Subject to common definitions and provisions and in consideration of the mutual covenants and warranties contained herein, the person (Account Holder) executing this agreement, and United Precious Metals Association (“UPMA™”), a Limited Cooperative Association operating on a non-profit basis for the benefit of its members, hereby agree as follows:
Contributions. Account Holder may make contributions to UPMA™ by tender of Paper Dollars for conversion into Gold Dollars or Silver Dollars as instructed by Account Holder by means of Dollar Cost Averaging. Once converted through escrow Account Holder contributions shall be held in trust for Account Holder’s benefit. Gold and Silver dollars deposited are treated differently than ones purchased through our system. Members that have deposited specie legal tender may be subject to a fee when redeemed for paper dollars. See the fee schedule for more details.
Deposits. Account Holder may make Specie Legal Tender deposits to be held in trust for the benefit of the Account Holder. Constitutional Silver Dollar (CSD) deposits shall be converted to Silver Dollars (SD) at a rate of $1.50CSD to $1.00SD nominal face value.
Bailments. Account Holder may offer bullion for conversion into Specie Legal Tender deposits to be there held in trust for the benefit of Account Holder. Silver bullion bailments shall be converted to Silver Dollars and gold bullion bailments shall be converted to Gold Dollars at the then current Fix Rate.
Exchanges. Account Holder may exchange Gold Dollars for Silver Dollars and visa versa at the then current relative Exchange Rate. Exchanges in excess of the Monthly Threshold shall be assessed an Exchange Fee as set forth in the Fee Schedule.
Withdrawals. Account Holder may withdraw Gold Dollars and/or Silver Dollars from to the extent of the Account Holder’s available Account Balance, in minimum 50 Gold Dollar or 1 Silver Dollar increments. All shipping costs and related charges as set forth in the Fee Schedule shall be assessed against the Account Holder’s Account Balance.
Redemptions. Account Holder may redeem Specie Legal Tender holdings for Paper Dollars at the then current Exchange Rate for placement on Account Holder’s debit card, or for payment by check, ACH or wire transfer. Redemptions in excess of the Monthly Threshold or redemptions of prior Deposits shall be assessed a Redemption Fee as set forth in the Fee Schedule. Redemption requests shall first be applied against any unredeemed Deposits before being applied to unredeemed Contributions.
Sales. Account Holder may sell or buy goods and services to or from other UPMA™ Members in exchange for Specie Legal Tender.
Escrow Agent. Escrow Agent shall provide all escrow and trust services necessary for Account Holder contributions, deposits, bailments, exchanges, withdrawals, redemptions or sales, which shall be processed by Escrow Agent as soon as practicable. However, Escrow Agent shall not release monies out of escrow or trust without adequate collateral that have not been fully cleared by the financial institution from which they originated. ACH transfers and personal checks can take up to 60 days to clear. Other types of transfers may be similarly delayed.
Vaulting & Insurance. All Specie Legal Tender held for the benefit of Account Holder shall be maintained in the care, custody and control of Escrow Agent, its contracted vaulting facilities, or common carriers, and shall at all times be fully insured against loss or damage.
Statements. UPMA™ shall provide Account Holder with access to on-line monthly statements denominated in Specie Legal Tender, including details of all transactions and fees affecting the Account Holder's Account Balance during the month.
Dividends and Rewards. Account Holders who qualify as UPMA™ members shall be entitled to such dividends, rebates and rewards as may be declared or authorized by the UPMA™ board of directors from time to time to be credited to the Member's Account Balance in Gold Dollars in an amount no greater than the aggregate dues, fees and other charges assessed against the Member's Account Balance.
Voting Rights. If Account Holder qualifies as a UPMA™ Member, Account Holder shall enjoy such association voting rights as may be set forth, now or in the future, in the organic rules of UPMA™.
The following terms have special meaning when used in documents which explicitly incorporate them by hyperlink reference:
The following provisions apply with respect to all documents which explicitly incorporate them by reference:
Explanation of Fees
All funded accounts are assessed monthly membership dues of approximately $2.50*, which covers vaulting and insurance of the first two gold coins, or fractions thereof. After that, vaulting costs about $0.25 cents per gold coin per month. The vaulting of silver coins costs about a penny per coin per month. Consider these example accounts:
|Dollar Value of Account*||Estimated Monthly Cost|
|$2,500 Gold Account||$2.50|
|$10,000 Gold Account||$4.00|
|$50,000 Gold Account||$12.00|
|$100,000 Gold Account||$17.00|
|$2,500 Silver Account||$3.50|
|$10,000 Silver Account||$7.50|
|$50,000 Silver Account||$27.50|
Members may redeem up to $10,000* of silver or gold obtained through the UPMA exchange for cash at a 0% buy/sell spread in any 30-day period. Such redemptions may be taken as additions to a reloadable UPMA debit card, by check, or as transfers to the member’s bank account. Members may also take physical possession of their coins.
