ARTICLE I

INTRODUCTION

1.1 Introduction. This PEOPLES NET BANKING Online Banking Agreement (the Agreement) is intended to define the terms upon which the Peoples Bank of Wisconsin agrees to provide and you agree to use the Online Banking services selected by you and provided by Peoples Bank of Wisconsin through the Online Banking system known as PEOPLES NET BANKING offered by Peoples Bank of Wisconsin to its customers.

YOU SHOULD READ THIS AGREEMENT CAREFULLY AND UNDERSTAND ITS TERMS BEFORE USING PEOPLES NET BANKING SERVICES, AND YOU SHOULD RETAIN A COPY OF THIS AGREEMENT, ANY ENROLLMENT DOCUMENTS FOR YOUR RECORDS, AND ANY OTHER DOCUMENTS WHICH ARE INCORPORATED HEREIN BY REFERENCE.

1.2 Basic Definitions. Throughout this Agreement, the words, we, us, our, and ours, are intended to refer to Peoples Bank of Wisconsin, its affiliates, successors and assigns. The words you, your, and yours, are used to refer to the owner of an active PEOPLES NET BANKING Account (as defined below) which may or may not currently use the PEOPLES NET BANKING services, or those whom you may designate as having rights to access or control your PEOPLES NET BANKING services.

1.3 Establishment of Internet Account. To establish your account and begin using PEOPLES NET BANKING services, you may need to complete and sign written forms or other documents, or you may be asked to submit certain personal identifying and/or account information directly through PEOPLES NET BANKING, which will provide us the necessary information to set up and maintain your account (PEOPLES NET BANKING Account).

1.4 Acceptance of Terms. BY SIGNING THIS AGREEMENT, IN WRITING OR ELECTRONICALLY THROUGH PEOPLES NET BANKING, YOU EXPRESS YOUR CONSENT TO AND UNDERSTANDING OF THE TERMS OF THIS AGREEMENT, AND YOU AGREE TO BE BOUND BY THE TERMS OF THIS AGREEMENT, INCLUDING, BUT NOT LIMITED TO, THOSE OTHER AGREEMENTS AND TERMS WHICH ARE INCORPORATED HEREIN BY REFERENCE. ALSO, BY SIGNING ANY OF THE WRITTEN FORMS OR OTHER DOCUMENTS PERTAINING TO THE SET UP OR MAINTENANCE OF YOUR PEOPLES NET BANKING ACCOUNT (THE ENROLLMENT DOCUMENTS), YOU EXPRESS YOUR CONSENT TO AND UNDERSTANDING OF THE TERMS OF SUCH ENROLLMENT DOCUMENTS, AND YOU FURTHERMORE AGREE TO BE BOUND BY THE TERMS OF ANY SUCH ENROLLMENT DOCUMENTS.

1.5 Intellectual Property Rights. Nothing in this Agreement, the Enrollment Documents, or in any other agreement between you and us shall be construed so as to limit our rights in our trademarks, copyrights, patents or any other intellectual property rights which we own or possess and which relate to any material which is displayed, exhibited, or provided via any electronic message, display or communication of any kind between you and us, whether or not such material relates to or is a part of the PEOPLES NET BANKING services including, but not limited to, any material which appears on our Web site.

1.6 Necessary Equipment. To access and use PEOPLES NET BANKING services, you will need to have an active account with an Internet service provider, any form of Internet browser with Internet Banker and which meets the version and other requirements which we may specify from time to time, and any other necessary hardware or software needed to access the Internet (collectively the Equipment). You are solely responsible for obtaining, installing, maintaining and correctly using the Equipment necessary to utilize and PEOPLES NET BANKING services.

ARTICLE II

INTERNET ACCOUNT SERVICES

2.1 PEOPLES NET BANKING Services. You may access several different features as a part of Peoples Bank of Wisconsin PEOPLES NET BANKING services, depending upon your needs and whether you meet the requirements for these services as described in this Agreement. This Article II is intended to describe the various services which you may be able to use via PEOPLES NET BANKING. We may, now or in the future, offer additional services through the PEOPLES NET BANKING which are not covered by this Agreement, and your eligibility for such additional services may not necessarily be determined by your participation in or eligibility for the services described in this Agreement.

2.2 Account Information. You may obtain information pertaining to certain accounts you hold with Peoples Bank of Wisconsin. The information you may be able to access can include:

- your current account balances;
- your historical account information;
- your interest balances for accounts;
- your transaction history; or
- other related account information.

