TABLE OF CONTENTS

Welcome
Who We Are
Definitions
FDIC Insurance
GENERAL TERMS OF YOUR ACCOUNT
Important Information About Procedures for Opening a New Account
Unlawful Internet Gambling Notice
Amendments and Termination
No Waiver of Agreement
Your Waiver of Notice
Liability
Arbitration
Governing Law
Conditions of Your Deposit
Statement of Your Account
Costs, Services and Maintenance Charges
Right of Offset
Security Interest
Signature Authorizations
Appointment of Attorney In Fact
Power of Attorney
Legal Actions Affecting Your Account
Resolving Account Disputes
Transfer of Ownership
Notice of Withdrawal
Withdrawals
Customer's Death or Incompetence
Fraudulent Activity
Claim of Loss
Endorsements
Monitoring and Recording Telephone Calls
Telephonic Instructions
Direct Deposits
Deposits
Foreign Transactions
Backup Withholding/TIN Certification
CHECKING ACCOUNTS
Checking Accounts
Stop Payment Requests
Order In Which Items Are Paid
Check Processing
Restrictive Legends
Re-Presented Checks
Remotely Created Checks
Post-Dated Checks
Stale-Dated Checks
Checks and Withdrawal Rules
Electronic Check Conversions
Overdrafts
ACCOUNT OWNERSHIP TYPES
Ownership of Account and Beneficiary Designation
Single Account
Joint Account With Right of Survivorship
Joint Account Without Right of Survivorship
All Joint Accounts With or Without Right of Survivorship
Trust or P.O.D. Account
Uniform Transfers to Minors Act Account
Agency Account
Non-Probate Assets
SUBSTITUTE CHECKS AND YOUR RIGHTS
SERVICES
Wire Transfers
Night Depository
Telephone Transfers
Check Cashing
SAVINGS AND MONEY MARKET ACCOUNTS
Transfer Limitations
Waivers
Health Savings Account (HSA)
ATM/DEBIT CARD
Termination
Other Agreements
Security
INACTIVE OR ABANDONED DEPOSIT ACCOUNTS
Inactive Account Charges
Abandoned Checking and Savings Accounts
Abandoned Time Deposit Accounts
Payment of Interest Will Cease
Balance Forwarded To The State
ELECTRONIC FUNDS TRANSFERS
FUNDS AVAILABILITY POLICY

DEPOSIT ACCOUNT AGREEMENT
WASHINGTON CONSUMER ACCOUNTS

WELCOME - Thank you for opening an account with us. The Deposit Account Agreement ("Agreement") and Terms and Conditions ("Terms") provide the general rules that apply to deposits and accounts with us. You and we agree to the Agreement and Terms when you sign a signature card or deposit contract for your account or when you make a deposit. The terms of your agreement with us include the terms contained in this Agreement and Terms and the terms of any additional agreements applicable to certain bank services and/or certain types of accounts we offer. Our relationship with you is also governed by the laws of the States in which we operate and the federal laws of the United States. If there is a conflict between any terms of this Agreement or Terms and any of those laws, the conflicting term will be deemed to be severed from the Agreement and Terms, and the remaining terms will be enforced as written.

WHO WE ARE - We are Columbia State Bank, a Washington chartered commercial bank. We are owned by Columbia Banking System, Inc. We also operate under one or more trade names including Columbia Bank and Bank of Astoria. When you bank with Columbia Bank or Bank of Astoria, you are banking with Columbia State Bank. Deposits with Columbia Bank or Bank of Astoria are not insured separately by the FDIC.

DEFINITIONS - The words "you" and "your" mean, for individuals, including sole proprietorships and fiduciaries, the person or persons, authorized to sign on the account, and for partnerships, corporations, limited liability companies, limited liability partnerships, fiduciary accounts, unincorporated associations, and Native American Tribes, the entity in whose name the account is carried. The words "bank", "us", "our", "Columbia Bank" and "Bank of Astoria" mean Columbia State Bank.

FDIC INSURANCE - Funds in your account(s) with us are insured by the Federal Deposit Insurance Corporation (FDIC) and backed by the full faith and credit of the United States. The amount of insurance coverage you have depends on the number of accounts you have with us that are of different "ownership." An individual account is one unique form of "ownership"; a joint account, a pay-on-death account, and a self directed qualified retirement account (e.g., an IRA) are examples of some of the others. Deposit insurance for a person's self directed qualified retirement account is up to $250,000. (An IRA is a self directed qualified retirement account as is any account where the owner decides where and how to invest the balance.) Deposit insurance for the other ownerships is at least $250,000 per interest of the owner. If you want a more detailed explanation or additional information, you may ask us or contact the FDIC. You can also visit the FDIC website at www.fdic.gov and click on the Deposit Insurance link. The link includes detailed contact information as well as a deposit insurance estimator.

GENERAL TERMS OF YOUR ACCOUNT

IMPORTANT INFORMATION ABOUT PROCEDURES FOR OPENING A NEW ACCOUNT - To help the government fight the funding of terrorism and money laundering activities, federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account.

What this means to you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver's license or other identifying documents. Also, federal law and our policies require that we obtain your social security or tax identification number when you open or maintain an account with us.

Even if you have been a customer with us for some time, we may still ask you for this information and documentation because we may not have done so in the past. By requesting to open an account with us, or by agreeing to be a signer on an account or obtaining any other service from us, you (and, if acting in a representative capacity, individually and for such entity) agree that we may obtain credit information from check or credit reporting agencies, and/or by any other means. We may do so at the time you open the account, at any time while your account is open, or after your account is closed if you owe us any amounts related to your account.

If you do not handle your account in a satisfactory manner and/or it is necessary to charge off your account as a loss, we will report such negative information to check or credit reporting agencies.

UNLAWFUL INTERNET GAMBLING NOTICE - Restricted transactions as defined in Federal Reserve Regulation GG are prohibited from being processed through this account or relationship. Restricted transactions generally include, but are not limited to, those in which credit, electronic fund transfers, checks, or drafts are knowingly accepted by gambling businesses in connection with the participation by others in unlawful Internet gambling.

AMENDMENTS AND TERMINATION - We may change any term of this Agreement. Rules governing changes in interest rates are provided separately in the Truth-in-Savings disclosure or in another document. 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. Items presented for payment after the account is closed may be dishonored. When you close your account, you are responsible for leaving enough money in the account to cover any outstanding items to be paid from the account. Reasonable notice depends on the circumstances, and in some cases such as when we cannot verify your identity or we suspect fraud, it might be reasonable for us to give you notice after the change or account closure becomes effective. For instance, if we suspect fraudulent activity with respect to your account, we might immediately freeze or close your account and then give you notice. You agree to keep us informed of your current address at all times. Notice from us to any one of you is notice to all of you. If we have notified you of a change in any term of your account and you continue to have your account after the effective date of the change, you have agreed to the new term(s).

We may refuse to open any account and may close your account at any time for any reason or for no reason at all. If you close an interest bearing account before accrued interest is paid the accrued interest will be forfeited.

NO WAIVER OF AGREEMENT - No waiver of this Agreement or any part of this Agreement is valid unless it is in writing and signed by an authorized officer of ours. Delayed enforcement of any part of this Agreement does not constitute a waiver. Waiver of any part of this Agreement at any one time does not stop us from exercising its terms at any other time.

