Terms & Conditions of Your Account

AGREEMENT - This document, along with any other documents we give you pertaining to your account(s), is a contract that establishes rules which control your account(s) with us. Please read this carefully. If you sign the signature card or open or continue to have your account with us, you agree to these rules. You will receive a separate schedule of rates, qualifying balances, and fees if they are not included in this document. If you have any questions, please call us.

This agreement is subject to applicable federal laws and the laws of the state of Kansas (except to the extent that this agreement can and does vary such rules or laws). The body of state and federal law that governs our relationship with you, however, is too large and complex to be reproduced here. The purpose of this document is to:

• summarize some laws that apply to common transactions;
• establish rules to cover transactions or events which the law does not regulate;
• establish rules for certain transactions or events which the law regulates but permits variation by agreement; and
• give you disclosures of some of our policies to which you may be entitled or in which you may be interested.

If any provision of this document is found to be unenforceable according to its terms, all remaining provisions will continue in full force and effect. We may permit some variations from our standard agreement, but we must agree to any variation in writing either on the signature card for your account or in some other document.

As used in this document the words "we," "our," and "us" mean the financial institution and the words "you" and "your" mean the account holder(s) and anyone else with the authority to deposit, withdraw, or exercise control over the funds in the account. The headings in this document are for convenience or reference only and will not govern the interpretation of the provisions. Unless it would be inconsistent to do so, words and phrases used in this document should be construed so the singular includes the plural and the plural includes the singular.

LIABILITY - You agree, for yourself (and the person or entity you represent if you sign as a representative of another) to the terms of this account and the schedule of charges. You authorize us to deduct these charges directly from the account balance as accrued. You will pay any additional reasonable charges for services you request which are not covered by this agreement.

Each of you also agrees to be jointly and severally (individually) liable for any account shortage resulting from charges or overdrafts, whether caused by you or another with access to this account. This liability is due immediately, and can be deducted directly from the account balance whenever sufficient funds are available. You have no right to defer payment of this liability, and you are liable regardless of whether you signed the item or benefited from the charge or overdraft. This includes liability for our costs to collect the deficit including, to the extent permitted by law, our reasonable attorneys' fees.

DEPOSITS - We will give only provisional credit until collection is final for any items, other than cash, we accept for deposit (including items drawn "on us"). Actual credit for deposits of, or payable in, foreign currency will be at the exchange rate in effect on final collection in U.S. dollars. We are not responsible for transactions by mail or outside depository until we actually record them. We will treat and record all transactions received after our "daily cutoff time" on a business day we are open, or received on a day we are not open for business, as if initiated on the next following business day that we are open.

WITHDRAWALS - Unless clearly indicated otherwise on the account records, any of you, acting alone, who signs in the space designated for signatures on the signature card may withdraw or transfer all or any part of the account balance at any time. Each of you (until we receive written notice to the contrary) authorizes each other person signing the signature card to endorse any item payable to you or your order for deposit to this account or any other transaction with us. We may charge your account for a check even though payment was made before the date of the check, unless we have received written notice of the postdating in time to have a reasonable opportunity to act. We may refuse any withdrawal or transfer request which you attempt on forms not approved by us, by any method we do not specifically permit, which is greater in number than the frequency permitted, or which is for an amount greater or less than any withdrawal limitations. Even if we honor a nonconforming request, we may treat continued abuse of the stated limitations (if any) as your act of closing the account. We will use the date the transaction is completed by us (as opposed to the date you initiate it) to apply the frequency limitations. The fact that we may honor withdrawal requests that overdraw the available account balance does not obligate us to do so later. See the funds availability policy disclosure for information about when you can withdraw funds you deposit. For those accounts for which our funds availability policy disclosure does not apply, you can ask us when you make a deposit when those funds will be available for withdrawal.

We may require not less than 7 days' notice in writing before each withdrawal from an interest-bearing account other than a time deposit, or from any other savings account as defined by Regulation D. Withdrawals from a time account prior to maturity or prior to any notice period may be restricted and may be subject to penalty. See your notice of penalty for early withdrawal.

OWNERSHIP OF ACCOUNT AND BENEFICIARY DESIGNATION - These rules apply to this account depending on the form of ownership and beneficiary designation, if any, specified on the account records. We make no representations as to the appropriateness or effect of the ownership and beneficiary designations, except as they determine to whom we pay the account funds.

• Individual Account - is an account in the name of one person.
• Joint Account - With Survivorship (And Not As Tenants In Common) - is an account in the name of two or more persons. Each of you intend that when you die the balance in the account (subject to any previous pledge to which we have agreed) will belong to the survivor(s). If two or more of you survive, you will own the balance in the account as joint tenants with survivorship and not as tenants in common.
• Joint Account - No Survivorship (As Tenants In Common) - is owned by two or more persons, but none of you intend (merely by opening this account) to create any right of survivorship in any other person. We encourage you to agree and tell us in writing of the percentage of the deposit contributed by each of you. This information will not, however, affect the "number of signatures" necessary for withdrawal.
• Revocable Trust or Pay-On-Death Account - If two or more of you create this type of account, you own the account jointly with survivorship. Beneficiaries cannot withdraw unless: (1) all persons creating the account die, and (2) the beneficiary is then living. If two or more beneficiaries are named and survive the death of all persons creating the account, beneficiaries will own this account in equal shares, without right of survivorship. The person(s) creating either of these account types may: (1) change beneficiaries, (2) change account types, and (3) withdraw all or part of the account funds at any time.

BUSINESS ACCOUNTS - Earnings in the form of interest, dividends, or credits will be paid only on collected funds, unless otherwise provided by law or our policy. We may require the governing body of the legal entity opening the account to give us a separate authorization telling us who is authorized to act on its behalf. We will honor the authorization until we actually receive written notice of a change from the governing body of the legal entity.

