Common use of Your Responsibility to Repay Overdrafts Clause in Contracts

Your Responsibility to Repay Overdrafts. If we permit an overdraft or otherwise allow your account balance to drop below zero, you agree to pay the amount of the overdraft promptly, without notice or demand from us. You agree that we may use subsequent deposits and other credits to your accounts, including without limitation, deposits of government, welfare, retirement and Social Security benefits, to cover any overdraft existing in your account, to the fullest extent permitted by law. (See the section titled “Setoff” below.) Each account owner is jointly and severally responsible for paying any overdrafts created by any authorized signer(s) or party to the account, whether or not the owner participates in the transaction or benefits from its proceeds. Discretionary Overdraft Service We automatically enroll your eligible demand deposit accounts in the Discretionary Overdraft Service, our standard overdraft program. This is an automated discretionary overdraft service where we may authorize and pay transactions that exceed your available balance in your deposit accounts. We also offer alternatives that may be less expensive for you (see the section titled “How to Avoid Overdraft Fees,” below). Our Discretionary Overdraft Service is not available if you have an overdraft line of credit with us. Our Discretionary Overdraft Service is not a line of credit. We have the discretion to pay overdrafts within the overdraft limit, but payment by us is a discretionary courtesy and not a right of the client or an obligation of the Bank. We are not obligated to pay any transaction presented for payment if your account does not have a sufficient available balance. Your overdraft limit is dynamic, established based on algorithms that weigh numerous variables and behaviors. Your limit may change as often as each day and may be suspended or reduced to zero when you no longer sustain the eligibility criteria. Balances at ATM or other points of inquiry will not include the Discretionary Overdraft Service limit; however, transactions may be paid in excess of the balances indicated, creating an overdraft. We discourage the practice of overdrawing accounts. When you are enrolled in the Discretionary Overdraft Service: • Your overdraft limit is determined daily by our automated overdraft solution and may change as often as daily, without prior notice to you. • A per item overdraft fee will be charged, whether the overdraft item is paid or returned. See the Fee Schedule (“Overdraft Paid Item Fee,” “NSF Returned Item Fee”). If your business account balance remains overdrawn for eight consecutive calendar days, commencing with the first day overdrawn, we will charge your account an additional Daily Negative Balance Fee if your overdrawn balance meets or exceeds the de minimis amount as described in the applicable Fee Schedule. See the Fee Schedule (“Daily Negative Balance Fee”). • Your ATM and everyday debit card transactions are not included in the Discretionary Overdraft Service. For business accounts, we may assess a fee each time an item is presented and re-presented against non-sufficient funds. If the item is ultimately paid and overdraws your account, we will also assess a fee. This process is automated and may result in more than one fee assessed on a single item. See the Fee Schedule (“Overdraft Paid Item Fee,” “NSF Returned Item Fee”). What Happens if You Are Not Enrolled In the Discretionary Overdraft Service? If you opt- out of the Discretionary Overdraft Service or you do not have an eligible account and you do not have Overdraft Protection (see “How to Avoid Overdraft Fees,” below), we will generally return or decline transactions that would overdraw your account rather than pay these transactions. In general: • Your account will be charged an NSF Returned Item Fee for each transaction that is returned for insufficient funds rather than paid, up to our maximum number of overdraft fees, see the applicable Fee Schedule. See the Fee Schedule (“NSF Returned Item Fee”). Consumer accounts are not charged a fee for items that are returned when there are insufficient funds to pay such items. In addition, some merchants may also assess a returned check fee. • Subject to our policy on Force Pay Transactions (see below), your everyday debit card transactions and/or ATM transactions will be declined We do not charge a fee for declining your debit card or ATM transactions. • Force Pay Transactions: There may be instances where we will pay a transaction even if you do not have sufficient funds in your account to cover the transaction and you are not enrolled in the Discretionary Overdraft Service. These transactions can occur, for example, when an ATM transaction or an everyday