YOUR WAIVER OF NOTICE - You waive notice of non-payment, dishonor or protest regarding any items credited to or charged against your account.

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 Services & Fees Schedule. 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. You will also be liable for our costs to collect the deficit as well as for our reasonable attorneys fees, to the extent permitted by law, whether incurred as a result of collection or in any other dispute involving your account including, but not limited to, disputes between you and another joint owner; you and an authorized signer or similar party; or a third party claiming an interest in your account.

You agree that except as provided in this Agreement and to the extent allowed by law, we are not liable for any indirect, incidental, special, consequential or punitive damages for any error or mistake we make in good faith. The limitation applies to any damages that might be in contract or tort, and whether or not the consequences were foreseeable by us.

ARBITRATION - Either you or we may require that any dispute between you and us be resolved by binding arbitration in accordance with the Consumer Rules of the American Arbitration Association. Except as otherwise required by law, the decision of the arbitrator will be final and binding.

GOVERNING LAW - This Agreement will be governed by and construed in accordance with laws of our state of formation and federal banking laws.

CONDITIONS OF YOUR DEPOSIT - In receiving checks or other items for deposit or collection, we act only as your collecting agent and assume no responsibility beyond the exercise of ordinary care. Our verification of the accuracy of any deposit slip may be limited to adjustments in an amount established by us. Applicable law will govern the handling, collecting and holding of the items. We may refuse to accept or pay any item that we believe has been altered or amended in any manner.

If you deposit a check, draft, or any item other than cash, we have the right to clear it, that is, get paid by the bank it is drawn on before we make the money available to you. When the money will be available to you will vary. (see Funds Availability Policy).

If any item credited to your account is returned to us unpaid, we will send you a notice and charge the item back to your account. If there is not enough money in your account to cover the item, we may retain the item until you refund the amount of the difference to us. A charge back fee may also be charged to your account. If an item is returned to us unpaid because of insufficient funds, we may at our discretion and without notice to you, resubmit the item to the bank it is drawn on in order to collect the funds. Sending the item again to the original bank will not affect our right to charge your account for the amount of the item plus a charge back fee in the event the item is again returned to us unpaid. The applicable fees are reflected in the Services & Fees Schedule.

STATEMENT OF YOUR ACCOUNT - A statement of your account will be periodically prepared for you. You agree that each statement is considered to be made available to you from the moment the information that will appear in the statement is accessible by you, regardless of when it is sent or retrieved by you. For joint accounts, you agree that any statement made available to one joint owner or signer is deemed to have been made available to all joint owners or signers. Unless you ask otherwise, all statements, documents, or notices relating to your account will be mailed to your last address on file with us and will be considered delivered 3 days after mailing. You assume all responsibility for keeping your mailing address current with us and for all loss or miscarriage in the mails. If you ask to pick up your statement, it will be considered delivered when ready and may be mailed if you have not picked it up within one month of when it was ready.

When you choose to receive your checking account statement electronically thru Online Banking, we will stop sending you paper versions. If you select electronic statements, you will no longer receive images of your checks with your statement and we will email each signer who has requested an electronic statement when a new statement is available online. You are responsible for notifying us if you change your email address. If we do not have a valid email address for you, we cannot notify you when your statement and notices are available and will be forced to deliver your statement through the US Mail.

You should examine the statement of your account and related items as soon as they are available to you. You should compare the entries to your checkbook register with your statement. Copies of your cancelled checks are available upon request, and we may charge you for such a request. Refer to the Services & Fees Schedule for the applicable fee.

If you believe there has been an error on your statement, or if a check contains an unauthorized or forged signature, an alteration, or an unauthorized endorsement, you should report this to us immediately. In the case of an unauthorized or forged signature, an alteration, or an unauthorized endorsement, you agree that "report" means to inform us in writing by delivery of an Affidavit of Forgery or other written notice to the branch at which your account is kept. The notice must include the check number, date, and amount of each check or item in question. If you do not contact us regarding such discrepancies in writing within a reasonable time not to exceed 30 days of the date the statement was made available to you, you cannot make any claim against us for any such unauthorized or forged signature, alteration, or endorsement. The time periods will begin to run from the time your statement and related items are considered made available to you.

We will have no liability for any unauthorized facsimile signature, or for failure to discover a forgery, counterfeit check or alteration that a reasonable person could not discover.

COSTS, SERVICES AND MAINTENANCE CHARGES - We may charge you, and you agree to pay us service and maintenance charges on your account, whether the account is active or inactive. Along with this Agreement you received a Truth-in-Savings disclosure and Services & Fees Schedule which are part of this Agreement and Terms. All Agreements and Disclosures are also available at your branch. The maintenance charges and service fees may be changed by us at any time. We will give you prior notice of the changes if we are required to do so under applicable law. Your continued use of your account following any changes will constitute your agreement to these changes.

We may deduct, without notice, from your account any service, maintenance, or other charges, all costs, expenses, and fees (including reasonable attorneys fees) which we incur on your behalf as a result of your account or otherwise. We will not be liable for dishonoring your checks, transfers, or other withdrawal requests because we made the above deductions from your account.

You agree to indemnify us, our affiliates, and the directors, officers and employees of ours, and our affiliates, against all losses, costs, attorneys fees and any other liabilities that we incur by reason of responding to any legal action involving you or your account, regardless of the manner of such response, which manner is solely within our discretion. As part of the indemnity, if we incur liability to a creditor of yours as a result of our response or failure to respond to a legal action, you agree to pay to us on demand the amount of our liability to your creditor and to reimburse us for any expense, attorneys fees or other costs we may incur in collecting the amount from you. We will only be liable for willful violations of any duty to you which may arise by reason of the legal action.

RIGHT OF OFFSET - Except as limited by law, we have the right to offset amounts you owe us against your accounts with us. You give us the right, without demand or prior notice, to apply all or part of the money in your accounts with us, including, unless expressly prohibited by law, joint accounts, against any debt any one or more of you owe us now or in the future. Such a debt may include your obligations under a loan or guaranty and any fees you owe us. Our right of offset is in addition to, but subordinate to, a security interest that we may have in your account.

SECURITY INTEREST - You grant to us a security interest in all your accounts with us to secure any amount you owe us, now or in the future. We may enforce our security interest without demand or prior notice to you. We will not be liable to you if enforcing our security interest against your account(s) leaves insufficient funds to cover outstanding items or other obligations, or results in an overdraft. You agree to hold us harmless from any claims arising as the result of our security interest in, or enforcement of our security interest against your account.

You promise that you will not pledge a security interest in your account to any third party without our prior written consent. Any pledge of your account to a third party remains subject to our security interest and right of offset. No assignment is binding on us without our written approval of the assignment and our receipt of a signed copy of the assignment.

SIGNATURE AUTHORIZATIONS - Any signature appearing upon the signature card for your account authorizes the signer to access the account and conduct any transactions or business relating to your account subject to any limitations noted on that card. We may allow any signer, including a signer on a joint account, to add authorized signers to an account; however, we have the right to require the signature of all signers to make the change. Only under special circumstances and subject to prior approval by us, may a signer remove another signer from an account. No change in authorized signers is effective until we have received written notice of the change and have had adequate time to approve and act on it. You agree that we may treat any signature on a check or other item drawn on your account as authorized, regardless of whether the signer is designated as an authorized signer on a signature card, if the signer has actual, implied or apparent authority to act on your behalf. We may act on any signature we believe in good faith is authorized, and we will not be liable for our actions in doing so except in the extent required by law.

