Activities of the Credit Union                           cash. However, payments for shares not in whole
The Credit Union is a financial mutual co-               dollar amounts are credited to your account
operative registered as a credit union under the         and are deemed to be an advanced payment
Friendly Societies and Credit Unions Act 1982            on a subscription for an additional share.
(“Act”). The objects of the Credit Union are             Your shares will rank equally with all other
essentially the promotion of thrift amongst its          members’ shares issued by the Credit Union.
members by the accumulation of their savings,
                                                         Minimum and Maximum Shareholding
the use and control of the members' savings for
                                                         You must hold at least one share in the Credit
their mutual benefit and the training and
                                                         Union. You cannot hold or have an interest in
education of the members in the wise use of
                                                         shares of the Credit Union exceeding the lesser
money and in the management of their financial
                                                         of $250,000 or 10% of total tangible assets of the
                                                         Credit Union (or such other amount as
The Credit Union’s primary activity over the past        determined by the provisions of the Act or the
five years has been to provide a co-operative            Trust Deed).
savings facility for members, through the issue of
shares, to form a loan fund.


Application and Payment for Shares                       *DD cancellation                              $5.00
Your initial application to subscribe for shares         Rejected Automatic payment                    $2.00
must be made on the Credit Union’s standard              Dishonoured Direct Debit                     $25.00
membership application form, which is available          Dishonoured bank A/P                         $10.00
from one of the Credit Union’s branches                  Traces and voucher searches
You must deliver your membership application             (per search < 3 days old)                    $13.00
form, payment for your initial subscription and          Traces and voucher searches
any joining fee to the Credit Union. You will also       (per search > 3 days old)                    $17.00
be required to provide proof of identification to        TXT transaction                               $0.50
the Credit Union at the time you become a                Account closing fee                           $5.00
member.                                                  *Money Transfers to other banks               $5.00
                                                         Account fees:
The Credit Union will only accept your                   *Account fee – qualifying member
application if you meet the membership criteria          (per week)                                    $0.50
specified on page 1 of this Investment                   *Account fee – child under 16 or still at
Statement.                                               High School per yr or part thereof            $1.00
The Credit Union reserves the right to accept or         (if over 16 years of age charged
decline any application without giving any                30th September annually)
reason for its decision.                                 Account fee – non-qualifying member
                                                         (per month)                                   $2.50
The application form also governs subsequent
                                                         Dormancy fee – see rules 86(b) & (c)         $25.00
subscriptions for shares by you, once your
application has been accepted.
The Credit Union may accept subscription                 Loan application fee:
payments in cash, by personal or bank cheque,            Below share loan                             $10.00
direct credit, automatic payment, wage/salary            Above share loan                             $30.00
deduction or as otherwise agreed in writing by           Mortgage loan application fee               $150.00
the Credit Union.                                        Approval/disbursal fee                        $5.00
A number of businesses will deduct member’s
payments directly from their salary on request           Chattel assessment              per invoice
and direct credit the payment to the member’s            PPSR registration               per invoice
share account(s) with the Credit Union.                  PPSR search                     per invoice
                                                         PPSR amendment                  per invoice
What Are The Charges?