debit card transaction is approved, and other subsequent transactions reduce the balance in your account before your ATM or everyday debit card transaction is posted to your account. Under these circumstances, we will still pay the transaction and your account will not be charged an overdraft fee. Your business account will be charged an overdraft fee and may still accrue a Daily Negative Balance Fee (see the Fee Schedule). How to Avoid Overdraft Fees The best way to avoid incurring overdraft fees is to not overdraw your account. If, however, your account is overdrawn, the following options may better serve your needs, and could save you money: • Sign Up For Overdraft Protection: If you have multiple deposit accounts at Banc of California, you can link these accounts so that if one account • is overdrawn, and you have available funds in another eligible account, the funds will be automatically transferred to cover the overdraft. Our Discretionary Overdraft Service will only be used if Overdraft Protection has been exhausted. For business accounts, there is a fee per transfer with this service. See the Fee Schedule (“Overdraft Coverage Transfer”). • Utilize Account Balancing: Balance or reconcile your accounts periodically. If you need help learning to balance or reconcile your Banc of California accounts, please reach out to our staff members. Just visit your local branch – we are happy to help. • Apply For An Overdraft Line of Credit: You may apply for our business or consumer overdraft line of credit. With an overdraft line of credit, our Discretionary Overdraft Service is not available. If we approve your request for an overdraft line of credit, your rights and obligations shall be governed by the loan documents executed between you and us with regards to this product. If you are interested in applying an overdraft line of credit, contact your relationship manager or visit a branch. • You can also sign up for automatic email alerts. If you sign up for email alerts, we will send you an email alert if your account balance reaches a preset threshold as determined by you, in order to help you avoid overdrafts . We will use the email address we have on file for you. It is your sole responsibility to notify us if your email address has changed. To opt-out of our Discretionary Overdraft Service, sign up for email alerts, or for more information on any of the options described above, please call us at 000-000-XXXX (2262).

Your Responsibility to Repay Overdrafts. If we permit an overdraft or otherwise allow your account balance to drop below zero, you agree to pay the amount of the overdraft promptly, without notice or demand from us. You agree that we may use subsequent deposits and other credits to your accounts, including without limitation, deposits of government, ,welfare, retirement and Social Security benefits, to cover any ,retirementandSocialSecuritybenefits,tocoverany overdraft existing in your account, to the fullest extent permitted by lawlaw . (See the section titled “Setoff” below.) Each account owner is jointly and severally responsible for paying any overdrafts created by any authorized signer(s) or party to the account, whether or not the owner participates in the transaction or benefits from its proceedsproceeds . Discretionary Overdraft Service We automatically enroll your eligible demand deposit accounts in the Discretionary Overdraft Service, our standard overdraft programprogram . This is an automated discretionary overdraft service where we may authorize and pay transactions that exceed your available balance in your deposit accountsaccounts . You can opt-out of this program at any time, by calling us at 000-000-XXXX (2262) . We also offer alternatives alternative options that may be less expensive for you (see the section titled “How to Avoid Overdraft Fees,” below). Our Discretionary Overdraft Service is not available if you have an overdraft line of credit with us) . Our Discretionary Overdraft Service is not a line of creditcredit . We have the discretion to pay overdrafts within the overdraft limit, but payment by us is a discretionary courtesy and courtesyand not a right of the client or an obligation of the Bank. We are not obligated to pay any transaction presented for payment if your account does not have a sufficient available balance. Your overdraft limit is dynamicAt our discretion, established based on algorithms that weigh numerous variables and behaviors. Your limit may change as often as each day and may be suspended or reduced without notice to zero when you no longer sustain you, we maychange thelimits of the eligibility criteriaDiscretionary Overdraft Service and/or can cease paying overdrafts at any time . Balances at ATM or other points of inquiry will not include the Discretionary Overdraft