Co-borrowers

1 - Table of Contents

1.1 I want to obtain my own copy of the regulatory information. What must I do?

To take advantage of your right to receive your individual copy of the cost of borrowing documents, you must call your advisor or one of our TelNat representatives at 1-888-4TelNat or 514-394-5555.

For your National Bank MasterCard credit card, call the Customer Contact Centre at 1-888-9MY-CARD or 514-394-1427 (starting January 1, 2008 only).

If you or one of your co-borrowers requests the separate disclosure option, you and all of your co-borrowers will receive individual copies of the cost of borrowing documents.

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1.2 Can my co-borrowers and I go to any National Bank branch to complete and sign the Revocation of Election of Borrowers Regarding Separate Disclosure of the Cost of Borrowing form?

Yes, you can go to the branch of your choice. An advisor will have you complete and sign the Revocation of Election of Borrowers Regarding Separate Disclosure of the Cost of Borrowing form and will send it to the branch that holds your credit product.

For your National Bank MasterCard credit card, call the Customer Contact Centre at 1-888-9MY-CARD or 514-394-1427 (starting January 1, 2008 only). You don’t have to go to a branch.

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1.3 I want to receive my own copy of the regulatory information. However, I realize that this would increase the number of mailings. I am concerned about the environment and would like to receive my documents electronically. Is this possible?

Yes, it is possible.

For a line of credit, an All-In-One, an account with an integrated line of credit or a National Bank MasterCard credit card, you can sign up for the online statement of account service and view your statements of account directly via Internet Banking Solutions. www.nbc.ca/paperfree.

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1.4 If I chose the separate disclosure option for my mortgage loan, does it apply to all of my lending products?

No, the separate disclosure option applies only to the product for which you chose it. A separate disclosure option choice is required for every product.

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1.5 What is the cost of borrowing and what are the cost of borrowing documents?

The cost of borrowing represents the amount of interest and charges that have to be paid to the Bank in connection with a loan.

The main cost of borrowing documents are the Cost of Borrowing Disclosure Statement, the statements of account and the renewal or non-renewal notices.

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1.6 What is the single disclosure option?

With the single disclosure option, only one of the borrowers, i.e., the main borrower, receives a copy of the cost of borrowing documents. The documents are therefore sent only once to only one address and the names of all the borrowers appear on the first page of the documents.

If you currently have a lending product, the single disclosure option is applied by default.

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1.7 What is the separate disclosure option?

With the separate disclosure option, all of the borrowers receive individually ,in a separate envelope, the cost of borrowing documents. Therefore, if two borrowers have the same address, two envelopes are sent to the address in question.

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1.8 My co-borrowers and I want to switch back to the single disclosure option and receive only one copy of the regulatory information for the group. What must we do?

If you want to switch back to the single disclosure option, you and all of your co-borrowers must give your consent. To do so, you must schedule a meeting with one of our advisors to complete and sign the Revocation of Election of Borrowers Regarding Separate Disclosure of the Cost of Borrowing form.

Your consent is also required for your National Bank MasterCard credit card. However, you don’t have to go to a branch. One of the borrowers must call the Customer Contact Centre at 1-888-9MY-CARD or 514-394-1427 (starting January 1, 2008 only) to obtain the Revocation of Election of Borrowers Regarding Separate Disclosure of the Cost of Borrowing form specifically for MasterCard credit cards. This form, signed by all of the borrowers, must then be returned to MasterCard.

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1.9 Do all banks have to comply with these new practices?

Yes. All federally chartered financial institutions governed by the Bank Act and monitored by the FCAC must comply with these guidelines before January 1, 2008.

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