You request a loan under this plan whenever you use the credit card we supply you to make purchases or receive cash loan advances.

When you request a loan, we will, subject to any limitations contained in this agreement, advance exactly the amount you request, by advancing the money directly to you, or by paying a designated third person or account, depending on how we agree to make the advance. We will record the amount as a loan in your loan account.

However, we will not ordinarily grant any request for a loan which would cause the unpaid principal of your loan account balance to be greater than the Line of Credit listed above. We may, at our option, grant such a request without obligating ourselves to do so in the future.

We will accrue periodic rate Finance Charges on purchases and cash advances from the date of each transaction. These Finance Charges will be calculated at the end of each billing cycle. There is a 25-day grace period for Current Purchases. This means that periodic rate Finance Charges on Current Purchases will not be imposed if you pay your entire new balance within 25 days of the billing date (“Current Purchases” are: (a) new purchases made during the current billing cycle; and (b) purchases made during the preceding billing cycle if you paid the new balance for that cycle in full by the due date). To avoid additional Finance Charges being applied to Current Purchases on the next month’s statement, pay the entire new balance on each statement in full by the due date.There is no grace period for cash advance and cash equivalent transactions.

Payments to your account will be applied in the following order: Finance Charges, fees, and then payments. American State Bank’s policy will be to give you credit for that payment on the date your payment is received by coupon/statement and/or source of funds. The cutoff time for loan payments will be 5:00 P.M. on regular business days that we are open. If your payment is made after the above stated cut off time, your payment will be considered as “non-conforming”.

Non-conforming payments will be posted as soon as American State Bank is able to identify the loan to which the payment applies (for payments without coupons/statements) or on our next business day – or no later than within five business days of receipt. If your payment is made by ACH or AFT, your payments will be credited upon receipt. For these purposes, Saturdays, Sundays and federal holidays are not considered regular business days.

Payments can be made in person, at the night depository, by telephone transfer (AFT), ACH or by mail to any American State Bank office.

Periodic Rate Finance Charges will be calculated using daily periodic rates, which correspond to certain Annual Percentage Rates. These rates are different for purchases, balances transfers, cash advances, and other transactions as specified by us from time to time.

All rates are fixed rates.

(A) The rate for purchases & balance transfers on your SCORECARD VISA account will equal 13.80% ANNUAL PERCENTAGE RATE (a daily periodic rate of .0378%)

(B) The rate for cash advances on your VISA CLASSIC or SCORECARD VISA account will equal 18.00% ANNUAL PERCENTAGE RATE (a daily periodic rate of .0493%)

(C) The rate for purchases and balance transfers on your VISA CLASSIC account will be 15.84% ANNUAL PERCENTAGE RATE (a daily periodic rate of .0434%)

To avoid incurring an additional finance charge on the balance of purchases on your monthly statement, you must pay the net balance shown on your monthly statement on or before the payment due date. The finance charges for a billing cycle are computed by applying the monthly periodic rate to the “average daily balance” of purchases. To get the average daily balance, we take the beginning balance of your account each day & subtract any payments, credits, non-accruing fees and unpaid finance charges. We do not add in new purchases or cash advances. This gives us the daily balance. Then we add up all the daily balances for the billing cycle and divide the total by the number of days in the billing cycle.

To avoid incurring an additional finance charge on the beginning balance of cash advances reflected on your monthly statement, you must pay the beginning balance shown on your monthly statement on or before the payment due date. No grace period is provided for current cycle transactions. The finance charges for a billing cycle are computed by applying the monthly periodic rate to the “average daily balance” of cash advances. To get the average daily balance, we take the beginning balance of your account each day, add any new purchases or cash advances, and subtract any payments, credit, non-accruing fees and unpaid finance charges. This gives us the daily balance. Then we add up all the daily balances for the billing cycle and divide the total by the number of days in the billing cycle.

Our SCORECARD VISA (SCV) Plan fee for Single/joint up to four cards issued per application is a $25 annual fee. You agree that we may add the amount of the particular membership fee to your loan account balance.

• A Late Payment Fee of $10.00 for VISA CLASSIC or $15 for SCV will be assessed for any payment not received within 10 days of the payment date.
• A Bad Check Fee of $10.00 for VISA CLASSIC or $15.00 for SCV will be assessed for each check returned to us for non-sufficient funds.
• We may charge a reasonable fee for copies of statements, sales slips or refund slips requested by Cardholder.
• All charges made on the charge card are due and payable when you receive your periodic statement.