2.3 Funds Transfers. You may transfer funds between checking, savings, and money market accounts which you hold with Peoples Bank of Wisconsin. You should be aware that transfers you request through the PEOPLES NET BANKING will be effectuated only after a reasonable period of time for personnel of Peoples Bank of Wisconsin to process such request, and do not occur immediately upon your request. Overdraft protection will be triggered by any payment you make with insufficient funds if you have previously obtained our overdraft protection services, however, we are not responsible for any payment made by you with insufficient funds in any case, and furthermore you agree that you will not order a transfer of funds unless you have sufficient funds in the account to support such requested transfer. Please read Article III of this Agreement carefully regarding our hours of service and policies regarding when your requests may be processed by us.

2.4 Change In Services. We may modify, add delete, change or discontinue any service or any portion of service or function described in this Agreement at any time and from time to time, in our sole discretion, and will make reasonable efforts to promptly amend this Agreement to reflect any updated or revised services through the PEOPLES NET BANKING. When the Agreement is amended to reflect these changes in services, we will provide you with written notice of such amendment pursuant to section 10.3 of this Agreement.

2.5 Limits on Frequency. You are restricted in the number of certain types of transfers you can make from your savings accounts or money market accounts by Regulation D of the Federal Reserve Board, a federal banking regulator. For each of your savings accounts and money market accounts, you are prohibited from making more than six (6) preauthorized transfers per month. preauthorized transfers include transfers made through PEOPLES NET BANKING. However, the following transfers do not count towards this limit:

- transfers from your savings or money market accounts with us to repay any amounts owed to us for loans or associated expenses.
- transfers made by mail, messenger, ATM or in person; or
- withdrawals authorized by you by telephone or online if the funds are mailed to you by check. or online if the funds are mailed to you by check.

A fee may be charged to you for each additional preauthorized transfer per month in excess of six (6). Once a savings account or money market account has violated these Regulation D limits, we may, in our sole discretion, choose to convert the account to a transaction type account, whether or not any fees have been assessed to you as a result of your exceedance of these limits.

ARTICLE III

ACCESS TO ELIGIBLE ACCOUNTS

3.1 Peoples Bank of Wisconsin Web Site. The PEOPLES NET BANKING may be accessed through our Web site, which may be found on the World Wide Web at www.peoplesbankofwi.com.

3.2 Hours of Service. You may access the PEOPLES NET BANKING at any time, twenty-four (24) hours per day and seven (7) days per week under normal operating conditions. If you wish to communicate directly with or visit one of our bank locations, please see the listing of hours of operation for our various branches, which is posted on our Web site.

3.3 Cutoff Time and Dates. We can process PEOPLES NET BANKING requests for funds transfer usually on the same business day as your instructions if we receive your request by 5:00 p.m. Central Time on that business day (the Cutoff Time). If we receive a request after the Cutoff Time, your requested transaction will not be completed until our next business day or some reasonable date thereafter. Federal holidays will not be considered business days and requested transactions will not be processed on all such holidays. If you submit a year end request on the last business day of any year after the Cutoff Time for that day, your request will be processed on the next business day of the following year. Please be aware that the Cutoff Time for the last business day of the year may be different form the normal Cutoff Time for other business days, and you should contact us sufficiently in advance to determine what the appropriate Cutoff Time will be for transactions to be performed on the last business day of the year.

3.4 Cancellation of Transactions. You may, electronically or by phone, cancel transaction requests made previously by you through PEOPLES NET BANKING. However, cancellation requests, no matter how they are submitted, are not automatically processed or posted, and thus are not automatically effective. Your cancellation requests will be processed or posted by the end of the business day upon which you submit such requests; provided however that the cutoff Time also applies to cancellation requests, and any cancellation request made after the Cutoff Time on any given day will be processed and posted by the end of the following business day. If you wish to cancel any PEOPLES NET BANKING request by phone you may do so at (715) 634-2674 or (800) 575-8528; provided, however that we reserve the right to require you to put your request in writing and to receive the same within fourteen (14) day of your call.

3.5 Overdrafts. When you use PEOPLES NET BANKING to authorize the transfer of funds, you authorize us to withdraw the necessary funds from the account you have designated. You authorize us and we will make the requested transfer even if it causes an overdraft in your account, or, in our sole discretion, we may refuse to make such transfers if the account you have designated does not have available funds to support such requested transfer. We are not responsible for any overdraft or failure to stop an overdraft from occurring based upon a request made by you through PEOPLES NET BANKING. If you overdraw your account, you agree to promptly pay us the overdrawn amount, together with any applicable fees.

3.6 Possible Interruption of Service. There may be, from time to time, interruptions in your ability to access PEOPLES NET BANKING services due to problems with our Web site, the PEOPLES NET BANKING system itself, or other similar problems. You should be aware that these problems may occur and, while we will take steps to remedy any such interruption of service as soon as possible, we cannot guarantee how long it will take until access will be resumed. If our PEOPLES NET BANKING system experiences such difficulty while you are making a request for services, you should presume that the request was not completed and you should find an alternative method to procure those services from us, such as an ATM card, visiting your nearest Peoples Bank of Wisconsin location or using our Phone N Bank product at (877)733-7743 or (715)634-0316. We are not responsible for any damages, penalties, late charges, fees or costs of any kind incurred by you as a result of any interruption in services, unless such interruption in service is due to our negligent or intentional acts or inaction.

