This Agreement and Disclosure sets forth your and our rights and responsibilities concerning the use of our Online Banking services and Bill Pay services offered by First National Bank of LaFollette. In this agreement the words “you” and “your” mean those who sign as applicants or any authorized user(s). The words “we”, “us”, and “our” mean First National Bank of LaFollette. By using Online Banking, you agree to all of the terms of this agreement.

ACCESS – To use the Online Banking services, you must have at least one account at First National Bank, access to Internet services, and an e-mail address. 

ONLINE BANKING SERVICES - You may access your account information by using a specific Internet ID and Password assigned to you. At the present time you may use the system to:

• Perform account inquiries on checking, savings, certificate of deposit and loan accounts
• Obtain statement transaction detail on your accounts
• Transfer funds between your deposit accounts and make payments to loans
• Initiate instructions for placing stop payment on your checking account
• Send secured e-mail messages to First National Bank of LaFollette
• Submit a check re-order request

Bill Payment

• Initiate Bill Payments to any merchant of vendor you choose

Cash Management Features (Commercial customers only)

• Authorize other individuals within your business to access your account

FEES AND CHARGES

• We do not charge for General Online Banking features or bill payment.
• Normal bank fees will be assessed for stop payments.
• Normal check fees will be assessed when check orders are processed.
• Commercial Cash Management features are provided at no charge.

HOURS OF ACCESS – You can use Online Banking services seven days a week, twenty-four hours a day, although some or all services may not be available occasionally due to emergency or scheduled system maintenance. Our business days are Monday through Friday. Holidays are not included.

POSTING AND TRANSFERS – Transfers initiated though Online Banking before 4:30p.m. (Eastern Standard Time) on a business day are assured of being posted to your account the same day. Transfers completed after 4:30p.m. (Eastern Standard Time) on a business day, Saturday, Sunday or federal holiday, will be posted on the next business day if they miss end of day processing on normal business days. You agree to communicate with any other persons with authorized access to your accounts concerning any transfers from your accounts in order to avoid overdrafts.

LIMITATIONS ON FREQUENCY AND AMOUNT – In accordance with federal regulations you may not take more than six (6) preauthorized or automatic transfers from your money market account or savings account during a given monthly statement period. There are no limits on the number or dollar amount of transfers or payments you may make from your checking account. Balances shown online are as of close of business for the prior day. Balances may include deposits subject to verification by us. The balance may also differ from your records due to deposits in process, outstanding checks or other withdrawals, payments or charges. We have the right to cancel transactions if sufficient funds are not available in your account.

STOP PAYMENT REQUESTS – Stopping the payment of a check is different from the cancellation of a Bill Payment or an ACH item. Once the Bill Payment has been debited from your account, you CANNOT cancel or stop a Bill Payment that has been paid electronically, NOR can you stop an ACH item from processing.

You may initiate stop payment requests online via Online Banking only for paper checks you have written (non-electronically) on your First National Bank accounts (not Bill Payments via Online Banking or Point of Sale transactions in which your check was returned to you voided). Online stop payment requests received before 4:30p.m. (EST) on any business day are processed that day. Online stop payment requests received after 4:30p.m. (EST) on any business day, Saturday, Sunday, or federal holiday are processed the next business day following the date the stop payment has been requested online. To be effective, this type of stop payment request must precisely identify the name of the payee, the check number, the amount, the date of the check, and the account number on which it was written.

ONLINE BANKING ID AND PASSWORD - The ID and PASSWORD issued to you is for your security purposes. Your ID will be mailed to you and your PASSWORD will be e-mailed to you. The first time you access your Online Banking Account you will be prompted to change your ID and PASSWORD. Your ID and PASSWORD is confidential and should not be disclosed to third parties. You are responsible for safekeeping your ID and PASSWORD. You may change your ID and PASSWORD at any time by clicking on “Options.” For security purposes, the system will automatically prompt you to change your ID and PASSWORD if you have not changed it in 60 days. You should carefully select an ID and PASSWORD that is hard to guess. (We suggest that you stay away from names, dates, and information that may be easily guessed.) You agree not to disclose or otherwise make your ID and PASSWORD available to anyone not authorized to sign on your accounts. Once your Online Banking session has been inactive for 10 minutes, you will automatically be logged off of the system.

SECURITY – FIRST NATIONAL BANK WILL NEVER CONTACT YOU AND ASK FOR YOUR ID OR PASSWORD. You understand the importance of your role in preventing misuse of your accounts through Online Banking. You agree to protect the confidentiality of your account and account number, and your personal identification information, such as your driver’s license number and social security number. You understand that personal identification by itself, or together with information related to your account, may allow unauthorized access to your account. Data transferred via Online Banking is encrypted in an effort to provide transmission security. Notwithstanding our efforts to insure that the Internet Banking system is secure, you acknowledge that the Internet is inherently insecure and that all data transfers, including electronic mail, occur openly on the Internet and potentially can be monitored and read by others. Do not send confidential or financial information by e-mail. You will need to contact First National Bank directly at 1-888-308-4362 or 423-562-3364 concerning confidential or financial information.

