REDDI-CREDIT REVOLVING CREDIT AGREEMENT

Transcription

1 ZIONS FIRST NATIONAL BANK Member F.D.I.C. REDDI-CREDIT REVOLVING CREDIT AGREEMENT This REDDI-CREDIT REVOLVING CREDIT AGREEMENT ("Agreement"), your Reddi-Credit Application and the letter notifying you of approval of your Reddi Credit Account ("Approval Letter") together constitute your Reddi-Credit Agreement ("Credit Agreement"). This Agreement sets forth certain terms of the agreement between you and ZB, N.A. dba Zions First National Bank regarding your Reddi-Credit Account; it contains important information that you should review carefully and keep for your records. Any use of the credit associated with your Reddi-Credit Account shall constitute your acceptance of the terms of the Credit Agreement. 1. DEFINITIONS: The following DEFINITIONS apply and will help you better understand this document. The words Bank, we and us mean ZB, N.A. dba Zions First National Bank. The words Reddi-Credit Account refer to the revolving credit account governed by the Credit Agreement between you and the Bank. The words Reddi-Credit Application refer to the application you filled out to request a Reddi-Credit Account. The words Reddi-Credit Checks refer to the one or more checks that the Bank will provide to you to access your Reddi-Credit Account. The words you and your refer to the individual(s) (including all applicants and co-applicants) who signed the Reddi Credit Application or who have received credit from the Bank from the Reddi-Credit Account. 2. CREDIT LIMIT: The credit limit on your Reddi-Credit Account is disclosed on each monthly statement (your initial credit limit appears on your Approval Letter). You agree not to use or allow anyone else to use your Reddi-Credit Account in any way that would cause your credit limit to be exceeded. You are liable for the entire outstanding balance even if it exceeds your credit limit. The Bank may increase or decrease your credit limit at any lime and will notify you of such changes. You may request a change in your credit limit by calling toll free at Monday through Thursday from 8am to 7pm, Friday from 8am to 6pm or on Saturday from 10am to 3pm (all times mentioned herein refer to Mountain Time). 3. HOW TO OBTAIN ADVANCES: Subject to your credit limit, you may obtain advances on your Reddi-Credit Account by the following methods: a. Use of the special Reddi-Credit Checks the Bank provides to you. The amount of each Reddi-Credit Check will be an advance on your Reddi-Credit Account. You may use the Reddi-Credit Checks like ordinary checks, except that your Reddi-Credit Checks may not be used to make payments on your Reddi-Credit Account. The Bank reserves the right to discontinue this check access service to you and your use of Reddi-Credit Checks upon giving you written notice. Each unused Reddi-Credit Check is the property of the Bank, and must be returned to the Bank if the Bank so requests. Only you are permitted to use your Reddi-Credit Checks and you are liable for all advances made by means of your Reddi-Credit Checks. b. In person at any banking office of the Bank. c. Over the telephone by calling Customer Service at and requesting that the Bank deposit the advance from your Reddi-Credit Account to your Bank deposit account. The Bank will not honor your telephone instructions unless you correctly give such identifying information as the Bank may request. Your telephone instructions must be received by 3pm Monday through Friday (except for holidays) to be processed that day. d. If you checked the box on your Reddi-Credit Application requesting overdraft protection and designated the Bank checking account(s) (of which you are an owner) to which the overdraft protection will apply, then we will (subject always to your credit limit) advance funds from your Reddi-Credit Account to cover overdrafts that occur in that designated checking account. You are liable for all such advances even if the overdraft is caused by another owner or authorized signer of the designated checking account who is not obligated on your Reddi-Credit Account. The Bank will make an automatic cash transfer from your Reddi-Credit Account to your designated checking account in the amount of the overdraft rounded up to the nearest dollar (up to your credit limit). The amount of each automatic transfer will be an advance on your Reddi-Credit Account for which you are liable. If an overdraft cannot be paid because an automatic cash transfer sufficient to pay the full amount of the overdraft would exceed the credit limit on your Reddi-Credit Account, you agree to pay the prevailing overdraft and other applicable checking account charges in effect at the time of the overdraft as stated in the applicable deposit account agreement which applies to your checking account. 4. MONTHLY STATEMENTS: The Bank will send you (or one of you) a monthly statement summarizing each transaction on your Reddi-Credit Account during the preceding billing period. Your monthly statement will show the total amount you owe as of the end of the billing period, any Interest charges, late payment fees or other charges, the minimum payment due and the payment due date (which is 20 days from the monthly statement clos ng date). It also shows your current credit limit. The Bank will mall or deliver your monthly statement to only one address. Review your monthly statement promptly and carefully; preservation of your rights under federal law regarding resolution of billing errors depends upon your timely recognition of potential errors, as explained in "Your Billing Rights" notice at the end of this Agreement.

