LockHabit is a financial technology company, not a bank. Banking services and deposit custody are provided by regulated partner banks. When structured for pass-through coverage, balances may be eligible for FDIC insurance up to legal limits per depositor, per bank.

1. Acceptance of Terms

By joining the waitlist, creating an account, using the simulator or opening a LockHabit account when available (collectively, the “Services”), you agree to these Terms and any policies referenced here. If you do not agree, do not use the Services.

2. Eligibility

• At least 18 years old and legally capable of entering a binding agreement.
• U.S. resident with a valid SSN/ITIN (for production account opening).
• Pass any required identity, sanctions and fraud checks.

3. Savings “Lock” Accounts

LockHabit provides a behavioral “hard-lock” savings mechanism. You choose a term and optionally set up recurring contributions. Funds are reserved for you and not lent to others by LockHabit.

3.1 Lock Terms & APR Tiers

• APR Tiers (illustrative, subject to change): 1–3 months: 1.5–2.0% APR; 4–6 months: 2.5–3.0% APR; 6–12+ months: 3.25–3.5% APR.
• APR is prorated based on time in lock. Rates may change with notice; final APY and disclosures will be shown at account opening.
• Auto-Upgrade: If you extend your lock to a higher tier, the new APR takes effect on the next cycle date (or within 14 days), and continues while the new term is active.

3.2 Early Withdrawal Policy

Locks are intended to be held to maturity. Non-emergency early withdrawals incur a fee to discourage impulsive breaks and protect program stability:

• Standard early-break fee: 5–10% of the amount withdrawn (final schedule disclosed at account opening).
• Relock Grace: If you relock the withdrawn amount within 48 hours, LockHabit may reduce the early-break fee by up to 50% (promotional/eligibility rules apply).

4. Self-Backed Loans

Borrowing is secured by your locked balance and designed to help you avoid early-break fees.

4.1 Standard Self-Loan

• Maximum loan amount: up to 75–80% of current eligible balance.
• APR: typically 6–8% (subject to change), credited back to your lock after full payoff.
• Payment reporting: intended to be reported to major bureaus; on-time payments may help build credit; late/missed payments may harm credit.
• Two (2) skip-a-payment options per 12-month period, which extend the loan term by one month each. Interest continues to accrue during skipped months.

4.2 Emergency Loan (EAP)

• Eligibility: verified hardship (e.g., job loss, medical, disaster). Documentation may be required.
• Amount: up to 90% of eligible balance. Intro APR: 0% for 3–6 months (term varies on qualification).
• After the intro term, standard program APR may apply to any unpaid principal.

4.3 APR During Outstanding Loans

• While a self-loan is outstanding, the APR on the remaining locked funds may be reduced to 1–1.5% until the loan is brought current or repaid.
• When the loan is current for 2 consecutive cycles or fully repaid, the lock APR may return to the applicable tier.

5. Fees

• Unlock fee at maturity: flat $3 / $2 / $1 (by term) or as disclosed at account opening.
• Non-emergency early break: 5–10% of withdrawn amount.
• Program/premium tier (optional): $5–$7.99/mo includes benefits such as lower fees, faster EAP decisions, higher loan limits, or rate boosters (details disclosed at enrollment).

6. Disclosures & Risk

• APRs and fees can change with notice. Some features may require partner bank participation and regulatory approvals.
• High-risk investment simulations (e.g., ETF at 15%) shown in demo are illustrative only and not investment advice. You may lose money.
• All loans are subject to approval and verification.

7. Communications & E-Sign

By using the Services you consent to receive electronic communications and disclosures. You may withdraw consent by contacting lockhabit@outlook.com, which could impact your ability to use the Services.

8. Privacy

Your privacy is important. See our Privacy Policy for details on data collection and usage.

9. Changes to the Terms

We may update these Terms. Material changes will be communicated and become effective as stated in the notice.

10. Contact

Questions? Email lockhabit@outlook.com.

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