Internet Banking and Bill Paying Service Agreement

Information we collect about you

Internet Banking/Bill Paying Agreement
As used in this agreement, the words "you" and "your" refer to the account holder(s) and the words "the Bank”, "us" and "we' refer to Highlands State Bank®. If you are enrolling for bill pay services, all terms and conditions outlined below are applicable to you.

Internet Banking only:
You must have at least one Highlands State Bank® deposit account (excluding IRAs or Certificates of Deposit) to enroll in Internet Banking only. There are no service charges for use of this service.

Internet Banking & Bill Paying Service:
You must be enrolled in Internet Banking to have access to the bill paying service. There is no monthly service charge for use of this service. Please refer to our schedule of fees for information regarding miscellaneous charges that may apply.

Authorization:
By agreeing below, you authorize the Bank to provide account information, transfer funds between your accounts, make Highlands State Bank® loan payments from your deposit accounts with us, place stop payments on checks you have written and provide paid check images, in accordance with the provisions of this agreement. If you choose to enroll in the Internet Banking Bill Paying Service, you authorize Highlands State Bank® to charge your account(s) for any applicable miscellaneous service charges. By accessing Internet Banking, you accept the terms and conditions of this agreement.

Access ID and Passwords:
For access to Internet Banking, you must enter a User Identification Number and Password, which will be provided to you at the time of enrollment. The User Identification Number is assigned by the Bank and can be changed at your initial logon. The Bank will also assign a PIN (Personal Identification Number/Password) to use for your initial access into the system. For security purposes, you will be required to change your password at your initial logon to the system. Please remember that Bank employees will never ask you for your password. You understand that your User ID and PIN/Password is your electronic signature. It identifies you to us and authenticates and validates the direction given just as your actual signature.

You agree to maintain the confidentiality of your User ID and PIN. You authorize the Bank to honor any transfer requests and provide account information to anyone who provides the correct User ID and PIN. Furthermore, you agree to promptly notify the Bank if an unauthorized person has obtained your User ID and/or PIN, or if unauthorized transfers or errors appear on your account statement. You agree that your liability to the Bank for any and all transfers to and from your account(s), whether authorized or unauthorized, as well as your liability for failure to report unauthorized transfers or account errors is limited only by the provisions of the Electronic Funds Transfer Act.

Security:
The bank utilizes a secure server that supports 128-bit encryption to ensure that your personal information is safely transmitted over the internet. There are Firewalls installed to prevent unauthorized access of confidential information. There is also an automatic lockout feature which will automatically lock out an attempt to access account information after three failed logon attempts. In addition, the system will automatically timeout if your session activity remains idle for a period of twenty minutes. Please read our Privacy Policy for additional steps that we take to protect your personal information.

Account Access:
If you have enrolled in Internet Banking, you may access any of your accounts with us for the purpose of reviewing transactions or obtaining balance information. For personal accounts only, you may access any checking, savings, or money market account for the purpose of transferring funds and making loan payments. You may not transfer funds to or from an IRA or Certificate of Deposit. If you have enrolled in Internet Banking Bill Paying Service, you may access the checking account that your have authorized the Bank to use to pay bills for you.

Limitation on Frequency of Transfers:
You may access your accounts and make transfers at any time. Although there are no restrictions on the number of transfers you may make from your checking and interest bearing checking accounts, Federal Regulations limit the number of transfers which may be made from a money market or savings account to another account or third party by preauthorized, automatic or telephonic (including data transmission) transfer to six per month. Transfers made through Internet Banking from a money market or savings account count towards these limitations. Please refer to your deposit account disclosure for additional information.

Limitations on Dollar Amount of Transfers:
You may transfer up to the available balance in your account.

Processing of Transfers:
Transfers made before 7:00 p.m. Monday through Friday, excluding holidays, will be processed on the same day. Transfers made after 7:00 p.m. or on a weekend or holiday will be processed on the next business day. Telephone instructions to make a transfer cannot be canceled after the system has accepted them.

Regulations:
Transfers made in accordance with this Agreement, and all rights and liabilities of both you and the Bank, are subject to the provisions of the Electronic Fund Transfer Act or Fair Credit Reporting Act. You were provided with a copy of the Electronic Fund Transfers Disclosure when you opened your account. You should review this disclosure prior to performing transfers through Internet Banking and Bill Pay Service as it gives general information outlining your rights and responsibilities for these transactions.

Stop Payments:
You may place a stop payment, utilizing Internet Banking, on any check that you have written. If you do, you agree to the following terms and conditions:

The information on the stop payment must precisely identify the check number, the payee and the amount of the check. If you do not give exact information, the Bank assumes no responsibility for stopping payment.
The stop payment must be received in time to give us a reasonable time to act upon it. Stop payments received before 7:00 p.m. on Monday through Friday, excluding legal holidays are processed on the day received. Stop payments received after 7:00 p.m. or on a weekend or legal holiday will be processed on the n ext business day.
A stop payment must be received before the check has been presented for payment.
The stop payment order is effective for six months unless renewed through Internet Banking or in writing before the expiration of six months. If the stop payment order is not renewed before the expiration of six months. It will automatically terminate and the Bank is free to pay the check. In such an instance, you hereby agree to release and do waive any and all claims against the Bank with respect to the stop payment order or the check itself and you further agree to indemnify and hold the Bank harmless with regard to any and all claims involving the stop payment order and/or check, which includes the Bank's reasonable attorney fees and costs.
You understand that there may be claims or demands made against the Bank as a result of your request to the Bank. You agree that you will defend the Bank and will be responsible to the Bank if any claim or demand of whatever nature, is made against the Bank with respect to a stop payment order and/or the check itself.
You agree to indemnify and defend the Bank and to reimburse the Bank for any reasonable costs, expenses or attorney's fees that the Bank may incur in defending itself against any such claims or demands.
You understand that the Bank will use all reasonable efforts to comply with a stop payment order. However, you understand fully that unless the check number, the payee and the amount of the check are correctly entered on the stop payment order, the Bank assumes no responsibility for stopping payment and is not liable to you if a stop payment cannot be accomplished.
You agree to pay a $20.00 stop payment fee for each new stop payment and for each renewal of a stop payment entered through Internet Banking.
You must contact the Bank to stop payment on automatic debits processed by the Automated Clearing House (ACH), as this request requires additional documentation to be completed.

Miscellaneous:
We reserve the right to temporarily suspend this service at any time without prior warning. Our liability for failing to make a transfer under this Agreement is specifically limited by the Electronic Fund Transfer Act, as well as all other applicable federal and state law. The provisions of this Act are outlined in your Electronic Funds Transfer Disclosure.

Termination:
This agreement will remain in effect until you or the Bank terminates it. A termination by you will not be effective until the Bank has received from you a signed written notice of the termination and has had reasonable time to act upon it. If there is no activity on your Internet Banking service for a period of 180 days, the Bank will terminate your service. If we do this, you will be required to re-enroll in this service.

Amendments:
The Bank reserves the right to change any terms or fee disclosed in this agreement upon twenty-one days written notice to you.

Continuing Effect:
This agreement shall be governed by and construed and enforced in accordance with the laws of the State of New Jersey. In the event any provision of this agreement conflicts with state or federal law or is held to be invalid by a court, the remainder of the agreement will continue to be valid.

Acknowledgement:
By submitting this Agreement, you acknowledge that you have read, understand, and accept the terms and conditions of this agreement. You may print out a copy for your records. You certify that all information provided is accurate.