2 5. PAYMENT COUPONS: The Bank will also mall to you a payment coupon for your use and convenience in making your payments. You should receive this payment coupon a few days after you receive your monthly statement. 6. HOW THE NEW BALANCE IS DETERMINED: The total amount that you owe the Bank at the end of the current billing period appears as the "New Balance" on the monthly statement. The entire amount owing on your Reddi-Credit Account at the end of the previous billing period is called the "Previous Balance." The New Balance is determined by taking the Previous Balance and (1) subtracting any payments and credits received by the Bank during the current billing period and then (2) adding any advances on your Reddi-Credit Account, interest charges, fees, and other adjustments. 7. ANNUAL PERCENTAGE RATE: a. Daily Periodic Rate and ANNUAL PERCENTAGE RATE. The daily periodic rate will be 1/365 (1/366 for a leap year) of the then current ANNUAL PERCENTAGE RATE. The ANNUAL PERCENTAGE RATE is a variable rate. Unless otherwise indicated in your Approval Letter, the ANNUAL PERCENTAGE RATE in effect throughout a particular billing period will be as follows: i. Prime rate plus 4.50% for accounts with credit limits of $10, to $35, ii. Prime rate plus 3.50% for accounts with credit limits of $35, to $100, iii. Prime rate plus 2.00% for accounts with credit limits of $100, to $250, If your Approval Letter indicates an ANNUAL PERCENTAGE RATE other than that set forth above, the rate set forth in your Approval Letter shall be the governing ANNUAL PERCENTAGE RATE. The calculation for a billing period will use the prime rate in effect on the first calendar day of that particular billing period. The annual percentage rate and periodic rate in effect for each billing period are disclosed on the corresponding monthly statement. b. Effect of Change in Rate. All other factors being equal, and subject to the method by which the minimum payment is calculated (as described below), an increase in the ANNUAL PERCENTAGE RATE will increase the minimum payment, and a decrease in the ANNUAL PERCENTAGE RATE will decrease the minimum payment. c. Prime Rate. The Bank's prime rate will be calculated according to the following definition: Bank's prime rate means an Index which is determined daily by the published commercial loan variable rate Index held by any two of the following banks: J.P. Morgan Chase & Co., Wells Fargo Bank N.A., and Bank of America, N.A. In the event no two of the above banks have the same published rate, the bank having the median rate will establish the Bank's prime rate. If for any reason beyond the control of the Bank any of the aforementioned banks become unacceptable as a reference for the purpose of determining the prime rate used herein, the Bank may, five days after posting the notice in the Bank, substitute another comparable bank for the one determined unacceptable. As used in this paragraph, "comparable bank" shall mean one of the ten largest commercial banks headquartered in the United States of America. This definition of prime rate is to be strictly interpreted and is not intended to serve any purpose other than providing an index to determine which is the variable interest rate used in this Agreement. You acknowledge that "prime rate" as used herein does not mean the lowest rate at which the Bank has made or may make loans to any of its customers, either now or in the future. 8. INTEREST CHARGES: An interest charge will be assessed on each advance from your Reddi-Credit Account from the date of such advance to the date of repayment of such advance; there is no grace period within which an advance from your Reddi-Credit Account can be repaid without incurring an interest charge. These interest charges will apply whether before or after default, judgment, or the closing of your Reddi-Credit Account. The total amount of the interest charge for a billing period will be calculated as follows: We first determine the "average daily balance" of your Reddi-Credit Account (including current transactions). To get the "average daily balance," we take the beginning balance of your account each day, add any new advances and subtract any payments or credits. This gives us the daily balance (any unpaid interest charges incurred during that billing period are not included in the daily balance). Then, we add up all the daily balances for the billing period and divide the total by the number of days in the billing period. This gives us the "average daily balance," which is also called the "balance subject to interest charge" on your monthly statement. We multiply the balance subject to interest charge by the number of days in the billing period; the resulting number is then multiplied by the daily periodic rate to determine the total amount of your interest charge on advances from your Reddi-Credit Account for that billing period. 9. PAYMENTS: You promise to pay the Bank, according to the terms of this Agreement, the entire amount (including all advances and other fees and charges) owing hereunder. All payments shall be in U.S. Dollars drawn on funds on deposit in the United States. Do not mail cash payments. a. Prepayment. You may prepay all or any portion of the outstanding balance at any time without penalty,