                                                         Auto check                      per invoice
Types of Fees and Charges                                Motor web check                 per invoice
In addition to the cost of the shares, you may be        RED BOOK                        per invoice
required to pay account and membership fees              CRA check                       per invoice
and charges.                                             Loan variation                         $30.00
The maximum fees and charges that may be                 Mortgage discharge                   $150.00
payable by you to the Credit Union at the date           Mortgage variation                     $50.00
of this Investment Statement are:                        The above two charges are in addition to
Debit card:                                              lawyers fees
Per transaction:
*NEW ZEALAND ACCESSCARD – ATM              $1.75         Debt collection:
International ATM transaction             $15.00         Delinquent loan
*NEW ZEALAND ACCESSCARD – EFTPOS           $0.50            letters     – first letter                 $2.00
International POS transaction             $10.00                        – second letter and
                                                                         all subsequent letters       $12.00
*NEW ZEALAND ACCESSCARD                                  Debtor final warning                        $100.00
Card issue                                $10.00         Pre-possession notice                       $100.00
Card replacement                          $10.00         Post-possession notice                      $100.00
Monthly fee                                $2.00         After sale notice                            $25.00
PIN replacement                            $5.00
                                                         Debt recovery preparation                 $20.00
Counter/administrative transactions:                     Instruction fee                     per invoice
Entrance fee                               $5.00         Debtor trace – successful           per invoice
Cash withdrawals over $2000                $2.50         Debtor trace – unsuccessful         per invoice
*Cheque withdrawals                        $3.00         Debt recovery field visit           per invoice
Stopped cheques (deposited)               $20.00         Repossession                        per invoice
Stopped cheques (outward)                 $20.00         Document preparation                per invoice
Special Answer                            $25.00         Debt recovery preparation -
Inter Credit Union withdrawal              $2.00           legal action                            $50.00
3rd party counter deposits                 $2.00         Legal costs                         per invoice
Additional statements
(per page archive)                         $2.00         *Credit Union Board, their immediate families
Additional statements                                    and the Staff of Westforce Credit Union are
(per page non archive)                     $5.00         exempt from these fees/charges. All other fees
Passbook issuance                          $2.00         and charges are charged at current rates.
Membership card issue                     $10.00         When the Credit Union incurs charges from any
Membership card replacement               $15.00         other organisation when acting on a member’s
Overdraft – minimum monthly balance         24%          behalf, by way of legal fees, or fees associated
Unauthorised overdraft                    $25.00         with the registration of securities, or some other
*Automatic Payment/DD setup                $5.00         charge or fee which is specific to a particular
*Automatic Payment/DD alteration           $2.00         member, the Credit Union may pass such costs
*Automatic Payment/DD transaction          $0.50         on to the member. Any “mark up” of such
*Automatic Payment Cancellation fee        $2.00


charge shall be kept below 50% of all such fees            At the date of this Investment Statement, the
so charged to that member in every case.                   minimum amount of shares that must be held in
Breach of Loan Contract                                    a Term Share Account is $1000 and terms 1, 3, 6
When a member breaks a Loan Contract by                    and 12 months are available. Interest rates are
requesting that savings be withdrawn to repay a            based on the NZACU’s Central Fund rates for the
Loan other than with the approval of the                   relevant terms and are set throughout the year
Trustees, then the interest rate for the entire loan       according to market conditions. The rates on
shall be at market rates.                                  your term share account will be set at the
                                                           beginning of your term deposit.
Penalty Rates – On Loans in Arrears
The Trustees shall exercise all rights, both               On Call Accounts
enumerated and implied, in the Westforce Loan              The following On Call Share Accounts are
Agreement.                                                 offered by the Credit Union:
The levying of these fees and charges helps the            Cash Access Account, Money Management
Credit Union to cover its costs and maximise its           Account, General Savings Account, Special
returns to you and all other members of the                Purpose Account, Savings Account, Freedom
Credit Union.                                              Account and Kids Club Account.
Alteration of Fees and Charges                             The minimum shareholding for all these share
The Credit Union reserves the right at its absolute        accounts, except the Cash Access Account, is
discretion to vary the types and level of any fees         $1. The Cash Access Account requires an initial
and charges payable by you from time to time.              shareholding of $20 to open an account but $1
Notice of any such change will be posted or                as long as there are funds held in other savings
emailed to you.                                            accounts.
                                                           Withdrawals may be made from these share
What Returns Will I Get?                                   accounts on demand.