Service limit; however, transactions may be paid in excess of the balances indicated, creating an overdraft. We discourage the practice of overdrawing accountsaccounts . When you are enrolled in the Discretionary Overdraft Service: • Your overdraft limit is determined daily by our automated overdraft solution and may change as often as daily, without prior notice to you. • A per item An overdraft fee will be chargedimposed per overdraft, whether the overdraft item is paid or returned, up to five overdrafts per day . See the Fee Schedule (“Overdraft Paid Item Fee,” “NSF Returned Item Fee”)) . We do not charge an overdraft fee if an account is overdrawn by less than $10 .00 . If your business account balance remains overdrawn for eight consecutive calendar days, commencing with the first day overdrawn, we will additionally charge your account an additional a Daily Negative Balance Fee if your overdrawn balance meets or exceeds the de minimis amount as described in the applicable Fee Schedule$10 .00 . See the Fee Schedule (“Daily Negative Balance Fee”)) . • Your For consumer accounts, unless you opt-in to the Courtesy Overdraft Service (described below), your ATM and everyday debit card transactions are not included in the Discretionary Overdraft Service. For business accounts, we may assess a fee each time an item is presented and re-presented against non-sufficient funds. If the item is ultimately paid and overdraws your account, we will also assess a feeOverdraftService. This process is automated and may result opt-in more than one fee assessed on a single item. See the Fee Schedule (“Overdraft Paid Item Fee,” “NSF Returned Item Fee”)requirement doesnot applytobusinessaccounts. What Happens if You Are Not Enrolled In Opt-Out of the Discretionary Overdraft Service? . If you opt- opt-out of the Discretionary Overdraft Service or you and do not have an eligible account and you do not have Overdraft Protection overdraft protection (see “How to Avoid Overdraft Fees,” below), we will generally return or decline transactions that would overdraw your thatwould overdrawyour account rather than pay these transactions. In general, subject to our policy below on “Force Pay Transactions .” If you have opted-out of the Discretionary Overdraft Service: • Your account will be charged an a NSF Returned Item Fee fee, up to five fees per day, for each transaction of the following types of transactions that is are returned for insufficient funds rather than paid, up to our maximum number of overdraft fees, see the applicable Fee Schedule: checks and ACH transactions . See the Fee Schedule (“NSF Returned Item Fee”). Consumer accounts are not charged a fee for items that are returned when there are insufficient funds to pay such items) . In addition, some merchants may also assess a returned check feefee . • Subject to our policy on Force Pay Transactions (see below), your everyday debit card transactions and/or ATM transactions will be declined declined. We do not charge a fee for declining your debit card or ATM transactionstransactions . • Force Pay Transactions: There may be instances where we will pay a transaction even transactioneven if you do not have sufficient funds in your account to cover the transaction and you are not enrolled in have opted-out of the Discretionary Overdraft ServiceService . These transactions can occur, for example, when an ATM transaction or an everyday debit everydaydebit card transaction is approved, and other subsequent transactions reduce the balance in your account before your ATM transaction or everyday debit card transaction is posted to your account. Under these circumstances, we will still pay the transaction and your account you will not be charged an overdraft fee. Your business account will be charged an overdraft fee and You may still accrue get charged a Daily Negative Balance Fee (see the Fee Schedule). How Although this represents our policy with respect to Avoid Overdraft Fees The best way to avoid incurring overdraft fees Force Pay Transactions, it is to more likely than not overdraw your account. If, however, your account is overdrawn, the following options may better serve your needs, and could save you money: • Sign Up For Overdraft Protection: If that if you have multiple deposit accounts at Banc of California, you can link these accounts so that if one account • is overdrawn, and you have available funds in another eligible account, the funds will be automatically transferred to cover the overdraft. Our Discretionary Overdraft Service will only be used if Overdraft Protection has been exhausted. For business accounts, there is a fee per transfer with this service. See the Fee Schedule (“Overdraft Coverage Transfer”). • Utilize Account Balancing: Balance or reconcile your accounts periodically. If