3 b. Minimum Payment Amount. If the New Balance is less than $50, the minimum payment required will be the full amount of the New Balance. If the New Balance is $50 or more, then the minimum payment will be the sum of two numbers: the first number is the greater of $50 or 1.5% of the New Balance; the second number is the total of all interest charges, any past due amount and any late payment fees. Receipt of your minimum payment at any address other than that designated on your payment coupon may create a delay in posting the minimum payment to your Reddi-Credit Account and may thereby result in a late fee and additional interest charges. Making only the minimum payment will increase total interest charges and the time to repay. c. Automatic Payments. If you checked the box on your Reddi-Credit Application requesting automatic payments and designated the Bank deposit account from which such automatic payments are to be made, and the Bank accepts your request, then each month the Bank will automatically debit the minimum payment amount (described above) from that designated Bank deposit account to make the required minimum payment on your Reddi-Credit Account. The automatic payments will be debited from your Bank deposit account and applied to your Reddi-Credit Account on the payment due date set forth in the monthly statement. Automatic payments will be for the minimum payment amount only--if you wish to pay more than the minimum payment amount, then you will need to pay that additional amount separately. NOTE: If on the payment due date your designated Bank deposit account does not contain sufficient funds to cover an automatic payment for the minimum amount due, then the amount of the automatic payment made on the due date will be the amount of the funds actually in your designated deposit account on that day (the automatic payment system will not overdraft you designated deposit account in order to make the minimum payment amount due on your Reddi-Credit Account), which could result in late payment fees and other charges. The automatic payment system will then check your designated deposit account daily and continue to debit that account until the full minimum payment amount has been reached. d. Application of Payments. Payments will be applied first to late payment fees, then interest charges, then other fees and charges, then the remaining portion of the New Balance. Payment for more than the minimum payment amount (but not more than the outstanding balance) will be accepted as a single payment for that billing period; the amount in excess of the minimum payment will not be applied toward future payments due. e. Acceptance of Partial or Nonconforming Payments. The Bank may accept late payments, partial payments or any payment marked with any kind of restrictive indorsement (such as "paid in full" or "in settlement") without giving effect to the restrictive indorsement and without losing, waiving, or impairing any of the Bank's rights under this Agreement or under applicable law. 10. YOUR REDDI-CREDIT ACCOUNT (MISCELLANEOUS FEES): a. Annual Fee. The annual fee is $100 if the credit limit on your Reddi-Credit Account is $100, or greater; if the credit limit is less than $100,001.00, the annual fee is $50. The annual fee, including the first annual fee which is due upon opening your account, will be charged to your Reddi-Credit Account (by adding it to your balance). The annual fee is non-refundable unless you notify us to cancel your Reddi-Credit Account within 30 days from the mailing date of the monthly statement on which the fee is billed. b. Late Payment Fee. If the minimum payment shown on your monthly statement has not been debited from your designated deposit account or is not received at the Bank within live (5) days after the payment due date, there will be a late fee of five percent (5%) of the unpaid amount, with a minimum late payment fee of $20 and a maximum late payment fee of $50. All late payment fees will be added to and included in the New Balance. c. Returned Payment. If any check or other instrument submitted as payment on your Reddi-Credit Account is dishonored or must be returned because it cannot be processed, there will be a returned payment charge of $15. d. Stop Payment. If you request the Bank to stop payment on one of your Reddi-Credit Checks, there will be a fee of $22 for each such check. e. Research. For research that you request on your Reddi-Credit Account (unless such research discloses a billing error made by the Bank), there will be research and copying charges in the standard amounts set by the Bank and available in each branch office (which amounts will be added to and included in the New Balance)., 11. SECURITY INTEREST: You hereby grant to the Bank a security interest in all deposit accounts at the Bank (including checking, savings, and certificate of deposit accounts) to secure payment of all amounts due with respect to your Reddi- Credit Account. In addition, you may have granted to the Bank, by a separate document or in connection with another loan from the Bank, a security interest in a savings account, certificate of deposit or marketable securities at the Bank which would also secure payment of your Reddi-Credit Account. 12. JOINT ACCOUNT: If your Reddi-Credit Account is in the name of more than one person, each and every such person shall be jointly and severally liable for the full outstanding balance, including without limitation any amount in excess of your credit limit. In addition, except as otherwise required by applicable law, you agree that all monthly statements and notices regarding your Reddi-Credit Account may be sent to any one of you. 13. REFUSAL OF THE REDDI-CREDIT CHECKS: The Bank will not be responsible or liable in any manner for any of the following or for any claim of whatever nature (including without limitation any claim for incidental or consequential

