This policy applies to deposits into accounts that are opened through the Bank of Internet USA Website (the "Website") and at the office of Bank of Internet USA (the "Office"). All deposits into accounts opened through the Website and the Office are processed at Bank of Internet USA's processing facility located in San Diego, CA, and are received either electronically or through the mail. Please do not send cash deposits. In the event Bank of Internet USA receives cash deposits, you agree that Bank of Internet USA's determination of the amount of the deposit will be conclusive. The Bank is responsible for mailed deposits only after the Bank has received them. The Bank is not liable for any deposits, including cash, lost in the mail. Remember: when you use the U.S. mail to make a deposit, you will need to allow extra time for the deposit to reach us.

General Policy. The Bank's policy is to make funds from certain electronic deposits available to you on the business day Bank of Internet USA receives the deposit. However, Bank of Internet USA may delay the availability of funds from your cash and check deposits to afford us time to verify the deposit and make sure the deposit is collected. During the delay, you may not withdraw the funds in cash and Bank of Internet USA will not use the funds to pay checks you have written or other debits against the account that you have initiated, such as electronic bill payments.

Determining the Availability of a Deposit. The length of the delay is counted in business days from the day of your deposit. Every day is a business day, except Saturdays, Sundays, and federal holidays. For walk-in deposits, if Bank of Internet USA receives your deposit before 3 PM Pacific Time on a business day Bank of Internet USA is open, Bank of Internet USA will consider that day to be the day of your deposit.

Same Day Availability. Funds from electronic payments such as direct deposits of payroll or electronic benefits and deposits you make to your designated account from a credit card will be available on the day Bank of Internet USA receives the payment. Cash, funds you transfer from another financial institution account via "ACH", or wire transaction, will be available on the day Bank of Internet USA receives the funds. Provided that the funds are received by 1 PM (PST).

Next Day Availability. Funds from the following deposits on established accounts are available on the first business day after the day of your deposit:

• U.S. Treasury checks payable to you
• U.S. Postal Service money orders payable to you
• State or local government checks payable to you
• Cashier's Checks payable to you
• Traveler's checks payable to you
• Federal Reserve Bank checks payable to you

Note: Money Orders other than U.S. Postal Service money orders payable to you are not given next day availability. Availability will depend on the local and non-local check criteria outlined below. At its discretion, the Bank may decline to accept any item for deposit.

Other Check Deposits. The delay for other check deposits, including non-U.S. Postal Service Money Orders, depends on whether the check is a local check or a non-local check, based on the Bank's processing center location. To see whether a check is a local or a non-local check, look at the routing number on the check. If the first four digits of the routing number are 1220, 3220, 1221, 1222, 1223, 3221, 3222, or 3223, then the check is a local check. Otherwise, the check is a non-local check. Some checks are marked "payable through" and have a four or nine-digit number nearby. For these checks, use the four-digit number or the first four digits of the nine-digit number, not the routing number on the bottom of the check, to determine if these checks are local or non-local.

Local and non-local checks are available as follows:

• Local checks: The first $100 from a deposit of local checks will be available on the first business day after the day of your deposit. The remaining funds from a deposit of local checks will be available on the second business day after the day of your deposit. For example, if you deposit a local check of $700 on Monday, $100 of the deposit is available on Tuesday. The remaining $600 is available on Wednesday.
• Non-local Checks: The first $100 from a deposit of non-local checks will be available on the first business day after the day of your deposit. The remaining funds will be available on the fifth business day after the day of deposit. For example, if you deposit a $700 non-local check on a Monday, $100 of the deposit is available on Tuesday. The remaining $600 is available on Monday of the following week.
• If you deposit both categories of checks, $100 from the checks will be available on the first business day after the day of your deposit, not $100 from each category of check. Longer Delays May Apply. In some cases, the Bank will not make all the funds that you deposit by item available at the times as stated in this policy. Depending on the type of check that you deposit, funds may not be available until the fifth business day after the day of your deposit. However, the first $100 of your deposit will be available on the first business day after the day of your deposit. If we are going to take longer to make all of the funds from these types of deposits available as disclosed above, we will notify you by mail within one business day after we receive your deposit. We will also tell you when the funds will be available. If you need the funds from a deposit right away, you should ask us when the funds would be available.

In addition, funds you deposited by check may be delayed for a longer period under the following circumstances:

• The Bank believes a check you deposited will not be paid;
• You deposited 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; or
• There is an emergency, such as failure of communications or computer equipment.

You will be notified by mail or e-mail if Bank of Internet USA delays your ability to withdraw funds for any of these reasons, and Bank of Internet USA 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 for a local check and the eleventh business day after the day of your deposit for a non-local check.

Special Rule for New Accounts. If you are a new customer, the following special rules will apply during the first thirty (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 and wire transfers will be available the first business day after the day of your deposit. The first $5,000 of a day's total deposits of U.S. Postal Service money orders, traveler's, cashier's, certified, teller's and federal, state and local government checks will be available the first business day after the day of your deposit, if the checks are payable to you. The excess over $5,000 will be available on the eleventh (11th) business day after the day of your deposit. Funds from all other check deposits will be available on the eleventh (11th) business day after the day of your deposit.

Change in Terms. The Bank will send a notice to you at least thirty (30) days before implementing a change to our availability policy, except when the change expedites the availability of funds. Then, the notice may be provided within thirty (30) days after implementation. Such notice will be delivered in accordance via email and in accordance with the provisions of the Banking Documents.

Your compliance with Bank of Internet USA's endorsement standards is necessary to help assure that the checks you deposit will be cleared on a timely basis. Bank of Internet USA's endorsement standards are:

• Customer endorsements must be placed on the reverse side of the check where indicated by preprinted format.
• The remaining area of the check cannot contain any preprinted, stamped or handwritten customer information.
• Some checks or drafts may require personal endorsement.