Returns                                                    Shares in these share accounts may, subject to
Your shareholding must be held in one or more              the Credit Union’s right to vary the rate of return,
of the share accounts operated by the Credit               receive a monthly return from the profits of the
Union. You must nominate in writing which share            Credit Union. As at the date of this Investment
account(s) your shareholding is to be held in.             Statement, this return is calculated as follows:
Each share account may offer differing terms
and conditions as to any return, minimum                   Cash Access Account, 0% for credit balances;
shareholding and the timing of repayment.                  24% for debit (overdrawn balances;
                                                           Money Management Account, 0% for credit
Share Accounts                                             balances;
The rate of return on your shares is dependent on          General Savings Account, minimum monthly
the type of share account in which your shares             balance, 1% for credit balances;
are placed, the terms and conditions of that               Special Purpose Account, minimum monthly
account, the rate of return currently offered on           balance, 3% for credit balances;
that account, the minimum amount of shares                 Savings Account, minimum monthly balance, 2%
required to be held in that account, the term of           for credit balances;
the investment and the timing of repayment of              Freedom Account, minimum monthly balance,
the relevant share account.                                2% for credit balances.
The board of the Credit Union reserves the right           Kids Club Account, minimum monthly balance,
to alter the terms and conditions of the share             2% for credit balances.
accounts. Notice of any such variation will be
included in the Credit Union’s newsletter, which           All interest payments are generally made on 30
is distributed to all members.                             September annually, or on closure of the
Profitability of Credit Union
Your rate of return is also dependent on the               Notice of Withdrawal Accounts
profitability of the Credit Union. Please see the          At the date of this Investment Statement, the
risk disclosures on page 5 for further details.            Loan Provider Account is the only notice of
                                                           withdrawal account offered by the Credit Union.
The amount of any surplus available for
distribution to you (by way of a return on the             Withdrawals may only be made on 14 days
share accounts) is subject to the Credit Union’s           notice or closure. Shares in this account may,
obligation to maintain a general reserve and               subject to the Credit Union’s rights to vary the
prudential reserve:                                        rate of return, receive a return from the profits of
                                                           the Credit Union as follows:
•    General Reserve: The Act requires the Credit
     Union to maintained a general reserve at              Up to and including $500    0% per annum
     5% of the total tangible assets of the Credit         Over $500                   1% per annum
     Union.                                                Over $1,000                 1.5% per annum
                                                           Over $3,000                 2% per annum and
•    Prudential Reserve: The Credit Union is               Over $5,000                 3% per annum.
     required by the Trust Deed to maintain a
     prudential reserve (which includes the                All interest payments are made on 30 September
     general reserve) at 10% of the total tangible         annually, or on closure of the account.
     assets of the Credit Union.                           Please contact the Credit Union for further
The general reserve and prudential reserve                 details about this notice of withdrawal account.
cannot be utilised for the payment of returns.             Special Share Accounts
Term Shares                                                The Credit Union offers a Christmas Club
Shares in a Term Share Account will earn a return          Account. The minimum shareholding for this
at the rate specified by the Credit Union upon             share account is $1 as long as there are funds
subscription. This rate of return will generally be        held in the Cash Access Account.
comparable to the rates offered for Term                   Shares in this share account may, subject to the
Deposits by other saving institutions.                     Credit Union’s right to vary the rate of return,
                                                           receive a return from the profits of the Credit


Union. As at the date of this Investment                  disclosed under the headings “How Much Do I
Statement, the return of this account is                  Pay?” or “Consequences of Insolvency” are as
calculated at 3% on the minimum monthly                   follows:
balance.                                                  •   Competition
Interest is paid on 31 October annually or on                 The Credit Union is restricted as to the class of
closure of account. Shares in this account may                persons it may offer shares in the Credit Union
be accessed between 1 November to                             to and accept as members. This restriction is
31 January annually. Withdrawal outside of this               called the Credit Union’s “common bond”,
period closes this account.                                   and is described under “What sort of
Please contact the Credit Union for further                   investment Is this?” on page 1.
details about this special share account.                     The Credit Union is competing with banks,
Confirmation of Share Accounts                                other Credit Unions and companies
To confirm the share accounts offered by the                  operating in the wider public savings and
Credit Union at the date of your subscription and             loans market which are spread over a greater
the rates of return on the same please contact                geographical area. If there is an economic
the Credit Union.                                             slow down in the, Auckland and Northland
                                                              regions, this may affect the Credit Union’s
Statement of Shareholding                                     competitiveness, profitability and returns
The Credit Union will on request, and not less                payable to you.