If a member wishes to redeem more than $10,000* within a 30-day period, the redemption rate drops to 3.55% above spot for gold and 15.25% above spot for silver, which is much better than the typical coin dealer because we can reallocate the coins within the UPMA network. If however, a member’s redemption request exceeds an amount that can be processed in network, out-of-network liquidation costs would be passed along to the redeeming member. Please note however, that since UPMA operations began in 2012 this has never been necessary.
Members may take physical possession of their coins on site with 48 hours advance notice or by shipment to the member at cost. A government issued ID will be required to verify identity for such withdrawals.
Vaulting and membership dues are denominated in gold and silver cents so that members need not set up separate payments to cover recurring costs. Membership dues appear on the statement as 10 gold cents (remember that an ounce of gold is $50 gold dollars). The price of vaulting each gold coin after the first two is 1 gold cent per month. The price of vaulting silver is one silver cent for every twenty silver coins. At current exchange rates this equates to about a penny per silver coin per month and one quarter per one gold coin per month. Vaulting discounts are available on large accounts.
Member to Member transaction fee:
Within the UPMA closed-loop network, members may pay one another for goods and/or services using their silver or gold holdings. A 2% transaction fee, capped at one gold dollar, applies to each transaction.
Debit Card Fee:
An activated True Link visa debit card costs $10* per month. This fee is waived if the account is funded in excess of forty gold coins ($2,000 gold dollars) or the silver equivalent, or if the member increases his holdings by a net $1,000* per month.
A 1% fee applies to exchanges of gold for silver or visa versa.
Discount for Large Accounts:
Costs of vaulting and insurance for gold holdings in excess of 40 coins is discounted by 50% for all additional coins.
|Member Dues for unfunded accounts||Free||N/A|
|Physical Withdrawal of Gold or Silver coins.||Free||N/A|
|Member Dues for Funded Accounts||$0.10||Gold|
|Vaulting/insurance for up to $100 Gold Dollars||Free||N/A|
|Monthly vaulting/insurance for each increment of $50 Gold Dollars above the initial $100 Gold Dollars||$0.01||Gold|
|Monthly vaulting/insurance for each increment of $20 Silver Dollars||$0.01||Silver|
|Up to $10,000 Paper Dollar monthly volume in redemptions of prior contributions||Free||N/A|
|Switching holding from gold to silver or vise versa.||1.00%||Either|
|Silver dollar redemptions in excess of $10,000 in a 30 day period.||4.75%||Silver|
|Silver redemptions if forced to sell out of network (i.e, a member wants to sell $1,000,000 worth of silver immediately)||9.50%||Silver|
|Gold redemptions in excess of $10,000 in a 30 day period.||2.25%||Gold|
|Gold redemptions if forced to sell out of the network (i.e, a member wants to sell $1,000,000 worth of gold immediately)||4.75%||Gold|
|Monthly True Link Debit card fee when activated if not exempt||$10.00||Paper|
|Member to Member transfers||**2.00%||Either|
Notes: * References to “dollars” mean Federal Reserve Notes unless designated as gold or silver dollars. ** Capped at $1 gold/silver dollar.
For further information, please call 888-210-8488 or email firstname.lastname@example.org
UPMA securely stores the basic personal information each member provides when creating or updating an account. Such information includes full legal name, date of birth, physical and email addresses, telephone numbers, security questions and banking details, such as routing and account numbers. UPMA does not divulge this information to third parties except: (1) as provided below; (2) at the member's request; or (3) if legally obligated to do so. This policy also applies with respect member balances and other financial information the association possesses.
UPMA does not sell or otherwise disseminate member contact information to any third party. The only exception to this may be disclosures to entities contracted to use such information exclusively for the direct benefit of UPMA’s membership, such as the association’s independent general counsel who provides escrow, legal and fiduciary services, and financial institutions providing bank accounts and/or debit/credit cards for members’ use. In addition, account information may be shared with the joint tenants, agents or beneficiaries designated for a given account.
When members offer their goods or services to each other and use their specie legal tender holdings in such transactions, each consents to the release of identifying information to one another.
Members may request changes to their personal information stored by the association. All such requests must be submitted on-line following authentication of member login credentials or through the member’s verified email. If a member loses control of the email registered with UPMA, we reserve the right to require proof of identity.
Normally, neither UPMA nor its contracted service providers request or store information such as social security, passport or driver’s license numbers, except in the following instances: