Internet Banking and Bill Payment Authorization Agreement and Disclosures

Entire Agreement & Relation of Agreements
Customer wishes to use American Bank’s “Internet Banking System” (IBS) to access accounts and accomplish financial transactions. American is willing to make the Internet Banking System available to the Customer on the terms and conditions set forth in this Agreement. This Agreement shall constitute the entire understanding between Customer and American Bank regarding use of the System only and supersedes and replaces all prior agreements, understandings, proposals or agreements written or oral regarding use of the System only. If any of the provisions of this Agreement conflict with any of the provisions of the terms, covenants or conditions of the Account Agreement, Loan Documents, or any other understandings, documents or agreements between American and Customer, then the provision(s) of this Agreement, the Account Agreement, Loan Documents, or other understandings, documents or agreements most favorable to American shall control.

Agreement
As used in this Internet Banking and Bill Payment Authorization Agreement and Disclosure ("the Agreement"), the term “Bank” means American Bank; the term “System, IB System or IBS” means Internet Banking System; the term “Payee” means the person or entity to whom you wish a bill payment to be directed; “Payment Instruction” means the information provided by you to the Bank’s third party processor for a bill payment to be made to the Payee (such as, but not limited to, Payee name, Payee account number, and payment date); “Payment Account” means your checking account from which all bill payments will be made; “Business Day” means Monday through Friday excluding Federal Reserve holidays; "Scheduled Payment Date” means the Business Day of your choice upon which your bill payment will be made (a Scheduled Payment Date of a non-Business Day will be considered to be the next Business Day); and, “Cutoff Time” means 5:00 P.M. on any Business Day and is the time by which you must transmit Payment Instructions to have them considered entered on that particular Business Day.

American’s Obligation to Provide System Access
Provided no event of default exists, American agrees to provide access to the System in accordance with American’s then current protocols and procedures for the type of access being sought. American will use its best efforts to maintain the System, System availability and Customer’s access to the System.

Customer acknowledges that American is only a provider of the System and does not own or control all of the software, hardware, and Internet access that comprise and are used to run the System. Customer further acknowledges and agrees that American is not responsible for the unavailability or malfunction of the System caused by any portion of the hardware or software which is not owned by or proprietary to American.

To use the IB System, you must have at least one checking account at American Bank, access to the Internet, and an e-mail address. The IB System can be used to access only the American accounts on which you are an owner or signer. We undertake no obligation to monitor transactions through the IB System to determine that they are made on behalf of the accountholder.

Hours of Access; you can use the IB System seven days a week, twenty-four hours a day, although some or all the System services 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 American's home page. Transactions initiated after end of business day, which may change from time to time, will be processed on the following business day.

Customer may use American Bank’s Internet Banking System to access copies of your statements which are available for 12 months. To open your statement you will need Adobe Acrobat Reader, which can be downloaded from American Bank’s Internet Banking page. You will continue to receive your statement in paper form unless you sign up for e-Statements.

Computer Requirements
In order to use the Internet Banking System, you will need a computer, access to the Internet and your browser needs to be updated to a 128-bit encryption. You are responsible for the installation, maintenance, and operation of your computer and software, and American is not responsible for any computer virus or related problems that may be associated with the use of the System.

Bill Payment Service
By providing American Bank’s third party processor with the names and account information of those Payees to whom you wish to direct payment, you authorize the Bank to follow the Payment Instructions that it receives through the Internet Banking System (IBS). When the Bank receives your Payment Instruction, you authorize American Bank to debit your Payment Account and remit funds on your behalf so that the funds arrive as close to the Business Day designated by you as reasonably possible.

When using the bill payment service you may only pay payees with United States addresses. While most payments can be made using the Bill Payment Service, American reserves the right to refuse to pay any payee designated by you. If we do so, we will notify you. If the payee is paid by paper check, you understand and agree that paper checks are mailed to the payee and the payee may not receive the payment for up to 5 or more Business Days after the date the payment is debited from your account. If the payee is paid electronically, the payee may not receive payment for up to 3 business days after
the payment is debited from your account. The actual payment of such bills is handled by an independent third party. Therefore, American Bank cannot and will not guaranty or be held responsible for the completion and accuracy of such transactions.

Once the bill payment has been initiated and debited from your Payment Account, you cannot cancel or stop the bill payment that is being paid electronically. However, if the bill payment is paid by paper check you need to contact American Bank (651) 628-5909 or (877) 382-2265 before the paper check has cleared our third party processor’s account at their bank. If the paper check has not cleared we will request our third party processor to place a stop payment on the paper check. American Bank cannot and will not guaranty or be held responsible for the completion of the stop payment.

American Bank will use its best efforts to make all your payments properly. However, the Bank shall incur no liability if it is unable to complete any payments initiated by you through the Internet Banking System because of the existence of any one or more of the following circumstances:

1) If, through no fault of ours, your Payment Account does not contain sufficient funds to complete the transaction or the transaction would exceed the available credit limit of your overdraft account;
2) If, the third party bill payment processing center is not working properly and you know or have been advised by the Bank about the malfunction before you execute the transaction;
3) If your Computer, web browser or your Internet Service Provider (ISP) was not working properly and this problem was apparent to you when you attempted to initiate a transfer or bill payment;
4) If you do not initiate a bill payment soon enough for your payment to be made and properly credited by the payee by the time it is due;
5) If, the Payee mishandles or delays a payment sent by the Bank’s third party processor;
6) If you have not provided the Bank with the correct name, phone number, or account information for the Payee;
7) Circumstances beyond the Bank's or the Bank’s third party processor’s control (such as, but not limited to, fire, flood, or interference from an outside force) prevents the proper execution of the transaction and the Bank and its third party processor has taken reasonable precautions to avoid those circumstances;
8) If a legal order directs us to prohibit withdrawals from the Payment Account, if the Payment Account is closed or if the funds in the Payment Account have been frozen;
9) If you, or anyone authorized by you, commits any fraud or violates any law or regulation;
10) If you have not properly followed the on-screen instructions for using the Internet Banking System;
11) There may be other exceptions to the Bank’s liability as stated in the Deposit and Loan Agreements;

Stop Payments
Stopping the payment of a check is different from the cancellation of a bill payment; refer to the Bill Payment Service section in this agreement for more information. You may request stop-payments on your account by calling Customer Service at 651.628.5909 or 1.877.382.2265 or in writing by mailing your request to 1578 University Ave W, St. Paul, MN 55104.

Password, Security and Mother’s Maiden Name
You agree not to give or make available your password or other means to access your account to any unauthorized individuals. You are responsible for all transactions, including any charges or fees, you initiate using the Internet Banking System. You agree that you are responsible for any transactions, including any charges or fees, made by another person if you permit other persons to use the System and password or other means to access your account, even if that person is not an account holder and that such transactions will be deemed “authorized transaction” under the EFTA. If you believe that your password or other means to access your account has been lost or stolen or that someone may attempt to use the System without your consent or has transferred money without your permission, you must notify the Bank at once by calling (651) 628-5909 or (877) 382-2265 during normal customer service hours.

American may provide information regarding the IB System or take instructions from individual(s) when accompanied by your mother’s maiden name. You must also provide this code when requesting your password to be changed or reset.
 

Electronic Fund Transfers
Your Rights and Responsibilities

The Electronic Fund Transfers we are capable of handling for consumers are indicated below, some of which may not apply to your account. Some of these may not be available at all terminals. Please read this disclosure carefully because it tells you your rights and obligations for these transactions. You should keep this notice for future reference.

Types of Transfers

Prearranged Transfers:
• Preauthorized credits. You may make arrangements for certain direct deposits to be accepted into you checking and/or savings accounts.
• Preauthorized payments: You may make arrangements to pay certain recurring bills from your checking and/or savings accounts.

Telephone Transfers:
You may access your account(s) by telephone at 651 628 2265 or 1 888 680 2265 using a touch tone phone, your account numbers, and a PIN to:
• Transfer funds from checking to savings
• Transfer funds from savings to checking
• Make payments from checking to loan accounts with us
• Get checking account(s) information
• Get savings account(s) information

ATM Transfers:
You may access your account(s) by ATM using your Instant Cash / Instant Cash and Check Card and PIN to:
• Make deposits to checking accounts
• Make deposits to savings accounts
• Get cash withdrawals from checking accounts of $200 per day
• Get cash withdrawals from savings accounts of $200 per day
• Transfer funds from savings to checking
• Transfer funds from checking to savings
• Get checking account(s) information
• Get savings account(s) information
• Access your QuikCredit account
Some of these services may not be available at all terminals.

Point-of-Sale Transactions:
Using your card:
• You may access your checking account to purchase goods in person, by phone, by computer, pay for services in person, by phone, by computer, get cash from a merchant, if the merchant permits, or from a participating financial institution, and do anything that a participating merchant will accept.
• You may not exceed more than $500.00 in transactions per day.
• ATM Interlink Cards may be used for 6 POS transactions from your savings account monthly.

