Online Banking Disclosure
www.islandersbank.com
P0 Box 909
545 Park Street
Friday Harbor WA 98250

Before agreeing, please Print This Page for your records

This agreement, which includes the fee schedule and enrollment form, is a contract that establishes these rules that cover your electronic access to your accounts at Islanders Bank (Bank) through "islandersbank.com" (SYSTEM). By using "islandersbank.com" online banking, you accept all terms and conditions of this Agreement. Please read it carefully. The terms and conditions of the deposit agreements and disclosures for each of your accounts held at Islanders Bank as well as your other agreements with Islanders Bank such as loans, continue to apply notwithstanding anything to the contrary in this Agreement. This Agreement is also subject to applicable federal laws and the laws of the State of Washington (except to the extent this Agreement can and does vary such rules or laws). If any provision of this Agreement is found to be unenforceable according to its terms, all remaining provisions will continue in full force and effect. The headings in this Agreement are for convenience or reference only and will not govern the interpretation of the provisions. Any waiver (express or implied) by either party of any default or breach of the Agreement must be in writing and shall not constitute a waiver of any other or subsequent default or breach. You may not assign this Agreement. This Agreement is binding upon your heirs and Islanders Bank's successors and assigns. Certain obligations of the parties pursuant to this Agreement that by their nature would continue beyond the termination, cancellation or expiration of this Agreement shall survive termination, cancellation or expiration of this agreement. This Agreement constitutes the entire agreement between you and Islanders Bank with respect to the subject matter hereof and there are no understandings or agreements relative hereto which are not fully expressed herein.

DEFINITIONS: As used in this Agreement, the words "we", "our", "us", and "BANK" mean Islanders Bank. "You" and "your" refer to the accountholder authorized by Islanders Bank to use "islandersbank.com" online banking service under this Agreement and anyone else authorized by that account holder to exercise control over the accountholder's funds through "islandersbank.com" online banking service "Account" or "accounts" means your accounts at Islanders Bank. "Electronic Funds Transfers" means ATM withdrawals, pre-authorized transactions, point of sale transactions, transfers to and from your Islanders Bank accounts using "islandersbank.com" online banking service including bill payments. "System Services" means the services provided pursuant to this agreement, including the Bill Payment Service. "Business days" means Monday through Friday. Holidays are not included.

ONLINE BANKING ENROLLMENT PROCESS: This service requires the customer agree to this disclosure and follow the First Time Login process. The customer may also apply in person at any branch of Islanders Bank. The information on the enrollment form will identify everything we will need to enable the online banking service. Once we verify all information submitted for accuracy you will have online access to your accounts.

ACCESS: To use the "islandersbank.com" online banking services you must have access to Internet services, a working e-mail address and at least one checking account at Islanders Bank. To use the Bill Pay Program you must have at least one checking account at Islanders Bank.

"islandersbank.com" ONLINE BANKING SERVICES: You can use "islandersbank.com" online banking service to check the balance of your Bank accounts, view Bank account histories, transfer funds between your Bank accounts, order checks, make stop payment requests, view checks and change your address. If you are enrolled in Islanders Bank's Bill Pay program, or for business customers that have chosen the "Cash Management Program", you may pay bills from your Bank checking accounts in the amounts and on the dates you request.

HOURS OF ACCESS: You can use "islandersbank.com" online banking service seven days a week, twenty-four hours a day, although some or all "islandersbank.com" online banking service may not be available occasionally due to emergency or scheduled system maintenance. We agree to post notice of any extended periods of non-availability on the "islandersbank.com" website.

YOUR PASSWORD: For security purposes, you are required to change your password upon your initial log in to "islandersbank.com" online banking service. You are required to change your password annually thereafter. You determine what password you will use and the identity of your password is not communicated to us. You agree that we are authorized to act on instructions received under your password. You accept responsibility for the confidentiality and security of your password and agree to change your password regularly. Upon three unsuccessful attempts to use your password, your access to "islandersbank.com" online banking service will be revoked. To reestablish your authorization to use "islandersbank.com" online banking service, you must contact us to have your password reset or to obtain a new temporary password. We recommend that you create a password that utilizes both upper and lower case alpha and numeric characters for purposes of security. Your password should not be associated with any commonly known personal identification, such as social security numbers, address, or date of birth, names of children, and should be memorized rather than written down.

SECURITY: You understand the importance of your role in preventing misuse of your accounts through "islandersbank.com" online banking services and you agree to promptly examine your statement for each of your Islanders Bank accounts as soon as you receive it. 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 information by itself, or together with information related to your account, may allow unauthorized access to your account. Your password and log in ID are intended to provide security against unauthorized entry and access to your accounts. Data transferred via "islandersbank.com" online banking service is encrypted in an effort to provide transmission security and "islandersbank.com"online banking service utilizes identification technology to verify that the sender and receiver of "islandersbank.com" online banking service transmissions can be appropriately identified by each other. Notwithstanding our efforts to insure that the "islandersbank.com" online banking service 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. We cannot and do not warrant that all data transfers utilizing Islanders Banks "islandersbank.com" online banking service, or e-mail transmitted to and from us, will not be monitored or read by others.

FEES & CHARGES: Online Banking services are FREE!!! You agree to pay any additional charges for services you request which are not covered by this Agreement. You are also responsible for telephone and internet service fees you incur in connection with your use of "islandersbank.com" online banking service.

