The Pittsfield Cooperative Bank

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Deposit Terms & Conditions

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 Massachusetts (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.

SUBSTITUTE CHECKS - To make check processing faster, federal law permits financial institutions to replace original checks with “substitute checks”. These checks are similar in size to original checks with a slightly reduced image of the front and back of the original check. The front of a substitute check states: “This is a legal copy of your check. You can use it the same way you would use the original check.” Some or all of the checks that you receive from us may be substitute checks.

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.

SUBSTITUTE CHECKS received by the Bank via an A.T.M., Night Depository, U.S. Mail, Over-The-Counter or any method other than through the Federal Reserve will be accepted for Collection Only.

All deposits of checks drawn on other than U.S. banks must be made separately.

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 indorse 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 Regulations 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.

CHAPTER 167D ACCOUNTS - Except as indicated below, we do not intend to impose a fee, charge or other assessment against your savings or checking account if you qualify for the minor or senior citizen fee exemption under Chapter 167D of Massachusetts General Laws. You should notify us if you or your spouse qualify so that we may administer your account accordingly. Notwithstanding this exemption, we may assess you a reasonable charge when payment has been refused because of insufficient funds on any check drawn on such account.

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 intends 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 Account - One or two of you (called trustees) may create such an account in trust for another. Payments may be made to the trustee, or if there are two trustees, to either or both of the trustees or the survivor. Upon the death of the trustee or the death of both trustees, payment may be made to the person for whom the trust was made, or that person’s legal representative.

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 person 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 the liability.

TEMPORARY ACCOUNT AGREEMENT - If this option is selected, this is a temporary account agreement. Each person who signs 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 to 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 $1,000.00.”

CREDIT VERIFICATION - You agree that we may verify credit and employment history by any necessary means, including preparation of a credit report by a credit-reporting agency.

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 clearinghouse association rules. These rules provide, among other things, that the 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 do not receive such, we are entitled to a refund from you in the amount credited to your account and the party originating such payment will not be considered to have paid the amount so credited. 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 AND RESPONSIBILITIES

Indicated below are types of Electronic Fund transfers we are capable of handling, some of which may not 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 FUNDS TRANSFERS INITIATED BY THIRD PARTIES. You may authorize a third party to initiate electronic funds 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 Clearinghouse (ACH) or other payments network. Your authorization to the third party to make these transfers can occur in a number of ways. In some cases, your authorization can occur when the merchant posts a sign informing you of their policy. In all cases, the transaction will require you to provide the third party with your account number and bank information. This information can be found on your check as well as on a deposit or withdrawal slip. Thus, you should only provide your bank 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 funds 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, savings, or money market deposit account(s).

Preauthorized payments. You may make arrangements to pay certain recurring bills from your checking, statement savings, or money market deposit account(s).

Electronic check conversion. You may provide your check to a merchant or service provider who will scan the check for the encoded bank, and account information. The merchant or service provider will then use this information to convert the transaction into an electronic funds transfer. This may occur at the point of purchase, or when you provide your check by other means such as by mail or drop box.

Electronic returned check charges. Some merchants or service providers will initiate an electronic funds transfer to collect a charge in the event a check is returned for insufficient funds.

Bank-By-Phone Telephone Transfers - types of transfers - You may access your account by telephone using your personal identification number, a touch-tone phone, your account numbers, and last 4 digits of your social security number, to:

transfer funds from checking to checking

transfer funds from checking to statement savings

transfer funds from statement savings to checking

transfer funds from statement savings to savings

make payments from checking to loan accounts with us

make payments from statement savings to loan accounts with us

get information about:

the account balance of checking accounts

the last statement cycle’s deposits to checking accounts

the last statement cycle’s withdrawals from checking accounts

the account balance of savings accounts

the last statement cycle’s deposits to savings accounts

the last statement cycle’s withdrawals from savings accounts

interest rates

Your Option to Limit Cash Withdrawals - In addition to dollar amount limitations for withdrawals using your ATM Card or MasterMoney™ Debit Card and/or code that we may establish, you have the option to limit the amount of cash that can be withdrawn by your ATM Card or MasterMoney™ Debit Card and/or code to $50.00 per day or some other amount acceptable to us.