3.7 Events Beyond Our Control. Any events beyond our control, including, but not limited to, fire, flood, acts of God, interference from an outside party (whether such person has authorized access to your accounts or not), or any other event beyond our reasonable control, which create or cause any interruption in service or prevent the timely and proper execution of your request(s) will not be the responsibility of us and shall not created any liability of any kind for us.

3.8 Errors or Questions About Electronic Transfers. Telephone us at (715) 634-2674 or (800) 575-8528 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 sixty (60) days after we sent you the FIRST statement on which the problem or error appeared. You must:

- tell us your name and account number, if any;
- describe the error or the transfer you are unsure about, and explain as clearly as you can why you believe it is an error or why you need more information; and
- 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 ten (10) business days.

We will determine whether an error occurred within ten (10) business days after we hear form you and will correct any error promptly. If we need more time, however, we may take up to forty-five (45) days to investigate your complaint or question. If we decide to do this, we will credit your account within ten (10) business days for the amount you think is in error, so that you will have the use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within ten (10) business days, we may not credit your account.

The ten (10) day periods in the preceding paragraph may be extended to twenty (20) business days, if the error involves a transfer to or from the account within thirty (30) days after the first deposit to the account was made.

If the error involves an electronic transfer from your account to buy goods or services direct from a merchant, a transfer initiated outside the United States or a transfer that occurred within thirty (30) days after the first deposit to the account was made, the forty-five (45) day time period to investigate your complaint or question will be ninety (90) days instead of forty-five (45) days.

We will tell you the results within three (3) 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.

ARTICLE IV

ELECTRONIC FUND TRANSFERS (REGULATION E)

4.1 Applicability. Article IV of this Agreement pertains to your rights and responsibilities as a user of an Online Banking service system such as PEOPLES NET BANKING under what is known as Regulation E of the Federal Reserve Board, a federal banking regulator; provided, however, that this Article IV shall apply only to Consumers as term is defined in Regulation E. This regulation is intended to protect consumers using Online Banking service systems such as PEOPLES NET BANKING and speaks to, among other things, your rights and responsibilities in case your Access Information (as defined below) has been lost or stolen and when an unauthorized transfer has or may be made. An unauthorized transfer is defined as a transfer by a person who does not have actual, implied, or apparent permission, and is a transfer that does not benefit you. An unauthorized transfer does not include a transfer or payment made by a joint account holder or another person with an interest in your account.

4.2 Liability for Unauthorized Transfers. You should notify us AT ONCE if you believe your password has been lost or stolen. Telephoning us is the best way to keep your possible losses down. You could lose all the money in your account (plus your maximum overdraft line of credit, if any). If you tell us within two (2) business days after you discover that your Access Information has been lost or stolen, you can lose no more than $50.00 if someone uses that Access Information without your permission. If you do NOT tell us within two (2) business days after you learn your Access Information has been lost or stolen, and we can prove that we could have stopped someone from using your Access Information without your permission if you had told us, you could lose as much as $500.00. Also, if your statement shows transfers that you did not make, tell us at once. If you do not tell us within sixty (60) days after the statement was mailed to you, you may not get back any money you lost after the sixty (60) days if we can prove that we could have stopped someone from taking the money if you had notified 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 described in this section 4.2.

4.3 Notices. Any notice of lost or stolen Access Information by you to us is effective as of the date we receive it if it is made by any of the following methods:

- via telephone by calling (715) 634-2674 or 1-800-575-8528 (this method is strongly recommended); or
- via regular mail by sending your notice to Peoples Bank of Wisconsin, 10583 Main Street, PO Box 391, Hayward, WI 54843.

4.4 Documentation. Terminal transfers. You can get a receipt at the time you make any transfer to or from your account using one of our automated teller machines or point-of sale terminals. Preauthorized credits. If you have arranged to have direct deposits made to your account at least once every 60 days from the same person or company, the person or company making the deposit may tell you every time they send us the money. Preauthorized credits. If you have arranged to have direct deposits made to your account at least once every 60 days from the same person or company, you can call us at 715-634-2674 to find out whether or not the deposit has been made. Periodic statement. You will get a monthly account statement from us for your checking accounts. You will get a monthly account statement form us for your savings accounts, unless there are no transfers in a particular month. In any case, you will get a statement at least quarterly.

