PROVISIONS: Shareholders of ALL Short-to-Medium Series and the Intermediate Government Bond Series may redeem shares by check as follows:

1. Checks will be supplied to shareholders in lots of 25, free of charge. Additional checks will be sent to shareholders upon request.

2. Checks will be sent only to the registered owner(s) at the address of record.

3. Checks must be written for:

		Minimum	Maximum
	ALL Short-to-Medium Series	$500.00	$25,000.00
	Government Bond Series	$500.00	none

4. There is no monthly limit on the number of checks which may be written. However, a check may NOT be used to close an account.

5. Unless indicated otherwise, one signature by any listed owner of the account will be accepted on all written checks. Joint accounts or Business accounts requiring multiple signatures on accounts, please indicate below the required signers for checks on this account. Signatures will be verified by the Transfer Agent as to proper ownership and authority only.

6. Checks which are improperly written or which contain signature irregularities or other errors will not be honored and will be returned. Any charges incurred for a returned check will be passed through to the shareholder.

7. All inquiries regarding the clearing of checks should be directed to the Fund's transfer agent.

8. Stop payment requests on checks should also be directed to the Fund's transfer agent. Any charge for this service by the Bank of the Bluegrass will be passed through to the shareholder.

9. If there are insufficient shares in the shareholder's account to cover the amount of the redemption check, the check may be returned marked "insufficient funds", and Bank of the Bluegrass may charge a fee which will be passed through to the shareholder.

10. The act of writing a check constitutes a redemption of shares which may result in a taxable gain or loss. At calendar year-end, a form 1099-B is generated and mailed to the shareholder and reported to the IRS for EVERY redemption to your account (including every check written and any charges applied).

11. As stated in our Prospectus, the Fund reserves the right on ALL redemptions, including redemptions by writing a check, to utilize the full seven (7) days permitted to make payments to redeeming shareholders, if to do otherwise, it would negatively impact other shareholders. Under these circumstances, your check may be returned unpaid. If such a situation occurs any bank charges which result from this action will be absorbed by the Fund's transfer agent.

12. Checks may NOT be presented in person for payment at Bank of the Bluegrass.

13. Check writing privileges are not available to Fund accounts which hold their shares in certificate form or whose shares are pledges as collateral.

14. Shareholders will continue to earn dividends on the shares to be redeemed until the check clears at Bank of the Bluegrass.

15. There is no service charge associated with check writing privileges. At present, the Fund's transfer agent will absorb the expenses associated with this service. While the Fund's transfer agent presently has no intention to do so, it reserves the right to institute a check redemption charge at some future time.

MULTIPLE SIGNATORIES - Joint or institutional accounts; please indicate number of authorized signers required to sign Redemption Checks. __2, __3, __4. If no indication is given here, the signature of any one owner or designee of the account will be honored.

TERMS AND CONDITIONS

I (We) hereby appoint Dupree & Company, Inc. (the Transfer Agent) as my (our) agent and as agent, direct the Transfer Agent to present checks drawn by the undersigned on an account at Bank of Bluegrass (the Bank) to Dupree Mutual Funds, (the Fund) as authority to redeem a sufficient number of shares from the account of the undersigned to cover the amount of the check. The Fund is hereby authorized and directed to accept and act upon checks presented to it by the Bank and to redeem a sufficient number of shares from the account of the undersigned and to forward the proceeds of such redemption to the Bank.

I (We) have read and understood the above check writing privileges. Additionally, I (we) understand that neither the Fund or Bank nor their officers, agents, or employees shall be required to examine the genuineness of any signature. Further I (we) understand and agree that neither the Bank nor the Fund will be liable for any loss, expense, or cost arising out of the failure to honor a check or the check writing redemption procedure. The Bank and the Fund reserve the right to change, modify or terminate check writing privileges at any time.

In accordance with the above provisions and term and conditions I (we) hereby request checks be ordered for use on my (our) account.

SIGNATURES - ALL OWNERS MUST SIGN                    ACCOUNT NUMBER____________________

Owner, Custodian or Trustee:__________________________________________Date__________________

Joint Tenant                            __________________________________________Date__________________

Partner or Officer                   __________________________________________Date__________________