If you voluntarily give information about your account (such as our routing number and your account number) to a party that is seeking to sell you goods or services, any debit to your account initiated by the party to whom you gave your information is deemed authorized, even if you gave the information in error.

You authorize us to store and use signature card information in any reasonable form we deem necessary, including any digitized signature capture process.

If you use a facsimile signature or other form of mechanically reproduced signature (such as, but not limited to, desktop publishing, digitized, or computer software generated signature), you agree you will have the sole responsibility for maintaining security of the facsimile or mechanically reproduced signature and the device by which the facsimile or mechanically reproduced signature is affixed. You will bear the entire risk for unauthorized use of the signature or device whether or not you are negligent. You agree that no facsimile or mechanically reproduced signature we have been authorized to honor may be considered a forgery or an unauthorized signature, but that such facsimile or mechanically reproduced signature will be effective as your signature or endorsement whether or not you have been negligent. You further agree to indemnify and hold us harmless from and against any and all loss, costs, damage, liability, or exposure (including reasonable attorneys' fees) we or you may suffer or incur as a result of the unauthorized use, or misuse by any person of any such facsimile or mechanically reproduced signature or the devise by which it is affixed. If you use any form of facsimile or mechanically reproduced signature device, you agree to deliver a sample to us if we request it.

APPOINTMENT OF ATTORNEY IN FACT - In any account, if joint depositors are involved, each depositor appoints the other or each of the others as his or her attorney in fact to endorse all instruments to be deposited, to make deposits and withdrawals and to stop payment of checks or other items against the account. It is the intent of each joint depositor that the authority conferred on the other or others can be exercised notwithstanding the depositors disability or incapacity or any uncertainty as to whether or not he or she is living.

POWER OF ATTORNEY - You may wish to appoint an agent to conduct transactions on your behalf. (We, however, have no duty or agreement whatsoever to monitor or insure that the acts of the agent are for your benefit.) This may be done by allowing your agent to sign in that capacity on the signature card or by separate form, such as a power of attorney. A power of attorney continues until your death or the death of the person given the power. If the power of attorney is not "durable," it is revoked when you become incompetent. We may continue to honor the transactions of the agent until: (a) we have received written notice or have actual knowledge of the termination of the authority or the death of an owner, and (b) we have had a reasonable opportunity to act on that notice or knowledge. You agree not to hold us responsible for any loss or damage you may incur as a result of our following instructions given by an agent acting under a valid power of attorney.

LEGAL ACTIONS AFFECTING YOUR ACCOUNT - If we are served with a subpoena, restraining order, writ of attachment or execution, levy, garnishment, search warrant, or similar order relating to your account (termed "legal action" in this section), we will comply with that legal action. Or, in our discretion, we may freeze the assets in the account and not allow any payments out of the account until a final court determination regarding the legal action. We may do these things even if the legal action involves less than all of you. In these cases, we will not have any liability to you if there are insufficient funds to pay your items because we have withdrawn funds from your account or in any way restricted access to your funds in accordance with the legal action. Any fees or expenses we incur in responding to any legal action (including, without limitation, attorneys' fees and our internal expenses) may be charged against your account. The Services & Fees Schedule applicable to your account(s) provided elsewhere may specify additional fees that we may charge for certain legal actions.

RESOLVING ACCOUNT DISPUTES - We may place an administrative hold on the funds in your account (refuse payment or withdrawal of the funds) if it becomes subject to a claim adverse to (1) your own interest; (2) others claiming an interest as survivors or beneficiaries of your account; or (3) a claim arising by operation of law. The hold may be placed for such period of time as we believe reasonably necessary to allow a legal proceeding to determine the merits of the claim or until we receive evidence satisfactory to us that the dispute has been resolved. We will not be liable for any items that are dishonored as a consequence of placing a hold on funds in your account for these reasons.

TRANSFER OF OWNERSHIP - Your account is not transferable except on our books and records. If you would like to transfer ownership of your account, we may require that the account be closed and a new account be opened.

NOTICE OF WITHDRAWAL - We reserve the right to 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 Regulation D. (The law requires us to reserve this right, but it is not our general policy to use it.) 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.

WITHDRAWALS - We may require that your withdrawal orders be written in ink. Withdrawals may be made, subject to the limitations below, only through payment to you or as follows:

Interest may be paid to a third person according to written instruction or assignment by you, accepted by us, and placed on file.

CUSTOMER'S DEATH OR INCOMPETENCE - You agree to notify us promptly if any person with a right to withdraw funds from your account(s) dies or becomes legally incompetent. We may continue to honor your checks, items, and instructions until: (a) we know of your death or incompetence, and (b) we have had a reasonable opportunity to act on that knowledge. You agree that we may pay checks drawn on or before the date of death or legal incompetence for up to ten (10) days after we became aware of your death or legal incompetence unless ordered to stop payment by someone claiming an interest in the account.

FRAUDULENT ACTIVITY - You agree to safeguard your checks which are magnetically encoded with your unique account number. You agree to assume full responsibility for the unauthorized use of your checks, including unauthorized signatures and alterations, where you did not use ordinary care in controlling access to your checks, accounting for your checks, promptly reviewing your bank statement for unauthorized activity, or where your lack of ordinary care contributed to the unauthorized use of your account.

Should you experience fraudulent activity on your account we may require you to close that account and reopen a new account. We may also require you to use (and pay for) our positive pay services to prevent future fraud. You agree that if you refuse either of these requirements, we will have no liability whatsoever to you or any other person with respect to future fraudulent activity of any kind relating to your account regardless of whether the future fraud is of the same type or is caused by the same person as the activity that triggered these requirements. You also agree to file a police report concerning any fraudulent activity.

If you voluntarily give information about your accounts (such as our routing number and your account number) to a party who is seeking to sell you goods or services, and you do not physically deliver a check to the party, any debit to your account initiated by the party to whom you gave the information is deemed authorized by you.

CLAIM OF LOSS - If you claim a credit or refund because of a forgery, alteration, or any other unauthorized withdrawal, you agree to cooperate with us in the investigation of the loss, including giving us an affidavit containing whatever reasonable information we require concerning your account, the transaction, and the circumstances surrounding the loss. You will notify law enforcement authorities of any criminal act related to the claim of lost, missing, or stolen checks or unauthorized withdrawals. We will have a reasonable period of time to investigate the facts and circumstances surrounding any claim of loss. Unless we have acted in bad faith, we will not be liable for special or consequential damages, including loss of profits or opportunity, or for attorneys' fees incurred by you.

You agree that you will not waive any rights you have to recover your loss against anyone who is obligated to repay, insure, or otherwise reimburse you for your loss. You will pursue your rights or, at our option, assign them to us so that we may pursue them. Our liability will be reduced by the amount you recover or are entitled to recover from these other sources.

ENDORSEMENTS - We may accept for deposit any item payable to you or your order, even if they are not endorsed by you. We may give cash back to any one of you. We may supply any missing endorsement(s) for any item we accept for deposit or collection, and you warrant that all endorsements are genuine.

To ensure that your check or share draft is processed without delay, you must endorse it (sign it on the back) in a specific area. Your entire endorsement (whether a signature or a stamp) along with any other endorsement information (e.g. additional endorsements, ID information, driver's license number, etc.) must fall within 1 1/2" of the "trailing edge" of a check.