than every six months during your membership,
forward you a statement of your accounts with             •   Member Returns
the Credit Union. You may also check your                     The rate of return on your shares is dependent
shareholding with the Credit Union by using its               on annual surpluses being earned through
automated telephone system, cellular TXT                      the ongoing profitability of the Credit Union.
service, or secure internet service.                          Your returns may be reduced or possibly
                                                              forgone if the Credit Union’s profitability
You must obtain a log-in identification and                   becomes threatened. The rate of return on
password from the Credit Union before using the               the shares is therefore dependent on the
automated telephone service or secure internet                ability of the board of the Credit Union and
service for the first time. To use the automated              senior management to operate the Credit
telephone service, you should call (09) 828 8285              Union profitability.
or (toll free) on 0508 937 836 if calling from
outside the Auckland free calling area only. You          •   No Guarantee
must register with the Credit Union for the use of            Neither the directors, the trustees, the audit
the cellular TXT service. To use the secure                   committee members, the ethics committee
internet service, you will need to log onto                   members, nor any other persons guarantee These automated                         the repayment of the value of the shares, or
balance services are generally available                      the payment of any returns payable on
24 hours a day seven days a week.                             shares held in the Credit Union.
Payment of Returns                                        •   Insolvency
Returns payable on your shares will be credited               The Credit Union must remain solvent, that is,
to your share account(s) at such intervals as is              its assets must exceed its liabilities and it must
provided in the terms and conditions of the                   be able to meet its debts as they fall due.
relevant share account.                                       Long-term profitability contributes towards
                                                              solvency as this enables the Credit Union to
Maturity                                                      maintain adequate reserves.
Shares in a term share account or special share
account will mature on their respective maturity              The Credit Union could become insolvent
dates. If you have given instructions for any                 and be wound up where a significant
moneys held in a share account to be                          amount of the loans due for repayment
automatically reinvested at the end of the term,              remain unpaid for an extended period of
the reinvested funds will earn the return                     time, or where as a result of the risks stated
applicable at the time of reinvestment to the                 above or otherwise, the Credit Union is for
share account nominated. Unless requested by                  any reason unable to pay its debts as they fall
you, you will not generally receive a notice of               due.
reinvestment.                                             Consequences of Insolvency
On Call and Notice of Withdrawal Share                    Should the Credit Union become insolvent:
Accounts are transactional accounts and do                •   You will not be required to pay any additional
not have a maturity date.                                     moneys other than those owing to the Credit
Withholding Tax                                               Union under your shares (if any) and any
The Credit Union will deduct resident withholding             outstanding loan balance;
tax from the gross return payable to you, unless it       •   The Credit Union is legally obliged to reject all
receives a copy of a valid certificate of                     requests for withdrawals from your share
exemption.                                                    accounts, and will not be entitled to make
Obligation to Pay Returns                                     any further loans; and
The Credit Union is, subject to the terms of the          •   Your claims will rank equally with all other
share account, legally obliged to pay the returns             members’ claims (including those who invest
on your share account(s) to you.                              under a later prospectus).
What Are My Risks?                                        You will not be entitled to participate in any
                                                          residual surplus of the Credit Union upon winding
Risks                                                     up.
The principal risks of the money paid by you not
being recovered in full, you not receiving the            If the Credit Union fails to maintain adequate
returns described under the heading “What                 reserves, it may be suspended from trading by
Returns Will I Get?” or being required to pay             the Registrar of Friendly Societies and Credit
more money in respect of the shares than                  Unions or the Prudential Supervisor.


Winding Up                                                 Executors may exercise its rights of enforcement,
On a dissolution or winding up of the Credit               which may include, but are not limited to giving
Union, you will receive no more than $1 per                directions, appointing a receiver or requiring
share plus any returns owed. You do not share in           immediate repayment of all moneys (including
any surplus arising from the sale of the Credit            member’s subscription) secured under the Trust
Union’s assets.                                            Deed.
