HSBC PremierTerms & Conditions

HSBC Premier
The Hongkong and Shanghai Banking Corporation Limited(Effective / 1 February 2011)

Contents

Section 1

HSBC Premier Account General Agreement....................................................................... 1

Section 2

Terms and Conditions for Yen Saving Account................................................................... 7

Section 3

Terms and Conditions for Multi Currency Saving Account............................................... 7

Section 4

Terms and Conditions for Time Deposit Account............................................................... 9

Section 5

Terms and Conditions for Structured Deposit.................................................................. 10

Section 6

Terms and Conditions for HSBC Premier ATM Card....................................................... 12

Section 7

Terms and Conditions for HSBC Premier Credit Card...................................................... 16

Section 8

Terms and Conditions for HSBC Personal Internet Banking........................................... 29

Section 9

Terms and Conditions for Telephone Banking Services................................................... 32

Section 10 Terms and Conditions for Local Payment Transfers......................................................... 33
Section 11 Terms and Conditions for Overseas Remittance and Demand Draft Issuance.............. 35
Section 12 [deleted]............................................................................................................................... 38
Section 13 Terms and Conditions for Auto-Debit Services................................................................ 38
Section 14 [deleted]............................................................................................................................... 38
Section 15 [deleted]............................................................................................................................... 38
Section 16 Terms and Conditions for Automatic Overdraft Service.................................................. 39
Section 17 Terms and Conditions for Automatic Remittance Service............................................... 42
Section 18 Terms and Conditions for Integrated Investment Trust Account..................................... 43
Section 19 Terms and Conditions for Foreign Securities Transaction Account................................. 48
Section 20 Terms and Conditions for Specified Account................................................................... 51

Effective / 1 February 2011

Section 1 HSBC Premier Account General Agreement
The provisions of the HSBC Premier Account General Agreement (the “Agreement”) outlined herein apply to the HSBC Premier
Account (the “Premier Account”) held with the domestic branches of The Hongkong and Shanghai Banking Corporation Limited(the “Bank”). The Bank carries out transactions with the Customer (each “Customer” shall, where the context requires, include
any personal representative or lawful successor of the Customer) when the Customer accepts all of the provisions of thisAgreement and the Terms and Conditions pertaining to the Premier Account that are stipulated in the following Sections.
<Article 1> Purpose and Intent of This Agreement
This Agreement is intended to clarify the legal relationshipbetween the Customer and the Bank with regard to thetransactions under the Premier Account, as such transactions
are stipulated in Article 5 of this Agreement.
<Article 2> Opening the Premier Account etc.
In making an application to open the Premier Account, theCustomer is required to file such application with the Bank, byusing the application form prescribed by the Bank on which
required items must be filled in or inputted, by registering
the seal (or signature, if the Customer prefers to register
signature) with the Bank and by submitting to the Bank all therequired documents prescribed by the Bank. The Customer
may commence transactions only after the Bank has received
and approved the application.
<Article 3> Verification of Customer Identity
1. The Bank will verify the Customer’s identity using theprescribed method(s) in accordance with the relevant laws
and regulations.
2. In the event of being unable to complete the verification ofCustomer’s identity as stipulated in the preceding Paragraph,
the Bank shall have the right to cancel any transaction, even
if the transaction has been commenced.
<Article 4> Joint Account
The Premier Account cannot be opened in the form of a joint
account with more than one account holder.
<Article 5> HSBC Premier Account Transactions
1. The Premier Account comprises of transactions andservices prescribed in the following items; provided,
however, that a separate application may be required forcertain transactions and/or services:(i)
Yen Savings Account:
The Bank handles savings account transactions inJapanese Yen.
(ii) Multi Currency Savings Account:
The Bank handles savings account transactionsin Japanese Yen and in certain foreign currencies
designated by the Bank.
(iii) Time Deposit Account:
The Bank handles Yen Time Deposits in Japanese
Yen and a Foreign Currency Time Deposits in certain
foreign currencies designated by the Bank.
(iv) Structured Deposit Account:
The Bank handles time deposits which incorporate
derivatives of interest rate, currencies, stocks,
commodities, etc.
(v) HSBC Premier International ATM Card / HSBC
Premier International Foreign Currency ATM Card:
The Bank handles the services and transactionsprescribed by the Bank where the Customer uses
the HSBC Premier International ATM Card / HSBC
Premier International Foreign Currency ATM Card(the “ATM Card”) issued by the Bank at automatic
teller machines and cash dispenser machines(collectively, “ATM”), etc.
(vi) HSBC Premier Credit Card:
The Bank handles the services and transactionsprescribed by the Bank, such as shopping usage,
cash advancement services, card loans, etc., where
the Customer uses the HSBC Premier Credit Card(the “Credit Card”) issued by the Bank (subject to arequisite credit check of the Customer by the Bank).
(vii) HSBC Personal Internet Banking:
The Bank provides the services and transactionsprescribed by the Bank where the Customer
issues instructions using a computer terminal (the“Personal Internet Banking”). With regard to certaintransactions designated by the Bank among thetransactions through the Personal Internet Banking
and the Telephone Banking, the Security Device (the“Security Device”) will be required in order to obtain
the passwords which will be used only one-time forsuch respective transactions.
(viii) Telephone Banking Services:
The Bank provides the services and transactionsprescribed by the Bank where the Customer issues
instructions using a telephone (the “Telephone
Banking”).
(ix) Local Funds Transfer:
The Bank undertakes transactions for domestic
remittance (funds transfer) based on the remittanceapplication prescribed by the Bank and other similartransactions.
(x) Overseas Remittance and Demand Draft Issuance:
The Bank undertakes transactions for overseas
remittance based on the over seas remittanceapplication and declaration form prescribed by the
Bank and other similar transactions.
(xi) [deleted](xii) Auto-Debit/Transfer Service:
The Bank offers the auto-debit/transfer service fromthe Customer’s depository account for the purposeof payment to a certain business entity designatedby the Customer in accordance with the terms andconditions as prescribed by the Bank.
(xiii) Standing Remittance/Transfer Instruction:
The Bank executes the standing remittance/transfer
instruction in accordance with the terms andconditions as prescribed by the Bank.
(xiv) HSBC Smart Housing Loan:
The Bank provides the Customer who is to purchasereal estate or who is to refinance an existing
mortgage loan with a loan under the terms andconditions as prescribed by the Bank (subject to arequisite credit check of the Customer by the Bank).
(xv) HSBC Smart Home Equity Loan:
The Bank provides the Customer who owns realestate with a loan, which is secured against such realestate under the terms and conditions as prescribedby the Bank (subject to a requisite credit check of the
Customer by the Bank).
(xvi) Overdraft Service:
The Bank provides an overdraft credit limit to theCustomer’s depository account in accordance withthe terms and conditions as prescribed by the Bank
(subject to a requisite credit check of the Customer
by the Bank).
(xvii) Investment Trust:
The Bank handles purchase/sale transactions etc.
of the investment trust in the Integrated Investment
Trust Account pursuant to the terms and conditionsprescribed by the Bank.
2. The Bank has the right to cancel, withdraw or suspend
or supplement any of the transactions and/or services at
any time with or without notice to the Customer. Further,
the Bank has the right to cancel the Premier Account of,or cancel, withdraw or suspend any of the transactions
with, and/or services to, the specific Customer who does
not satisfy the conditions as prescribed by the Bank (suchas the total relationship balance requirement and otherconditions regarding transaction status etc.).
<Article 6> Fees
1. The account management fees and other fees with respect
to the Premier Account shall be prescribed by the Bank
separately. The Bank shall have the right to deduct suchfees, including the revised or the newly established fees,
either from the Yen Savings Account or the Multi Currency

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Savings Account at any time in a manner determinedby the Bank; provided, however, that unless otherwiseprescribed by the Bank, such fees shall be deducted fromsuch accounts in the following order:(i)if the Customer has designated the account to be
deducted, from such account; and(ii) if the account so designated by the Customer does
not have enough balance for the payment of such
fees or if the Customer has not designated any
account, in the order of (1) from the Yen Savings
Account, (2) from the Multi Currency Savings
Account in yen and (3) from the Multi Currency
Savings Account in foreign currencies, until such fees
have been fully paid.
2. In the event of deduction of the amount of fees from thedepository account(s) in accordance with the foregoing
Paragraph, and if such deduction is to be made from adepositary account denominated in the currency otherthan the currency of the amount that the Bank shall collect,
the Bank shall have the right to deduct from such accountthe amount which is calculated by applying the exchange
rate at the time of such deduction pursuant to Article 15.
3. In the event of the balance of the Customer’s Yen Savings
Account or the Multi Currency Savings Account not being
able to meet the amount required to pay the fees (in theevent of the Customer being able to use the Overdraft
Service, then this shall include the amount available undersuch service), then the Bank may, in its sole discretion,
allow a temporary unauthorized overdraft to such accountin an amount equal to the difference between such balanceand such amount. In this case, the applicable interest rateon the unauthorized overdraft amount over the Overdraft
Service credit limit shall be determined by the Bank,
which rate may differ from the interest rate applicable tothe overdraft amount within such credit limit. Further, theCustomer shall promptly pay to the Bank the unauthorized
overdraft amount in excess of the Overdraft Service credit
limit without the Bank’s demand for payment.
4. If the Bank revises the fees or imposes new fees, theBank will inform the Customer, by reasonable methods
such as displaying the information at the Bank’s domestic
branches or on the Bank’s website www.hsbcpremier.
jp (“HSBC Website”). The Customer is deemed to haveagreed to such revision or imposition of fees and shall bebound by the amended terms, unless the Customer closes
the Premier Account.
5. Notwithstanding the preceding Paragraphs, the Bank
may, at any time of the Bank’s choice and in a mannerand procedure prescribed by the Bank, cancel the Premier
Account of, or cancel, withdraw or suspend any of thetransactions with, and/or services to, the Customer, if the
Bank is unable to deduct the fees, including the revised or
newly established fees.
6. The Bank shall receive the fees prescribed by this Article
only to the extent permitted by laws and regulations
and the Bank shall not charge any fees in breach of any
applicable laws and regulations.
<Article 7> Dormant Account
1. The Bank may treat each of the Yen Savings Account andthe Multi Currency Savings Account which has not had adeposit or withdrawal made, for the continuous periodof twelve (12) months since the most recent deposit orwithdrawal transaction, as a dormant account. The Bank
is not required to notify the Customer of the fact that theaccount has become a dormant account.
2. Transactions with the ATM Card will not be allowed for the
Account after it becomes a dormant account.
3. If two (2) years have elapsed after the account became adormant account, the Bank may cease to accrue intereston the balance of such account at any time.
4. In the event that all the accounts prescribed in Paragraph
1 become dormant accounts, the Bank may impose
restrictions on the use of the Premier Account. In thisevent, the Bank may charge the dormant accountmanagement fees as prescribed by the Bank.
<Article 8> Date of Transaction
1. All transactions with the Bank shall take place on a

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“Business Day” stipulated by the Banking Law and
Cabinet Office Regulations thereunder. A “Business Day”
refers to a day other than Saturday, Sunday and anyother Japanese bank holidays stipulated by the laws andregulations.
2. In the event that the Bank is requested by the Customer
through branch, ATM, telephone, or the Internet to effecta transaction under the Premier Account, the Bank will,
unless specifically instructed otherwise by the Customer,
effect the said transaction request on the same day as
the Bank accepts the said request. Depending on the dayof acceptance, time of the day when the said request is
accepted, subject currency and the type of the transaction,
however, the Bank may effect the transaction request on
the next Business Day or the second Business Day after
the Bank accepts such request. With this regard, even if
the balance of the account designated by the Customer forthat transaction was sufficient for that transaction as at thetime of the Bank’s acceptance of such request, the Bank
may treat such request as cancelled, if there is insufficientbalance in such account as at the time of execution of suchtransaction.
3. Notwithstanding the foregoing 2 Paragraphs, in casewhere, depending on the nature of the transaction, therequest for certain transaction in foreign currencies cannot
be effected as aforesaid due to a holiday in the homecountry of the relevant currency, etc., the Bank may effectsuch transaction request on the first Business Day on
which such transaction request can be effected.
4. Unless the adjustment method is specified in a separate
agreement, if the interest payment date, maturity dateor other date for the deposit designated at the time ofcontract falls on a public holiday in the country of thecurrency related to the relevant transaction (Japan incase of Japanese yen), the Bank may treat such date inaccordance with the preceding Paragraph.
<Article 9> Minimum Deposit
1. With respect to the Premier Account, the Bank may require
the Customer to deposit, within the period designated by
the Bank, more than the amount designated by the Bank
into the Premier Account and maintain the same.
2. If the amount designated by the Bank is not deposited
within the period designated by the Bank after the Premier
Account is opened, or if the same is not maintained under
the Premier Account, the Bank may, at any time of theBank’s choice and in a manner and procedure prescribedby the Bank, cancel the Premier Account of, or cancel,
withdraw or suspend any of the transactions with, and/or
services to, the Customer.
<Article 10> Deposits
1. Deposits into the Premier Account shall be made in themanner prescribed by the Bank.
2. With regard to a remittance to the Premier Account, if the
Bank receives a cancellation request from the originating
financial institution due to a mistake transmission, suchas a duplicate transmission etc., the Bank shall cancel thecredit entry of the remitted funds.
3. If funds denominated in Japanese yen are remitted to
the Premier Account without specifying the depositaryaccount, the Bank will credit the same to the Yen Savings
Account.
4. If funds denominated in a foreign currency are remitted
to the Premier Account without specifying the depositaryaccount, the Bank will credit the same to the Multi
Currency Savings Account. In this event, the Bank will
follow the provisions of Article 4 of “Section 3: Terms andConditions for the Multi Currency Savings Account.”
5. If a dispute arises with the originator of the remittance orother third party because of such handling in accordancewith the foregoing two (2) Paragraphs, the Customer
shall deal with such dispute at the cost and expense of
the Customer. The Bank shall have no responsibility withregard to such dispute.
<Article 11> Treatment of Instruments
1. The Bank, in principle, will not accept deposits incheques, bills and other instruments (collectively, the“Instruments”). However, the Bank may accept deposits inthe Instruments only to the extent permitted exceptionallyby the Bank.
2. All the blank areas on a bill (date of issue and payee inparticular) and cheque (particularly date of issue) shall becompleted in advance by the Customer. The Bank bears no
responsibility for the completion of any blank areas.
3. The Instruments shall be endorsed in advance by the
Customer, where necessary.
4. The Bank will accept the deposit of, or make the payment
on, the Instrument in the amount indicated in the amountcolumn stipulated on such Instrument regardless of any
other indication that may be shown elsewhere, whether inwords or in figures.
5. The Customer shall pay the Bank any fees as prescribedby the Bank, if any expense is incurred to the Bank arisingfrom the collection of the Instrument or if the Instrument
entrusted for collection is dishonoured. Further, the Bank
shall separately charge the cost incurred by the special
requests of the Customer.
6. If the Bank asks another branch of the Bank or anotherfinancial institution to collect the Instrument on its behalf,
the Bank will so entrust such collection by forwarding theInstrument in accordance with the timing and procedure
as determined by the Bank.
7. As for the bill of exchange without acceptance of thepayer, the Bank shall only notify the payer that the Bankis entrusted with its collection, but the Bank shall bear no
obligation to present such bill for acceptance or payment.
The same shall apply to Instruments which cannot bepresented for clearance.
8. The Bank will credit the amount of the bill processed as“a bill to be paid on due date” to the Customer’s Premier
Account on its payment date, if (a) it reaches the numberof days designated by the Bank before the payment dateand (b) the bill is collectable by clearance, etc. on thedue date. In this event, the Bank will make its amountavailable to the Customer for withdrawal, when the Bank
confirms its settlement after the deadline for notifying thedishonoured bills between banks, on the next business
day after the payment date. As for the bill not processed
as “a bill to be paid on due date,” the Bank will credit theamount of the bill to the Customer’s Premier Accountand make it available to the Customer for withdrawal,
after confirming the settlement with the payment report
between banks.
9. The amount of Instrument will not bear interest, nor will
the deposit concerning such Instrument be made available
for withdrawal, until the Bank confirms the settlement ofsuch Instrument.
10. In the event that the Instrument deposited to the Premier
Account is dishonoured, the Bank will immediately notify
the Customer of such dishonour and debit the amount ofsuch Instrument and the fees stipulated in Paragraph 5
from the Premier Account; the Bank will promptly return
such Instrument based on the Customer’s request.
11. Where the Instruments are dishonoured, the Bank shalltake necessary steps to preserve the Customer’s rights,
only with regard to those for which the Bank has received
the written requests from the Customer in advance.
12. In order to cancel the Instrument, the Customer shallsubmit to the Bank the Bank’s designated request form
either with the signature or seal which has been registeredwith the Bank, by the business day immediately before thepayment date if such Instrument has the payment date.
The Bank shall promptly cancel and return the Instrument
to the Customer based on the Customer’s request.
13. The Bank shall not be responsible for any damages
resulting from losses, damages, defacement or delaysof the Instruments due to unavoidable events such as
incident, disaster or accident in transport. Similarly, theBank shall assume no responsibility for any damages
resulting from transmission delays caused by failureof communication devices or lines due to unavoidable
events.
14. The rights of the applicant based on the entrustment ofcollection shall not be transferred or pledged.
<Article 12> Withdrawals
1. A withdrawal can be made only when the relevant

depositary account has sufficient balance available forwithdrawal (including the funds available through theOverdraft Service, where such service is available to theCustomer) and only after the verification procedures havebeen completed with respect to the seal (or signature)
affixed on the withdrawal slip etc. against the specimenof the seal (or signature) previously registered with theBank. Notwithstanding the foregoing, where there are
special provisions with regard to the transactions with
the ATM Card or the transactions through the PersonalInternet Banking or Telephone Banking, etc., such special
provisions shall control.
2. Prior to using the Yen Savings Account and the Multi
Currency Yen Savings Account to pay any charges(onlythose handled by the Bank), the Customer shall complete
all the procedures as prescribed by the Bank.
3. In the event that more than one withdrawal is requestedby the Customer on a single day and the aggregate
amount of those withdrawal requests exceed the available
amount for withdrawal, the Bank may at its discretion
decide which withdrawal is processed.
<Article 13> Application of Laws and Regulations Related toForeign Exchange
All foreign currency transactions between the Customer andthe Bank will be dealt with in accordance with this Agreement,
as well as the Foreign Exchange and Foreign Trade Law, any
Government or Ministerial ordinances promulgated there
under and any other foreign exchange related laws andregulations.
<Article 14> Fluctuations in Foreign Exchange Rates
The Customer hereby confirms that he or she fully
understands and acknowledges the possibility of gain or loss
due to the exchange rate fluctuations in relation to the foreignexchange transactions. The Bank bears no responsibility forsuch loss incurred by the Customer.
<Article 15> Foreign Exchange Conversion Rate
1. In the event that all or part of a deposit is withdrawn
and converted into another currency, that the repaymentof obligation to the Bank by setoff etc. is made in acurrency other than the one in which such obligation isdenominated or that a deposit is transferred to anotherdeposit after conversion of the currencies, the Bank
shall comply with such timing, method and procedure
as prescribed by the Bank, and apply the exchange rate
determined by the Bank.
2. In the event of conversion into a currency other than the
one in which the funds deposited are denominated whena credit entry to the Premier Account is made, the Bank
shall apply the exchange rate determined by the Bank,
similarly applying, mutatis mutandis, the provisions of thepreceding Paragraph.
<Article 16> Branches Handling HSBC Premier AccountTransactions
1. The transactions and services stipulated in this Agreement
are offered only at the Bank’s domestic branches
designated by the Bank.
2. When reference is made in this Agreement and theTerms and Conditions in the following Sections to the“Bank” without specification, that term shall include only
the Bank’s domestic branches, but excludes the Bank’s
overseas branches.
<Article 17> Statement of Account
1. The Bank will issue the HSBC Premier Account Statement
regarding the transactions that were effected for thePremier Account. The HSBC Premier Account Statement
will be sent to the Customer’s address registered with
the Bank. The Bank will not issue any passbook, savings
certificate, etc.
2. The Bank shall, with the Customer ’s consent, issue
the HSBC Premier Account Statement outlined in thepreceding paragraph for inspection via an electromagnetic
method in place of the written format which is mailed
to the Customer. In the event that the Bank issues the
HSBC Premier Account Statement via an electromagnetic
method, a written HSBC Premier Account Statement will
not be issued.

33. The HSBC Premier Account Statement will be prepared asof the end of each month.
4. In the event that the Customer requests the Bank to reissue an HSBC Premier Account Statement (including thecase where an HSBC Premier Account Statement is to beissued in physical form when an HSBC Premier AccountStatement is provided via an electromagnetic method as
stipulated in Paragraph 2), the Bank will charge fees as
stipulated by the Bank.
5. The HSBC Premier Account Statement may also be issued
as a balance report for investment trusts.
6. If the HSBC Premier Account Statement or any otherdocument sent by the Bank contains an erroneous record,
the Customer shall notify the Bank thereof within fifteen(15) days after the date when such document is received
by mail or when such document becomes available forinspection via an electromagnetic method (or within suchspecific period, if such period is specified separately). If the
Bank shall not receive any such notice within such period,
the Bank will treat that the Customer has acknowledged
and agreed to the contents of such HSBC Premier AccountStatement, etc.
<Article 18> Changes to Registered Information; Re-issuanceof ATM Card, etc.
1. The Customer shall immediately notify the Bank in themanner as stipulated by the Bank, in the event of theloss of demand draft, cheque, cheque book, withdrawal
slip, ATM Card, Security Device or seal; or in the eventof any changes to the Customer ’s name, address,
telephone number, workplace, seal, signature, or any
other information registered with the Bank. In such cases,
the Customer may also be required to submit to the Bank
the extract of the family register, the seal impression
certificate, or any other documentation as deemednecessary by the Bank.
2. The Bank shall bear no responsibility for any damages
incurred before the notification as stipulated in thepreceding paragraph.
3. Such fees as stipulated by the Bank will be charged for there-issuance of the ATM Card or the Security Device.
4. In the event that the Bank dispatches any notice or
document to the name and address registered with theBank, such notice or document will be deemed to havebeen delivered within the time which is normally expected
for delivery, even if the said notice or document is delayedor does not reach the Customer.
5. In the event that the Bank dispatches any notice or
document to the name and address registered with theBank, but such notice or document is returned to the Bank
without reaching the Customer, the Bank may suspend thedelivery of HSBC Premier Account Statement and limit allor part of the transactions with the Bank.
<Article 19> Prohibition of Transfer or Pledge
The Customer may not, without the permission of the Bank,transfer, pledge or otherwise dispose of the Premier Account,deposits or any other rights.
<Article 20> Termination, etc.
1. The Customer can, unless otherwise stipulated by the
Bank, terminate the Premier Account at anytime at
the Customer ’s discretion. In order to terminate thePremier Account, the Customer must complete all thenecessary items in the forms prescribed by the Bank,
apply the Customer’s registered seal (or signature) in theappropriate areas, and submit the completed forms to the
Bank together with the ATM Card and the Security Device.
2. The Customer shall, upon termination of the Premier
Account, pay in full any outstanding balance of theprincipal and interest of the overdraft facility, housing
loans, and/or any other obligations that the Customer
owes to the Bank in connection with the Premier Account.
3. When the Premier Account of the Customer, who has a
product that, in principle, cannot be terminated during theterm such as time deposits, is terminated, such termination
procedures will be performed after crediting the proceedsof such product (after deduction of applicable cancellation
fees prescribed by the Bank) to the Yen Savings Account or
the Multi Currency Savings Account.

4

4. If any of the below-mentioned events occurs in respect of
the Premier Account, the Bank may immediately limit orsuspend any or all transactions under the Premier Accountor, after serving the notice to the Customer, terminate thePremier Account:(i)
It is confirmed that the named Customer of thePremier Account does not exist or the transactions
under the Premier account have been commenced
against the named Customer’s will.
(ii) The Customer violates Article 19 (Prohibition ofTransfer or Pledge).
(iii) The Premier Account has been used, or is likely to be
used, for any purpose that is in contrary to the publicorder or morality.
(iv) It is confirmed that the Customer has registered false
information with the Bank.
(v) T h e C u s t o m e r f a i l s t o p e r f o r m t h e p a y m e n t
obligation owed to the Bank after the Bank’s demandfor its payment, or the Customer fails to observe thematerial points of the terms and conditions regarding
the transactions with the Bank.
(vi) For any other reason, the Bank considers it necessary
to limit or suspend any or all transactions under thePremier Account or to terminate the Premier Account.
5. In addition to the circumstances set out in the preceding
Paragraph, if the Customer constitutes any of thecategories in any of the following Items and if the Bank
determines it inappropriate for the Bank to continuetransactions with the Customer, the Bank may suspendtransactions under the Premier Account or, after serving
the notice to the Customer, terminate the Premier Account:(i)
In case that the representations and covenants madeby the Customer at the time of application for the
opening of Premier Account have proved to be false.
(ii) In case that the Customer has become known toconstitute any of the following:(1) An organised group of gangsters (boryoku dan);(2) A member of an organised group of gangsters;(3) A quasi-member (jun kousei in) of an organised
group of gangsters;(4) An affiliated business enterprise of an organised
group of gangsters;(5) A sokaiya corporate racketeer etc., a hoodlum who
claims to advocate for social activities etc. (shakai
undo tou hyoubou goro), a violent group with special
intellect (tokushu chinou boryoku shudan) or the like;or(6) A person similar to any of the foregoing.
(iii) In case that the Customer has, either in person orwith the assistance of any third party, engaged in any
activity that corresponds to any of the following:(1) Making a threatening demand (boryoku-teki yokyukoui);(2) Making an illegal or unjustifiable demand;(3) In relation to a transaction, engaging in a threatening
speech or behaviour or threatening to or using illegal
force;(4) Starting a malicious or false rumour, or discrediting
the Bank or disturbing the Bank’s business by
fraudulent means or illegal force; or(5) Any activity similar to any of the foregoing.
6. In addition to the circumstances set out in the precedingtwo (2) Paragraphs, in the event that the Customer has
not used the Premier Account for the period separately
stipulated by the Bank, or as the laws or regulations
permit, the Bank may limit or suspend the transactions
under the Premier Account, or, after serving the notice to
the Customer, terminate the Premier Account.
7. In the event that the Bank dispatches the notice oftermination to the address which is registered with theBank, such notice will be deemed to have been delivered
within the time normally expected for delivery, even if
such notice is delayed or does not reach the Customer.
<Article 21> Notification of Appointment of Guardian of Adult etc.
1. In the event that assistance, curatorship or guardianshipcommences in respect of the Customer by an order issued
by the Family Court, the Customer or such guardian of
adult etc. shall immediately notify the Bank of the name ofthe relevant guardian of adult etc. and the other necessary
information in the form as prescribed by the Bank. In
such event, the Bank may request the identity verification
documents as prescribed by the Bank with regard to suchguardian of adult etc.
2. In the event that a supervisor of voluntary guardianof adult is appointed by an order issued by the Family
Court in respect of the Customer, the Customer or suchvoluntary guardian of adult or such supervisor shallimmediately notify the Bank of the name and the otherinformation of such voluntary guardian of adult and suchsupervisor in the form as prescribed by the Bank. In thisevent, the Bank may request the identity verification
documents as prescribed by the Bank with regard to suchvoluntary guardian of adult and such supervisor.
3. In case where an order to commence assistance,
curatorship or guardianship has already been issued, or asupervisor of voluntary guardian of adult has already been
appointed, with respect to the Customer, the notification
procedures stipulated in the preceding two (2) Paragraphs
shall be similarly taken.
4. In case of any cancellation or amendment of any
information notified to the Bank pursuant to the preceding
three (3) Paragraphs, the notification thereof shall besimilarly made.
5. The Bank will bear no responsibility for any damages
incurred before the notification as stipulated in thepreceding four (4) Paragraphs.
<Article 22> Set off etc.
1. In the event that any obligation to the Bank of the
Customer is due, the Bank may set-off such obligation
against any deposit or other claim against the Bank of the
Customer at anytime, even prior to the due date of suchdeposit or other claim.
2. In the event of the currencies of the obligation and of theclaim are different, the Bank has the right to set-off as
stipulated in the preceding Paragraph.
3. In the event of set-off as stipulated in the preceding two (2)Paragraphs, interest on discount rates for, and damages,
etc. of the claims and obligations will be calculated
for a period ending on the date of calculation, and theapplicable interest rates and other rates thereto will bereasonably determined by the Bank. Further, the applicableforeign exchange rate will be the one at the time of suchcalculation by the Bank.
4. The Bank shall have the right to assign the obligations of
the Customer to any judicial person etc. (the “HSBC Group
Company”) of the HSBC Group whose ultimate holding
company is HSBC Holdings plc. or to any third party
designated by the Bank without consent of the Customer
for collection purposes. Further, such HSBC Group
Company or such third party may assign the obligationsof the Customer to any other HSBC Group Company(including the Bank) or to any other third party without
any consent of the Customer. The Customer hereby agrees
not to oppose to such assignment.
5. As the occasion demands, the Bank shall have the right toappoint any external debt collecting agency, and to have it
collect the obligations owed by the Customer.
<Article 23> Indemnification
1. In the event that the Bank has collated, with due care, theseal (or signature) affixed on the cheque, withdrawal slip
or any other document submitted to the Bank against theseal (or signature) of the person who has the authority totransact with the Bank registered with the Bank, and thatthe Bank has determined that they are identical, then the
Bank shall not be liable for any damages incurred for any
other reason whatever as a result of any incident such as
any of them being forged, counterfeited, or fraudulently
used, the person making the telephone call was not theCustomer, etc.
2. Unless otherwise agreed by the Bank, any payment
obligation of the Bank owed to the Customer in relation to
the Premier Account will be performed only at the Bank’ s
domestic branches as designated by the Bank.
3. With regard to the transaction, the Bank will bear
responsibility for the results that are attributable only

to the Bank. The Bank will bear no responsibility for the
results caused by the events beyond the Bank’s reasonable
control, such as imposition of taxes and other public dues;changes in currency value; regulations concerning foreignexchanges and remittances; market fluctuations; freezingof funds; forced remittances; war; natural disaster;
civil unrest; economic blockade; laws, ordinances, andinstruction by applicable agencies; intentional misconduct,
negligence, default and bankruptcy of the correspondent
institutions and other agents of the Bank; and delays anddamages during transport.
4. The Bank shall not be liable for any delay or failure of theBank’s equipment, system or software, or in providing anyof the Bank’s services to the Customer to the extent thatis attributable to any cause beyond the Bank’s reasonable
control including any communication equipment or line
malfunction or failure, and under no circumstances shallthe Bank be responsible to the Customer for losses,
damages, or expenses arising from or in connection withsuch delay or failure, with the exception that the cause isattributable to the Bank.
5. In the event that the Customer and the Bank encountersdiscrepancies regarding the contents, amounts, etc. ofthe transactions reported in the HSBC Premier AccountStatement or any other document or of the transactions
actually executed between the customer and the Bank,
the records of the Bank shall be treated as accurate in
the absence of manifest error. The Bank will bear no
responsibility for the damages etc. incurred as a result ofsuch discrepancies, unless the cause is attributable to theBank. With regard to the HSBC Premier Account Statement
or any other document, if the Bank shall not have received
any notice from the Customer to the contrary within
fifteen (15) days after the date when such document isreceived by mail by the Customer or when such document
becomes available to the Customer for inspection via
an electromagnetic method, the Bank will treat that theCustomer has acknowledged and agreed that the contentsof such document are accurate.
6. In the event that five (5) years have passed after the
execution of a transaction under the Premier Account, theBank will not agree to any correction, cancellation, etc. ofsuch transaction, absent manifest error on the part of theBank.
<Article 24> Handling of Customer Information
1. The Bank shall handle the Customer information inaccordance with the provisions separately prescribed by
the Bank.
2. Subject to the limitations under the preceding Paragraph,
the Bank may have any of the domestic or overseas HSBC
Group Company or other third party designated by the
Bank handle any Customer information. The Bank may
disclose Customer information if required to do so by
the applicable laws or by the court or in the other legal
procedures, or if requested to do so by any governmental
agencies.
<Article 25> Restrictions on Transactions etc.
1. If the Bank considers that the Customer’s request fortransaction etc. constitutes an abuse of the Bank’sservices, then the Bank can impose certain restrictions onsuch transaction or refuse to execute such transaction.
2. Even after the agreement is made with regard to thetransaction etc. as requested by the Customer, if there
arises a market disruption or a remarkable change
in financial conditions prior to the execution of suchtransaction etc., then the Bank is entitled not to executesuch transaction etc.
3. The Bank will bear no responsibility for any damages
incurred by the Customer or any third party as a resultof the restrictions on, or refusal of the execution of,transaction etc. as provided for in the preceding two (2)Paragraphs.
<Article 26> Prevention of Money Laundering and Financingof Terrorist Activities
1. The Bank will act in full compliance with all relevant laws
and regulations, and requests by public organisations
such as national governments, in view of the international