4 damages) arising from or related to any of the following: the refusal or delay of any other financial institution, any merchant, or any person to honor any Reddi-Credit Check; any goods or services purchased with a Reddi-Credit Check (except as and only to the extent provided in "Your Billing Rights" notice at the end of this Agreement). 14. IMMEDIATE NOTICE OF LOSS OR STOLEN CHECKS: If your Reddi-Credit Account number or a Reddi-Credit Check is lost or stolen, or if you think that someone used or may use them without your permission, you agree to notify the Bank immediately by calling the Customer Service phone numbers listed in Paragraph 3(c) above. You may need to provide the Bank with certain information in writing to help the Bank determine what happened. 15. RESTRICTIONS ON USE OF REDDI-CREDIT ACCOUNT: Only you and authorized agents acting on your behalf are permitted to use your Reddi-Credit Account. You also agree that the Reddi-Credit Account and any Reddi-Credit Checks will not be used for any illegal purpose. 16. ANNUAL REVIEW & CREDIT REPORTING: a. Annual Review. You agree that you will provide us with a current financial statement, a new credit application, or both, annually, on forms provided by us. Based upon this information we will conduct an annual review of your Credit Line Account. You also agree we may obtain credit reports on you at any time, at our sole option and expense, for any reason, including but not limited to determining whether there has been an adverse change in your financial condition. You authorize us to release information about you to third parties as described in our privacy policy and our Fair Credit Reporting Act notice, provided you did not opt out of the applicable policy, or as permitted by law. Based upon a material adverse change in your financial condition (such as termination of employment or loss of income), we may suspend your Credit Line. b. Reporting Negative Information. We may report information about your account to credit bureaus. Late payments, missed payments, or other defaults on your account may be reflected in your credit report. c. Notify Us of Inaccurate Information We Report to Consumer Reporting Agencies. Please notify us if we report any inaccurate information about your account(s) to a consumer reporting agency. Your written notice describing the specific inaccuracy(ies) should be sent to us at the following address: ZB, N.A. dba ZIONS BANK, Bankcard, P.O. Box 25787, Salt Lake City, UT CHANGE OF NAME OR ADDRESS: You agree to promptly notify the Bank in writing or in person at any Bank office if you change your name, home address, or mailing address. You may also notify the Bank by calling the Customer Service phone number listed in Paragraph 3(c) above. 18. CLOSING YOUR REDDI-CREDIT ACCOUNT: You may close your Reddi-Credit Account at any time by writing to the Bank at Bankcard, P.O. Box 25787, Salt Lake City, UT The Bank may close your Reddi-Credit Account at any time without cause. When your Reddi-Credit Account is closed (whether by you or the Bank), your right to obtain advances from your Reddi-Credit Account will be automatically revoked and you must immediately return any unused Reddi-Credit Checks to the Bank. Also, you will be required to pay the entire amount owing on your Reddi-Credit Account; at the Bank's option; you will pay that entire amount owing either (a) within five (5) days, or (b) by making monthly payments based on a fixed rate fully amortizing loan of at the Bank's sole discretion up to 36 months with principal and interest paid monthly (the Bank may require collateral until the loan is paid in full), with the annual percentage rate being equivalent to the annual percentage rate (as calculated pursuant to Paragraph 7 above) in effect on the dale that the unpaid balance is converted from an open-end loan to a closed-end loan. 19. BANKER'S LIEN: The Bank shall have a banker's lien, as security for the payment of any indebtedness incurred hereunder, on all funds and/or deposit accounts in its possession at any time, owned by any person obligated hereunder. Except as otherwise provided by law, the Bank may without notice set off against all sums which may become due hereunder any funds you may have deposited in any checking, savings or other deposit account at the Bank to satisfy in full, or to reduce, your obligations to the Bank hereunder. 20. DEFAULT: The Bank may declare the outstanding balance immediately due and payable, may close your Reddi- Credit Account, and recover all unused Reddi-Credit Checks if (a) your minimum payment is not received at the proper address on or before the payment due date, (b) you breach any other provision of this Agreement, (c) you die or become incapacitated, (d) you file for bankruptcy or other adjustment of debt proceeding or the same is filed against you, (e) you become insolvent or generally unable to pay your debts, you make assignment for the benefit of creditors, or there is appointed a receiver for you or your assets, (f) you have furnished false or misleading information on the Reddi-Credit Application, (g) you are in default under any other obligations you may owe to the Bank, (h) the Bank reasonably believes that you are unable or unwilling to honor all or your obligations under this Agreement, (i) there is instituted against you a

