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DEPOSIT r,?000NT AGREEMENT AND LISCLOSURE
<br />Depositor: State of Colorado Mined Land Reclamation Board Financial First National Bank of Durango
<br />TED R HUBBS FAMILY TRUST, Barbara Institution: Not Just A Bank, Your Banking Partner
<br />Hubbs Trustee PDPA 010004005101 259 West Ninth Street
<br />367 COUNTY RD 129 PO Box L
<br />HESPERUS, CO 81326 Durango, CO 81302
<br />INTRODUCTION. In this Deposit Account Agreement and Disclosure, each and all of the depositors are referred to as "you" and "your." The Financial
<br />Institution is referred to as "we," "our," and "us." This Deposit Account Agreement contains the terms and conditions governing certain of your deposit
<br />accounts with us. As used in this document, the term "Agreement" means this document, the signature card, a Rate and Fee Schedule (the
<br />"Schedule"), Truth in Savings disclosures, a Funds Availability Policy Disclosure, and an Electronic Funds Transfer Agreement and Disclosure, if
<br />applicable. Each of you signing the Signature Card for a deposit account acknowledges receipt of this Agreement, and agrees to the terms set forth in
<br />the Agreement, as amended from time to time. You agree that we may waive, in our sole discretion, any fee, charge, term, or condition set forth in this
<br />Agreement at the time the Account is opened or subsequent thereto, on a one-time basis or for any period or duration, without changing the terms of
<br />the Agreement or your obligation to be bound by the Agreement, and we are not obligated to provide similar waivers in the future or waive our rights to
<br />enforce the terms of this Agreement.
<br />DEPOSIT ACCOUNTS. From time to time, we may offer or you may open a variety of deposit accounts. Each such account (the "Account") is subject
<br />to the general terms and conditions and any specific terms and conditions relating to that type of account that may be set forth in this Agreement. If
<br />you open multiple Accounts, you may receive Schedule information for each Account, but this Agreement will cover all your Accounts with us. Each of
<br />you will be jointly and severally liable to us for debit balances in the Account, including without limitation overdrafts and Account charges, and jointly
<br />and severally promise to pay, upon demand, any and all debit balances, all fees and charges, and our reasonable attorneys' fees and costs and
<br />expenses of collection, including but not limited to those incurred at trial and on any appeal.
<br />INTEREST. If your Account earns interest, the following information applies: (a) Payment of Interest. We will pay interest at the annual rate specified
<br />on the Schedule, which does not reflect compounding ("Interest Rate"). The Schedule also sets forth the frequency of interest payments, the frequency
<br />of any compounding and crediting, the interest accrual basis, the balance on which interest will be paid, and any minimum balance requirements. (b)
<br />Minimum Balance Requirements. The Schedule may specify a minimum balance that you are required to maintain in your Account. If the minimum
<br />balance is not maintained during a specified period, we, at our option, may not pay interest on your Account and/or may charge a fee for that period.
<br />You should review any minimum balance requirements on the Schedule. (c) Initial Interest Rate. The initial interest rate is the current annual rate of
<br />interest that we will pay on the specified balance in your Account. We may pay interest at different rates, depending on the amount deposited and the
<br />type of depositor (individual, business, non-profit organization, etc.). (d) Interest Compounding and Crediting. The Schedule will indicate the
<br />interest compounding and crediting frequency for your Account (if any). Compounding generally means that interest is being accrued on earned
<br />interest. Interest may be compounded more frequently than interest is credited to your Account. (e) Interest Accrual. We may accrue interest on your
<br />Account more frequently than we pay or credit interest. The interest that has been calculated, but not paid to the Account, is called accrued unpaid
<br />interest. (f) Changes. We have the right to change the rates and fees in accordance with the terms of the Schedule. We also reserve the right to
<br />change any other term of this Agreement at our sole discretion.
<br />FEES AND CHARGES. Subject to applicable law, you agree to pay us the fees and charges shown in the Schedules as are applicable to your Account
<br />or for other services performed by us. You agree the fees and charges may be changed by us from time to time and authorize us to charge your
<br />account for their payment whether or not each charge results in an overdraft of your account. We will notify you of the changes, to the extent required
<br />by law.