Computer Transfers:
You may access your account(s) by computer at www.americanbankmn.com and using your account number(s) and PIN to:
• Transfer funds from checking to savings
• Transfer funds from savings to checking
• Make payments from checking to loan accounts with us
• Make payments from checking to pay bills in the amounts and on the days you request
• Get checking account information
• Get savings account information

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 payment 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.

General Limitations:
In addition to those limitations on transfers elsewhere described, if any, the following limitations apply:
• Transfers from a savings account to another account or to third parties by preauthorized, automatic, or telephone transfer are limited to 6 per month with no more than 6 per month transfers by Interlink or similar order to third parties. 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:
Except as indicated in this notice or in our fee schedule we do not charge for 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 a(n):
• Automated Teller Machine (ATM)
• Point-of Sale terminal (POS)
• 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, you can call us at the telephone number listed below to find out whether or not the deposit has been made:
In addition:
• You will get a monthly account statement from us, unless there are no transfers in a particular month. In any case, you will get a statement at least quarterly.
• 651 628 2265 or 1 888 680 2265

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’s how:
• Call or write us at the telephone number or address listed in this disclosure, in time for us to receive your request 3 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.
• We charge for each stop payment

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 that you set.)

Liability for failure to stop payment of preauthorized transfer.
If you order us to stop one of these payments 3 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:
• If, though no fault of ours, you do not have enough money in your account to make the transfer
• If the transfer would go over the credit limit on your overdraft line
• If the automated teller machine where you are making the transfer does not have enough cash
• If the terminal or system was not working properly and you knew about the breakdown when you started the transfer
• If circumstances beyond our control (such as fire or flood) prevent the transfer, despite reasonable precautions that we have taken
• 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:
• Where it is necessary for completing transfers; or
• In order to verify the existence and condition of your account for a third party, such as a credit bureau or merchant; or
• In order to comply with government agency or court orders; or
• As explained in the separate Privacy Disclosure.

Unauthorized Transfers
Consumer Liability: Tell us at once if you believe your card and/or code has been lost or stolen, or if you believe that an electronic fund transfer has been made without your permission using information from your check. Telephoning is the best way of keeping your possible losses down. You could lose all the money in your account (plus your maximum overdraft line of credit). If you tell us within 2 business days after you learn of the loss or theft of your card and/or code, you can lose no more than $50 if someone used your card and/or code without your permission. Also, if you do NOT tell us within 2 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 $500. Also, if your statement shows transfers that you did not make, including those made by card, code or other means, 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.

VISA® Card Debit. Unless you have been grossly negligent or have engaged in fraud, you will not be liable for any unauthorized transactions using your lost or stolen Visa card. This additional limit on liability does not apply to ATM transactions or to transactions using your Personal Identification Number which are not processed by Visa. Visa is a registered trademark of Visa International Service Association.

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 at the end of this disclosure. You should also call the number or write to the address listed at the end of 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 listed below, 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.
• Tell us your name and account number (if any)
• 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
• 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 (5 business days if involving a VisaÒ transaction or 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 (5 business days if involving a Visa Ò transaction or 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 3 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.

Additional Information:
• Some services may not be available at all ATM or POS terminals
• Your balance shown at the ATM does not reflect your available funds from an Overdraft Protection Line (QuikCredit) or a savings account that you may have set up an automatic transfer from to avoid an overdraft
• If you access your QuikCredit or savings account by withdrawing funds from an ATM, interest will accrue from that date on your QuikCredit and the interest accrued on your savings account will be affected.

I (we) have received, read and understand the above Agreement and Disclosures. I (we) also understand that this agreement is subject to change and that notifications of any changes are addressed in the above.

I (we) agree to pay the published monthly fee and any other fee associated with this service including but not limited to bill payment, stop payment and research fees. I (we) authorize American to deduct all applicable fees from any account that I have at the Bank.

I (we) understand that online bill payment is provided to me for my convenience.

This authorization will remain in effect until terminated by either party by written notice to the other or the account is closed. Please contact us with any questions you may have in regards to the attached agreement or disclosure Monday through Friday 8 a.m. – 5 p.m. CST at: American Bank, 1578 University Avenue West, St. Paul, MN 55104, or (651) 628-5909 or (877) 382-2265.


Please print a copy of this disclosure for your records.

9/1/2010