STOP PAYMENTS - You must make any stop-payment order in the manner required by law and we must receive it in time to give us a reasonable opportunity to act on it before our stop-payment cutoff time. To be effective, your stop-payment order must precisely identify the number, date and amount of the item, and the payee.

You may stop payment on any item drawn on your account whether you sign the item or not, if you have an equal or greater right to withdraw from this account than the person who signed the item. A release of the stop-payment request may be made only by the person who initiated the stop-payment order.

Our stop-payment cutoff time is one hour after the opening of the next banking day after the banking day on which we receive the item. Additional limitations on our obligation to stop payment are provided by law (e.g., we paid the item in cash or we certified the item).

TELEPHONE TRANSFERS - A telephone transfer of funds from this account to another account with us, if otherwise arranged for or permitted, may be made by the same persons and under the same conditions generally applicable to withdrawals made in writing. Unless a different limitation is disclosed in writing, we restrict the number of transfers from a savings account to another account or to third parties, to a maximum of six per month (less the number of "preauthorized transfers" during the month). Other account transfer restrictions may be described elsewhere.

AMENDMENTS AND TERMINATION - We may change any term of this agreement. Rules governing changes in interest rates are provided separately. For other changes, we will give you reasonable notice in writing or by any other method permitted by law. We may also close this account at any time upon reasonable notice to you and tender of the account balance personally or by mail. Notice from us to any one of you is notice to all of you.

STATEMENTS - You must examine your statement of account with "reasonable promptness." If you discover (or reasonably should have discovered) any unauthorized signatures or alterations, you must promptly notify us of the relevant facts. As between you and us, if you fail to do either of these duties, you will have to either share the loss with us, or bear the loss entirely yourself (depending on whether we used ordinary care and, if not, whether we substantially contributed to the loss). The loss could be not only with respect to items on the statement but other items with unauthorized signatures or alterations by the same wrongdoer.

You agree that the time you have to examine your statement and report to us will depend on the circumstances, but will not, in any circumstance, exceed a total of 30 days from when the statement is first sent or made available to you.

You further agree that if you fail to report any unauthorized signatures, alterations, forgeries, or any other errors in your account within 60 days of when we first send or make the statement available, you cannot assert a claim against us on any items in that statement, and as between you and us the loss will be entirely yours. This 60-day limitation is without regard to whether we used ordinary care. The limitation in this paragraph is in addition to that contained in the first paragraph of this section.

ACCOUNT TRANSFER - This account may not be transferred or assigned without our prior written consent.

DIRECT DEPOSITS - If, in connection with a direct deposit plan, we deposit any amount in an account which should have been returned to the Federal Government for any reason, you authorize us to deduct the amount of our liability to the Federal Government from the account or from any other account you have with us, without prior notice and at any time, except as prohibited by law. We may also use any other legal remedy to recover the amount of our liability.

TEMPORARY ACCOUNT AGREEMENT - If this option is selected, this is a temporary account agreement. Each person who signs in the space designated for signatures on the signature card (except as indicated to the contrary) may transact business on this account. However, we may at some time in the future restrict or prohibit further use of this account if you fail to comply with the requirements we have imposed within a reasonable time.

SETOFF - We may (without prior notice and when permitted by law) set off the funds in this account against any due and payable debt you owe us now or in the future, by any of you having the right of withdrawal, to the extent of such persons' or legal entity's right to withdraw. If the debt arises from a note, "any due and payable debt" includes the total amount of which we are entitled to demand payment under the terms of the note at the time we set off, including any balance the due date for which we properly accelerate under the note.

This right of setoff does not apply to this account if: (a) it is an IRA or other tax-deferred retirement account, or (b) the debt is created by a consumer credit transaction under a credit card plan (but this does not affect our rights under any consensual security interest), or (c) the debtor's right of withdrawal only arises in a representative capacity. We will not be liable for the dishonor of any check when the dishonor occurs because we set off a debt against this account. You agree to hold us harmless from any claim arising as a result of our exercise of our right of setoff.

AUTHORIZED SIGNER (Individual Accounts only) - A single individual is the owner. The authorized signer is merely designated to conduct transactions on the owner's behalf. We undertake no obligation to monitor transactions to determine that they are on the owner's behalf.

RESTRICTIVE LEGENDS - We are not required to honor any restrictive legend on checks you write unless we have agreed in writing to the restriction. Examples of restrictive legends are "must be presented within 90 days" or "not valid for more than $1,000."

PAYMENT ORDER OF ITEMS - The law permits us to pay items (such as checks or drafts) drawn on your account in any order. To assist you in handling your account with us, we are providing you with the following information regarding how we process the items that you write. When processing items drawn on your account, our policy is to pay them according to the check number order. The order in which items are paid is important if there is not enough money in your account to pay all of the items that are presented. If an item is presented without sufficient funds in your account to pay it, we may, at our discretion, pay the item (creating an overdraft) or return the item (NSF). The amounts of the overdraft and NSF fees are disclosed elsewhere. We encourage you to make careful records and practice good account management. This will help you to avoid writing checks or drafts without sufficient funds and incurring the resulting fees.

ACH AND WIRE TRANSFERS - This agreement is subject to Article 4A of the Uniform Commercial Code - Fund Transfers as adopted in the state in which you have your account with us. If you originate a fund transfer for which Fedwire is used, and you identify by name and number a beneficiary financial institution, an intermediary financial institution or a beneficiary, we and every receiving or beneficiary financial institution may rely on the identifying number to make payment. We may rely on the number even if it identifies a financial institution, person or account other than the one named. You agree to be bound by automated clearing house association rules. These rules provide, among other things, that payments made to you, or originated by you, are provisional until final settlement is made through a Federal Reserve Bank or payment is otherwise made as provided in Article 4A-403(a) of the Uniform Commercial Code. If we receive a credit to an account you have with us by wire or ACH, we are not required to give you any notice of the payment order or credit.