NO SIGNATURE REQUIREMENT – When any payment or other on-line service generates items to be charged to your account, you agree that we may debit the designated account without requiring your signature on the item and without any notice to you. Online Stop Payment Request are valid without your signature using Online Banking.

BILL PAYMENTS – Cutoff time for Bill Payment is 3:00a.m. (Eastern Standard Time). To ensure that payment is properly credited to your account prior to the payment due date, please allow five business days for electronic payments and seven business days for paper checks from the date payment is submitted for your payment to reach the merchant or vendor. 

DOCUMENTATION 

• Periodic Statement – You will get a monthly account statement from us on your checking or savings account.
• Confirmation or Receipt – A confirmation or receipt will be displayed at the time you make a transfer, submit a Bill Payment, submit instructions for stop payments, or check orders. This confirmation or receipt should be printed and kept for your records.

CHANGE IN TERMS – We may change any terms of this Agreement at anytime. If the change would result in increased fees for Online Banking, increased liability to you, fewer types of available electronic transfers, or stricter limitation on frequency or dollar amount of transfers, we agree to give you notice 30 days before the effective date of any such change, unless an immediate change is necessary to maintain the security of an account or our electronic fund transfer system. We will mail any required notice to you or send it by e-mail. Your continued use of Online Banking indicates your acceptance of the change in terms. We reserve the right to waive, reduce or reverse charges or fees in individual situations. You acknowledge and agree that changes to fees applicable to specific accounts are governed by the applicable deposit agreements and disclosures.

IN CASE OF ERRORS OR QUESTIONS ABOUT YOUR ELECTRONIC TRANSFERS, INCLUDING BILL PAYMENTS – Contact as soon as you can, by calling 888-308-4362 or 423-562-3364 or write us at First National Bank, P.O. Box 1141, LaFollette, TN 37766, if you think your paper statement is wrong, or if you need more information about a transfer listed on your paper statement. We must hear from you no later than 60 days after we sent the FIRST paper statement upon which the problem or error appeared. When you contact us:

1. Tell us your name and account number.
2. Describe the error or 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.
4. If the suspected error relates to bill payment made via Online Banking, tell us the account number used to pay the bill, payee name, the date the payment was sent, payment amount, ID number, and the payee account number for the payment in question.

If you contact us by telephone or by e-mail, we may require that you send us your complaint or question in writing within ten (10) business days.

We will tell you the results of our investigation within ten (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 forty-five (45) calendar days to investigate your complaint or question. If we decide to do this, we will recredit your account within ten (10) business days for the amount you think is in error, so that you have use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint in writing and we do not receive it within ten (10) business days, we may not recredit your account.

If we decide that there was no error, we will send you a written explanation of our findings within three (3) business days after we finish our investigation. You may ask for copies of the documents that we used in our investigation. If a notice or error involves an electronic funds transfer that was initiated in a foreign location, the applicable time period for action shall be twenty (20) business days in place of ten (10) business days, and ninety (90) calendar days in place of forty five (45) calendar days.

OUR LIABILITY FOR FAILURE TO MAKE A TRANSFER – If we do not complete a transfer to or from your account, including a Bill Payment, on time or in the correct amount, according to our agreement with you when you have properly instructed us to do so, we will be liable to you to complete the transfer. However, there are some exceptions. We will NOT be liable, for instance:

1. If, through no fault of ours, you do not have enough money in your account to make a transfer.
2. If a legal order directs us to prohibit withdrawals from your account.
3. If your account is closed, or if it has been frozen.
4. If you, or anyone authorized by you, commits fraud or violates any law or regulation.
5. If any electronic terminal, telecommunication device, or any part of Online Banking electronic fund transfer system is not working properly and you knew about the problem when you started the transfer.
6. If you have not provided us with the complete and correct payment information for Bill Payment Service, including, without limitation, the name, address, your payee-assigned account number, payment date, and payment amount for the payee on a bill payment.
7. If you have not properly followed the on-screen instructions for using Online Banking.
8. If circumstances beyond our control (such as fire, flood, interruption in telephone service or other communication lines) prevent the transfer, despite reasonable precautions that we have taken.

YOUR LIABILITY FOR UNAUTHORIZED TRANSFERS – CONTACT US AT ONCE (888-308-4362 OR 423-562-3364) if you believe your password has been lost, stolen, used without your authorization, or otherwise comprised, or if someone has transferred or may transfer money from your accounts without your permission. An immediate telephone call to us is the best way to reduce possible losses. You could lose all of the money in your accounts (plus your maximum overdraft line of credit, if any). If you contact us within two (2) business days after you learn of the loss, theft, compromise, or unauthorized use of your password, you can lose no more than $50 if someone used your password without your permission.

