Online Agreement and Disclosure

FIRST CITIZENS BANK PERSONAL ONLINE SERVICES WITH BILL PAY AGREEMENT

February 25, 2005

First Citizens Bank is pleased to offer you the many benefits of Personal Online Services with Bill Pay. Using your personal computer and the Internet, you will be able to obtain information concerning your accounts, transfer funds between your accounts, arrange for the payment of your bills, and conduct other banking transactions as described in this Agreement, subject to the limitations of your software.

Definitions.

In this Agreement, "First Citizens Bank," "Bank," "we," "our," and "us," refer to First-Citizens Bank & Trust Company. "You" and "your" refer to any person authorized to access one or more accounts using online banking and each person who has an interest in an account or other relationship which is accessible through online banking. "Online banking" means the Personal Online Services with Bill Pay service provided by First Citizens Bank, including online banking through PFM software and online banking through firstcitizens.com. "Bill Pay Service" and "Service" refer to the electronic bill payment system available through online banking. "Electronic message" means an electronically transmitted message which allows the text to be displayed on equipment in the recipient's possession (such as a modem-equipped personal computer). An electronic message is considered written notice for purposes of this Agreement.

"Primary Account" refers to the one account that you have designated as the account from which all your online banking service fees (including Bill Pay Service fees) will be paid. Your Primary Account must be a checking account. "Account" or "accounts" refer to your accounts that may be accessed through online banking, including the account you have designated as the Primary Account. "Access Password" or "password" is the Personal Identification Number (or PIN) which has been assigned to you or which you select to access online banking. "Payee" is a person, business, or any other entity to whom you direct payments through the Bill Pay Service. "Agent" has the same meaning as used in the First Citizens Bank Deposit Account Agreement. "Payment instructions" are instructions you give us through online banking to make a payment on your behalf, from funds in an account that you designate, using the Bill Pay Service. "Transfer instructions" are instructions you give us through online banking to transfer funds between accounts you can access through online banking. "Business day" means any day Monday through Friday, except bank holidays.

"PFM software" means versions of the following software through which you may access certain online banking services over an Internet connection: Microsoft® Money and Quicken®. "firstcitizens.com" means online banking accessed over an Internet connection and viewed via a web browser. “Include,” “ includes,” and “including” are used to indicate examples and not to limit what is covered. Other terms may be defined below.

Our Agreement with You.

Your use of online banking (including Bill Pay) is governed by this Agreement, our Disclosure of Products and Fees, your application for online banking and Bill Pay Service, any instructions we provide you on using online banking, and any other agreements applicable to the deposit or loan accounts you access through online banking, including our Deposit Account Agreement, any applicable overdraft protection agreement, and any other applicable loan agreement, as they all may be amended from time to time. Bill Pay is governed by your agreement with CheckFree, in addition to the foregoing. Any use of online banking by you, or by anyone you authorize, is your acknowledgment that you have received this Agreement, understand it, and agree to be bound by it. In the event of any conflict between this Agreement and any other agreement governing your deposit or loan accounts, this Agreement will control.

Access to Online Banking.

To use online banking, you need a computer, with modem or equivalent communications connection device, Internet service with a service provider of your choice, your password, and your Customer ID. We will assign you a password to use the first time you sign-on to online banking. At the time you first sign-on, you must select a new password. You may change your password at any time, but not more than once on the same day. We may require that you change your password periodically. It is your responsibility to remember your password; we do not maintain a record of it.

To use firstcitizens.com, you also need a web browser meeting the minimum requirements described on our website, which may change from time to time by notice to you. To use online banking through PFM software, you must license the PFM software from the vendor (Microsoft® or Intuit) and meet the minimum technical requirements of the PFM software and any additional minimum technical requirements described on our website, which may change from time to time. Your use of PFM software, a web browser, and Internet service are governed by your license and other agreements with the applicable vendor. You are responsible for correct installation and set-up of PFM software, the web browser, and your Internet service and their related security settings and for obtaining any new releases or updates required to use online banking. Your ability to access certain online banking services may be limited by the version of PFM software or web browser you are using. To print or electronically retain information you view using online banking, you must have a printer or the ability to download the information onto your computer. Except as required by law or regulation, we do not provide paper copies.

Use of Your Password.

When you or any authorized user signs on to online banking using your Customer ID and password, you authorize us to follow the instructions we receive relating to your accounts and to charge and credit your accounts according to those instructions. Since your password is the principal security measure to protect access to your accounts, you agree that you will not give your password or make it available to any unauthorized person. If you do give your password or make it available to another person, you authorize that person to access your accounts through online banking and to give us online banking instructions relating to your accounts as an authorized user. You also authorize us to comply with those instructions even if that person exceeds your authorization.

