© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender 1 Jennifer Ramon SVP, Product Development and Review PlainsCapital Bank Making Cents of Savings

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Emergency fund Big purchase Retirement Education Grow idle funds 2 Why Save?

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender How often will you need access to funds? How will you access funds? What is your risk tolerance? What is your ultimate savings goal? 3 Consider Your Objectives

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Personal Savings Accounts Money Market Deposit Accounts Certificates of Deposit Individual Retirement Accounts Coverdell Education Savings Accounts Brokerage Accounts 4 Savings Options

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender A good option for an emergency fund, where you’ll need only occasional access to funds and rate is not a top priority 5 Personal Savings Accounts BenefitsLimitations Minimal balance requirement Nominal rate of interest Unlimited deposits Unlimited withdrawals at ATMs and teller lines FDIC-insured or NCUA-insured No check-writing Limited by Federal Regulation D (“Reg D”) to six pre- authorized withdrawals or transfers per statement cycle Excess transactions may result in fees or account closure Interest earned in excess of $10 per year is taxable income

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Offer more convenient access to funds and often higher interest 6 Money Market Deposit Accounts BenefitsLimitations Typically higher and often tiered rates of interest Unlimited deposits Unlimited withdrawals at ATMs and teller lines Limited check-writing permitted FDIC-insured or NCUA-insured Often higher balance requirements than savings Limited by Reg D to six pre- authorized withdrawals or transfers per month, no more than three of which may be by check, point-of-sale or ACH Excess transactions may result in fees or account closure Interest earned in excess of $10 per year is taxable income

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender An insured option with fixed terms and fixed or variable rates 7 Certificates of Deposit (CDs) BenefitsLimitations Offered in many fixed terms Fixed or variable rates Typically pay higher rates of interest for longer terms Banks may occasionally offer “specials” with premium rates May offer special features, such as a “bump” or “step up” in rate May be renewed at maturity at prevailing rates FDIC-insured or NCUA-insured Generally higher opening balance requirement Not intended for transactions Withdrawals before maturity usually subject to penalties Interest earned in excess of $10 per year is taxable income

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Tax-advantaged, secure option for retirement savings 8 Traditional Individual Retirement Account (IRA) CD BenefitsLimitations Offered in many fixed terms Typically pay higher rates of interest for longer terms Contributions may be tax- deductible Earnings grow tax-free until distributed May accept roll-over funds from other retirement plans FDIC-insured or NCUA-insured Federal limitations on eligibility and maximum contributions Required distributions begin at age 70½ Distributions subject to taxes Please consult your tax professional for tax rules.

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Tax-advantaged, secure and flexible retirement savings option 9 Roth IRA CD BenefitsLimitations Offered in many fixed terms Typically pay higher rates of interest for longer terms Earnings are tax- and penalty- free after five years when funds withdrawn for a qualified reason (age 59½, first-time home purchase, death/disability) No required distributions at 70½ May accept roll-over funds from other retirement plans FDIC-insured or NCUA-insured Contributions are made with after-tax dollars Federal limitations on eligibility and maximum contributions Please consult your tax professional for tax rules.

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Tax-advantaged, secure option for education savings 10 Coverdell Education Savings Accounts (CESAs) BenefitsLimitations Generally low opening balance Typically pay higher rates of interest for longer terms Earnings grow tax-free until distributed Distributions are tax-free if used for qualified education expenses When beneficiary turns 30, unused funds may be rolled into a CESA for a family member FDIC-insured or NCUA-insured Contributions are not tax- deductible Contributions may be made until the beneficiary is 18 Federal limitations on eligibility and maximum contributions When beneficiary turns 30, unused funds must be distributed within 30 days and earnings are subject to taxes Please consult your tax professional for tax rules.

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender Many investment options with potential for high growth 11 Brokerage Accounts BenefitsLimitations Many options available, including stocks, bonds and mutual funds Potential for higher returns based on performance Option to use a full-service brokerage house with investment advisors or discount brokerage services online Not FDIC- or NCUA-insured Subject to market risk and fluctuations Earnings subject to taxes Please consult your tax professional for tax rules.

© 2013 PlainsCapital Bank | Member FDIC | Equal Housing Lender 12 Jennifer Ramon SVP, Product Development and Review PlainsCapital Bank Thank You