5initiatives of the prevention of money laundering andfinancing of terrorist activities.
2. In connection with the overseas remittance service, if
the Bank is required to submit certain materials etc.
to the relevant authorities in order to comply with thelaws and regulations concerning foreign exchange, theBank is entitled to request the Customer to submit suchmaterials etc. or to cooperate with the inquiries by the
Bank. If the Bank cannot obtain such materials etc. or suchcooperation, the Bank is entitled to take any measures thatthe Bank deems appropriate, including the refusal of theexecution of such overseas remittance.
3. Neither the Bank nor any other HSBC Group Company will
be liable for any loss (whether direct or consequential andincluding, without limitation, loss of profit or interest) or
any damage suffered by the Customer or any third party
arising out of:(i)any delay or failure by the Bank or any HSBC Group
Company in processing any payment messages
or other information or communications, or in
performing any of its duties or other obligations inconnection with the Current Account or any otheraccount or the provision of any services to theCustomer, caused in whole or in part by any steps
which the Bank or any HSBC Group Company, in its
sole and absolute discretion, considers appropriate
to take in accordance with any laws, regulations
and requests of public and regulatory authorities
operating in various jurisdictions which relate to,amongst other things, the prevention of money
laundering, terrorist financing and the provision offinancial and other services to any persons or entities
which may be subject to sanctions; or(ii) the exercise of any of the Bank’s rights under this
Article.
4. Neither the Bank nor any HSBC Group Company warrantsthat any information on the Bank’s systems relating
to any payment messages or other information andcommunications which are the subject of any action taken
pursuant to this Article is accurate, current or up-to-date at
the time it is accessed, whilst such action is being taken.
<Article 27> Provision of Financial Information, Market
Information, etc.
1. Any information regarding financial conditions, market
rates and other facts that is provides at the Bank’s branches,through the Bank’s website, etc. (the “Information”) is
provided to the Customer for the reference purposes only,
and the Bank shall not be deemed to have agreed to enter
into transactions with the Customer at such rates andother conditions appearing on the Information.
2. Any report regarding the analysis, forecast, outlookof the financial conditions, market environment, etc.
that is provided at the Bank’s branches, through theBank’s website, etc. based on the Information andother information (the “Report” and together with theInformation, the “Information etc.” ) is provided to theCustomer for reference purposes only, and the Bank does
not make any warranty whatsoever as to its contents,
including, without limitation, any warranty that suchcontents are accurate, current or up-to-date or any
warranty that such contents will realize in the future. The
Customer hereby acknowledges that, with regard to the
Information etc. originally provided by a third party, such
Information etc. may be provided to the Customer, without
any review etc. by the Bank, in its original contents asprovided to the Bank by such third party and the Customer
shall not make any objection to such provision ofInformation etc.
3. All the rights and powers, including, without limitation,
all intellectual property rights, in the Information etc. shallbelong to the Bank, the HSBC Group Company and theinformation provider concerning such Information etc.
The Customer shall not obtain any right or power withregard to the Information etc., except that the Customer
is entitled to use the Information etc. in connection withthe transactions with the Bank or for the purposes ofconsidering such transactions.

6

4. The Customer shall not engage in any of the following
acts, unless otherwise agreed by the Bank:(i)
Creating a copy of; altering; providing to any third
party of; or using for commercial purposes of; all or
any part of the Information etc.; or(ii) Integrating into any software etc. of; or creating any
link from any other website to; all or any part of theInformation etc.
5. The Bank, the HSBC Group Company or the information
provider is entitled to set or amend, at any time, the usage
conditions regarding the Information etc., such as making
certain Information etc. available only to the Customer
who has satisfied certain conditions, etc.
<Article 28> Governing Law and Jurisdiction
All transactions with the Bank, and the attached documents
thereto and the terms and conditions therefore shall be
construed in accordance with the laws and regulations ofJapan (including governmental ordinances relating to financeand exchange control, etc. administrative guidance, andgeneral practical examples of general practices). With regard
to any lawsuit or legal proceeding concerning transactions
with the Bank, either the court in Tok yo Area or suchcourt having jurisdiction over the Bank’s domestic branch
concerning such transactions may be designated as having
jurisdiction over such lawsuit or legal proceeding.
<Article 29> Procedural Customs, etc.
All the matters not set out in this Agreement shall be handledin accordance with other terms and conditions, rules andregulations of the Bank or the procedural customs adopted
by the Bank.
<Article 30> Amendment
1. This Agreement is subject to change at any time at theBank’s sole discretion. Any amendment will become
effective on the effective date of such amendment. Unlessthe Customer who holds the Premier Account terminates
the Premier Account or suspends the use of the services ortransactions concerning such amendment, the Customer
shall be deemed to have agreed to such amendment andshall be bound by such amended terms and conditions.
2. When this Agreement is amended, the Bank shall notify
the customer at least one (1) month prior to each of thesaid changes by proper means of notification, such as
posting the notice at the Bank’s domestic branches or on
the Bank’s website (www.hsbcpremier.jp). Notwithstanding
the foregoing, with regard to the amendment to thisAgreement based on the laws and regulations or theamendment to this Agreement which is deemed to haveno material adverse impact on the Customer’s rights or
obligations, the Bank may implement such amendmentwith a shorter notification period or without any priornotification.
<Article 31> Transfer of Contractual Position of The Bank
The Bank may, upon prior written notice to, and without
seeking the consent of, the Customer, transfer and assign
all rights, interests and obligations of the Bank arising outof the transactions and services under the Premier Accountto any HSBC Group Company incorporated in Japan, which
is directly or indirectly wholly owned by HSBC Holdings Plc,
and which is appropriately licensed to engage in the businessregarding the transactions and services under the Premier
Account.
<Article 32> English Translation
With regard to all the transactions with the Bank, the terms
and conditions in Japanese shall constitute the authentic
version, unless otherwise stipulated by the Bank. In theevent that the Bank prepares the English translation of such
Japanese terms and conditions for reference purposes,
and if there is any discrepancy between the provisions ofsuch Japanese version and the provisions of the English
translation that is prepared for reference purposes, theprovisions of such Japanese version shall prevail.
<Article 33> Deposit Insurance
Deposits held with the Bank’s domestic branches are notcovered by Deposit Insurance.

Section 2 Terms and Conditions for Yen Savings Account
The Terms and Conditions for Yen Savings Account (hereafter in this section, the “Terms and Conditions”) provides for the Bank’s
handling of all Yen Savings Account transactions (including deposit and withdrawal of Japanese Yen) made by a Customer with a
Premier Account.
<Article 1> Transaction Details
In the Yen Savings Account, savings (futsu yokin) in Japanese
Yen will be handled.
<Article 2> Accepting Deposits in Instruments
1. The Bank, in principle, will not accept deposits in cash or
Instruments at the teller counters of the Bank’s domestic
branches for the Yen Savings Account.
2. Deposits with the ATM Card used at the ATMs of the Bankor those of financial institutions affiliated with the Bank
shall be governed by the provisions in “Section 6: Terms
and Conditions for HSBC Premier ATM Card.”<Article 3> Accepting Deposits by Fund Transfers
The Bank will accept deposits by fund transfers (which must
be in Japanese Yen or in a foreign currency approved by theBank) from other financial institutions to the Yen Savings
Account. If the fund so transferred is in a foreign currency
approved by the Bank, such fund shall be credited to theaccount after the same is converted into Japanese Yen. The
amount to be credited at that time shall be the amount,pursuant to Article 15 of “Section 1: HSBC Premier AccountGeneral Agreement”, calculated by applying the exchange rate
at the time of accepting such fund transfer.
<Article 4> Deposit Unit
The unit of deposit shall be one (1) Yen.
<Article 5> Withdrawals
1. Withdrawals, in principle, may be made with the ATM
Card from the ATMs of the Bank or those of financial
institutions affiliated with the Bank; or by fund transfer
to another account at the teller counters of the Bank’s
domestic branches or through Telephone Banking Services
or Personal Internet Banking. Such withdrawals shall bemade in accordance with the following:(i)
The Bank will only accept a Customer’s request towithdraw over the counter at the Bank’s domestic
branches if the seal impression (or signature) on
the Withdraw Request Form matches the seal (orsignature) previously registered with the Bank. If
deemed necessary, the Bank shall be able to request
the identity verification statement in accordance tothe Bank's prescribed method(s).
(ii) The Bank will only accept a Customer ’s ATM
withdrawal request if the PIN used at the time ofoperating the ATM matches the PIN previously
registered with the Bank. For the avoidance of doubt,
ATM Card usage shall be governed by “Section 6:
Terms and Conditions for HSBC Premier ATM Card.”(iii) When the Customer makes a transfer from theCustomer’s Yen Savings Account to the Customer’sother account under the Premier Account via
Telephone Banking Services, the Bank shall verify
the Customer’s identity by the PIN entered throughthe phone. In case the Customer makes a transfer
to a depositary account outside the Customer’s
Premier Account, a One Time Password is requiredin addition to this. The Bank will only accept theCustomer’s request for transfer, in lieu of documents
provided by the Customer, if the Bank has completed
all Customer identity verification procedures by the
aforementioned method or any other alternative
method separately prescribed by the Bank. For the
avoidance of doubt, Telephone Banking Services
usage shall be governed by “Section 9: Terms andConditions for Telephone Banking Services.”(iv) When the Customer makes a transfer from theCustomer’s Yen Savings Account to the Customer’sother account under the Premier Account via PersonalInternet Banking, the Bank shall verify the Customer’s
identify by the user name and PIN that have beenentered through the internet terminal. In case theCustomer makes a transfer to a depositary accountoutside the Customer’s Premier Account, a One Time
Password is required in addition to these. The Bank
will only accept the Customer’s request for transfer,in lieu of documents provided by the Customer, if the
Bank has completed all Customer identity verification
procedures by the aforementioned method or any
other alternative method separately prescribedby the Bank. For the avoidance of doubt, PersonalInternet Banking usage shall be governed by “Section
8: Terms and Conditions for HSBC Personal Internet
Banking.”
2. When the Customer uses the Yen Savings Account for the
automatic payment of various fees etc., the Customer
shall, in advance, carry out the procedures prescribed by
the Bank.
3. If multiple payments are to be made on the same day andthe total amount thereof exceeds the available balanceof the Account, the decision as to which payment will be
executed shall be made at the sole discretion of the Bank.
<Article 6> Deposit Interest
1. If the daily final balance (the amount of accepted securities
etc. shall be excluded from such balance until they aresettled) is one (1) Yen or more, deposit interest shall accrue
for units of one (1) Yen and such interest, calculated at theinterest rate designated by the Bank and displayed at theBank’s domestic branches as well as the Bank’s Website,
etc., shall be credited to the Customer’s Yen Savings
Account each month on a date designated by the Bank.
2. The interest rate referred to in the previous Paragraph will
be varied reflecting changes in financial conditions.
<Article 7> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions suchas change in registered items, prohibition of transfer orpledge, termination, disclaimer, governing law, jurisdiction
and changes in the terms and conditions, shall begoverned by “Section 1: HSBC Premier Account General
Agreement,”
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

Section 3 Terms and Conditions for Multi Currency Savings Account
The Terms and Conditions for Multi Currency Savings Account (hereafter, the “Terms and Conditions”) govern procedures tobe carried out by the Bank in respect of the Multi Currency Savings Account(s) of the Customer held under a Premier Account,
including deposits or withdrawals in Japanese Yen or such foreign currencies as designated by the Bank, and all other banking
transactions.
<Article 1> Contents of Transaction
In Multi Currency Savings Account, the savings (futsu yokin)
in Japanese Yen and such foreign currencies designated by
the Bank shall be handled.

<Article 2> Document to Be Delivered Prior to Execution ofContract
Pursuant to the applicable laws and regulations, the Bank willseparately provide the Customer with the “document to bedelivered prior to execution of contract” (keiyaku teiketsumae koufu shomen) prior to the opening of Multi Currency

7

Savings Account. The Multi Currency Savings Account will
be opened only after the Customer acknowledges his/her
understanding of the contents of such “document to bedelivered prior to execution of contract” (keiyaku teiketsumae koufu shomen).
<Article 3> Acceptance of Deposits in Instruments
The Bank, in principle, will not accept deposits in cash or theInstruments for Multi Currency Savings Account.
<Article 4> Acceptance of Deposits by Remittance and via ATM
1. Deposits to the Multi Currency Savings Account can bemade by remittance of funds (in Japanese Yen or suchforeign currencies as designated by the Bank) from otherfinancial institutions.
2. The account to be credited and the currency in which suchcredit will be made for the deposits made by remittancefrom other financial institutions will be determined inaccordance with the followings:(i)
In case no currency for the account to be credited isdesignated:(1) If the Multi Currency Savings Account in the same
currency with the incoming funds exists, such funds
will be deposited into such Multi Currency Savings
Account.
(2) If the Multi Currency Savings Account in the same
currency with the incoming funds does not exist,
such funds will be exchanged into the equivalentamount in Japanese Yen and deposited into the Multi
Currency Yen Savings Account.
(ii) In case the currency for the account to be credited isdesignated:(1) If the Multi Currency Savings Account in the same
currency with the designated currency for theaccount to be credited (the “Designated Currency”)
exists, incoming funds will be deposited into such
Multi Currency Savings Account. However, if thecurrency of the remitted funds differs from the
Designated Currency, such remitted funds will
be converted into such Designated Currency anddeposited into the Multi Currency Savings Account in
the Designated Currency.
(2) If the Multi Currency Savings Account in the
Designated Currency does not exist, incoming funds
will be converted into Japanese Yen and deposited
into Multi Currency Yen Savings Account.
3. In case the funds to be deposited are converted into theequivalent amount in a different currency pursuant to
Item 1(1), the second sentence of Item 2(1) or Item 2(2) of
the preceding Paragraph, the Bank will do so by applying
the exchange rate at the time of the deposit, pursuant to
Article 15 of “Section 1: HSBC Premier Account General
Agreement”.
4. The Customer shall solely be responsible for any disputes
arising in connection with the handling under precedingtwo (2) Paragraphs between the Customer and the person
who makes such remittance of funds, and the Bank shallnot be responsible for such disputes at all.
5. The Bank will accept the deposits by means of the useof the Foreign Currency ATM Card at ATMs of the Bank
located in Japan. Paragraph 2, Item 2 (1) and Paragraph3 shall be applicable, mutatis mutandis, to such deposits,
whereby the currency designated for such Foreign
Currency ATM Card shall be deemed as the DesignatedCurrency. For the avoidance of doubt, the usage of theForeign Currency ATM Card shall be governed by “Section
6: Terms and Conditions for HSBC Premier ATM Card.”<Article 5> Deposit Unit
In the event that the currency of the deposit is Japanese Yen,
the deposit can be made in units of one (1) Yen. In the eventthat the currency of the deposit is a foreign currency, thedeposit can be made in units of one (1) auxiliary currency ofsuch foreign currency.
<Article 6> Withdrawals
1. Withdrawals may be made through transfer to anotheraccount at the teller counters of the Bank’s domestic
branches or via Telephone Banking Services or HSBC
Per sonal Internet Banking, and shall be made in8

accordance with the followings:(i)
The Bank will allow the withdrawals at the tellercounters of the Bank’s domestic branches, only if
the Bank has completed the collation procedureswith regard to the seal (or signature) affixed on
the withdrawal slips with the Customer’s seal (orsignature) registered with the Bank. If deemednecessary, the Bank shall be able to request theidentity verification statement in accordance with theBank's prescribed method(s).
(ii) When the Customer makes a transfer to the otheraccounts within the Customer’s Premier Account via
Telephone Banking Services, the Bank shall verify the
Customer’s identity with the PIN (plus the one-time
password, in case of remittances to other accounts
not within the Customer’s Premier Account) input
via telephone. The Bank will provide the service only
to the Customer who has completed the Customer
identification processes, in lieu of submission of
documents, by the said method or any other methodthat the Bank designates. The Customer shall also
comply with “Section 9: Terms and Conditions for
Telephone Banking Services”, for the use of theTelephone Banking Services.
(iii) When the Customer makes a transfer to the otheraccounts within the Customer’s Premier Account
via HSBC Personal Internet Banking, the Bank shallverify the Customer’s identity with the Customer’suser name and PIN (plus the one-time password,in case of remittances to other accounts not within
the Customer’s Premier Account) input via internet
terminal. The Bank will provide the service only to
the Customer who has completed the Customer
identification processes, in lieu of submission of
documents, by the said method or any other methodthat the Bank designates. The Customer shall also
comply with “Section 8: Terms and Conditions for
HSBC Personal Internet Banking Services”, for the useof the HSBC Personal Internet Banking Services.
2. [deleted]
3. Notwithstanding Paragraph 1, the Customer can makea withdrawal from ATMs located outside of Japan of
the Bank or an overseas Affiliated Party, by using theForeign Currency ATM Card. The Bank will only accept theCustomer's ATM withdrawal request if the PIN used at thetime of operating the ATM matches the PIN previously
registered with the Bank. For the avoidance of doubt,
the usage of the Foreign Currency ATM Card shall begoverned by “Section 6: Terms and Conditions for HSBC
Premier ATM Card.”<Article 7> Interest on Deposits
1. If the currency of the deposit is Japanese Yen, each month,
on the date designated by the Bank, the interest on suchdeposit shall be added to the Multi Currency Yen Savings
Account, which will be calculated for units of one (1) Yenof the deposit by applying the interest rate determined by
the Bank which rate is displayed at the Bank’s domestic
branches and website etc., provided that the daily final
balance of such Multi Currency Yen Savings Account is notless than one (1) Yen (the amount of any Instruments etc.
deposited shall be excluded from such account balance
until they are finally settled).
2. If the currency of the deposit is a foreign currency, eachmonth, on the date designated by the Bank, the intereston such deposit shall be added to such Multi Currency
Savings Account in such foreign currency, which will becalculated for units of one (1) auxiliary currency of suchforeign currency by applying the interest rate determinedby the Bank which rate is displayed at the Bank’s domestic
branches and website etc., provided that the daily final
balance of such Multi Currency Savings Account in suchforeign currency is not less than one (1) unit of such
auxiliary currency (the amount of any Instruments etc.
deposited shall be excluded from such account balance
until they are finally settled).
3. The interest rates mentioned in the preceding two (2)Paragraphs are subject to change in response to financial
circumstances.

<Article 8> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions,such as changes in registered items, prohibition oftransfer or pledge, cancellation, disclaimer, governinglaw, jurisdiction or amendment of the provisions, shall begoverned by “Section 1: HSBC Premier Account General
Agreement”.
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

Section 4 Terms and Conditions for Time Deposit Account
The Terms and Conditions for Time Deposit Account (hereafter in this Section, the “Terms and Conditions”) govern transactionsof time deposit in Japanese Yen or foreign currencies (each, the “Time Deposit”) under the Time Deposit Account(s) of thePremier Account held by the Customer with the Bank, including deposits, withdrawals and all other transactions in connection
therewith.
<Article 1> Contents of Transaction
1. The Time Deposit Account is for handling Time Deposits inJapanese Yen or such foreign currencies as designated by
the Bank.
2. In soliciting the Time Deposits, the Bank may solicit,
separately from a Time Deposit of the general type, forwhich the application will be accepted at any time, aTime Deposit of the limited-solicitation-period type, forwhich the Bank prescribes its solicitation period, currency,
deposit date, Deposit Term, minimum amount for theaggregated application amounts and other conditions andfor which the application will be accepted only during such
solicitation period.
<Article 2> Document to Be Delivered Prior to Execution ofContract
Before the execution of the transactions with respect to theTime Deposit denominated in foreign currencies, the Bank
will provide the Customer with the “Pre-account Opening
Risk Explanation Form” (keiyaku teiketsu-mae koufu shomen)
pursuant to the applicable laws, regulations and other rules.
The transaction for Time Deposits denominated in foreign
currencies will be processed only when the Customer
acknowledges his/her understanding of the contents of, andagrees to “Pre-account Opening Risk Explanation Form”(keiyaku teiketsu-mae koufu shomen).
<Article 3> Deposit, Minimum Deposit Amount, Deposit Termand Maturity
1. The Bank will accept the Time Deposits by way of transferfrom the Customer ’s Yen Savings Account or Multi
Currencies Savings Account. The Bank will not accept
cheques, bills and other instruments for this purpose.
2. The minimum and maximum amounts acceptable for Time
Deposits shall be the amounts stipulated separately by theBank.
3. The deposit term (the “Deposit Term”) for the Time Deposit
shall be the term determined by the Bank, which will be
displayed at the Bank’s domestic branches and on the
Bank’s website.
4. The maturity date of the Time Deposit will be determinedby the Bank, as stipulated below. No Time Deposit of the
fixed maturity date (kijitsu shitei teiki) will be handled:(i)
In the event that the deposit date falls on the dateother than the last day of the month, the maturity
date shall be the numerically corresponding dateof such deposit date of the month after the Deposit
Term; provided, however, that if such numericallycorresponding date does not fall on a business day
or falls on a bank holiday etc. in the principal market
related to the relevant foreign currency with respect
to the Foreign Currency Time Deposits, such maturity
date shall be the next business day (provided,
however, that if such next business day falls in thenext calendar month, then the maturity date shallbe the immediately preceding business day). In theevent that there is no numerically corresponding dateof the deposit date in the month after the Deposit
Term, the maturity date shall be the last business dayof such month.
(ii) In the event that the Deposit Date falls on the last
day of the month, the maturity date shall be the lastbusiness day of the month after the Deposit Term.

<Article 4> Handlings at Maturity
1. At the time of making the Time Deposit, the Customer
shall select the method of handling at the maturity fromthe following methods.
(i)
Principal & Interest Renewal Type: On the maturity
date, the Bank will renew the aggregate sum of theprincipal and interest of the Time Deposit as theTime Deposit in the same currency and for the same
Deposit Term.
(ii) Principal Renewal Type: On the maturity date, theBank will renew only the principal amount of theTime Deposit as the Time Deposit in the same
currency and for the same Deposit Term. The interest
will be credited to the Yen Savings Account or Multi
Currency Savings Account in Yen or in the same
currency, as such account (the “Designated Account”)
is designated by the Customer.
(iii) Non-Renewal Type: The Bank will proceed withcredit entry of the aggregate sum of the principal
and interest of the Time Deposit to the DesignatedAccount on the maturity date.
2. As for the Time Deposit renewed pursuant to Items 1 and
2 of the preceding Paragraph, the maturity date of such
Time Deposit before renewal (the “Renewal Date”) shallbecome the deposit date of such renewed Time Deposit,
and the maturity date of such renewed Time Deposit shallbe determined in accordance with Article 3, Paragraph 4.
3. In the event that the Customer desires not to renew theTime Deposit of the automatic-renewal type (i.e., Principal& Interest Renewal Type and Principal Renewal Type)and desires to have them repaid on the maturity date(i.e. to change the handling at the time of maturity), theCustomer shall follow the prescribed procedures by thetime of a day as designated by the Bank on the business
day immediately preceding the maturity date. As forthe method of repayment of the principal amount andthe interest, the provisions of Paragraph 1, Item 3 shallbe applied mutatis mutandis. In case such Customer’s
request is received after the time of a day as designatedby the Bank on the business day immediately preceding
the maturity date, the repayment will be made on thefollowing business day, and the interest on and after thematurity date will accrue at the interest rate designatedby the Bank which is applicable to the Multi Currency
Savings Account in the same currency of the Time Deposit(or the interest rate applicable to Yen savings account as
designated by the Bank, if the principal and/or the interestof the Time Deposit in a foreign currency is converted into
Yen and credited to the Designated Account in Yen).
4. In the event that the principal and/or the interest of theTime Deposit in a foreign Currency shall be credited to
the Designated Account in Japanese Yen on the maturity
date pursuant to Paragraph 1, Item 2 or 3, or Paragraph
2, the Bank will calculate such amount to be credited byapplying the foreign exchange rate on the maturity date,as determined by the Bank, in accordance with Article 15
of “Section 1: HSBC Premier Account General Agreement”.
<Article 5> Special Rules for Time Deposit of LimitedSolicitation-Period Type
1. Upon the application for the Time Deposit of the limitedsolicitation-period type, the Customer shall reserve theamount equal to the application amount in the Multi
Currency Savings Account in the same currency with the9currency of such Time Deposit, until such Time Deposit
is finally set up by the Bank. During such period, suchreserved amount shall not be withdrawn from suchaccount.
2. The Bank will set up the Time Deposit by withdrawing theamount specified in the preceding Paragraph on the deposit
date. Notwithstanding the foregoing, in the event that theaggregated amount applied for such Time Deposit does
not reach the minimum amount designated by the Bank,or there has been a disruption in the market or a materialchange in the financial conditions, etc. the Bank may
choose not to set up such Time Deposit. In such event, theBank will return the withdrawn amount to the Customer’s
Multi Currency Savings Account on the same day.
3. Despite that the Customer chooses automatic-renewal typefor Time Deposit of the limited-solicitation-period type,if the aggregated amount applied for the Time Deposit,
which is being solicited with its deposit date being theRenewal Date, in the same currency and for the same
term, does not reach the minimum amount designated by
the Bank, or there has been a disruption in the market ora material change in the financial conditions, etc. the Bank
may, notwithstanding the provision of Article 4, Paragraph
1, choose not to renew such Time Deposit and repay thesame pursuant to Item 3 of such Paragraph as applied
hereto mutatis mutandis.
4. In the event that the Bank has decided not to set up
the Time Deposit pursuant to the second sentence ofParagraph 2 or not to renew it pursuant to the preceding
Paragraph, the Bank shall, without delay, contact theCustomer by giving a telephone call to the Customer’sphone number registered with the Bank and by sending a
notice to the Customer’s address registered with the Bank.
<Article 6> Interest on Deposits
The interest rate applicable to the Time Deposit, which
will be applied from the deposit date through the date
immediately preceding the maturity date, shall be the interest
rate stipulated by the Bank, which is displayed at the Bank’s
domestic branches and on the Bank’s website on the deposit
date. The interest rate applicable to the renewed Time Deposit
will be the interest rate displayed by the Bank on the Renewal
Date.

<Article 7> Cancellation before Maturity Date
1. Any cancellation of the Time Deposit by the Customer
before its maturity date will only be allowed when the
Bank agrees that such cancellation is unavoidable.
2. In the event that the Bank allows the Customer to cancel
the Time Deposit before its maturity date pursuant to thepreceding Paragraph, the applicable interest for the period
from the deposit date (or the most recent Renewal Date)to the date of cancellation will become zero (0), and only
its principal will be credited to the Customer’s Yen Savings
Account or Multi Currency Savings Account, whicheveraccount in the same currency with the currency of suchprincipal.
3. In the event of cancellation of Time Deposit pursuant tothis Article, the Customer shall submit the repayment
request form designated by the Bank, which is sealed (orsigned) with the Customer’s seal (or signature) registeredwith the Bank, to any of the Bank’s domestic branches.
<Article 8> Withdrawal of Charges
The Bank reserves the right to deduct the relevant fees,
expenses or other similar costs incurred by the Bank inconnection with the Time Deposit, from the Customer’s Time
Deposit Account. If the currency of the amount that the Bank
is to receive differs from the currency of the amount to be
deducted from the Time Deposit Account, such deductedamount will be calculated by using the exchange rate at
the time of such deduction in accordance with Article 15 of“Section 1: HSBC Premier Account General Agreement”.
<Article 9> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions,such as changes to registered items, prohibition oftransfer or pledge, cancellation, disclaimer, governinglaw, jurisdiction or amendment of the provisions, shall begoverned by “Section 1: HSBC Premier Account General
Agreement”.
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

Section 5 Terms and Conditions for Structured Deposit
The Terms and Conditions for Structured Deposit (hereafter in this Section, the “Terms and Conditions”) cover transactions of theStructured Deposit Account under the Premier Account held by a Customer with the Bank, including deposits and withdrawals inJapanese Yen or foreign currencies.
<Article 1> Contents of Transaction
1. Under the Structured Deposit Account, the Bank willhandle structured deposit transactions in Japanese Yen
and in foreign currencies as designated by the Bank, andof the type as approved by the Bank (each such deposit,
the “Structured Deposit”).
2. In soliciting the Structured Deposits, the Bank may solicit,
separately from a deposit of the general type, for which
the application will be accepted at any time, a deposit of
the limited-solicitation-period type, for which the Bank
prescribes its solicitation period, currency, deposit date,
deposit term, minimum amount for the aggregatedapplication amounts and other conditions and forwhich the application will be accepted only during such
solicitation period.
<Article 2> Documents to Be Delivered Prior to Execution ofContract
In entering into a contract regarding the Structured Deposit,
pursuant to the applicable laws and regulations, the Bank willseparately provide the Customer with such “document to bedelivered prior to execution of contract” (keiyaku teiketsumae koufu shomen). The Bank will handle the Structured
Deposit for the Customer, only when the Customer
understands and agrees to the contents of such “document tobe delivered prior to execution of contract” (keiyaku teiketsumae koufu shomen).