Ranking of Security                                        How Do I Cash In My Investment?
At the date of this Investment Statement, there
are no claims that rank in priority to or equally          Termination of Non Qualifying Member
with members’ claims, except for claims given              Should you cease to meet the membership
priority by the Trust Deed or by law, for example          criteria of the Credit Union, or fail to operate at
any moneys owing to Trustees Executors and any             least one share account during any twelve
unpaid wages and taxation.                                 month period, you will be deemed to be a “non-
                                                           qualifying member”. A non qualifying member
Members’ shares are secured to the extent                  may, subject to the Rules and the provisions of
permitted by law by a first ranking equitable              the Act, purchase shares and receive loans. A
assignment by way of security over the whole of            loan to a non-qualifying member may not
the Credit Union’s present and future                      exceed the shares held by that member in the
undertaking, assets and revenues, including the            Credit Union.
proceeds received for the subscriptions of shares
and unpaid share capital (if any). This security           The number of non-qualifying members must not
has been granted in favour of Trustees Executors.          exceed 10% of the total membership of the
                                                           Credit Union. In such event the rules of the
The Credit Union has also granted Trustees                 Credit Union authorise the board of the Credit
Executors a security interest in all its present and       Union to terminate the membership of as many
after-acquired personal property. Trustees                 non-qualifying members as is necessary to
Executors has registered a financing statement             reduce the number to 10% of the total
under the Personal Property Securities Act 1999.           membership.
If you have given notice of withdrawal of your             Withdrawal From Membership
shares prior to liquidation of the Credit Union            You may withdraw from the membership of the
your claim will rank ahead of claims by any other          Credit Union at any time. All amounts paid on
creditors. However, if, at the time of the Credit          shares by you, plus any returns owed, will be
Union being placed in liquidation, you have not            paid to you as funds become available but only
made a claim for withdrawal of your shares and             after deducting all amounts due from you to the
Trustees Executors has not exercised its powers            Credit Union. The terms outlined under the
under the Trust Deed to accelerate the                     heading “Withdrawals” below will apply to
repayment of the moneys owing in respect of all            payments made to you.
members’ shares, then you will be treated as a
shareholder in the liquidation of the Credit Union         Death or Bankruptcy
and rank behind all secured and unsecured                  In the event of your death, your survivor or
creditors (if any).                                        survivors if you are joint holder of shares, and the
                                                           executors/administrators of your estate where
Additional Security                                        you are the sole holder of the shares, will be the
With the prior written consent of Trustees                 only persons recognised by the Credit Union as
Executors, the Credit Union may grant a security           having any title to your interest in the shares. In
interest over or affecting all or any part of its          the case of the death of a joint holder of the
assets, and any such security interest may take            shares, his or her estate shall remain liable in
priority to the members’ claims for withdrawals            respect of any share which has been jointly held
secured by the Trust Deed.                                 by you with other persons.
Can The Investment Be Altered?                             The executors/administrators of your estate will
Alteration by Members                                      be entitled, upon the production of such
You may alter the number of shares that you                evidence as may be required by the Board of
hold in the Credit Union or the type of share              the Credit Union, to be paid all amounts paid on
account in which you hold your shares, subject             shares by you, plus any returns owed but only as
always to the particular terms and conditions of           funds become available and only after
your share account(s).                                     deducting all amounts due from you to the
                                                           Credit Union. The terms outlined under the
You may be required to pay account charges                 heading “Withdrawals” below will apply to
when altering your investment. You should refer            payments made in this case.
to “What are the Charges?” for a description of
the Credit Union’s maximum fees and charges.               Expulsion from Membership
                                                           Members may be expelled from membership of
You cannot otherwise alter your investment.                the Credit Union by a two-thirds majority vote of
Alteration by the Credit Union                             the board members present at a special board
The Credit Union reserves the right at its absolute        meeting duly called for that purpose. All
discretion to vary the terms, conditions or rate of        amounts paid on shares, plus any returns owed,
return of any share account from time to time.             will be paid to an expelled member as funds
You will be provided with notice of any such               become available and only after deducting all
alteration.                                                amounts due from the member to the Credit
The Credit Union may not charge members more               Union. The terms included under the heading
than the maximum fees specified in its Rules. A            “Withdrawals” will apply to payments made to
change to these maximum fees is a change to                withdrawing or expelled members.