5 suit in any court or issued against you a writ by any such court, (j) there is an assessment against you for any unpaid state or federal income taxes, (k) there is a material change in your financial condition, or (l) the Bank deems itself insecure. 21. WAIVER OF DEFENSES AND RELEASE OF CLAIMS: The undersigned hereby (i) represents that neither the undersigned nor any affiliate or principal of the undersigned has any defenses to or setoffs against any indebtedness or other obligations owing by the undersigned, or by the undersigned's affiliates or principals, to Bank or Bank's affiliates (the "Obligations"), nor any claims against Bank or Bank's affiliates for any matter whatsoever, related or unrelated to the Obligations, and (ii) releases Bank and Bank's affiliates, officers, directors, employees and agents from all claims, causes of action, and costs, in law or equity, known or unknown, whether or not matured or contingent, existing as of the date hereof that the undersigned has or may have by reason of any matter of any conceivable kind or character whatsoever, related or unrelated to the Obligations, including the subject matter of this Agreement. The foregoing release does not apply, however, to claims for future performance of express contractual obligations that mature after the date hereof that are owing to the undersigned by Bank or Bank's affiliates. As used in this paragraph, the word "undersigned" does not include Bank or any individual signing on behalf of Bank. The undersigned acknowledges that Bank has been induced to enter into or continue the Obligations by, among other things, the waivers and releases in this paragraph. 22. LEGAL ACTION AND COSTS: Without waiving the Arbitration provisions of this Agreement, the Bank may take legal action (including collection action) against you, and you agree to pay all collection costs to the extent allowed by applicable law whether or not awardable as court costs (including the cost of Bank staff) and reasonable attorney's fees. If the Bank sues to collect and you win the law suit, the Bank will pay your court costs and reasonable attorney's fees. Also, you agree that regardless of where you reside, the Bank may initiate legal action against you in Salt Lake County, Utah, and you hereby submit yourself to jurisdiction of the courts therein. The DISPUTE RESOLUTION Section below does not apply (a) to members of the armed forces and their dependents who are entitled to protection under the Military Lending Act, 10 U.S.C. 987, or (b) if prohibited under any otherwise applicable provision of State or Federal law. If you would like more information about whether you are entitled to protection under the Military Lending Act and whether this Section applies to you, please contact us at DISPUTE RESOLUTION: Any dispute, claim, or controversy between you and us arising under this Agreement, the subject matter of this Agreement, or any transaction or omission in connection with this Agreement, shall be resolved in the manner and pursuant to the terms attached hereto as "EXHIBIT A: MANDATORY DISPUTE RESOLUTION PROVISIONS." 24. INTERPRETATION; EFFECT; CHANGES TO THIS AGREEMENT: a. Duration. Except for your right to make charges to your Reddi-Credit Account (which right expires when your Reddi-Credit Account is closed), all other provisions of the Credit Agreement shall remain in full force and effect until your Reddi-Credit Account is closed AND all amounts owing in conjunction with your Reddi-Credit Account are paid in full. b. Headings. The headings used in this Agreement are for convenience only and shall have no bearing on the interpretation of this Agreement. c. Governing Law. THE CREDIT AGREEMENT SHALL BEGOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE UNITED STATES AND OF THE STATE OF UTAH regardless of where you may reside or use your Reddi-Credit Check(s) or your Reddi-Credit Account at any time. All monetary figures on your Reddi-Credit Account and in the Credit Agreement are and shall be denominated in United States Dollars. d. Changing This Agreement. You agree that the Bank may change the terms of the Credit Agreement, including without limitation any term pertaining to the interest charges and any fees, at any time upon written notice to you. Except with regard to increases or decreases in your credit limit or closure of your Reddi-Credit Account, the Bank will notify you of any such change at least 15 days in advance. If you do not agree to the change, you must notify the Bank in writing within 25 days after the effective date of the change, and the Bank may close your Reddi- Credit Account and may elect to have you pay all amounts due on or before the payment due date. Otherwise, you shall be deemed to have agreed to the change in the Bank s notice. Use or a Reddi-Credit Check or other use of the Reddi-Credit Account after the effective date of the change shall be deemed to be your acceptance of the new terms. e. Integrated Agreement. You agree that the Credit Agreement is a final written expression of the agreement between you and the Bank and that the Credit Agreement may not be contradicted by evidence of any alleged oral agreement. f. Severability. The provisions of the Credit Agreement are severable to the extent that any provision hereof held to be prohibited or unenforceable in any jurisdiction shall not invalidate the remainder of the Credit Agreement in that jurisdiction and shall be fully enforceable in any other jurisdiction not expressly prohibiting such provision.