Except to the extent prohibited by applicable law or regulation, you will be deemed to have expressly authorized any online banking transaction 1) initiated by you, at your direction, or with your consent (whether expressed or implied), 2) initiated by an agent with respect to any account which you may access through online banking, 3) initiated by a member of your household, whether or not related to you, 4) initiated by any person (or that person’s agent) who is the owner or co-owner of any account which you may access through online banking, 5) which results in the transfer of funds between accounts you may access through online banking, even if subsequent transfers out of the accounts benefit someone else, 6) which is to or for your benefit (for example, the payment of a debt for which you are partially or fully liable), or 7) which you contend is unauthorized, unless you cooperate fully with us in our investigation of the transaction, assign to us your right of recovery against the wrongdoer if we reconstitute your account, and cooperate fully with us in the recovery of any loss we sustain and the prosecution of any wrongdoer. Any person initiating the foregoing transactions will be deemed an authorized user except to the extent prohibited by applicable law or regulation.

If You Believe Your Password is Lost, Stolen or Used Without Your Authority.

Please tell us AT ONCE if you believe your password has been lost, stolen, or used without your authority. Telephoning is the best way of keeping your possible losses down. Call us at 1.888.FC DIRECT (1.888.323.4732) or 1.800.860.5136 (for the hearing impaired), or write First Citizens Bank, Online Banking, DAC52, PO Box 27131, Raleigh, NC 27131-7131. You could lose all the money in your account, plus the maximum amount of any line of credit linked to your account. If you believe your password has been lost or stolen, and you tell us within two business days after you learn of the loss or theft, you can lose no more than $50 if someone used your password without your permission to make an unauthorized electronic fund transfer (as defined by federal law). If you do NOT tell us within two business days after you learn of the loss or theft of your password, and we can prove we could have stopped someone from using your password without your permission if you had told us, you could lose as much as $500. Losses could include not only money in your account, but also advances on any credit line associated with your account.

Reliance on Your Instructions.

We may rely and act on instructions we receive through online banking from you, from anyone to whom you gave your password or made your password available, from anyone acting at your direction or with your consent (express or implied), from anyone acting with authority from you (express or implied), from any person who is an agent with respect to any account which you may access through online banking, and from any co-owner or other person having an interest in the account. All such instructions will be considered as having been given to us directly by you, and shall have the same authority as your written signature in authorizing us to comply with the instructions.

Services Available Through Online Banking.

You may use online banking to conduct the following account transactions: 1) obtain information concerning your deposit and certain of your loan accounts, 2) transfer funds between certain of your deposit accounts, 3) transfer funds from your deposit accounts to make payments on certain loan accounts with us, 4) transfer funds from your equity line of credit account to certain deposit and loan accounts, 5) request us to stop payment on checks, 6) reorder checks, and 7) request copies of checks and statements. If you use PFM software to access online banking, you will not be able to view or obtain information concerning installment loans or credit card accounts or transfer funds to make payments on installment loans or credit card accounts. Using the Bill Pay Service feature of online banking, you can direct that payments to third parties be made from an account that you designate. Your use of online banking to conduct these services is subject to the terms and limitations stated in this Agreement and the applicable instructions we provide you. We may introduce additional online banking services from time to time and will notify you as these new services become available. By using any new online banking services when they become available, you agree to be bound by this Agreement, any amendments to this Agreement regarding the new services, and any additional rules which we provide you concerning the new services. In addition, we may change or remove services as we revise or update online banking; in this case, we may terminate or modify this Agreement as to prior versions of online banking and limit access only to revised or updated services.

Electronic Statements.

We may make available an electronic statements program under which online banking customers may elect to receive their account statements through online banking. If you elect to receive electronic statements, you will receive an e-mail notifying you that your current account statements are available for viewing. The e-mail will be sent to your current e-mail address on record with us, so please advise us of your current e-mail address. When available, your statements may be viewed in online banking and printed if you have a printer with appropriate printing software. You may be required to have additional software on your computer, such as Adobe®, in order to view the statements. After you elect to receive electronic statements, we may no longer send you paper statements. The electronic statements program, when available, is optional for online banking customers, and you will be required to agree to additional terms for the electronic statements program. This provision merely serves to describe the program.

Accounts you may access.

Deposit Accounts.

Subject to any restrictions we may impose from time to time, you may access any of your First Citizens Bank deposit accounts through online banking. You must be the owner or a co-owner of each account. You must designate one of your accounts as the Primary Account for service charges.

Related Credit Lines and Loans.

If you have a line of credit/loans related to any of your accounts (such as Checkline Reserve, Checkline Reserve Plus, Capital Line or EquityLine), you agree that the line of credit may be accessed through online banking. You understand and agree that the provisions of the agreement relating to your credit line will govern overdrafts, automatic advances to maintain the minimum balance necessary to avoid account service charges, and direct advances resulting from your use of online banking. You authorize us to charge your related deposit account for any payments owed on your line of credit, regardless of whether the line of credit is in default.