10<Article 3> Deposits
1. The Structured Deposit Account will accept the Structured
Deposit deposited only by means of funds transferredfrom other accounts of the Customer’s Premier Account;cash and securities will not be accepted.
2. The deposit amount for Structured Deposit shall be in theamount more than the minimum amount prescribed in therelevant “document to be delivered prior to execution ofcontract” (keiyaku teiketsu-mae koufu shomen) which the
Bank will separately provided to the Customer.
3. The application for Structured Deposit must be made bymeans of submitting the form prescribed by the Bank at
the Bank’s domestic branch which handles such Structured
Deposit, or by such other means as approved by the Bank.
<Article 4> Treatment at Maturity
The treatment of Structured Deposit at its maturity, as well as
the payment method of its principal and interest, will follow
the provisions of the “document to be delivered prior to
execution of contract” (keiyaku teiketsu-mae koufu shomen)
and the application form which the Bank provides to theCustomer at the time of the Customer’s application for such
Structured Deposit.
<Article 5> Special Conditions for Deposits of LimitedSolicitation-Period Type
1. When a deposit of the limited-solicitation-period type isset up, the Bank may offer such deposit subject to either ofthe following conditions:(i)The Customer is required to retain the application
amount, from the date of application to the deposit
date, in the Yen Savings Account or the Multi
Currency Savings Account of the same currency as
the relevant Structured Deposit. For the avoidanceof doubt, such retained amount will not be madeavailable for withdrawal during such period;(ii) The Structured Deposit will not be set-up if theavailable balance is not sufficient to cover theapplication amount, as of the date and time specified
by the Bank and with regard to the depositaryaccount as designated by the Customer as at the timeof application, under which event the Customer’s
application will be deemed not to have been made in
the first place; or(iii) such other conditions as the Bank may reasonablyprescribe.
2. The Bank will, on its deposit date, automatically deduct
the application amount from the applicable depositaryaccount and set-up the Structured Deposit of the limited
solicitation-period type; provided, however, that if theaggregated application amounts during the solicitation
period for such Structured Deposit is less than theminimum amount as prescribed by the Bank, or if any
market disruption or material change in the financial
conditions, etc. has arisen, the Bank may choose not to
setup such Structured Deposit; in which event, if there isany amount that has been deducted, the Bank will refund
such amount to the relevant depositary account on thesame day.
3. When the Bank determines not to set-up the Structured
Deposit in accordance with the proviso of the preceding
Paragraph, the Bank will, without delay, inform the sameto the Customer by telephone at the telephone number
registered with the Bank and notify the same by mailaddressed to the address registered with the Bank.
<Article 6> Interest
The applicable rate of interest and the method of interest
calculation will follow the provisions of the “document to bedelivered prior to execution of contract” (keiyaku teiketsumae koufu shomen) and the application form of the relevant
Structured Deposit.
<Article 7> Cancellation before Maturity Date
1. Excepting for those cases described in Article 9,
cancellation of the Structured Deposit by the Customer
before its maturity date will only be allowed when the
Bank agrees that such cancellation is unavoidable.
2. If the Customer cancels the Structured Deposit inaccordance with the preceding Paragraph, the applicableinterest rate for the period from the deposit date to
the cancellation date will be zero, and in addition, theCustomer will be required to pay all costs relating to thecancellation (which includes losses and expenses incurredby the Bank as a result of the cancellation of derivativetransaction that is embedded in the Structured Deposit)
as a cancellation fee as at the time of such cancellation. In
this event, the Bank will pay back the principal and interestof the Structured Deposit to the Customer after deducting
such cancellation fee.
<Article 8> Confirmation of Transaction etc.
1. When the deposit of a Structured Deposit is made,in order for the Customer to confirm the contents ofsuch Structured Deposit, the Bank will, promptly after
such deposit transaction, deliver the document (the“Document”) concerning such deposit to the Customer.
The Document will specify the type of such Structured
Deposit, its deposit date, its maturity date, its principal
amount, its currency, and other conditions of it fixed as at
the time of its deposit date for which the Bank determines
the Customer’s confirmation is necessary. The Bank will
not issue a deposit certificate, bank book, etc. for the
Structured Deposit.
2. If the Customer has any doubt about the contents of theDocument or if the Customer shall not have received theDocument within five (5) Business Days after the depositof the Structured Deposit, the Customer shall notify thesame to the Bank’s branch where such transaction was

executed. If the Bank does not receive any communicationfrom the Customer within fifteen (15) days of the date ofsuch Document, the Bank will deem the Customer to haveacknowledged and agreed to the accuracy of its contents.
3. With regard to certain facts that are fixed after the deposit
date of the Structured Deposit (such as the fact that, withregard to the embedded derivative transaction, the market
rate has reached that certain level as agreed as at the timeof contract), the Bank will, promptly after the time of suchoccurrence, notify the Customer of such facts. This notice
may be made by means of mail to the Customer’s address
registered with the Bank or by means of telephone at theCustomer’s telephone number registered with the Bank.
<Article 9> Automatic Cancellation and Set-off Calculation
1. When the Customer loses the benefit of term (kigen no
rieki) with regards to the Customer’s obligations owing
to the Bank upon the occurrence of any of the following
events to the Customer, the Structured Deposit, including
the embedded derivative transaction, such as forward
foreign exchange contract, currency option and otherderivative transaction, if any, will be automaticallyterminated as at the time of such occurrence:(i)
Suspension of payments has occurred or theapplication has been made for the commencementof bankruptcy proceeding, ci vil rehabilitation
proceeding (including individual rehabilitation
proceeding) or for the voluntary arrangement;(ii) Suspension of bank transaction (ginkou torihiki teishi
shobun) has been imposed;(iii) The order or notice of provisional attachment,
preservative attachment or attachment has been
dispatched with regard to the deposits and otherclaims against the Bank of the Customer or of theguarantor; or(iv) The address of the Customer has become unknown
to the Bank, as a result of the Customer’s failure
to register the address change or any other reason
attributable to the Customer.
2. When any of the following events has occurred withrespect to the Customer, the Bank has the right toterminate the Structured Deposit, including the embedded
derivative transaction, such as forward foreign exchange
contract, currency option and other derivative transaction,
if any, by giving a notice thereof to the Customer:(i)
The Customer has delayed any payment of all or any
part of the obligations owing to the Bank;(ii) T h e C u s t o m e r h a s b r e a ch e d a ny t e r m s a n dconditions for any transaction with the Bank; or(iii) Any event other than those prescribed in thepreceding Items, for which the Bank is required totake measures to secure its claims, has occurred.
3. In the event of termination of the Structured Deposit
pursuant to Paragraph 1 or 2, the Bank is entitled toliquidate the embedded and terminated derivativetransaction, such as forward foreign exchange contract,
currency option and other derivative transaction, without
a separate notice therefor to the Customer; as a resultof such liquidation, if the Customer owes the payment
obligation to the Bank for liquidated damages, the Bankis entitled to deduct such obligation from the repayment
amount of the principal and interest of the Structured
Deposit or otherwise effectuate the set-off calculation
with regard to any other claim (regardless of its duedate) that the Customer may have against the Bank.
If the currencies of the claims and obligations in the
set-off calculation are different, the Bank will apply tosuch claims and obligations the foreign exchange rate
designated by the Bank as prevailing on the date of setoff calculation, convert them into the amounts in the same
currency, and effectuate the set-off calculation. If there
remains any surplus amount of the Structured Deposit
after such set-off calculation, the Bank will credit suchamount to the Customer’s depositary account in the same
currency of such amount, which has been designated as
the repayment account by the Customer at the time ofcontract.
4. In case of set-off calculation pursuant to the foregoing
three (3) Paragraphs, the Bank shall calculate the11

deposit interests, damages, etc. until the date of set-off
calculation, applying such interest rates and other rates as
separately determined by the Bank. Similarly, with respect
to foreign exchange rates, market interest rates, etc. theBank will apply such rates prevailing as at the time ofsuch calculation. For the avoidance of doubt, the set-off
calculation will be made at the time when the Bank deems
it reasonable.
<Article 10> Deduction of Fees
With regard to any fees, any amounts paid on behalf of the
Customer and any other similar fees and costs incurred inconnection with the Structured Deposit and payable to theBank, the Bank is entitled to deduct such fees and costs
from the Structured Deposit Account. In the event of suchdeduction, if the currency in which the fees and costs arepayable to the Bank is different from the currency in which
the amounts to be deducted from the Structured Deposit
Account, the Bank is entitled to deduct the amount calculated

by applying the foreign exchange rate as at the time of suchdeduction based on the provisions of Article 15 of “Section 1:
HSBC Premier Account General Agreement”.
<Article 11> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions suchas changes to registered items, prohibition of transfer
or pledge, disclaimer, governing law, jurisdiction andchanges in the terms and conditions, shall be governed by“Section 1: HSBC Premier Account General Agreement”.
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.
3. In the event of any discrepancy between the “document tobe delivered upon execution of contract” (keiyaku teiketsuji koufu shomen) which is provided to the Customer foreach Structured Deposit and the Terms and Conditions,such “document to be delivered upon execution ofcontract” (keiyaku teiketsu-ji koufu shomen) shall prevail.

Section 6 Terms and Conditions for HSBC Premier ATM Card
The Terms and Conditions for HSBC Premier ATM Card (hereafter in this Section, the “Terms and Conditions”) provides for the
Bank’s handling of the use of HSBC Premier ATM Card (“ATM Card”) issued to the Customer who holds the Yen Savings Account.

Part 1 General Provisions<Article 1> Use of ATM Card
1. The Bank will issue the ATM Card based on the applicationof the Customer who has opened the Yen Savings Account.
2. The Customer may use the ATM Card in each of thefollowing cases:(i)
For making deposits into the Yen Savings Accountusing the Bank’s ATMs in Japan.
(ii) For making deposits into the Yen Savings Accountusing the ATMs in Japan of financial institutions etc.
with which the Bank has an arrangement with regard
to cash deposits and payment business (each, the“Affiliated Party”).
(iii) For making withdrawals from the Yen Savings
Account using the ATMs in Japan of the Bank or
Affiliated Party.
(iv) For making withdrawals from the Yen Savings
Account using the ATMs outside of Japan, operated
by the Bank or the overseas Affiliated Party.
(v) For any other transactions as prescribed by the Bank.
In relation to the transactions stipulated in Items (i) to(v) above, the currency of deposits and withdrawals
made in Japan will be Japanese Yen. In case of thewithdrawals made outside of Japan, the currency willbe the local currency as prescribed by the overseas
Affiliated Party.
<Article 2> Deposits into Yen Savings Account via ATM
1. In making a deposit into the Yen Savings Account throughan ATM, the Customer shall, in accordance with the onscreen instructions of the ATM, operate the ATM byinserting the ATM Card into the ATM and placing the cash
into the ATM.
2. The deposit in the preceding Paragraph shall be madeonly by the bills stipulated by the Bank or the AffiliatedParty. Furthermore, the amount of such deposit shall bewithin the range determined by such number of bills as
stipulated by the Bank or the Affiliated Party. In addition,
the total number of deposit transactions for certain periodof time shall be within the frequency prescribed by the
Bank or the Affiliated Party.
<Article 3> Withdrawals from Yen Savings Account via ATM
1. In making a withdrawal from the Yen Savings Accountthrough an ATM, the Customer shall, in accordance withthe on-screen instructions of the ATM, insert the ATM Card
into the ATM and correctly input the registered personal
identification number (the “PIN”) and the amount to bewithdrawn. In this case, the submission of a withdrawal
slip is not required.
2. The withdrawal from an ATM in Japan shall be made inunits of cash prescribed by the Bank or the Affiliated Party
depending on the type of ATM. The withdrawal amount for

12each transaction shall be limited to the range stipulatedby the Bank or the Affiliated Party. Furthermore, the total
amount of withdrawals per day shall be within the amountprescribed by the Bank or the Affiliated Party. In addition,
the total number of withdrawals for certain period of timeshall be within the frequency prescribed by the Bank or
the Affiliated Party.
3. The handling of withdrawals from the ATMs locatedoutside of Japan of the Bank or overseas Affiliated Party
shall be the same as those prescribed in the preceding
Paragraph. In this case, the withdrawal limit per day shallbe based on the time zone in Japan as prescribed by the
Bank and not the time zone of the overseas Affiliated Party.
In addition, in the case of a withdrawal from the ATM of an
overseas Affiliated Party, the amount of such withdrawal
amount converted to Yen using the method separately
determined by the Bank (including the foreign exchangefee prescribed by the Bank) shall be debited from the Yen
Savings Account.
4. For any withdrawal from an ATM in Japan, if the sum of
the withdrawal amount and the Domestic ATM Usage Fee,as such term is defined in Article 4, Paragraph 1, exceeds
the available balance of the Yen Savings Account, suchwithdrawal cannot be made.
5. For any withdrawal from the Bank’s or overseas AffiliatedParty’s ATM outside of Japan, if the sum of the amountof such withdrawal amount converted to Yen using themethod separately determined by the Bank (including
the foreign exchange fee prescribed by the Bank) andthe Overseas ATM Usage Fee, as such term is defined in
Article 4, Paragraph 2, exceeds the available balance of the
Yen Savings Account, such withdrawal cannot be made.
6. The cash in local currency withdrawn by the Customer
from an ATM located outside of Japan of the Bankor an overseas Affiliated Party shall only be used foraccommodation, living expense or purchase of goods
etc. to the extent that permission or notification under theForeign Exchange and Foreign Trade Law and applicablelaws and regulations are not required.
7. For any withdrawal from the Bank's or the overseas
Affiliated Party's ATM outside of Japan, the result ofsuch withdrawal may not be displayed accurately (forexample, the currency and/or the amount displayed on
the screen and printed on the transaction advice may bedifferent from the actual result) depending on the typeof ATM or the currency. In such case, the Bank shall bedeemed to have performed its repayment obligations
with regard to the total amount stipulated in Paragraph 5,
notwithstanding such display.
<Article 4> ATM Usage Fees
1. The Customer shall, in the case that the Customer makes awithdrawal from, or a deposit to, the Yen Savings Accountusing an ATM located in Japan, pay fees for the use of the
ATM as prescribed by the Bank or the Affiliated Party (the“Domestic ATM Usage Fees”).
2. The Customer shall, in the case that the Customer makes
a withdrawal from an ATM located outside Japan of the
Bank or an overseas Affiliated Party, pay the total amount(the “Overseas ATM Usage Fees” and together with
Domestic ATM Usage Fees, the “ATM Usage Fees”) equal
to the amount of the fees prescribed by the Bank or suchoverseas Affiliated Party for such place of withdrawal after
it has been converted into Yen using the method separately
determined by the Bank (including the foreign exchange
fees prescribed by the Bank) and the fees prescribed by
the Bank.
3. The Bank will automatically debit the ATM Usage Feesfrom the Yen Savings Account at the time a deposit orwithdrawal is made to or from the Yen Savings Account,
without a withdrawal slip. For the avoidance of doubt, any
ATM Usage Fees imposed by the Affiliated Party will be
paid by the Bank to the Affiliated Party.
<Article 5> ATM Card for Agent
1. W h e n t h e C u s t o m e r w i s h e s t o e n a b l e t h e a g e n t(restricted to a relative of the Customer who lives with,or is dependent on, the Customer) to effect a deposit orwithdrawal, the Customer shall notify the Bank in advanceof such agent’s name with the form as prescribed by the
Bank. In this event, the Bank shall issue a supplementary
ATM Card to such agent (the “Supplementary ATM Card”).
2. The Terms and Conditions shall also apply to the
Supplementary ATM Card.
<Article 6> [deleted]<Article 7> Management etc. of ATM Card and PIN
1. The Bank shall retain all ownership rights in the ATM Cardand the Customer shall manage the ATM Card with thecare of a good manager.
2. The PIN for the ATM Card shall be registered in accordancewith the method prescribed by the Bank. For ATM Cards
issued at the branch, the PIN designated by the Customer
shall be registered as the initial PIN. Otherwise, the PIN
randomly determined by the Bank shall be registered as
the initial PIN.
3. The PIN may be changed according to the method
prescribed by the Bank.
4. The Bank will process the withdrawal requested by the
Customer upon confirmation by the Bank, using theverification method prescribed by the Bank, that the ATM
Card used to operate the ATM is the ATM Card issued
by the Bank to the Customer and that the inputted PIN
matches the registered PIN.
5. The Customer shall store the ATM Card in such a mannerthat it will not be used by a third party. The Customer
shall refrain from using as the PIN his or her birth date,telephone number etc. which may easily be inferred to bya third party and shall keep the PIN in such a manner that
it will not be known by a third party. If there is a possibility
that the ATM Card may be used by a third party due tothe ATM Card having been counterfeited, lost or stolen,or the Customer realizes that the ATM Card has beenused by a third party, the Customer shall notify the Bank
thereof by promptly calling the Bank at the phone number
prescribed by the Bank. The Bank, upon receipt of such
notification, will immediately take measures to suspend
the withdrawal transaction from the Yen Savings Accountusing the ATM Card. Except for the cases in Articles 8 and9, the Bank shall not be responsible for any damage that
occurs before such notification.
<Article 8> Withdrawal etc. using Counterfeit ATM Card etc.
In the event that a withdrawal is made using an ATM Card
that has been counterfeited or forged, such withdrawal
shall not be effective, except for the case that the Customer
acted intentionally or that the Bank proves, with respect tosuch withdrawal, that the Bank was without knowledge andnegligence while the Customer was grossly negligent. In suchcase, the Customer shall provide the Bank with documents
prescribed by the Bank and cooperate with the Bank in its
investigation into the conditions relating to, the maintenanceof the ATM Card and the PIN, damages, notification to thepolice, etc.
<Article 9> Withdrawal etc. using stolen or lost ATM Card
1. In the event that the ATM Card is stolen or lost and awithdrawal is made by a third party’s unauthorized usageof such ATM Card, the Customer may claim compensation
for an amount equivalent to the damage (including fees
and interest) incurred relating to the withdrawal if all of
the following applies:(i)
The Customer promptly notifies the Bank that the
ATM Card is stolen or lost upon the Customer’s
realization thereof.
(ii) The Customer provides sufficient explanation in the
Bank’s investigation.
(iii) The Customer provides the Bank with certain
materials to substantiate the fact that the Customer
has filed a report of theft or loss to the police or othermaterials by which the Bank could infer the fact that
the ATM Card was stolen or lost.
2. In the event that the claim in the preceding Paragraphis made, and except in the case that the Customer acted
intentionally with respect to such withdrawal, the Bank
will compensate the amount equivalent to the damage(including fees and interest) (the “Compensation Amount”)
incurred by the Customer relating to withdrawals madewithin thirty (30) days (or, if the Customer proves that
there was an unavoidable circumstance preventing theCustomer from notifying the Bank, within the number ofdays equal to thirty (30) days plus the number of days
during which such unavoidable circumstance continued)
prior to the date of the Customer’s notifying the Bank that
the ATM Card has been stolen or lost; provided, however,that if the Bank proves, with respect to the relevant
withdrawal, that the Bank was without knowledge andnegligence and that the Customer was negligent, then the
Bank shall compensate the amount equivalent to threequarters (3/4) of the Compensation Amount.
3. The preceding two (2) Paragraphs will not apply in theevent that the Customer’s notice to the Bank as stipulated
in Paragraph 1 is made after the date on which two (2)years have elapsed from the date of theft or loss (or, if
the date of theft or loss is unclear, the date of the initial
unauthorized withdrawal from the Yen Savings Accountmade with the stolen or lost ATM Card etc. related to suchtheft or loss).
4. Notwithstanding the provisions in Paragraph 2, the Bank
shall not bear the compensation responsibilities if the
Bank proves that either of the following applies:(i)
The Bank was without knowledge and negligence inrespect of the withdrawal and if any of the following
applies:(1) That the Bank proves that the Customer was grossly
negligent.
(2) That the withdrawal was made by the Customer’s
spouse, a relative within the second degree ofkinship, a relative or other person living with theCustomer or a house servant (such as a housekeeper
responsible for general housework).
(3) That the explanation of the circumstances relating to
the damage, provided by the Customer to the Bank
was false on material matters.
(ii) In the event that the ATM Card was stolen or lost in,
or in connection with, extreme social disorder suchas war and riot.
<Article 10> Incorrect Input into ATM etc.
The Bank shall not be responsible for any damage incurredby the Customer as a result of the input of the incorrect
amount etc. into an ATM, when the Customer operates
such ATM. The same shall apply with regard to the AffiliatedParty’s responsibility in case of the Customer’s use of an ATM
operated by any Affiliated Party.
<Article 11> Procedures for Stolen or Lost ATM Card and for
Changes in Registered Item
In the event that the ATM Card has been stolen or lost, or the
Customer’s name, PIN, or any other registered item has been
amended, the Customer shall immediately, pursuant to the
Bank’s prescribed method, suspend the use of the ATM Card13

or amend the registered item.
<Article 12> Reissuance of ATM Card etc.
1. Reissuance of the ATM Card in the event that it has beenstolen or lost will be made after the procedures prescribedby the Bank are complete. In this case, the Bank may
observe an appropriate holding period before issuinga new ATM Card or ask the Customer to designate aguarantor.
2. In case of the reissuance of the ATM Card, the Bank will
charge the reissuance fee as prescribed by the Bank.
<Article 13> Prohibition of Transfer or Pledge
The Customer may not transfer or pledge the ATM Card or
lend the same to a third party.
<Article 14> Cancellation and Suspension etc. of ATM Card
1. In the event that the Customer wishes to cancel the ATM
Card usage, the Customer shall fi le an application with the
Bank in a form prescribed by the Bank and return the ATM
Card to the Bank. The ATM Card must also be returned to
the Bank in the event that the Yen Savings Account has
been cancelled.
2. The Bank may refuse the use of the ATM Card when the
Bank deems it inappropriate in the event of counterfeiting,misuse etc. of the ATM Card. In such case, upon requestfrom the Bank, the Customer shall immediately return the
ATM Card to the Bank.
3. The Bank may suspend the use of the ATM Card if any of
the following applies. In such case, if the Bank receives
the identity verification documents prescribed by the Bankat the Bank’s counter, and the Bank is able to confirm
that he or she is the Customer, the Bank shall cancel suchsuspension:(i)
The provisions in Article 13 have been violated.
(ii) A certain period stipulated under Section 1, Article 7
has elapsed since the final deposit to or withdrawal
from the Yen Savings Account was made.
(iii) The Bank has determined that the ATM Card is at riskof unauthorized use, due to counterfeiting, theft, loss
etc. of the ATM Card.
<Article 15> Application of Laws and Regulations andGoverning Law relating to Usage of ATM ofOverseas Affiliated Party
1. With regard to the usage outside of Japan of the ATM of
the Bank and the overseas Affiliated Party, in the eventthat authorization forms, certificates or other documents
are required pursuant to the laws, regulations and rulesof Japan and of a foreign country, whether now in effector hereafter taking effect, the Customer shall submit the
documents requested by the Bank upon such request fromthe Bank or overseas Affiliated Party.
2. The governing law for the contractual relationshipbetween the Customer and the Bank in relation to theusage outside of Japan of the ATM of the Bank and theoverseas Affiliated Party shall be the laws of Japan.
<Article 16> Application of Other Provisions
1. Matters relating to the transactions with the ATM Card
which are not set out in the Terms and Conditions shall begoverned by “Section 1: HSBC Premier Account General
Agreement” and “Section 2: Terms and Conditions for Yen
Savings Account”.
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” or “Section 2: Terms
and Conditions for Yen Savings Account” and the Terms
and Conditions, the Terms and Conditions shall prevail.

Part 2 Special Provisions for ATM Card Biometric
Identification<Article 17> Special Provisions for ATM Card Biometric
Identification
1. The Customer may, in relation to the ATM Card usage,in addition to inputting the PIN, use the biometrics for
identify verification by pursuant to the provisions in thisPart 2 (the “Special Provisions for ATM Card Biometric
Identification”). “Biometric identification” referred toherein is the identity verification method used at the ATMsof the Bank and those of the Affiliated Party, which accepts

14

the ATM Card embedded with the IC chip having thebiometric identification function, by using the unique bodyinformation of each Customer. For the avoidance of doubt,
the Bank has adopted finger vein patterns as the biometricidentification data.
2. Matters not set out in the Special Provisions for ATM
Card Biometric Identification shall be governed byprovisions under “Part 1: General Provisions” of the Terms
and Conditions and other provisions referred to in theTerms and Conditions. In the event of any discrepancy
between “Part 1: General Provisions” of the Terms andConditions or other provisions referred to in the Terms
and Conditions and the Special Provisions for ATM Card
Biometric Identification, the Special Provisions for ATM
Card Biometric Identification shall prevail.
<Article 18> Registration and Amendment of Biometric
Identification Data
1. In order to use the biometric identification, the Customer
shall, in accordance with the methods prescribed by
the Bank, file the application for the use of biometricidentification and register the biometric identification data,
at a domestic branch of the Bank designated by the Bank.
The biometric identification data may be registered in thefollowing ways:(i)
To register the biometric identification data at thetime of account opening of the Yen Savings Account,using the methods prescribed by the Bank.
(ii) To register the biometric identification data after the
opening of the Yen Savings Account, by submitting
the ATM Card and identity verification documents
prescribed by the Bank.
2. T h e S p e c i a l Pr ov i s i o n s f o r AT M C a r d B i o m e t r i c
Identification between the Customer and the Bank will
come into effect when the registration based on thepreceding Paragraph has been completed.
3. In order to amend the registered biometric identification
data, the Customer shall notify the Bank using the
documents prescribed by the Bank at a domestic branchof the Bank designated by the Bank. The Bank shall amend
the registration after the procedures prescribed by the
Bank.
<Article 19> ATMs Available for Biometric Identification
The ATMs which can be used for transactions with biometricidentification are restricted to those located in Japan of
the Bank or Affiliated Parties, which accept the ATM Card
imbedded with the IC chip having the biometric identification
function.
<Article 20> Procedures for Renewal, Theft, Loss, Non-service,
etc. of ATM Card
1. In the event that the Customer replaces the ATM Card
containing the biometric identification data with a new
ATM Card, as a result of renewal, theft, loss, change incard type, or inability to utilize the ATM Card etc., theCustomer shall promptly carry out the procedures forregistration of biometric identification data for the new
ATM Card.
2. In the case of the preceding Paragraph, during theperiod until the registration of the Customer’s biometricidentification data has been complete, identify verification
using biometric identification data will not be conducted.
Instead, the Bank shall confirm that the inputted PIN
matches the registered PIN and conduct the transactions.
3. In the event that the Bank considers it to be truly
unavoidable, the Bank may allow withdrawals etc. at acounter prescribed by the Bank without verifying theCustomer’s biometric identification data. In such case,the Bank bears no responsibility for any damage arisingfrom such withdrawals etc. when the Bank executed
the transactions after it verified, with due care, that theCustomer’s seal impression (or signature) is the sameas the seal (or signature) registered by the Customer inadvance with the Bank.
<Article 21> Handlings at Times of Failure of Biometric Verifier
The Bank may temporarily suspend the acceptance of
withdrawals etc. using the biometric identification function,in the event of malfunction of the machines designated by

the Bank for use in verification of the Customer’s biometricidentification data, or for any other appropriate reason. In
such case, the Bank shall bear no responsibility unless the
Bank acted intentionally or the Bank was grossly negligent.

Japanese Yen. In relation to Item (ii), the withdrawals
will be made only in the local currency of the place of
withdrawal. In relation to Item (iii), the transactions will bemade only in the currency prescribed by the Bank.

<Article 22> Termination etc. of Special Provisions for ATM
Card Biometric Identification
The Special Provisions for ATM Card Biometric Identification
shall be terminated in the following cases:(i)
In the case that the Customer files an application
to terminate the Special Provisions for ATM Card
Biometric Identification, at a domestic branch of the
Bank prescribed by the Bank; provided, however,that the termination takes effect upon the completionof the procedures prescribed by the Bank. For the
avoidance of doubt, the biometric identification data
shall become void in the event that the ATM Card is
replaced with a new ATM Card due to the loss of the
ATM Card for which the biometric identification data
are registered, change in the type of the ATM Card,the arrival of the expiry date, etc.; provided, however,that unless the termination procedures are carriedout, the Special Provisions for ATM Card Biometric
Identification shall remain effective.
(ii) In the case that the ATM Card usage has beensuspended.
(iii) In the case that the Yen Savings Account has been
terminated.

<Article 26> Special Provisions for Deposit to DesignatedAccount via ATM
1. The deposit into the Designated Account by the Foreign
Currency ATM Card via ATM will be accepted only when
it is made by means of the Bank’s ATMs in Japan and inJapanese Yen. No deposit into the Designated Accountmade by means of ATMs located outside of Japan or inany foreign currency will be accepted.
2. In making a deposit into the Designated Account via ATM,
the Customer shall, in accordance with the on-screen
instructions of the ATM, operate the ATM by inserting theForeign Currency ATM Card into the ATM and placing the
cash into the ATM.
3. For the deposit stipulated in the preceding two (2)Paragraphs, the Japanese Yen cash amount acceptedby the ATM so used will be converted to the DesignatedCurrency by using the exchange rate as prescribed by the
Bank (including the foreign exchange fees prescribed by
the Bank) and the amount so converted will be credited to
the Designated Account.
4. The result of the deposit may not be displayed accurately(for example, the currency or the amount displayed on
the screen and printed on the transaction advice may bedifferent from the actual result) depending on the typeof ATM or the currency. In such case, the Bank will bear
the repayment obligations with regard to the amountso credited by the method stipulated in the preceding
Paragraph, notwithstanding such display.