Electronic Fund Transfers
Your Rights & Responsibilities

Indicated below are types of Electronic Fund Transfers we are capable of handling, some of which may apply to your account. Please read this disclosure carefully because it tells you your rights and obligations for the transactions listed. You should keep this notice for future reference.

Electronic Fund Transfers Initiated By Third Parties – You may authorize a third party to initiate electronic fund transfers between your account and the third party’s account. These transfers to make or receive payment may be one-time occurrences or may recur as directed by you. These transfers may use the Automated Clearing House (ACH) or other payments network. Your authorization to the third party to make these transfers can occur in a number of ways. For example, your authorization to convert a check to an electronic fund transfer or to electronically pay a returned check charge can occur when a merchant provides you with notice and you go forward with the transaction (typically, at the point of purchase, a merchant will post a sign and print the notice on a receipt). In all cases, these third party transfers will require you to provide the third party with your account number and financial institution information. This information can be found on your check as well as on a deposit or withdrawal slip. Thus, you should only provide your financial institution and account information (whether over the phone, the Internet, or via some other method) to trusted third parties whom you have authorized to initiate these electronic fund transfers. Examples of these transfers include, but are not limited to:

• Preauthorized credits – You may make arrangements for certain direct deposits to be accepted into your checking or savings.
• Preauthorized payments – You may make arrangements to pay certain recurring bills form your checking or savings.
• 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 or pay bills.
• Electronic returned check charge – you may authorize a merchant or other payee to initiate an electronic funds transfer to collect a charge in the event a check is returned for insufficient funds.

Bank-By-Phone transactions – types of transactions – You may access your account by telephone using your account number(s), personal identification number (PIN) and touch tone phone to:

• transfer funds from Checking, savings to Checking , savings, loan
• get balance information about checking, savings, certificate of deposit, line of credit or Individual Retirement Accounts
• get withdrawal history about checking or savings
• get deposit history about checking or savings
  

You may access you account for telephone transactions at the following number(s) and during the following hours:

• (620) 532-5123 (12:00 AM to 12:00 AM)
• (877) 532-5145 (12:00 AM to 12:00 AM)

ATM Card transactions – types of transactions- You may access your account(s) by ATM using your ATM Card and your personal identification number (PIN) to:

• deposit funds to checking, savings or Money Market
• withdraw cash from checking, savings or Money Market
• transfer funds from any account to any account
• get balance information about checking, savings or Money Market
• Maximum per transaction withdrawal of $505 (including fees); Maximum daily withdrawal of $505.

Some of these services may not be available at all terminals.
Debit Card ATM transactions –types of transactions- You may access your account(s) by ATM using your Debit Card and your personal identification number (PIN) (as applicable) to:

• deposit funds to checking, savings or Money Market
• withdraw cash from checking, savings or Money Market
• transfer funds from one account to another account
• get balance information about checking, savings or Money Market
• Maximum withdrawal per transaction of $505 (including fees); Maximum daily withdrawal of $505.

Some of these services may not be available at all terminals.
Debit Card point-of-sale transactions – types of transactions- You may access your checking or your Savings account(s) by debit card to do transactions that participating merchants will accept, including:

• purchase goods in person, by phone, or online
• pay for services in person, by phone, or online
• get cash from a participating merchant or financial institution
• Maximum daily limit of $2,000.

On-Line Banking – types of transfers- You may access your accounts by computer at www.kanzabank.com and using your User ID and password to:

• transfer funds from any account to any account
• make payments from any account to any account (Must complete and submit an online banking application before usage of this product.)
• get balance information about checking, savings, certificate of deposit, line of credit or Money Market
• get withdrawal history about checking, savings, certificate of deposit, line of credit, or Money Market
• get deposit history about checking, savings, certificate of deposit, line of credit, or Money Market
• get transaction history about checking, savings, certificate of deposit, line of credit or Money Market

Bill payment service – types of transfers-
You may access this service by computer at www.kanzabank.com and using your user name and password.

Limits and fees – Please refer to our fee disclosure for information about fees and limitations that may apply to these electronic fund transfers.
ATM Operator/Network Fees – When you use an ATM not owned by us, you may be charged a fee by the ATM operator or any network used (and you may be charged a fee for a balance inquiry even if you do not complete a fund transfer).

DOCUMENTATION

Terminal Transfers –You can get a receipt at the time you make a transfer to or from your account using an automated teller machine or point-of–sale terminal. However, you may not get a receipt if the amount of the transfer is $15 or less.
Preauthorized 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:

• the person or company making the deposit will tell you every time they send us the money.
• you can call us at (620) 532-5821 to find out whether or not the deposit has been made.

Periodic statements – You will get a monthly account statement from us for your checking account(s).
You will get a monthly account statement from us for your savings account(s), unless there are no transfers in a particular month. In any case, you will get a statement at least quarterly.

PREAUTHORIZED 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 is how:
Call or write us at the telephone number or address listed in this disclosure in time for us to receive you request three business days or more before the payment is scheduled to be made. If you call, we may also require you to put your request in writing and get it to us within 14 days after you call.
Notice of varying amounts – If these regular payments may vary in amount, the person you are going to pay will tell you, 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 you set.)
Liability for failure to stop payment of preauthorized 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

Liability for failure to make transfers – 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:

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

CONFIDENTIALITY

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

(1) where it is necessary for completing transfers; or
(2) in order to verify the existence and condition of your account for a third party, such as a credit bureau or merchant; or
(3) in order to comply with government agency or court orders; or
(4) as described in our privacy policy disclosure, provided separately.