Account Information.

You may use online banking to obtain balance information and transaction histories for certain deposit and loan accounts. If you use PFM software to access online banking, you may not be able to view or obtain information concerning installment loans or credit card accounts. Balance information and transaction histories reported through online banking may not include transactions which have occurred since the close of business on the previous banking day. Balance information shown for your deposit accounts may include Current Balance and Available Balance. These balance amounts may differ. The Current Balance is the ending balance in your account as of the close of the previous banking day and does not include any holds which may have been placed on your account. The Available Balance is the Current Balance less any holds and includes certain debits and credits which have taken place since the close of the previous banking day, for example, ATM deposits and withdrawals, cash deposits, wire transfers, and other online activity. The Available Balance provides the most current balance information. Transaction history information is available for your current statement cycle plus the previous two statement cycles.

Transfers from One Account to Another.

Online banking permits you to transfer funds from a deposit account or from your equity line of credit account to any other deposit account, a line of credit or credit card, and installment loans you can access through online banking. If you use PFM software to access online banking, you may not be able to transfer funds to make payments on installment loans or credit card accounts. The "transfer date" is the date you enter for the transfer of funds from one account to another. Transfer of funds from a deposit or equity line of credit account to a deposit account will generally be processed simultaneously on the transfer date regardless of the day or time of the transfer. For example, if you transfer funds from deposit Account A to deposit Account B, the funds will be debited from deposit Account A and credited to the available balance in deposit Account B simultaneously on the transfer date. The funds will be available immediately upon the transfer for withdrawal from deposit Account B through an ATM or debit card transaction or at a teller window, and will also be available to honor checks or other items presented for payment against deposit Account B in the nightly processing following the transfer. Transfers of funds from a deposit or equity line of credit account to a loan account (including an equity line of credit account) will be processed as follows: 1) the transfer will be debited to your deposit or equity line of credit account when we execute the transfer on the transfer date (regardless of the day or time we receive your instructions); and 2) the transfer will be credited to your loan account during our nightly processing of the loan account. The transfer will be credited to your loan account on the transfer date if 1) the transfer date you designate is a business day, and 2) we receive your instruction to transfer the funds to your loan account no later than 4:00 p.m. Eastern Time on the transfer date. If you designate a non-business day as the transfer date, or if we receive your transfer instructions after 4:00 p.m. Eastern Time on the transfer date, the transferred funds will be credited to your loan account as of the next business day following the transfer date.

Bill Pay Service.

The Bill Pay Service feature of online banking allows you to instruct us to pay bills designated by you in accordance with the instructions we provide you. Your Bill Pay Service transactions will be processed for the Bank by CheckFree Corporation ("CheckFree"), a major provider of electronic banking transaction processing services. References to "we" and "us" in this section refer to both the Bank and CheckFree. If you use PFM software to access online banking, some Bill Pay Service features and terms may differ from features and terms available or applicable to online banking through firstcitizens.com. In addition to this Agreement, your access to and use of the Service are governed by the instructions you receive from the Service and by CheckFree’s terms and conditions for the Service.

a. Payment Instructions—In General. In designating a payee for bill payment, you must provide us with detailed "payment instructions." The Service will prompt you for needed information. You authorize us to follow your payment instructions and to rely on the accuracy of all information you provide. We reserve the right to select the method in which to remit funds on your behalf to the payee. Payment methods may include an electronic payment, an electronic to check payment, or a laser draft payment.

b. Designation of Payees. The Service (including CheckFree’s terms and conditions) may specify prohibited types of payments and payees, such as payments to payees located outside the United States, and payments made at your own risk, such as tax payments and court ordered payments. You are be solely responsible for any claims or damages resulting from your scheduling of these types of payments or from any payments to prohibited payees, whether or not we make the payment, and even if the payment is delayed or improperly processed. We reserve the right to refuse to pay any person or entity to whom you may direct a payment. We will notify you promptly if we decide to refuse to pay a person or entity designated by you; however, we are not required to notify you regarding a prohibited payee or any payment prohibited under this Agreement.

c. Payments. The "payment date" that you enter with your payment instructions is the date you want the payee to receive your payment and also is the date we will charge your account for the amount of the payment. Transactions begin processing approximately four (4) business days prior to the scheduled payment date. The Service will instruct you on the earliest payment date available when you enter your payment instructions. In order to ensure adequate time for the payee to receive the payment, the “payment date” you enter must be no later than the date you want the payee to receive the payment ("the payment due date"). If the actual payment due date falls on a non-business day, you must select a payment date that is at least one business day before the payment due date. Some payees require payment to be received before a certain time(such as 2 p.m.) on the payment due date; in this case, the payment date you enter should be at least one business day before the actual payment due date. The payment date you enter with your payment instructions should be prior to any late date or grace period. If your payment instructions do not meet all of these requirements, you bear the risk that the payee will not receive your payment by the payment due date, and you will be responsible for any and all late fees, penalties, finance charges and other actions taken by the payee.