6 g. Delay in Enforcement. The Bank may exercise its rights under the Credit Agreement immediately, or, at the Bank's sole discretion, may decline to enforce or delay in enforcing any such rights without losing, waiving, or impairing them. h. Assignment and Binding Effect. You may not sell, assign, or transfer the Credit Agreement or your Reddi- Credit Account or any portion thereof without the express prior written consent of the Bank. The Bank may sell, assign, or transfer the Credit Agreement or your Reddi-Credit Account or any portion thereof without notice to you. Subject to the foregoing, the Credit Agreement shall be binding upon the heirs, representatives, successors, and assigns of the parties hereto. 25. YOUR BILLING RIGHTS. KEEP THIS NOTICE FOR FUTURE USE: This notice contains important information about your rights and the Bank's responsibilities under the Truth in Lending Act. Notify the Bank in Case of Errors or Questions About Your Monthly Statement. If you think your monthly statement is wrong, or if you need more information about a transaction on your monthly statement, write to the Bank (on a separate sheet) at the address listed on your monthly statement. Write to the Bank as soon as possible. The Bank must hear from you no later than 60 days after the Bank sent you the first monthly statement on which the error or problem appeared. You can telephone the Bank, but doing so will not preserve your rights. In your letter, give the Bank your name and Reddi-Credit Account number and the date and dollar amount of the suspected error. Describe the error and explain why you believe there is an error. If you need more information, describe the item you are not sure about. Your Rights and the Bank s Responsibilities After the Bank Receives Your Written Notice. The Bank must acknowledge your letter within 30 days unless Bank has corrected the error by then. Within 90 days, the Bank must either correct the error or explain why the Bank believes the monthly statement was correct. After the Bank receives your letter, the Bank cannot try to collect any amount you question or report you as delinquent. The Bank can continue to bill you for the amount you question, including interest charges, and the Bank can apply any unpaid amount against your credit limit. You do not have to pay any questioned amount while the Bank is investigating, but you are still obligated to pay those parts of your monthly statement that are not in question. If the Bank finds that it made a mistake on your monthly statement, you will not have to pay interest charges related to any questioned amount. If the Bank did not make a mistake, you will have to make up any missed payments on the questioned amount. In either case, the Bank will send you a notification of the amount you owe and the date that it is due. If you fail to pay the amount that the Bank thinks you owe, the Bank may report you as delinquent. However, if the Bank's explanation does not satisfy you and you write to the Bank within 10 days stating that you still refuse to pay, the Bank must tell anyone to whom it reports that you have a question about your monthly statement. And, the Bank must tell you the name of anyone the Bank reported you to. When the matter is finally settled, the Bank must tell anyone to whom it reports that the matter is settled. If the Bank does not follow these rules, the Bank cannot collect the first $50 of the questioned amount, even if your monthly statement was correct Rev 8/1/2017

7 EXHIBIT A: This Section does not apply (a) to members of the armed forces and their dependents who are entitled to protection under the Military Lending Act, 10 U.S.C. 987, or (b) if prohibited under any otherwise applicable provision of State or Federal law. If you would like more information about whether you are entitled to protection under the Military Lending Act and whether this Section applies to you, please contact us at MANDATORY DISPUTE RESOLUTION PROVISIONS DISPUTES RESOLUTION In most cases, we will resolve disputes over the telephone or within your branch. Any unresolved disputes shall be governed by the provisions disclosed below in Subsections (1), (2), (3), and (4). READ THESE PROVISIONS CAREFULLY. They supersede any dispute resolution in agreements prior to this revision, and apply to all relationships heretofore entered into between you and us regarding the subject matter of this agreement. (1) Dispute Defined. As used herein, the word "Dispute" means any claim by either party against the other party related to or arising out of this Agreement and includes, but is not limited to, matters arising from or relating to an application for or denial of credit, fees, the adequacy of a party's disclosures, enforcement of any and all of the obligations a party hereto may have to another party, compliance with applicable laws and/or regulations, performance or services or products provided under this Agreement, including without limitation disputes based on or arising from any alleged tort or matters involving the employees, officers, agents, affiliates, or assigns of a party hereto. If a third party is a party to a Dispute (such as a credit reporting agency, or the payee or maker of an item paid from or deposited in any deposit account), each party hereto agrees to consent to including that third