Utah Educational Savings Plan

FDIC-Insured Accounts

All of the account money in this investment is allocated to the FDIC-insured accounts held in trust by UESP at Sallie Mae Bank and U.S. Bank (Banks).

Sallie Mae Bank, a wholly owned subsidiary of SLM Corporation, has operated as an industrial bank in Utah since 2005. The bank had approximately $15.5 billion in assets as of June 30, 2016. For more information about Sallie Mae Bank, visit salliemae.com/banking.

U.S. Bank National Association, based in Minneapolis, Minnesota, has been chartered since 1863. U.S. Bank had $438 billion in assets as of June 30, 2016. For more information about U.S. Bank, visit usbank.com.

Contributions to and earnings on the FDIC-Insured investment option are allocated between the Banks according to the following percentages: Sallie Mae Bank (90 percent) and U.S. Bank (10 percent).This money is insured by the FDIC on a pass-through basis to each account owner at each Bank up to the maximum amount set by federal law, which is $250,000. The amount of FDIC insurance provided to an account owner is based on the total of (1) the value of an account owner’s investment in the FDIC-insured account at each Bank plus (2) the value of other accounts held (if any) at each Bank, as determined by the Banks and by FDIC regulations.

The return on contributions to the FDIC-insured accounts is expressed as an annual percentage yield (APY) paid in the form of interest. The interest paid is a floating rate that is a 90/10 blend of the interest paid by each of the Banks based on recognized benchmarks for short-term interest rates.

It is the account owner’s/agent’s responsibility to determine how the UESP investment would be aggregated with other accounts at the Banks for purposes of the FDIC insurance.