Important notes about ACH deposits and returns

ACH Deposits:

• Full access to ACH deposited funds occurs after the ACH has cleared, typically 5 to 7 business days after the deposited is initiated.

• BBAE will immediately release a portion of your ACH deposit into your buying power, which can be used to purchase securities with a market capitalization greater than $500 million. However, options trading and purchases in advisory portfolio accounts are limited to fully cleared funds only. Uncleared ACH funds will not be counted toward margin equity or calculated as part of your day trading buying power.

• You will receive a notification from us once your ACH deposit has fully cleared. At this point, all funds from the ACH deposit become available for trading and withdrawal with no restrictions.

• If this is your first ACH deposit or you have no cash balance in your account prior to the deposit, proceeds from unsettled sell orders cannot be used until the trade settles.

• The partial amount released is determined by your total account balance:

1. If the ACH deposit amount is less than $1,000, you will receive full access to the entire ACH deposit amount immediately.

2. If the ACH deposit amount is greater than $1,000, the amount released to your buying power will generally be a minimum of $1,000. This amount may increase depending on your account equity prior to the deposit. If you have margin trading privileges, you will receive 2 times the buying power of the released amount (based on a 50% maintenance margin requirement).

Please note that the partial release amount is subject to change at any time.

ACH Returns:

In some cases, ACH deposits into your BBAE account may be returned for various reasons by your bank. Some common reasons for ACH returns include:

• Insufficient funds
• Incorrect bank account information • Duplicate transactions
• Declined or prohibited transfers

A $30.00 return fee will be applied to your account if an ACH return occurs. Please note that customers are responsible for all charges that result from returned payments and additional trading restrictions may apply.

To avoid ACH returns, we highly recommend the following:

• Ensure you have sufficient funds in your bank account for 1 to 2 business days after submitting an ACH transfer request. Note that some banks charge maintenance fees which may impact your daily balance.
• Confirm that your bank account supports standard outgoing ACH transfers and that the account information entered when linking the account is accurate. Be careful when making ACH transfers from a savings account because some savings accounts limit the number of transactions per month, including the micro-deposits used to confirm the account linkage.

If we receive an ACH return notice from your bank, we will restrict the ACH deposit amount and any reversal fees from your buying power until the funds are transferred back to your bank.

Please take appropriate precautions when setting up and using ACH transfers to fund your BBAE account. Following these best practices will help minimize the possibility of ACH returns and any resulting account restrictions or fees.

Please contact us if you have any other questions about the clearing, availability or potential return of ACH deposits into your brokerage account. Our goal is to provide transparency into how we handle your funds so you know exactly when deposits become available for your use.