Account Terms & Conditions, Funds Availability and Deposit Account disclosures will be provided at account opening.

Online Banking Terms & Conditions

I/We understand that all account holders have their own User Names and Passwords that enable them to use this service. I/We are responsible for the confidentiality and use of our Password. Use of this service signifies agreement to the terms and conditions set forth by Mt. Washington Bank in the Electronic Funds Transfer Disclosure Statement with the understanding that they may be amended from time to time.

Billpay Service Agreement

I/We authorize Mt. Washington Bank to verify the information provided on this application. I/We understand this service is available for qualified customers meeting the Bank's approval guidelines. I/We authorize Mt. Washington Bank to post payment transactions I/we generate by Internet from Mt. Washington Bank BILLPAY. I understand that I am in full control of my account. If at any time I decide to discontinue this service, I will provide written notification to Mt. Washington Bank, P.O. Box 101, South Boston, MA 02127, Attention: Online Banking Department. My use of Mt. Washington Bank BILLPAY signifies that I have read and accepted the terms and conditions governing this service. I/We understand that payments may take up to five (5) business days to reach my selected vendors and that they will be sent either electronically or by check. Mt. Washington Bank or its authorized agent will use reasonable efforts to ensure payments reach creditors on time, but cannot guarantee the time a payment will be posted by a creditor. Mt. Washington Bank is not liable for any service fees or late charges levied against me by my vendors. I also understand that I am responsible for any loss or penalty that I may incur due to lack of sufficient funds or other conditions that may prevent the withdrawal of funds from my account. Please refer to Electronic Funds Transfer Disclosure Statement and Schedule of Fees for additional fees and charges (where applicable).

Electronic Funds Transfer

The Electronic Funds Transfer Agreement sets forth your rights and responsibilities with regard to your use of electronic banking transactions, such as preauthorized credits or payments, telephone transfers, online banking and bill payment services and use of a Mt. Washington Bank ATM and ATM/Debit MasterCardTM Card. Indicated below are the types of electronic funds transfers (“EFTs”) we are capable of handling, some of which may not apply to your account. Please read this Agreement carefully because it tells you your rights and obligations for the transactions listed. Our online banking and bill payment services are also governed by our Online Banking Terms and Conditions. You should keep this Agreement for future reference.

I. General Disclosure Statement

A. EXCEPT WHERE OTHERWISE PROVIDED IN THIS AGREEMENT YOU MAY NOT STOP PAYMENT ON ELECTRONIC FUNDS TRANSFERS; THEREFORE, YOU SHOULD NOT EMPLOY THIS SERVICE FOR SERVICES AND/OR PURCHASES UNLESS YOU ARE SATISFIED THAT YOU WILL NOT NEED TO STOP PAYMENT FOR SUCH SERVICES AND/OR PURCHASES.

THE INITIATION BY YOU FOR CERTAIN ELECTRONIC FUNDS TRANSFERS FROM YOUR ACCOUNT WILL, EXCEPT AS OTHERWISE PROVIDED IN THIS AGREEMENT, EFFECTIVELY ELIMINATE YOUR ABILITY TO STOP PAYMENT OF THE TRANSFER.

Protected Consumer Use of EFTs

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:

• Require you to use a pre-authorized Electronic Funds Transfer as a condition for the extension of credit.
  
• Require you either to accept a transfer service or to establish an account which is accessed electronically as a condition of employment or receipt of a government benefit.

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

No person may:

• Condition the extension of credit to a consumer on such consumer’s repayment by means of pre-authorized electronic funds transfers.
  
• Require a consumer to accept an electronic funds transfer service or to establish an account for receipt of electronic funds transfers with a financial institution as a condition of employment or receipt of a government benefit; provided, however, that where a consumer’s account is to be credited by a pre-authorized electronic funds transfer, the consumer shall have the choice of selecting the financial institution to which the transfer shall be made if such institution is technically capable of receiving such a transfer; or
  
• Condition the sale of goods or services to a consumer on such consumer’s payment by means of an electronic funds transfer.

2. 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 Funds Transfer.

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

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

5. Criminal liability. Procuring or using a card, Personal Identification Number (PIN) or other means of electronic access to an account with the intent to defraud is a basis for criminal liability.