You will be in default on this agreement if one or more of the following occurs: (a) you fail to make a payment in full within 10 days after it is due; (b) you fail to observe any covenant of this agreement (including any separate agreements securing this agreement), the breach of which materially impairs the condition, value or protection of our right in any property securing this agreement, or materially impairs your prospect to pay amounts due under this agreement. You agree to pay the reasonable expenses we incur to realize upon any security in the event of your default.

Subject to any limitations contained in the section entitled “Right to Cure,” we may do any or all of the following if you are in default: (a) we may require you to immediately pay all amounts you owe us under this agreement: (b) we may use our right of set-off unless prohibited: (c) we may use any remedy provided by state or federal law: and (d) we may use any remedy provided in any agreement which secures loans under this agreement. If you are in default on this agreement or any agreements securing this agreement, we may (without being limited by any applicable right to cure) deny any request for credit that you may make or that you have made but which we have not yet granted.

Even if we choose not to use one of our remedies when you default, we can still use that remedy if you default again. If we do not use a remedy when you default, we can still consider your action as a default in the future.

Except when otherwise provided by law, if this is a consumer credit transaction or this agreement is secured by a one-family or two-family dwelling that is your homestead, we may exercise our remedies only if you fail to exercise your right to cure a default within the time provided by law after a written notice of your default and right to cure is mailed or delivered to you. However, no notice of default or right to cure is necessary and we may immediately exercise any and all of our remedies if you have defaulted one or more times within the previous 365 days and you have been given notice of default and right to cure with respect to such default.

Our American State Bank SCORECARD VISA (SCV) is a credit card program. This credit card is available to persons 18 years and older.

Cardholder will accumulate CashBack credits on the basis of one CashBack credit per dollar of SCV qualified purchases through the SCORECARD VISA CashBack Program period. CashBack credits accumulated are listed on your periodic statement. Qualified purchases do not include cash advances, balance transfers, convenience checks or returns.

Once each year all CashBack credits that you have accumulated will be converted to cash based on the CashBack tiered matrix below and credited to your SCV account.

CASH BACK TIERED MATRIX*

CashBack credits are not exchangeable or transferable including, without limit, to the estate of a deceased cardholder or to the beneficiary on a trotten trust account: ARE NOT REDEEMABLE IN CASH; AND CANNOT BE USED AS PAYMENT FOR OBLIGATIONS OWED THE BANK.

This Program may be modified, suspended or cancelled at any time without restriction or penalty. CashBack credit may be forfeited due to violations of these rules. This Program is void where prohibited by law. You are responsible for any federal, state or local income or other taxes. Points are subject to adjustment due to system or posting errors to the SCV program. The SCV credit card must be open and clear (i.e. not cancelled, terminated, delinquent or otherwise not available to use for charges) at the time each year CashBack credits are posted to your account. Otherwise, your CashBack credit will be forfeited. Your periodic statement will normally include a year-to-date accounting of your CashBack credits. The bank reserves the right to alter, change, or terminate this program at any time. Changes may affect points already accumulated. You agree to hold Fidelity National Information Services (FIS), and any vendors associated with the Program, as was any card association that your Sponsor is a member of, totally harmless if your Sponsor fails to meet its contractual and other obligations with FIS, which results in the Program being interrupted or terminated prior to any CashBack credits being awarded to you.

All Program rule determinations by FIS are final. Your use of your card following receipt of these rules will indicate your agreement to these rules.

We reserve the right to change any term in this agreement. However, no change will be effective until: we send you written notice of the change and you agree to the change in writing 45 days prior to the change. You agree that any change will apply to loan advances made after the effective date of the change and to the balance of your loan account incurred before the effective date of the change.

This agreement can be cancelled by you or by us at any time, upon giving notice. However, you must still pay all you owe under this Agreement even if it’s cancelled.

You agree to supply us with whatever information we reasonably feel we need to decide whether to continue this plan. We agree to make requests for this information without undue frequency, and to give you reasonable time in which to supply the information.

You authorize us to make or have made any credit inquiries we feel are necessary. You also authorize the persons or agencies to whom we make these inquiries to supply us with the information we request.

You agree to return to us, upon our request, all checks, credit cards, or other access devices used to obtain advances under this agreement.

The Ohio laws against discrimination require that all creditors make credit equally available to all credit-worthy customers and that credit reporting agencies maintain separate credit histories on each individual upon request. The Ohio Civil Rights Commission administers compliance with this law.