ATM Transfers – types of transfers and dollar limitations – You may access your accounts(s) by ATM using your ATM Card or MasterMoney™ Debit Card and personal identification number, to:

make deposits to checking account(s)

make deposits to statement savings account(s)

get cash withdrawals from checking account(s)

you may withdraw no more than $1,000.00 per day per card (or limit determined at time of account opening)

get cash withdrawals from statement savings account(s)

you may withdraw no more than $1,000.00 per day per card(or limit determined at time of account opening)

transfer funds from statement savings to checking account(s)

transfer funds from checking to statement savings account(s)

get information about:

the account balance of your checking accounts

the account balance of your statement savings accounts

the account balance of your money market deposit accounts

Some of these services may not be available at all terminals.

Please also see Limitations on frequency of transfers section regarding limitations that apply to ATM transfers.

Types of ATM Debit Card Transactions - You may access your checking account(s) to purchase goods (in person), pay for services (in person), get cash from a merchant if the merchant permits or from a participating financial institution, or do anything that you can do with a credit card (that a participating merchant will accept with a credit card).

Debit Card Transactions - dollar limitations - Using your Debit card:

· you may not exceed $2,000.00 in transactions per day or your preauthorized limit

Types of MasterMoney Debit Card Point-of-Sale Transactions - You may access your checking account(s) to purchase goods (in person or by phone), pay for services (in person or by phone), and do anything that you can do with a credit card (that a participating merchant will accept with a credit card).

Point-of-Sale Transactions - dollar limitations - Using your Debit card:

· you may not exceed $1,500.00 in transactions per day or your preauthorized limit

Please also see Limitations on frequency of transfers section regarding limitations that apply to debit card transactions.

Currency Conversion. If you effect a transaction with your MasterMoney Debit Card in a currency other than US Dollars, MasterCard International Incorporated will convert the charge into a US dollar amount. MasterCard International will use its currency conversion procedure, which is disclosed to institutions that issue MasterCard cards. Currently, the conversion rate used by MasterCard International to determine the transaction amount in US dollars for such transactions is generally either a government mandated rate or a wholesale rate determined by MasterCard International for the processing cycle in which the transaction is processed, increased by an adjustment factor established from time to time by MasterCard International. The currency conversion rate used by MasterCard International on the processing date may differ from the rate that would have been used on the purchase date or cardholder statement posting date.

Advisory Against Illegal Use. You agree not to use your card(s) for illegal gambling or other illegal purpose. Display of a payment card logo by, for example, an online merchant does not necessarily mean that transactions are lawful in all jurisdictions in which the cardholder may be located.

Online Banking Computer Transfers - types of transfers - You may access your account(s) by computer using your Access Identification Code and Password to:

transfer funds from checking to checking

transfer funds from checking to statement savings

transfer funds from statement savings to checking

transfer funds from statement savings to savings

make payments from checking to loan accounts with us

make payments from statement savings to loan accounts with us

get information about:

the account balance of checking accounts

the last statement cycle’s deposits to checking accounts

the last statement cycle’s withdrawals from checking accounts

the account balance of savings accounts

the last statement cycle’s deposits to savings accounts

the last statement cycle’s withdrawals from savings accounts

interest

rates

loan applications

Limitations on frequency of transfers. In addition to those limitations on transfers elsewhere described, if any, the following limitations apply:

· For security reasons, there are other limits on the number of transfers you can make by ATM.

· For security reasons, there are other limits on the number of transfers you can make by debit card.

Termination –

· You may terminate the electronic fund transfer agreement by notifying us in writing.

· We may terminate the electronic fund transfer agreement at any time.

Minimum Account Balance –

· You must maintain a minimum account balance of $5.00 in your account as a condition of using an access device (card and/or identification code) to accomplish a transfer.

FEES

We do not charge for direct deposits to any type of account.

We charge $12.00 each year if your account if set up to use ATMs.

Except as indicated elsewhere, we do not charge for 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 any transfer to or from your account using one of our automated teller machines or point-of-sale terminals.

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.

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 (413) 447-7304 to find out whether or not the deposit has been made.

Periodic statements.

· You will get a monthly account statement from us for your money market deposit, NOW, checking, and statement savings accounts.

· For passbook accounts, if the only possible electronic transfers to or from your account are preauthorized credits, we do not send periodic statements. You may bring your passbook to us and we will record any electronic deposits that were made since the last time you brought in your passbook.

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 with this information 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.

· Please refer to our separate fee schedule for the amount we will charge you for each stop payment order you give.

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.

ADDITIONAL INFORMATION REQUIRED BY MASSACHUSETTS LAW

1. Any documentation provided to you, which indicates that an electronic fund transfer was made to another person, shall be admissible as evidence of the transfer and shall constitute prima-facie proof that the transfer was made.