Part 3 Special Provisions for Use of Foreign Currency
ATM Card<Article 23> Purpose of Special Provisions for Use of Foreign
Currency ATM Card
This Part provides for the Bank’s handling of the use of the
ATM Card (the “Foreign Currency ATM Card”) issued as thetransaction method for the Multi Currency Savings Account in
the foreign currency (the “Designated Currency”) designatedby the Customer when the Customer makes an application
for its issuance.
<Article 24> Issuance of Foreign Currency ATM Card
1. The Bank will issue the Foreign Currency ATM Card basedon the application of the Customer who has opened
the Multi Currency Savings Account in the DesignatedCurrency (the “Designated Account”).
2. The specification of the Designated Account will be
displayed by the currency code embossed on the Foreign
Currency ATM Card. The Designated Account of anissued Foreign Currency ATM Card cannot be changed
to an account in any currency other than the embossed
currency.
3. If the Customer wishes to have several Foreign Currency
ATM Cards in different Designated Currencies, such
Customer shall make separate applications for respective
Designated Currencies. However, the maximum number of
all the ATM Card issuance including the Foreign Currency
ATM Card shall be within the limit as prescribed by theBank.
4. Upon the issuance of the Foreign Currency ATM Card, theCustomer shall pay the issuance fee as prescribed by the
Bank.
<Article 25> Use of Foreign Currency ATM Card
1. The issued Foreign Currency ATM Card can be used forthe transactions under the Designated Account only andcannot be used for the transactions under the Yen savings
Account, Multi Currency Savings Account in any currency
other than the Designated Currency or any other account.
2. The Customer may use the Foreign Currency ATM Cardin each of the following cases. However, the Customer
may not be able to use the Foreign Currency ATM Card
depending on the type of ATM or otherwise.
(i)
For making deposits into the Designated Accountusing the Bank’s ATMs in Japan.
(ii) For making withdrawals from the DesignatedAccount using the ATMs outside of Japan, operated
by the Bank or the overseas Affiliated Party.
(iii) For any other transactions as prescribed by the Bank.
In relation to Item (i), the deposits will be made only in<Article 27> Special Provisions for Withdrawal from
Designated Account via ATM
1. The withdrawal from the Designated Account by theForeign Currency ATM Card via ATM can be made only
when it is made by means of ATMs located outside ofJapan of the Bank or the overseas Affiliated Party and in
the local currency of the place of such withdrawal. No
withdrawal from the Designated Account by means ofATMs located in Japan of the Bank or the Affiliated Party
can be made.
2. In making a withdrawal from the Designated Account
via ATM, the Customer shall, in accordance with the onscreen instructions of the ATM, insert the Foreign Currency
ATM Card into the ATM and correctly input the registered
PIN and the amount to be withdrawn. In this case, thesubmission of a withdrawal slip is not required.
3. If, for any withdrawal by the funds in the DesignatedCurrency via ATM, the sum of the withdrawal amountand the Foreign Currency ATM Card Withdrawal Fee
stipulated in Article 28, Paragraph 2 or, for any withdrawal
by the funds in a currency other than the DesignatedCurrency, the sum of the withdrawal amount converted
to the Designated Currency by using the method
separately determined by the Bank (including the foreignexchange fees prescribed by the Bank) and the Foreign
Currency ATM Card Withdrawal Fee stipulated in Article
28, Paragraph 2 exceeds the available balance of the
Designated Account, such withdrawal cannot be made.
4. The result of the withdrawal may not be displayed
accurately (for example, the currency or the amountdisplayed on the screen and printed on the transaction
advice may be different from the actual result) dependingon the type of ATM or the currency. In such case, theBank shall be deemed to have performed its repayment
obligations with regard to the total amount stipulated in
the preceding Paragraph, notwithstanding such display.
<Article 28> Special Provisions for Foreign Currency ATM
Card Usage Fees
1. The Customer shall, in the case that the Customer makes
a deposit stipulated in Article 26, pay the total amount(the “Foreign Currency ATM Card Deposit Fees”) equal to
the Domestic ATM Usage Fees after it has been converted
into the Designated Currency using the method separately
determined by the Bank (including the foreign exchange
fees prescribed by the Bank) and the fees prescribed by15

the Bank.
2. The Customer shall, in the case that the Customer makes
a withdrawal stipulated in Article 27, pay the total amount(the “Foreign Currency ATM Card Withdrawal Fees” andtogether with the Foreign Currency ATM Card Deposit
Fees, the “Foreign Currency ATM Card Usage Fees”) equal
to the amount of the fees prescribed by the Bank or suchoverseas Affiliated Party for such place of withdrawal after
it has been converted into the Designated Currency using
the method separately determined by the Bank (including
the foreign exchange fees prescribed by the Bank) and thefees prescribed by the Bank.
3. The Bank will automatically debit the Foreign Currency
ATM Card Usage Fees from the Designated Account at
the time a deposit or withdrawal is made to or from the
Designated Account, without a withdrawal slip. For the
avoidance of doubt, any ATM usage fees imposed by theAffiliated Party will be paid by the Bank to the AffiliatedParty.
<Article 29> [deleted]<Article 30> Special Provisions for Foreign Currency ATM
Card PIN
1. The PIN randomly determined by the Bank in accordancewith the method prescribed by the Bank will be registeredas the initial PIN for the Foreign Currency ATM Card.
2. The PIN may be changed according to the method

prescribed by the Bank. However, the changed PIN will
only be a PIN randomly determined by the Bank, andcannot be designated by the Customer.
<Article 31> Responsibility for Erroneous Use of Other ATM Card
Neither the Bank nor the Affiliated Party shall be responsible
for any damages incurred as a result of the Customer's
erroneous use of the Foreign Currency ATM Card although
the Customer intended to use the ATM Card concerning the
Yen Savings Account or by the Customer's erroneous useof the ATM Card concerning the Yen Savings Account or any
other Foreign Currency ATM Card of any other DesignatedCurrency although the Customer intended to use the Foreign
Currency ATM Card of the specific Designated Currency.
<Article 32> Special Provisions for Biometric Identification for
Foreign Currency ATM Card
The ATM Card Biometric Identification function will not be
available for the Foreign Currency ATM Card.
<Article 33> Application of Other Provisions
1. Matters not provided for in this Part shall be governedby "Part 1: General Provisions" and "Section 3: Terms andConditions for Multi Currency Savings Account".
2. In the event of any discrepancy between "Part 1: General
Provisions" or "Section 3: Terms and Conditions for Multi
Currency Savings Account" and this Part, this Part shallprevail.

Section 7 Terms and Conditions for HSBC Premier Credit Card
Terms and Conditions for HSBC Premier Credit Card (hereafter in this Section, the “Terms and Conditions”) cover transactions
with the HSBC Premier Credit Card of Shopping Use, Cash Advancement Service, Credit Card Loan, etc. by a Customer with a
Premier Account with the Bank.
<Article 1> Definitions
1. The credit card issued in Japan by the Bank is referred toas “HSBC Premier Credit Card” (the “Credit Card”).
2. The stores and facilities, etc. contracted with the credit cardcompanies or financial institutions within/outside Japan
affiliated with MasterCard International Incorporated(“MasterCard Int’l”) are referred to as the “Accredited
Merchants”.
<Article 2> Membership
1. The Customer who has applied for the Credit Card (suchapplication, the “Application”), by accepting the Terms
and Conditions in the application form designated by
the Bank, will be screened by the Bank, and if approved,
shall be referred to as the “Credit Cardholder”. The Credit
Cardholder is responsible for any liabilities arising fromthe use and management of the Credit Card.
2. The family member of the Credit Cardholder, who isdesignated by the Credit Cardholder as an agent and who
has accepted the Terms and Conditions and applied to the
Bank for family card membership, shall be, if approved by
the Bank, referred to as the “Family Cardholder”.
3. The Credit Cardholder shall be allowed to grant the Family
Cardholder as an agent for the Credit Cardholder theright (the “Representative Capacity”) to use the Credit
Card issued by the Bank to such Family Cardholder(the “Family Card”) and the Credit Card information
regarding the Family Card stipulated in Paragraph 1 of
Article 3 (collectively, the “Family Card, etc.”), based on
the Terms and Conditions. The Family Cardholder shallbe able to use the Family Card, etc. as an agent for theCredit Cardholder in accordance with the Terms andConditions. Where there are reasons for revocation suchas withdrawal, cancellation or invalidity regarding theRepresentative Capacity granted to the Family Cardholder,
the Credit Cardholder shall immediately notify the Bank ofcancellation of the use of the Family Card by such Family
Cardholder. Any claim made by the Credit Cardholder
against the Bank with regard to the extinction of theRepresentative Capacity prior to this notification shall be
void.
4. The use of the Family Card by the Family Cardholder
shall be the use by the Credit Cardholder’s agent. All the16

payment obligations based on the use of such Family
Card shall attribute to the Credit Cardholder. The Credit
Cardholder is responsible for observing the Terms andconditions, as well as for ensuring, with due care of aprudent manager, that the Family Cardholder observe
the Terms and Conditions. Any damages (including thedamages caused by the management of the Family
Card, etc.) incurred by the Bank as a result of the Credit
Cardholder or the Family Cardholders not observing theTerms and Conditions shall be compensated by the Credit
Cardholder.
5. The Family Cardholder shall agree in advance that the
Bank notify the Credit Cardholder of the contents, status,
etc. of the use of Family Card, etc.
6. Where the use of the Family Card by the Family
Cardholder is to be cancelled, the Credit Cardholder shallnotify the Bank of the matter in the manner as prescribedby the Bank and return such Family Card to the Bank. If the
Family Card, etc. is used by the Family Cardholder evenafter this notification, the Credit Cardholder shall remain
liable for payment obligations based on the use of such
Family Card, etc.
7. The Credit Cardholder or the Family Cardholder shall bereferred to as the “Card Member”.
8. The contract between the Card Member and the Bank (this“Contract”) shall come into effect when the Bank approves
the admission of the Card Member.
9. The Card Member shall be allowed to use the shopping
functions which the Bank offer s at the Accredited
Merchants.
<Article 3> Lending of the Credit Card
1. The Bank shall lend the Credit Card issued by the Bank
to the Card Member. The Credit Card includes the IC cardwith built-in IC chip (the “IC Card”). The Card Member’sname and membership number, the expiry date of theCredit Card and other information (the “Credit Card
Information”) are indicated on the Credit Card.
2. T h e C a r d M e m b e r s h a l l c o n f i r m t h e C r e d i t C a r dInformation when it is lent and immediately sign in thedesignated space of such Credit Card. The Credit Card
shall not be used by anyone but the person whose nameis indicated on the Credit Card.

3. The ownership of the Credit Card belongs to the Bank. The
Card Member shall use and manage the Credit Card andthe Credit Card Information with due care of a prudent
manager. The Card Member shall not lend, deposit,
transfer, pledge, entrust or otherwise dispose the Credit
Card to others or deposit with others, or allow them touse, the Credit Card Information.
4. In case where the Credit Card or the Credit Card
Information is used in violation of the provisions of this
Article, the Credit Cardholder shall be liable for all the
payments of the obligations arising out of such use.
However, if there are damages incurred by the Bank or any
third party due to the violation of the preceding Paragraphby the Family Cardholder, such Family Cardholder shallalso bear the liability for such damages.
<Article 4> Re-issuance of the Credit Card
1. In case of the loss, theft, damage, or defacement of theCredit Card, or of the loss, fraudulent procurement oralteration, etc. of the Credit Card Information, the Bank
shall only reissue the Credit Card when the Bank has
decided that it is reasonable to do so after evaluation of
the notification submitted by the Credit Cardholder. Where
the Bank has decided to reissue the Credit Card, the Credit
Cardholder shall pay the prescribed fees for reissuance of
the Family Card as well as the fees for the Credit Card lentto the Credit Cardholder.
2. The Bank has the right to change the membershipnumbers when the Bank regards it necessary fromthe business point of view such as management andprotection of the Credit Card Information at the Bank. The
Card Member shall agree to this in advance.
<Article 5> Function of the Credit Card
The Card Member may use the functions stipulated under
Articles 19 through 36 as well as other services/functions
separately notified by the Bank in writing, by using the Credit
Card in accordance with the methods/conditions set out in
the Terms and Conditions.
<Article 6> Accessory Services
1. The Card Member may use the services accessory to,and the privileges available under, the Credit Card (the“Accessory Services”) offered by the Bank or by thethird parties which the Bank affiliates with (the “Service
Providers”) in accordance with the methods prescribed by
the Bank or the Service Providers. The Accessory Services
and their contents available to the Card Member are to be
separately notified or announced to the Card Member by
the Bank or by the Service Providers.
2. The Card Member shall follow the terms related to theuse etc. of the Accessory Services, if any, and shall hereby
agrees that there are cases where the Accessory Services
are unavailable.
3. The Card Member shall hereby agree that there arecases where the Accessory Services and their contents
may be changed or cancelled, without prior notice to theCard Member, if the Bank or the Service Providers shalldetermine it as necessary.
<Article 7> Expiry Date of the Credit Card
1. The expiry date of the Credit Card is the end of the monthof the year specified by the Bank and indicated on theCredit Card. However, the expiry date of the Credit Cardcan be brought forward where the Bank recognizes thenecessity therefor and notifies the Credit Cardholder
thereof.
2. The Bank shall send, in the Bank’s prescribed timing, theCard Member a new Credit Card with renewed expiry
date as specified by the Bank (the “Renewed Card”) alongwith membership contract, if such Card Member has not
notified the Bank of withdrawal from the membershipby the expiry date of the outstanding Credit Card andthe Bank, after the Bank’s screening, has approved thecontinuous membership of such Card Member.
3. The Card Member shall, at his/her own responsibility, cut
up and dispose of the Credit Card immediately after its
expiry date. The Terms and Conditions shall continue toapply, even after the expiry date, to the payments basedon the use of the Credit Card before its expiry date.

<Article 8> PIN
1. The Bank shall register a PIN for the Credit Card (fourdigit number) in accordance with the Bank's prescribedmanner, when the Bank approves the admission of themembership to the person who fi led the Application.
The Bank shall notify the PIN to the Credit Cardholder
separately from the issuance of the Credit Card.
2. The Card Member may change the PIN by application inaccordance with the Bank’s prescribed manner. However,the procedure of reissuance of the Credit Card is required
to change the PIN for the IC Card. If the Bank judgesthat the PIN which the Card Member has applied for inaccordance with the provisions of this Paragraph may beeasily guessed by others due to a similarity to the Card
Member’s birthday, phone number, street address, etc.,
and hence is inappropriate for a PIN, the Bank shall beentitled to refrain from registering such PIN applied for,and to register the PIN, randomly determined by the Bankin accordance with the Bank’s prescribed manner.
3. The Card Member shall manage the PIN with the care of aprudent manager in order to keep it inaccessible to others.
If the registered PIN is used in the course of the use of theCredit Card, the Credit Cardholder shall be responsible
for all the liabilities arising from the use of the Credit
Card. PIN. However, the Credit Cardholder shall not be
so responsible, if the Bank recognizes that there was nowillful misconduct or negligence on the Card Members’
part with respect to the management of the registered
PIN. For the avoidance of doubt, where damages are
incurred by the Bank or third parties due to the violationof this Paragraph by the Family Cardholder, such Family
Cardholder shall also bear the liability for such damages.
<Article 9> Annual Fees
The Card Member shall not be charged for the Credit Cardannual fees (including the annual fees for the Family Card;the same shall apply hereinafter.). However, there may becases where the Bank shall charge the Credit Card annual feesprescribed by the Bank, if the Bank decides that it is keenly
necessary and notifies the Card Member of the matter.
<Article 10> Changes in Registered Items
1. The Card Member shall notify the Bank, without delay
and in the Bank’s prescribed manner, of any changes in
the name, address, phone number, business address,
and/or Payment Account set out in Article 37, PIN, Family
Cardholder, etc. previously registered with the Bank
(collectively, the “Registered Items”).
2. Even without the notification under the previous
Paragraph, the Bank may reasonably determine that there
have been changes in Registered Items based on the
personal data and other information obtained in lawful
and fair manners, and if so, regard the notification under
the previous Paragraph as submitted for the relevantchanges. The Card Member shall not object to the way inwhich the Bank deals with this matter.
3. Where there is a delay or non-arrival of notice, document
or other material sent by the Bank due to the absence ofthe notification under Paragraph 1, such notice, document
or other material shall be deemed to have been delivered
as at the time when the same shall usually be delivered;provided, however, that the foregoing shall not apply, if
there is an unavoidable situation justifying the failure ofnotification under Paragraph.
<Article 11> Identification
Where the Bank cannot complete the identification processwith regard to the Card Member and the person who hasmade the Application (collectively, the “Card Member etc.”)
in accordance with the Law for Prevention of Transfer of
Criminal Proceeds (if the Law is abolished and the new law isenacted, such new law shall be included; the same shall apply
hereafter.) within the period prescribed by the Bank, the Bank
may reject the admission to the card membership of such
Card Member etc. or limit the use of Shopping Use stipulated
in Article 22, as well as the use of cash advance services
stipulated in Article 33 and the Credit Card loans stipulated in
Article 34 (collectively, the “Financing Services”), etc. by such
Card Member etc.

17

<Article 12> Commission of Operations
1. The Card Member shall agree in advance that the Bank
commissions the following operations to Mitsubishi UFJ
NICOS Co., Ltd. (the “Mitsubishi UFJ NICOS”) or any othercontractor designated by the Bank:(i)
Operations related to the delivery of the Credit Card;(ii) Operations related to the determination of approval
regarding the use of the Credit Card and operations
related to increase/decrease of the Credit Line on theCredit Card;(iii) Operations related to notification on the amount of
the Credit Card usage, fees, etc.;(iv) Operations related to account transfer of the amountreferred to in the previous Item, advice on the receipt
of usage amount, collection of the amount andcollection of the Credit Card;(v) Information processing/computer processing of theCredit Card and other operations ancillary to those;(vi) Operations related to the acceptance of notice andregistration of the lost or stolen Credit Card, and theacceptance of notice and registration of changes invarious Registered Items;(vii) Operations related to enquiries on the use of theCredit Card; and(viii) Other operations specified by the Bank with regard
to the Credit Card.
2. The Card Member shall hereby agree in advance that
Mitsubishi UFJ NICOS, or the contractor designated by the
Bank or Mitsubishi UFJ NICOS, may further commission
the operations mentioned in the previous Paragraph toothers.
3. The Card Member shall hereby agree in advance that the
Bank or Mitsubishi UFJ NICOS may add to or change thescope of operations commissioned under Paragraph 1.
<Article 13> Collection, Retention, Use, Deposit and Provisionof Personal Information
The Card Member etc. shall hereby agree in advance that the
Bank may, after taking necessary protection measures, deal
with the Personal Information as defined in Item 1 of such
Card Member etc. as follows:(i)
To collect, retain and use the following personal
information (the “Personal Information”) for the
purposes of credit administration and management
after credit extension, relating to transactions with
the Bank including this Contract (including theApplication; the same shall apply hereafter.):(1) Name, date of birth, gender, address, phone number,
employer and such other items notified by the Card
Member etc. at the time of membership applicationand in accordance with Article 10;(2) Date of application, date of admission approval,
expiry date of the Credit Card, credit line, and suchother items related to the contents of the contract
between the Card Member etc. and the Bank;(3) Contents of the use of the Credit Card by the Card
Member s, payment status, telephone enquiry
contents, credit administration, debt collection, andsuch other items that the Bank has obtained in thecourse of management after credit extension;(4) Income and debts notified by the Card Member etc.
at the time of membership application as well as
history obtained by the Bank of the use of the Credit
Card and payments;(5) Items listed on the identification documents or otherdocuments stipulated in the “Law for Prevention ofTransfer of Criminal Proceeds”;(6) I t e m s l i s t e d o n d o c u m e n t s i s s u e d b y p u b l i cinstitutions, such as residence certificate, which arecollected by the Bank lawfully and fairly; and(7) I n f o r m a t i o n p u b l i c l y a v a i l a b l e o n t e l e p h o n edirectories, residential maps, official gazettes, etc.
(ii) To use the Personal Information for the following
purposes. However, if the Card Member notifies
the Bank of cancellation of receiving questionnaire
sheets or other media for the Bank’s marketingresearch purpose as prescribed in (2) of this Item orsales pamphlets as prescribed in (3) of this Item, theBank shall cancel them in accordance with the laws

18

and regulations. (To notify the Bank of cancellation,
contact the Bank’s inquiry window shown in Annex I
to the Terms and Conditions):(1) Provision of the functions, Accessory Services, etc. of
the Credit Card;(2) Development and marketing-research for the Bank’s
Credit Card business and for new products, newfunctions, new services, etc related to the business of
the Bank. Specific contents of the Bank’s businesses
are available at the Bank’s Website. (URL) http://www.
hsbc.co.jp/ ; and(3) Sending of promotion materials etc. and sales
activities on telephone for the Bank’s businesses,
as well as those conducted by the Bank or by any
company which is commissioned by the Bank
under a contract concerning sending of promotion
materials.
(iii) To deposit or provide the Personal Information to athird-party, to the extent necessary for the operationsof the business, in cases where the operations of the
Bank or those of Mitsubishi UFJ NICOS under thisContract are commissioned to such third party.
<Article 14> Use of and Registration with Personal Credit
Information Bureaus
1. The Credit Cardholder and the applicant for Credit
Cardholder (collectively, the “Credit Cardholder etc.”) shallhereby agree in advance that the Personal Informationof the Credit Cardholder etc. may be handled for thefollowing purposes with regard to the personal credit
information bureaus (organisations whose business is tocollect information on personal solvency and provide suchinformation to their members) that the Bank uses andregisters with:In order to conduct investigation on the creditworthiness(i)of the Credit Cardholder etc., the Bank may makereference to the personal credit information bureausof which the Bank is a member (the “Affiliated
Personal Credit Information Bureaus”) and otherper sonal credit information bureaus that theAffiliated Personal Credit Information Bureaus are inalliance with (the “Allied Personal Credit Information
Bureaus”) and use the Personal Information on theCredit Cardholder etc., if it is registered with them.
The registered Personal Information includes theinformation stipulated in the table of “Registered
Information and Registration Period” in Article 2 ofAnnex 2 to the Terms and Conditions.
(ii) The Per sonal Information based on objecti vetransactional facts of the Cardholder etc. regarding
this Contract and information collected independently
by the Affiliated Personal Credit Information Bureaus
will be registered with such bureaus during the period
set out in the table of “Registered Information andRegistration Period” in Article 2 of Annex 2 to theTerms and Conditions, and such information will be
used by the members of such bureaus and of theAllied Personal Credit Information Bureaus for suchmember’s evaluation concerning credit transactions(this refers to investigation on the creditworthinessof the Cardholder etc. and on the new address after
relocation. However, information on creditworthinessis limited to the purpose of investigation on thecreditworthiness only, due to Article 39, Paragraph 1
and the other provisions of the Installment Sales Law).
(iii) Regarding the Personal Information registered with
the Affiliated Personal Credit Information Bureaus
under the previous Item, the Affiliated Personal
Credit Information Bureaus and their members may
provide each other with such Personal Information
and use it to the extent necessary, in order toprotect, and secure appropriate use of, the Personal
Information at such bureaus in terms of such
Personal Information being accurate and up-to-date,complaint processing, monitoring of members forregulatory compliance, etc.
2. The Affiliated Personal Credit Information Bureaus andAllied Personal Credit Information Bureaus are those
personal credit information bureaus shown in Article 1 ofAnnex 2 to the Terms and Conditions, and the information
registered with each such bureau is the facts describedin the table of “Registered Information and Registration
Period” in Article 2 of Annex 2 to the Terms andConditions. When the Bank is to become a member of new
personal credit information bureau, the Bank shall notify
the Card Member in writing or in other manners to obtainthe consent.
<Article 15> Disclosure, Correction and Deletion of Personal
Information
1. The Card Member etc. may request the Bank and theAffiliated Personal Credit Information Bureaus for thedisclosure of his/her own Personal Information retained by
the Bank or such bureaus. Please contact the following fordisclosure request:(i)Request for disclosure to the Bank: contact the Bank’s
inquiry window stipulated in Annex 1 to the Terms
and Conditions.
(ii) Request for disclosure to the Affiliated Personal
Credit Information Bureaus: contact each Affiliated
Personal Credit Information Bureau stipulated in
Annex 2 to the Terms and Conditions.
2. As a result of the request for disclosure, if the registeredcontents shall be found inaccurate or incorrect, the Bank
shall promptly respond to correct or delete the same.
<Article 16> Disagreement Regarding Handling of Personal
Information
Where the Card Member etc. do not wish to provide items
necessary for membership application, or disagree withthe handling of Personal Information stipulated in theTerms and Conditions, the Bank may deny the membership
admission or take the procedure of membership withdrawal.
Please note that notifications of cancellation of receiving
questionnaire sheets or other media for the Bank’s marketingresearch purpose stipulated in Article 13, Item (ii) (2) andsales activities by the Bank or the Accredited Merchants,
etc. mentioned in (3) of the same Item will not result in the
Bank’s denial of membership admission or in the Bank’s
taking procedure of membership withdrawal. (Contact theBank’s inquiry window shown in Annex 1 to the Terms andConditions for notifications regarding this Article.)<Article 17> Handling of Personal Information in Noncontractual Situation
In case where membership admission is denied by the Bank,
the fact of membership application will be used, regardlessof the reason for denial, for a certain period of time for the
purposes stipulated in Article 13 (excluding the receiving ofquestionnaire sheets or other media for the Bank’s marketingresearch purpose stipulated in Article 13, Item(ii) (2) andsales activities by the Bank or the Accredited Merchants, etc.
mentioned in (3) of the same Item) and in accordance withthe provisions in Article 14, but will never be used for others.
<Article 18> Handling of Personal Information of Former
Members
After receiving notification of membership withdrawal orloss of membership eligibility under Article 42, the Bank willretain and use the Personal Information for such period oftime as prescribed by laws and regulations or by the Bank,for the purposes stipulated in Article 13 (excluding receiving
questionnaire sheets or other media for the Bank’s marketingresearch purpose stipulated in Article 13, Item (ii) (2) andsales activities by the Bank or the Accredited Merchants,
etc. mentioned in (3) in the same Item) and to the extent
necessary for the request for disclosure, etc.
<Article 19> Standard Duration
For the purposes of the Terms and Conditions, the “Standard
Duration” shall mean a period from the 16th of the previous
month to the 15th of the current month.
<Article 20> Credit Line, Credit Limit for Credit Card Loan
1. The Bank shall determine the credit line on the Credit Card(the “Credit Line on the Credit Card”) through screening.
However, credit limit for cash advance services (the “CashAdvance Limit”) as well as the credit limit for the Credit
Card loans (the “Credit Card Loan Limit”) are determinedby the Bank within the range of the credit facilities desiredby the Credit Cardholder (this refers to the total amountof the Cash Advance Limit and the Credit Card Loan
Limit) through the Bank’s screening. The Bank shall rescreen after the contract for cash advance services and theCredit Card loans is concluded and shall have the right toalter the Cash Advance Limit, the Credit Card Loan Limit
and payment methods, etc., if the Bank deems it to benecessary. Any increase in the Cash Advance Limit or theCredit Card Loan Limit, however, shall be made only when
the Credit Cardholder shall request for such increase andthe Bank shall approve such application. The Bank may
request materials required for the screening.
2. The Card Member may use the Credit Card within therange where the total of the amount used for shopping
stipulated in Article 22, the amount of fees for revolving
payment and installment payment stipulated in Articles
28 and 29, the loan amount of and fees on cash advancestipulated in Article 33 and other outstanding liabilities
and fees, etc. related to any function of the Credit Card
offered by the Bank is below the Credit Line on the Credit
Card. However, the Credit Card loan amount and interests
stipulated in Article 34 shall not be included in such totalof outstanding obligations and the Card Member may
repeatedly obtain loans within the amount after deducting
the balance of the Credit Card loan from the Credit Card
Loan Limit.
3. The total credit limit on revolving payment and installment
payment (the “Credit Limit on Revolving/Installment
Payments” and together with the Credit Line on the Credit
Card, the “Credit Line”) shall be the amount determinedby the Bank through the Bank’s screening within the Credit
Line on the Credit Card mentioned in Paragraph 1. The
Bank shall have the right to increase or decrease each of
the Credit Line on the Credit Card and the Credit Limit on
Revolving/Installment Payments, if the Bank deems it to benecessary. They will not be increased, however, if the Card
Member notifies the Bank not to do so.
4. The Card Member shall not use the Credit Card in excessof the Credit Line, unless otherwise approved by the Bank.
The Credit Cardholder shall automatically be liable forthe payment obligations for the use of the Credit Card inexcess of the Credit Line.
5. In case where the Card Member has used the Credit
Card for Shopping Use (as stipulated in Article 22) byspecifying revolving payment exceeding the Credit Limit
on Revolving/Installment Payments, the amount in excess
of such credit limit shall be handled as the Card Member
has specified single payment.
6. HSBC may set forth a Credit Line for card transactions(hereinafter, Credit Limit for Installment Sales) that fallunder credit card business as stipulated in the Installment
Sales Law (hereinafter, “ Installment Sales ” ) within theextent not exceeding the “ estimated repayable amount”
thereunder, apart from the credit card limit pursuant toParagraph 1 and the Credit Line for installment payment
and revolving payment pursuant to Paragraph 3. Total
charge payable from purchases made by the member or
his/her family member shall not exceed the applicable
Credit Limit for Installment Sales in relation to two time
payments, bonus lump-sum payments, installment
payments (including instalment payments combinedwith bonus payments), revolving payments (including
revolving payments combined with bonus payments)andother Installment Sales.
<Article 21> Rate of Fees, Calculation Method of Interest
Rate, etc.
1. Rate of fees, interest rate (including the interest rate fordelinquency charges; the same applies to the rest of this
Article), etc. shall be calculated on a daily pro-rata basiswith 365 days a year, unless otherwise stipulated in theTerms and Conditions.
2. The Bank may, due to monetary condition etc., alter therate of fees and interest rate on the use of the Credit
Card which is based on the Terms and Conditions as wellas various other contracts. In such event, regardless of
Article 47, the revised rate of fees and interest rate shallbe applied to the entire outstanding balance. Regarding
the installment payment, however, the rate at the time of
specifying such installment payment shall be applied.

