Revised 06/2005

  1. Introduction
    This agreement (“Agreement”) sets forth the terms and conditions of the online banking service (the “Service”) offered to you by Cathay Bank (“us” and “Bank”). This Agreement supplements, and supersedes where inconsistent, the terms of your account agreement with us. Your use of the Service will be deemed additional evidence of your agreement to these terms. If you want to receive this Agreement in hard copy through the mail, and do not want to receive it here, electronically, please notify our Customer Service Representative at: 1-800-9CATHAY.


  2. Our Service
    You can use this Service to conduct the following activities:

    Account Information - You can obtain information about your account(s) and transactions.*
    Account Transfers - You can transfer funds between your linked accounts with us, including making a transfer to make a payment on a Cathay Bank loan.*
    Bill Payments (Web BillPay) - You can use our web site to access the bill payment service offered by Check Free.*
    E-mail - You can communicate with us electronically.*
    Stop Payment Orders - You can stop payment on a check.*
    Transaction Data Export - You can export transaction data to your personal finance software.*

    3. *These services are not covered by the error resolution or liability sections applicable to electronic fund transfers. Balance information may not reflect recent transactions, and may include funds not available for immediate withdrawal.

    You can access these functions through our web site: http://www.cathaybank.com.
    Our ability to provide certain services depends on our ability to obtain services from others and to access third party networks. In the event any provider or network is unavailable or we determine, in our discretion, that we cannot continue providing any third party network or service access, we may discontinue the related service or may provide the service through an alternate third party provider. In such situations, we will have no liability for the unavailability of access. We will not be responsible for any services you receive from third party vendors.

    The terms of this Agreement apply to all joint accountholders. Each signer on your account will be given a unique User ID and password. Accounts requiring two or more signatures are not eligible for the Service.

  3. Your Equipment
    To use the Service, you must have the computer equipment described in the Cathay Bank Electronic Consent and Disclosure. You are responsible for the selection, installation, maintenance, and operation of your computer and software. We are not responsible for any errors, failures, or malfunctions of your computer or software, or for any computer virus or related problems that may occur with your use of this Service. You are responsible for ensuring that your computer and software are compatible with our system. We reserve the right to change our system requirements from time to time. Note: Some browser software may store user names and security codes to facilitate the future use of a web site. For security reasons, you agree to disable this feature in your browser. Check your browser’s “Help” screen for more information on this feature.

    WE MAKE NO WARRANTY, EXPRESS OR IMPLIED, IN LAW OR IN FACT, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE OR OF MERCHANTABILITY, WITH RESPECT TO THE SERVICE, ANY SERVICE OFFERED BY CHECK FREE SERVICES CORPORATION, OR ANY COMPUTER PROGRAMS, EQUIPMENT OR SOFTWARE THAT YOU USE IN CONNECTION WITH THE SERVICE.


  4. Your User ID and Password
    You will need to enter a User ID and Password to access the Service. We may provide you with a Password or you may select your own Password. You agree to keep your User ID and Password secure and confidential. Never place them on or near your computer. You should memorize your Password and change it periodically. We may act on any Service instruction that is accompanied by your User ID and Password. We may deny access to the Service if you do not enter your Password correctly several times. Persons granted a power of attorney over an account are not authorized to use the Service, and you agree not to provide them with your User ID or password.


  5. Account Balance and Transaction Information
    You can use the Service to obtain account balance and transaction information anytime of the day, seven days a week, except when our system is unavailable for maintenance or other reasons. Please note that the information provided may not include recent transactions and may include funds that are not subject to immediate withdrawal.

    We assume no responsibility for any loss arising from incomplete information or for any temporary interruption in our information system. If you are unable to access our system for any reason, you can contact your branch of account for loan and deposit information or call 1-800-9CATHAY for automated account information.


  6. Transfers
    You may make transfers between your eligible accounts with us that are linked through this Service. Transfers cannot be made from time deposit accounts or from one line of credit account to another line of credit account. Information on transfers to or from your account will be reflected on your periodic statements, will be available to you online, and can be obtained by calling our automated line at 1-800-9CATHAY. We do not provide any other notice of the receipt, transmittal or debiting of funds transfers. You may not be able to transfer funds between Cathay Bank accounts established in different regions of the country using this Service.

    You may schedule a transfer of funds between your accounts with us in two ways: you can request a transfer of funds to be made on the same business day as your request; or you can arrange for a single transfer of funds to be made on a date you specify up to twelve months in advance.

    Preauthorized transactions scheduled to be completed on a business day will be posted to your account as of that business day. Preauthorized transactions scheduled to be completed on a day other than a business day will be completed and posted to your account as of the next following business day. Preauthorized transactions scheduled to be completed on a day which does not exist in a certain month will be completed and posted to your account as of the last business day of the month. Transactions posted to your account as of a certain business day may not be reflected in account balances reported by the Service until the next following business day.