POSTING OF TRANSFERS: Transfers initiated through "islandersbank.com" online banking service after 8:00 P.M. PST on a business day, Saturday, Sunday or banking holiday, will be posted on the next business day. "islandersbank.com" online banking service identifies transfers based upon the log-in ID of the user who made the electronic transfer. Accordingly, you understand and acknowledge that the View Postings screen in the Transfer menu option of "islandersbank.com" online banking service will not reflect transfers made by multiple users from the same account if different log-in IDs are used. You agree to communicate with any other persons with authorized access to your accounts concerning any transfers or bill payments from your accounts in order to avoid overdrafts.

OVERDRAFTS: (Order of Payments, Transfers, and other Withdrawals) - If your account has insufficient funds to perform all electronic fund transfers you have requested for a given business day, then: A.) Electronic funds transfers involving currency disbursements, like ATM withdrawals, will have priority; B.) Electronic funds transfers initiated through "islandersbank.com" online banking service which would result in an overdraft of your account may, at our discretion, be canceled; C.) In the event the electronic fund transfers initiated through "islandersbank.com" online banking service which would result in an overdraft of your account are not canceled, overdraft charges may be assessed pursuant to the terms of the deposit agreement for that account.

LIMITS ON AMOUNTS AND FREQUENCY OF "islandersbank.com" ONLINE BANKING SERVICE TRANSACTIONS - The number of transfers from Islanders Bank accounts and the amounts which may be transferred are limited pursuant to the terms of the applicable deposit agreement and disclosure for those accounts. If a hold has been placed on deposits made to an account from which you wish to transfer funds, transfer the portion of the funds held until the hold expires.

"islandersbank.com" ONLINE BANKING BILL PAYMENT PROGRAM - See Terms and Conditions of Bill Pay Program. 

HOW TO CANCEL A BILL PAYMENT - To cancel a bill payment that you have scheduled through "islandersbank.com" online banking Bill Pay service, you must cancel the payment online via "islandersbank.com" online banking Bill Pay service (by following the onscreen instructions).

STOP PAYMENT REQUESTS - Stopping the payment of a check is different from the cancellation of a bill payment. Refer to Bill Pay Program Terms and Conditions. You may initiate stop-payment request online via "islandersbank.com" online banking service only for paper checks you have written (non-electronically) on your Islanders Bank accounts (not "islandersbank.com" online banking service bill payer program). 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 reason for the stop payment. If you make your stop-payment request online or by telephone, we may also require you to put your request in writing. You will incur stop-payment charges as disclosed in the current fee schedule for the applicable account.

DISCLOSURE OF ACCOUNT INFORMATION AND TRANSFERS - You understand information about your accounts or the transfers you make may automatically be disclosed to others. For example, tax laws require disclosure to the government of the amount of interest you earn, and some transactions, such as large currency and foreign transactions, must be reported to the government. We may also provide information about your accounts to persons or companies we believe would use the information for reasonable purposes, such as when a prospective creditor seeks to verify information you may have given in a credit application or a merchant calls to verify a check you have written. In addition, we routinely inform credit bureaus when accounts are closed because they were not handled properly. We may also seek information about you from others, such as the credit bureau, in connection with the opening or maintaining of your account or in connection with approving your access to "islandersbank.com" online banking service. You agree and hereby authorize all of these transfers of information.

PERIODIC STATEMENTS - You will not receive a separate "islandersbank.com" online banking service statement. Transfers to and from your accounts using "islandersbank.com" online banking service will appear on the respective periodic statements for your Islanders Bank accounts.

CHANGE IN TERMS - We may change any term of this Agreement at any time. If the change would result in increased fees for any "islandersbank.com" online banking service, increased liability for you, fewer types of available electronic fund transfers, or stricter limitations on the frequency or dollar amount of transfers, we agree to give you notice at least 21 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 post any required notice of the change in terms on the "islandersbank.com" website or forward it to you by e-mail or by postal mail. If advance notice of the change is not required, and disclosure does not jeopardize the security of the account or our electronic fund transfer system, we will notify you of the change in terms within 30 days after the change becomes effective. Your continued use of any or all of the subject "islandersbank.com" online banking service 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.

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 the "islandersbank.com" online banking service provided to you under this Agreement. We do not and cannot warrant that "islandersbank.com" online banking service will operate without errors, or that any or all "islandersbank.com" online banking service will be available and operational at all times. Except as specifically provided in this Agreement, or otherwise required by law, you agree that 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 your use of or access to "islandersbank.com" online banking service, 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 a warranty. Further, in no event shall the liability of Islanders Bank or its affiliates exceed the amounts paid by you for the services provided to you through "islandersbank.com" online banking service.

YOUR RIGHT TO TERMINATE - You may cancel your "isIandersbank.com" online banking service at any time by providing us with written notice by postal mail or fax. Your access to "islandersbank.com" online banking service will be suspended within 3 business days of our receipt of your instructions to cancel the service. You will remain responsible for all outstanding fees and charges incurred prior to the date of cancellation.

OUR RIGHT TO TERMINATE - You agree that we can terminate or limit your access to "islanders bank.com" online banking service for any of the following reasons: 1.) Without prior notice, if you have insufficient funds in any one of your Islanders Bank accounts. "islandersbank.com" online banking service maybe reinstated, in our sole discretion, once sufficient funds are available to cover any fees, pending transfers, and debits. 2.) Upon 3 business days notice, if you do not contact us to designate a new Primary Checking Account immediately after you close your Primary Checking Account. 3.) Upon reasonable notice, for any other reason in our sole discretion.

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 "islandersbank.com" website or by email. You agree to notify us immediately of any change in your e-mail address.

Before Agreeing, please print this page for your records.