19

<Article 22> Use for Shopping
1. The Card Members may purchase products/rights andobtain services, etc. by presenting the Credit Card at theAccredited Merchants and affixing on the designated sales
slip the signature identical to the one on the Credit Card(the “Shopping Use”). There are cases where the Shopping
Use is allowed by taking the prescribed procedure such asentering the PIN into the terminal machine installed at theAccredited Merchants instead of signing on the sales slip.
2. For non-face-to-face transactions such as mail orders,automatic checkout machine, etc. or other transaction
methods specifically designated by the Bank, the Card
Member may omit the presentation of the Credit Card,signature on the sales slip, etc by following the methods
specified by the Bank.
3. The Card Member may, if the Bank deems it appropriate,make the Shopping Use as a means of settlement forcommunication service fees or various other recurrent
fees for Shopping Use, by registering the Credit Card
Information with the Accredited Merchants in advance.
In this case, the Card Member shall notify the Accredited
Merchants of the loss of membership eligibility due tomembership withdrawal or other reasons, the change of
Credit Card numbers or of other registered contents, etc.
and the Card Member shall be liable for any disadvantage
caused by the failure of such notification. The Card
Member shall hereby agree in advance that the Bank may
notify the Accredited Merchants of changes made in theCredit Card Information, etc. upon the request from such
Accredited Merchants on behalf of the Card Member.
4. There are cases where the Shopping Use is limited or
unavailable, with regard to certain usage amounts, certain
products such as cash vouchers etc., rights and services
as particularly designated by the Bank or the Accredited
Merchants. Further, in certain instances, the Bank’s approval
may be required separately for the use of the Credit Card,
depending on the usage amount or the type of products,
rights or services. In such instances, the Accredited
Merchants shall make reference to the Bank, and the Card
Member shall hereby agree on this in advance.
5. When the Credit Card (including the Credit Card
Information of such Credit Card; the same applies to therest of this Paragraph) is presented at or notified to theAccredited Merchants, the Bank, if requested by such
Accredited Merchants, may collate the Card Member’s
membership number, name, home address, phone
number and other information notified to such Accredited
Merchants by the applicant for such Shopping Use with
the Personal Information registered with the Bank, andthen reply to such Accredited Merchants whether there isa match or not, in order to prevent fraudulent use of theCredit Card by third parties.
6. The Bank may reject the Shopping Use, if the Contract
Payment Amount (as defined in Paragraph 1 of Article37) is not paid on the Contract Payment Date (as definedin Paragraph 1 of Article 37), all or any part of the Card
Member’s obligation owing to the Bank is delinquent,or otherwise the Shopping Use by the Card Member isjudged to be inappropriate due to the Credit Card use
status or credit standing, etc. The Shopping Use for someproducts such as train tickets, precious metals, cash
vouchers, personal computers, etc. may be limited.
7. n cases where the Family Cardholder uses the Family
Card, etc. for the Shopping Use, the Family Cardholder
shall be regarded to have concluded such contract for the
shopping with the relevant Accredited Merchants as agent
for the Credit Cardholder, and the Credit Cardholder shallbe responsible for the liabilities based on such contract.
<Article 23> Consent to Assignment of Claims andCommission of Advance Payments
1. With regard to the Accredited Merchant’s receivables claim
against the Card Member arising out of the Shopping Use,
if the contract between the Bank, Mitsubishi UFJ NICOS,
or a credit card company or a financial institution (either,
the “Affiliated Company”) affiliated with MasterCard Int’lon one side and such Accredited Merchant on the otherside stipulates that the assignment of such Accredited
Merchant’s claim shall be executed, the Card Member shall20

commission the advance payment stipulated below inaccordance with one of the following methods prescribed
below by the Bank and shall hereby consent in advanceto the assignment of claim set out below without any
objection. For the avoidance of doubt, such assignment ofclaim may be executed via a third party designated by the
Bank or Mitsubishi UFJ NICOS:(i)
The Accredited Merchant shall assign the claim to
Mitsubishi UFJ NICOS; and the Bank, with regard
to such assigned claim, shall make the advancepayment to Mitsubishi UFJ NICOS.
(ii) The Accredited Merchant shall assign the claim to the
Affiliated Company; with regard to such assigned
claim, such Affiliated Company shall assign thesame, directly or indirectly through another AffiliatedCompany, to Mitsubishi UFJ NICOS or Mitsubishi
UFJ NICOS shall make the advance payment, directly
or indirectly through another Affiliated Company, tosuch Affiliated Company; and further, the Bank shallmake the advance payment to Mitsubishi UFJ NICOS.
2. With regard to the Accredited Merchant’s receivables claim
against the Card Member arising out of the ShoppingUse, if the contract between the Bank or the AffiliatedCompany and the Accredited Merchant stipulates thatthe advance payment shall be made, the Card Member
shall commission the advance payment stipulated below
in accordance with one of the methods prescribed below
by the Bank and shall hereby consent in advance to theassignment of claim set out below without any objection:(i)
Mitsubishi UFJ NICOS shall make the advancepayment to the Accredited Merchant; and the Bank
shall make the advance payment to Mitsubishi UFJ
NICOS.
(ii) The Affiliated Company shall make the advancepayment to the Accredited Merchant; with regard to
the claim obtained by such Affiliated Company, such
Affiliated Company assigns, directly or indirectly
through another Affiliated Company, to Mitsubishi
UFJ NICOS or Mitsubishi UFJ NICOS makes theadvance payment, directly or indirectly throughanother Affiliated Company, to such AffiliatedCompany; and further, the Bank makes the advancepayment to Mitsubishi UFJ NICOS.
3. The Card Member shall hereby agree in advance without
any objection that any claim arising from the use of theCredit Card may be assigned to, or pledged on behalfof, any third party such as a trust bank, special purpose
company, debt collection company, etc. at the Bank’s
discretion for the purpose of operations including thesecuritization of claims and reassigned to the Bank
from such assignee, and that the Bank obtains/provides
information necessary for credit management in thecourse of the above actions.
<Article 24> Product Ownership/Dispute/Information Disclosure
1. The Card Member shall hereby agree in advance without
any objection that the ownership of the products purchasedby the Card Member through the Shopping Use shall betransferred from the Accredited Merchant to the Bank at
the time when the claim is assigned to the Bank directly
or indirectly from such Accredited Merchant or whenthe Bank makes the advance payment to the Accredited
Merchant or to Mitsubishi UFJ NICOS, and shall bereserved by the Bank until the payment of the Shopping
Use amount is completed.
2. Any dispute between the Card Member and the Accredited
Merchant arising from transactions based on the use of
the Credit Card shall be solved between the Card Member
and the Accredited Merchant. In case of cancellationagreed by the Accredited Merchant of the transaction after
such transaction has been made with it through the use of
the Credit Card, the amount shall be settled based on themethod prescribed by the Bank.
3. The Card Member shall agree that the products/services
purchased by the use of the Credit Card and other contentsof transactions as well as any information concerning
those and detailed information of telephone calls including
telephone numbers dialed will be disclosed to the Bank by
the Accredited Merchants in order to identify the claims

concerning the use of the Credit Card and confirm theircontents. However, the detailed information of telephone
calls shall be disclosed only with the Card Member’s priorconsent.
<Article 25> Credit Line for Shopping Use, etc.
1. The Card Member may use the Credit Card for Shopping
Use for the period from the 1st of every month to theContract Payment Date up to an amount calculated bydeducting the usage balance of the Credit Card use on
the day (the total of the combined Usage Balance ofRevolving/Installment Payments on the day for the useby the Credit Cardholder and the Family Cardholder plus
the usage amount for the Shopping Use and the loan
amount under the cash advance services on the 16th orafter of the month before last) from the Credit Line on theCredit Card. The Card Member may also use the Credit
Card for Shopping Use, for the period from the following
day of the monthly Contract Payment Date to the endof the month, up to the amount calculated by deducting
the usage balance of the Credit Card use on the day(the total of the combined Usage Balance of Revolving/
Installment Payments on the day for the use by the Credit
Cardholder and the Family Cardholder plus the usage
amount for Shopping Use and the loan amount under
the cash advance services on the 16th or after of theprevious month) from the Credit Line on the Credit Card.
However, the amount for the Shopping Use to be paid in
two installments or in a lump sum payment at the timeof bonus the Contract Payment Date for which has not
arrived shall be included in the relevant usage balance of
the Credit Card.
2. The Card Member may specify revolving payments or
installment payments within the amount calculated bydeducting the combined Usage Balance of Revolving/
Installment Payments for the use by the Credit Cardholder
and the Family Cardholder from the Credit Limit on
Revolving/Installment Payments. The limit shall be,
however, the amount after deduction of the usage balance
mentioned in the previous Paragraph from the Credit Lineon the Credit Card.
3. The “Usage Balance of Revolving/Installment Payments”
mentioned in the preceding two (2) Paragraphs and in thefollowing Articles shall mean the outstanding balance ofthe principal amount for the Shopping Use in revolving
or installment payments and shall not include fees on
revolving payments or fees on installment payments.
<Article 26> Payment Classifications for Shopping Use
1. The Card Member may specify the payment method
a m o n g “ s i n g l e p a y m e n t ”, “ t w o ( 2 ) i n s t a l l m e n t s ”,
“lump sum payment at the time of bonus”, “revolving
payments”, and “installment payments”. However, “two (2)installments”, “lump sum payment at the time of bonus”,“revolving payments” and “installment payments” shallbe available only at the Accredited Merchants designatedby the Bank. If the Card Member shall not have specified
the payment method, such payment shall be treated as“single payment”. Please note that the fees prescribedby the Bank shall be added to the usage amount of
the Shopping Use in case of “revolving payments” or“installment payments”.
2. Notwithstanding the preceding Paragraph, the Card
Member may specify the payment classification for the
Shopping Use as “revolving payments” or “installment
payments” in accordance with the methods described
below. In either case, however, the foregoing shall not beapplicable to cash advance services and any other services
designated by the Bank:(i)
A method where all the subsequent payments for the
Shopping Use will be made in revolving payments,
if notified by the Credit Cardholder and approved by
the Bank.
(ii) A method where the payment classification for the
Shopping Use to be paid on or after the Contract
Payment Date of the month specified by the Bank will
be changed to “revolving payments” or “installment
payments”, if notified by the Credit Cardholder by
the date separately set by the Bank and approved by

the Bank, after the Shopping Use at the Accredited
Merchants is made specifying a different payment
classification.
<Article 27> Payment for the Amount of Shopping Use
The Credit Cardholder shall make payments as follows,
regardless of advance payments stipulated in Article 23, if the
Shopping Use by the Card Members was made during theStandard Duration. Depending on the Accredited Merchants,
however, different cut-off date may be set for their sales andthe payment may be required to be made on the Contract
Payment Date after the aforesaid one.
(i)
If “single payment” is specified, the payment for the
relevant Shopping Use shall be made on the Contract
Payment Date of the following month of the monthin which the Standard Duration expires.
(ii) If “two (2) installments” is specified, the payment
for half of the relevant Shopping Use (with 1-yen
unit; broken number is included in the first Contract
Payment Date) shall be made on the Contract
Payment Date of the following month of the monthin which the Standard Duration expires and on theContract Payment Date of the month after the next.
(iii) If “lump sum payment at the time of bonus” isspecified;(1) Payment for the usage amount of the relevant
Shopping Use made between 16th December of theprevious year and 15th June of the current year shallbe made on the Contract Payment Date of August of
the current year.
(2) Payment for the usage amount of the relevant
Shopping Use between 16th July and 15th Novemberof the current year shall be made on the Contract
Payment Date of January of the following year.
However, the duration applied to lump sum payment
at the time of bonus may be different depending on
the Accredited Merchant.
(iv) If “revolving payments” or “installment payments”
is specified, Article 28 or Article 29 shall apply.
<Article 28> Revolving Payments
1. The Credit Cardholder shall make the revolving payments
stipulated in each of the following Items on the Contract
Payment Date of every month, if the Card Member
specifies “revolving payments”. The application of therevolving payments to the Card Member’s obligations
owing to the Bank shall be made in the method prescribedby the Bank.
(i)
The amount of monthly revolving payment shall be
the amount determined, on the basis of the Balanceof Revolving Payments (which shall mean theoutstanding balance of the principal amount of the
Shopping Use for revolving payments and shall notinclude the fees for revolving payments) on the Cutoff
Date (which shall mean the 15th of every month),
based on the payment option specified by the Credit
Cardholder in accordance with the Bank’s prescribedmethod (or, in case where such specification has notbeen made, the amount determined based on thepayment option designated and notified to the Credit
Cardholder by the Bank). However, if the Balance ofRevolving Payments on the Cutoff Date is less than
the amount of the revolving payment, such balanceshall be the revolving payment.
(ii) Fees on revolving payments shall be calculated bymultiplying the daily Balance of Revolving Payments
between the next day of the Cutoff Date and the
Cutoff Date of the following month by the fee
rate stipulated in the “Revolving Payment Guide”
appearing in Article 1 of Annex 3 to the Terms andConditions which shall be an amount on a daily prorata basis over a year of 365 days, and by converting
such amount to the monthly amount. The fees shallbe included in the payment described in the previous
Item and shall be paid in arrears on the Contract
Payment Date of the month after the next. Please
note that the fees will not be assessed during theperiod between the date of the Shopping Use andthe first Cutoff Date.

21

2. If the Credit Cardholder shall have made the application
for the additional bonus payment in accordance with
the Bank’s prescribed method and the Bank shall haveapproved it, the Credit Cardholder may, in addition to themonthly payment, make a payment of the “additional
bonus amount” on the Contract Payment Date of each“bonus month” specified in the application for the
additional bonus payment, as are payment for the Balanceof Revolving Payments and the fees mentioned in Item 2of the preceding Paragraph. The “bonus months” that theCredit Cardholder may specify shall be those in one of
the following Items (i) to (iv). “Additional bonus amount”
shall mean the amount of 10,000 yen or more in the unitof 10,000 yen as specified by the Credit Cardholder at thetime of application for the additional bonus payment:(i)January and August(ii) January and July(iii) August and December(iv) July and December<Article 29> Installment Payments
1. When the Card Member specifies “installment payments”,
the Credit Cardholder shall pay the amount (the “Total
Installment Amount”) equal to the usage amount for
the Shopping Use plus the installment payment fees
calculated by multiplying such usage amount by the fee
rate prescribed by the Bank corresponding to the numberof installment payments specified by the Card Member.
2. The Credit Cardholder shall pay the installment payment
amount, which shall be calculated by dividing the
Total Installment Amount by the number of installment
payments (and if a broken number is generated in theprocess of calculation, it shall be added to the first
installment payment amount), on each Contract Payment
Date over the period from the Contract Payment Date of
the following month of the month in which the Standard
Duration expires and the final Contract Payment Dateand for the number of times equal to the number of
installment payments.
3. The calculation method for the installment payment fees
included in the Total Installment Amount as well as forthe monthly installment payment amount shall be inaccordance with the “Guide to Installment Payments”
prescribed in Article 2 of Annex 3 to the Terms andConditions.
4. When “bonus-combined installment payments” isspecified, the Credit Cardholder shall pay half of theusage amount for the Shopping Use in accordance with
Paragraph 1 and the preceding Paragraphs and shall pay
the balance on respective Contract Payment Dates of thebonus months (which shall be January and August) inthe manner prescribed by the Bank. In the event that theContract Payment Dates, from the first one to the last, shallnot include any Contract Payment Date of a bonus month,
the Bank will treat it as the Card Member shall not havespecified the “bonus-combined installment payments”. The
same shall apply to the case where the Contract Payment
Dates shall not come to include that of a bonus month as aresult of the delay in processing the assignment of claims
or advance payments or for any other operational reasons.
<Article 30> Prepayment of Payment Amounts for ShoppingUse, etc.
1. Any Prepayment (which shall mean the repayment, in
advance, of the whole or a part of the obligations under
the Terms and Conditions prior to the Contract Payment
Date prescribed in the Terms and Conditions) of theamount for Shopping Use shall be made by the Credit
Cardholder upon prior notice to and approval by the Bank.
When requested by the Bank for approval, the Credit
Cardholder shall follow the procedures prescribed by the
Bank such as submission of certain documents.
2. In making such prior notice as stipulated in the preceding
Paragraph, the Credit Cardholder shall specify the extent
of Prepayment, repayment method and payment date, andthe Bank shall in turn notify the amount to be paid on suchpayment date according to such specification. The extent
of Prepayment and the repayment method that the Credit
Cardholder may specify are as per the following table.

22

Extent ofPrepayment
Installment
payments

Whole

Revolving
payments

Whole/ a part

Repayment Method
Account transfer/fund remittance3. Should any payment to the Bank fall under any of thefollowing categories, the Bank may, without any notice to
the Credit Cardholder, deem such payment as repaymenton the payment date prescribed by the Bank and apply thesame to any obligation owed to the Bank (including any
obligation arising from any contract other than the Terms
and Conditions), in such order and manner as prescribedby the Bank, or may make the refund etc. of the same byfund remittance or mail transfer, and the Credit Cardholder
shall have no objection to such application or refund etc.:(i)
When the payment is made without prior notice toand approval by the Bank.
(ii) When the payment is made on a different date fromthe date specified at the time of such prior notice,even with the prior notice to and approval by theBank.
(iii) When the payment is made in a different repayment
method from the repayment method specified at thetime of such prior notice, even with the prior notice
to and approval by the Bank.
(iv) When the payment is made in a different amountfrom the amount informed by the Bank in accordancewith the specification made by the Credit Cardholder
at the time of such prior notice, even with the priornotice to and approval by the Bank.
4. Notwithstanding the provisions of previous three (3)Paragraphs, the Credit Cardholder may Prepay a partof the Balance of Revolving Payments concerning the
Shopping Use, by using the ATM’s at financial institutions
affiliated with Mitsubishi UFJ NICOS. The repayment,
however, may be required to be made in the amountin such unit as set by Mitsubishi UFJ NICOS or by suchfinancial institutions.
5. When fund remittance was specified as the methodof Prepayment, and because the Bank has deemed
it necessary or because of certain other operational
reasons, such Prepayment is made by fund transfer to thedepositary account specified by the Bank using the form
that the Bank provides, then such Prepayment shall bedeemed as the repayment as of the payment date written
on such form.
6. Prepayment of the amount of installment payments for the
Shopping Use (limited to a lump sum Prepayment only)
shall be made in the amount calculated by the following
formula, so long as the Credit Cardholder has settled all
the payments of the repayment amount to be made prior
to the payment date. (Total unpaid installment payment
amounts) – (Installment payment fees yet to become due)
However, the installment payment fees yet to becomedue shall be the amount calculated by the seven-eight
allocation method or such other similar calculation
method designated by the Bank. For the avoidanceof doubt, installment payment fees concerning the
installment payment amount to be paid immediately after
the Contract Payment Date immediately following the dateof Prepayment shall not be included in the installment
payment fees yet to become due.
<Article 31> Termination etc. of Purchase Contract Due toDifference between Sample/Catalog etc. andActual Merchandise
When the Card Member shall have made an application
based on samples, catalogues, etc. and shall find out thatthe merchandise or right delivered, or the service provided
is different from the samples, catalogues, etc., the Card
Member shall be entitled to request the Accredited Merchantsfor exchange of merchandise, right, service and so on, or
terminate the sale/purchase contract or the service provisioncontract.

<Article 32> Plea for Payment Suspension
1. If the payment method shall be “two (2) installments”,“lump sum payment at the time of bonus”, “revolving
payments” or “installment payments” and any of thefollowing events shall apply to any of the merchandiseor services, or the designated rights as stipulated in the
Installment Sales Law (collectively, the “Merchandiseetc.”), the Credit Cardholder may suspend payment for the
relevant Merchandise etc. until such event is resolved:(i)
There shall be no delivery of merchandise, provisionof the services or transfer of designated rights.
(ii) T h e M e r ch a n d i s e e t c . s h a l l h a v e d a m a g e ,defacement, malfunction or other defects.
(iii) There shall be a justify able plea against theAccredited Merchant in connection with the sales ofthe Merchandise etc.
2. The Bank shall take designated procedures as soon
as such suspension of payment as mentioned in thepreceding Paragraph is lodged by the Credit Cardholder.
3. Prior to the lodging mentioned in the preceding Paragraph,
the Credit Cardholder shall endeavour to negotiate with
the Accredited Merchant to solve the event mentioned in
Paragraph 1.
4. When the Credit Cardholder lodges the suspension
pursuant to the provision of Paragraph 2, the Card
Member shall endeavour to promptly submit to the
Bank the document stating the event under Paragraph 1(along with supporting materials, if any). In case the Bank
requires investigation of the event under Paragraph 1, theCard Member shall cooperate in such investigation.
5. Notwithstanding Paragraph 1, the Credit Cardholder shallnot be able to suspend payment, if any of the following
applies:(i)
In case of “revolving repayments”, when the cash
price for a single use of the Credit Card is less than
38,000 Yen.
(ii) In case of “two (2) installments”, “lump sum payment
at the time of bonus” or “installment payments”,
when the total payment amount for a single use of
the Credit Card is less then 40,000 Yen.
(iii) When the suspension of payment by the Credit
Cardholder is deemed against the principle of faithand trust.
(iv) When the Credit Card is used outside Japan.
(v) When the sale/purchase contract or the service
provision contract qualifies as a commercial
transaction for the Credit Cardholder (excluding
the case in which such contract qualifies as either
the service provision attractive sales individual
contract or chain sales individual contract under the
Installment Sales Law).
6. The Bank will not agree to the refund of the payment
amounts already made, by reason of the plea forsuspension of payment stipulated in this Article.
<Article 33> Cash Advance Service
1. Subject to the Bank’s approval, the Card Member may
use the cash advance service through a cash dispenser
machine (the “CD”), ATM and so on, designated by the
Bank. Service details of the cash advance service may be
specified separately by the Bank.
2. In case of CD or ATM, the loan date shall be the date on
which such CD or ATM is used.
3. The Card Member may use the cash advance service
to the extent of the amount equal to the Cash Advance
Limit minus the outstanding loan balance under the cash
advance service.
4. When the Card Member has used the cash advance
service during the Standard Duration, the Credit
Cardholder shall repay on the Contract Payment Date in
the following month of the month in which the expiry
date of such Standard Duration falls, the total amount of
the loans under the cash advance service made during
such Standard Duration plus the fees on cash advances(which fees shall be calculated, with regard to each loan
amount under the cash advance service, by multiplying
the loan amount by the applicable interest rate prescribedby the Bank for the period commencing on the following
day of the loan date of such cash advance and ending onsuch Contract Payment Date). The Credit Cardholder may
Prepay in accordance with the provisions of Article 36.
5. In case where the whole or any part of the Contract
Payment Amount is not paid on the Contract Payment
D a t e , w h e r e t h e w h o l e o r a ny p a rt o f t h e C r e d i t
Cardholder’s total debt obligations owing to the Bank
is not paid when due, or where the Card Member’s useof cash advance service is considered inappropriate
in view of the usage status of the Card Member, thecreditworthiness of the Card Members, etc., then the Bank
may suspend further use of the cash advance service or
reduce the credit limit.
6. The interest rate designated by the Bank shall be notified
to the Card Member in writing or by other methods.
<Article 34> Card Loan
1. Subject to the Bank’s approval, the Card Member may
repeatedly obtain loans from the Bank according to theprovisions of this Article and to the extent of the amountequal to the Credit Card Loan Limit minus the outstanding
Credit Card loan balance at that time.
2. The Card Member may use the Credit Card loan in themanner described in the following Items:(i)
To enter the PIN into the CD or ATM and takeprescribed procedures.
(ii) Other method specified by the Bank.
3. The loan date of the Credit Card loan shall be the day on
which the loan is obtained through the CD or ATM.
4. Repayment of the Credit Card loan shall be made bymonthly installments in the fixed principal amount. The
Credit Cardholder shall repay the following principal
amount on the Contract Payment date of the following
month:(i)
If the Credit Card loan balance as of the 15th of
this month exceeds the Credit Card loan principal
repayment amount separately informed by the Bank,
such Credit Card loan principal repayment amount:(ii) If the above mentioned Credit Card loan balance isless than the Credit Card loan principal repayment
amount, the Credit Card loan balance.
5. The Credit Cardholder shall pay the interest on theContract Payment date of the following month, in theaggregate amount of the respective amounts calculated
by multiplying the daily Credit Card loan balance during
the Standard Duration by the Bank’s prescribed interest
rate divided by 365 days.
6. Subject to the Bank’s approval, the Credit Cardholder
may, in the manner prescribed by the Bank, change theCredit Card loan principal repayment amount stipulated
in Paragraph 4. Further, subject to the Bank’s approval,
the Credit Cardholder may, in the manner prescribedby the Bank, change the payment method to “bonus
combined increased amount repayment”, in which case,notwithstanding the provisions of Paragraph 4, theamount increased by the amount specified by the Credit
Cardholder shall be paid as the Credit Card loan principal
repayment amount on the Contract Payment Date of thespecified bonus month.
7. With respect to the Credit Card loan balance and interest,
the Credit Cardholder may Prepay in accordance with
Article 36, in addition to the repayment mentioned in
Paragraphs 3 to 5.
8. In case where the Contract Payment Amount, in whole orin part is not paid on the Contract Payment Date, where
the whole or any part of the Credit Cardholder’s total
obligations owing to the Bank is not paid when due, orwhere the Card Member’s use of the Credit Card loan
is considered inappropriate in view of the usage statusof the Card Member, the creditworthiness of the Credit
Cardholder, etc. the Bank may suspend further use of theCredit Card loan by the Card Member.
9 The interest rate prescribed by the Bank shall be notified
to the Card Member in writing or by other methods.
<Article 35> Use at CD and ATM
Card Members may execute the following transactions at the
CD or ATM of the Bank or of the financial institutions, etc.
affiliated with Mitsubishi UFJ NICOS. There may be certaintransactions unavailable depending on the model of CD and

23

ATM, installed area, stores, etc., as well as unavailable hours
due to business hours of the stores where such CD/ATM is
installed, system maintenance, etc.
(i)
Use of cash advance service.
(ii) Use or Prepayment of Credit Card loan.
(iii) Prepayment of revolving installments.
<Article 36> Prepayment etc. of Cash Advance Service andCard Loan
1. Any Prepayment of cash advance service or Credit Cardloan shall be made by the Credit Cardholder upon priornotice to and approval by the Bank. When requested by
the Bank for approval, the Credit Cardholder shall follow
the procedures prescribed by the Bank such as submissionof certain documents.
2. In making such prior notice as stipulated in the preceding
Paragraph, the Credit Cardholder shall specify the extent
of Prepayment, repayment method and payment date, andthe Bank shall in turn notify the amount to be paid at suchpayment date according to such specification. The extent
of Prepayment and repayment method that the Credit
Cardholder may specify are as per the following table.
Extent ofPrepayment

Repayment Method

Cash Advance Entire amountService
only

Account transfer/fund remittance

Credit Card
Loan

Entire amountAccount transfer/fund remittance(Paymentdate shall be thedate designated by the Bank.)

Partial amountAccount transfer/fundremittance3. Should any payment to the Bank fall under any of thefollowing categories, the Bank may, without any notice to
the Credit Cardholder, deem such payment as repaymenton the due date prescribed by the Bank and apply thesame to any obligation owed to the Bank (including any
obligation arising from contract other than the Terms andConditions) in such order and manner as prescribed by
the Bank, or make the refund etc. of the same by fundremittance or mail transfer, and the Credit Cardholder shallhave no objection to such application and refund etc.:(i)
When the payment is made without prior notice toand approval by the Bank.
(ii) When the payment is made on a different date fromthe date specified at the time of such prior notice,even with the prior notice to and approval by theBank.
(iii) When the payment is made in a different repayment
method from the repayment method specified at thetime of such prior notice, even with the prior notice
to and approval by the Bank.
(iv) When the payment is made in a different amountfrom the amount informed by the Bank in accordancewith the specification made by the Credit Cardholder
at the time of such prior notice, even with the priornotice to and approval by the Bank.
4. Notwithstanding the provisions of preceding three (3)Paragraphs, the Credit Cardholder may Prepay a part ofCredit Card loan payment amount, by using ATM at thefinancial institutions affiliated with Mitsubishi UFJ NICOS.
The repayment, however, may be required to be made in
the amount in such unit as set by Mitsubishi UFJ NICOS orby such financial institutions.
5. When fund remittance was specified as a means ofPrepayment, and because the Bank has deemed it
necessary or because of certain other operational reasons,such Prepayment is made by fund transfer to the depositaryaccount specified by the Bank using the form that the
Bank provides, and where such Prepayment is madeprior to the payment date written on such form resulting
in excess payment, then the Bank, without notice to theCredit Cardholder, may deem such excess payment as therepayment at the time designated by the Bank, and apply
the same to any obligation owing to the Bank (including
any obligation arising from contract other than the Terms
and Conditions) in such order and manner as prescribed by24

the Bank, or may make a refund etc. of the same by fundremittance or mail transfer, and the Credit Cardholder shallhave no objection to such application or refund, etc.
<Article 37> Contract Payment Date and Account Transfer
1. The payment date (the “Contract Payment Date” in theTerms and Conditions) for the obligations that the Credit
Cardholder shall pay to the Bank arising from the Terms
and Conditions such as the usage amount of the Credit
Card, loans, fees, interest, annual membership fees andso on shall be 10th of every month (the next businessday, if the date falls on a non-business day for financial
institutions etc.). The Credit Cardholder shall repay theamount due (the “Contract Payment Amount” in the Terms
and Conditions) on the Contract Payment Date by accounttransfer from the depositary account with the Bank (the“Payment Account”) which has been pre-notified by theCredit Cardholder. However, there may be a case where
the payment is to be made on a Contract Payment Dateafter the aforementioned Contract Payment Date due tooperational reasons, or where the payment is made byfund remittance to the account of the Bank, by collection
by the collection agent designated by the Bank, or by suchother payment method (in such event, fees concerning thepayment to financial institutions or collection agent shallbe, in principle, borne by the Credit Cardholder), if thenotice by the Credit Cardholder to the Bank of the Payment
Account is delayed or if the Bank specifically designates
such payment method.
2. When the account transfer could not be made on theContract Payment Date, the Bank may effectuate the accounttransfer for the whole or a part of the Contract Payment
Amount on any day after such Contract Payment Date.
3. With respect to the obligations in foreign currencies of theCredit Cardholder for the use outside Japan of the Credit
Card by the Card Member, the payment for them shall bemade to the Bank in the Yen amount calculated by applying
the rate comprising of both the exchange rate appliedby MasterCard Int’l at the time of the sale processing byMasterCard Int’l (it may be a different date from the dateon which the Card Member used the Credit Card) and therate corresponding to the prescribed expense portion forvarious processing fees etc. concerning such use madeoutside Japan.
<Article 38> Account Details
At around the beginning of every month, the Bank shallnotify the Credit Cardholder of the Contract Payment
Amount, outstanding Usage Balance of Revolving/Installment
Payments, outstanding balance of cash advance services,
outstanding balance of Credit Card loan and so forth (the“Account Details”) in the statement, by mail to the address
registered by the Credit Cardholder or by any other mannerprescribed by the Bank. When the Credit Cardholder takes
the procedures prescribed by the Bank, the Bank may use
an electronic mail or other electronic means to provide thedetails of such statement in lieu of such statement. However,this does not apply where laws and regulations do not allow
electronic means. The Credit Cardholder shall protest withinone (1) week of the receipt of notification, should he/she haveany objection to the contents of Account Details.
<Article 39> Delayed Charges
1. The Credit Cardholder shall pay the delayed charges, inthe event that the Credit Cardholder fails on the Contract
Payment Date to repay the Contract Payment Amount,calculated for the period from the following day of it till thedate of full payment over such Contract Payment Amount(except for fees on revolving payments, installment
payment fees, fees and interest under the Financing
Services and delayed charges etc.), or in the event that
the Credit Cardholder loses the benefit of term, calculated
for the period from the following day of such loss of thebenefit of term till the date of full payment over the total
outstanding amount of the obligations (except for feeson revolving repayments, installment payment fees, fees
and interest under the Financing Services, and delayedcharges etc.), in either event, by applying the interest rate
stipulated below. As to the revision of this rate, Article 21,
Paragraph 2 shall apply:

