Online Banking Disclosure

This agreement states the terms and conditions that apply when you use the State Bank of Medora Internet Banking products. These terms and conditions are in addition to those that apply to any accounts you have with us or any other services you obtain from us. You must also follow all of our instructions and procedures applicable to the services covered by this agreement.

"You" and "your" mean each person who establishes an Internet Banking Account with us or who uses or is authorized to use an Internet Banking identification number and password or other means of access we establish or approve. The term "Internet Banking" means our service that allows you to make payments, transfer funds, access accounts, obtain information and perform other transactions over the Internet by use of a personal computer and modem and/or other means we authorize or allow.

Identification Number and Password To access our Internet Banking service, you must use the identification number and/or other means of access we establish or provide for your Internet Banking Account, together with a password. You will be required to change your password at your initial log-in. Anyone to whom you give your Internet Banking identification number and password or other means of access will have full access to your accounts even if you attempt to limit that person's authority.

Internet Accounts In order to use this service you must have one checking or savings account. You must have a checking account to use the Internet Bill Payment feature. You may not designate any account that requires two or more signatures for withdrawals. You must be the owner of this account. The Primary Internet Account will be debited for any Internet Banking fees. This account must be listed first on the Internet Banking Application.

Joint Accounts The laws regarding joint accounts apply for Internet usage. Each holder of a joint account is jointly and severally liable under this Agreement. Each of you may, using your assigned user ID and password, perform transactions, pay bills, obtain information, stop payments or transfers, or terminate this Agreement. Each of you releases the Bank from liability and agrees not to make a claim or bring any action against the Bank for allowing transactions where the person performing the action or transaction is one of you or is otherwise authorized to use these services.

Internet Banking Transactions You, or someone you have authorized by giving them your Internet Banking identification number and password or other means of access (even if that person exceeds your authority), can instruct us to perform the following transactions: make transfers between your qualifying accounts to the extent authorized, obtain information that we make available about your qualifying accounts, and obtain other services or perform other transactions that we authorize.

Limits on Internet Banking Transactions You must have enough available money or credit in any account from which you instruct us to make a payment or transfer. If any of your qualifying accounts are money market savings accounts, certain types of withdrawals from those accounts, including payments and transfers, are limited to a total of no more than 6 in any specified period. The specified period for money market accounts is the monthly statement period. The kinds of withdrawals covered by this limitation are those made by means of preauthorized or automatic transfers and payments or telephone agreement. A total of only 6 of these kinds of withdrawals may be made by check, draft, debit card, or similar order payable to third parties. You also agree to the "Terms & Conditions of Your Deposit Account" that you received when you opened your deposit account. You can request another one of these at the time you fill out your State Bank of Medora Internet Banking Application.

Our Liability for Failure to Complete Payments or Transfers If we do not complete a payment or transfer 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 exceptions. We will NOT be liable, for instance:

If, through no fault of ours, you do not have enough available money in the account from which a payment or transfer is to be made, or if the account has been closed or is not in good standing, or if we reverse a payment or transfer because of insufficient funds
If any payment or transfer would go over the credit limit of any account
If your equipment or ours was not working properly and the breakdown should have been apparent to you when you attempted to conduct the transaction
If you have not given us complete, correct or current account numbers or other identifying information so that we can properly credit your account or otherwise complete the transaction
If you do not properly follow our instructions or if you provide us with wrong or inaccurate information or fail to correct or tell us about any inaccuracy of which you are aware
If you do not instruct us soon enough for your payment or transfer to be received and credited by the time it is due.
If the money in the account from which a payment or transfer is to be made is subject to legal process or other claim restricts the transaction
If circumstances or persons beyond our control prevent, delay, intercept or alter the transaction, despite reasonable precautions that we have taken

Business Days Our Internet Banking service is generally available 24 hours a day, 7 days a week. However, we only process transactions and update information on business days. Our business days are Monday, Tuesday, Thursday, Friday, and Saturday. Transfers made after 2:00 p.m. will be processed on the next business day. Holidays are not included.

Statements Your Internet Banking payments and transfers will be indicated on the monthly or quarterly statements we provide or make accessible to your accounts. You agree to notify us promptly if you change your address or if you believe there are any errors or unauthorized transactions on any statement, or statement information.

Your Liability You agree to the terms of this account and the schedule of charges that may be imposed. You authorize us to deduct these charges as accrued directly from the account balance. You are liable for all transactions that you or any of you make or authorize, even if the person you authorize exceeds your authority. If you have given someone your Internet Banking number and password or other means of access and want to terminate that person's authority you must change your identification number and password or other means of access or take additional steps to prevent further access by such person.

Unauthorized Transactions or Loss or Theft of Your Internet Banking Identification Number or Password If you believe your Internet Banking identification number or password or other means of access have been lost or stolen or that someone has used them without your authorization, call us immediately at 812-966-2601 during normal business hours. After hours you may email us at onlinebanking@medorabank.com or write to us at 24 East Main Street, P.O. Box 189, Medora, IN 47260. Quickly telephoning us is the best way of reducing your possible losses. Not all mail may arrive at their destinations. Please include your name, address, telephone number and a brief description as to what the problem might be with all written correspondence.

Future Changes to this Agreement and Termination The State Bank of Medora reserves the right to modify this agreement upon giving 30 days notice to you. The Bank may terminate this agreement if you close your account, do not maintain sufficient funds in your account or upon reasonable notice for any other reason at the Bank's sole discretion.

State Bank of Medora's Internet Banking Application Information Signing up for the State Bank of Medora's Internet Banking is as easy as following these steps: Consumer and Business Account customers may obtain information and apply for Internet Banking through the following methods:

Go to State Bank of Medora internet site at www.statebankofmedora.com and choose Enroll from the Online Banking Box located in the top left corner of the home page.
Complete the application form by providing all required information.
Submit the completed form using the link provided at the bottom of the page.