UNAUTHORIZED TRANSFERS

(a) Consumer liability. (1) Generally, tell us AT ONCE if you believe your card and/or code have been lost or stolen. Telephoning is the best way of keeping your possible losses down. You could lose all of the money in your account (plus your maximum overdraft line of credit). If you tell us within four business days, you can lose no more than $50 if someone used your card without your permission. (If you believe your card and/or code has been lost or stolen, and you tell us within four business days after you learn of the loss or theft, you can lose no more that $50 if someone used your card and/or code without your permission.)

If you do NOT tell us within four business days after you learn of the loss or theft of your card and/or code, and we can prove we could have stopped someone from using your card and/or code without your permission if you had told us, you could lose as much as $300.

Also, if your statement shows transfers that you did not make, tell us 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 you lost after the 60 days if we can prove that we could have stopped someone from taking the money if you had told us in time.

If a good reason (such as a long trip or a hospital stay) kept you from telling us, we will extend the time period.

(2) Additional Limits on Liability for MasterCard® debit card, when used for point-of-sale transactions. You will not be liable for any unauthorized transactions using your MasterCard debit card, when used for point-of-sale transactions, if: (i) you can demonstrate that you have exercised reasonable care in safeguarding your card from risk of loss or theft, (ii) you have not reported to us two or more incidents of unauthorized use within the prior twelve-moth period, and (iii) your account is in good standing. If any of the conditions are not met, your liability is the lesser of $50 or the amount of money, property, labor, or services obtained by the unauthorized use before notification to us. ‘Unauthorized use’ means the use of your debit card by a person, other than you, who does not have actual, implied, or apparent authority for such use, and from which you receive no benefit. This additional limit on liability does not apply to ATM transactions or to transactions using your personal identification number which are not processed by MASTERCARD.
(b) Contact in event of unauthorized transfer. If you believe your card and/or code has been lost or stolen, call or write us at the telephone number or address listed in this disclosure. You should also call the number or write to the address listed in this disclosure if you believe a transfer has been made using the information from your check without your permission.

ERROR RESOLUTION NOTICE

In case of errors or questions about your electronic transfers, call or write us at the telephone number or address listing in this disclosure, 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 may require that you send us your complaint or question in writing within 10 business days.

We will determine whether an error occurred within 10 business days (20 business days if the transfer involved a new account) after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days (90 days if the transfer involved a new account, a point-of-sale transaction, or a foreign-initiated transfer) to investigate your complaint or question. If we decide to do this, we will credit your account within 10 business days (20 business days if the transfer involved a new account) for the amount you think is in error, so that you will have the use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within 10 business days, we may not credit your account. An account is considered a new account for 30 days after the first deposit is made, if you are a new customer.

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.
If you have any inquires regarding your account, please contact us at:

KANZA Bank
151 N. Main
PO Box 313
Kingman, KS 67068-0313
BUSINESS DAYS: Monday, Tuesday, Wednesday, Thursday and Friday
Holidays are not included.
PHONE: (620) 532-5821

NOTICE OF ATM/NIGHT DEPOSIT FACILITY USER PRECAUTIONS

As with all financial transactions, please exercise discretion when using an automated teller machine (ATM) or night deposit facility. For your own safety, be careful. The following suggestions may be helpful.

1. Prepare for your transactions at home (for instance, by filling out a deposit slip) to minimize your time at the ATM or night deposit facility.
2. Mark each transaction in your account record, but not while at the ATM or night deposit facility. Always save your ATM receipts. Don’t leave them at the ATM or night deposit facility because they may contain important account information.
3. Compare you records with the account statements you receive.
4. Don’t lend your ATM card to anyone.
5. Remember, do not leave your card at the ATM. Do not leave any documents at a night deposit facility.
6. Protect the secrecy of your Personal Identification Number (PIN). Protect your ATM card as though it were cash. Don’t tell anyone your PIN. Don’t give anyone information regarding your ATM card or PIN over the telephone. Never enter your PIN in any ATM that does not look genuine, has been modified, has a suspicious device attached, or is operating in a suspicious manner. Don’t write your PIN where it can be discovered. For example, don’t keep a note of you PIN in your wallet or purse.
7. Prevent others from seeing your PIN by using your body to shield their view.
8. If you lose your ATM card or if it is stolen, promptly notify us. You should consult the other disclosures you have received about electronic fund transfers for additional information about what to do if you card is lost or stolen.
9. When you make a transaction, be aware of your surroundings. Look out for suspicious activity near the ATM or night deposit facility, particularly if it is after sunset. At night, be sure that the facility (including the parking area and walkways) is well lighted. Consider having someone accompany you when you use the facility, especially after sunset. If you observe any problem, go to another ATM or night deposit facility.
10. Don’t accept assistance from anyone you don’t know when using an ATM or night deposit facility.
11. If you notice anything suspicious or if any other problem arises after you have begun an ATM transaction, you may want to cancel the transaction, pocket your card and leave. You might consider using another ATM or coming back later.
12. Don’t display your cash; pocket it as soon as the ATM transaction is completed and count the cash later when you are in the safety of your own car, home, or other secure surrounding.
13. At a drive-up facility, make sure all the car doors are locked and all of the windows are rolled up, except the driver’s window. Keep the engine running and remain alert to your surroundings.
14. We want the ATM and night deposit facility to be safe and convenient for you. Therefore, please tell us if you know of any problem with a facility. For instance, let us know if a light is not working or there is any damage to a facility. Please report any suspicious activity or crimes to both the operator of the facility and the local law enforcement officials immediately.