  7. Bill Payment Service
    You can apply for and access the bill payment service offered by Check Free™ Services Corporation (“Check Free”) through our web site. We are not an affiliate of Check Free and assume no responsibility for its bill payment or other services. When you access the bill payment service, you leave our site. Your activity at the Check Free site is subject to the privacy policy of Check Free, and not that of the Bank.

  8. Stop Payment Service
    The stop payment function allows you to stop payment on a check written against your checking account. To stop payment on a check, you must provide us with timely, complete and accurate information on: the account number the item is drawn on; the date of the item; the item number; the payee information and the EXACT amount of the item (dollars and cents). If any information is incomplete or incorrect, we will not be responsible for failing to stop payment on the item. A request becomes effective when we confirm its receipt and have verified that the item has not been paid. From time-to-time, the on-line system may be inoperable. If that occurs, your request can be communicated to us by telephone at 1-800-9CATHAY or by going into a Cathay Bank office.


  9. Hours of Operation
    You can access account information and communicate through the Service 7 days a week, 24 hours a day. There may be times, however, when all or part of the Service is unavailable due to system outages or maintenance. We assume no responsibility for any damage or delay that may result from such unavailability.


  10. Privacy
    Please see our Privacy Policy for information about how we gather, use and secure nonpublic personal information about you. We may release information about you, your accounts and the transactions you perform to companies that perform services for us (such as check printers and data processing firms), to other financial institutions as part of a joint marketing arrangement, to our affiliates, with your permission, and as permitted by law. We may disclose information, for example: where it is necessary or helpful for completing a transaction; to report the existence, history and condition of your account to credit reporting agencies; and to comply with government agency and court orders.


  11. Electronic Mail
    You can use the Service to send us electronic mail ("e-mail"). Since e-mail can be subject to delays and may not be reviewed by us after normal business hours, do not rely on it if you need to communicate with us immediately (e.g., to report an unauthorized transaction). If you need to contact us immediately, call us at 1-800-9CATHAY. We will have a reasonable time to act upon any e-mail request, and reserve the right to reject any instruction or request received by e-mail. Please do not include any sensitive information about yourself or your accounts in e-mail that is not encrypted and sent through a secure e-mail system.

    The e-mail “Contact Us" Service may not be used to make transfers between Bank accounts. You acknowledge that we cannot ensure that e-mail will not be intercepted or affected by the actions or omissions of others, such as third party networks or persons with access to the Internet. Our service providers and we assume no responsibility for viruses created by third parties, or for any third party’s unauthorized access to, or use of, your computer system.

    We make no representation, warranty or endorsement with respect to: (a) information placed on the Internet by third parties; (b) the security or continued availability of the Internet or of any Internet web site, including without limitation our web site; or (c) the services, products or information made available over the Internet by others whose sites may be accessed, directly or indirectly, as a result of our Services.

    You agree that: (a) your use of the Internet will be at your own risk; (b) Internet services are provided to you on an “as is" basis, without warranties of any kind; (c) we, our affiliates, Internet service providers, and licensors will not be liable for any errors, defects in, or the untimeliness or lack of authenticity of, any information provided over the Internet; (d) you will comply with all laws applicable to your Internet activities; (e) you will not transmit any information which is defamatory, abusive, or which may give rise to civil liability; (f) we may monitor your e-mail and Internet communications with our employees; and (g) our Internet Service will be subject to the additional qualifications and operating rules, if any, set forth on our web site.


  12. Business Days
    Our business days are Monday through Friday, excluding holidays. Instructions received after the cutoff hour (8:00 p.m., Pacific Time) or on a non-business day may be deemed received as of the next business day. Services may occasionally be unavailable due to needed maintenance or system/network interruptions. A transfer between your accounts will be posted on the business day we receive the instruction, but will not be available for withdrawal until the next business day.


  13. Documentation
    We will send or make available to you a monthly deposit account statement unless there are no electronic fund transfers in a particular month. In any case, you will receive or have electronic access to a statement at least quarterly.


  14. Service Fees
    There is no fee for accessing information about your accounts or transferring funds between accounts by means of the Service. We may impose a charge, however, for each transfer that exceeds the transaction limit we set for your account each statement period (see the Fee schedule at the end of this Agreement). We are not responsible for any fees that may be billed to you by your Internet service provider or by Check Free.


  15. Limitations
    Transfers from savings accounts and money market deposit accounts are limited by law and your deposit agreement with us. You may only make up to 6 withdrawals and/or transfers each month by check, preauthorized or automatic transfer, draft, or telephone. Only 3 of these 6 transactions may be made by check, draft, debit card or similar order to third parties. See your deposit agreement for further details.