party in any arbitration for resolving the Dispute with that third party. The words "Consumer Dispute" mean a Dispute concerning a deposit account or product described in this Agreement provided by Bank to a consumer primarily for personal, family, or household purposes, in which the claim for damages is less than $75,000. The words "Commercial Dispute" mean any Dispute that is not a Consumer Dispute. (2) Jury Waiver. Each party waives its, his or her respective rights to a trial before a jury in connection with any Dispute. All Disputes shall be decided by a judge sitting without a jury, unless submitted to binding arbitration pursuant to Subsection (4). (3) Class Action Waiver. If permitted by applicable law, each party waives the right to litigate any Dispute as a class action (either as a member of a class or as a representative) or to act as a private attorney general. The waiver in this paragraph applies whether the proceeding is in a court, in an arbitration, or in any judicial reference proceeding. (4) Agreement to Submit to Binding Arbitration. This Subsection (4) is an agreement to submit to binding arbitration of any Dispute between the parties. With regard to any Consumer Dispute, any party hereto shall have the right, but no obligation, to require that any Dispute between the parties be resolved by arbitration. With regard to a Commercial Dispute, if (but only if) a state or federal court determines for any reason that the jury trial waiver provision in Subsection (1) is not enforceable with respect to the Dispute, any party hereto may require that said Dispute be resolved by binding arbitration. Only with regard to arbitration under this Subsection (4), the parties agree that "Dispute" does not include matters regarding: (a) the validity, enforceability, meaning, or scope of this DISPUTES RESOLUTION Section, or (b) class action claims brought by either party as a class representative on behalf of others and claims by a class representative on either party s behalf as a class member, which matters may be determined only by a court without a jury. BY AGREEING TO RESOLVE FUTURE DISPUTES IN ARBITRATION, THE PARTIES ARE WAIVING THEIR RIGHT TO LITIGATE IN COURT. In any lawsuit regarding a Dispute (a "Lawsuit"), and subject to the provisions of the preceding paragraph, following the service of a complaint, third-party complaint, cross-claim or counterclaim or any answer thereto, any amendment to any of the above served in the Lawsuit, or a ruling or entry of an order in the Lawsuit that has the effect of invalidating any jury trial waiver agreement (any of the foregoing, an "Arbitration Event"), then at any time prior to trial of the Dispute, but not later than 30 days after the Arbitration Event, any party shall be entitled to move the court for an order compelling arbitration and staying or dismissing the Lawsuit pending arbitration ("Arbitration Order") under this Subsection (4). Each party agrees that a party that commenced or participated in the Lawsuit may demand arbitration of a Dispute after an Arbitration Event, and that the commencement or participation in the Lawsuit shall not operate as a waiver of the right to compel arbitration. After entry of an Arbitration Order, the non-moving party shall commence arbitration. The moving party shall, at its discretion, also be entitled to commence arbitration but is under no obligation to do so, and the moving party shall not in any way be adversely prejudiced by electing not to commence arbitration.

8 Arbitration under this provision shall be conducted before a single arbitrator through either the National Arbitration Forum ("NAF") or Judicial Arbitration and Mediation Services ("JAMS"), as selected by the initiating party, in accordance with the rules of NAF or JAMS (the "Administrator"). However, if the parties agree, a licensed attorney may be selected by the parties to conduct the arbitration without an Administrator. If NAF and JAMS both decline to administer arbitration of the Dispute, and if the parties are unable to mutually agree upon a licensed attorney to act as arbitrator without an Administrator, then either party may file a Lawsuit and move for an Arbitration Order. The arbitrator, howsoever appointed, shall have expertise in the subject matter the Dispute. Venue for the arbitration proceeding shall be as stated elsewhere in this Agreement with respect to any judicial proceedings between the parties. Absent such a venue provision, the arbitration shall be conducted at a location determined by mutual agreement of the parties or by the Administrator if no agreement can be reached. The arbitrator shall apply the law of the state specified in the agreement giving rise to the Dispute. In any arbitration commenced by a consumer regarding a Consumer Dispute, Bank shall pay one half of the Administrator's initial filing fee, up to $500. If Bank commences arbitration or is the moving party obtaining an Arbitration Order, Bank shall pay all Administrator and arbitrator fees, regardless of whether or not the consumer is the prevailing party in such arbitration, unless such Dispute involves a claim for damages by a consumer and is found by the arbitrator to be frivolous. The Administrator and the arbitrator shall have the authority, to the extent practicable, to take any reasonable action to