B. Errors in Electronic Funds Transfers or Questions About Your Electronic Funds Transfers.

1. In case of errors or questions about your electronic transfers you should call during regular telephone hours (Monday–Wednesday 8:00am-5:00pm, Thursday-Friday 8:00am – 6:00pm, Saturday 9:00am – 1:00 pm, except selected holidays), at (617)-268-8880, or write: MT. WASHINGTON BANK, P.O. BOX 101, 455 WEST BROADWAY, SOUTH BOSTON, MA 02127. In the case of an error, you must notify us no later than 60 days after we sent you the FIRST statement on which the problem or error occurred. Failure to do so may result in your liability of some or all of the transactions in question. You should tell us your name and account number, describe the error or the transfer you are unsure about, explaining as clearly as possible why you believe it is an error or why you need more information, and tell us the amount of the suspected error. If you tell us verbally, we may require you to submit the complaint or question in writing within 10 business days.
2. 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 credit your account within 10 business 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. For errors involving new accounts, point-of-sale, or foreign-initiated transactions, we may take up to 90 days to investigate your complaint or question. For new accounts, we may take up to 20 business days to credit your account for the amount you think is in error. (New accounts are accounts that have been opened for less than 30 days.)
3. We will tell you the results within three (3) business days after completing our investigation. If we decide that there was no error, any provisional credit (if granted initially) will be reversed and we will send you a written explanation. You may ask for copies of the documentation that we used in our investigation, and we must make these available to you for your inspection. For a reasonable fee covering our duplication costs, we will provide you with copies of any such documents which you request. If your alleged error concerns a transfer to or from a third party (for example, a Social Security payment) our investigation may be limited to a review of our own records. If we decide that there was no error, you may want to contact such third party to pursue the matter further.

C. Our Liability for Failure to Make Transfers.

If we do not complete a transfer to or from your account on time or in the correct amount according to our agreement with you, we will be liable for your losses or damages. However, there are some exceptions. We will not be liable in the following situations:

• If, through no fault of ours, you do not have enough money in your account to make the transfer.
  
• If the transfer will cause you to exceed the credit limit on any line of credit which may be authorized through use of the card.
  
• If the system was not working properly and you knew about the breakdown when you started the transfer.
  
• If the machine where you are making the transfer does not have enough cash.
  
• If circumstances beyond our control (such as fire or flood) prevent the transfer, despite reasonable precautions that we have taken.
  
• If the funds are subject to legal process or other encumbrance restricting such transfer.

D. Pre-authorized Transfers.

1. Right to stop payment and procedure for doing so. If you have told us to make regular payments out of your account, you can stop any of these payments by contacting us at 617-268-8880 or write: MT. WASHINGTON BANK, P.O. BOX 101, 455 WEST BROADWAY, SOUTH BOSTON, MA 02127 in time for us to receive your request three (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 fourteen (14) days after you call. Once we have processed your stop payment request, we will stop all payments, in the amount indicated by you, to the third party named in your request, unless you instruct us in writing to resume making payments.
   
2. Notice of varying amounts. If these regular payments may vary in amount, the person you are going to pay will tell you, ten (10) days before each payment, when it will be made and how much it will be. However, you may choose instead to get this notice only when the payment would differ by more than a stated amount from the previous payment, or when the amount would fall outside certain limits that you have set.
   
3. Liability for failure to stop payment of pre-authorized transfer. If you order us to stop one of these payments three (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.

E. Your Right to Receive Documentation of Transfers.

1. Terminal transfers. You can get a receipt at the time you make any transfer to or from your account when you use a Mt. Washington Bank 24 Hour Banking machine.
   
2. 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 617-268-8880 to find out whether or not deposit has been made.
   
3. Periodic statements. You will be sent monthly account statements on our statement type accounts.
   
4. Passbook Accounts where the only possible electronic funds transfers are pre-authorized credits. If you bring your passbook to us, we will record any electronic deposits that were made to your account since the last time you brought in your passbook. No electronic funds debits are allowed on passbook accounts.

F. Evidence.

Any documentation provided to you which indicates that an Electronic Funds Transfer was made shall be admissible as evidence of such transfer and shall constitute prima-facie proof that such transfer was made.

G. Disclosure of Account Information to Third Parties.

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 condition and existence 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, affiliates, 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 the Massachusetts General Laws; or
   
7. by your written authorization which shall automatically expire forty five (45) days after our receipt of your authorization.

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

H. Business Days.

Our business days are Monday through Friday. Holidays are not included.

I. Charges, Minimum Balance, and Account Maintenance.

Please refer to our Deposit Account Disclosure and Schedule of Fees concerning charges, minimum balance requirements, account maintenance fees, and rates of interest.

J. Terminating this Agreement.

If you wish to terminate this Agreement, notify us by writing to us at MT. WASHINGTON BANK, P.O. BOX 101, 455 WEST BROADWAY, SOUTH BOSTON, MA 02127. We may also terminate this Agreement at any time.

