This disclosure contains important information about our Home Equity Line of Credit. You should read it carefully and keep a copy for your records.

Availability of Terms: The terms described below are subject to change at any time. If these terms change (other than the annual percentage rate) and you decide, as a result, not to enter into an agreement with us, you are entitled to a refund of any fees that you have paid to us or anyone else in connection with your application.

Security Interest: We will take a mortgage, deed of trust or other security interest on your home. You could lose your home if you do not meet the obligations in your agreement with us.

Possible Actions: We can terminate your line, require you to pay us the entire outstanding balance in one payment, and charge you certain fees if:

• You engage in fraud or material misrepresentation in connection with the line.
• You do not meet the repayment terms.
• Your action or inaction adversely affects the collateral or our rights in the collateral.
• The prospect of payment, performance, or realization of our rights in the collateral is significantly impaired by your action or inaction (including, for example, if you engage in fraud or material misrepresentation in connection with the line at any time).

We can refuse to make additional extensions of credit or reduce your credit limit if:

• The value of the dwelling securing the line declines significantly below its appraised value for
  purposes of the line.
• We reasonably believe you will not be able to meet the repayment requirements due to a material change in your financial circumstances.
• You are in default of a material obligation in the agreement.
• Government action prevents us from imposing the annual percentage rate provided for or impairs our security interest such that the value of the security interest is less than 120 percent of the credit line.
• A regulatory agency has notified us that continued advances would constitute an unsafe and unsound practice.
• The maximum annual percentage rate is reached.

The initial agreement permits us to make certain changes to the terms of the agreement at specified times or upon the occurrence of specified events.

Minimum Payment Requirements: You can obtain advances of credit over a set number of years depending upon the terms you select. This period is called the “Draw Period,” after the Draw Period ends you will be required to repay the outstanding balance over a set number of years depending upon the terms you select, this is called the “Repayment Period.” The options available are as described below:

During the Draw Period, which will be either 3 years (36 months), 5 years (60 months) or 10 years (120 months) depending on the terms of the home equity line of credit product selected, you may access available funds up to your credit limit. Payments will be due monthly during the Draw Period and will be determined based on the amount of finance charge accrued on outstanding advances each month, plus
any fees and any amounts past due. This minimum payment during the Draw Period will not reduce the principal that is outstanding on your credit line.

After the Draw Period ends, you will no longer be able to obtain credit advances. The outstanding balance must be repaid over the applicable Repayment Period as indicated in the table above, which will be either 10 years (120 months), 15 years (180 months), 20 years (240 months), 22 years (264), or 25 years (300 months), based on the terms of the home equity line of credit product selected at the time you sign the credit agreement. During the Repayment Period, payments will be due monthly in an amount sufficient to amortize the principal amount you owe on the last day of the Draw Period, plus interest, in substantially equal monthly installments during the repayment period, plus any fees and any amounts past due.

Minimum Payment Example: This payment example is based on a $10,000 line of credit with a Draw period of 10 years and a Repayment Period of 20 years. If you made only the minimum monthly payments and took no other credit advances, it would take 360 months to pay off a credit advance of $10,000 at an ANNUAL PERCENTAGE RATE of 9.500%. During that period, you would make 120 monthly payments varying between $72.88 and $80.68 in the draw period followed by 239 monthly payments of $93.21 in the repayment period and a final payment of $91.69.

Fees and Charges: You must pay the following fees to open and maintain your line of credit:

You must pay us the following fees at origination. Lender fees will be to open your line of credit:

*Fee names and amounts may vary based on applicable state laws. Lender fees will never exceed
$2,195.00 unless you choose to buy down your rate.

Estimation of Third-Party Closing Fees. To open and maintain a line of credit, you must pay certain fees to third parties. These fees generally total between $0.00 and $9,999.00. If you ask, we will give you an itemization of fees you will have to pay to third parties.

Property Insurance. In addition to the fees and charges described above in this section, you must carry insurance (hazard and flood insurance, as applicable) on the property that secures the line of credit. You may obtain all required property insurance from and through anyone you choose that is reasonably acceptable to us. (You may not obtain required property insurance from or through us.)

Minimum Draw Requirements: At closing, the minimum initial credit advance required on the line of credit will be determined based on the total line amount and applicable product or state requirements. The minimum initial draw will be one of the following, depending upon the product selected: (i) $25,000, (ii) 100% of the total line amount (for lines of credit less than $50,000), or (iii) 75% of the total line amount (for lines of credits of $50,000 or more). For any subsequent draws, the minimum draw amount will be the greater of $1,000 or the minimum amount required by state law. All minimum draw requirements are subject to change based on product availability and state-specific regulations in effect at the time of closing. There is no minimum outstanding balance requirement.

Tax Deductibility: You should consult a tax advisor regarding the deductibility of interest and charges on your line of credit.

Variable-Rate Feature: The line has a variable rate feature, and the annual percentage rate (corresponding to the periodic rate) and the minimum payment can change as a result.

Index: The APR is based in part on the value of an index. The index is the Prime Rate as published in THE WALL STREET JOURNAL on the first day of each calendar month in the “Money Rates” table of THE WALL STREET JOURNAL (If more than one index value is published we will use the highest
published index value.) If this index is no longer available, we will choose a new index and margin. The new index will have a historical movement substantially similar to the original index, and the new index and margin will result in an APR that is substantially similar to the rate in effect at the time the original index becomes unavailable.

Annual Percentage Rate (APR): To determine the APR that will apply to your loan, we may add a margin to the value of the index. We will then round the result to the nearest 0.125 percentage points. The margin is determined based on an evaluation of credit history, loan terms, loan amount, loan-to-value ratio, occupancy, and/ or property location. The annual percentage rate does not include costs other than interest.

Ask us for the current index value, margin and annual percentage rate. After you open a credit line, rate information will be provided on periodic statements that we will send you.

Rate Changes: The annual percentage rate can change monthly, with the first change typically occurring on the first day of the month following an index change. The maximum ANNUAL PERCENTAGE RATE that can apply is 18.000% or the maximum permitted by law, whichever is less Except for this lifetime rate cap, there is no limit on the amount by which the variable interest rate can increase during any one-year period. The minimum ANNUAL PERCENTAGE RATE that can apply under the variable-rate feature is 4.000%.

Maximum Rate and Payment Example: If you had an outstanding balance of $10,000 at the beginning of the draw period, the minimum monthly payment at the maximum ANNUAL PERCENTAGE RATE of 18.000% would be $152.88. This annual percentage rate could be reached on the first day of the first month calendar following the opening of your credit line.

If you had an outstanding balance of $10,000 at the beginning of the Repayment Period, the minimum monthly payment during the Repayment Period at the maximum ANNUAL PERCENTAGE RATE of 18.000% would be $154.33. This annual percentage rate could be reached on the first day of the Repayment Period.

Historical Example: The following table shows how the annual percentage rate and the minimum monthly payments for a single $10,000 credit advance would have changed based on changes in the index over the past 15 years. The index values are from January 1st of each year. While only one payment amount per year is shown, payments would have varied during each year.

The table assumes that no additional credit advances were taken, that only the minimum payments were made each month, and that the rate remained constant during each year. The table does not necessarily indicate how the index or your payments will change in the future.