2. The initiation by you of certain electronic fund transfers from your account will effectively eliminate your ability to stop payment of the transfer.

Unless otherwise provided in this agreement, you (the consumer) may not stop payment of electronic fund transfers, therefore you should not employ electronic access for purchases or services unless you are satisfied that you will not need to stop payment.

FINANCIAL INSTITUTION’S LIABILITY

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. If the funds are subject to legal process or other encumbrance restricting such transfer.

7. There may be other exceptions stated in our agreement with you.

CONFIDENTIALITY

In order that your privacy may be protected, we will not disclose any information about you or your account to any person, organization, or agency except:

1. for certain routine disclosures necessary for the completion of a transfer; or

2. for verification of the existence and condition of your account for a credit bureau or merchant; or

3. to persons authorized by law in the course of their official duties; or

4. to our employees, auditors, service providers, attorneys or collection agents in the course of their duties; or

5. pursuant to a court order or lawful subpoena; or

6. to a consumer reporting agency as defined in Chapter 93 of Massachusetts General Laws; or

7. as explained in the separate Privacy Disclosure.

If an unauthorized disclosure has been made, we must inform you of the particulars of the disclosure within 3 days after we have discovered that an unauthorized disclosure has occurred.

UNAUTHORIZED TRANSFERS

(a) Consumer liability.

· Generally. Tell us AT ONCE if you think your card and/or code has been lost, stolen or used without your permission. Telephoning is the best way, if any, of minimizing your possible losses. You can lose no more than $50.00 if you fail to give us notice of your lost or stolen card and/or code and your card and/or code is used without your permission.

· Additional Limits on Liability for MasterMoney Debit Card, when used for point-of-sale transactions. You will not be liable for any unauthorized transactions using your MasterMoney 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 the risk of loss or theft, (ii) you have not reported to us two or more incidents of unauthorized use within the prior twelve-month period, and (iii) your account is in good standing. If any of these 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 limitation on liability does not apply to PIN-based transactions or transactions not processed by MasterCard.

(b) Contact in event of unauthorized transfer. If you think your card and/or code has been lost or stolen or that someone has transferred or may transfer money from your account without your permission, call or write us at the telephone number or address listed with this information.

PROTECTED CONSUMER USE

Chapter 167B of the Massachusetts General Laws was enacted to provide a means for financial institutions, businesses, and consumers to conduct their business relations more conveniently. Transferring funds electronically will supplement the use of checks, credit, and cash and will not replace these present methods of doing business. As a consumer, you should be aware of your rights if you choose to utilize this system.

1. Prohibition of compulsory use.
No person may:

o require you to use a preauthorized electronic fund transfer as a condition of the extension of credit unless the credit is being extended in connection with an overdraft checking plan, or is being extended to maintain a specified balance in your account, or

o require you either to accept a transfer service or to establish an account which is accessed electronically as conditions of employment or receipt of governmental benefit, or

o require you to pay electronically for the purchase of good or services.

If your account is to be credited by a preauthorized transfer you may choose the financial institution to which the transfer may be made, if the institution is technically capable of receiving such preauthorized transfer.

2. Waiver of rights. No writing or agreement signed by you can waive the rights conferred to you by Chapter 167B of the Massachusetts General Laws unless you decide to waive these rights in settlement of dispute or action.

3. Refunds. If it is the policy of a store or retail business to give cash refunds in return for an item purchased by cash, then this policy must also cover refunds for items purchased by electronic fund transfer unless it is clearly disclosed at the time the transaction is consummated that no cash or credit refunds are given for payments made by electronic fund transfers.

4. Suspension of obligations. If a person agrees to accept payment by means of an electronic fund transfer and the system malfunctions preventing such a transfer, then the consumer’s obligation is suspended until the transfer can be completed, unless that person, in writing, demands payment by other means.

5. Prohibited means of identification. Your Social Security number cannot be used as the primary identification number although it can be used as the secondary aid to identify you.

6. Criminal liability. Procuring or using a card, code or other means of electronic access to an account with the intent to defraud is a basis for criminal liability.

ERROR RESOLUTION NOTICE

In Case of Errors or Questions About Your Electronic Transfers, Telephone or Write us at the telephone number or address listed with this information as soon as you can, if you think your statement, passbook or receipt is wrong or if you need more information about a transfer listed on the statement, passbook or receipt. We must hear from you no later than 60 days after we sent you the FIRST statement on which the problem or error appeared or, if the only transfer possible is a direct deposit to your passbook account, no later than 60 days after the problem or error was FIRST reflected in your passbook or statement.