require the arbitration proceeding to be completed within 180 days of commencing the arbitration. The arbitrator: (i) will render a decision and any award applying applicable law; (ii) will hear and rule on appropriate dispositive motions for judgment on the pleadings, for failure to state a claim, or for full or partial summary judgment; (iii) will give effect to any statutory or contractual limitations period (e.g., any statute of limitations) in determining any Dispute or defense; (iv) shall have the authority to impose sanctions on any party that fails to comply with time periods imposed by the Administrator or the arbitrator, including, without limitation, the sanction of entering a final award against the party that fails to comply; (v) shall have authority to award costs and fees (including attorneys' fees and costs, arbitration administration fees and costs, and arbitrator(s)' fees) to the extent permitted by law; (vi) shall recognize and honor claims of privilege recognized at law; and (vii) with regard to motions and the arbitration hearing, shall apply the Federal Rules of Evidence. The doctrines of compulsory counterclaim, res judicata, and collateral estoppel shall apply to any arbitration proceeding hereunder. Commencement of an arbitration by any party shall not prevent any party from at any time (i) seeking and obtaining from a court of competent jurisdiction (notwithstanding ongoing arbitration) provisional or ancillary remedies including but not limited to injunctive relief, temporary restraining orders, property preservation orders, foreclosure, sequestration, eviction, attachment, replevin, garnishment, and/or the appointment of a receiver; or (ii) availing itself of any self-help remedies such as setoff and repossession rights or nonjudicial foreclosure of collateral. The exercise of such rights shall not constitute a waiver of the right to submit any Dispute to arbitration. Judgment upon an arbitration award may be entered in any court having jurisdiction except that, if the arbitration award exceeds the "Appeal Threshold," any party shall be entitled to a de novo appeal of the award before a panel of three arbitrators. The "Appeal Threshold" in a Commercial Dispute shall be $4,000,000 and, in a Consumer Dispute shall be $200,000. To allow for such appeal, if the award (including Administrator, arbitrator, and attorney's fees and costs) exceeds the Appeal Threshold, the arbitrator will issue a written, reasoned decision supporting the award, including a statement of authority and its application to the Dispute. A request for de novo appeal must be filed with the arbitrator within 30 days following the date of the arbitration award; if such a request is not made within that time period, the arbitration award shall become final and binding. On appeal, the arbitrators shall review the award de novo, meaning that they shall reach their own findings of fact and conclusions of law rather than deferring in any manner to the original arbitrator. Appeal of an arbitration award shall be pursuant to the rules of the Administrator; if the Administrator has no such rules, then the JAMS arbitration appellate rules shall apply. To request information on how to submit an arbitration claim, or to request a copy of an Administrator's rules or fee schedule, please contact the Administrators as follows: JAMS: 1920 Main St., Suite 300, Irvine, CA 92614, Phone: (949) , Fax: (949) , info@jamsadr.com, Website: NAF: National Arbitration Forum, P.O. Box 50191, Minneapolis, MN , Phone (800) , info@adrforum.com, Website: Arbitration under this provision concerns a transaction involving interstate commerce and shall be governed by the Federal Arbitration Act, 9 U.S.C. 1 et seq. If the terms of this Subsection (4) vary from the Administrator's rules, this Subsection (4) shall control. (5) Survival. This DISPUTES RESOLUTION Section shall survive any termination, amendment, or expiration of this Agreement, or any other relationship between the parties. (6) Reliance. Each party (i) certifies that no one has represented to such party that the other party would not seek to enforce a jury waiver, class action waiver or arbitration provision in the event of suit, and (ii) acknowledges that it and the other party have been induced to enter into this Agreement by, among other things, material reliance upon the mutual waivers, agreements, and certifications in this DISPUTES RESOLUTION Section.

9 EXHIBIT B: Military Lending Act - If your account is deemed eligible for Military Lending Act (MLA) benefits, Federal law provides important protections to members of the Armed Forces and their dependents relating to extensions of consumer credit. In general, the cost of consumer credit to a member of the Armed Forces and his or her dependent may not exceed an annual percentage rate of 36 percent. This rate must include, as applicable to the credit transaction or account: The costs associated with credit insurance premiums; fees for ancillary products sold in connection with the credit transaction; any application fee charged (other than certain application fees for specified credit transactions or accounts); and any participation fee charged (other than certain participation fees for a credit card account). For more information regarding the Military Lending Act, contact us at