d. Bill Pay Account. In your payment instructions, you must designate an account from which you will make payment for each bill you wish to pay using the Bill Pay Service (“designated account”). The Service will instruct you how to designate an account for a bill payment. You authorize us to charge the designated account according to your payment instructions. You agree that you will have funds available in the designated account for each payment on the payment date you have designated in your payment instructions; please review your Deposit Account Agreement and this Agreement regarding when funds are made available to your account, because funds are not always made available on the day of deposit or transfer. If you do not have sufficient funds in the designated account to cover the transaction, without notice to you, we will decide, in our discretion, whether or not to complete the transaction, and we may make additional attempts to debit your account for the amount. We also will debit associated service fees and charges (such as insufficient funds or “NSF” fees) in accordance with our agreements and policies. You are responsible and agree to reimburse us for all NSF and related service fees and charges, and you remain liable to us for all funds we have advanced plus applicable service fees and charges until we are paid in full. Availability of funds in other accounts will not prevent insufficient funds charges or rejection of a payment if you do not have sufficient funds in the designated account. If we are unable to complete the payment transaction for other reasons (such as incomplete or inaccurate information), we will attempt to notify you by e-mail or U.S. mail. We shall have no obligation or liability if we do not complete a transfer or payment because there are insufficient funds in the designated account to process the transaction or because of incomplete or inaccurate information, and you are responsible for either making alternate arrangements for the payment or rescheduling the payment through Bill Pay.

e. Limitations. We are only responsible for exercising ordinary care in processing and sending payments upon your authorization in accordance with this Agreement. We will not be liable in any way for damages you incur if you do not have sufficient funds in the designated account to make the payment on the processing date, for delays in mail delivery, for changes to the payee’s address or account number unless you have advised us of the change sufficiently in advance, for the failure of any payee to correctly account for or credit the payment in a timely manner, if you have not provided correct payment information, if you have been advised that the payment processing center is not working properly but you execute a transaction anyway, or for any other circumstances beyond our control.

f. Warranty Disclaimer. The Bill Pay Service is provided "AS IS" without any warranty of any kind, either expressed or implied, including, but not limited to, the implied warranties of merchantability and fitness for a particular purpose. All implied warranties are disclaimed.

Bill Delivery

You may be able to utilize a bill delivery and presentment service provided by CheckFree. Bill delivery allows you to view certain bills using your PFM software interface or web browser, as applicable. Bill delivery, if available, is provided to you by CheckFree and not by First Citizens Bank, even if the service is provided through online banking.

Transaction Limitations.

For savings and money market accounts, federal regulations limit third party or pre-authorized transfers and withdrawals to six per statement cycle, no more than three of which may be made by check, draft, debit card, or similar order payable to third parties. Loan payments to us are not included in these limits. For security reasons, we may impose additional limits on the frequency, number, and dollar amounts of transactions you can perform using online banking. In addition, as noted herein, we reserve the right to refuse to pay any person or entity to whom you may direct a payment through online banking. We will notify you promptly if we decide to refuse to pay a person or entity designated by you; however, this notification is not required if you direct us to make any payment which is otherwise prohibited under your agreements with us.

Overdrafts.

If your use of online banking overdraws your account and the overdraft is not covered by an approved line of credit relating to the overdrawn account, you agree to make immediate payment to us of the amount of any such overdraft, together with related service charges. You also agree that we may charge the overdraft and related service charges against your other accounts with us to the extent permitted by law or by your Deposit Account Agreement.

Your right to stop payment and your right to receive notice of varying amounts.

a. Stop Payment Procedure. If you have told us in advance to make regular payments or transfers out of your account, you can stop any of these payments or transfers by following the procedures outlined in this paragraph. You may change or cancel bill payment instructions by following the directions within the Service. However, once the Bill Pay Service has started processing a payment, the payment cannot be changed or canceled, and you must submit a stop payment request in the manner provided in the Service or in your Deposit Account Agreement. You may change or cancel any instructions you have given us to transfer funds from one of your accounts to another using online banking if you enter and transmit through online banking your change or cancellation instructions (and we receive your new instructions) at any time prior to the time we actually execute your transfer instructions.