K. Amendments.

We have the right to change this Agreement from time to time. We will notify you at least thirty (30) days before a change will take effect if it will cause you greater costs or liability, or if it will limit your ability to engage in electronic transfers. We do not have to notify you in advance, however, if the change is necessary for security reasons.

L. Rules, Regulations, and Other Agreements.

Your accounts may also be governed by other agreements between you and this Bank. If any terms or other agreements are in conflict with the terms of this Agreement, the terms in this Agreement shall be followed.

M. Notices.

All notices from us will be effective when we have mailed them or delivered them to the last address that we have for you in our records. In the case of a joint account, notice to or from one account holder will be effective for all the account holders.

N. Collection Expenses.

If we take legal action, such as the filing of a lawsuit, to collect what you owe us, you will pay our reasonable expenses, including attorney’s fees.

O. Laws Applicable to the Agreement.

The laws of the Commonwealth of Massachusetts and any applicable Federal laws will apply to this Agreement. If any terms of the Agreement cannot legally be enforced, the Agreement is considered changed to the extent necessary to comply with the laws.

II. The Mt. Washington ATM and ATM/Debit MasterCard™, Teller Telebanking Banking Line, and Online Banking Agreement

A. Your card and PIN:

To use the Mt. Washington ATM and ATM/Debit MasterCard™ Card service, you must have an access card and a Personal Identification Number (PIN). By using your access card, you are legally bound by this agreement.

B. Your Selected Accounts.

You can request a Mt. Washington ATM and ATM/Debit MasterCard™ Card to access a Checking Account; Statement Savings Account; and Business Checking Accounts. The word “selected” will be used to describe the bank accounts to which you properly request the card to access.

C. Using the Mt. Washington ATM and ATM/Debit MasterCard™.

Your access card and PIN can be used at our machines and Cirrus®, NYCE, Allpoint and other locations made available from time to time for the following purposes, to the extent the law allows:

1. Cash withdrawals. obtain withdrawals and to charge them to your selected Checking or Savings Account.

2. Deposits. To make deposits to your selected Checking, Business Checking and Savings account at Mt. Washington 24 Hour Banking machines. Deposits are subject to verification and collection.

3. Transfers between accounts. To transfer funds from your checking or statement savings account to another checking or statement savings account with your ATM or ATM/Debit MasterCard™ Debit Card.

4. Balance inquiries. check the balance of any selected Checking, Business Checking or Savings Account.

5. Payments. To make payments on any loan account you have with us by enclosing the appropriate payment stub and cash or a check made payable to us at Mt. Washington 24 Hour Banking machines.

6. Locations. Some of these services may not be available at all locations.

7. Types of Mt. Washington Bank ATM and ATM/Debit MasterCard™ Card Point-of-Sale Transactions. You may access your checking account to purchase goods (in person or by phone), pay for services (in person or by phone), get cash from a merchant, if the merchant permits, or from a participating financial institution, and do anything that you can do with a credit card (that a participating merchant will accept with a credit card).

8. Mt. Washington Bank ATM/Debit MasterCard™ Card Transaction Dollar Limitations. You may use your card any number of times each day up to the available balance or your daily debit card point of sale (POS) limit ($1,000) or the customer requested lesser amount, whichever is less. You may request an increase to your daily purchasing limit.

9. Currency Conversion. If you effect a transaction with your ATM/Debit MasterCard™ 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.

10. Advisory Against Illegal Use. You agree not to use your card 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.

D. Online Banking - Types of Transactions.

You may access your accounts by computer by using a User ID and password that you select to:

• transfer funds from checking, statement savings or money market accounts to another checking, statement savings or money market account
  
• make payments from checking, statement savings or money market accounts to loan accounts with us
  
• make payments from checking to third parties
  
• view your statement electronically
  
• get information about:
  • the account balance of your checking, savings, money market accounts, or loan
  • the last thirty (30) days history of your account including withdrawals, deposits, and checks

E. Telebanking Line - Types of Transactions.

You may access your account by telephone 24 hours a day at 617-268-1646 using a personal identification number (PIN), a touch tone phone, and your account numbers to:

• transfer funds from checking, statement savings or money market accounts to another checking, statement savings or money market account
  
• make payments to your mortgage or consumer loan from your checking, statement savings or money market accounts
• get information about:
  • the account balance of your checking, savings, money market accounts, mortgage or loan
  • recent checks cleared, deposits, withdrawals and interest earned or paid
    

F. Limitations of transfers between your accounts and/or third parties.

We are required by Federal regulations to limit the number of pre-authorized, automatic, telephone and computerized transfers from savings accounts and money market accounts to other accounts of yours or to third parties. For a money market account, the limit is six per monthly statement period, no more than three of which may be by check. For statement savings accounts, the limit is six transfers per monthly statement.