(i)For cash advance service and Credit Card loan:
20.00% per annum (or 21.90% per annum for thedelayed charges incurred by 11 January, 2010)(ii) Other than the above: 14.60% per annum
2. Notwithstanding the preceding Paragraph, the Credit
Cardholder shall pay the following delayed charges on“two (2) installments”, “lump sum payment at the time ofbonus” or “installment payments”.The revision of the rateshall be made similarly as the preceding Paragraph:(i)
In case of the delay in installment payment, theamount calculated by multiplying the installment
amount by 14.60% per annum for the period fromthe following day of the Contract Payment Dateto the full payment date. However, such delayedcharges shall not exceed the amount calculated
by multiplying the total outstanding installment
amounts by the commercial statutory interest rate
(6.00% per annum).
(ii) In case of the delay in “two (2) installments” or “lumpsum payment at the time of bonus”, the amountcalculated, for the period from the following day of
the Contract Payment Date to the full payment date,by multiplying the outstanding obligations by thecommercial statutory interest rate (6% per annum)(or 14.60% per annum, with regard to the amount of
Shopping Use made prior to the end of November
2009 for which the payment has been delayed on or
before 11 January, 2010).
(iii) In case of the loss of benefit of term in connection
with installment payments, the amount calculated
by multiplying the total outstanding installment
amounts by the commercial statutory interest rate
(6.00% per annum) for the period from the following
day of such loss of the benefit of term to the full
payment date.
(iv) In case of the loss of benefit of term in connection
with “two (2) installments” or “lump sum payment
at the time of bonus”, the amount calculated, forthe period from the following day of such lossof the benefit of term to the full payment date,by multiplying the outstanding amount of theobligations by the commercial statutory interest rate
(6% per annum) (or 14.60% per annum, with regard
to the amount of Shopping Use made prior to theend of November 2009 for which the benefit of term
has been lost on or prior to 11 January, 2010).
<Article 40> Order of Application etc. of Payment Amount etc.
1. When the payment to the Bank is made by Credit
Cardholder by means of account transfer or of fundremittance to the depositary account specified by the
Bank by using the form that the Bank provides, the Bank
may, without notice to the Credit Cardholder, deem suchpayment as the repayment at the time prescribed by the
Bank, and may apply the same to any obligation owed
to the Bank (including any obligation arising from any
contract other than the Terms and Conditions) in suchorder and manner as prescribed by the Bank, or makethe refund etc. of the same by fund remittance or mailtransfer, and the Credit Cardholder shall have no objection
to such application or refund etc.
2. Notwithstanding the provision of the preceding Paragraph,when the Credit Cardholder specifies the extent of
payment, payment method and payment date with theprior notice to and approval by the Bank, and pays for theamount which the Bank notifies to the Credit Cardholder
in response to the specification and in the manner andon the date specified by the Credit Cardholder, thenthe Bank shall apply the payment amount paid by theCredit Cardholder in accordance with such specification.
However, the extent of payment, payment method andpayment date shall be specified from those of the Bank’s
designation.
3. When the payment is made by fund remittance to thedepositary account specified by the Bank by using the form
that the Bank provides before the payment date written
on the form and there is any excess payment amount,the Bank may, without notice to the Credit Cardholder,
deem such excess payment amount as the repayment at

the Bank’s prescribed time, and may apply the same toany obligation owed to the Bank (including any obligation
arising from any contract other than the Terms andConditions) in such order and manner as prescribed by
the Bank, or make the refund etc. of the same by fundremittance or mail transfer, and the Credit Cardholder shallhave no objection to such application or refund etc.
4. Application of payment amounts concerning revolving
payments for Shopping Use shall be made according tothe order and manner prescribed by the Bank. However,this shall not apply to such application with regard to thesuspension plea of revolving repayments provided forunder the Installment Sales Law.
<Article 41> Loss of the Benefit of Term
1. When any of the following events occurs with respect
to the Credit Cardholder, the Credit Cardholder shall,
without any demand from the Bank, immediately pay all
the outstanding obligations under the Financing Services
and Shopping Use, together with interest thereon and anyother obligation incidental thereto:(i)Suspension of payments has occurred or theapplication has been made for the commencementof bankruptcy proceeding, ci vil rehabilitation
proceeding (including individual rehabilitation
proceeding) or for the voluntary arrangement;(ii) Suspension of bank transaction (ginkou torihiki teishi
shobun) has been imposed;(iii) When the commencement of inheritance occurs;(iv) The order or notice of provisional attachment,
preservative attachment or attachment has been
dispatched with regard to the deposits and otherclaims against the Bank of the Credit Cardholder orof the guarantor; or(v) The address of the Credit Cardholder has become
unknown to the Bank, as a result of the Customer’s
failure to register the address change or any otherreason attributable to the Credit Cardholder.
2. In case of any of the following events, the Credit
Cardholder shall, upon demand from the Bank,
immediately pay all the outstanding obligations under
the Financing Services and Shopping Use, together
with interest thereon and any other obligation incidental
thereto:(i)
The Credit Cardholder has delayed any payment of
all or any part of the obligations owing to the Bank;(ii) The attachment or auction procedures have beencommenced with regard to the subject matter ofcollateral;(iii) The Credit Cardholder has breached any terms andconditions for any transaction, including the Terms
and Conditions, with the Bank; or(iv) Any event other than those prescribed in thepreceding Items, for which the Bank is required totake measures to secure its claims, has occurred.
3. In case where Item 1 of the preceding Paragraph isapplicable and if the relevant obligations are obligations of
the Contract Payment Amount of Shopping Use (excluding
those which constitute any of the Items under thisParagraph), the Bank shall make a request for repayment
in writing with specifying a considerable period, whichshall be no less than twenty (20) days. If the repayment
is not made within such period, the demand under thepreceding Paragraph shall be deemed to have been madeon the date designated by the Bank (such date shall be a
day on or after the completion of such period; provided,
however, that the Bank may designate such date in such
request for repayment) and the Credit Cardholder shall
pay all the outstanding obligations under such ShoppingUse, together with interest thereon and any otherobligation incidental thereto.
(i)Single payment of Shopping Use.
(ii) “Two (2) installments”, “lump sum payment at thetime of bonus”, “revolving payments” or “installment
payments” of Shopping Use for the rights other thanthe designated rights as stipulated in the Installment
Sales Law.
(iii) Payment of Shopping Use in connection with thesale/purchase contract or service provision contract25

entered into by the Credit Cardholder for the purposeof his/her business or as his/her business (excluding
the case in which such contract qualifies as theservice provision attractive sales individual contract(gyomu teikyo yuin hambai kojin keiyaku) or the
chain sales individual contract (rensa hambai kojin
keiyaku) under the Installment Sales Law).
(iv) Other payments of Shopping Use that constitutes
any of the Items of Paragraph 1, Article 35-3-60 of the
Installment Sales Law<Article 42> Withdrawal and Loss of Membership Eligibility, etc.
1. The Card Member may withdraw from membership in themanner prescribed by the Bank. In this event, the Card
Member shall either immediately return the Credit Cardor dispose of the Credit Card by cutting the Credit Cardaccording to the Bank’s instruction, and the Card Member
shall withdraw when the Credit Cardholder fully repays
all the outstanding obligations owing to the Bank under
the Terms and Conditions. The Credit Cardholder shallcontinue to be responsible, in accordance with the Terms
and Conditions, for payment of the obligations owing
to the Bank under the Terms and Conditions, even after
the application for withdrawal is made. Also, when theCredit Cardholder withdraws, the Family Cardholder shall
automatically withdraw from the membership.
2. When the Card Member shall not have received, withina reasonable time, the Credit Card sent by the Bank
pursuant to Article 3, 4 or 7, the Bank may deem that
the Card Member shall have expressed his/her desire towithdraw from the membership.
3. When the Card Member shall fall under any of thefollowing categories, he/she shall automatically lose
the membership. When the Credit Cardholder loses themembership, the Family Cardholder shall also lose themembership. Also, when the Card Member uses the Credit
Card after the loss of membership, the Credit Cardholder
shall be responsibility for the payment obligations therefor:(i)When it is discovered that the Card Member has
given the false declaration at the time of application
for membership.
(ii) When the Credit Card expires without the Bank’s
issuing the Renewed Card.
(iii) When the address of the Card Member becomes
unknown for any reason attributable to the Card
Member, such as failure to report change of address,
and the Bank determines it difficult to notify to andcommunicate with the Card Member.
(iv) When the Bank determines that the use of the Credit
Card by the Card Member is inappropriate becauseof the serious change in the creditworthiness of
the Credit Cardholder, the Shopping Use with the
purpose of conversion into money, etc.
(v) When the benefit of term is lost in accordance with
Article 41.
(vi) When the Bank considers him/her not eligible for themembership.
4. The Family Cardholder shall, in addition to Paragraphs 1, 2
and 3, automatically lose the membership upon the Credit
Cardholder’s report in the manner prescribed by the Bankfor the suspension of the use of the Family Card etc. andwithdraws from the membership.
5. In case of Paragraph 3 or 4, notwithstanding whether or not
the notice of loss of membership has been issued, the Bank
may notify the Accredited Merchants of invalid Credit Card.
6. When Paragraph 3 or 4 is applicable and the Bank
demands the return of the Credit Card directly or throughthe Accredited Merchants, the Card Member shallimmediately return the Credit Card.
7. When Paragraph 3 or 4 does not apply but the Card
Member violates or is likely to violate the Terms andConditions, or when the Bank considers the use of theCredit Card by the Card Member inappropriate, then the
Bank may reject the use of the Credit Card.
<Article 43> Classification of Responsibility upon Loss or
Theft of Credit Card
1. When a person other than the Card Member uses theCredit Card as a result of loss, theft, etc. of such Credit

26

Card, the Credit Cardholder shall be responsible for theusage amount of such Credit Card and for the repayment
for the Financing Services made by such Credit Card,
unless otherwise prescribed by the laws and regulations.
2. Notwithstanding the preceding Paragraph, when the Card
Member promptly notifies the Bank of such loss or theft,reports it to the nearest police station and submitted to the
Bank the report of loss or theft prescribed and requestedby the Bank, then the Credit Cardholder shall be exemptedfrom responsibility for damages caused by the use of such
Credit Card by other person, occurring within sixty (60)days prior to the date of such report to the Bank. However,
if any of the following is applicable, the Credit Cardholder
shall not be exempt from the payment of usage amountand repayment amount:(i)
When the Card Member violates Article 3.
(ii) When a person related to the Card Member such as afamily member or roommate uses the Credit Card.
(iii) When the loss or theft of the Credit Card is caused by
the Card Member’s or his/her legal representative’s
willful misconduct, gross negligence or violation oflaw.
(iv) When the contents of the loss or theft report are false.
(v) When the Card Member refuses to submit the
document(s) requested by the Bank, or to cooperatewith the Bank on the investigation of damages
conducted by the Bank etc.
(vi) When the registered PIN is used when the Credit
Card is used (except when the proviso of Article 8,
Paragraph 3 is applicable).
(vii) When the loss or theft happens in a social disordersuch as war, earthquake, etc.
(viii) When the damages are caused without the Card
Member’s signature in the designated signature
space of the Card.
(ix) When the loss or theft happens while the Card
Member is otherwise violating the Terms andConditions.
<Article 44> Classification of Responsibility When Counterfeit
Credit Card Is Used
1. Any usage amount in relation to the use of a Counterfeit
Card (which shall mean a credit card or the like other thanthe Credit Card issued by the Bank and lent to the Credit
Cardholder pursuant to Article 3, Paragraph 1) shall not be
for the account of the Credit Cardholder.
2. Notwithstanding the preceding Paragraph, when there isa willful misconduct or negligence on the part of the Card
Member for the production or use of a Counterfeit Card, theusage amount of such Counterfeit Card and the repayment
for the Financing Services made by such Counterfeit Card
shall be for the account of the Credit Cardholder, unlessotherwise prescribed by the laws and regulations.
<Article 45> Burden of Expenses
The Credit Cardholder shall bear the remittance fees imposedby financial institutions etc. when the payment is made byfund remittance, the stamp duties, the various other handlingcharges incurred in relation to the payment of obligations
under the Terms and Conditions, the expenses for refund
from the Bank, the consumption tax and other taxes andpublic dues imposed upon the expenses and fees etc. under
the Terms and Conditions, and the other expenses incurred by
the Bank for the procurement of preservation of its claims.
<Article 46> Application of Laws and Regulations Regarding
Foreign Exchange and Foreign Trade Control
The Card Member shall hereby agree in advance that, becauseof the various laws and regulations relating to foreignexchange and foreign trade control, he/she may be required tosubmit the permit, certificate or other document when he/sheuses the Credit Card outside Japan and the use of the Credit
Card may be limited or suspended.
<Article 47> Membership Terms and Conditions and Its Revision
The Terms and Conditions shall apply to all the contractual
relationship between the Card Member and the Bank. If theTerms and Conditions shall be revised in the future and theCard Member shall use the Credit Card after the Bank has
notified to the Credit Cardholder of the details of revision

by means of sending the Terms and Conditions or by othermeans, then the Card Member shall be deemed to haveapproved the revision.
<Article 48> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions suchas change in registered items, disclaimer, governing law,jurisdiction and changes in the terms and conditions,shall be governed by “Section 1: HSBC Premier AccountGeneral Agreement”.
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

Annex I: Inquiry Window<Article 1> For any inquiry or consultation regarding themerchandise etc., please contact the Accredited Merchantwhere the Card Member used the Credit Card.
<Article 2> For any inquiry regarding the services of theCredit Card, procedures etc. for membership application
or withdrawal, changes in registered items, and stoppageof commercial solicitation such as sending of advertisingmaterials, please contact: The Hongkong and Shanghai
Banking Corporation Limited, Tokyo Branch HSBC Building,
11-1, Nihonbashi 3-chome, Chuo-ku, Tokyo 103-0027; or HSBC
Premier Call Centre: English 0120-777-268 (24 hours, 365
days)<Article 3> For any inquiry and consultation regarding theTerms and Conditions, for any inquiry and consultation on
Personal Information such as disclosure, correction anddeletion of Personal Information, and for the document<Article 2> Registered Information and Registration Period(i) Name, birth date, sex, address, phone number,place of work and other personal information(ii) Date of the use of the Affiliated Personal Credit
Information Bureau and the fact of application for thisContract

regarding the plea for payment suspension, please inquire at:
The Hongkong and Shanghai Banking Corporation Limited,Tokyo Branch HSBC Building, 11-1, Nihonbashi 3-chome,
Chuo-ku, Tokyo 103-0027; or HSBC Premier Call Centre:
English 0120-777-268 (24 hours, 365 days)

Annex II: Registered Information and Registration Period<Article 1> Personal Credit Information Bureau
The name, address, telephone number, etc. of each of thepersonal credit information bureaus that the Bank is affiliatedwith are as follows:
The customer can obtain information about each credit
bureau's membership eligibility, its member etc. at its website.
(i)
Credit Information Center Corp.(CIC)
First West Bldg., 15th Floor, 1-23-7, Nishi-Shinjuku,
Shinjuku-ku, Tokyo, 160-8375
Phone; 0120-810-414
URL http://www.cic.co.jp(ii) Personal Credit Information Center (kojin shinyoujouhou center) of Japanese Bankers Association(KSC)
3-1, Marunouchi 1-chome, Chiyoda-Ku, Tokyo
100-8216
Phone; 03-3214-5020
URL http://www.zenginkyo.or.jp/pcic/index.html(iii) Japan Credit Information Reference Center Corp.
(JICC)
2-1,Kanda tacho, Chiyoda-Ku, Tokyo 101-0046
Phone; 0120-441-481
URL http://www.jicc.co.jp
CIC,KSC and JICC above are affiliated.

CIC
JICC
KSC
During the period for which any of the items in (ii) through (vii) is
registered.
Up to one (1) year fromthe date of use.

Six (6) months from the date of use.

During the term of(iii) Date of approval of membership, contents of thisand up toContract such as the Credit Line, the fact of delinquent contract(5) years after
repayment of obligations and status of repayment such fivethe termination ofas pay off
the contract.

(iv) Information disclosed by official gazette

During the term ofcontract and up to five(5) years from the dateof termination of thecontract (if not paid off,from the date of pay off)
Seven (7) years from Up to ten (10) years fromthe date of the order the date of the orderfor commencement for commencement ofof bankruptcy
bankruptcy proceeding
proceeding etc.
etc.
During the term ofcontract and five(5) years after thetermination of thecontract.

(v) Fact that complaint regarding registered
During such
One (1) year.
During such examination.
information is made and under examination
examination.
(vi) Information reported by the relevant person such
One (1) year fromOne (1) year fromUp to five (5) years fromas loss of identification information, notice of theft, etc. the registration date. the registration date. the date of such report.
(vii) Information reported by the relevant person such Five years (5) from
Five years (5) fromas request for voluntary credit reduction, etc.
the registration date. the registration date.
* Of the above, items (iv), (v) and (vi) are independently
collected and registered by the personal credit information
bureaus.
* Other than the above, KSC registers dishonour information(as to the first dishonour, for a period not exceeding six (6)months from such dishonour, and as to the suspension oftransactions, for a period not exceeding five (5) years fromthe date of suspension of transaction.).
* The Card Member shall agree that the Affiliated Personal
Credit Information Bureaus and their respective members
provide to each other and use the Personal Information
registered with the Affiliated Personal Credit Information
Bureaus to the extent necessary for the protection and properuse of Personal Information by the Affiliated Personal Credit
Information Bureaus, such as maintenance of accuracy andnewness, complaint handling, monitoring of the members forregulatory compliance, etc. Registered information used by
the members of the Allied Personal Credit Information ureaus
shall be “the fact of delinquent payment of obligations”.

Annex III: Revolving Payments and Installment Payments<Article 1> Guidance to Revolving Payments
Monthly Payment Amount (Revolving Payment Amount):(Fixed-Payment-Amount Method)
Outstanding Balance asof Cutoff Date
500,000 Yen or lessMore than 500,000 and
up to 1,000,000 Yen

Monthly Payment Amount
Plan A
Plan B
10,000 Yen
20,000 Yen
20,000 Yen
30,000 Yen(Progressive-Payment-Amount Method corresponding to
Outstanding Balance)
Outstanding Balance as Monthly Payment Amountof Cutoff Date
Standard Plan
Long-Term Plan
100,000 Yen or less
10,000 Yen
5,000 Yen
More than 100,000 Yen 20,000 Yen
10,000 Yen
and up to 200,000 Yen
For each additional
Plus 10,000 Yen Plus 5,000 Yen
100,000 Yen upwards

27

* Initially at the time of enrolment, the payment method
will be “Fixed-Payment- Amount Method” and “Plan A”.
Commission rate: Actual per annum ratio of 11.50% Payment
example:In case the payment method is “Fixed-Payment-Amount
Method” and “Plan A” and 100,000 Yen has been used during
the period of April 16 through May 15:(i) Cutoff Date (May 15) Usage Balance of Revolving Payments
100,000 Yen Monthly payment amount (payment on June 10)10,000 Yen Application to the usage amount 10,000 Yen Usage
Balance of Revolving Payments after payment 90,000 Yen(100,000 Yen – 10,000 Yen)(ii) Closing date (June 15) Usage Balance of Revolving
Payments 90,000 Yen Monthly payment amount (payment on
July 10) 10,000 Yen Application to the usage amount 9,043 Yen(10,000 Yen – 957 Yen) Application to fees 957 Yen (100,000 Yen
x 11.50% / 365 x 25) + (90,000 Yen x 11.50% / 365 x 6) Usage
Balance of Revolving Payments after payment 80,957 Yen(90,000 Yen – 9,043 Yen)
<Article 2> Guidance to Installment Payments
Number of Payments:
Number of Payments (times)
Term of Payments (months)

3
3

5
5

6
6

10
10

12
12

Actual Per Annum Interest
9.25 10.25 10.75 11.25 11.25
Rate (%)
Installment Payment Fees per
Usage Amount of 100 Yen (Yen) 1.56 2.60 3.12 5.20 6.24
Number of Payments (times) 15
Term of Payments (months)
15
Actual Per Annum Interest
11.50
Rate (%)
Installment Payment Fees per
Usage Amount of 100 Yen (Yen) 7.80

18
18

20
20

24
24

11.50

11.50

11.50

9.36

10.40

12.48

There may be cases where a different number of payments
may be designated, depending on the Accredited Merchants.
Payment example: When cash price of 100,000 Yen is used for
10 installment payments: Installment Payment Fees 100,000
Yen x (5.20 Yen / 100 Yen) = 5,200 Yen Total Installment Amount(total payment amount) 100,000 Yen + Yen 5,200 = 105,200 Yen
Monthly Installment Payment Amount 105,200 Yen / 10 times= 10,520 Yen<Article 3> Bonus-Combined Payments
In case of bonus-combined payments, the actual per annum
rate may be different from the rate specified in the precedingtwo (2) Articles.

Annex IV: Guidance to Cash Advance Services and Credit Card Loans
Name

Credit Limit
Credit line for Cashing Services: 0 Yen - 300,000
Cash Advance Services
Yen
Credit Card Loans

Credit line for Credit Card Loans:0 Yen - 1,000,000
Yen

Repayment Method
One time repayment of principal and interest.
(Prepayment will be allowed only in full amount.)
Monthly Fixed Principal Repayments or Bonus- Combined Repayments.(Prepayment will beallowed in full amount or partial amount.)

Name

Term of Repayment / Time(s)Security
As of April 1, 2007, 23 - 56 calendar days (however, different days may apply depending on
Cash Advance Services
the calendar) / 1 time
Such term and times corresponding to the usage balance and repayment method necessary
for the complete repayment of the principal and interest.
None
When the loans are made repeatedly within the credit line, the term of repayment and times
Credit Card Loansof repayment will change, because the usage balances change.
<Example> In case of Monthly Fixed Principal Repayments of 10,000 Yen per month for theloan amount of 100,000 Yen, eleven (11) months / 11 times.

Annex V: Points<Article 1> Objective
1. The provisions of this Annex V (the “Points Regulations”)
set forth the details of the points (the “Points”) granted
to the Credit Cardholder by the Bank according to theuse of the HSBC Premier Credit Card (the “Credit Card”)
which the Bank issues and the conditions to receive theprivileges thereof (the Family Cardholder shall not be
eligible for the privileges under the Points Regulations).
2. The Bank shall be entitled to revise the Points Regulations,
as it deems necessary, by notifying the Credit Cardholder
in writing or otherwise, either in advance of or after such
revision.
3. Details of the pri vileges for the Points and of theprocedures shall be stipulated in the pamphlet, e-mail,the Bank’s website or other documents that the Bank
separately issues to the Credit Cardholder.
<Article 2> Points
1. The Points system under the Points Regulations shall be asystem in which, pursuant to the Points Regulations, theBank grants Points to the Credit Cardholder and redeems,
upon request from such Credit Cardholder, such Points forsuch Credit Cardholder.
2. When the Credit Cardholder loses the qualification (the“Membership”) under the Terms and Conditions for theCredit Card, the Credit Cardholder shall not be eligible touse, and to apply for the redemption of, the Points.
<Article 3> Exemption to Offering of Points
Of the usage amounts of the Credit Card, those of cash
advance services, various loans, annual membership fees of
the Credit Card, and others designated separately by the Bank
shall not be eligible to the granting of Points.

28<Article 4> Usage Amount of Credit Card by Family
Cardholder
Points for the usage amount of the Credit Card by the Family
Cardholder shall be granted to the Credit Cardholder.
<Article 5> Starting Month of Reckoning for Points
The initial starting month of reckoning for the Points shallbe the month in which the Credit Cardholder gets themembership for the Credit Card (which month shall include
the Cutoff Date (15th of each month) as designated by theBank) and each of the subsequent starting months shall be
the following month of the expiration of the immediately
preceding term of validity as stipulated in Article 7.
<Article 6> Calculation of Points
Points shall be calculated by multiplying the usage amountof the Credit Card by the Bank’s prescribed rate. However,fractional part will be disregarded.
<Article 7> Accumulation of Points and Term of Validity
Points can be accumulated for 24 months from the starting
month of reckoning and shall be valid during such period.
Points after 24 months from the starting month of reckoning
shall lapse automatically.
<Article 8> Cancellation of Point Granting
When the whole or a part of the usage amount of the Credit
Card is cancelled as a result of purchase cancellation of themerchandise, services, etc., corresponding Points will also becancelled in the manner prescribed by the Bank.
<Article 9> Notification of or Enquiry for Points
1. The Bank shall notify the Credit Cardholder of the numberof Points granted to such Credit Cardholder during
the month as well as the total number of valid Points
accumulated by the Credit Cardholder up to that time, bydescribing them on the statement of account sent by the
Bank to the Credit Cardholder.
2. The Credit Cardholder will be able to check the total Points
in the manner prescribed by the Bank.
3. For the month when Points are redeemed to the Credit
Cardholder or for the following month, the total Points
notified or enquired according to the preceding two (2)Paragraphs may not be the same as the actual and valid
Points.
<Article 10> Conditions on Request for Redemption of Points
1. Any request for the redemption of Points may be madeonly by the Credit Cardholder, and the Family Cardholder
shall not be eligible for the request for the redemption of
Points.
2. The request for redemption of Points once made may
not be cancelled. Also, the type of redemption of Points
specified at the time of the request for redemption of
Points once made may not be changed.
<Article 11> Determination of Redemption of Points
1. After the Bank received the request for redemption of Points
from the Credit Cardholder according to the preceding
Article, the Bank shall review the request in the prescribedmanner and within the prescribed time, and determine
whether or not to allow such redemption of Points.
2. When the Bank determines, as a result of the prescribed
review, that the Credit Cardholder acted fraudulently or
falsely in relation to the request for redemption of Points
or that the Credit Cardholder is not compliant with the
Points Regulations or the Terms and Conditions for theCredit Card, then the Bank may reject or withhold theredemption of Points to such Credit Cardholder. In thiscase, the Bank will notify the Credit Cardholder of thesame without delay.
<Article 12> Balance of Points for Redemption of Points
The balance of valid Points eligible for the redemptionof Points will be able to be confirmed by the procedure
stipulated in Article 9. However, if the request for redemptionof Points has been made separately and the Bank isundergoing the redemption procedures, then the balance ofPoints shall be the balance after the deduction of the Points
subject to such request for redemption of Points.
<Article 13> Redemption of Points
1. The Bank shall redeem the Points, which becomeredeemable based on the preceding Article, in accordancewith the procedures prescribed by the Bank.
2. Even after the Points have been redeemed in accordancewith the preceding Paragraph, if such redemption of
Points was not made appropriately, such as where thegrant of Points has been cancelled in accordance with
Article 8, then the Credit Cardholder must return theamount corresponding thereto to the Bank pursuant to theprocedure prescribed by the Bank.
<Article 14> Public Dues and Charges
When public dues and charges are levied on the redemptionof Points under the Points Regulations, such public dues andcharges shall be borne by the Credit Cardholder.
<Article 15> Lapse of Points
Regardless of reason, when the Credit Cardholder has lostthe Membership, all the Points accumulated to date shall
automatically become null and void, and all the rights andobligations (except for the obligation of the Credit Cardholder
to return the corresponding amount pursuant to Article 13,
Paragraph 2) under the provisions of the Points Regulations
shall be automatically extinguished.
<Article 16> Delegation by the BankThe Credit Cardholder shall agree that the processing
operations concerning Point granting, accumulation,communication, redemption of Points, etc. will be handled by
Mitsubishi UFJ NICOS under the delegation by the Bank.
<Article 17> Termination, Suspension, Revision, etc.
The Bank shall be entitled to terminate, suspend or revise
the Points Regulations at any time, and the Credit Cardholder
shall agree to this.

Section 8 Terms and Conditions for HSBC Personal Internet Banking
The Terms and Conditions for HSBC Personal Internet Banking (hereafter in this Section, the “Terms and Conditions”) provides
for the Bank’s handling of the use of HSBC Personal Internet Banking (hereunder in this Section, the “Service”) by the Customer
holding the Premier Account.
<Article 1> Contents of the Service
1. The Bank shall, in accordance with the Terms andConditions, provide the following services to the Customer
through computer terminals at the internet site opened,
operated and managed by the Bank or an agent consignedby the Bank (the “Internet Site”). For the avoidance of
doubt, specific contents of the Service (such as types oftransactions available under the Service, conditions ofusage such as the usage limit amount for each transaction,and specific method of usage) not set forth in the Terms
and Conditions shall be specified separately by the Bank.
(i)
Various transactions related to the Premier Account(the “Subject Transactions”) and services incidental
to the Subject Transactions (including enquiry into
the balance of each account in the Premier Account).
(ii) P r o v i s i o n o f f i n a n c i a l i n f o r m a t i o n , m a r k e t
information, other information, and various reports
prepared based on such information (collectively,
the “Information”). For the avoidance of doubt, theInformation includes such information as provided
by the Bank and any other HSBC Group Company(collectively, the “Bank etc.”), as well as by a third
party (including any information provider to suchthird party, the “Information Provider”) other thanthe Bank etc..
2. The Bank may, at any time, change the following mattersand other matters:(i)
Addition, deletion, and other changes to the contentsof the Service (including the scope of the Subject
Transactions etc.);(ii) Setting, cancellation and other changes of usage

limits for the Service such as the usage limit amountetc. per Transaction Request (as defined in Article 4,
Paragraph 1, Item 1) or per day. In addition, if the
Customer did not use the Service during the periodof time specified by the Bank, the Bank may decreaseor reset the usage limit amount; and(iii) Setting or change of start and finish times of the Service
usage and those of the reception of each Subject
Transaction. For the avoidance of doubt, the Transaction
Request received by the Bank from the Customer after
the finish time specified by the Bank of the Service orof the reception of Subject Transaction shall be handled
on the following business day. In addition, the Bank
may set business day and reception start and finish
time based on the different time zones for respective
markets related to the Subject Transactions.
3. The Bank shall notify or publicly announce the contentsof the Service provided for under Paragraph 1 and thechanges thereof pursuant to the preceding Paragraph to
the Customer by the method deemed appropriate by the
Bank (in writing, notice on the Bank’s web site, notice at
the Bank’s domestic branches or advertisement etc.).
4. To use the Service from overseas, the Customer shall takenote of the following conditions:(i)
In certain cases, the Service may not be available due
to laws, systems, conditions of communication, etc.
of the country or region; and(ii) In the event that the Service becomes unavailable
in a specific country or region due to change oflaws and regulations etc., the Bank may temporarilysuspend the use of, or cancel, the Service.