4.5. Preauthorized Payments. Right to stop payment and procedure for doing so. If you have told us in advance to make regular payments out of your account, you can stop any of these payments. Here is how: Call or write us at the telephone number or address listed above in time for us to receive your request 3 business days or more before the payment is schedules to be made. If you call, we may also require you to put your request in writing and get it to us within 14 days after you call. Please refer to our separate fee schedule for the amount we will charge you for each stop payment order you give. Notice of varying amounts. If these regular payments may vary in amount, the person you are going to pay will tell you, 10 days before each payment when it will be made and how much it will be. (You may choose instead to get this notice only when the payment would differ by more than a certain amount from the previous payment, or when the amount would fall outside certain limits that you set.) Liability for failure to stop payment of preauthorized transfer. If you order us to stop one of these payments 3 business days or more before they transfer is scheduled, and we do not do so, we will be liable for your losses or damages.

4.6 Confidentiality. We will disclosure information to third parties about your account or the transfer you make where it is necessary for completing transfers; or 2. in order to verify the existence and conditions 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.

4.7 Business days: Monday through Friday excluding Federal Holidays

ARTICLE V

SECURITY

5.1 Password. When registering for the use of PEOPLES NET BANKING, you will be provided with a password which you will use to access your PEOPLES NET BANKING Account. The PEOPLES NET BANKING system will prompt you to change your password the first time you sign in. Your password must be comprised or 6-8 alphanumeric characters. To use PEOPLES NET BANKING each time after your initial registration and to access your accounts, you will be asked for your then current password and you may be asked for additional identifying information such as your social security number or other personal identifying information (collectively Access Information).

5.2 Change of Password. You may change your password through the PEOPLES NET BANKING at any time, however, for your protection, we reserve the right to request written verification of this change of password, and we reserve the right to not perform any of your PEOPLES NET BANKING requests until we are independently verified to our satisfaction your desire to change your password. For security reasons, the PEOPLES NET BANKING system will prompt you, and you will be required to change your password every ninety (90) days.

5.3 Confidentiality of Password. You agree to keep confidential any Access Information, including, but not limited to, your password. Anyone to whom you disclose the necessary Access Information will have full access to the services you can perform through PEOPLES NET BANKING and to your accounts. We will presume that any person who holds such information is a permitted and authorized user, and you will be responsible for any transactions performed by such person. We cannot access your password once you change it the first time you sign in to the PEOPLES NET BANKING, as described in section 5.2. If you lose your password or need a new one, we can reset your password to the original one granted to you by us.

You should keep in mind a few tips (these tips are not an exclusive list) which will help you preserve the confidentiality of your Access Information, including, but not limited to, you password:

- never write down your password. Once you have your password, memorize it and do not write it down.
- do not share your password with anyone, unless you intend that person to have full access to your accounts and the use of any or all of the services which you may use through the PEOPLES NET BANKING.
- never give your password over the phone even if the person identifies himself or herself as a Peoples Bank of Wisconsin employee or representative. We do not need your password and will not ask for it.
- never walk away from your computer while logged in to PEOPLES NET BANKING.
- do not choose a password that is easy to guess. Do not use sequential numbers, birthdays, social security numbers, or any other password which might be susceptible to misuse by unauthorized persons.
- change your password every ninety (90) days

5.4 Duty to Review and Verify Periodic Statement. For your own protection, you should review each periodic statement you receive from us that summarizes your account activity or PEOPLES NET BANKING transactions, reviewing each transaction carefully and verifying that each transaction listed on such periodic statements has been authorized by you. It is your responsibility to discover misuse or unauthorized activity in your accounts or through PEOPLES NET BANKING.

5.5 Limited Attempts to Log-in. If you or someone trying to access your account via PEOPLES NET BANKING, whether authorized or unauthorized, is unsuccessful in entering the correct Access Information when prompted three (3) consecutive times, such person's attempt to log in will be denied. At such point, your account(s) will become locked and you will be unable to access them through PEOPLES NET BANKING, and your PEOPLES NET BANKING access will remain locked until you contact the bank via telephone at (715) 634-2674 or (800)575-8528 or in writing via conventional mail, and until the bank receives satisfactory proof, in our sole judgment, that you or an authorized person is seeking to unlock such account(s).

5.6 Automatic Log-out. If, after successfully logging in and accessing PEOPLES NET BANKING, there are ten (10) consecutive minutes of inactivity, the system will automatically log-out of your account. In order to resume activity in PEOPLES NET BANKING or access your accounts after this automatic log-out, you must log-in again.

5.7 Use of E-Mail Messages. You should not send us any account related inquiries or information, or any Access Information, via e-mail as that mode of communication may not be secure. We use security and encryption tools to protect such information when you are logged in to the PEOPLES NET BANKING but not at any other time. Any transfer of account information, access Information or other confidential materials to us through e-mail may represent a serious risk to the security of your confidential information and we shall not be responsible for any damage, penalty or harm of any kind whatsoever occurring as a result of, arising out of, or related to your transfer of any account information, Access Information or other confidential materials to us via e-mail of any kind.