As you look at the front of a check, the "trailing edge" is the left edge. When you flip the check over, be sure to keep all endorsement information within 1 1/2" of that edge.

It is important that you confine the endorsement information to this area since the remaining blank space will be used by others in the processing of the check to place additional needed endorsements and information. You agree that you will indemnify, defend, and hold us harmless for any loss, liability, damage or expense that occurs because your endorsement, a prior endorsement or information you have printed on the back of the check obscures our endorsement.

These endorsement guidelines apply to both personal and business checks.

MONITORING AND RECORDING TELEPHONE CALLS - We may monitor or record phone calls for security reasons and to ensure that you receive courteous and efficient service. You consent in advance to any such recording. We need not remind you of our recording before each phone conversation.

TELEPHONIC INSTRUCTIONS - Unless we have agreed otherwise in writing, we are not required to act upon instructions you give us via facsimile transmission or leave by voice mail or on a telephone answering machine.

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 our liability.

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"). Before settlement of any item becomes final, we act only as your agent, regardless of the form of endorsement or lack of endorsement on the item and even though we provide you provisional credit for the item. We may reverse any provisional credit for items that are lost, stolen, or returned. 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 business day that we are open. At our option, we may take an item for collection rather than for deposit. If we accept a third-party check for deposit, we may require any third-party endorsers to verify or guarantee their endorsements, or endorse in our presence.

FOREIGN TRANSACTIONS - Transactions must be in U.S. Dollars. If you use an automated teller machine (ATM) or conduct a point-of-sale (POS) transaction or electronic funds transfer in a foreign country, or write a check in a foreign currency, and we choose at our option to process the transaction, we will charge the item against your account at the foreign exchange rate imposed on us when we receive the item. It you receive a credit or deposit a check or electronic fund transfer to your account in foreign currency, we may at our option, reject, accept, or accept on a collection basis, and if accepted, credit your account at the foreign currency exchange rate imposed on us on the day of the credit or deposit. This exchange rate may be different from the exchange rate in effect on the day you made or accepted the debit, credit, or check transaction and a transaction fee may be charged. If any debit or credit is reversed for any reason, we will reverse the transaction at the foreign exchange rate imposed on us on the date of the reversal. Visa Debit Card transactions made in currencies other than U.S. Dollars will be converted to U.S. Dollars under Visa® regulations. This International Service Assessment (ISA) fee will appear as a separate transaction on your monthly deposit account statement.

BACKUP WITHHOLDING/TIN CERTIFICATION - Federal tax law requires us to report interest payments we make to you of $10 or more in a year, and to include your taxpayer identification number (TIN) on the report (the taxpayer identification number is your social security number if you are an individual). Interest includes dividends, interest and bonus payments for purposes of this rule. Therefore, we require you to provide us with your TIN and to certify that it is correct. In some circumstances, federal law requires us to withhold and pay to the IRS a percentage of the interest that is earned on funds in your accounts. This is known as backup withholding. We will not have to withhold interest payments when you open your account if you certify your TIN and certify that you are not subject to backup withholding due to underreporting of interest. (There are special rules if you do not have a TIN but have applied for one, if you are a foreign person, or if you are exempt from the reporting requirements.) We may subsequently be required to begin backup withholding if the IRS informs us that you supplied an incorrect TIN or that you underreported your interest income.

CHECKING ACCOUNTS

CHECKING ACCOUNTS - Your interest bearing checking account may consist of a master account with two sub-accounts. This in an internal accounting procedure related to the regulatory reserve calculation and will not affect the availability of funds, interest rate, or the fee structure of your account.

STOP PAYMENT REQUESTS - You may request that we stop payment on a check, draft, or similar paper instrument drawn against your account. We will charge your account a stop payment fee, as reflected in the Services & Fees Schedule, which is in effect at the time the request is made. We may accept your request by oral, written, or electronic means. When using electronic (online) means to perform stop payment requests, it is your responsibility to verify that the item has not already been paid before the stop payment request is made. If the stop payment request was taken verbally you may be required to confirm the request in writing within 14 days of the original request. If this is a joint account, we will accept a stop payment request from any joint owner regardless of who signed the check.

You must allow us a reasonable opportunity to act on a stop payment request before we take any other action on the instrument. Any stop order must include your account number, the number and date of the check, the name of the payee, and the exact amount. All information you give us must be correct and accurate. You will receive a notice on your account asking you to verify the accuracy of this stop payment information. If we do not hear from you, we assume the information is correct and we will keep the stop payment in effect for six months. We will not be responsible if the payment cannot be stopped because information on the form is not correct and you fail to notify us or fail to give any other reasonable information regarding the item. Requests to remove a stop payment from your account must be confirmed in writing.

You acknowledge that you have no right to stop payment on a cashier's check, official check, teller's check or other check that is not drawn on your account.

ORDER IN WHICH ITEMS ARE PAID - The law permits us to pay items drawn on your account in any order (for purposes of this section "items" means checks, orders and electronic transactions). To assist you in handling your account with us, we are providing you with the following information regarding how we process those items.

We pay items on your account each day in the following processing order: Lobby checks, point-of-sale transactions, ATM transactions, checks you have written and then Automatic Clearing House (ACH) transactions. Each transaction category pays low to high dollar amount first.

CHECK PROCESSING - We may process items mechanically by relying on the information encoded along the bottom of the items. This means that we may not individually examine all of your items to determine if the item is properly completed, signed and endorsed. You agree that we have not failed to exercise ordinary care solely because we use an automated system to process items and do not inspect all items processed in such a manner. We reserve the right not to inspect each item because using an automated process helps us keep costs down for you and all account holders. We may determine the amount of available funds in your account for the purpose of deciding whether to return an item for insufficient funds at any time between the time we receive the item and when we return the item or send a notice in lieu of return. We need only make one determination, but if we choose to make a subsequent determination, the account balance at the subsequent time will determine whether there are insufficient available funds.

RESTRICTIVE LEGENDS - The automated processing of the large volume of checks we receive prevents us from inspecting or looking for special instructions or "restrictive legends" on every check. Examples of restrictive legends placed on checks are "must be presented within 90 days" or "not valid for more than $1,000.00." For this reason, we are not required to honor any restrictive legend placed on checks you write unless we have agreed in writing to the restriction. We are not responsible for any losses, claims, damages, or expenses that result from your placement of these or other special instructions on your checks.

RE-PRESENTED CHECKS - If a merchant or payee electronically re-presents a paper check that was returned because you did not have enough money in your account, the transaction is not covered by the Electronic Funds Transfer Act. Checks that are re-presented will not be included with your statement. A merchant may electronically collect a fee associated with a re-presented check. If collected from a consumer account, the fee is covered by the Electronic Funds Transfer Act and subject to the Electronic Funds Transfer Agreement and Disclosure below. The fee will appear on your statement.

REMOTELY CREATED CHECKS - Like any standard check or draft, a remotely created check (sometimes called a telecheck, preauthorized draft or demand draft) is a check or draft that can be used to withdraw money from an account. Unlike a typical check or draft, however, a remotely created check is not issued by the paying bank and does not contain the signature of the account owner (or a signature purported to be the signature of the account owner). In place of a signature, the check usually has a statement that the owner authorized the check or has the owner's name typed or printed on the signature line. For example, if a person provides an account number in response to a telephone solicitation, the telephone solicitor can use the account number to issue a remotely created check to withdraw money from that account.

