Conditions of Payment Services Agreement

Valid from 09.10.2025

1. General provisions

   1. These Conditions constitute an inseparable part of the Agreement and are applied to the Agreement insofar as the Bank and the Customer have not agreed otherwise.
   2. Under the Agreement, the Bank is obliged to open an Account for the Customer, keep the Customer’s funds on the Account, and execute Payment Transactions on the conditions set forth in the Agreement.
   3. In matters not regulated by the Agreement, the Bank and the Customer shall, in addition to the Conditions, be guided by the General Conditions and the LHV Settlement and time limits of payment instructions, insofar as these do not conflict with the Conditions and the Agreement. The Customer has accessed the General Conditions and is aware of the Customer’s duties and the Bank’s rights arising therefrom.
   4. The Agreement shall be governed by the laws of the Republic of Estonia.

2. Terms and definitions

   1. In addition to the terms and definitions specified in the Bank’s General Conditions and the Settlement and time limits of payment instructions, the following terms shall apply for the purposes of the Conditions:
      1. EEA means the European Economic Area.
      2. User means the Customer who is a natural person or another natural person acting in the name of the Customer who initiates Payment Transactions.
      3. Account means an account opened for the Customer in the Bank, where the Bank keeps the money belonging to and accruing to the Customer.
      4. Agreement means the payment services agreement.
      5. Limit means the maximum amount within which the User can perform Payment Transactions. Limits are divided as follows:
         1. Transaction Limit means the maximum amount for a specific type of Payment Transaction initiated by the User (e.g. instant payment limit);
         2. Daily Limit means the maximum cumulative amount of Payment Transactions the User can make from the Account in a day;
         3. Monthly Limit means the maximum cumulative amount of Payment Transactions the User can make from the Account in a calendar month.
      6. Payment Order means any order for performing a Payment Transaction submitted by the User to the Bank. Payment Orders are divided into the following:
         1. credit Payment Order – initiated by the Payer;
         2. debit Payment Order – initiated by the Beneficiary or a Third Party with the right, under law or contract, to initiate payments.
      7. Payment Transaction means conducting operations (including card transactions) pursuant to the User’s instructions with the money on the Account.
      8. Main Currency means the euro, unless otherwise specified in the Agreement by the Customer.
      9. Conditions means these Conditions of the payment services agreement.

3. Usage of account

   1. The Customer may open several Accounts in their name, unless otherwise provided by legislation.
   2. The Customer is entitled to keep only assets that belong to them on the Account.
   3. The Customer may keep euros and currencies quoted by the Bank on the Account. The Bank and the Customer may specify in the Agreement which currencies may be held on the Account. The Bank and the Customer also agree on the Main Currency of the Account. The Customer and the Bank may change the Main Currency by agreement.
   4. The Account may be used by the Customer personally or via a person authorised by the Customer or entitled to represent the Customer by law (e.g. a User).
   5. The Customer may use the services under the Agreement via payment service providers authorised by the Estonian Financial Supervision and Resolution Authority. The Bank may refuse to grant the payment service provider Account access in justified cases, as appropriately evidenced and relating to unauthorised or fraudulent access by the payment service provider to the Account, including unauthorised or fraudulent initiation of Payment Transactions.
   6. The Bank credits the Account with payments received for the benefit of the Customer. The Bank debits the Account based on a Payment Order, based on another agreement concluded between the Customer and the Bank or in any other case specified in the Agreement, the General Conditions or legislation.
   7. If the Bank and the Customer have not agreed otherwise, the Customer has the right to conduct Payment Transactions to the extent of the money kept on the Account.
   8. The Customer and/or the User must certify the right to use the Account in a manner acceptable for the Bank. The Bank has the right to refuse to execute a Payment Transaction if the Bank suspects that the person who wants to execute the Payment Transaction is not authorised to do so, or if the Payment Transaction has been initiated via a payment service provider and the Bank has a justifiable suspicion that the Payment Transaction has not been appropriately authorised. In such an event, the Bank is not liable for any damage or loss caused as a result of refusing to execute the Payment Transaction.