the Rules and must be voted on by members at               Withdrawals
a general meeting.                                         Subject to the provisions of the Act, you will
Trust Deed                                                 operate your share account(s) in a similar
In the event the Credit Union breaches its                 manner to a bank account. While shares are
obligations under the Trust Deed, Trustees                 usually available to be withdrawn at call, the


Rules may provide that a 60-day notice period             The Registrar’s contact details are:
for withdrawal may be required.                              Companies Office
Methods of withdrawal available to you may                   Business & Registries Branch
include presenting signed withdrawal slips at one            Ministry of Economic Development
of the Credit Union’s branch offices during their            Level 5, District Court Building
ordinary office hours, by making a withdrawal                3 Kingston Street
request at any time via the Credit Union’s                   Private Bag 92061
automated telephone system or secure internet                Auckland
service, by using ACCESSCARD (a debit card)                  Phone (09) 912 7677 Fax (09) 912 7787
through the EFTPOS network system at certain              There is no ombudsman for this kind of
ATMs, direct debit, automatic payment, or                 investment, to whom complaints can be made.
cheque. The Credit Union will advise you what
methods of withdrawal are available to you                What Other Information Can I Obtain About This
when you open a share account. The methods                Investment?
of withdrawal may differ for each share                   Credit Union
account.                                                  You can obtain further information about the
If a withdrawal of shares would reduce your               share offer detailed in this Investment Statement
paid-up share holding in the Credit Union to less         and the Credit Union by requesting a copy of
than your total liability to the Credit Union then:       the Rules, the Credit Union’s most recent
•    If you are a non-qualifying member, the              registered prospectus and the Credit Union’s
     withdrawal will not be permitted; and                audited financial statements.

•    In any other case the withdrawal will be             The documents can be requested from the
     permitted at the discretion of the board of          Credit Union’s registered office or one of its
     the Credit Union.                                    branches. The documents can also be
                                                          inspected during normal office hours at the
The Credit Union is not entitled at law, to consent       same locations.
to any withdrawals from your share account(s)
where the Credit Union is unable to meet its              Companies Office
debts as they fall due.                                   The Rules, the Credit Union’s current registered
                                                          prospectus, and its audited financial statements
Early Repayment                                           are available on the Companies Office website
The policy of the Credit Union is to not make             at The Companies
repayments prior to maturity.                             Office will not charge a fee for accessing
In the event of financial hardship or                     documents from the Credit Union’s online file.
extraordinary circumstances, you may make                 Where relevant documents are not available on
written application to the Credit Union for               the website, a request for documents can be
repayment prior to maturity. The Credit Union             made (on payment of a fee) by contacting the
may exercise its discretion to repay the funds in         Companies Office Contact Centre (toll free) on
whole or in part. In such case the return payable         0508 266 726.
may be subject to adjustment in accordance
with the terms of the share account.
Right to Sell Securities
Shares in the Credit Union are not generally
transferable. However, you may nominate
someone to receive your shareholding upon
your death up to a maximum of $2,000. Any
such nomination must by in writing, signed by
you and delivered or sent to the registered office
of the Credit Union.
Who Do I Contact With Enquiries About My
All staff and management of the Credit Union
can assist with any questions about investing in
shares in the Credit Union. Staff and
management of the Credit Union can be
contacted at any one of the Credit Union’s
branch offices.
Is There Anyone To Whom I Can Complain If I
Have Problems With The Investment?
Any complaint about an investment should, in
the first instance, be made to the manager or
chief executive officer of the Credit Union, and if
you still have problems the board of the Credit
If after discussing any concerns with the above
persons, you are still not satisfied, you may
contact either:
•    Trustees Executors; or
•    The Registrar of Friendly Societies and Credit


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