you need help learning to balance or reconcile your Banc of California accounts, please reach out to our staff members. Just visit your local branch – we are happy to help. • Apply For An Overdraft Line of Credit: You may apply for our business or consumer overdraft line of credit. With an overdraft line of credit, our Discretionary Overdraft Service is not available. If we approve your request for an overdraft line of credit, your rights and obligations shall be governed by the loan documents executed between you and us with regards to this product. If you are interested in applying an overdraft line of credit, contact your relationship manager or visit a branch. • You can also sign up for automatic email alerts. If you sign up for email alerts, we will send you an email alert if your account balance reaches a preset threshold as determined by you, in order to help you avoid overdrafts . We will use the email address we have on file for you. It is your sole responsibility to notify us if your email address has changed. To optopted-out of our the Discretionary Overdraft Service, sign up for email alerts, these transactions will be returned or for more information on any of the options declined as described above, please call us at 000-000-XXXX (2262).above rather than force paid . Courtesy Overdraft Service

Your Responsibility to Repay Overdrafts. If we permit an overdraft or otherwise allow your account balance to drop below zero, you agree to pay the amount of the overdraft promptly, without notice or demand from us. You agree that we may use subsequent deposits and other credits to your accountsthe account, including without limitation, deposits of government, welfare, retirement and Social Security benefits, to cover any overdraft existing in your account, to the fullest extent permitted by law. (See the section titled “Setoff” below.) Each account owner is jointly and severally responsible for paying any overdrafts created by any authorized signer(s) or party to the account, whether or not the owner participates in the transaction or benefits from its proceeds. Discretionary Overdraft Service We automatically enroll your eligible demand deposit accounts in the Discretionary Overdraft Service, our standard overdraft program. This is an automated discretionary overdraft service where we may authorize and pay transactions that exceed your available balance in your deposit accounts. You can opt-out of this program at any time, by calling us at 000-000-XXXX (2262). We also offer alternatives alternative options that may be less expensive for you (see the section titled “How to Avoid Overdraft Fees,” below). Our Discretionary Overdraft Service is not available if you have an overdraft line of credit with us. Our Discretionary Overdraft Service is not a line of credit. We have the discretion to pay overdrafts within the overdraft limit, but payment by us is a discretionary courtesy and not a right of the client or an obligation of the Bank. We are not obligated to pay any transaction presented for payment if your account does not have a sufficient available balance. Your overdraft limit is dynamicAt our discretion, established based on algorithms that weigh numerous variables and behaviors. Your limit without notice to you, we may change as often as each day and may be suspended or reduced to zero when you no longer sustain the eligibility criterialimits of the Discretionary Overdraft Service and/or can cease paying overdrafts at any time. Balances at ATM or other points of inquiry will not include the Discretionary Overdraft Service limit; however, transactions may be paid in excess of the balances indicated, creating an overdraft. We discourage the practice of overdrawing accounts. When you are enrolled in the Discretionary Overdraft Service: • Your overdraft limit is determined daily by our automated overdraft solution and may change as often as daily, without prior notice to you. • A per item An overdraft fee will be chargedimposed per overdraft, whether the overdraft item is paid or returned, up to five overdrafts per day. See the Fee Schedule (“Overdraft Paid Item Fee,” “NSF Returned Item Fee”). We do not charge an overdraft fee if an account is overdrawn by less than $10.00. If your business account balance remains overdrawn for eight consecutive calendar days, commencing with the first day overdrawn, we will additionally charge your account an additional a Daily Negative Balance Fee if your overdrawn balance meets or exceeds the de minimis amount as described in the applicable Fee Scheduleexceeds‌ $10.00. See the Fee Schedule (“Daily Negative Balance Fee”). • Your For consumer accounts, unless you opt-in to the Courtesy Overdraft Service (described below), your ATM and everyday debit card transactions are not included in the Discretionary Overdraft Service. For This opt-in requirement does not apply to business accounts, we may assess a fee each time an item is presented and re-presented against non-sufficient funds. If the item is ultimately paid and overdraws your account, we will also assess a fee. This process is automated and may result in more than one fee assessed on a single item. See the Fee Schedule (“Overdraft Paid Item Fee,” “NSF Returned Item Fee”). accounts.