Privacy Statement

First National Bank “Pioneers in your financial future”

FIRST NATIONAL BANK

PRIVACY STATEMENT

At First National Bank, privacy is important. Therefore, we have adopted the following privacy principles:

1. Expectation of Privacy

We recognize the need for privacy and security for personal and financial affairs. We understand the need to safeguard sensitive information. We maintain standards and procedures designed to prevent misuse of this information.

2. Collection, Retention, and Use of Information about You

We collect, retain, and use information only where we reasonably believe that it will help administer our business or provide products, services, and other opportunities. We collect information only for specific business purposes and we will disclose the collection and retention upon request. We use information to protect and administer records, accounts, and funds; to comply with certain laws and regulations; to help us design or improve our products and services; and to understand financial needs so that we can provide quality products and superior service. We collect information from the following sources:

Information from applications and other forms; information about transactions with us, our affiliates, or other information we receive from a consumer reporting agency.

3. Maintenance of Accurate Information

We continually strive to maintain complete and accurate information. We will investigate concerns and correct any inaccuracies.

4. Employee Access to Information

We limit employee access to personally identifiable information to those employees with a business reason to know such information. We also educate our employees about the importance of confidentiality and customer privacy.

5. Information to Third Parties and Affiliates

We may disclose the following kinds of information to third parties and affiliates: Information we receive on applications and other forms; information about transactions such as balances, payment history, parties to transactions, and credit card history; information we receive from a consumer reporting agency such as creditworthiness and credit history.

6. Types of Third Parties

We may disclose nonpublic personal information about you to the following types of third parties: Financial service providers, such as mortgage bankers, securities broker-dealers, and insurance agents; Non-financial companies, such as retailers, direct marketers, airlines, and publishers; Others, such as non-profit organizations. We may disclose non-public personal information about you to nonaffiliated third parties as permitted by law.

7. Former Customer

When a customer no longer has a continuing relationship, we will continue to share non-public personal information.

8. Joint Marketers and Service Providers

We may disclose all of the information we collect, as described above, to companies that perform marketing services on our behalf or to other financial institutions with whom we have joint marketing agreements.

9. Information Sharing

Opt – Out - Affiliates

We may share the information described above with our affiliates, unless we are directed not to disclose that information. However, we will still disclose the information permitted by law.

Opt – Out - Non-Affiliates

If directed, we will not disclose (other than those disclosures allowed by law) non-public personal information to non-affiliated third parties.

If you wish to opt out of disclosing the above information, please advise us in writing:

First National Bank Attn: Bookkeeping Department 111 Jefferson Street Waupaca, WI 54981

Your decision to block the disclosure of your non-public personal information will apply to all products and services you receive from us. If you have a joint accounts, an opt out instruction given by one participant of an account will affect all participants of the account.

Questions regarding this statement should be directed to the above address, or by calling (715) 258-5511.

FIRST NATIONAL BANK

INTERNET BANKING SECURITY STATEMENT

With the First National Bank’s Internet Banking, we use a full range of Internet security measures, including cryptography, routers and firewalls, and a client/server setup to complete our overall security architecture.

Cryptography

Security on the Internet begins with your browser. In order to utilize Internet Banking, you must use a browser that supports Secure Sockets Layer (SSL) protocol. SSL allows you to securely send and receive encrypted data over the Internet. What this basically means is that all requests by the client and, subsequently, all replies by the server are encrypted or “masked” so to prevent unauthorized viewing.

Routers and Firewalls

Your account information is protected by a series of filtering routers and firewalls that act as a barrier between the outside world and the internal bank network. The routers are responsible for determining who has access to what components of Internet Banking. The routers have been programmed to prevent traffic from being diverted or originated from invalid points. All traffic running through the routers is encrypted using technology provided by the router.

The firewall is the next security component that you pass through. The firewalls provides a higher level of security and authentication of a client request. The firewall receives the customer request and the customer is authenticated using the ID and PIN number of the customer. At no time does the customer go beyond the firewall when attempting to access their information. On an annual basis, the firewalls are tested to see that they cannot be penetrated.

Client/Server Setup

The Internet Banking solution is operated in client/server environment. The hardware and software operations are located in secure, access-controlled computer rooms. The system accepts your authorized requests, retrieves the information from our database, and sends the information back to your browser in an encrypted format. The system also contains numerous audit controls to track requests and navigation. This audit control allows us to quickly identify any suspicious activity.

About “cookies”

To provide better service and a more effective web site, we use “cookies” as part of our interaction with your Web browser. A “cookie” is a small text file placed on your hard drive by our web page server. These cookies do not collect information that will personally identify you. Cookies are used to estimate the size of our Web audience. Each browser accessing our site is given a unique identification (“cookie”) that is then used to determine whether a user is a first-time browser or a return visitor. This helps us to manage the Web site better and deliver more customer-oriented service.

Your Responsibility

When your Internet Banking account is established, we will provide you with a username and password to access your accounts through the Internet. The first time you attempt to access your accounts, you will be prompted to change your password. It is important that you memorize your password and not convey it to anyone else. You must make sure that no one is watching you enter your password and that you properly exit your Internet Banking session/browser before leaving the computer. The Internet Banking system allows you to change your password anytime and you should change your password frequently.

 

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