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 calendar days after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 calendar days to investigate your complaint or question. If we decide to do this, we will credit your account within 10 calendar days 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.

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 inspect or ask for copies of the documents that we used in our investigation. If there is no error, we may impose on you a reasonable charge for making such reproductions.

THE PITTSFIELD COOPERATIVE BANK

70 SOUTH ST., PO BOX 1076

PITTSFIELD, MASSACHUSETTS 01202 – 1076

Business Days: Monday through Friday

Business Hours: 8:30 A.M. to 4:30 P.M.

Excluding Federal Holidays

Phone: 413-447-7304

or Great Barrington Customers Phone 413-528-2840

MORE DETAILED INFORMATION IS AVAILABLE ON REQUEST

YOUR ABILITY TO WITHDRAW FUNDS

This policy statement applies to all deposit accounts.

Our policy is to make funds from your cash and check deposits available to you on the first business day after the day we receive your deposit. Electronic direct deposits will be available on the day we receive your deposit. Once the funds are available, you can withdraw them 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.

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 3:30 P.M. 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 3:30 P.M. 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 you make a deposit at an ATM before 2:00 P.M. 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 at an ATM after 2:00 P.M. 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 your account. 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. These 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

In some cases, we will not make all of the funds that you deposit by check available to you on the first business day after the day of your deposit. Depending on the type of check that you deposit, funds may not be available until the fifth business day after the day of your deposit. The first $100 of your deposits, however, may be available on the first business day.

If we are not going to make all of the funds from your deposit available on the first business day, 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 decide to take this action after you have left the premises, we will mail you the notice by the 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.

In addition, 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 redeposit 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 ninth 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 ninth business day after the day of your deposit.

TRUTH-IN-SAVINGS DISCLOSURE

CHRISTMAS CLUB ACCOUNT

· Minimum balance to open the account – You must deposit $10.00 to open this account. If any withdrawal is made from this account before Club maturity then this account may be closed.

N.I.B.A. CHECKING ACCOUNT

· Minimum balance to open the account – You must deposit $100.00 to open this account.

· Minimum balance to avoid imposition of fees – A charge for servicing account of $5.00 will be imposed every statement cycle if the balance in the account falls below $300.00 any day of the cycle.

· Fees - A per check charge fee of $.20 will be charged for each check paid in excess of 15 during a statement cycle. This fee will apply if the minimum balance requirement of $300.00 is not met on any one day during the statement cycle.

SAVINGS SHARE 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 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 $100.00 to open this account.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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 noncash deposits – Interest begins to accrue on the first business day after the banking day you deposit noncash items (for example, checks).

STATEMENT 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 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 $100.00 to open this account.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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 noncash deposits – Interest begins to accrue on the first business day after the banking day you deposit noncash items (for example, checks).

· Transaction limitations: Transfers from a Statement Savings account to another account or to third parties by preauthorized, automatic, telephone or computer transfer are limited to six per statement cycle with no transfers by check, draft, debit card, or similar order to third parties.

MONEY MARKET DEPOSIT 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 $100.00 to open this account.

· Minimum balance to avoid imposition of fees – A charge for servicing account of $3.00 will be imposed every statement cycle if the balance in the account falls below $2,500.00 any day of the cycle.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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 noncash deposits – Interest begins to accrue on the first business day after the banking day you deposit noncash items (for example, checks).

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

· Fees: Over limit charges of $.99 for each debit transaction (withdrawal, check paid, automatic transfer or payment out of this account) in excess of six during a month.

NOW 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 $100.00 to open this account.

· Minimum balance to avoid imposition of fees – A charge for servicing account of $5.00 will be imposed every statement cycle if the balance falls below $1,000.00 any day of the cycle.

This fee will not apply if you are 18 years of age or younger or 65 years of age or older and we have been so notified.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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.

· you may not exceed $2,000.00 in transactions per day or your preauthorized limit

· you may not exceed $1,500.00 in transactions per day or your preauthorized limit

· For security reasons, there are other limits on the number of transfers you can make by ATM.

· For security reasons, there are other limits on the number of transfers you can make by debit card.

· You may terminate the electronic fund transfer agreement by notifying us in writing.

· We may terminate the electronic fund transfer agreement at any time.

· You must maintain a minimum account balance of $5.00 in your account as a condition of using an access device (card and/or identification code) to accomplish a transfer.

