ELECTRONIC FUNDS TRANSFER DISCLOSURE

This applies only to accounts subject to electronic funds transfer, including, but not limited to:

• Point-of-sale;
• Automated teller machine transfers;
• Direct deposits and withdrawals;
• Telephone transfers;
• All transfers initiated by debit card;
• Computer initiated bill payments; and
• Electronic check conversions.

The following disclosure information is provided in compliance with the Electronic Funds Transfer Act and its implementing regulations.

UNAUTHORIZED TRANSFERS AND

CONSUMER LIABILITY

If you believe your debit card or Personal Identification Number (PIN) has been lost or stolen or if you believe that an electronic funds transfer has been made without your permission using information from your check, tell us AT ONCE. Telephoning is the best way of keeping your possible losses down. You could lose all the money in your account (plus your maximum overdraft line of credit). If you tell us within two business days after you learn of the loss or theft of your card or PIN, you can lose no more than $50 if someone used your card or PIN without your permission.

If you do not tell us within two business days after you learn of the loss or theft of your card or PIN, and we can prove we could have stopped someone from using your card or PIN without your permission if you had told us, you could lose as much as $500.

Also, if your statement shows transfers that you did not make, tell as at once. If you do not tell us within 60 days after the statement was mailed to you, you may not get back any money lost after the 60 days. Particularly, if we can prove that we could have prevented someone from taking the money provided you had told us in time. If a good reason (such as a long trip or hospital stay) kept you from telling us, we will extend the time periods.

HOW TO CONTACT US IN THE

EVENT OF AN UNAUTHORIZED TRANSFER

If you believe your debit card or PIN has been lost or stolen, you can call us at 785-325-2221, or the VISA hotline at 1-800-523-4175. You may also write to us at:

FNB Washington

P.O. Box 215

Washington, KS 66968

You should also call the number or write to the address listed above if you believe a transfer has been made using the information from your check without your permission.

BUSINESS DAY DISCLOSURE

Our business days are Monday through Friday. Holidays are not included. Transactions after 3:00 p.m. will be considered made on the next business day.

TRANSFER TYPES AND LIMITATIONS

You may use your debit card to:

• Withdraw cash from your checking or savings account.
• Make deposits to your checking or savings account.
• Transfer funds between your checking and savings accounts whenever you request.
• Pay for purchases at places that have agreed to accept the card.
• Pay bills directly by telephone or by computer from your checking or savings account in the amount and on the days your request.

Some of these services may not be available at all terminals.

There are no limitations on the frequency of transactions. You may withdraw cash or make purchases up to the current daily limit amount depending upon the balance in your account. There are no limits on transfers.

ELECTRONIC CHECK CONVERSION

You may authorize a merchant or other payee to make a one-time electronic payment from your checking account using information from your check to:

• Pay for purchases.
• Pay bills.

FEES

Account Fees. Fee schedules were provided at the time your account was opened.

There will not be a per transaction charge for direct deposits, pre-authorized debits, electronic check conversions, debit card point-of-sale transactions or for ATM transactions at the FNB Washington sponsored ATM located at 101 7th Street, Washington, Kansas. However, depending on the type of FNB Washington bank account you have, these transactions may count towards your debit item count for service charge purposes on your monthly statement.

Reissue fee for debit card - $15.00

Debit card PIN reminders –

• First two reminders – No charge.
• Each additional reminder - $7.50

ATM Fees. When you use an ATM not owned by us, you may be charged a fee by the ATM operator, and you may be charged a fee for a balance inquiry even if you do not complete a fund transfer.

CONFIDENTIALITY

We will disclose information to third parties about your account or the transfers you make:

• Where it is necessary for completing transfers, or
• In order to verify the existence and conditions of your account for a third party, such as a credit bureau or merchant, or
• In order to comply with government agency or court orders, or
• If you give us your written permission.

DOCUMENTATION

Terminal Transfers. You can get a receipt at the time you make any transfer to or from your account when using an automated teller machine or point-of-sale terminal.

Pre-authorized Credits. If you have arranged to have direct deposits made to your account at least once every 60 days from the same person or company, you can call us at (785) 325-2221 to find out whether or not the deposit has been made.

Periodic Statements. You will get a monthly account statement, unless there are no transfers in a particular month. In any case, you will get the statement at least quarterly.

PRE-AUTHORIZED PAYMENTS

Right to stop payment and procedure for doing so. If you have told us in advance to make regular payments out of your account, you can stop any of these payments. Here’s how:

Call us at 785-325-2221 or write us at:

FNB Washington

PO Box 215

Washington, KS 66968

We must receive your call or written request at least three business days or more before the payment is scheduled to be made. If you call, we will also require you to put your request in writing and get it to us within 14 days after you call. We will charge you $25.00 for each stop payment order you give us.

Notice of varying amounts. If these regular payments may vary in amount, the person you are going to pay will tell you, according to their agreement, 10 days before each payment, when it will be made and how much it will be. (You may choose instead to get this notice only when the payment would differ by more than a certain amount from the previous payment, or when the amount would fall outside certain limits that you set.)

Liability for failure to stop payment of pre-authorized transfer. If you order us to stop one of these payments three business days or more before the transfer is scheduled and we do not do so, we will be liable for your losses or damages.

FINANCIAL INSTITUTION’S LIABILITY

If we do not complete a transfer to or from your account on time or in the correct amount according to our agreement with you, we will be liable for your losses or damages; however, there are some exceptions. We will not be liable, for instance:

• If, through no fault of ours, you do not have enough money in your account to make the transfer.
• If the transfer would go over the credit limit on your overdraft line.
• If the automated teller machine where you are making the transfer does not have enough cash.
• If the system was not working properly and you knew about the breakdown when you started the transfer.
• If circumstances beyond our control (such a fire or flood) prevent the transfer, despite reasonable precautions that we have taken.
• There may be other exceptions stated in our agreement with you.

ERROR RESOLUTION NOTICE

In case of errors or questions about your

electronic transfers,

Telephone us at 785-325-2221

Write us at: FNB Washington, PO Box 215, Washington, KS 66968

or

E-mail us at fnbwashington.com

as soon as you can if you think your statement or receipt is wrong or if you need more information about a transfer listed on the statement or receipt. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error appeared.

1. Tell us your name and account number (if any).
2. Describe the error or the transfer you are unsure about and explain as clearly as you can why you believe it is an error or why you need more information.
3. Tell us the dollar amount of the suspected error.

If you tell us orally, we will require that you send us your complaint or question in writing within 10 business days.

We will tell you the results of our investigation within 10 business days after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days to investigate your complaint or question. If we decide to do this, we will credit your account within 10 business days for the amount you think is in error, so that you have the use of the money during the time it takes us to complete our investigation. If we do not receive your complaint or question in writing within 10 business days, we may not credit your account.

For errors involving new accounts (accounts are considered new for 30 days after opening), point-of-sale, or foreign-initiated transactions, we may take up to 90 days to investigate your complaint or question. For new accounts, we may take up to 20 business days to credit your account for the amount you think is in error.

We will tell you the results within three business days after completing our investigation. If we decide that there was no error, we will send you a written explanation. You may ask for copies of the documents that we used in our investigation.