4. Payment Orders

   1. The Payment Order for making a Payment Transaction may have been submitted for making one-off or multiple payments.
   2. The Bank has the right to assume that the contents of the Payment Order submitted to the Bank correspond to the Customer’s will.
   3. The Bank requires Strong Authentication of the User upon submission of a Payment Order, including the use of a minimum of two independent elements of knowing (something that only the User knows), holding (something that only the User holds) or attribution (something attributable to the User only) if the User wishes to access the Account, initiate the Payment Order via the service channel (e.g. Internet Bank) or to perform any other operations involving the risk of misuse of payment service-related data or fraud.
   4. The Bank has the right to permit the submission of a Payment Order without Strong Authentication if:
      1. the Payment Transaction takes place between the Customer’s Accounts; or
      2. the amount of the Payment Order is maximum €30 (thirty euros) and the Customer has consented to submission without strong Authentication in the Bank’s service channel (e.g. Internet Bank).
   5. The Bank accepts for execution only such Payment Orders, which are submitted to the Bank in writing or in another manner agreed between the Bank and the Customer, formalised in accordance with the relevant regulatory standards of Eesti Pank and the instructions given and developed by the Bank (e.g. Internet Bank or email) and which clearly expresses the will of the Customer. A Payment Order meeting those requirements shall be considered as authorised within the meaning of the Estonian Law of Obligations Act.
   6. At the Customer’s request, the Bank shall submit to the Customer, before executing the Payment Order, the information on the time of performance of the Payment Order, fees associated with the performance of the Payment Order and the basis for calculation thereof.
   7. The day on which the Payment Order has been accepted for execution by the Bank is considered the day when the User has submitted to the Bank all the data required by the Bank for execution of the Payment Order and there is enough money on the Account for executing the Payment Order. If Payment Order given by the User is incorrect or insufficient (including if not all the data necessary for and requested by the Bank for execution of the Payment Order have been submitted to the Bank), the Bank has the right to determine the manner of performance of the Payment Order on the basis of good banking practice or not to execute the Payment Order.
   8. Upon accepting the Payment Order from the Customer, the Bank has the right to ask the Customer for documentary confirmation of the legal origin of the money used for execution of the Payment Transaction. The Bank is not obligated to execute the Payment Order before receiving the respective confirmation.
   9. The Bank has the right to ask the User for additional confirmation for execution of the Payment Order from the moment the transfer limit established by the Bank is exceeded.
   10. The Customer is obligated to ensure that there is enough money in the required currency on the Account for execution of all Payment Orders and payment of service fees given on the basis of the Agreement and other agreements related to the Account concluded between the Bank and the Customer.
   11. Unless otherwise agreed with the Customer, the Bank has the right not to execute the Payment Order if there is not enough money on the Account in the required currency for execution of the Payment Order and for the service fee. The Bank is not obligated to execute the User’s Payment Order if the Customer and/or the User do(es) not give due confirmation specified in Articles 4.8 or 4.9 of the Conditions.
   12. The Customer and/or the User is obligated to notify the Bank of an incorrectly executed (including unauthorised) Payment Order immediately after they have learned about such an incident. The Customer loses the right (including the right set out in Article 14.2 of the Conditions) to lodge claims and objections with regard to the incorrectly executed order if the Customer has not notified the Bank thereof within 13 (thirteen) months as of the execution date of the incorrectly executed Payment Order. The Customer who is a legal person loses the right to lodge claims and objections with regard to the incorrectly executed Payment Order if it has not notified the Bank thereof within 1 (one) month as of the execution date of the incorrectly executed Payment Order.