Alternatively, you may change or cancel bill payment or funds transfer instructions if you call us at 1.888.FC DIRECT (1.888.323.4732) or 1.800.860.5136 (for the hearing impaired), or write us at First Citizens Bank, Online Banking, DAC52, PO Box 27131, Raleigh, NC 27611-7131, in time for us to receive your change or cancellation instructions seven business days or more before the designated payment or transfer date. If you call, we may also require you to put your request in writing and to get it to us within 14 days after you call. Normal service charges apply for each change/stop payment order requested by telephone or in writing.

b. Notice of Varying Amounts. If your regular payments vary in amount, the person you are going to pay should tell you, at least 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.

c. Failure to Stop Payment of Pre-authorized Transfer. If you order us to stop one of these payments within the applicable time frame indicated above, and we do not do so, we will be liable for your losses or damages caused by our failure except as otherwise limited in this Agreement.

Your Liability for Unauthorized Transfers.

We will send you a monthly account statement for your checking and savings accounts unless there are no transfers in a particular month. In any case, we will send you a statement for your checking and savings accounts at least quarterly. The statement will show Bill Pay and other online banking transfers. If your statement shows transfers that you did not make, tell us AT ONCE. You may call us at 1.888.FC DIRECT (1.888.323.4732) or 1.800.860.5136 (for the hearing impaired), write First Citizens Bank, Online Banking, DAC52, PO Box 27131, Raleigh, NC 27611-7131. If you do not tell us within sixty days after the statement was mailed to you, you may not get back any money you lost after the sixty 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 may extend the time periods. Remember that if you maintain the confidentiality of your password, it will reduce the possibility of unauthorized use.

Errors and Questions.

In case of errors or questions about your electronic transfers, call us at 1.888.FC DIRECT (1.888.323.4732) or 1.800.860.5136 (for the hearing impaired), or write First Citizens Bank, Online Banking, DAC52, PO Box 27131, Raleigh, NC 27611-7131 as soon as you can, if you think your statement is wrong or if you need more information about a transfer listed on your statement.

Alternatively, you may call or visit your local branch office. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error appeared.
When you notify us: 1) tell us your name and account number, 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, and 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 after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days to investigate your complaint or question. If we decide to do this, we will recredit your account within 10 business days for the amount you think is in error, so that you will have use of the money during the time if 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 recredit your account. If your complaint or question involves (i) an electronic fund transfer that was initiated outside the United States or that resulted from a point-of-sale debt card transaction, then the 45 day investigation period will be extended to 90 days; (ii) an electronic fund transfer to or from the account during the first 30 days the account is open, then the 10 day period will be extended to 20 business days, and the 45 day investigation period will be extended to 90 days.

We will tell you the results within three business days after completing our investigation. If we decide there was no error, we will send you a written explanation within three business days after we finish our investigation. You may ask for copies of the documents that we used in our investigation. If you use PFM software to access online banking, please direct your inquiries and correspondence regarding online banking services or enrollment and regarding transactions for your accounts to us or, if applicable, CheckFree, and not to Microsoft® or Intuit. If you have questions regarding the operation of your web browser, PFM software, or Internet connection, please direct your inquiries or correspondence to the vendor of that product. If you use Quicken® to access online banking, you will be a customer of First Citizens Bank with respect to online banking, and not of Intuit.

Our Liability for Failure to Make Transfers.

We will use our best efforts to comply with your transfer and payment instructions. However, we will incur no liability (and no obligation as to late charges) if we are unable to complete any of your transfer or payment instructions because any of the following circumstances exist:

1. You do not have enough money in the applicable account to complete the transaction.

2. The transaction will exceed the credit limit on your related overdraft line of credit; or, in the case of a transfer from your equity line of credit account, the transfer will exceed your equity line credit limit.

3. You do not allow us adequate time according to this Agreement to process transfer or payment instructions we receive from you.

4. The electronic bill payment processing center is not working properly.

5. The person or entity to whom you direct payment mishandles, delays, or fails or refuses to accept a payment sent by us.

6. You have provided us with incorrect, incomplete or inaccurate data or information concerning a payee or other account information, including but not limited to date related errors, or you have otherwise failed to comply with the payment or transfer instruction requirements set forth in this Agreement, your application for online banking and/or Bill Pay Service, or any instructions we provide you on using online banking.

7. There are technical problems in our receipt of information or instructions from you (for example, problems arise with computers, software, modems, or telephone communications, including but not limited to date related problems).

8. Circumstances beyond our control (such as, but not limited to, fire, flood, interference from an outside force, strikes, lockouts, acts of governmental authorities, delays of couriers or supplies, communications equipment failures, or equipment malfunction occurring despite ordinary maintenance), including but not limited to date related problems, prevent the proper execution of the transaction, despite reasonable precautions we have taken.

9. This Agreement or your payment or transfer authorization has been terminated.

10. Your account has been closed, there is a hold on your account, or access to your account is blocked in accordance with our policies.