<br />BALANCE METHODS. As used in this Agreement, the "average daily balance" method means "the application of a periodic rate to the average daily
<br />balance in the account for the period, determined by adding the full amount of principal in the account for each day of the period and dividing that
<br />figure by the number of days in the period." The "daily balance" method means "the application of a daily periodic rate to the full amount of principal in
<br />the account each day."
<br />DEPOSIT RULES. The following terms apply to deposits made to your Account: (a) Endorsements. You authorize us to accept transfers, checks,
<br />and other items for deposit to your Account if they are made payable to, or to the order of, any one or more of you, whether or not they are endorsed
<br />by you. You authorize us to supply missing endorsements, and you warrant that all endorsements are genuine. All checks and other items deposited
<br />to your Account should be endorsed payable to the order of us for deposit only, followed by your signature and Account number. All endorsements
<br />must appear on the back of the check or other item within the first 1-1/2 inches from the left side of the item when looking at it from the front. While we
<br />may accept non-conforming endorsements, you will be responsible for any loss incurred by us due to the delay in processing or returning the item for
<br />payment. (b) Final Payment. All non-cash items (for example, checks) deposited to your Account are posted subject to our receipt of final payment
<br />by the payor bank. Upon receipt of final payment, the item becomes a collected item. If final payment is not received or if any item you have deposited
<br />or cashed is charged back to us for any reason, you authorize us to charge any of your Accounts, without prior notice and at any time, for the amount
<br />of the returned item, our returned item fee, any interest paid on that item, and any other fee we pay or incur. We reserve the right to refuse any item for
<br />deposit into your Account. (c) Direct Deposits. If we offer direct deposit services for automatic preauthorized deposits to your Account of Social
<br />Security payments or automatic transfers from your other accounts with us, you must notify us at least thirty (30) days prior to the next scheduled direct
<br />deposit or preauthorized transfer if you wish to cancel the direct deposit or transfer service. If any amount deposited must be returned to the
<br />government for any reason, you authorize us to deduct the amount from your Account as provided in (b) above. (d) Crediting of Deposits. The
<br />Funds Availability Policy Disclosure provided to you reflects our policies relating to the availability of deposited funds.
<br />WITHDRAWAL RULES. The following terms apply to withdrawals from your Account: (a) Manner of Withdrawal. You may make withdrawals from
<br />your Account in any manner that is permitted by us for the type of Account that you have opened. Withdrawals by mail will be posted to your Account
<br />as of the day the transaction is processed by us. We may refuse to accept any check other than standard checks provided by us, or approved by us in
<br />advance. Withdrawals and transfers from your Account may be restricted as provided in the Agreement, or in the Schedule, or by applicable law. (b)
<br />Withdrawal Restrictions and Overdrafts. We do not have to allow you to make a withdrawal from your Account if you don't have sufficient available
<br />funds in the Account to cover the full amount of the withdrawal. If there are available funds to cover some, but not all, of the withdrawals or other
<br />debits (such as charges) to your Account, we may post those withdrawals or other debits for which there are sufficient available funds in any order we
<br />may choose at our sole discretion. If there are insufficient available funds to cover some of the withdrawals or debits presented against your Account,
<br />such items will be handled in accordance with our overdraft procedures or in accordance with any other agreement you may have with us (such as an
<br />overdraft protection program). Even if we choose to pay one or more overdrafts, we are not obligated to cover any future overdrafts. Checks or other
<br />items drawn on your Account against insufficient available funds may be subject to a service charge. We also may refuse to allow a withdrawal if there
<br />is a dispute about the Account (unless a court has ordered us to allow the withdrawal), the Account is garnished or attached, the Account has been
<br />pledged as collateral for a debt, the availability of the funds on deposit cannot be verified, any required documentation has not been presented, or you
<br />fail to repay an obligation to us on time. (c) Notice Requirements. Federal regulations require us to retain the right to require you to give at least
<br />seven (7) days notice in writing prior to any intended withdrawal from a savings, NOW, or money market account. Although we usually pay withdrawals
<br />or checks without notice on these accounts, doing so does not mean that we give up this right. (d) Postdated Items. You agree that when you write a
<br />check, you will not date the check in the future. If you do and the check is presented for payment before the date of the check, we may pay it or return
<br />it unpaid. You agree that if we pay the check, the check will be posted to your Account on the date we pay the check, even though the posting date is
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