You warrant and agree to the following for every remotely created check we receive from you for deposit or collection: (1) you have received express and verifiable authorization to create the check in the amount and to the payee that appears on the check; (2) you will maintain proof of the authorization for at least 2 years from the date of the authorization, and supply us the proof if we ask; and (3) if a check is returned you owe us the amount of the check, regardless of when the check is returned. We may take funds from your account to pay the amount you owe us, and if there are insufficient funds in your account, you still owe us the remaining balance.

POST-DATED CHECKS - We may choose to dishonor a post-dated check if we receive advance notice from you in such a time and manner as to afford us a reasonable opportunity to do so. However, we will not be liable to you for any reason if we pay or refuse to pay post-dated checks before the date on such check, even if we have notice that it is post-dated.

STALE-DATED CHECKS - We are not obligated to, but may at our option, pay a check, other than a certified check, presented for payment more than six months after its date. If you do not want us to pay a stale-dated check, you must place a stop-payment order on the check in the manner we have described elsewhere.

CHECKS AND WITHDRAWAL RULES - If you do not purchase your check blanks from us, you must be certain that we approve the check blanks you purchase. We may refuse any withdrawal or transfer request which you attempt on forms not approved by us or by any method we do not specifically permit. We may refuse any withdrawal or transfer request which is greater in number than the frequency permitted, or which is for an amount greater or less than any withdrawal limitations. We will use the date the transaction is completed by us (as opposed to the date you initiate it) to apply the frequency limitations. If we are presented with an item drawn against your account that would be a "substitute check," as defined by law, but for an error or defect in the item introduced in the substitute check creation process, you agree that we may pay such item. See the Funds Availability Policy disclosure for information about when you can withdraw funds you deposit. For those accounts to 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. In addition, we may place limitations on the account until your identity is verified.

ELECTRONIC CHECK CONVERSION - You may authorize a merchant or other payee to make a one time electronic payment from your checking account using information from your check to pay for purchases or pay bills. This applies whether the check is blank, partially completed, or fully completed and signed, whether it is presented at the point-of-sale or mailed to a merchant or lockbox and later converted to an EFT, or whether it is retained by you or the merchant or payee. This is called an electronic check conversion. We have the right to convert an item into an electronic image and if we receive an image instead of the item, you may request a copy of the image.

OVERDRAFTS - If an item overdraws your account, we can either pay the item or refuse to pay it. If we receive more than one item and your account is overdrawn, we may pay or refuse any or all of the items, in any order we choose. If we, in our sole discretion, decide to pay the overdraft, you agree to pay us, on demand, the amount of the overdraft, together with the applicable overdraft fee. The fee is listed in the Services & Fees Schedule. You understand that we reserve the right to impose overdraft fees, and to apply any later deposits (including direct deposit of Social Security or other government benefits) to those overdrafts or overdraft fees, by way of offset.

If your account is linked to a Personal Reserve Account (PRA) or a Business Reserve Line (BRL), the terms and conditions apply to overdrafts of your account regardless of whether they result from the use of checks, your VISA Debit Card, Cash Card, or an Online Banking transaction.

If you are a joint account depositor, you agree to pay us for any overdrafts made by you or any other joint depositor, regardless of whether you caused or benefited from the overdraft.

As a service to customers in good standing and to help avoid the significant fees that may be charged by third parties for returned checks, we strive to pay customers' overdrafts based upon the following criteria:

We offer this as a consumer service on a discretionary basis, and we are under no obligation to pay items when your account has non-sufficient funds (NSF), even if previous NSF transactions were paid. Items that cause overdrafts may include preauthorized debits, point-of-sale (POS) transactions, telephone transfers, online bill payments, Online or Mobile banking transactions, an in-branch withdrawal as well as checks. An overdraft fee may be imposed for covering overdrafts caused by any such items, as well as on items that are returned unpaid. The fee is listed in the Services & Fees Schedule.

ACCOUNT OWNERSHIP TYPES

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 reserve the right to refuse some forms of ownership on any or all of our accounts. 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.

SINGLE ACCOUNT - A single account is an account in the name of one depositor only, and all funds are presumed to belong to that depositor.

JOINT ACCOUNT WITH RIGHT OF SURVIVORSHIP - A Joint Account With Right of Survivorship is an account in the name of two or more depositors. Each depositor has an equal right to deposit or withdraw from such an account, whether or not any of the depositors are deceased or incompetent. Subject to the rules on "Non-probate Assets", generally described below, upon the death of a depositor, the funds become the property of the surviving depositor(s) and are not subject to the decedent's will. If there is more than one surviving depositor, the rights of survivorship will continue between the surviving depositor(s). Payment of such remaining funds may be made to any one or more of the surviving depositor(s).

JOINT ACCOUNT WITHOUT RIGHT OF SURVIVORSHIP - A Joint Account Without Survivorship is an account in the name of two or more depositors. Each depositor has an equal right to deposit or withdraw from such an account, whether or not any of the depositors are deceased or incompetent. This type of account does not provide that the funds of a deceased depositor become the property of the surviving depositor(s). If we agree to set up an account as a "Tenancy in Common", the account will be treated as a Joint Account Without Right of Survivorship.

ALL JOINT ACCOUNTS WITH OR WITHOUT RIGHT OF SURVIVORSHIP - Each joint depositor appoints the other as his or her authorized agent for all purposes relating to this account, including but not limited to endorsement of items for deposit, stopping payment, making deposits and withdrawals, closing the account, allowing the Bank to offset the account, or overdrawing the account. We may pay funds on deposit in this type of account to any one or more depositor(s), without regard to the actual ownership of the funds. We may deduct and offset from your joint account the amount of any claim we may hold against any joint depositor, even if the other joint depositors are not obligated to the Bank on that claim.

TRUST OR P.O.D. ACCOUNT - A Trust or Payable on Death (P.O.D.) account is an account payable on request to an individual depositor during the depositor's lifetime or to two or more depositors during their lifetimes. Subject to the rules on "Non-probate Assets", generally described below, upon the death of all depositors, the account becomes payable to one or more surviving designated beneficiaries without being subject to the depositor's will. If there are two or more such beneficiaries, the funds will be divided equally. All funds in this type of account constitute a voluntary trust revocable in whole or in part at any time by any depositor by the withdrawal of funds. After the death of the depositor(s), funds remaining in the account belong only to the beneficiary, but are subject to our general right of offset for any indebtedness owed by any trustee or beneficiary.

If there are two or more depositors, this type of account will be a Joint Account With Right of Survivorship, in which case the rights of the surviving depositor(s) will be as described above.

The term "trust account" does not include deposits by trustees or other fiduciaries where the trust or fiduciary relationship is established other than by this Agreement.

UNIFORM TRANSFERS TO MINORS ACT ACCOUNT - The Uniform Transfers to Minors Act account is an account in the name of a person twenty-one years of age or older as custodian for a person under twenty-one years of age ("beneficiary"). We may allow the custodian to withdraw any or all of the funds in the account without determining whether or not the beneficiary has reached the age of twenty-one or whether the withdrawal is for the benefit of the beneficiary. Upon proof of identity and age, we may allow withdrawals from the account by a beneficiary who has reached age twenty-one without obtaining the consent of the custodian. We may, without liability, refuse to allow withdrawals by a beneficiary of any age without the written consent of the custodian.