· You will get a monthly account statement from us for your money market deposit, NOW, checking, and statement savings accounts.

· For passbook accounts, if the only possible electronic transfers to or from your account are preauthorized credits, we do not send periodic statements. You may bring your passbook to us and we will record any electronic deposits that were made since the last time you brought in your passbook.

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:

· Please refer to our separate fee schedule for the amount we will charge you for each stop payment order you give.

ADDITIONAL INFORMATION REQUIRED BY MASSACHUSETTS LAW

1. Any documentation provided to you, which indicates that an electronic fund transfer was made to another person, shall be admissible as evidence of the transfer and shall constitute prima-facie proof that the transfer was made.

2. The initiation by you of certain electronic fund transfers from your account will effectively eliminate your ability to stop payment of the transfer.

FINANCIAL INSTITUTION’S LIABILITY 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. If the funds are subject to legal process or other encumbrance restricting such transfer.

7. There may be other exceptions stated in our agreement with you.

1. for certain routine disclosures necessary for the completion of a transfer; or

2. for verification of the existence and condition of your account for a credit bureau or merchant; or

3. to persons authorized by law in the course of their official duties; or

4. to our employees, auditors, service providers, attorneys or collection agents in the course of their duties; or

5. pursuant to a court order or lawful subpoena; or

6. to a consumer reporting agency as defined in Chapter 93 of Massachusetts General Laws; or

7. as explained in the separate Privacy Disclosure.

UNAUTHORIZED TRANSFERS (a) Consumer liability.

1. Prohibition of compulsory use. No person may:

o require you to use a preauthorized electronic fund transfer as a condition of the extension of credit unless the credit is being extended in connection with an overdraft checking plan, or is being extended to maintain a specified balance in your account, or

o require you either to accept a transfer service or to establish an account which is accessed electronically as conditions of employment or receipt of governmental benefit, or

o require you to pay electronically for the purchase of good or services.

2. Waiver of rights. No writing or agreement signed by you can waive the rights conferred to you by Chapter 167B of the Massachusetts General Laws unless you decide to waive these rights in settlement of dispute or action.

5. Prohibited means of identification. Your Social Security number cannot be used as the primary identification number although it can be used as the secondary aid to identify you.

6. Criminal liability. Procuring or using a card, code or other means of electronic access to an account with the intent to defraud is a basis for criminal liability.

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.

TRUTH-IN-SAVINGS DISCLOSURE CHRISTMAS CLUB ACCOUNT

· Minimum balance to open the account – You must deposit $10.00 to open this account. If any withdrawal is made from this account before Club maturity then this account may be closed.

· Minimum balance to open the account – You must deposit $100.00 to open this account.

· Minimum balance to avoid imposition of fees – A charge for servicing account of $5.00 will be imposed every statement cycle if the balance in the account falls below $300.00 any day of the cycle.

· Fees - A per check charge fee of $.20 will be charged for each check paid in excess of 15 during a statement cycle. This fee will apply if the minimum balance requirement of $300.00 is not met on any one day during the statement cycle.

· 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 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 $100.00 to open this account.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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 noncash deposits – Interest begins to accrue on the first business day after the banking day you deposit noncash items (for example, checks).

· 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 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 $100.00 to open this account.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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 noncash deposits – Interest begins to accrue on the first business day after the banking day you deposit noncash items (for example, checks).

· Transaction limitations: Transfers from a Statement Savings account to another account or to third parties by preauthorized, automatic, telephone or computer transfer are limited to six per statement cycle with no transfers by check, draft, debit card, or similar order to third parties.

· 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 $100.00 to open this account.

· Minimum balance to avoid imposition of fees – A charge for servicing account of $3.00 will be imposed every statement cycle if the balance in the account falls below $2,500.00 any day of the cycle.

· Minimum balance to obtain the annual percentage yield disclosed – You must maintain a minimum balance of $10.00 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 noncash deposits – Interest begins to accrue on the first business day after the banking day you deposit noncash items (for example, checks).

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

· Fees: Over limit charges of $.99 for each debit transaction (withdrawal, check paid, automatic transfer or payment out of this account) in excess of six during a month.

· 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.

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:

FINANCIAL INSTITUTION’S LIABILITY

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:

UNAUTHORIZED TRANSFERS

(a) Consumer liability.

1. Prohibition of compulsory use.
No person may:

TRUTH-IN-SAVINGS DISCLOSURE

CHRISTMAS CLUB ACCOUNT