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Capital Lines of Credit

[Features & Benefits]   [Interest Plans]

Capital Lines of Credit provide you with a revolving line of credit for capital purchases. These purchases may include equipment, breeding livestock, real estate improvements, college expenses, or other capital items. Some restrictions may apply. It is similar to a Revolving Operating Line with the added benefit of being able to amortize the purchases for a longer period of time.

Repayment Options

The Preferred Capital Line will typically use one of the following repayment plans.

• Percent of Principal: You are billed a percentage of the outstanding loan balance at each payment due date, plus the accrued interest. For example, 2% of the outstanding principal each month plus interest.
• Fixed Payment Amount: You will be billed a set dollar amount, which includes interest on a predetermined schedule.
• Fixed Principal Amount Plus Interest: For example, $500 per month plus interest.
• Other Terms: These loans can be written for up to 5 years at which time a balloon payment will be due. If the customer continues to qualify, the loan can be renewed for an additional revolving period, converted to a term loan, or the loan can be called due in full.

Pricing Options

Three pricing options are available for Preferred Capital Lines:

• Variable Rate (30 Day Adjustable): Customer's rate may change on the first of every month.
• Prime Indexed: Rate is tied to the Prime rate.
• One Year Adjustable: Rate is fixed for 12 months and automatically re-prices to another 1-year adjustable product until maturity.

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Features and Benefits

Feature	Benefit
Loan funds available with convenient draft option	You can access loan funds 24 hours per day, 7 days a week by simply writing a draft. You control the use of your loan funds.
You receive benefit of draft float	By using drafts, disbursements are not charged to your loan account until the drafts clear the banking channels. This can save you several days' interest expense.
Flexible payment schedule	We can develop a payment plan that matches your cash flow. Your payments can be monthly, quarterly, semi-annually, or annually.
Revolving line of credit	You may borrow and repay funds as often as you like prior to maturity. This allows you to manage your cash and minimize your interest expense. It also provides you pre-approved credit, which allows you to shop for items at your convenience and obtain the best deal.

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Interest Plans

Interest Type	Index	Repricing Frequency	Maturity Min/Max	Comments/Features
Variable/ 30-day Adjustable >>> rates	GreenStone determines rate.	Monthly	60 months maximum	Most common product used.
Adjustable >>> rates	GreenStone determines rate.	1 year	60 months maximum	At repricing, loan automatically re-prices to same product code.
Prime Indexed >>> rates	Prime Rate as quoted in the Wall Street Journal	Monthly based on the Prime as of the 10th of the previous month	36 months maximum	Rate is indexed to Prime for 1 or 3 years. At end of 1 or 3-year period, the margin will automatically reset to the current margin in effect.

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