MORE DETAILED INFORMATION IS AVAILABLE ON REQUEST

Your Ability To Withdraw Funds

Our policy is to make funds from your cash and check deposits available to you immediately. At that time, you can withdraw the funds in cash and we will use the funds to pay checks that you have written.

Please remember that even after we have made funds available to you and you have withdrawn the funds, you are still responsible for checks you deposit that are returned to us unpaid and for any other problems involving your deposit.

Determining the Availability of a Deposit

For determining the availability of your deposits, every day is a business day, except Saturdays, Sundays, and federal holidays. If you make a deposit before closing on a business day that we are open, we will consider that day to be the day of your deposit. However, if you make a deposit after closing or on a day we are not open, we will consider that the deposit was made on the next business day we are open.

If we cash a check for you that is drawn on another bank, we may withhold the availability of a corresponding amount of funds that are already in one of your accounts. Those funds will be available at the time funds from the check we cashed would have been available if you had deposited it.

If we accept for deposit a check that is drawn on another bank, we may make funds from the deposit available for withdrawal immediately but delay your availability to withdraw a corresponding amount of funds that you have on deposit in another account with us. The funds in the other account would then not be available for withdrawal until the time periods that are described elsewhere in this disclosure for the type of check that you deposited.

Longer Delays May Apply

Case-By-Case Delays – In some cases, we will not make all of the funds that you deposit by check available to you immediately. Depending on the type of check that you deposit, funds may not be available until the second business day after your deposit. The first $200 of your deposits, however, may be available immediately.

If we are not going to make all of the funds from your deposit available immediately, we will notify you at the time you make your deposit. We will also tell you when the funds will be available. If your deposit is not made directly to one of our employees, or if we deicide to take this action after you have left the premises, we will mail you the notice by the first business day after we receive your deposit.

If you will need the funds from a deposit right away, you should ask us when the funds will be available.

Safeguard Exception Delays – Funds you deposit by check may be delayed for a longer period under the following circumstances:

We believe a check you deposit will not be paid.
You deposit checks totaling more than $5,000 on any one day.
You re-deposit a check that has been returned unpaid.
You have overdrawn your account repeatedly in the last six months.
There is an emergency, such as failure of computer or communications equipment.

We will notify you if we delay your ability to withdraw funds for any of these reasons, and we will tell you when the funds will be available. They will generally be available no later than the seventh business day after the day of your deposit.

Special Rules for New Accounts
If you are a new customer, the following special rules will apply during the first 30 days your account is open:
Funds from electronic direct deposits to your account will be available on the day we receive the deposit. Funds from deposits of cash, wire transfers, and the first $5,000 of a day’s total deposits of cashier’s, certified, teller’s, traveler’s, and federal, state and local government checks will be available on the first business day after the day of your deposit, if the deposit meets certain conditions. For example, the checks must be payable to you (and you may have to use a special deposit slip). The excess over $5,000 will be available on the ninth business day after the day of your deposit. If your deposit of these checks (other than a U.S. Treasury check) is not made in person to one of our employees, the first $5,000 will not be available until the second business day after the day of your deposit.

Funds from all other check deposits will be available on the 7th business day after the day of your deposit.

Truth-In-Savings

KANZA REWARDS CHECKING

Important Account Information for our Customers
From
KANZA Bank 151 N. Main
P.O. Box 313
Kingman, KS 67068-0313
620-532-5821

Rate information – At our discretion, we may change the interest rates for this account.
Tier 1 – An interest rate of 1.980% will be paid on the entire portion of your daily balance that is less than $10,000.01. The annual percentage yield (APY) for this tier is 2.00% Tier 2 – An interest rate of .50% will be paid only for that portion of your daily balance that is $10,000.01 or more.

The interest rates and annual percentage yields may change daily.

Compounding frequency – Interest will be compounded monthly.

Crediting frequency – Interest will be credited into this account monthly.

Effect of closing an account – If you close your account before interest is paid, you will not receive accrued interest.

Daily balance computation method – Interest is calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day.

Accrual of interest on noncash deposits – Interest will begin to accrue on the business day you deposit noncash items (for example, checks) into your account.

Minimum balance to open – The minimum balance required to open this account is $100.00.

Deposit limitations – You may make an unlimited number of deposits into your account.

Additional Terms – The following additional terms apply to this account:To receive the high Annual Percentage Yield and ATM refunds nationwide, you must perform the following qualifications per qualification cycle:

1. 12 debit card purchases must post and clear your account monthly.
2. At least one direct deposit or ACH Auto Debit must post and clear your account monthly.
3. Receive e-Statements.

If you do not meet the qualifications during the qualification cycle, your account will still function as a free checking account earning 0.05% APY and you will not receive ATM refunds for that time period.

With KANZA Rewards Checking, you will receive:
- Free Online Banking
- Free, Unlimited Bill Payment
- Free e-Statements
-ATM Fee Refunds Nationwide (if qualifications are met)

Availability Limitations:
This account type is available for personal account use only. New customer applicants must reside in Kansas or Oklahoma.

Statement Cycle & Qualitication Cycle:
Statements for KANZA Rewards accounts will cycle with a cutoff date of the 16th unless the 16th falls on a weekend or Federal Holiday, in which case the statement will cycle on the first business day thereafter. Qualification requirements (i.e. 12 debit card purchases posted and cleared, and a direct deposit or ACH Auto Debit posted and cleared) for determining if the account will receive the high annual percentage yield (APY) are calculated the business day prior to the statement cycle date. Therefore, the cutoff date for the “qualification cycle” will always be the business day just prior to the day the statements cycle. Debit card and other electronic transactions are counted based on the date that the transaction hard posts and clears the account rather than the date the transaction was conducted by the customer. Any debit card purchases and direct deposit/ACH activity occurring on the statement cycle date will be counted in the following month’s qualification calculations. For example, if the statement date is March 16th, debit card purchases and ACH activity that are posted and cleared to that statement with a date of March 16th will be counted in the next statement’s qualifications.