If you do NOT contact us within two (2) business days after you learn of the loss, theft, compromise, or unauthorized use of your password, and we can prove we could have stopped someone from using your password to access your accounts without your permission if you had told us, you could lose as much as $500.

Also, if your paper statement shows transfers that you did not make, contact at once (888-308-4362 or 423-562-3364). If you do not tell us within 60 days after the paper statement was mailed to you, you may not get back any of the money you lost through transactions made after the 60 day time period if we can prove that we could have stopped someone from taking the money if you had told us in time. 

DISCLAIMER OF WARRANTY AND LIMITATION OF LIABILITY – We make no warranty of any kind, express or implied, including any implied warranty of merchantability or fitness for a particular purpose, in connection with service provided by Online Banking to you under this Agreement. We do not and cannot warrant that Online Banking will operate without errors, or that any and all services from Online Banking will be available and operational at all times. Except as specifically provided in this Agreement, or otherwise required by law, you agree that First National Bank, our officers, directors, employees, agents or contractors are not liable for any indirect, incidental, special or consequential damages under or by reason of any services or products provided under this Agreement or by reason of access to Online Banking, including loss of profits, revenue, data or use by you or any third party, whether in an action in contract or tort or based on warranty. Further, in no event shall the liability of First National Bank and its affiliates exceed the amounts paid by you for the services provided to you through Online Banking.

VIRUS PROTECTION – First National Bank is not responsible for any electronic virus or viruses that you may encounter. We encourage our customers to routinely scan their PC and diskettes using a reliable virus product to detect and remove any viruses. Undetected or un-repaired viruses may corrupt and destroy your programs, files and even your hardware. Additionally, you may unintentionally transmit the virus to other computers.

YOUR RIGHT TO TERMINATE – You may cancel your Online Banking at any time by providing us with written notice by postal mail or fax. Your access to Online Banking will be suspended within three (3) business days of receipt of your instructions to cancel this service. You will remain responsible for all outstanding fees, charges, and unpaid items incurred prior to the date of cancellation.

OUR RIGHT TO TERMINATE – You agree that we can terminate or limit your access to Online Banking for any of the following reasons:

1. Without prior notice, if you have insufficient funds in any of your First National Bank accounts. Online Banking may be reinstated, in our sole discretion, once sufficient funds are available to cover any fees, pending transfers, and debits.
2. Immediately upon the closure of the First National Bank account to which your ATM Card or Check Card is tied.
3. Upon reasonable notice, for any other reason in our sole discretion.

COMMUNICATION BETWEEN FIRST NATIONAL BANK AND YOU – Unless this Agreement provides otherwise, you can communicate with us in any one of the following ways:

E-mail:	You can contact us by e-mail at Customer_service@fnblafollette.com. (Please note that banking transactions through Internet Banking are not made via e-mail. Specific information about your account, card number, ID or PASSWORD should only be sent via the secured connection in Internet Banking, by using the “CONTACT US” ICON on the appropriate web pages.)
Telephone:	You can contact us by telephone at 888-308-4362 or 423-562-3364
Facsimile:	You can contact us by fax at 423-562-3529
Postal Mail:	You can write us at: First National Bank, 106 South Tennessee Avenue, LaFollette, TN 37766

CONSENT TO ELECTRONIC DELIVERY OF NOTICES – You agree that any notice or other type of communication provided to you pursuant to the terms of this Agreement, and any future disclosures required by law, including electronic fund transfer disclosures, may be made electronically by posting the notice on the First National Bank web site or by e-mail. You agree to notify us immediately of any change in your e-mail address.

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

1. To complete transfers as necessary
2. To verify the existence and condition of your account upon the request of a third party, such as a credit bureau, or merchant; or
3. To comply with government agencies or court orders; or
4. If you give us your written permission; or
5. As otherwise provided in other agreements you have with us regarding your account(s).

CASH MANAGEMENT (Commercial Customers Only) – Access to your account(s) may be granted by you to other individuals within your business. Your business has been assigned an ID and Password to access Internet Banking. The ID and Password should only be provided to employees of the business who are authorized to access account records and perform transfers via Internet Banking. Your ID and Password should not be provided to non-employees of your business. First National Bank shall NOT assume any liability for the security of your ID and Password. You represent to First National Bank that only authorized individuals will have access to your account(s) via Internet Banking. All account information accessed and transfers performed shall be deemed to have originated from an authorized user. You and your business assume full responsibility for misuse of Internet Banking access to your account(s).

ADDITIONAL DISCLOSURES – This Agreement and Disclosure and the terms contained herein are in addition to other account agreements and disclosures relative to your account with First National Bank. This Agreement is to be construed in conjunction with such other agreements and disclosures and nothing herein shall supercede or alter the terms of such other agreements and disclosures unless specifically set forth in this Agreement and Disclosure.