29

5. The Bank is taking the security measures, as announced
on the Bank’s web site, with respect to the Service, and theCustomer shall confirm the same.
<Article 2> Conditions of Use etc. of Service
1. In order to use the Service, the Customer shall apply,
on the Internet Site, for the use of the Service via themethods prescribed by the Bank and by following theregistration procedures for matters prescribed by the
Bank. The Service will be available after the Bank confirms
the completion of registration by the Customer.
2. In order to use the Service, the Customer shall designate
or register an account to be used for the Service.
3. The use of the Service shall be subject to the items
specified below and those specified separately by the
Bank pursuant to Article 1, Paragraph 1:(i)Those who can use the Service are restricted to theCustomers who applied for the use of the Service
pursuant to Paragraph 1. Where the eligibility forentering into each Subject Transaction is restrictedunder other terms and conditions related thereto, therestriction by such terms and conditions shall apply.
(ii) Only equipment that satisfies the requirements of the
Bank can be used for the Service.
(iii) The service hours, the usage limit amount and othermatters shall be specified separately by the Bank andmay differ for each Subject Transaction.
<Article 3> Verification of Identity
1. Designation and Change of User Name and Password(i)
The Customer shall designate an identification code(the “User Name”) and a password (the “Password”)
to verify that the person is the Customer himself/
herself in this Service, following the guidance
provided on the Internet Site by the Bank. If the
Customer has applied for the Service at a place otherthan the branch of the Bank, the Bank shall designatea password that it determines at random as the initial
password and notify the Customer of such password.
(ii) The Customer may, at any time, change the Password
in accordance with the procedures prescribed by
the Bank; provided that such change shall be valid
only when the Bank has accepted such change. The
Bank shall not be liable for any losses, damages
or expenses incurred before the completion of theprocedure for change at the Bank. In principle, theCustomer may not change the User Name.
2. Security Device(i)
Where the Customer applied for the Service pursuant
to Paragraph 1 of the preceding Article, the Bank
shall deliver a Security Device to the Customer bymeans of mailing it to the address registered by
the Customer or by other means recognized as
appropriate by the Bank.
(ii) Concerning the mail delivery of the Security Device,
the Bank shall not be liable for failure or delay inthe delivery of, or unauthorized usage by any third
party of, the Security Device, as a result of returned
mail due to inaccuracy etc. of the registered address,
accident in mailing, or any other reasons to which
the Bank is not attributable.
(iii) If the Security Device does not function normally, theCustomer shall immediately notify the Bank of suchfact and return the inoperative Security Device to theBank. Where the Bank receives such notification andaccepts the return of the inoperative Security Device,
the Bank shall deliver a new Security Device free ofcharge, except when the Security Device is deemed
to have been broken due to the Customer’s willful
misconduct or negligence.
(iv) Concerning the safekeeping and use of Security
Device, the Bank shall not be liable, in any way, forthe damage incurred by the Customer’s breach of
the Terms and Conditions or non-observation of theBank’s instruction or advice.
(v) The Customer shall return the Security Device to the
Bank immediately upon termination of the Service.
3. Procedures for Identity Verification(i)
In order to use the Service, the Customer shall input

30

the verification methods designated by the Bank as
required for the use of the specific Service, among
the User Name, Password, one-time password (whichrefers to a password usable only once, and generated
by the Security Device) and other verification method
prescribed by the Bank (the “Identity Verification
Procedure”).
(ii) Once the Bank has provided the Service after having
confirmed that the user is the Customer himself/
herself in accordance with the Identity Verification
Procedure set forth in the preceding Item, the Bank
shall not be liable, in any way, even if such Service
was used inappropriately by a third party, except forthe cases provided for in Article 8, Paragraph 3.
(iii) When the Customer inputs the User Name, Password,
one-time password or any other verification method
erroneously and consecutively for the frequency
exceeding that specified by the Bank, the Bank may
suspend the Customer’s use of the Service.
4. Management of User Name etc.
(i)
The Customer shall manage the User Name,
Password, Security Device and one-time password
strictly at his/her own responsibility. As for the User
Name and the Password, the Customer is requested
to avoid using a character string, numbers, etc. which
can be easily inferred by others, such as name, alias,
date of birth, telephone number, same consecutive
numbers, etc.
(ii) The Customer shall not disclose the User Name,
Password and one-time password to any third party;
nor shall the Customer lend or transfer the Security
Device to any third party.
(iii) If the Customer discloses (either intentionally or
negligently) the User Name, Password or one-time
password to a third party, the Bank shall not be liable,
in any way, for the losses, damages or expenses
caused, except for the cases provided for in Article
8, Paragraph 3. In addition, the Bank shall not beliable, in any way, for losses etc. caused by the useof the User Name, Password, Security Device or onetime password by a third party and the unauthorizedusage of the foregoing, except for the cases provided
for in Article 8, Paragraph 3.
(iv) If the User Name, Password or one-time password isleaked to any third party; if the Customer loses the
Security Device; if any third party comes to occupy
or manage the Security Device; if the Customer
becomes aware of unauthorized usage of the Service;or if any doubt exists for any of the foregoing, theCustomer shall immediately report the same to theBank. The Bank may request a written report from theCustomer, if necessary.
<Article 4> Request for Subject Transactions
1. Method of Request for Subject Transactions(i)
The Customer shall make the request (the“Transaction Request”) for the Subject Transactionb y t h e m e t h o d p r e s c r i b e d b y t h e B a nk a fte r
undergoing the Identity Verification Procedure.
For the avoidance of doubt, the Customer shall, in
advance, independently confirm the market prices,transaction rates and other conditions of the contract
on his/her own responsibility, even when making theTransaction Request in reference to the Information.
(ii) When the Transaction Request is made pursuant to
the preceding Item, the Customer cannot cancel orchange such Transaction Request without the Bank’sconsent.
2. Definiteness of Transaction Request
The Bank shall accept the Customer’s Transaction Request
only when the Bank determines its content to be operable
and appropriate. The Customer’s Transaction Request shallbe definite when so accepted by the Bank. The Customer’s
Transaction Request shall be treated as not having been
made in the following cases:(i) In the event that the funds necessary for executionof such Subject Transaction is not reserved in the
Customer’s relevant account in the Premier Account;(ii) In the event that the Bank determines it to beimpossible or extremely difficult to execute the
Subject Transaction due to disasters, incidents,m e a s u r e s t a k e n b y c o u rt s a n d o t h e r p u b l i cauthorities, etc.; and(iii) In the event that the execution of the Subject
Transaction becomes impossible or extremely
difficult due to reasons attributable to any financial
institution other than the Bank.
3. Confirmation of Subject Transaction(i)
The details of the acceptance of the Transaction
Request by the Bank and the establishment of the
Subject Transaction based on such Transaction
Request shall be displayed in a form of a confirmation
screen on the Internet Site. The Customer shallconfirm the contents of such confirmation screen
promptly after making the Transaction Request. If
the Customer, after making the Transaction Request,
cannot confirm the confirmation screen in relation
thereto, or if there is an error in the contents of theconfirmation screen, the Customer shall inform the
Bank of it immediately.
(ii) The Customer shall agree that the Transaction
Request may not be processed immediately after, oron the same day of, the Transaction Request, due torestriction of the Bank’s systems or that of businessprocessing. The Bank shall not be liable for suchdelay in processing.
(iii) All the contents of the Customer ’s Transaction
Request are recorded, and the Bank keeps suchrecord for an appropriate period of time. If there
should arise a question between the Customer andthe Bank concerning the contents of any account of,or any Subject Transaction under, the Customer’s
Premier Account, the Bank’s record shall be deemeddefinite, unless there is a manifest error.
4. Debit of Funds
Concerning transactions which involve the debit of funds,
such as remittance or transfer, after the Transaction Request
prescribed in Paragraph 2 of this Article becomes definite, theBank shall debit the funds necessary for such transaction andthe fees (including consumption tax) from the account of thePremier Account designated by the Customer for the debitingof such funds, regardless of other terms and conditions
concerning such account, and without a submission ofwithdrawal slip or cheque etc.
<Article 5> Use of Service
1. The use of the Service shall be subject to the Terms andConditions, other terms and conditions prescribed by
the Bank and other provisions related to the Service
which provisions are made public on the Bank’s web site(including the Bank’s policies concerning privacy, security,
use of the web site and hyperlink).
2. The Customer may not use the Service for illegal or unjust
purposes or actions. In addition, the Customer shallnot allow any such use by a third party. The Customer
shall notify the Bank immediately in the case that he/she
becomes aware of such use by any third party.
3. T h e C u s t o m e r s h a l l p r ov i d e t h e B a n k w i t h s u ch
information that the Bank considers necessary for theService. The Bank shall treat all the information provided
by the Customer relating to the use of the Service on thepremise that it is true in light of the fact and up to date.
4. Foreign exchange rates, interest rates, transaction rates,
other prices and conditions provided by the Bank via
the Internet Site shall be provided only as reference. The
Bank shall not warrant that the Subject Transaction will beentered into under such rates etc.; provided, however, that
where the Customer makes the Transaction Request for a
specific Subject Transaction based on the various rates,
prices and conditions that the Bank specifically offers to
the Customer as the contents of such specific Subject
Transaction, such Subject Transaction shall be establishedwith such rates etc. as its contents at the time of approvalby the Bank of such Transaction Request.
5. A n y r e v e r s e c o m p i l a t i o n , r e v e r s e e n g i n e e r i n g ,modification, addition, deletion and other alteration(including the case of starting the act of alteration etc.
even if as a result, there has been no alteration etc.) of theService, the Internet Site or any software which constitutes
the foregoing are prohibited. In addition, access to thestructure of the Internet Site (including the case of starting
such access even if, as a result, there has been no access)is also prohibited.
6. Where the Bank confirms an illegal use or other suspicious
situation concerning any account of the Customer’s Premier
Account or the use of the Service in general, or where the
Bank determines that there is a possibility thereof, the Bank,at its discretion, may not execute the Subject Transactionof the Transaction Request, or may suspend the use of
the Service. In such a case, the Bank will not be liable, in
any way, for not executing such Subject Transaction or
the suspension of use of the Service; provided, however,that the Bank shall notify the Customer of such Subject
Transaction not having been executed or the suspension ofuse of the Service, as soon as possible.
<Article 6> Service Fees
1. The Customer shall pay the fees (including consumptiontax) prescribed by the Bank for the use of the Service.
The Bank shall debit such fees from the account in thePremier Account designated in accordance with themethod prescribed by the Bank, regardless of other terms
and conditions relating to such account and without thesubmission of a withdrawal slip or cheque etc.
2. The Bank shall notify or publicly announce the setting orrevision of the fees prescribed in the preceding Paragraphto the Customer prior to the setting or revision date,via a method considered appropriate by the Bank. If the
Customer continues to use the Service after the fee settingor revision date, the Bank shall deem that the Customer
has agreed with such setting or revision.
<Article 7> Responsibility of the Bank
1. Except for the cases provided for in Article 8, Paragraphs 2
and 3, or the cases caused by the Bank’s willful misconduct
or gross negligence, the Bank shall not be liable, in
any way, for any result caused by, or in relation to, thematters listed below. In addition, even if the Bank bears
responsibility in relation to any of the Items listed below,
such responsibility is limited to the smaller of, the damages
directly cased solely by the Bank’s willful misconduct orgross negligence (limited to those damages which arerationally predictable) or the related transaction amount.
(i)
Use of the Service (including the use of Security
Device) and the information provided through theService by the Customer and any third party (eitherwith or without authority for transaction of theService); and(ii) Failure etc. (including those of generation of onetime password by the Security Device) and accident of
the Service caused by any reason outside the Bank’s
reasonable control (including communication network
failures; the service provider’s act or failure to act;
machine malfunctions; power failure; defect, failure or
shortage of facilities, equipment, devices or installingsystems; or laws, regulations and orders of authorities
having jurisdiction over the Bank), concerning theprovision of the Service, the transmission or receipt of
the Transaction Request or information via the Service
or the connection to the Internet Site.
2. Even if any damages or expenses etc. have been incurredby the Customer in relation to the use of the Service,
the Bank etc. and the Information Provider shall not beliable except in the case of willful misconduct or grossnegligence of the Bank etc. or the Information Provider,or except for any of the cases provided for in Article 8,
Paragraph 2 or 3.
<Article 8> Responsibility of the Customer
1. E x c e p t f o r t h e c a s e s s p e c i f i e d i n t h e f o l l o w i n g
Paragraph and Paragraph 3, the Customer shall bear the
responsibility for all the results caused by or in relation to
the use of the Service (including the use of the Security
Device) and the use of the Information.
2. The Customer shall not be liable for losses, damages or
expenses caused by any of the reasons prescribed in thefollowing Items in the Service; provided, however, that thisParagraph shall apply only where the Customer notifies

31the Bank pursuant to the provisions of Article 3, Paragraph
4, Item 3, and the Bank acknowledges that the Customer isfree from illegality, willful misconduct and negligence.
(i)Computer crimes which could have been avoided if
the Bank had taken reasonable security management
measures.
(ii) The Bank’s human error or system error.
(iii) The Bank’s willful misconduct or gross negligence.
3. Notwithstanding the preceding two (2) Paragraphs, inthe case of an illegal withdrawal from the Customer’s
account in the Premier Account via the Service (an “Illegal
Withdrawal”), the Bank shall indemnify the Customer forthe damages related to such Illegal Withdrawal (including
the fees and interests thereon) only when the Bank
acknowledges that the Customer is free from negligence.
In addition, even in the case of negligence of the
Customer concerning the Illegal Withdrawal, the Bank may
indemnify the Customer for a certain amount dependingon the degree of the Customer’s negligence. However, theindemnification under this Paragraph shall be subject tosatisfaction of all the following items:(i)
The report prescribed in Article 3, Paragraph 4, Item
4 has been submitted without delay;(ii) The Customer has provided full explanation in the
Bank’s investigation; and(iii) The Customer has provided sincere cooperation to theinvestigative authorities, such as explanation of thecircumstances including the facts of the damages etc.
4. Notwithstanding the provisions of the preceding
Paragraph, the Bank shall not be liable for indemnificationin case of any of the following:(i)
Where there was gross negligence on the part of the
Customer;(ii) Where the Illegal Withdrawal was made by the
Customer’s spouse, a relative within the second
degree of kinship, a relative or other person livingwith the Customer or a house servant (such as ahousekeeper responsible for general housework);(iii) Where the Customer has provided a false explanationof the circumstances of damage to the Bank or to theinvestigative authorities; or(iv) Where the Illegal Withdrawal was made taking
advantage of, or in relation to, a significant social
disorder due to an act of war, riot etc.

<Article 9> Termination etc. of the Service
1. The Customer may, at any time, terminate or temporarilysuspend the use of the Service by notifying the Bank inaccordance with the procedures prescribed by the Bank.
2. The Bank may, at any time, temporarily suspend or
terminate the use of the Service by the Customer without
notice to the Customer.
3. If the Customer has never used the Service during theperiod of time as prescribed by the Bank, the Bank shallgive a notice to the Customer specifying an appropriate
grace period, and if the Customer shall not have used theService during such grace period, the Bank shall terminate
the use of the Service upon the expiry of such grace
period. In such case, in order to use the Service again, theCustomer will be required to file an application with the
Bank for the Service and to receive the delivery from the
Bank of a new Security Device.
4. Where the Service has been terminated pursuant to
the preceding three (3) Paragraphs, the Customer shallnot execute any transaction using a one-time password
regardless of whether if it is via the Service or not. In
addition, the Customer shall return the Security Device tothe Bank immediately. In receiving the delivery of a new
Security Device pursuant to the second sentence of thepreceding Paragraph, if the Customer returns the Security
Device concerning the terminated Service, the Customer
shall receive the delivery of the new Security Device freeof charge.
<Article 10> Application of Other Provisions
1. Matters not set out in the Terms and Conditions shallbe handled by other terms and conditions, or the
supplementary document which the Bank separately
delivers to the Customer in relation to the Terms andConditions (hereinafter referred to as the “Supplementary
Document”).
2. n the event of any discrepancy between the Terms andConditions and other terms and conditions, the Terms andConditions shall prevail.
3. In the event of any discrepancy between the provisions of
the Terms and Conditions and those of the Supplementary
Document, the provisions of the Supplementary Document
shall prevail.

Section 9 Terms and Conditions for Telephone Banking Services
The Terms and Conditions for Telephone Banking Services (hereafter in this Section, the “Terms and Conditions”) provides for the
Bank’s handling of the use of HSBC Premier Telephone Banking (the “Service”) by the Customer holding the Premier Account.
<Article 1> Contents of the Service
1. The Customer may execute various types of transactions of
the Premier Account prescribed by the Bank (the “Subject
Transaction”) by making a transaction request to the Bank
through the telephone (the “Transaction Request”) in
accordance with the method prescribed by the Bank.
2. The detailed contents of the Service not specified in theTerms and Conditions (including the scope of the Subject
Transactions, usage conditions and specific method ofuse) shall be determined separately by the Bank, and the
Bank may, at any time, determine or change the contentsof the Service.
3. The Bank, where having determined or changed thecontents of the Service in accordance with the provisionsof the preceding Paragraph, shall notify or publicly
announce such determination or change to the Customer
by the method deemed appropriate by the Bank (inwriting, notice on the Bank’s web side, notice at the Bank’s
domestic branches or advertisement etc.)<Article 2> Verification of Identity etc.
1. The Customer shall designate a personal identification
number to be used to verify the identity in the Service by
the method prescribed by the Bank (the “PIN For Telephone
Transactions”). If the Customer applied for the use of
the Service at a branch, the Customer shall designate
the personal identification number designated by the32

Customer as the initial PIN For Telephone Transactions.
Otherwise, the Customer shall designate the personal
identification number determined at random by the Bankas the initial PIN For Telephone Transactions. The Customer
is requested to avoid using numbers etc. which can beeasily inferred by others, such as date of birth, telephone
number, same consecutive numbers, etc.
2. The Customer may change the PIN For Telephone
Transactions in accordance with the method prescribed by
the Bank.
3. In order for the Customer to use the specific Subject
Transactions prescribed by the Bank from all the Subject
Transactions available under the Service (the “Specified
Subject Transaction”), verification of identity via the onetime password (password which is generated by a Security
Device and which can be used only once) is required inaddition to the PIN For Telephone Transactions provided
for in the preceding Paragraph. In order to use a onetime password, the Customer shall accept the contentsof “Section 8: Terms and Conditions for HSBC PersonalInternet Banking”, receive the delivery of the Security
Device in accordance with such terms and conditions, andcarry out, on the Internet Site, the necessary proceduresprescribed by the Bank to make such device operative.
4. The Customer who has terminated the use of HSBC
Personal Internet Banking may not use the Service forthe Specified Subject Transaction thereafter; provided,
however, that in the case of temporary suspension of theuse of HSBC Personal Internet Banking, the Customer
may continue to use the Service for the Specific Subject
Transaction.
5. When the Customer uses the Service, the Bank shall verify
that the user of the Service is the Customer himself/herself
via the PIN For Telephone Transactions, onetime password
or any other method specified by the Bank (the “Telephone
Identity Verification Method”). Once the Bank, upon
confirming that the person is the Customer himself/herself
by way of the Telephone Identity Verification Method, has
executed the Subject Transaction, the Bank shall not beliable, in any way, even if such Transaction Request wasmade by an unauthorized third party. The Bank shall not
be obliged to verify the identity of the Service user by
any method other than the Telephone Identity Verification
Method.
6. The Customer shall strictly manage the PIN For Telephone
Transactions and the Security Device. The Customer shallnot disclose the PIN For Telephone Transactions and onetime password to any third party (whether intentionallyor not, at any place, and by any means, including writing
down the PIN For Telephone Transactions on paper etc.);
nor shall the Customer lend or transfer the Security Device
to any third party.
7. The Customer shall adhere to the provisions of “Section 8:
Terms and Conditions for HSBC Personal Internet Banking”,
Article 3, Paragraphs 2 and 4 concerning the managementof the Security Device.
8. With regard to the indemnification to the Customer ofthe damages caused by illegal withdrawal through theService, the provisions of “Section 8: Terms and Conditionsfor HSBC Personal Internet Banking”, Article 8, Paragraphs
3 and 4 shall govern.

due to suspended telephone calls or any other reason,
the Bank shall deem the said Transaction Request as nothaving been made and will not execute such transaction.
In such case, the Bank shall not be liable, in any way, forthe damages, losses or other expenses (whether direct orindirect) incurred as a result of the non-performance ofsuch Transaction Request.
2. The Bank shall record the telephone conversations with
the Customer, and keep such record for an appropriate
period of time.
3. If any doubt arises concerning the contents etc. of thetransaction related to the Service between the Customer
and the Bank, the contents of the record of the Transaction
Request related to the Service kept at the Bank shall bedeemed as the accurate contents of such transaction.
4. The Customer’s Transaction Request may not be processedon the same day of such Transaction Request due torestriction in the Bank’s systems or that of businessprocessing. In such case, the Bank shall not be liable forany delays in executing the transaction.
5. In the event that the Customer ’s PIN For Telephone
Transactions, transaction information etc. is leaked bywire-tapping on communication channels such as public
telephone lines, special telephone lines etc, the Bank shallnot be liable for any damages, losses or other expenses(including indirect and incidental damages) related
thereto, except where the Bank is at fault.
6. When the Customer uses the Service from outside ofJapan, the Bank shall treat all such actions as conductedin Japan. The Customer may not be able to use theService depending on the laws, systems, communication
circumstances, specifications of communicationequipment etc. of the country concerned. The Bank shallnot be liable for the damages, losses and any otherexpenses incurred thereby.

<Article 3> Transaction Request and Subject Transaction
1. Each Transaction Request in the Service shall be definite
when approved by the Bank; and the Customer may
not cancel or change the Transaction Request thereafter
without the Bank’s consent. In the event that the Bank isunable to confirm the contents of the Transaction Request<Article 4> Application of Other Provisions
1. Matters not set out in the Terms and Conditions shall begoverned by other related terms and conditions.
2. In case of any discrepancy between the Terms andConditions and other terms and conditions, the Terms andConditions shall prevail.

Section 10 Terms and Conditions for Local Payment Transfers
The Terms and Conditions for Local Payment Transfers (hereafter in this Section, the “Terms and Conditions”) provides for the
Bank’s handling of the local payment transfer requests or similar transfer requests made by the Customer holding the Premier
Account, using a transfer request form prescribed by the Bank (the “Transfer Request Form”).
<Article 1> Scope of Application
All transfer transactions made to a recipient’s account held at
any of the Bank’s domestic branches or at the main branch orother branch in Japan of any other financial institution shallbe handled in accordance with the Terms and Conditions.

with regards to the requested items set forth in thepreceding Paragraph, the Bank will not be responsible forany damages, losses or costs that arise therefore.
4. The transfer fund and transfer fee shall be paid at the timeof request for the transfer.

<Article 2> Request for Transfers
1. Request for transfer shall be handled in the following way:
Request for transfer over the counter shall be(i)accepted, if it is made at domestic branches prescribedby the Bank, during the hours prescribed by the Bankand within the amount prescribed by the Bank.
(ii) Request for transfer via Telephone Banking Services
or HSBC Personal Internet Banking shall be accepted
during the hours prescribed by the Bank and within
the amount prescribed by the Bank.
(iii) The Transfer Request Form shall be prepared in theform prescribed by the Bank, in which the name andbranch name of the financial institution which is thereceiving party, type of account, account number,name of the recipient, transfer amount, name of theapplicant (the Customer), address and telephone
number of the applicant (the Customer) and otheritems prescribed by the Bank must be accurately
stated.
2. The Bank shall deem the items on the Transfer Request
Form stated pursuant to the preceding paragraph to be
the contents of the Customer’s request.
3. If the Transfer Request Form is incomplete or incorrect<Article 3> Entering into Transfer Agreement
1. A transfer agreement is entered into when the Bank has
accepted the request for transfer pursuant to the preceding
Article and received the transfer fund and transfer fee.
2. If a transfer agreement is entered into in accordance withthe preceding Paragraph, the Bank shall provide a copy
for customer of a Transfer Request Form that contains thedetails of the request to the Customer. The Customer shallconfirm the details of the transfer request by confirming
the copy and keep the copy in a safe place as this is
documentary evidence of the establishment of the transfer
agreement.
<Article 4> Issuance of Notice of Transfer etc.
When a transfer agreement has been entered into, the Bank
shall, pursuant to the contents of the request, issue a noticeof transfer to the financial institution, which is the receiving
party, on the day of the request. However, in the case ofunavoidable circumstances such as when the request is
made just before the close of business hours for acceptanceof transfers or on a business day when there are excessive
transfer requests, the notice of transfer may be issued on thebusiness day following the date of request.

33

<Article 5> Transfers Using Instruments
1. The Bank, in principle, will not accept the transfer funds
and transfer fees in the form of cheques and other
instruments. If the Bank exceptionally accepts the transfer
funds and transfer fees in form of Instruments, thefollowing Paragraph 2 and 3 shall apply.
2. If the Instruments are dishonoured, the relevant branch of
the Bank shall return them. The Customer shall, therefore,
submit them to the relevant branch after affixing its nameand seal impression to a receipt in the form prescribedby the Bank together with the original receipt of transfer
funds or such other evidenced documents issued by the
Bank (“Trunsfer Fund Receipt etc. ”). In such case, the Bank
may ask the Customer to provide personal identification
documents prescribed by the Bank or to secure a guarantor.
3. If the Bank returns the Instruments after verifying, withreasonable care, that the submitted Transfer Fund Receipt
etc. was delivered by the Bank, the Bank shall not be
responsible for any damages caused thereby.
<Article 6> Enquiries etc. on Transaction Details
1. If the transfer amount has not been credited to therecipient’s depositary account, the Customer shallpromptly enquire the branch of the Bank where thetransfer request was made. In such case, the Bank shalltake steps to investigate the matter, such as by enquiring
the financial institution which is the receiving party, andreport the results thereof. In accepting the Customer’senquiry, the Bank may ask the Customer to submit arequest form prescribed by the Bank.
2. The Customer may be enquired by the Bank if the Bank
receives an enquiry from the financial institution which is
the receiving party, regarding the notice of transfer issued
by the Bank. In such case, the Customer shall give aprompt response. If the Bank does not receive a response
from the Customer within an appropriate time frame or if
an inappropriate response is received with regards to theenquiry, the Bank may take any measure that the Bank
considers appropriate, and will not be responsible for any
delay in the transfer or for any resulting damage.
3. If the transferred funds are returned for reasons suchas the recipient’s account does not exist, the Bank shalldeduct a cancellation fee from the returned funds anddeposit the residual funds into the Customer’s Yen Savings
Account or Multi Currency Yen Savings Account fromwhich the funds were withdrawn, without a rewinding(kumimodoshi) request from the Customer. In such case,the Bank shall not be responsible for any loss or damage
incurred by the Customer and the Bank shall not returnthe transfer fee etc.
<Article 7> Amendments to Request
1. If the content of the request is to be amended after thetransfer agreement has been entered into, the following
amendment procedures shall be taken over the counterat the branch of the Bank where the request was made;provided, however, that in the case where the nameor branch name of the financial institution which is thereceiving party, or the transfer amount is to be amended,
the rewinding (kumimodoshi) procedures set forth in
Article 8, Paragraph 1 shall be taken.
(i)
The request for amendment shall be submitted to the
Bank with the amendment request form prescribedby the Bank (the “Amendment Request Form”) on
which the Customer’s name and seal impression (orsignature) shall be affixed, together with the Transfer
Fund Receipt and other documents prescribed by the
Bank which the Bank considers necessary. In suchcase, the Bank may ask the Customer to provide
personal identification documents prescribed by the
Bank or to secure a guarantor.
(ii) The Bank shall, in accordance with the Amendment
Request Form, issue an amendment request telegram
to the financial institution which is the receiving
party.
2. With respect to the handling of the amendment describedin the preceding Paragraph, the provisions of Article 5,
Paragraph 3 shall apply mutatis mutandis.
3. In Paragraph 1, if the financial institution which is the34

receiving party has already received the notice of transfer,the amendment may not be made. In such case, theCustomer shall negotiate with the recipient.
<Article 8> Rewinding (kumimodoshi)
1. If the Customer wishes to cancel the request for transfer
after the transfer agreement has been entered into, thefollowing rewinding (kumimodoshi) procedures shall betaken over the counter at the branch of the Bank wheresuch request was made:(i)
The requests for rewinding (kumimodoshi) shall be
submitted to the Bank in the form prescribed by the
Bank (the “Rewinding Request Form”) on which theCustomer’s name and seal impression (or signature)
shall be affixed. In such case, the Bank may ask
the Customer to provide personal identification
documents prescribed by the Bank or to secure aguarantor.
(ii) The Bank shall, in accordance with the Rewinding
Request Form, issue a rewinding (kumimodoshi)
request telegram to the financial institution which is
the receiving party.
(iii) The transfer fund which has been rewound shall be
refunded in accordance with the manner set forthin the Rewinding Request Form. In such case, theBank may ask the Customer to provide personal
identification documents prescribed by the Bank or
to secure a guarantor.
2. In the preceding Paragraph, if the financial institution whichis the receiving party has already received the notice oftransfer, the rewinding (kumimodoshi) may not be made. In
such case, the Customer shall negotiate with the recipient.
<Article 9> Contact Details for Notices and Enquiries
1. Notices and enquiries regarding the transaction hereof
shall be made to the address and telephone number
specified by the Customer at the time of request fortransfer, or to the address and telephone number
registered in relation to the depositary account from which
the transfer fund etc. is transferred.
2. The Bank shall not responsible for any damage arisingfrom the Bank’s inability to provide a notice or makean enquiry pursuant to the preceding Paragraph due toincomplete or inaccurate contact details or interruption of
telephone service etc.
<Article 10> Fees
1. When the Bank accepts a request for transfer, a transfer
fee prescribed by the Bank shall be charged.
2. When the Bank accepts a request for the rewinding(kumimodoshi) or amendment of a transfer request,
a rewinding (kumimodoshi) fee or amendment fee
prescribed by the Bank shall be charged. In such case, thetransfer fee stipulated in the preceding Paragraph shallnot be refunded.
3. In the case where the Bank shall not return the transfer
funds which have been rewound but the Bank shall accept
the new request for transfer with such funds, the transfer
fee prescribed by the Bank shall also be charged.
4. Any cost incurred due to any special request regarding thetransactions hereof shall be charged separately.
<Article 11> Indemnification for Force Majeure, etc.
1. The Bank shall not be responsible for any damage (whether
direct or consequential, including loss of profit or interest
or otherwise) arising from the Bank’s inability to transfer
funds or the delay in the transfer etc. due to any of thefollowing Items:(i)Unavoidable circumstances such as natural disasters,
incidents, accidents during transport, actions by acourt or other governmental authorities;(ii) Fa i l u r e s o r m a l f u n c t i o n s i n t e r m i n a l u n i t s ,communication circuits or computers etc. in spiteof the Bank or the operative body of the financial
institution’s cooperative system having taken
appropriate security measures; or(iii) Causes attributable to any financial institution otherthan the Bank.
2. The Bank or each HSBC Group Company will comply
with all laws, regulations and requests from public andregulatory authorities in each legal jurisdiction, with regard
to money-laundering, terrorist financing, prevention offinancing or services to natural or legal persons who areor who may be subject to various sanctions and, at its
independent and absolute discretion, may implement
measures that it considers appropriate. Neither the Bank
nor any HSBC Group Company will be responsible for any
loss (whether direct or consequential, including, without
limitation, loss of profit or interest or otherwise) or
damage incurred by the Customer or a third party arisingout of any delay or failure as a result of such measure inprocessing the payment messages and other informationand communications, or in performing any of its duties orother obligations in connection with the current account or
any other account, or the provision of any services to theCustomer.
3. Neither the Bank or any HSBC Group Company warrantsthat any information on the Bank’s systems relating
to any payment messages or other information andcommunications, which are the subject of the measurestaken by the Bank or such HSBC Group Company inaccordance with the preceding Paragraph, is accurate,current or up-to-date at the time it is accessed, whilst suchmeasures are being taken.
<Article 12> Prohibition of Transfer or Pledge
The Customer may not transfer or pledge the Customer’s
rights based on the Transfer Fund Receipt or the transaction
hereof.
<Article 13> Application of Terms and Conditions for Deposits etc.
In the case that the Customer requests a transfer bytransferring the transfer funds etc. from the depositary account,
the withdrawals of deposits shall be made in accordance withthe relevant terms and conditions for deposits, “Section 6:
Terms and Conditions for HSBC Premier ATM Card”, etc.
<Article 14> Application of Other Provisions
1. Matters not set out in the Terms and Conditions, suchas changes to registered items, prohibition of transfer
or pledge, cancellation, disclaimer, governing law,jurisdiction and changes to the provisions, shall begoverned by “Section 1: HSBC Premier Account General
Agreement”.
2. In the event of any discrepancy between the “Section 1:
HSBC Premier Account General Agreement” and the Terms
and Conditions, the Terms and Conditions shall prevail.