5. Term of execution of Payment Orders

   1. The Bank executes the Payment Orders within the periods prescribed in the legislation, in the regulations of Eesti Pank and in the instructions given and developed by the Bank (e.g. in the Settlement and time limits of payment instructions), in force at the time of accepting the Payment Order for execution, unless otherwise provided by the Agreement.
   2. The Bank has the right to establish more favourable conditions for the Customer for execution of Payment Orders than those set out in legislation and in the regulations of Eesti Pank.
   3. The Bank may refuse from execution of the Payment Order if the User has specified the date of accrual of the payment amount to the account of the Beneficiary’s payment service provider being the same date as the date of receipt of the Payment Order or, in the case of an international payment order, the date when the accrual of the payment amount to the account of the Beneficiary’s payment service provider cannot be deemed likely.

6. Withdrawal of Payment Orders

   1. The Customer receives information about execution or non-execution of the Payment Order from an Account statement in the service channel (e.g. Internet Bank), upon request from the Bank’s service centre or via a communication channel used on the basis of an agreement made between the Customer and the Bank.
   2. Pursuant to the procedure set out in the General Conditions and in the instructions given and developed by the Bank the Customer may withdraw the Payment Order given to the Bank, except in cases where the Bank can no longer dispose of the funds (e.g. the payment has been received by the Beneficiary, executed by the Bank or forwarded to the Beneficiary’s bank or payment intermediary) or if the Payment Order is related to a transaction or agreement under the terms of which the Payment Order cannot be revoked.

7. Verification of Beneficiary

   1. In the case of European payments (excluding card transactions), the Bank verifies at the time of the Payment Transaction whether the name of the Beneficiary matches the Unique Identifier (e.g. IBAN) prior to authorisation. The Customer must ensure the accuracy of the Payment Order data before authorising it.
   2. A Customer who is a legal person may waive the verification of the Beneficiary’s name against the Unique Identifier (e.g. IBAN) when making European payments via a payment file.

8. Settlements in foreign currecy

   1. Only the currency specified in Article 3.3 of the Conditions may be kept on the Account.
   2. With regard to Payment Transactions and operations made by the User in foreign currency, the Bank has the right to apply all conditions and restrictions established in the country of origin of the currency, including the restrictions established by payment intermediaries or other partners of the Bank, and which influence the Bank upon making Payment Transactions or making investments with the currency.
   3. Obligations taken in a foreign currency are subject to performance in the same currency, unless otherwise agreed.
   4. If an amount in a currency other than the Main Currency accrues to the Account, the Bank has the right to convert the currency into the Main Currency on the basis of the exchange rate effective on the date of the accrual. The Bank is not obligated to notify the Customer of the conversion. Information about the exchange rates quoted by the Bank is available in the Bank’s service centres and on the Website.
   5. The Bank has the right to convert the currency on the Account or accruing to the Account into the Main Currency without notifying the Customer thereof if the Account has been seized.

9. Erroneous transfers

   1. If an amount has been credited to the Account without legal grounds (erroneous transfer), the Customer is required to immediately notify the Bank upon discovering such a transfer and return the amount.
   2. The Bank has the right to block and/or debit the erroneously credited amount from the Account without the Customer’s consent if the Customer has not returned it voluntarily.
   3. If the Bank has erred upon execution of the Payment Order in terms of the amount, description, reference number or other details of the payment, the Bank has the right to debit the Account without the Customer’s permission for the purpose of making a corrective transfer and make the payment in exact compliance with the details of the Payment Order.

10. Interest

    1. The Bank pays the Customer interest for the money kept on the Account pursuant to the interest rate established by the Bank, unless otherwise provided by the Agreement. The Bank transfers the interest to the Customer’s Account pursuant to the Bank’s procedure in force, but no less than once a year.
    2. The Bank determines the bases for calculation of interest. Upon establishment of the interest rate and bases for calculation of interest, the Bank proceeds from the legislation in force.
    3. The Customer has the right to receive information about calculation and payment of interest at any time.