If you are a married WI resident and applying for separate credit, you must provide information about your spouse. No provision of any marital property agreement, unilateral statement under S.766.59 Wis. Stats., or court decree under S.766.70 Wis. Stats., adversely affects the interest of the creditor unless the creditor, prior to the time the credit is granted or an opened credit plan is entered into, is furnished a copy of the agreement, statement, or decree, or has actual knowledge of the adverse provision.

The applicant, if married, may apply for a separate account. After credit approval, each applicant shall have the right to use this account to the extent of any credit limit set by the creditor and each applicant may be liable for all amounts of credit extended under this account to each joint applicant.

May contact the New York State Banking Department to obtain a comparative listing of credit card rates, fees and grace periods. New York State Banking Department: 1-800-518-8866.

This notice contains important information about your rights and our responsibilities under the Fair Credit Billing Act.

If you think your bill is wrong, or if you need more information about a transaction on your bill, write to us on a separate sheet at the address listed on your bill. Write to us as soon as possible. We must hear from you no later than 60 days after we sent you the first bill on which the error or problem appeared. You can telephone us, but doing so will not preserve your rights.

In your letter, give us the following information:

• Your name and account number
• The dollar amount of the suspected error.
• Describe the error and explain, if you can, why you believe there is an error. If you need more information, describe the item you are not sure about.

If you have authorized us to pay your credit card bill automatically from your savings or checking account, you can stop the payment on any amount you think is wrong. To stop the payment, your letter must reach us three business days before the automatic payment is scheduled to occur.

We must acknowledge your letter within 30 days unless we have corrected the error by then. Within 90 days, we must either correct the error or explain why we believe the bill was correct. After we receive your letter, we cannot try to collect any amount you question or report you as delinquent. We can continue to bill you for the amount you question, including Finance Charges, and we can apply any unpaid amount against your credit limit. You do not have to pay any questioned amount while we are investigating, but you are still obligated to pay the parts of your bill that are not in question.

If we find that we made a mistake on your bill, you will not have to pay any Finance Charges related to any questioned amount. If we did not make a mistake, you may have to pay Finance Charges, and you will have to make up any missed payments on the questioned amount. In either case, we will send you a statement of the amount you owe and the date that it is due.

If you fail to pay the amount that we think you owe, we may report you as delinquent. However, if our explanation does not satisfy you and you write to us within ten days telling us that you still refuse to pay, we must tell anyone we report you to that you have a question about your bill. And, we must tell you the name of anyone we reported you to. We must tell anyone we report you to that the matter has been settled between us when it finally is.

If we don’t follow these rules, we can’t collect the first $50 of the questioned amount, even if your bill was correct.

If you have a problem with the quality of property or services that you purchased with a credit card and you have tried in good faith to correct the problem with the merchant, you may have the right not to pay the remaining amount due on the property or services. There are two limitations on this right: (a) you must have made the purchase in your home state or, if not within your home state, within 100 miles of your current mailing address: and (b) the purchase price must have been more than $50. These limitations do not apply if we own or operate the merchant or if we mailed you the advertisement for the property or services. (This Special Rule for Credit Card Purchases applies only to purchases made with your credit card, not to purchases made with special checks.)

You will not be liable for unauthorized use of your credit card that occurs after you notify us at American State Bank, PO Box 140, Sioux Center, Iowa 51250, orally or in writing of the loss, theft or possible unauthorized use. In most cases you will not have any liability to us for unauthorized transactions. In some situations we may, to the extend permitted by law and relevant card association rules, hold you responsible for up to $50 of unauthorized use that occurs before you notify us. In any case, your liability for unauthorized use will not exceed $50.

“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 VISA CLASSIC or SCORECARD VISA. This limit on liability does not apply to ATM transactions or to transactions using your Personal Identification Number (PIN) which are not processed by VISA, or to commercial cards. If you are liable for unauthorized transactions, your liability will not exceed $50.00. In addition, even in these circumstances you will not be liable for unauthorized transactions that occur after you notify us at the address above, orally or in writing, of the loss, theft, or possible unauthorized use.”

You are being asked to guarantee this debt. Think carefully before you do. If the borrower doesn’t pay the debt, you will have to. Be sure you can afford to pay if you have to, and that you want to accept this responsibility.

You may have to pay up to the full amount of the debt if the borrower does not pay. You may also have to pay late fees or collection costs, which increase this amount.

The creditor can collect this debt from you without first trying to collect from the borrower. The creditor can use the same collection methods against you that can be used against the borrower, such as suing you, garnishing your wages, etc. If this debt is ever in default, that fact may become a part of your credit record.

This notice is not the contract that makes you liable for the debt.