As a benefit to our customers, we offer a useful feature on some of our checking account products - an Overdraft Privilege. With this Overdraft Privilege, we will pay your non-sufficient-funds (NSF) checks and fees up to a pre-approved limit. This feature will save you time, embarrassment and the additional fees charged by many other companies.

The Overdraft Privilege will allow you to overdraw your account up to the negative available funds balance shown for your account type in the table below. You will be charged the normal per item NSF/Overdraft handling fee as set forth in our fees schedule - the same as if we returned your check unpaid. Of course, any and all bank fees and charges, including without limitation, the NSF/Overdraft fees, will be included in this balance.

CONDITIONS FOR THE PRIVILEGE: Naturally, it is always the policy of our bank to comply with all applicable laws and regulations and to conduct business in accordance with applicable safety and soundness standards. Accordingly, there are a few conditions that will apply to this Overdraft Privilege feature:

You will be eligible for the Privilege unless:

1. You are more than 30 days past due on any loan obligation to the Bank; or,
2. You are subject to any legal or administrative orders or levy; or,
3. You are currently a party in a bankruptcy proceeding; or,
4. You have a current outstanding balance in an Overdraft Repayment Plan; or,
5. Your average monthly balance is less than $100; or,
6. A hold is being placed on your account or any items and the bank is required by law to notify you. Your Privilege will automatically be suspended without prior notice for so long as the hold is in effect; or,
7. It appears that improper activity is taking place in your account, in which case we may suspend your Privilege.

You must also bring your account to a positive balance at least once every thirty (30) days to maintain your Overdraft Privilege in good standing.

SUSPENSION OF PRIVILEGE: After your Overdraft Privilege has been activated, we may suspend your privilege without notice if we become aware of any of the above conditions: numbers one (1) through seven (7).

NEW CUSTOMERS: If you are a new customer, we will activate your privilege after 90 days if you are eligible under the above conditions and if:

1. You have deposited at least $300 into your account; and,
2. You have had no more than four (4) occurrences of insufficient funds.

ONE PRIVILEGE PER SSN: Generally we may limit this Privilege to only one account per Social Security Number (SSN).

Your account agreement describes the duties, obligations, and rights of depositors, authorized signatories and the bank with regard to your deposit accounts. That account agreement is incorporated herein for all purposes as if it were set forth verbatim as to matters not directly addressed by this disclosure. Your account agreement and this disclosure shall be construed so as to minimize conflicts between them.

Waiver: The Bank's forbearance from, or delay in, exercising any of the Bank's rights, remedies, privileges, or right to insist on your strict performance of any provisions of your account agreement, this Overdraft Privilege disclosure, or any other provision related to your account, shall not be construed to be a current or future waiver of the Bank's rights, remedies or privileges.

ARBITRATION: THE BANK AND YOU HEREBY ACKNOWLEDGE THAT ANY CONTROVERSY ARISING OUT OF THIS OVERDRAFT PRIVILEGE OR BANK'S OR YOUR PERFORMANCE HEREUNDER, SHALL BE SETTLED BY ARBITRATION IN ACCORDANCE WITH THE RULES OF THE AMERICAN ARBITRATION ASSOCIATION, EXCEPT AS PROHIBITED BY LAW.