Numerous, very small dollar transactions discouraged - The KANZA Rewards account is designed to provide an attractive rate of interest for customers who choose to conduct much of their banking electronically, which is a cost-effective method for us. KANZA Bank reserves the right to close any customer account, upon reasonable notification, at any time and for any reason (see terms and conditions.) Customers that attempt to qualify for the high rate of interest yield by making numerous, very small dollar transactions are not conducting their account activity consistently with account expectations for this product. When customers choose to handle their KANZA Rewards account in this manner, then KANZA Bank may choose to close the customer account or request that the customer change their account type to a product more consistent with their account practices.

REGULAR CHECKING

Minimum balance to open - The minimum balance required to open this account is $100.

Deposit limitations - You may make an unlimited number of deposits into your account.

Fees and Charges - The following fees and charges apply to this account:
Service Charge: $5 per month if $500 average daily balance is not maintained.

Additional Terms - The following additional terms apply to this account: The average daily balance is calculated by adding the principal in the account for each day of the period and dividing that figure by the number of days in the period.

FREE CHECKING

Minimum balance to open the account - You must deposit $100 to open this account.

Deposit Limitations - You may make an unlimited number of deposits into your account.

Additional Terms - The following additional terms apply to this account: Duplicate checks are required, as check images are not included with the statement.

RELATIONSHIP CHECKING

Rate information - At our discretion, we may change the interest rate for this account. The interest rate and annual percentage yield may change at any time.

Compounding frequency - Interest will be compounded monthly.

Crediting frequency - Interest will be credited into this account monthly.

Effect of closing an account - If you close your account before interest is paid, you will not receive the accrued interest.

Daily balance computation method - Interest is calculated by the daily balance method which applies a daily periodic rate to the balance in the account each day.

Accrual of interest on noncash deposits - Interest will begin to accrue on the business day you deposit noncash items (for example, checks) into your account.

Minimum balance to open - The minimum balance required to open this account is $100.

Minimum balance to obtain the disclosed annual percentage yield - You must maintain a minimum daily balance of $2,500 in your account each day to obtain the disclosed annual percentage yield.

Minimum balance to avoid Service Charge - A daily combined balance of any of the following consumer (non-business) accounts: checking, savings, money market, certificates of deposit, individual retirement accounts, consumer loans, home equity line of credit, and KANZA Bank mortgage loans, must equal a minimum of $10,000 to avoid a monthly $10 service fee. The combined relationship balance is determined by adding the low balance within the cycle for each account in the relationship.

Deposit limitations - You may make an unlimited number of deposits into your account.

Additional Terms - The following additional terms apply to this account: Unlimited check writing, free Total Rewards checks (limits may apply), free online banking and bill payment(some limits may apply), new consumer loans with auto pay at a discounted rate, waive five foreign (non KANZA Bank) ATM Charges per month, one year free safe box rental with automatic debit from a KANZA Bank account, free cashier's checks, free basic travelers checks, three discounted PrimeVest trades and complimentary financial consultation, combined statements for all accounts, and $1,000 overdraft privilege limitation.

INTEREST CHECKING ACCOUNT

Rate Information - Your interest rate and annual percentage yield may change. Frequency of rate changes - We may change the interest rate on your account at any time.

Determination of rate - At our discretion, we may change the interest rate on your account.

Compounding and crediting frequency - Interest will be compounded every month. Interest will be credited to your account every month.

Effect of closing an account - If you close your account before interest is credited, you will not receive the accrued interest.

Minimum balance to open the account - You must deposit $1,000 to open this account.

Minimum balance to avoid imposition of fees - A service charge fee of $5 will be imposed each monthly statement cycle if the minimum ledger balance for the monthly statement cycle falls below $1,000.

Minimum balance to obtain the annual percentage yield disclosed - You must maintain a minimum balance of $1,000 in the account each day to obtain the disclosed annual percentage yield.

Daily balance computation method - We use the daily balance method to calculate the interest on your account. This method applies a daily periodic rate to the principal in the account each day. Interest will not accrue if daily ledger balance falls below $1,000.

Accrual of interest on non-cash deposits - Interest begins to accrue no later than the business day we receive credit for the deposit of non-cash items (for example, checks).

Fees: A per item fee of $.20 will be charged for each debit transaction in excess of 25 during a month. This fee will apply if the minimum ledger balance falls below $1,000.

MONEY MARKET ACCOUNT

Rate Information - Your interest rate and annual percentage yield may change. Frequency of rate changes - We may change the interest rate on your account at any time.

Determination of rate - At our discretion, we may change the interest rate on your account.

Compounding and crediting frequency - Interest will be compounded every month. Interest will be credited to your account every month.

Effect of closing an account - If you close your account before interest is credited, you will not receive the accrued interest.

Minimum balance to open the account - You must deposit $1,000 to open this account.

Minimum balance to avoid imposition of fees - A service charge fee of $5 will be imposed every statement cycle if the balance in the account falls below $1,000 any day of the cycle.

Minimum balance to obtain the annual percentage yield disclosed - You must maintain a minimum balance of $1,000 in the account each day to obtain the disclosed annual percentage yield.

Daily balance computation method - We use the daily balance method to calculate the interest on your account. This method applies a daily periodic rate to the principal in the account each day.

Accrual of interest on non-cash deposits - Interest begins to accrue no later than the business day we receive credit for the deposit of non-cash items (for example, checks).