ARTICLE VI

DISCLAIMER OF WARRANTIES

6.1 Use at Sole Risk of Customer. You use the PEOPLES NET BANKING system at your own risk. Your use of PEOPLES NET BANKING means you have read this Agreement and you understand that there is some degree of financial risk in transacting your bank business through the PEOPLES NET BANKING, and any such risk is solely borne by you.

6.2 Disclaimer of Express and Implied Warranties. We, our affiliates, third party service providers or licensors DO NOT represent or warrant that access to or transmissions through the PEOPLES NET BANKING system will be uninterrupted or error free. THE CONTENT OF OUR WEB SITE AND PEOPLES NET BANKING SYSTEM MAY BE INACCURATE, CONTAIN TYPOGRAPHICAL ERRORS, AND IS SUBJECT TO CHANGE AND/OR TERMINATION WITHOUT NOTICE. NO WARRANTY OF NON-INFRINGEMENT OF THIRD PARTY RIGHTS (INTELLECTUAL OR OTHERWISE), TITLE, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR FREEDOM FROM COMPUTER VIRUS, IS MADE BY US REGARDING THE PEOPLES NET BANKING SERVICES OR ANY INFORMATION PROVIDED REGARDING THE SAME.

ARTICLE VII

LIMITATION OF LIABILITY

7.1 Scope of Liability. We will not be liable for any of the following:

- your inability to access your account or make requests via the PEOPLES NET BANKING system due to delays, shutdowns, or problems with your Equipment (including all hardware and software), the transmission facilities, our Web site, our system, our Internet service provider, or your Internet service provider.
- your inability to access your account to make requests via PEOPLES NET BANKING due to any circumstances beyond our control, such as fire, flood, Act of God, interference from an outside party (whether such person has authorized access to your accounts or not), or any other event beyond our reasonable control.
- your inability to make a transfer if, through no fault of our own, you do not have enough money in your account to support such transfer.
- if the money in your account is subject to legal process, adverse claims, a freeze order, or other encumbrances restricting transfer.
- if you have not followed the instructions on how to properly make a transfer or other request through PEOPLES NET BANKING.
- if we have placed a hold on your funds in accordance with our reasonable business procedures.
- if we refuse to process your request because we suspect misuse, abuse, fraud, or unauthorized activity with respect to your accounts by you or any unauthorized party.
- if we properly terminate or suspend your rights to access PEOPLES NET BANKING under this Agreement.
- any other reasons which may be provided elsewhere in this Agreement or in other agreements between you and us.

7.2 No Incidental or Consequential Damages. IN NO EVENT WILL WE, OUR AFFILIATES, THIRD PARTY SERVICE PROVIDERS, OR LICENSORS, OR THE RESPECTIVE OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, SUCCESSORS, ASSIGNS, OR REPRESENTATIVES OF EACH, BE LIABLE TO YOU FOR ANY DAMAGE, LOSS, EXPENSE, PENALTY, FEES (INCLUDING, BUT NOT LIMITED TO, ATTORNEYS ' FEES OR LATE FEES), OR OTHER CHARGE OF ANY KIND, INCLUDING, WITHOUT LIMITATION, DIRECT, INDIRECT, SPECIAL INCIDENTAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES, LOSSES OR EXPENSES, EVEN IF WE ARE ADVISED OF THE POSSIBILITY OF SUCH DAMAGE, LOSS, OR EXPENSE.

7.3 Indemnification by Customer. Except to the extent this Agreement expressly provides otherwise, if you utilize PEOPLES NET BANKING, you agree to indemnify us and our affiliates, third party service providers, and licensors, the respective officers, directors, employees, agents, successors, assigns, and representatives of each from and against any loss, liability, costs, or expenses (including reasonable attorneys' fees) incident to or arising out of any claim, demand, judgment, proceeding or settlement relating to or arising out of the PEOPLES NET BANKING services.

7.4 Customer Equipment Problems. We shall not be responsible for any problems, damage or injury to any of your Equipment (including all hardware and software). We will not bear any liability for any Equipment (including all hardware and software) problems you may experience in any case.

7.5 Not Liability Regarding Linked Sites. We may provide links to third-party Web sites of interest to you throughout our web site and PEOPLES NET BANKING system. This Agreement does not govern those third-party Web sites and we are not responsible for those third-party Web sites, nor are we responsible for their content, security measures, accessibility, or any damage, injury, loss or harm caused by any facet of those Web sites or your viewing of the same, or the goods, information and/or services obtained from such third-party Web sites.

ARTICLE VIII

USE OF INFORMATION

8.1 Disclosure of Information to Affiliates and Partners. We provide to you in our Privacy Policy, which is described in greater detail in section 8.2 of this Agreement, a description of the instances in which we may disclose private non-public information which you may provide to us to certain affiliated groups or partners.