11. Limits

    1. The Bank has the right to establish Limits on Payment Transactions and/or reduce the Limits set by the User at any time without prior notice.
    2. For security reasons, the Bank may define the effective dates of changes to the Limits. The Bank informs the Customer of such changes via its service channels (e.g. Internet Bank) and/or the Website.
    3. The Customer and/or the User may change the Limits within the boundaries and procedure established by the Bank. A User may change the Limits only if the Customer has granted the User such rights.

12. Service fees

    1. The Customer pays a service fee to the Bank for opening, using, and managing the Account pursuant to the Bank’s Price List or the Agreement.
    2. In case of a Payment Order made in EEA currency to an EEA contracting state, the Customer shall pay the Bank’s service fees and the Beneficiary the fees charged by its payment service provider.
    3. The Bank has the right to debit the Account with the service fees and other amounts payable by the Customer, including the Bank’s claims arising from the Agreement, credit and investment service provision agreements between the Customer and the Bank, and other agreements made between the Bank and the Customer.
    4. The Bank debits the amounts payable by the Customer from the Account in the currency of the Payment Transaction, unless provided otherwise in the Bank’s Price List, Agreement or another agreement between the parties. If there is no such currency on the Account, the Bank converts the required amount from the Main Currency or another currency available on the Account. The conversion is based on the effective exchange rates of the Bank at the moment of the Payment Transaction.
    5. If there are no funds or insufficient funds on the Account to cover the service fees and other amounts due arising from the agreements between the Bank and the Customer, the Bank may debit the necessary amount from other Accounts held by the Customer, in any currency of its choosing.
    6. The Bank shall not refund service fees charged for executing a Payment Transaction if the failure or error in execution is due to:
       1. the actions or inaction of the Beneficiary or the Beneficiary’s payment service provider;
       2. inaccuracies or omissions in the payment details for which the Customer is responsible;
       3. reasons arising from legal acts, sanctions or other regulatory obligations applicable to the Bank.

13. Bank’s accounting and notification obligation

    1. The Bank maintains records of transactions on the Account (including any Payment Transactions). The Customer can obtain information on transactions through the service channels (e.g. Internet Bank) or at the Bank’s service locations.
    2. The Customer has the right to request, at their own expense, information on the Account balance and details of the Account transactions at any time.
    3. In the events provided by legislation or agreed with the Customer, the Bank submits a free account statement to the Customer.

14. Liability of parties

    1. The parties are liable for non-performance or improper performance of their obligations as provided in the Conditions, the General Conditions, and applicable legislation.
    2. The Customer has the right to request immediate refund of the amount of a non-executed, incorrectly executed or delayed Payment Order along with any service fees paid, unless the Bank proves it has fulfilled its obligations under the applicable legislation. If the Bank or a payment intermediary chosen by the Bank has made unjustified deductions, the Bank shall forward the deducted amounts to the Beneficiary without delay.
       1. The Bank shall not be liable for an incorrectly executed European Payment Order if the Customer authorises the Payment Order despite the Bank’s notification given during the verification of the Beneficiary’s name and Unique Identifier as provided for in Article 7.1 of the Conditions or if a legal entity Customer has waived the verification of the Beneficiary’s name and Unique Identifier as provided for in Article 7.2 of the Conditions. In such a case, the Payment Order shall be deemed to have been duly executed.
    3. In the event of an unfulfilled or incorrectly fulfilled Payment Order, the Customer has the right to request that the Bank ascertain the circumstances related to the Payment Transaction and forward all information in the Bank’s possession to the Customer.
    4. The Customer shall be liable for any errors, ambiguities, incomplete data, misrepresentations, and transmission errors in the Payment Order submitted by the Customer to the Bank.
    5. If the non-execution or incorrect execution of the Payment Order is not due to the Bank’s actions or inaction, the Bank has the right to charge the Customer a fee specified in the Price List for the withdrawal of the Payment Order.
    6. The Customer shall not have the rights set out in Article 14.2 of the Conditions in the following cases:
       1. the Payment Order was filled incorrectly, left unfilled or unjustified deductions were made from the payment amount by the payment intermediary chosen by the Customer;
       2. The Bank has executed the Payment Order in accordance with the Unique Identifier (e.g. IBAN) submitted by the Customer to the Bank, except in the case of European payments.
    7. The Bank shall not be liable for any damage incurred by the Customer if the Customer has used the Bank’s services through a payment service provider who does not have the authorisation referred to in Article 3.5 of the Conditions issued by the Estonian Financial Supervision and Resolution Authority and who does not comply with the requirements established by the regulations on payment intermediation.