Transaction limitations: Transfers from a Money Market account to another account or to third parties by preauthorized, automatic, telephone, or computer transfer are limited to six per month with no more than three by check, draft, debit card, or similar order to third parties.

Fees: An excess activity fee of $10 will be charged if there are more than three preauthorized debits or checks per month.

SAVINGS ACCOUNT

Rate Information - Your interest rate and annual percentage yield may change. Frequency of rate changes - We may change the interest rate on your account at any time.

Determination of rate - At our discretion, we may change the interest rate on your account.

Compounding and crediting frequency - Interest will be compounded every day. Interest will be credited to your account quarterly.

Effect of closing an account - If you close your account before interest is paid; you will not receive the accrued interest.

Minimum balance to open the account - You must deposit at least $100 to open a savings account.

Daily balance computation method - We use the daily balance method to calculate the interest on your account. This method applies a daily periodic rate to the balance in the account each day.

Accrual of interest on non-cash deposits - Interest begins to accrue on the business day you deposit non-cash items (for example, checks) into your account.

Transaction limitations: During any calendar month or statement cycle of at least four weeks, you may not make more than six withdrawals or transfers to another account of yours or to a third party by means of a preauthorized or automatic transfer or telephone order or instruction. No more than three of the six transfers may be made by check, draft, debit card (if applicable) or similar order to a third party. If you exceed the transfer limitations set forth above in any statement period, your account will be subject to closure by the financial institution.

Fees: A service charge fee of $1 will be charged for each debit transaction (including all electronic debits) in excess of four during a calendar month.

A $10 fee may be imposed if a current KANZA Bank accountholder fails to maintain a $50 balance throughout the entire month, for purposes of cashing foreign checks of $100 or more.

A $5 per month fee may be imposed if a $100 average daily balance is not maintained.

COMMON FEATURES

The following fees may be assessed against your account and the following transaction limitations, if any, apply to your account.

• Replace ATM card or pin- $5
• Replace Debit card or pin - $5
• ATM cash withdrawal - $1 per withdrawal
  (At ATMs we do not own or operate. Relationship Account customers allowed 5 free per month.)
• Check printing - (fee depends on style of check ordered)
• Cashier's checks - $5
• Temporary checks - $1 each
• Collections - $10 plus mailing fee
• Deposited checks (and other items) returned unpaid - $5
• Dormant account fee - $10 per month
  • An account is considered dormant if account statements are returned for an incorrect address and all efforts to locate the owner have been exhausted.
• Inactive account fee - $10 per month
  • An account is considered inactive if there have been no credit or debit transactions for a period of 6 months for checking accounts, or 18 months for saving accounts and money market accounts.
• Garnishments - $20
• Levies - $20
• Overdraft (each debit or check paid) - $30
  • Daily overdraft fee - $5 per business day after 3 consecutive business days.
• Nonsufficient funds (NSF) item (each) - $30
• Account research - $25 per hour with a one hour minimum, plus $1 per page.
• Account balancing assistance - $25 per hour with a one hour minimum
• Stop payments
  • Single item - $25
  • Series/book - $30
• Maintenance Transfer - $5 per transfer
• Insufficient Funds Transfer - $5 per transfer
• Photocopies - $.25 per page
• Faxes - $1 per page
• Safe deposit box drilling - $150 plus incidental charges
  • Lost/Missing Key - $50
• Wire transfers - Domestic outgoing - $20
  Foreign outgoing - $40
  Incoming - $15
• Online Banking - Free
• Online Bill Pay- Free for 3 months afterwards $3.95 per month plus $.30 per payment after 15.
• Statements
  • Duplicate - $5
  • Instant - $2
  • Past (without images) - $3
  • Past (with images) - see account research
• Depository Bags with Lock and Keys - $10
• Zipper bags (vinyl) - $2

We may require not less than 7 days' notice in writing before each withdrawal from an interest-bearing account other than a time deposit, or from any other savings account as defined by Regulation D. Withdrawals from a time account prior to maturity or prior to any notice period may be restricted and may be subject to penalty. See your notice of penalty for early withdrawal.

The categories of transactions for which an overdraft fee may be imposed are those by any of the following means: check, in-person withdrawal, ATM withdrawal, or other electronic means.

Important Information about Procedures for Opening a New Account

To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account.

What this means for you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver's license or other identifying documents.

Overdraft Privilege

Service Description
It is the policy of KANZA Bank (heretofore also referred to as “the Bank,” “we,” “our” or “us”) to comply with applicable laws and regulations, and to conduct business in accordance with applicable safety and soundness standards.

Our normal insufficient funds or overdraft charge of $30* will apply to each item that would create an overdraft on your account. The categories of transactions for which overdrafts and resulting overdraft fees may be imposed include checks; in-person withdrawals; ATM withdrawals, debit card transactions, preauthorized automatic debits, electronic checks, telephone-initiated transfers, or other electronic transfers; payments authorized by you; the return, unpaid, of items deposited by you; the imposition of bank service charges; or the deposit of items which according to our Funds Availability Policy, are treated as not yet “available” or finally paid. Our insufficient funds and overdraft charges are per item fees. Therefore, more than one insufficient or overdraft fee could be charged against the account per day. Of course, we are not promising to pay your overdrafts, not all accounts are eligible, and some restrictions do apply.