G. Receipt and Periodic Statements.

A receipt will be provided by Mt. Washington 24 Hour Banking for financial transactions made with your access card at the machine. You will also get monthly account statements showing your Mt. Washington 24 Hour Banking transactions.

H. Additional Limits on Using Mt. Washington ATM and ATM/Debit MasterCard™ Banking.

We will not be required to complete a withdrawal or transfer from your selected Checking or Savings Account if you do not have enough collected funds in the account, free of legal restrictions, to cover the transaction. We may complete the transaction, however, if:

• You agree not to use your access card for a transaction that would cause a withdrawal or transfer from an account that you do not have or have not selected.

We will not be required to complete any such transaction, but if we do, you agree to pay us the excess amounts of improperly withdrawn or transferred funds immediately upon request.

Withdrawals and cash advances made at Mt Washington 24 Hour Banking machines must be in multiples of $20. Other locations made available may allow withdrawals and cash advances in multiples of other than $20.

You may use the Mt. Washington ATM and ATM/Debit MasterCard™ Card to withdraw a maximum of $500 per day, if approved by the Bank or $50 if you select this lower limit for your card, from all your selected accounts combined. We may limit or refuse to complete a transaction when necessary for security reasons.

I. Liability for Unauthorized Transfers.

Tell us AT ONCE if you think your card, your PIN or both, have been lost, stolen or used without your permission. Telephoning is the best way of minimizing your possible losses. You may call collect if necessary. You can lose no more than $50 if you fail to give us notice of your lost or stolen card or PIN and your card or PIN is used without your permission.

If you think your card, your PIN or both, have been lost or stolen or that someone has transferred or may transfer money from your account without your permission, call us at (617) 268-8880 during normal business hours, or call (866) 546-8273 during non-business hours or write us promptly at MT. WASHINGTON BANK, P.O. BOX 101, 455 WEST BROADWAY, SOUTH BOSTON, MA 02127.

Your liability for unauthorized use of your debit card with the MasterCard logo [when it is used as an ATM & ATM/Debit MasterCard™ Card] will not exceed (A) $0 if the conditions set forth below have been met or (B) the lesser of $50 or the amount of money, property, labor or services obtained by the unauthorized use before notification to us. Zero liability will apply only if: (a) you report the loss or theft of your card within 24 hours of discovering it lost or stolen; and (b) you can demonstrate that you have exercised reasonable care in safeguarding your card from risk of loss or theft; and (c) you have not reported two or more incidents of unauthorized use to us within the preceding twelve (12) months, and (d) your account is in good standing.

“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. Remember to report your card lost or stolen or any unauthorized transactions immediately. This will help prevent unauthorized access to your account and minimize any inconvenience.

J. If Your Card or PIN is Lost or Stolen.

If you believe that your Card and/or Personal Identification Number (PIN) has been lost or stolen, or that someone has withdrawn or transferred or may withdraw or transfer money from your Account or has made purchases or may make purchases without your permission, call one of our Ultimate Service Center representatives at (617) 268-8880.

K. Joint Requests.

If more than one person signed your request for Mt. Washington 24 Hour Banking services, each person will be bound by this Agreement with respect to individual or joint accounts in that person’s name.

L. Terminating the Cardholder Agreement.

You may terminate this Cardholder Agreement at any time. Notify us by writing to MT. WASHINGTON BANK, P.O. BOX 101, 455 WEST BROADWAY, SOUTH BOSTON, MA 02127 and discontinue use of your access card and PIN. We may also terminate this Agreement at any time. If this Cardholder Agreement is terminated, we shall no longer be obligated to complete transactions involving your use of the card. Whether you terminate this Agreement or we do, the termination will not affect your obligations under this Agreement, even if we allow Mt. Washington 24 Hour Banking transactions to be completed after this Agreement has been terminated.

M. Notice Regarding ATM Fees by Others.

If you use an ATM (automated teller machine) that is not operated by us, you may be charged a fee by the operator of the machine and/or by an automated transfer network.

N. Automated Clearinghouse Transactions.

Under certain circumstances, you may authorize a merchant or payee to initiate a one-time electronic funds transfer (EFT) from your account through an automated clearinghouse. You can do this, for example, (1) by providing the merchant or payee with a blank, partially completed or fully completed and signed check drawn on your account to capture certain information, such as our routing number, your account and serial numbers, or (2) by authorizing the merchant or payee to electronically debit your account for a returned check or other similar charge if you write a check on your account which is subsequently returned because of insufficient funds in your account. We are not responsible for any failure by the merchant or other payee to notify you that a transaction will be processed as an EFT or that a fee imposed for returned checks will be debited electronically from your account.