15. Blocking and seizure of the Account, restriction of the Payment Transactions

    1. The Bank has the right to block the Customer’s Account or seize it in the events and pursuant to the procedure provided in legislation, the Agreement and/or the General Conditions.
    2. The Bank has the right to initiate and execute payment transactions from the Customer’s Account in order to fulfil seizure requirements in the cases and in accordance with the procedure provided in legislation, the Agreement and/or the General Conditions.
    3. The Bank has the right to restrict the Payment Transactions in certain currencies, to certain countries or under other conditions established by the Bank. The Bank publishes the Payment Transaction limits on its Website.

16. Entry into force, amendment, and termination of the Agreement

    1. The Agreement shall enter into force upon its conclusion and shall remain in force indefinitely.
    2. The Bank has the right to unilaterally amend the Conditions in accordance with the procedure set out in the General Conditions.
    3. The Customer shall have the right to cancel the Agreement at any time.
    4. The Bank has the right to terminate the Agreement in accordance with the notice period for ordinary termination specified in the General Conditions.
    5. The Bank has the right to terminate the Agreement extraordinarily if the Customer is in breach of the Agreement or the General Conditions. A breach of the Agreement is considered relevant, first of all, in the following events:
       1. the Customer refuses to submit data or documents to the Bank or has submitted false data or documents;
       2. the Customer has not, in spite of the Bank’s request, submitted the required data or documents for verifying the legal origin of their funds or the Customer is suspected of money laundering or terrorist financing for another good reason;
       3. the Customer constantly has overdue financial obligations before the Bank;
       4. if a legal impediment such as limited active legal capacity or absence of active legal capacity, controversial rights of representation or absence of the rights of representation precludes continuance of the Agreement.
    6. The Bank has the right to unilaterally terminate the Agreement on other grounds arising from the General Conditions or legislation.
    7. Upon making a decision of extraordinary termination of the Agreement, the Bank weighs the circumstances of each single case from all perspectives and makes the decision based on the principle of reasonableness.
    8. Upon termination of the Agreement the Bank has the right to terminate any and all other Agreements made between the Bank and the Customer for disposal of the Account, unless otherwise provided by the General Conditions or legislation.

17. Consequences of termination of the Agreement

    1. Termination of the Agreement does not affect any claims becoming collectible or satisfaction of any claims that emerged before the termination of the Agreement.
    2. If a payment made to the Customer accrues to the Bank within 1 (one) month after termination of the Agreement, the Bank accepts the payment and notifies the Customer thereof.
    3. The Bank shall close the Account definitively 1 (one) month after the expiry of the Agreement. Before closing the Account the Bank transfers to the Account any and all interest payable by the Bank and withholds any and all service fees and other accounts payable by the Customer to the Bank and pays the balance of the funds on the Account to the Customer or to a Third Party indicated by the Customer or transfers it to the account indicated by the Customer.
    4. If the Customer has not given the Bank the Payment Order to pay the balance of the funds or transfer it to another account, the Bank keeps the funds and pays them to the Customer upon the Customer’s first demand or deposits them with a notary public in the name of the Customer. The Bank does not calculate or pay any interest on the money left in the possession of the Bank after termination of the Agreement and closure of the Account.
    5. As of the moment of closure of the Account, all agreements related to the Account are deemed as terminated and the due date of duties and obligations arising from these agreements as arrived.
    6. A closed Account cannot be reopened.