8.2 Privacy Policy. You will receive as a customer of our Privacy Policy which defines for you our policies and obligations with respect to the privacy of your private non-public information which you provide us. A copy of our Privacy Policy is also available on our Web site. You should read this Privacy Policy carefully and, if you have questions abut your rights or our policies described in that policy, you may call us at (715) 634-2674 or (800) 575-8528 to get clarification.

8.3 Security Statement. We have taken reasonable security measures to protect your Access Information and account related information when you use PEOPLES NET BANKING. However, your careful use of your Access Information, including your password, and your continued vigilance in keeping such Access Information confidential, remains your primary security protection concerning your use of PEOPLES NET BANKING. We will notify you if we become aware of a breach of our security measures as soon as possible, but ultimately you bear the responsibility for keeping your Access Information secret and taking the steps to prevent the loss, theft or misuse of your Access Information.

8.4 Retention of Records. We will retain records of your transaction history for those actions or requests which you initiate through the PEOPLES NET BANKING for a period sufficient to comply with applicable regulatory requirements as such requirement may exist from time to time. We recommend that you also retain for your own records all information pertaining to your account transactions with us, including, but not limited to, any activity related to your use of PEOPLES NET BANKING services.

ARTICLE IX

FEES AND DISCLOSURES

9.1 On-line Services. Unless otherwise stated in this Agreement, when you use PEOPLES NET BANKING you will not be charged a fee by us for general access use by us. Please see the Fees and Charges Schedule for the full listing of our fees and charges associated with your use of special products or ancillary services through PEOPLES NET BANKING.

9.2 Other Fees or Charges. Any fees or charges which may be levied by us related to any of your accounts from time to time in accordance with the terms of other existing agreements between you and us will still be assessed and you will still be obligated to pay such fees or charges, regardless of whether or not you utilized PEOPLES NET BANKING for any activity on the account which bears such fee or charge. We reserve the right, in our sole discretion, to withhold, waive, reduce or cancel any fees or charges in individual cases and to change these fees and charges from time to time. You will also be responsible for any and all telephone or other communications charges you incur through your use of the PEOPLES NET BANKING services. Also, you will likely pay an Internet service provider for Internet access which is necessary to access PEOPLES NET BANKING services.

9.3 Account Disclosures. With regard to account disclosures which we are obligated to make to you, you will receive, upon your initial set up of accounts with us or at anytime thereafter upon your request, a brochure entitled Deposit Account Rules, Regulations and Disclosures. You should read this brochure carefully, and if you have any questions about the material in such brochure, you may speak to us in person or by telephone at (715) 634-2674 or (800) 575-8528 for clarification.

ARTICLE X

GENERAL PROVISIONS

10.1 Termination by You. If you wish to terminate your eligibility for and enrollment in PEOPLES NET BANKING under this Agreement, you must contact us in writing. Any termination by you will become effective within ten (10) business days of our receipt of your request. You may contact us with your written request for termination by either of the following ways:

- mailing your request to Peoples Bank of Wisconsin, 10583 Main Street, PO Box 391 Hayward, WI 54843; or
- fax your request to us at (715) 634-8027, with the fax cover page referencing your desire to terminate your eligibility for an enrollment in PEOPLES NET BANKING.

10.2 Termination by Us. We reserve the right to immediately terminate your eligibility for and use of the PEOPLES NET BANKING services under this Agreement in whole or in part at any time, solely at our discretion. You will be provided notice of this termination, but we cannot guarantee you will receive such notice prior to the effective date of the termination. This termination will not alter your obligations for payment to us of any outstanding balances owed to us under this Agreement or other agreements between you and us, and your liability under this Agreement shall survive such termination, unless otherwise provided herein.

10.3 Amendment. We reserve the right to amend this Agreement and its terms, including, but not limited to, any fees or charges to be charged hereunder, your responsibility for unauthorized transactions hereunder, or in any other manner we may choose, upon providing you with a written notice describing this amendment and its effective date, which notice may be made, at our option, by posting such amendment on our Web site, by sending an e-mail to you at the last e-mail address which you provided to us describing such amendment, or by sending a letter by U.S. mail to you at the last mailing address which you provided to us describing such amendment. If we choose to provide such notice on our Web site, you may be asked to click upon a statement indicating your acceptance of such amendment before you are allowed to continue with your use of PEOPLES NET BANKING. Your continued use of PEOPLES NET BANKING after we have provided you with any such notice will constitute your acceptance of all such amendments. We will provide you with advance written notice of amendments when required to do so by law.

10.4 Assignment. You may not assign this Agreement to any other party without our prior written consent, which consent may be withheld solely in our discretion. We may assign this Agreement or delegate any or all of our rights under this Agreement to any third parties without notice to you or need for your consent.