  16. How to Notify Us of a Problem
    If you have a question about a Service transaction, believe your User ID or Password has been lost or stolen, or that someone has transferred or may transfer money from your account without your permission, please contact us immediately by calling our Cathay Bank Customer Service Center at (800) 9CATHAY between 6:00 a.m. and 6:00 p.m. (Pacific Time) or writing to us at Cathay Bank, Alternative Delivery Department, 4128 Temple City Blvd., Rosemead, CA 91770.
  17. Your Responsibility
    Tell us AT ONCE if you believe your User ID or Password has been lost or stolen. 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 two business days, you can lose no more than $50 if someone used your User ID or Password without your permission. If you do NOT tell us within two business days after you learn of the loss or theft of your User ID or Password, and we can prove that we could have stopped someone from using your User ID or Password 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, 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.


  18. Our Responsibility
    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 example, if: (a) your account does not contain sufficient available funds to make the transfer, or the transfer would exceed the credit limit on any overdraft line you have with us; (b) the money in your account is subject to an uncollected funds hold, legal process or any other encumbrance or claim restricting the transfer; (c) the transaction information you supply to us is incorrect, incomplete or untimely; (d) the system was not working properly and you knew about the problem when you requested the transfer; (e) circumstances beyond our control (such as fire, flood, blackouts, viruses, computer breakdowns or telecommunication problems) prevent the transaction, despite reasonable precautions that we have taken; (f) the transfer could not be completed due to the system’s unavailability; (g) you fail to follow our on-screen instructions properly; or (h) we believe the transaction may be unauthorized or are uncertain as to anyone’s authority to use the Service. There may be other exceptions stated in our Agreement with you.


  19. In Case of Errors or Questions about Your Electronic Transfers
    Call or write to us at the number or address listed in Section 16 as soon as you can if you think your statement is wrong or if you need more information about a transaction listed on the statement. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error appeared. You must: (a) tell us your name and account number; (b) describe the error or the transaction 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 (c) 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 after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days to investigate your complaint or question. If we decide to do this, we will credit your account within 10 business days for the amount you think is in error, so that you will have the use of the money during the time that 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. For errors involving new accounts, we may take up to 90 days to investigate your complaint or question, and up to 20 business days to credit your account for the amount you think is in error.

    We will tell you the results within 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.


  20. Other Terms
    This Agreement supplements the terms of your account agreement with us. Please see that agreement for other terms relating to this Service (for example, waivers, governing law, and overdrafts). You agree to comply with the Terms and Conditions found at our web site, as well as any Service guidelines and instructions set forth at that site. Unless we agree otherwise in a writing that specifically refers to this Agreement, this Agreement, our web site Terms and Conditions, the Electronic Consent and Agreement, and your account agreement contain all of the terms of our agreement with you with respect to the Service. The terms of this Agreement will supersede any conflicting terms in the web site Terms and Conditions and your account agreement with respect to the Service.


  21. Change in Terms
    We may 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 e-mail address shown in our records, by posting the notice or an amended Agreement on our web site, or by 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. Your use of the Service after the effective date of the amendment will be evidence of your acceptance of the revised terms.


  22. Termination
    We may terminate or suspend your access to all or part of the Service at any time, with or without cause. We may automatically terminate or suspend your use of the Service without notice if you do not use it for 180 consecutive days. You can terminate this Service by calling us at the address or phone number described in Section 17. If you terminate the Service, let us know if you have any outstanding scheduled transfers that you also wish to cancel. Unless you advise us not to make such transfers, you will be responsible for any transfers we make following your notice of termination. We may refuse to make scheduled Service transfers following termination of the Service.


  23. Business and Other Non-Personal Accounts
    Our obligations set forth in Sections 19 and 20, and the limitations on customer liability set forth in Section 18 and on the back of periodic statements, do not apply in the case of business or other non-personal accounts. The owners of those accounts must notify us immediately if they discover any unauthorized transactions or errors, and must send us a written notice of the problem within a reasonable time (not to exceed 14 days from the date of discovery or the receipt or availability of the first statement or notice reflecting the problem, whichever occurs first). Under no circumstances will we be liable for any special or consequential damages involving such accounts. We may process any online instruction we believe is given by any of you if the instruction is accompanied by your User ID and Password, and you will be obligated for the transfer, even if the instruction is not transmitted or authorized by you.

    Please indicate your agreement with the terms of this Agreement by clicking the “I AGREE” button below. If you do not agree to the terms, please click the “I DO NOT AGREE” button.


  24. Cathay eBanking Fee Schedule Service Fee
    There is no monthly fee for accessing the Service. Fees separately disclosed to you in connection with your account or any transaction fees incurred in using the Services may apply. We may amend our Service pricing from time to time. See our Cathay eBanking fee schedule for details. Certain prices are subject to change without prior notice.