AGENCY ACCOUNT - An Agency account is an account to which funds may be deposited and from which payments may be made by an agent designated by the depositor. The depositor(s) may designate any person to be an agent.

The agent may withdraw funds from the account by writing checks or signing withdrawal slips. If there is more than one depositor named on the account, each depositor may designate the same or a different agent for making deposits to or payments from the account. The type of account may be combined with any of the other ownership categories of accounts.

NON-PROBATE ASSETS - For Washington accounts, upon the death of a depositor, a surviving depositor's or beneficiary's rights to receive payment under the terms of a Joint Account With Right of Survivorship or a Trust or P. O. D. account may in some cases be superseded by the terms of a depositor's will where the will is made after the date the account is opened and the Bank receives proper notice of a claim to the account. Notice must be timely so as to afford us a reasonable opportunity to act, but in no event will less than 5 days notice be sufficient. In the absence of proper and timely notice, the terms of the Joint Account With Right of Survivorship, Trust or P. O. D. account will govern.

SUBSTITUTE CHECKS AND YOUR RIGHTS

As our customer we think it's important for you to know about substitute checks. The following Substitute Check Disclosure provides information about substitute checks and your rights.

What is a substitute check?

To make check processing faster, federal law permits banks 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." You may use a substitute check as proof of payment just like the original check.

Some or all of the checks that you receive back from us may be substitute checks. This notice describes rights you have when you receive substitute checks from us. The rights in this notice do not apply to original checks or to electronic debits to your account. However, you have rights under other law with respect to those transactions.

What are my rights regarding substitute checks?

In certain cases, federal law provides a special procedure that allows you to request a refund for losses you suffer if a substitute check is posted to your account (for example, if you think that we withdrew the wrong amount from your account or that we withdrew money from your account more than once for the same check). The losses you may attempt to recover under this procedure may include the amount that was withdrawn from your account and fees that were charged as a result of the withdrawal (for example, bounced check fees).

The amount of your refund under this procedure is limited to the amount of your loss or the amount of the substitute check, whichever is less. You also are entitled to interest on the amount of your refund if your account is an interest-bearing account. If your loss exceeds the amount of the substitute check, you may be able to recover additional amounts under other law.

If you use this procedure, you may receive up to $2,500 of your refund (plus interest if your account earns interest) within 10 business days after we received your claim and the remainder of your refund (plus interest if your account earns interest) not later than 45 calendar days after we received your claim.

We may reverse the refund (including any interest on the refund) if we later are able to demonstrate that the substitute check was correctly posted to your account.

How do I make a claim for a refund?

If you believe that you have suffered a loss relating to a substitute check that you received and that was posted to your account, please contact us at:

Columbia Bank
PO Box 2056
Tacoma, WA 98401-2056

1-800-305-1905

You must contact us within 40 calendar days of the date that we mailed (or otherwise delivered by a means to which you agreed) the substitute check in question or the account statement showing that the substitute check was posted to your account, whichever is later. We will extend this time period if you were not able to make a timely claim because of extraordinary circumstances.

Your claim must include ---

SERVICES

WIRE TRANSFERS - Wire transfers are subject to the Wire Transfer Terms and Conditions, as amended from time to time. A copy of the Wire Transfer Terms and Conditions is available at any branch. We have no obligation to accept incoming funds transfers for your benefit. All credits to your account(s) for a funds transfer are provisional until we receive final payment for the amount of the transfer. If we do not receive final payment, you agree to refund to us the amount of the transfer. We will not provide you with a separate notice each time we receive a wire transfer to your account. If we accept a payment through an automated clearing house (ACH), the operating rules of the National Automated Clearing House Association will apply, and we will not give you notice of the payment. Instead, incoming wires and ACH payments will be reflected on your periodic statement. If you request paper, fax or email advice, and we agree separately in writing to comply with such request, you agree to exercise care in maintaining your own security in the receipt of advice of wire transfers. You acknowledge that you alone assume full responsibility for maintenance of your internal security procedures to keep your information confidential. You agree that we will not be required to provide any other notice to you.

NIGHT DEPOSITORY - You assume any and all risk arising out of the use of any night depository facility. You agree that we are not responsible for any loss or damage that results from a mechanical defect, act of God, or malfunction with respect to the facility itself, lock bag or any other receptacle used by you, unless such damage or loss is caused by our gross negligence or deliberate malfeasance. You further agree that we will not be responsible for any loss or personal or pecuniary injury occasioned by the use of the night deposit facility resulting from unlawful acts of other persons, including, but not limited to assault, theft, vandalism, or malicious mischief.

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 persons 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.

CHECK CASHING - We may charge a fee for anyone that does not have an account with us who is cashing a check, draft or other instrument written on your account. We may also require reasonable identification to cash such a check, draft or other instrument. We can decide what identification is reasonable under the circumstances and such identification may be documentary or physical and may include collecting a thumbprint or fingerprint.

SAVINGS AND MONEY MARKET ACCOUNTS

TRANSFER LIMITATIONS - For savings and money market accounts you may make up to six transfers or withdrawals by means of a preauthorized, automatic, or telephonic transfer to another account of yours or to a third party or by check, debit card, or similar order to a third party during any calendar month (or statement cycle of at least four weeks). A preauthorized transfer includes any arrangement with us to pay a third party from your account at (i) a predetermined time; (ii) on a fixed schedule or (iii) upon oral or written orders including orders received through the automated clearing house (ACH). If the transfer or withdrawal is initiated in person, by mail, or at an ATM then there is no limit on the number of payments that may be made directly to you, directly to us for amounts you owe us, or transfers to other accounts you have with us. Withdrawals by phone are also unlimited if you are requesting that a check be mailed to you.

More than 6 withdrawals per calendar month would be considered a violation of law and this agreement. Violations of this nature may result in us closing your account.

WAIVERS - Even if we honor a nonconforming request, we are not required to do so later. We may treat continued abuse of the stated limitations (if any) as your act of closing the account, or we may at our option reclassify your account as a transaction account. If we reclassify your account, your account will be subject to the fees and earnings rules of the new account classification.

HEALTH SAVINGS ACCOUNTS (HSA) - For your convenience, we permit you to take distributions from your HSA by check. This feature can raise a variety of tax concerns - for example getting additional cash back on an HSA checking transaction. As a result, if you have more than one account with us, it is a good practice to make sure you are using the appropriate checkbook for the transaction. Also, it is your responsibility to ensure your distributions and other actions related to the HSA comply with the law, including federal tax law. As always, we recommend consulting a legal or tax professional if you have any questions about managing your HSA. The terms of this agreement are intended to work in conjunction with the HSA Agreement provided to you earlier. In the event of a conflict, the terms of the HSA Agreement control. You understand that your HSA is intended to be used for payment of qualified medical expenses. It is your responsibility to satisfy any tax liability resulting from use of your HSA for any purpose other than payment or reimbursement of qualified medical expenses. We do not monitor the purpose of any transaction to or from your HSA. Nor are we responsible for ensuring your eligibility for making contributions or ensuring withdrawals are used for payment or reimbursement of qualified medical expenses. Refer to your HSA Agreement for more information relating to the use of your HSA.