10.5 Notices. Unless otherwise stated in this Agreement or required by applicable law, in the event we are required to provide you with written notice, we may provide you with such notice by one or more of the methods described in section 10.3 of this Agreement. Any such notice received by these methods otherwise permitted by law shall be considered effective notices discharging any responsibility or obligation of notice, contractual, statutory or otherwise, of ours to you.

10.6 Other Documents Incorporated by Reference. The most recent versions of the following documents as the same may be amended by us from time to time, all or some of which may from time to time be found on our site, are expressly incorporated herein by reference:

- enrollment Documents;
- understanding Your Deposit Account;
- Regulation E of the Federal Reserve Board;
- Fees and Charges Schedule;
- Signature Card (including W-9);
- Funds Availability Policy; and
- Rate Sheet (from Regulation DD of the Federal Reserve Board) for savings accounts and money market accounts-as amended; and
- Privacy Policy; and
- And other documents which we may incorporate herein by reference from time to time.

10.7 Legal Capacity of Customer. You represent and warrant to us that you are at least 18 years of age, not under guardianship, and are otherwise able to contract for yourself.

10.8 Entire Agreement. This Agreement is the entire Agreement between you and us regarding your use of PEOPLES NET BANKING services and shall not be superseded by any marketing materials or similar material pertaining to PEOPLES NET BANKING services, whether oral, written or viewed at our or any other Web site.

10.9 Waiver. Our choice not to exercise or pursue any right or remedy under this Agreement is solely within our discretion and shall not be deemed a waiver of any such right or remedy in the future.

10.10 Serviceability. If any provision of this Agreement or any portion thereof is void or unenforceable in any jurisdiction, such ineffectiveness or unenforceability shall not affect the validity and enforceability of such provision or portion thereof in that jurisdiction or the validity or enforceability of any other provision in any other jurisdiction.

10.11 Applicable Law. This Agreement shall be governed by the laws of the state of Wisconsin, without reference to conflict of laws principles.

10.12 Statute of Limitations. To the greatest extent permitted by applicable law, the parties to this Agreement (you and us) agree that the statute of limitations for any cause of action arising under or out of this Agreement shall be one (1) year from the date such cause of action shall have accrued, and that all such causes of action must be brought as a formal claim pursuant to the dispute resolution process described in section 10.13 prior to the expiration of the statute of limitation described in this section 10.12.

10.13 Dispute Resolution. To the greatest extent permitted by applicable law, all disputes and controversies between you and us arising out of or in connection with this Agreement shall be submitted first to negotiation and, if not resolved by negotiation, then to mediation, and, if not resolved by mediation, then to arbitration. All such negotiations and any mediation and arbitration proceedings shall be conducted promptly after written notice provided via regular mail from you or us requesting negotiations, mediation, or arbitration. An individual agreeable to both you and us having expertise in the resolution of disputes shall preside over any mediation or arbitration proceeding. Any decision rendered by a mediator shall be advisory only and shall not be final or binding. Any decision rendered by an arbitrator shall be final and binding and may be entered by any court of competent jurisdiction. All mediation and arbitration proceedings shall be conducted in Hayward, Wisconsin in accordance with the applicable rules of the American Arbitration Association. Each party (you and us) will pay its own costs, including all attorneys' fees, in relation to negotiations, mediation, or arbitration, but both parties (you and us) will equally split the costs and fees of obtaining the mediator or arbitrator.

10.14 Headings. The headings in this Agreement are for convenience only and shall not govern nor affect the interpretation of the terms of this Agreement.

ARTICLE XI

PEOPLES E-PAY

The E-Pay Service allows you to schedule E Payments through NetTeller. E-Payments cannot be made from savings accounts, IRAs, lines of credit, installment loans, or certificates of deposit, because of the limitations discussed below.

Limits On Online Banking Transactions: You must have enough available money or credit in any account from which you instruct us to make a payment or transfer. You cannot pay from an installment loan or line of credit or from or into a certificate of deposit or IRA. Payments into loans or lines of credit at Peoples Bank will be credited as payments in the manner set forth in your promissory note or loan agreement. Payments from savings and money market accounts are limited by law and your deposit account agreement with us. For these types of accounts, you may only make up to six payments.

Eligible Payees: You may only designate payees with addresses in the United States. We reserve the right to determine who may be a payee. You may not use the E-Pay Service to purchase securities, to make federal or state tax payments, or to comply with any court order.

Initiating Payments: To initiate a payment, you must identify the person or business you are paying, the payment date, the amount to be paid, and (if you have one) your account number with the payee. You may be asked for additional information when you establish a payee for the first time on our system. You may pay an unlimited number of payees using the E-Pay Service.