11. Your funds are subject to legal process or encumbrances restricting transfer.

12. Applicable law prevents completion of the transaction.

13. Unusual or extraordinary circumstances exist which indicate improper or unlawful use of your account.

14. You believe someone has accessed your account without your permission and you fail to notify us immediately.

Provided none of the circumstances described above are applicable, if we cause an incorrect amount of funds to be removed from your account and our action was unintentional and resulted from a bona fide error on our part, we will be responsible for returning the improperly transferred funds to your account. If you have scheduled a payment in accordance with the Service terms (including all exceptions), but your payment posts after its payment due date because of our delay, the Service will bear responsibility for no more than $50 in late payment charges you actually incur for that payment. We will not be liable for other losses and damages caused by our failure except to the extent specifically required by law.

Electronic Mail.

One of the features of firstcitizens.com is electronic mail ("Bank Mail"), which allows you to communicate with us electronically. If you send us an electronic mail message, we will be deemed to have received it on the following business day. We will have a reasonable time to act on your e-mail. Do not rely on e-mail if you need to communicate with us immediately, for example, to report an unauthorized transaction from one of your accounts or to stop a pre-authorized payment. Bank Mail messages sent to the Bank are the property of the Bank, and we reserve the right to delete such messages from the system from time to time. You agree that we may send you electronic messages about products or services we offer.

Fees and Charges.

You agree that we may charge your Primary Account for all fees and charges relating to online banking in accordance with the applicable fee schedule. We reserve the right to change applicable fees and charges at any time. We will provide you with any notice required by law of any changes to our fees and charges. If your Primary Account or a Bill Pay Service designated account does not have a sufficient balance to pay all applicable fees and charges due, we may exercise our right of setoff against any of your other accounts as provided by law or your Deposit Account Agreement. Any applicable fees will be charged regardless of whether you use a service during the billing cycle.

Termination or Discontinuation.

You may terminate or discontinue online banking by giving us at least 10 days prior written notice. You may call us at 1.888.FC DIRECT (1.888.323.4732) or 1.800.860.5136 (for the hearing impaired), or you may mail your notice to: First Citizens Bank, Online Banking, DAC52, PO Box 27131, Raleigh, NC 27611-7131. You will not be entitled to the refund of any prepaid fees or charges. You must tell us your name and address; whether you are discontinuing online banking, Bill Pay Service, or both; and the effective date to stop the service.

When the Bill Pay Service is terminated, any prescheduled bill payments made through firstcitizens.com online banking will also be terminated. Your final charge for the Bill Pay Service will be assessed at the end of the month. If you terminate a Bill Pay Service, you authorize us to continue making fund transfers, bill payments, and other transactions you had previously authorized until we have a reasonable opportunity to act upon your termination notice. If you are not paying a monthly service charge for the service, we may convert your account to inactive status if you do not sign on to the service or have any transactions scheduled through the service during any consecutive ninety day period. If your account is considered inactive, you must contact us to have the service activated before you will be able to schedule any transaction through the service.

We can refuse online banking services to anyone. We may terminate your online banking services at any time without prior notice and with or without cause. If you withdraw your consent to receive electronic communications regarding online banking, this Agreement automatically will terminate at the effective time of the withdrawal of consent. If more than one person can access an account through online banking, we reserve the absolute right to terminate all online banking access to the account upon the request of the account owner, any account co-owner, or any other person authorized to access the account. In addition, CheckFree may terminate your access to the Bill Pay Service without prior notice to you, with or without cause. Neither termination nor discontinuation shall affect your liability or obligations under this Agreement, and you will remain liable for payments, transfers and other transactions in process and for the payment of any accrued fees and charges.

Notices.

Any notice we give you concerning online banking and/or your accounts is effective when we send you an electronic message to your external e-mail address or using Bank Mail, when you access or use online banking after the effective date of a notice posted on our web site on or near the log-in page, or when we mail or deliver the notice to you at the address we have for you in our account records. We will e-mail or mail to you notices or alerts of disclosures covered by Regulation E or the Electronic Fund Transfers Act. Any notice we send you will be deemed to have been received by you at the earlier of (i) your confirmation of receipt or (ii) within three days of being sent. If any of your accounts has more than one co-owner, notice to any one co-owner will be considered effective notice to all. Pursuant to this Agreement and the CONSENT TO RECEIVE ELECTRONIC DISCLOSURES that you must agree to in order to access and use online banking, you agree that we may send you by means of an electronic message any information we are required by law or regulation to provide you. We do not provide paper copies unless required to do so by law or regulation. A notice that alerts you to availability of a disclosure on an Internet web site and provides you with the web site address of the disclosure, in lieu of sending you the entire disclosure, will be sufficient notice, absent a legal restriction. BY ACCEPTING THIS AGREEMENT, YOU AGREE THAT WE MAY SEND YOU ELECTRONIC MESSAGES ABOUT PRODUCTS OR SERVICES WE OFFER (INCLUDING ADVERTISEMENTS), although you may opt-out from e-mail advertising by following the instructions in the e-mail advertisement or by contacting us at the address under "Notices to Us" with a written request to opt-out of e-mail advertising.