ATM/DEBIT CARD

TERMINATION - We reserve the right to terminate your use of your Cash Card or VISA® Debit Card with or without cause. We may immediately do so if (a) you or any authorized user of the card breaches this or any other agreement with us, (b) we have reason to believe that someone has transferred or may transfer money from your accounts(s) without your permission, or (c) you or any authorized user of your card or account(s), which may be accessed by your card, requests that we do so. If you ask us to terminate or suspend your account(s) or card(s), you will remain liable for subsequent Electronic Funds Transfer (EFT) transactions performed by you or any authorized user.

OTHER AGREEMENTS - Your use of your Cash Card, VISA® Debit Card, or Online Banking may be subject to the terms of one or more separate agreements, which are incorporated into this Agreement. All terms, conditions and agreements which govern your account (including those appearing in this Agreement, on the signature card or any other rules and regulations or agreements) also apply to any electronic transactions including the use of your Cash Card, VISA® Debit Card, or Online Banking except where this Agreement provides differently.

SECURITY - You agree not to disclose or otherwise make your Cash Card or VISA® Debit Card, or PIN or any other access device available to anyone without our prior written consent. Do not write your PIN on your card or keep in the same location as your card. You agree that to the extent allowed by applicable law, you will be liable for all transactions conducted using your card or PIN.

INACTIVE OR ABANDONED DEPOSIT ACCOUNTS

INACTIVE ACCOUNT CHARGES - To the extent allowed by law and after any required notice to you, we may impose a reasonable monthly service charge, as reflected in the Services & Fees Schedule, for all inactive checking, money market, and savings accounts. Checking, money market, and savings accounts are considered inactive after 15 months, unless you have increased or decreased the amount on deposit, exclusive of interest, fees or other adjustments by us.

We may impose an inactive service charge or terminate online banking access on inactive Online Banking accounts. Online Banking accounts are considered inactive if you have not logged in for at least six months. ABANDONED CHECKING AND SAVINGS ACCOUNTS - Your checking and savings accounts, including a money market account, will be presumed abandoned after 3 years of inactivity unless you have:

ABANDONED TIME DEPOSIT ACCOUNTS - If you have a matured time deposit account with us, it will be presumed abandoned 3 years after the maturity date unless you have:

If your time deposit account is automatically renewable, the above 3 year time period will begin to run at the expiration of the initial maturity period. If your automatically renewable time deposit has an initial maturity period less than 1 year, the above time periods begins to run 1 year after the date of the original deposit.

PAYMENT OF INTEREST WILL CEASE - At the time your interest earning deposit account is considered abandoned, it will no longer earn interest.

BALANCE FORWARDED TO THE STATE - If your deposit account is presumed abandoned, the balance will be forwarded to the state as "abandoned" under state law. Thereafter, you may recover the money by making a claim directly to the state.

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 Fund Transfers Initiated By Third Parties. You may authorize a third party to initiate electronic fund transfers between your account and the third party's account. These transfers to make or receive payment may be one-time occurrences or may recur as directed by you. These transfers may use the Automated Clearing House (ACH) or other payments network. Your authorization to the third party to make these transfers can occur in a number of ways. For example, your authorization to convert a check to an electronic fund transfer or to electronically pay a returned check charge can occur when a merchant provides you with notice and you go forward with the transaction (typically, at the point of purchase, a merchant will post a sign and print the notice on a receipt). In all cases, these third party transfers will require you to provide the third party with your account number and 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 fund transfers. Examples of these transfers include, but are not limited to:

Columbia On-Call Telephone Banking Transfers - types of transfers - You may access your account by telephone 24 hours a day at 800-304-0050 using your personal identification number and your account numbers, to:

Columbia Cash Card ATM Transfers - types of transfers, dollar limitations, and charges - You may access your account(s) by ATM using your Columbia Cash Card and personal identification number or Columbia VISA® Debit Card and personal identification number, to:

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

Types of Columbia Cash Card Point-of-Sale 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, and do anything that a participating merchant will accept.

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

Types of Columbia VISA® Debit Card Point-of-Sale Transactions - You may access your checking account(s) to purchase goods (in person, online, or by phone), pay for services (in person, online, or by phone), get cash from a merchant, if the merchant permits, or from a participating financial institution, and do anything that a participating merchant will accept.

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

Currency Conversion. When you use your Columbia VISA® Debit Card at a merchant that settles in currency other than US dollars, the charge will be converted into the US dollar amount. The currency conversion rate used to determine the transaction amount in US dollars is either a rate selected by VISA from the range of rates available in wholesale currency markets for the applicable central processing date, which rate may vary from the rate VISA itself receives, or the government-mandated rate in effect for the applicable central processing date. The conversion rate in effect on the processing date may differ from the rate in effect on the transaction date or 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.

Non-VISA® Debit Transaction Processing. We have enabled non-VISA debit transaction processing. This means you may use your Columbia VISA Debit Card on a PIN-Debit Network* (a non-VISA network) without using a PIN.

The non-VISA debit network(s) for which such transactions are enabled are: STAR and PULSE Networks.

Examples of the types of actions that you may be required to make to initiate a VISA transaction on your Columbia VISA Debit Card include signing a receipt, providing a card number over the phone or via the Internet, or swiping the card through a point-of-sale terminal.

Examples of the types of actions you may be required to make to initiate a transaction on a PIN-Debit Network include initiating a payment directly with the biller (possibly via telephone, Internet, or kiosk locations), responding to a logo displayed at a payment site and choosing to direct payment through that network, and having your identity verified using known information derived from an existing relationship with you instead of through use of a PIN.

The provisions of your agreement with us relating only to VISA transactions are not applicable to non-VISA transactions. For example, the additional limits on liability (sometimes referred to as VISA's zero-liability program) and the streamlined error resolution procedures offered on VISA debit card transactions are not applicable to transactions processed on a PIN-Debit Network.

*VISA Rules generally define PIN-Debit Network as a non-VISA debit network that typically authenticates transactions by use of a personal identification number (PIN) but that is not generally known for having a card program.

Please see your cardholder agreement for additional information relating to the use of your Columbia VISA Debit Card.

Columbia Online Banking - types of transfers - You may access your account(s) by computer through the Internet by logging onto our website at www.columbiabank.com and using your user identification number, password, and multifactor authentication, to:

CSB Mobile Transfers - types of transfers - You may access your account(s) through the browser on your cell or mobile phone at www.csbmobile.com and using your user identification number, user identification, and multifactor authentication, to:

Health Savings Accounts (HSA). We permit some electronic fund transfers to and/or from your HSA. The electronic fund transfers we permit are offered for the convenience of managing your HSA. However, electronically moving funds to or from your HSA - for example, depositing more than the allowable amount, or getting additional cash back on an HSA debit card transaction - can raise a variety of tax concerns. As a result, before electronically accessing any account you may have with us, it is a good practice to make sure you are using the correct access device (such as a card) or accessing the appropriate account for the transaction. Also, it is your responsibility to ensure the contributions, distributions, and other actions related to your HSA, comply with the law, including federal tax law. As always, we recommend consulting a legal or tax professional if you have any questions about managing your HSA. The terms of this disclosure are intended to work in conjunction with the HSA Agreement provided to you earlier. In the event of a conflict, the terms of the HSA Agreement control. You understand that your HSA is intended to be used for payment of qualified medical expenses. It is your responsibility to satisfy any tax liability resulting from use of your HSA for any purpose other than payment or reimbursement of qualified medical expenses. We do not monitor the purpose of any transaction to or from your HSA. Nor are we responsible for ensuring your eligibility for making contributions or ensuring withdrawals are used for payment or reimbursement of qualified medical expenses. Refer to your HSA Agreement for more information relating to the use of your HSA.