‌ What Happens if You Are Not Enrolled In Opt-Out of the Discretionary Overdraft Service? . If you opt- opt-out of the Discretionary Overdraft Service or you and do not have an eligible account and you do not have Overdraft Protection overdraft protection (see “How to Avoid Overdraft Fees,” below), we will generally return or decline transactions that would overdraw your account rather than pay these transactions. In general, subject to our policy below on “Force Pay Transactions.” If you have opted-out of the Discretionary Overdraft Service: • Your account will be charged an a NSF Returned Item Fee fee, up to five fees per day, for each transaction of the following types of transactions that is are returned for insufficient funds rather than paid, up to our maximum number of overdraft fees, see the applicable Fee Schedule: checks and ACH transactions. See the Fee Schedule (“NSF Returned Item Fee”). Consumer accounts are not charged a fee for items that are returned when there are insufficient funds to pay such items. In addition, some merchants may also assess a returned check fee. fee.‌ • Subject to our policy on Force Pay Transactions (see below), your everyday debit card transactions and/or ATM transactions will be declined declined. We do not charge a fee for declining your debit card or ATM transactions. transactions.‌ • Force Pay Transactions: There may be instances where we will pay a transaction even if you do not have sufficient funds in your account to cover the transaction and you are not enrolled in have opted-out of the Discretionary Overdraft Service. These transactions can occur, for example, when an ATM transaction or an everyday debit card transaction is approved, and other subsequent transactions reduce the balance in your account before your ATM transaction or everyday debit card transaction is posted to your account. Under these circumstances, we will still pay the transaction and your account you will not be charged an overdraft fee. Your business account will be charged an overdraft fee and You may still accrue get charged a Daily Negative Balance Fee (see the Fee Schedule). How Although this represents our policy with respect to Avoid Overdraft Fees The best way to avoid incurring overdraft fees Force Pay Transactions, it is to more likely than not overdraw your account. If, however, your account is overdrawn, the following options may better serve your needs, and could save you money: • Sign Up For Overdraft Protection: If that if you have multiple deposit accounts at Banc of California, you can link these accounts so that if one account • is overdrawn, and you have available funds in another eligible account, the funds will be automatically transferred to cover the overdraft. Our Discretionary Overdraft Service will only be used if Overdraft Protection has been exhausted. For business accounts, there is a fee per transfer with this service. See the Fee Schedule (“Overdraft Coverage Transfer”). • Utilize Account Balancing: Balance or reconcile your accounts periodically. If you need help learning to balance or reconcile your Banc of California accounts, please reach out to our staff members. Just visit your local branch – we are happy to help. • Apply For An Overdraft Line of Credit: You may apply for our business or consumer overdraft line of credit. With an overdraft line of credit, our Discretionary Overdraft Service is not available. If we approve your request for an overdraft line of credit, your rights and obligations shall be governed by the loan documents executed between you and us with regards to this product. If you are interested in applying an overdraft line of credit, contact your relationship manager or visit a branch. • You can also sign up for automatic email alerts. If you sign up for email alerts, we will send you an email alert if your account balance reaches a preset threshold as determined by you, in order to help you avoid overdrafts . We will use the email address we have on file for you. It is your sole responsibility to notify us if your email address has changed. To optopted-out of our the Discretionary Overdraft Service, sign up for email alerts, these transactions will be returned or for more information on any of the options declined as described above, please call us at 000-000-XXXX (2262).above rather than force paid.‌