Change of Address.

You agree to notify us promptly in writing of any address change, including regular mail and electronic mail addresses. You must notify us by calling us at 1.888.FC DIRECT (1.888.323.4732) or 1.800.860.5136 (for the hearing impaired), or by mailing us at: First Citizens Bank, Online Banking, DAC52, PO Box 27131, Raleigh, NC 27611-7131. You also may change your e-mail address by updating your e-mail address in the "My Profile" section of the online banking service.

Joint and Several Liability.

If any one or more of your deposit accounts has co-owners, each co-owner will be jointly and severally liable for any obligation which arises from the use of online banking to access the account. This joint and several liability shall extend as well to any line of credit accessed through any such account.

Information Authorization.

You authorize us and our agents to request and obtain consumer reports on you from any consumer reporting agency and to obtain and verify information relating to you and your accounts from any other source. You also authorize us to disclose any information relating to you and your accounts (i) to any consumer reporting agency or any other person or entity we reasonably believe is conducting a legitimate credit inquiry, (ii) to any financial institution, (iii) to any account information service (such as Chex Systems or Equifax), (iv) in response to any subpoena, summons, court or administrative order, or other legal process which we reasonably believe requires our compliance, (v) to any of our affiliates or subsidiaries, (vi) to First Citizens BancShares, Inc. (our parent company) and any of its subsidiaries or affiliates, and (vii) to any law enforcement officer if we suspect any wrongdoing in connection with any of your accounts. You further agree that we may obtain financial information regarding your accounts with any of your designated payees to resolve payment problems. From time to time we are legally required to provide information in response to court or administrative orders, subpoenas, summonses, tax levies, or other such legal process. You agree to pay our standard charges for the research and copying of documents and for any other expenses we incur in complying with such legal process including, but not limited to, our attorneys' fees. Our fees will be determined from our Disclosure of Products and Fees in effect at the time that the services are rendered, and we will charge your Primary Account for any such fees or expenses.

Disclosure of Account Information.

1. In General. We will disclose information to third parties about your account(s) or the transfers you make that we believe is necessary:

   • To complete or document transactions, to investigate possible unauthorized transactions, or to combat fraud.

   • To verify the existence and condition of your account for a third party, such as a credit bureau or merchant.

   • In response to government agency inquiries or orders.

   • In response to court orders.

   • If you give us your written or oral permission.
   • To comply with government regulations.

   • To offer you products and services that we believe may interest you.

   You must pay our standard charges for research and copying when we provide account information to you or to third parties.

2. FCB Affiliates. We routinely share information concerning our customers with our "affiliates." Our "affiliates" are all members of the First Citizens corporate family and include our subsidiaries and all of the other companies owned or controlled by First Citizens BancShares, our parent company. Federal law permits us to share limited information about you without your consent. In general, this information includes identification information (such as your name and address) and information concerning your transactions with us and our experiences with you. Our goal is to offer you the broadest range and highest quality of financial products and services we can provide. To do this effectively, we need to share "other information" with our affiliates in addition to identification, transaction and experience information. For example, when we share information about you with our affiliates which we obtain from an application or a consumer report, our affiliates can determine whether certain financial products and services are appropriate for your needs. Please be assured that we do not share this "other information" with non-affiliated third parties unless we are required to do so by law or permitted to do so under your Account Agreement. Unlike identification, transaction and experience information that we may share by law, the Fair Credit Reporting Act permits you to direct us not to share "other information" with our affiliates. To do so, you must notify us in writing of your request. Please include your name, current address, social security number, telephone number, account number and type of account, and send your written request to First Citizens Bank, P. O. Box 26592, Raleigh, NC 27611-6592. Your request must be mailed in a separate envelope and should not be included with any other Bank correspondence. Each customer may separately choose to ask that we not share his or her "other information" with our affiliates. A customer who directs us not to share "other information" may do so only on his or her own behalf. We will process your request as soon as we reasonably can.

Consumer Protection.

The consumer protection provisions of the federal Electronic Fund Transfer Act and the Federal Reserve Board's Regulation E apply only to electronic fund transfers involving consumer checking and savings accounts established primarily for personal, family or household purposes. If your account is owned by an entity other than a natural person or was established primarily for business, commercial or agricultural purposes, then any online banking electronic fund transfer will be considered an "authorized use," and your liability for any online banking transaction relating to that account will be unlimited, notwithstanding the provisions of the federal Electronic Fund Transfer Act, Regulation E, or any standardized literature or disclosures we may send you. You will be fully responsible for the security of your password with respect to each such account, whether the transaction or the use of the password is authorized or unauthorized.

