Through the Bank's web site, we strive to provide valuable information to you about how we may serve you. Whether you are a valued existing customer or someone shopping for new bank services, we hope our site answers your questions about our products, services, hours and locations. This statement tells you what information we collect through our web site, how we collect it, and how we use that information.

THE BANK'S PRIVACY POLICY

Blanco National Bank understands that our customers are concerned about the privacy of their personal information. We are publishing this Privacy Policy to reaffirm our commitment to you to maintain the privacy of the information with which you have entrusted us and to inform you of our practices concerning the collection and use of information with which you provide us. Your privacy always has been, continues to be, and always will be one of our most important concerns. Not only does the Bank follow the letter and the spirit of federal and state laws, but we also attempt to follow our even stricter internal standards of customer privacy. An important part of our employee orientation program is the emphasis we place on customer information privacy. These employee responsibilities are included in the employee Code of Conduct. Employees who violate or fail to report a violation of our customer information privacy policy are subject to immediate disciplinary action, up to and including dismissal.

Information technology is rapidly evolving. The Bank publishes information about its services in various print and electronic media, including web-based formats. We are continually adapting to changes in technology to bring our customers the information they need faster and more efficiently than ever before. The Bank pledges to its customers that it will not adopt any technology that forces it to compromise its total commitment to the privacy of its customers' records and information.

BROWSING THE BANK'S WEB SITE

There are two forms of data that the Bank collects: site visitor ship data and personal information voluntarily provided to us by site visitors.

A visitor to the Bank's web site is not required to reveal any individually identifiable information, such as name, address, or telephone number. Nor is such information collected passively by electronic means.

The Bank's web servers routinely gather other information, such as the make of a visitor's browser software and the Internet domain name of the location from which the visitor enters. We want to know such things as how many people visit our site, the pages they visit, where they come from, how long they stay, etc. This information helps us diagnose technical problems and manage our web site by tracing visitor interests. We use this information only in an aggregate, anonymous manner in order to better serve our visitors in the aggregate. There is no personal information associated with this data. After the information is analyzed, it is discarded. It is not distributed to third parties.

CUSTOMER REGISTRATIONS AND ORDERING OR USING BANK PRODUCTS AND SERVICES

The Bank collects personal information only when visitors to our web site voluntarily provide it.

We collect and maintain personally volunteered information and data about our customers for a variety of reasons. We know that the more we know about our customers, the better we can understand their unique financial needs. With this understanding, we can provide our customers with the appropriate products and exemplary customer service that are the foundation of our banking philosophy. We also use customer information to help us in new product development. Sometimes we gather customer information because we are required to do so by laws or regulations. Finally, we use customer information to help maintain the security and privacy of your accounts with us. The more we know about you, the better we can prevent someone from impersonating you to gain access to your accounts.

Some pages within the Bank's web site may ask users to provide individually identifiable information in order to request a product or service or to register for a trial subscription. You will know when this information is recorded because you will be asked to provide this information in order to complete a form and submit it to the Bank. This requested data might include such things as your name, a personal identification number, mail and-mail addresses, or telephone or fax numbers. If the form concerns a mortgage or other loan application, additional financial information would be asked for.

The Bank collects this voluntarily provided information because it is needed to provide the products and services to those requesting them, to provide various forms of customer support, or to administer certain kinds of accounts. The Bank occasionally compiles online transaction and registration information for our own internal analysis, such as allowing us to identify market segments and needs, as well as to inform current and prospective customers about the Bank's existing and potential products and services.

INTERNET PRIVACY

The Bank will protect and respect your privacy on the Internet. To provide better service and a more effective web site, we may use"cookies" as part of our interaction with your web browser. 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 to manage the web site better and deliver more customer-oriented service.

If you wish, you can disallow cookies by making the appropriate selection from your browser options. You should understand, however, that certain services provided over the Internet by the Bank may require cookies for effective delivery.

USE OF COLLECTED INFORMATION

In all cases, the Bank will limit the collection and use of information about you to that which is necessary to administer our various banking functions, provide superior customer service, and to offer financial opportunities that we believe will be of interest to you.

The only members of the Bank staff who have access to customer information are those who are actively engaged in their assigned banking duties. All Bank employees are trained in and continually reminded of their responsibility to protect the integrity and confidentiality of each customer's personal records and information.

The thoroughness, accuracy and integrity of customer records are of paramount importance to us. If the Bank becomes aware of any inaccuracies or any breach of confidentiality, we will take prompt steps to ensure appropriate corrections. If you believe any information that we have about you or your accounts with us may be incorrect, please notify us immediately.

THIRD PARTIES OUTSIDE THE BANK

Since we value our customer relationship with you, we will not disclose your nonpublic personal information to nonaffiliated third parties, except as required by law or in accordance with standard banking industry practices. So that we may verify the existence and condition of customer accounts, we will continue to exchange customer information with reputable credit reporting agencies, financial institutions, and merchant organizations.

LINKS TO OTHER SITES

To provide our customer with greater access to information that may be of interest to them, the Bank's web site contains links to other sites. Although the Bank hopes that these other organizations join us in respecting your privacy, The Blanco National Bank is not responsible for the content of those web sites or the privacy practices of those organizations.

SECURITY SAFEGUARDS

The Bank takes administrative, physical, and technical steps to protect against unauthorized access to and disclosure of individually identifiable information used to administer its customers' accounts. All such information is handled securely within the Bank and is not disclosed to unauthorized third parties.

As communication technology continues to evolve, the Bank will from time to time review and revise its data protection practices. Changes will be incorporated into the policy as needed.

ENSURING FURTHER PRIVACY

If a customer does not wish to be contacted by the Bank via e-mail, surface mail, fax, or telephone, they may so inform the Bank. You may exclude yourself from such Bank solicitation lists by calling (830) 833-4538.

QUESTIONS

If you have any questions or concerns regarding the Bank's Internet practices or customer privacy policies, please telephone us a (830) 833-4538 or send an e-mail message to the Bank at blancobank@blancobank.com.

The Blanco National Bank reserves the right to change this policy at anytime by posting a new privacy policy.

We hope you enjoy your visit to this site. Please let us know how we may serve you further.