FEES

     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

FINANCIAL INSTITUTION'S LIABILITY

Liability for failure to make transfers. If we do not complete a transfer to or from your account on time or in the correct amount according to our agreement with you, we will be liable for your losses or damages. However, there are some exceptions. We will not be liable, for 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. There may be other exceptions stated in our agreement with you.

CONFIDENTIALITY

We will disclose information to third parties about your account or the transfers you make:

  1. where it is necessary for completing transfers; or
  2. in order to verify the existence and condition of your account for a third party, such as a credit bureau or merchant; or
  3. in order to comply with government agency or court orders; or
  4. as explained in the separate Privacy Disclosure.

UNAUTHORIZED TRANSFERS

(a) Consumer liability.
• Generally. Tell us AT ONCE if you believe your card and/or code has been lost or stolen, or if you believe that an electronic fund transfer has been made without your permission using information from your check. Telephoning is the best way of keeping your possible losses down. You could lose all the money in your account (plus your maximum overdraft line of credit). If you tell us within 2 business days after you learn of the loss or theft of your card and/or code, you can lose no more than $50 if someone used your card and/or code without your permission.

If you do NOT tell us within 2 business days after you learn of the loss or theft of your card and/or code, and we can prove we could have stopped someone from using your card and/or code without your permission if you had told us, you could lose as much as $500.

Also, if your statement shows transfers that you did not make, including those made by card, code or other means, tell us at once. If you do not tell us within 60 days after the statement was mailed to you, you may not get back any money you lost after the 60 days if we can prove that we could have stopped someone from taking the money if you had told us in time.

If a good reason (such as a long trip or a hospital stay) kept you from telling us, we will extend the time periods.

• Additional Limit on Liability for Columbia VISA® Debit Card. Unless you have been grossly negligent or have engaged in fraud, you will not be liable for any unauthorized transactions using your lost or stolen Columbia VISA Debit Card. This additional limit on liability does not apply to ATM transactions or to transactions using your Personal Identification Number which are not processed by VISA®.

(b) Contact in event of unauthorized transfer. If you believe your card and/or code has been lost or stolen, call or write us at the telephone number or address listed in this brochure. You should also call the number or write to the address listed in this brochure if you believe a transfer has been made using the information from your check without your permission.

ERROR RESOLUTION NOTICE

In Case of Errors or Questions About Your Electronic Transfers, call or write us at the telephone number or address listed in this brochure, as soon as you can, if you think your statement or receipt is wrong or if you need more information about a transfer listed on the statement or receipt. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error appeared.

  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 business days (5 business days for Columbia VISA® Debit Card point-of-sale transactions processed by VISA and 20 business days if the transfer involved a new account) after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days (90 days if the transfer involved a new account, a point-of-sale transaction, or a foreign-initiated transfer) to investigate your complaint or question. If we decide to do this, we will credit your account within 10 business days (5 business days for Columbia VISA® Debit Card point-of-sale transactions processed by VISA and 20 business days if the transfer involved a new account) for the amount you think is in error, so that you will have the use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within 10 business days, we may not credit your account. Your account is considered a new account for the first 30 days after the first deposit is made, unless each of you already has an established account with us before this account is opened.

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 ask for copies of the documents that we used in our investigation.

ATM Statement and Receipts:
Columbia State Bank
ATM Operations
MS OP0261
P.O. Box 2156
Tacoma, WA 98401
1-800-305-1905

Online Banking:
Columbia State Bank
Online Services
MS OP4600
P.O. Box 2156
Tacoma, WA 98401
1-877-754-5074

Business Days: Monday through Friday
Excluding Federal Holidays
MORE DETAILED INFORMATION IS AVAILABLE
ON REQUEST

NOTICE OF ATM/NIGHT DEPOSIT
FACILITY USER PRECAUTIONS

As with all financial transactions, please exercise discretion when using an automated teller machine (ATM) or night deposit facility. For your own safety, be careful. The following suggestions may be helpful.

  1. Prepare for your transactions at home (for instance, by filling out a deposit slip) to minimize your time at the ATM or night deposit facility.
  2. Mark each transaction in your account record, but not while at the ATM or night deposit facility. Always save your ATM receipts. Don't leave them at the ATM or night deposit facility because they may contain important account information.
  3. Compare your records with the account statements or account histories that you receive.
  4. Don't lend your ATM card to anyone.
  5. Remember, do not leave your card at the ATM. Do not leave any documents at a night deposit facility.
  6. Protect the secrecy of your Personal Identification Number (PIN). Protect your ATM card as though it were cash. Don't tell anyone your PIN. Don't give anyone information regarding your ATM card or PIN over the telephone. Never enter your PIN in any ATM that does not look genuine, has been modified, has a suspicious device attached, or is operating in a suspicious manner. Don't write your PIN where it can be discovered. For example, don't keep a note of your PIN in your wallet or purse.
  7. Prevent others from seeing you enter your PIN by using your body to shield their view.
  8. If you lose your ATM card or if it is stolen, promptly notify us. You should consult the other disclosures you have received about electronic fund transfers for additional information about what to do if your card is lost or stolen.
  9. When you make a transaction, be aware of your surroundings. Look out for suspicious activity near the ATM or night deposit facility, particularly if it is after sunset. At night, be sure that the facility (including the parking area and walkways) is well lighted. Consider having someone accompany you when you use the facility, especially after sunset. If you observe any problem, go to another ATM or night deposit facility.
  10. Don't accept assistance from anyone you don't know when using an ATM or night deposit facility.
  11. If you notice anything suspicious or if any other problem arises after you have begun an ATM transaction, you may want to cancel the transaction, pocket your card and leave. You might consider using another ATM or coming back later.
  12. Don't display your cash; pocket it as soon as the ATM transaction is completed and count the cash later when you are in the safety of your own car, home, or other secure surrounding.
  13. At a drive-up facility, make sure all the car doors are locked and all of the windows are rolled up, except the driver's window. Keep the engine running and remain alert to your surroundings.
  14. We want the ATM and night deposit facility to be safe and convenient for you. Therefore, please tell us if you know of any problem with a facility. For instance, let us know if a light is not working or there is any damage to a facility. Please report any suspicious activity or crimes to both the operator of the facility and the local law enforcement officials immediately.

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FUNDS AVAILABILITY POLICY

This policy statement applies to "transaction" accounts. Transaction accounts, in general, are accounts which permit an unlimited number of payments to third persons and an unlimited number of telephone and preauthorized transfers to other accounts of yours with us. Checking accounts are the most common transaction accounts. Feel free to ask us whether any of your other accounts might also be under this policy.

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 the 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 closing 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 closing 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. unless otherwise posted 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. unless otherwise posted 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. The 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

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 seventh 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 seventh 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 eleventh business day after the day of your deposit.

 

 

          

 

© 1988, 1995 Wolters Kluwer Financial Services - Bankers Systems™
Form AIB 8/4/95   8d Custom TC,2ay,3o   3200924-010