We are not obligated to pay any item presented for payment if your account does not contain sufficient collected funds. Rather than automatically returning any unpaid or any insufficient funds items that you may have, if your eligible account (primarily used for personal and household purposes) has been open for at least thirty (30) business days and thereafter you maintain your account in good standing, which includes at least: (A) Continuing to make deposits consistent with your past practices, (B) You are not in default on any loan obligation to KANZA Bank, (C) You bring your account to a positive balance (not overdrawn) at least once every thirty-five (35) calendar days, and (D) Your account is not the subject of any legal or administrative order or levy, we will consider – as a discretionary courtesy or service** and not a right of yours nor an obligation on our part – approving your reasonable overdrafts. This discretionary service** will generally be limited to a $400 overdraft (negative) balance for Free Checking accounts, a $1,000 overdraft (negative) balance for Relationship Checking accounts, $700 overdraft (negative) balance for KANZA Rewards and other eligible personal checking accounts. Of course, fees charged for covering overdrafts, as well as the amount of the overdraft item, will be subtracted from any Overdraft Privilege limit disclosed.

We may refuse to pay an overdraft for you at any time, even though your account is in good standing and even though we may have previously paid overdrafts for you. You will be notified by mail of any insufficient funds items paid or returned that you may have; however, we have no obligation to notify you before we pay or return any item. KANZA Bank reserves the right to demand immediate payment of any overdrafts plus our insufficient funds and/or overdraft charge(s) that you owe us. If there is an overdraft paid by us on an account with more than one (1) owner on the signature card, each owner, and agent if applicable, drawing/presenting the item creating the overdraft, shall be jointly and severally liable for such overdrafts plus our insufficient funds and/or overdraft charge(s).

Overdraft Privilege is one more way KANZA Bank works for you and a great reason for banking with us. You have the option of declining this program. If you have any questions or wish to decline this service, please call 1.888.532.5821 and ask to speak with one of our helpful customer service representatives.

LIMITATIONS: Available only to eligible personal checking accounts primarily used for personal and household purposes (Business accounts and Money Market accounts are not eligible) and we may limit the number of accounts eligible for the Overdraft Privilege service** to one account per household.

*This fee may change. Daily overdraft fee of $5 per business day after three (3) consecutive business days overdrawn also applies.
**The Overdraft Privilege Service does not constitute an actual or implied agreement between you and the Bank, nor does it constitute an actual or implied obligation of or by the Bank. This service represents a purely discretionary courtesy or privilege that the Bank may provide to you from time to time and which may be withdrawn or withheld by the Bank at any time without prior notice or reason or cause. At any time, you may request that this service be removed from your account.

Financial Privacy Policy Notice

Protecting your privacy is important to KANZA Bank and our employees. We realize that our relationships with current and prospective customers are based on integrity and trust. We work hard to maintain your privacy and are very careful to preserve the private nature of our relationship with you.

In order to provide our customers with a broad range of financial products and services as effectively and conveniently as possible, we use technology to manage and maintain customer information. The following policy serves as a standard for all KANZA Bank employees for collection, use, retention, and security of nonpublic personal information.

What Information We Collect
We may collect "nonpublic personal information" about you from the following sources:

• Information we receive from you on applications or other loan and account forms, such as name, address, social security number, assets, and income;

• Information about your transactions with us or others, such as your account balance, payment history, parties to transactions, and credit card usage; and

• Information we receive from a consumer reporting agency, such as your creditworthiness and credit history.

"Nonpublic personal information" is nonpublic information about you that we obtain in connection with providing a financial product or service to you. For example, nonpublic personal information includes information regarding your account balance, payment history, and overdraft history.

What Information We Disclose
We do not disclose any nonpublic personal information about our customers or former customers to anyone, except as permitted by law. For example, we may disclose nonpublic personal information about you to third parties to assist us in servicing your loan or account with us, to government entities in response to subpoenas, and to credit bureaus. We may disclose all of the information we collect, as described above, to companies that perform marketing services on our behalf or to other financial institutions with which we have joint marketing agreements.

If you decide to close your account(s) or become an inactive customer, we will continue to adhere to the privacy policies and practices described in this notice.

Our Security Procedures
We also take steps to safeguard customer information. We restrict access to your personal and account information. Only those employees who need to know your personal and account information in order to provide products or services to you are allowed access to the data. Employees who violate these standards will be subject to disciplinary measures. We maintain physical, electronic, and procedural safeguards that comply with federal standards to guard your nonpublic personal information.

This disclosure notice was prepared for your information. Because we do not sell customer information or share it other than described above, you do not need to contact us unless you would like to visit more about our policies. Unlike some financial institutions (usually non-community banks), we do not share any nonpublic personal information that falls under the regulatory "opt out" provisions of the Gramm-Leach-Bliley Act.

NOTICE OF CHANGES IN TEMPORARY FDIC INSURANCE COVERAGE FOR TRANSACTION ACCOUNTS

All funds in a “noninterest-bearing transaction account” are insured in full by the Federal Deposit Insurance Corporation from December 31, 2010, through December 31, 2012. This temporary unlimited coverage is in addition to, and separate from, the coverage of at least $250,000 available to depositors under the FDIC’s general deposit insurance rules.

The term “noninterest-bearing transaction account” includes a traditional checking account or demand deposit account on which the insured depository institution pays no interest. It also includes Interest on Lawyers Trust Accounts ("IOLTAs"). It does not include other accounts, such as traditional checking or demand deposit accounts that may earn interest, NOW accounts and money-market deposit accounts.

For more information about temporary FDIC insurance coverage of transaction accounts, visit www.fdic.gov.

SAFE Act Notification

The SAFE Act requires residential mortgage loan originators employed by financial institutions to be registered and assigned unique identifiers with the Nationwide Mortgage Licensing System and Registry ("NMLS"). You may view a listing of KANZA Bank's registered mortgage loan originators and their unique identifiers by accessing the NMLS at www.nmlsconsumeraccess.org and enter KANZA Bank's NMLS ID 523061 or "KANZA Bank" in the search field.