Warranty.

We may on a regular basis perform maintenance on our equipment or system which may result in interrupted service or errors in the service. We also may need to change the scope of our services from time to time. We will attempt to provide prior notice of such interruptions and changes but cannot guarantee that such notice will be provided. We make no representation that online banking services (including the Bill Pay Service) will be uninterrupted or error free. Our sole obligation to you arising out of (i) the nonavailability of online banking, or (ii) an interruption or delay in providing online banking shall be to use commercially reasonable efforts to resume such services. THE FOREGOING SHALL CONSTITUTE OUR ENTIRE LIABILITY AND YOUR EXCLUSIVE REMEDY. EXCEPT AS SPECIFICALLY PROVIDED IN THIS AGREEMENT, IN NO EVENT SHALL THE BANK OR CHECKFREE (OR ANY OF OUR RESPECTIVE OFFICERS, DIRECTORS, EMPLOYEES, AGENTS OR SUBCONTRACTORS) BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL, INCIDENTAL, CONSEQUENTIAL, PUNITIVE OR EXEMPLARY DAMAGES, INCLUDING LOST PROFITS (EVEN IF WE ARE ADVISED OF THE POSSIBILITY THEREOF) ARISING IN ANY WAY OUT OF THE INSTALLATION, USE, OR MAINTENANCE OF ANY COMPUTER EQUIPMENT, THE ONLINE BANKING SERVICE, AND/OR THE BILL PAY SERVICE. WE MAKE NO WARRANTY, EXPRESSED OR IMPLIED, TO YOU CONCERNING ONLINE BANKING, PFM SOFTWARE, WEB BROWSERS, INTERNET SERVICES, OR OTHER SERVICES, INCLUDING, BUT NOT LIMITED TO, WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR NONINFRINGEMENT, EXCEPT TO THE EXTENT LIMITED OR PROHIBITED BY LAW. IN NO EVENT SHALL ANY LICENSOR OR PROVIDER OF ANY SOFTWARE OR SERVICE PROVIDED BY OR THROUGH US HEREUNDER BE LIABLE TO YOU FOR ANY ERROR, LOSS OF DATA, MALFUNCTION, OR DEFECT OF OR CAUSED BY SUCH SOFTWARE OR SERVICE. ALL SUCH SOFTWARE AND SERVICES ARE PROVIDED “AS IS.”

Liability for Loss of or Erroneous Data.

Each party will bear the liability or the risk of any error or loss of data, information, transactions or other losses which may be due to the failure of their respective computer system or third party communications provider on which each party may rely. We shall have no liability to you for any damage or other loss, direct or consequential, which you may incur by reason of your use of your computer system, including but not limited to damage or loss resulting from date related problems.

Virus Protection.

You agree that we are not responsible for any electronic virus that you may encounter using online banking. We encourage you to routinely scan your PC and diskettes using any reliable virus protection product to detect and remove any viruses found. Undetected or unrepaired, a virus may corrupt and destroy your programs, files and even your hardware.

The content and information on our site is copyrighted by First Citizens Bank and the unauthorized reproduction or distribution of any portions is prohibited. PFM software and web browsers are owned and licensed by the applicable vendor and are not provided by First Citizens Bank. Microsoft® and Microsoft® Money are trademarks of Microsoft Corporation or its affiliate, and Intuit and Quicken® are trademarks of Intuit Inc. or its affiliate.

Amendments.

We reserve the right to amend this Agreement at any time. We will provide you with any notice required by law or this Agreement of any changes to the terms of this Agreement, which notice may be provided electronically. Your use of online banking after we amend this Agreement will constitute your acceptance of such changes. You may decline changes by terminating online banking, in the manner provided in this Agreement, before the changes go into effect.

Assignment.

You may not assign this Agreement to any other person or entity. We may assign this Agreement to any company with which we are directly or indirectly affiliated. We may also assign or delegate certain of our rights or responsibilities under this Agreement to independent contractors or other third parties.

No Waiver.

We will not be deemed to have waived any of our rights or remedies under this Agreement unless we send the waiver to you by electronic message or we otherwise mail or deliver to you a written waiver signed by us. No delay or omission on our part in exercising any of our rights or remedies shall operate as a waiver of such rights or remedies or any other rights or remedies we may have. A waiver on one occasion will not be construed as a bar or waiver of any rights or remedies on future occasions.

Governing Law.

This Agreement shall be governed by and construed in accordance with the laws of the State of North Carolina, without regard to its conflicts of laws provisions, and applicable federal law.

Monitoring.

Except to the extent prohibited by law, we reserve the right to review and/or monitor transactions and instructions submitted via online banking for security, legal compliance, fraud, and related purposes.