Erroneous Payment Requests: You assume sole responsibility for providing us with complete and accurate payment information. We are not responsible for confirming such information, or for identifying or rejecting errors or duplicate payment instructions. If you give us a payment instruction that is incorrect in any way, you agree that we may charge your account for the payment, whether or not the error could have been detected by us. We are not obligated to detect errors in your transfer or payment instructions.

Processing Payments: There are two payment processing times per business day: 2:00 a.m. CST and 12:00 noon CST.

The cut-off time for processing payments on any business day is 11:45 a.m. CST. The business day you instruct us to process the payment is the Payment Initiation Date. For payments entered by 11:45 a.m. CST on the Payment Initiation Date and that are to be paid electronically, we will withdraw funds from your designated account on the Payment Initiation Date and then will process an Automated Clearing House (electronic) payment on the following business day to the payee. For payments entered by 11:45 a.m. CST on the Payment Initiation Date and that are to be paid by check, we will mail a check to the payee on the Payment Initiation Date. The funds will not be withdrawn from your account until the payee deposits the check and it clears through the Bank. Payments that are to be made either electronically or via check that are entered after 11:45 a.m. CST on the Payment Initiation Date, or anytime on a non-business day, will be processed at the first processing time on the next business day. We do not have to make a payment if you do not have sufficient funds or credit available for the payment on the Payment Initiation Date. Although you can enter a payment request 24 hours a day, 7 days a week, your designated Payment Initiation Date must be on a business day. If you direct us to make a payment on a day other than a business day, we will initiate the payment on the following business day.

Scheduling Payments: You should schedule payments sufficiently in advance to ensure that they are received and credited by your payee by the payment due date. WE RECOMMEND THAT YOU SCHEDULE THE PAYMENT INITIATION DATE AT LEAST FIVE (5) BUSINESS DAYS PRIOR TO THE DATE THE PAYMENT IS DUE AT YOUR PAYEE WITHOUT REGARD TO ANY GRACE PERIOD.

Although we may be able to pay certain payees electronically within two business days, it could take longer for payments sent by mail. It is your responsibility to request that payments be made in such a manner that they will be paid on time. You are solely responsible for any damages, such as late fees and finance charges, that may be imposed as a result of your failure to identify the correct Payment Initiation Date and transmit your payment instruction to us in a timely manner. To ensure that critical or time-sensitive payments are received on time, you should consider establishing payment dates (especially for payees that will receive payment by mail during peak holiday periods) well in advance of the payment due date. We will not be responsible for any charges imposed or any other action taken by a payee resulting from a payment that you have not scheduled properly. In addition, we will not be liable if any third party through which any E-Payment is made (i.e., the postal system) fails to properly transmit the payment to the intended payee.

Changing or Canceling Payments: You may cancel or change any scheduled payment by utilizing NetTeller up until the time it is processed on the Payment Initiation Date. If the payment has been entered or scheduled by or before 1:45 a.m. CST on the Payment Initiation Date, you have until 2:00 a.m. CST to change, modify or delete that payment. If the payment has been entered between 2:01 a.m. and 11:45 a.m. on the Payment Initiation Date, you have until 12:00 noon CST to change, modify or delete that payment. You may also call us at (800) 575-8528 or write us at Peoples Bank of Wisconsin, PO Box 391, Hayward WI 54843, in time for us to receive your request three business days or more before the payment is scheduled to be made. If you call, we may also require you to put your request in writing and get it to us within 7 days after you call. If you order us to stop one of these payments by phone or by mail three business days or more before the transfer is scheduled, and we do not do so, we will be liable for your losses or damages.

Rejecting Payment Requests: We may reject any payment request with or without cause or prior notice. If we do, we will notify you promptly of the rejection orally, electronically or in writing.

Joint Accounts: Since joint account holders may share the same payee list, any account owner or authorized signer may (a) authorize transfers and payments to or from joint accounts, (b) cancel payments, and (c) remove any payee from the list.

Provisions: We may introduce new services or enhance existing services from time to time. Unless we state otherwise, any new or enhanced services will be subject to the terms of this Agreement. By using new or enhanced services when they become available, you agree to be bound by the terms and conditions relating to the services.

We may amend (add to, delete from, or change) the terms of this Agreement at any time by sending a notice to any of you at the address or email address shown in our records, by posting the notice or an amended agreement on our web site, or delivering it to you. You may choose not to accept the change by closing your account(s) or terminating this agreement and your use of the Service.

You agree to take precautions to protect your NetTeller ID and PIN. In addition, you should take precautions to protect your personal identification, such as your driver's license numbers and your social security numbers, to help prevent unauthorized access to your account.

This Agreement is governed by the laws of the State of Wisconsin and applicable federal law.

By accepting this NetTeller Peoples E-Pay Agreement and Disclosure Statement, you agree to its terms.