Section 11 Terms and Conditions for Overseas Remittance and Demand Draft Issuance
The Terms and Conditions for Overseas Remittance and Demand Draft Issuance (hereafter in this Section, the “Terms andConditions”) provides for the Bank’s handling of Overseas Remittance Transactions and other similar transactions carried out by
a Customer holding a Premier Account, using an Overseas Remittance Request Form/Overseas Remittance etc. Statement (the“Overseas Remittance Request Form”) prescribed by the Bank.
<Article 1> Scope of Application
The following overseas remittance transactions with theOverseas Remittance Request Form will be handled inaccordance with the Terms and Conditions:(i)Overseas Remittance Transaction.
(ii) Remittance in a foreign currency to the depositaryaccount of the Bank’s branches or of other financial
institutions located in Japan.
(iii) Remittance in yen between a (non-)resident andnon-resident (as respectively defined in the laws
and regulations concerning foreign exchange) tothe recipient’s depositary account maintained at theBank’s branches or that of other financial institutions
located in Japan.
(iv) Transactions that are similar to any of the above andaccepted by the Bank.
<Article 2> Definitions
1. In the Terms and Conditions, “Overseas RemittanceTransactions” shall mean any of the following:(i)Issuance of a Payment Order to the Banks Concernedto entrust them with the depositing of a certain
amount to the recipient’s depositary accountmaintained at the head office or branches of the
Bank or at financial institutions located outside
Japan, pursuant to the entrustment of the Customer(Account Transfer).
(ii) Issuance of a Payment Order to the Banks Concernedto entrust them with the payment of a certain amountto the recipient in a foreign country, pursuant to theentrustment of the Customer (Advise and Pay/Pay on
Application).
(iii) Issuance of a Demand Draft to the Customer, where
the payer is the head office or a branch of the Bank orother financial institutions located outside Japan andthe recipient is a person designated by the Customer.
2. In the Terms and Conditions, a “Payment Order” shallmean an instruction sent by the Bank to the Banks
Concerned to entrust the payment of a certain amount to
the recipient, pursuant to the entrustment of the Customer.
3. In the Terms and Conditions, the “Paying Bank” shall meana financial institution which credits the funds remitted to
the recipient’s depositary account or pays the same to therecipient.
4. In the Terms and Conditions, the “Banks Concerned” shallmean the Paying Bank and the head office or branches of

the Bank or other financial institutions which conduct thefollowing for remittances:(i)Intermediation of Payment Orders.
(ii) Settlement of funds to be remitted between financial
institutions.
<Article 3> Requests for Remittance
1. Requests for remittance shall be handled in the following
way:(i)Requests for remittance over the counter shall be
accepted during the business hours for counter
services, designated by the Bank.
(ii) Requests for remittance via Telephone Banking
Services or HSBC Personal Internet Banking shall be
accepted during the business hours designated by the
Bank and within the amounts prescribed by the Bank.
(iii) When requesting for a remittance, the Customer
shall use the Overseas Remittance Request Formprescribed by the Bank and correctly fill in theinformation prescribed by the Bank such as type ofremittance, payment method, name of the Paying
Bank, name or address of the branch, accountnumber of the recipient, recipient’s name, amountof remittance, the applicant’s name, address andtelephone number etc. of the applicant and section
for bearer of fees from the Banks Concerned andsubmit with affixing the Customer’s signature orname and seal impression.
(iv) The Bank shall execute the transactions based on
the details stated in the Remittance Application Form
which are deemed to be the contents of the request.
2. When receiving a request for remittance, the Bank isrequired to ascertain certain matters under the laws andregulations concerning foreign exchange. The Customer is,therefore, required to take the following procedures:(i)
Please state the purpose for remittance and fill in
any other prescribed information, on the Overseas
Remittance Request Form.
(ii) Please fill in the necessary items on the declaration
form as prescribed by the Bank and submit the form
to the Bank, except for cases when the funds for
remittance are to be transferred from an account of
the Customer whose identity has been verified by theofficial documents prescribed by the Bank.
(iii) Please submit the identity verification documents
prescribed by the Bank such as a certified copy of35

the residence certificate (juumin hyou) etc., except
for cases when the funds for remittance are to betransferred from an account of the Customer whose
identify has been verified by the official documents
prescribed by the Bank.
(iv) For transactions requiring permission etc., pleasep r e s e n t o r s u b m i t d o c u m e n t s p r ov i n g s u chpermission etc.
3. When requesting for a remittance, in addition to the funds
to be remitted and the fees and express (the “RemittanceFunds etc.”), the Customer is required to pay the Bank’s
remittance fees, fees for the Banks Concerned and anyother fees required in connection with this transaction. The
Bank will not accept the remittance funds or fees in theform of a cheque or other Instruments.
<Article 4> Conclusion and Cancellation etc. of theRemittance Entrustment Contract
1. The remittance entrustment contract shall be deemed tohave been entered into when the Bank accepts the request
for remittance and receives the Remittance Funds etc..
2. When the remittance entrustment contract is enteredinto pursuant to the preceding Paragraph, the Bank
shall provide the Customer with an overseas remittancecalculation statement relating to the contents of thecontract and, in the case of a Demand Draft, the relevant
Demand Draft as well. The Customer shall safely store
the overseas remittance calculation statement as the
Customer may be requested by the Bank to submit it
at a later date, in case of events such as cancellation or
rewinding (kumimodoshi).
3. Even after entering into the Contract pur suant toParagraph 1, the Bank may, before issuing the Payment
Order to the Banks Concerned or the Demand Draft to theCustomer, cancel the Contract if the Bank considers one
or more of the following to be applicable. In such case, theBank shall not be responsible for any damages incurredby the Customer caused by such cancellation.
(i)
The remittance is in violation of the laws andregulations concerning foreign exchange, such as
when transactions etc. are subject to an emergency
suspension etc.
(ii)

A war, insurrection, or freezing of assets orsuspension of payments of the Banks Concerned
occurs or threatens to occur.
(iii) Other reasonable grounds, such as the remittancebeing associated with crime, including money
laundering or terrorist financing, exist.
4. In the case of cancellation pursuant to the preceding
Paragraph, the Bank shall return the remittance funds etc.
received from the Customer. In such event, the Customer
shall submit a receipt etc. prescribed by the Bank withthe same name and seal (or signature) as used on theOverseas Remittance Request Form, along with theoverseas remittance calculation statement as referred toin Paragraph 2. In this case, the Bank may request theCustomer to submit personal identification documents
prescribed by the Bank.
5. When the Bank returns the remittance funds etc. after
verifying, with reasonable care, that the seal impression (orsignature) used on the receipt etc. matches that which wasused on the Overseas Remittance Request Form, the Bank
shall not be responsible for any damages caused thereby.
6. The Bank or each HSBC Group Company will comply
with all laws, regulations and requests from public andregulatory authorities in each legal jurisdiction, withregard to money laundering, terrorist financing, preventionof financing or services to natural or legal persons who
are or who may be subject to various sanctions and, at
its independent and absolute discretion, may implement
measures that it considers appropriate. Neither the Bank
nor any HSBC Group Company will be responsible for any
loss (whether direct or consequential, including, without
limitation, loss of profit or interest or otherwise) or any
damage incurred by the Customer or a third party, arisingout of any delay or failure as a result of such measure inprocessing the Payment Orders and other informationand correspondences, or in performing any of its duties or

36

other obligations in connection with the current account or
any other account, or the provision of any services to theCustomer.
7. Neither the Bank nor any HSBC Group Company warrantsthat any information on the Bank’s systems relating
to any payment messages or other information andcommunications which are the subject of the measurestaken by the Bank or such HSBC Group Company inaccordance with the preceding Paragraph, is accurate,current, or up-to-date at the time it is accessed, whilst suchmeasure is being taken.
<Article 5> Issuance of Payment Orders etc.
1. Upon entering into the remittance entrustment contract,unless it is terminated by the Bank pursuant to Article
4, Paragraph 3, the Bank shall, in accordance with thecontent of the request for remittance and without delay,
issue the Payment Order to the Banks Concerned, or issue
a Demand Draft to the Customer.
2. The transmission method used for a Payment Ordershall be determined by the Bank as it deems appropriate.
In addition, the same shall apply with respect to Banks
Concerned, unless the transmission method of the
Payment Order is specified by the Customer and suchspecification is deemed appropriate by the Bank
3. If any of the following applies, the Bank may select such
Banks Concerned as the Bank deems appropriate in placeof those designated by the Customer.
(i)
The Bank acknowledges that it is not possible tocomply with the designation made by the Customer.
(ii) If by following the Customer’s instructions, there is apossibility that excessive costs will be incurred to theCustomer or there will be delays in the remittanceetc., and the Bank acknowledges that there are otherappropriate Banks Concerned. In such case, the Bank
shall promptly notify the person who requested aremittance thereof.
4. The Bank shall not be responsible for any damages causedby the handling of the preceding two (2) Paragraphs.
<Article 6> Fees and Other Expenses
1. When the Bank receives a request for remittance, theCustomer is required to pay the remittance fees asprescribed by the Bank, fees for the Banks Concernedand any other fees and expenses required in connection
with the transaction. In additional, the Customer may berequired to pay fees and expenses relating to the Banks
Concerned at a later date.
2. When the Bank receives a request for an enquiry,amendment or rewinding (kumimodoshi), the Customer isrequired to pay the fees and expenses prescribed by the
Bank and the Banks Concerned, as set out below. In suchcase, the fees etc. specified in the preceding Paragraphshall not be refunded to the Customer. In addition, theCustomer may be required to pay fees and expenses
relating to the Banks Concerned at a later date:(i)
Enquiry fees.
(ii) Amendment fees.
(iii) Fees for rewinding (kumimodoshi).
(iv) Cable and postage fees.
(v) Any other fees and expenses incurred relating to theenquiry, amendment or rewinding (kumimodoshi).
<Article 7> Exchange Rates
1. When receiving a request for remittance, the Bank shallapply the foreign exchange rate determined by the Bankat the time of calculation by the Bank, if the funds to beremitted are received in a currency other than the currency
to be remitted, except for the case where a forward foreignexchange contract is in place.
2. The exchange rate to be applied, in the event that therefund of the remittance funds etc., or refunds under
Article 4, Paragraph 4; Article 9, Paragraph 3; and Article
11, Paragraph 1, Item 3; is made by the Bank in a currency
other than the currency in which it was remitted, shallbe the exchange rate determined by the Bank at the timeof calculation by the Bank, except for the case where aforward foreign exchange contract is in place.

<Article 8> Currency of Payment to the Recipient
When the Customer requests a remittance to be made in
the currency provided for in any of the following items, thecurrency of the payment to the recipient may differ from thecurrency originally designated by the Customer. In this case,laws and regulations, customs and practices of the relevant
countries, as well as the procedures prescribed by the Banks
Concerned, shall be observed in respect of the currency of
payment, foreign exchange rate, fees etc.:(i)
The currency which differs from the currency of thecountry in which the Paying Bank is located.
(ii) The currency which differs from the currency of therecipient’s depositary account.
<Article 9> Enquiries etc. on Transaction Details
1. If there is any doubt about a remittance transaction suchas when the funds remitted have not been paid to therecipient after the remittance request, the Customer shallpromptly enquire the branch of the Bank where such
request was made. In such case, the Bank shall take steps
to investigate the matter, such as by enquiring the Banks
Concerned, etc. and report the results thereof. In orderto address the Customer’s enquiry, the Bank may ask the
Customer to submit an enquiry request form for postoverseas remittance.
2. The Customer may be enquired by the Bank on thedetails of the remittance request, if the Bank receives anenquiry from Banks Concerned regarding the Payment
Order or Demand Draft issued by the Bank. In such case,
the Customer shall give a prompt response. If the Bank
does not receive a response from the Customer within an
appropriate time frame or if an inappropriate response isreceived with regards to the enquiry, the Bank may takeany measure that the Bank considers appropriate, and will
not be responsible for any damage arising out of it.
3. With respect to the Payment Order or the Demand Draft
issued by the Bank, in the event that a remittance cannot
be made due to reasons such as refusal of the Payment
Order by the Banks Concerned, the Bank shall deduct
a cancellation fee from the returned funds and deposit
the balance into the Customer’s Yen Savings Account orMulti Currency Savings Account from which the funds
for such remittance were withdrawn, without obtaining
a cancellation request from the Customer. In such case,the Bank shall not be responsible for any loss or damage
incurred by the Customer as a result there of. Further, theBank will not return the transfer fees etc. to the Customer.
<Article 10> Amendments to Request
1. If the Customer wishes to amend the contents of therequest after the remittance entrustment contract has
been entered into, such amendments shall be processed
according to the following procedures over the counterat the branch of the Bank where such request was made.
However, any amendment to the remittance amount shallbe handled according to the rewinding (kumimodoshi)
procedures provided for in Article 11.
(i)When requesting for an amendment, the Customer
shall submit a request form for amendment/cancellation of overseas remittance (including
foreign currency Yen clearing and account transfers)(the “Amendment Request Form”) as prescribedby the Bank with the name and signature or seal
which are identical to those used on the Overseas
Remittance Request Form, along with the copy of theOverseas Remittance Request Form and documents
as prescribed and required by the Bank. In suchcase, the Bank may request the Customer to submit
identity verification documents as prescribed by the
Bank. In addition, when a Demand Draft has been
issued to the Customer, such Demand Draft shall also
be submitted.
(ii) Upon acceptance of the amendment request,
the Bank shall, without delay, implement thenecessary amendment procedures such as issuing
an amendment instruction in accordance with thecontent of the Amendment Request Form and using
Banks Concerned and communication methods
considered appropriate by the Bank.

2. With respect to the handling of the Amendment Request
Form submitted for the amendment of the contents of
the request pursuant to the preceding Paragraph, theprovisions in Article 4, Paragraph 5 shall apply mutatis
mutandis. The Bank shall not be responsible for any
damage incurred as a result of the handling provided forin the preceding Paragraph.
3. The amendments provided for in this Article may not
be handled due to reasons such as refusal to makeamendments by the Banks Concerned, legal and regulatory
restrictions and actions taken by the government, courts
or other public authorities. If the amendment cannot bemade and a rewinding (kumimodoshi) is to be processed,
the rewinding (kumimodoshi) procedures provided for in
Article 11 shall be implemented.
<Article 11> Rewinding (kumimodoshi)
1. If the Customer cancels the request for remittance after
the Contract has been entered into, such cancellation shallbe processed in accordance with the following rewinding(kumimodoshi) procedures over the counter at the branchof the Bank where such request was made:(i)
When requesting for a rewinding (kumimodoshi),the Customer shall submit the Amendment Request
Form as prescribed by the Bank with the name andseal (or signature) identical to those used on theOverseas Remittance Request Form, along with thecopy of the Overseas Remittance Request Form anddocuments prescribed and required by the Bank. In
such case, the Bank may request the Customer tosubmit identity verification documents as prescribedby the Bank. In addition, when a Demand Draft has
been issued to the Customer, such Demand Draft
shall also be submitted.
(ii) Upon acceptance of the request for rewinding(kumimodoshi), the Bank shall, without delay,
implement amendment procedures such as issuing
an instruction for rewinding (kumimodoshi) in
accordance with the contents of the Amendment
Request Form and using Banks Concerned andtransmission method considered appropriate by theBank.
(iii) When the Bank receives a refund relating to theremittance from the Banks Concerned who haveaccepted the rewinding (kumimodoshi), the Bank will
immediately return such amount to the Customer. In
such event, the Customer shall submit a receipt asprescribed by the Bank with the name and seal (orsignature) identical to those used on the Overseas
Remittance Request Form. In such case, the Bank
may request the Customer to submit identity
verification documents as prescribed by the Bank.
2. With respect to the handling of the Amendment Request
Form submitted for the rewinding (kumimodoshi) request
pursuant to the preceding Paragraph and the returningof the funds, the provisions of Article 4, Paragraph 5 shallapply mutatis mutandis. The Bank shall not be responsible
for any damage incurred as a result of the handlingprovided for in the preceding Paragraph.
3. The rewinding (kumimodoshi) provided for in this Article
may not be handled due to reasons such as refusal
to make amendments by the Banks Concerned, legal
and regulatory restrictions, and actions taken by thegovernment, courts or other public authorities.
<Article 12> Contact Details for Notices and Enquiries
1. Notices and enquiries to the Customer from the Bank
regarding the Overseas Remittance Transactions shall bemade to the address and telephone number specified on
the Overseas Remittance Request Form, or to the address
and telephone number registered in relation to thedepositary account from which the remittance funds etc.
were transferred.
2. With regard to the preceding Paragraph, the Bank shallnot be responsible for any damage incurred as a result of
incomplete or incorrect contact details or interruption of
telephone service etc.
<Article 13> Exemptions due to Disasters etc.
The Bank shall not be responsible for any of the following

37

damages (whether direct or consequential, including loss of
profit or interest, or otherwise) suffered by the Customer andthird parties:(i)
Damage due to unavoidable circumstances such as
natural disasters, incidents, wars, accidents duringtransport, legal and regulatory restrictions or actions
by the government, courts or other public authorities;(ii) Damage incurred as a result of failure or malfunctionin terminal units, communication circuits orcomputers etc. in spite of the Bank having taken
appropriate security measures or of telegram
disintegration, error, omission etc. caused thereby;(iii) Damage incurred as a result of the handling by the
Banks Concerned in accordance with the customsof the countries where such Banks Concerned
are located or procedures as prescribed by the
Banks Concerned, or damage incurred by reasons
attributable to the Banks Concerned (excluding themain office and branches of the Bank);(iv) Damage incurred by reasons attributable to theCustomer such as discrepancies in the recipient’s
name etc.;(v) Damage incurred in connection with the message
sent from the Customer to the recipient;(vi) Damage relating to the underlying relationshipfor the remittance between the Customer and therecipient or third party;(vii) Damage incurred in relation to the exercise of theBank’s rights, in accordance with the Terms andConditions; or(viii) Damage incurred by reasons other than those
attributable to the Bank.
<Article 14> Prohibition of Transfer or Pledge
The Customer may not assign or pledge the Customer’s rights
with respect to transactions under the Terms and Conditions.
<Article 15> Application of Terms and Conditions of Deposits etc.
The withdrawals, in the case that the Customer requests a
remittance by transferring the remittance funds etc. from thedepositary account, shall be made in accordance with “Section
1: HSBC Premier Account General Agreement” and otherterms and conditions relating to the respective depositaryaccounts.
<Article 16> Application of Other Provisions
1. Matters which are not set out in the Terms and Conditions,such as changes to registered items, disclaimer, governinglaw, jurisdiction and changes in the terms and conditions,shall be governed by “Section 1: HSBC Premier AccountGeneral Agreement”.
2. In the event of any discrepancy between the “HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

Section 12 [deleted]

Section 13 Terms and Conditions for Auto-Debit Services
The Terms and Conditions for Auto-Debit Services (hereafter in this section, the “Terms and conditions”) provides for the Bank’s
handling of the account transfer transactions with the Customer with the Premier Account, for the payment to a recipientcompany previously designated by the Customer (hereafter, the “Service”).
<Article 1> Transaction Details
1. In order to use the Service, the Customer shall submit theapplication, in the form prescribed by the Bank, affi xedwith the seal or signature registered with the Bank.
2. When the Customer uses the Service, upon receipt of an
invoice from the recipient company to which the Customer
has requested for the Bank to effectuate the accounttransfers, the Bank will, without notice to the Customer,
debit the amount specified in the invoice from theCustomer’s designated account and make a payment tosuch recipient company. In this case, notwithstanding theprovisions in “Section 1: HSBC Premier Account General
Agreement”, the Customer will not be required to takethe withdrawal procedures via telephone or internet, inwriting, etc.
<Article 2> Handling of Insufficient Funds
If on the day of the account transfer, the amount specified in
the invoice exceeds the available balance in the Customer’s
designated account for the debit (including the amountavailable under the overdraft service, if applicable), the Bank
will, without notice to the Customer, return the invoice to therecipient company without executing the account transfer
transaction.
<Article 3> Changes in Customer Numbers Assigned to
Recipient Companies
Under the Service, no change in the customer number (orpayment number etc.) agreed between the recipient company
and the Customer will affect the contents of the Service, andSection 14 [deleted]

Section 15 [deleted]38

the Bank will continue to provide the Service in accordancewith the application submitted by the Customer.
<Article 4> Cancellation
If the Customer wishes to cancel the Service, the Customer
shall submit the form prescribed by the Bank. Furthermore,
the Bank may deem the Service cancelled if there is adequate
cause for such cancellation, such as, without such submissionof the form, no invoice is received from the recipientcompany over a long period of time, unless the Customer
notifies the Bank otherwise.
<Article 5> Indemnity Clause
The Bank bears no responsibility for any disputes that may
arise in connection with the Service, except for cases where
the Bank is found to be responsible. If any disagreementarises between the Customer and the Bank regarding thedetails of transactions, available balance, etc., such issues will
be handled pursuant to the records of the Bank.
<Article 6> Application of Other Provisions
1. Matters which are not set out in the Terms and Conditions,such as changes to registered items, prohibition oftransfer or pledge, cancellation, disclaimer, governinglaw, jurisdiction and changes to the provisions, shall begoverned by the provisions prescribed in “Section 1: HSBC
Premier Account General Agreement”.
2. In the event of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

Section 16 Terms and Conditions for Automatic Overdraft Service
The Terms and Conditions for Automatic Overdraft Service (hereafter in this Section, the “Terms and Conditions”) provide for the
Bank’s handlings for automatic overdraft service (the “Service”) available for the Customer holding the Premier Account with the
Bank under the criteria prescribed by the Bank.
<Article 1> Contents of the Service
1. The Bank offers the Service with respect to the Customer’s
Yen Savings Account or such other account designatedby the Bank (the “Overdraft Account”) in accordance with
the Terms and Conditions, whereby the Bank lends moneythat will be credited to, and withdrawn from, the Overdraft
Account, upon request for withdrawal or billing forautomatic payment of various fees and charges exceeding
the balance of such Overdraft Account, whether withcollateralizing other bank products designated by the Bankin the Premier Account or without any collateral.
2. The Service is available to the Customer who applies
for it and is approved by the Bank and who is of the age
between 20 and 75 years at the time of application therefor.
The Service may not be made available to the Customer asa result of the examination prescribed by the Bank.
3. The Customer shall use the Service under such conditions
specified by the Bank.
4. The Service is available only in Japanese Yen.
5. The available amount, the available period, the products
eligible for collateral, the appraisal method of collateral,
etc. will be as described in the Bank’s product fact sheet.
<Article 2> Overdraft Limit Amount
1. The overdraft limit amount available for the Service shallbe the amount that the Bank notifies to the Customer,
regardless of the amount specified by the Customer in theapplication form.
2. Notwithstanding the preceding Paragraph, if the provisionof collateral is required for the Service, the overdraft limit
amount shall be the smaller of the amount provided for in
the preceding Paragraph or the total appraisal value of thecollateral; provided, however, that the total appraisal valueof the collateral shall be the sum of the appraisal value ofeach product set forth in the following Items to be used ascollateral, that will be calculated on a daily basis. The Bank
shall not be obliged to notify such total appraisal value ofthe collateral (and the new decreased overdraft limit amountas a result of the application of the same) to the Customer.
(i)
In the case of Japanese Yen denominated deposit:
Such deposit amount multiplied by the ratio specified
by the Bank;(ii) In the case of foreign-currency denominated deposit:
Such deposit amount converted into Yen by applying
the exchange rate specified by the Bank andmultiplied by the ratio specified by the Bank; and(iii) In the case of products other than deposits: Amountcalculated under the conditions separately specified
by the Bank.
<Article 3> Collateral for Overdraft Amount
1. In the case that the collateral is required for the use of theService, the Customer shall separately conclude a security
agreement with the Bank in such form designated by the
Bank and create the security interest. The Customer shalltake the procedures etc. necessary for the creation of the
security interest, when requested by the Bank.
2. The collateral rendered shall not be transferred, pledged
or otherwise disposed of, without the consent of the Bank.
3. In case that there are more than one collaterals when
the obligations under the Service shall be repaid by thecollateral, the Bank may determine, by which collateraland in which order the collateral shall be liquidated, at its
sole discretion.
<Article 4> Overdraft Interest Rate
1. The overdraft interest rate shall be the interest rate
specified by the Bank, which shall be separately provided
for in the product fact sheet. Furthermore, the overdraft
interest rate may be changed responding to the changesof financial situations, and such changed overdraft interest
rate after the change shall apply for the period as from thedate of such change.
2. The Bank may specify the overdraft interest rate to be

applied to the overdraft amount exceeding the overdraft
limit amount, which interest rate may be different fromthe overdraft interest rate to be applied to the overdraft
amount within the overdraft limit amount.
<Article 5> Calculation and Due Date of Overdraft Interest
1. The interest shall be calculated on the unit of one (1)Yen, and shall accrue, with regard to the daily overdraft
balance, at the rate of the overdraft interest rate specified
in the preceding Article, on a daily pro-rata basis over a
year of 365 days.
2. Unless otherwise stipulated, the overdraft interest for thepreceding month (for the period from the first (1st) day tothe last day of the preceding month) shall be paid on thefirst (1st) day of each month (or the nest business day, if
such day is a holiday).
<Article 6> Automatic Debit of Overdraft Interest
1. Unless otherwise stipulated, the Customer shall pay themonthly overdraft interest calculated in accordance withthe provisions of Articles 4 and 5 on the due date bymeans of the automatic debit from the Overdraft Account.
2. The Bank shall debit the overdraft interest amount fromthe Overdraft Account without a withdrawal slip or acheque, and apply the same to the repayment of theoverdraft interest.
3. Notwithstanding the preceding Paragraphs, if the balanceof the Overdraft Account on the due date of the monthly
overdraft interest payment shall fall short of the overdraft
interest amount, such deficit amount shall be integrated
into the new overdraft principal amount within the limitof overdraft limit amount. For the avoidance of doubt, if
the overdraft limit amount is exceeded as a result of such
deficit amount, the provisions of Article 7 shall apply tosuch excess amount.
<Article 7> Overdraft Exceeding Overdraft Limit Amount
1. The Bank may, at its sole discretion, provide the Service
beyond the overdraft limit amount, only in the cases
prescribed in the following sub-paragraphs. In no event
the Bank shall be obliged to provide the Service beyond
the overdraft limit amount.
(i)
In case that the balance of the Customer’s Overdraft
Account (including the amount available under
the Service, if the Service is available) on the due
date of the monthly overdraft interest payment
specified by the Bank shall fall short of the amountof the overdraft interest as provided for in Article 8,
Paragraph: to the extent of such deficit amount;(ii) In case that the balance of the Customer’s Overdraft
Account (including the amount available under theService, if the Service is available) on the contracted
due date of the payment of HSBC Premier Credit
Card shall fall shot of the card usage amount: to theextent of such deficit amount.
(iii) In case that, because of the application of the total
appraisal value of the collateral in accordance with
Article 2, Paragraph 2, the overdraft limit amountshall be decreased and that the outstanding overdraft
amount shall come to exceed the overdraft limit
amount after such deduction: to the extent of suchexcess amount.
2. The interest rate to be applied on the overdraft amountexceeding the overdraft limit amount based on thepreceding Paragraph shall be the interest rate designatedby the Bank. Such interest rate may be different fromthe rate applicable to the overdraft amount within theoverdraft limit amount.
3. The Customer shall promptly repay the overdraft amountexceeding the overdraft limit amount pursuant to this
Article 7, whether or not so requested by the Bank;
provided, however, that in case that the Bank requests therepayment with separately setting the due date and that
the Customer fails to repay such overdraft amount by such

39

due date, the Bank shall thereafter treat that the Customer
has defaulted in the payment obligations with regard
to the whole overdraft amount (including the overdraft
amount within the overdraft limit amount).
4. Regardless of the Bank’s request pursuant to the provisoof the preceding Paragraph, in case that, with regard to
the Service with the collateral condition, the Customer
and the Bank has agreed to designate it as an automatic
acceleration event that the ratio of overdraft amount to
the total appraisal value of the collateral calculated inaccordance with Article 2, Paragraph 2 (the “Collateral
Preservation Ratio”) shall exceed the certain ratio agreed
between the Customer and the Bank, and if the Collateral
Preservation Ratio shall come to exceed such certain
ratio, then the Customer shall immediately repay the total
amount of such overdraft amount (including overdraft
amount within the overdraft limit amount) as well as theoverdraft interest and any other obligations pertinent
thereto. In such case, the Bank may collect on, cancel,
or dispose of, the collateral granted by any generally
accepted method, but not necessarily by the statutory
method, and at the generally accepted time and price,
etc., and may apply the proceeds thereof, after deducting
various expenses, to the repayment of such overdraft
amount and such other obligations pertinent thereto
regardless of the statutory order. If there still remains
any obligation after such application, the Customer shallimmediately repay such remaining obligation.
<Article 8> Repayment Method of Overdraft Principal
1. The Customer who uses the Service may repay the
overdraft principal at any time by crediting the amount to
the Overdraft Account.
2. The funds accepted at, or transferred to, the Overdraft
Account while there exists an outstanding overdraft
balance under the Service (the amount of accepted
instruments etc. shall be excluded from the funds, until
they are settled) shall be applied to the repayment of
overdraft amount automatically.
3. In case that there exists an outstanding overdraft balance
under the Service, and that there is any payment ofprincipal, interest, etc. of deposit or any payment ofredemption money, interest, dividend or any otherpayment of the securities etc., accepted by the Bank as thecollateral for the Service, then the Bank may receive suchpayment and credit it to the Overdraft Account to apply it
to the repayment of overdraft amount, notwithstanding
any other provisions between the Bank and the Customer.
<Article 9> Decrease, Suspension, and Cancellation
1. In the event that there shall be any change in the financial
situations, any need for the conservation of claims or any
other considerable reason, the Bank may, at any time,
reduce the overdraft limit amount, suspend the overdraft,or cancel this contract.
2. In case that the Service is terminated or the overdraft issuspended, the Customer shall immediately repay the
overdraft principal and interest. In addition, in case thatthe overdraft limit amount is reduced (excluding the cases
to which the provisions of Article 7, Paragraph 1, Item 3
and Paragraph 3 are to be applied), the Customer shallimmediately repay the overdraft amount exceeding theoverdraft limit amount after such reduction.
<Article 10> Immediate Repayment
1. In case that any of the events prescribed in the following
Items occurs to the Customer, the Customer shall,
immediately without any demand from the Bank, repay to
the Bank the total amount of the overdraft amount under
the Service (including the overdraft amount within theoverdraft limit amount) and interest thereon and all otherobligations pertinent thereto:(i)Suspension of payment, or filing of application forthe commencement of bankruptcy proceedings,
commencement of civil rehabilitation proceedings(including commencement of individual rehabilitation
proceedings) or the petition for commencement ofprivate liquidation;(ii) Suspension of bank transactions (ginko torihiki teishi
shobun);40(iii) Commencement of inheritance;(iv) Dispatch of the order or notice of provisional
attachment (kari sashiosae), preservative attachment(hozen sashiosae) or attachment (sashiosae) on the
Customer’s deposit or other claims against the Bank;(v) That the whereabouts of the Customer becomes
unknown to the Bank due to any reason attributable
to the Customer, such as failure to notify the addresschange, etc.; and(vi) That the Collateral Preservation Ratio exceeds thecertain ratio agreed between the Customer and the
Bank with regard to the overdraft amount under theService with collateral condition; provided, however,that this Item shall apply only to such overdraft
amount, and the Customer shall not be required to
pay immediately under this Item for other obligations
pertinent to the overdraft amount to which this Item
does not apply.
2. In any of the following cases, the Customer shall,
immediately upon demand from the Bank, repay to
the Bank the total amount of overdraft amount under
this Service (including the overdraft amount within theoverdraft limit amount) and the interest thereon and allother obligations pertinent thereto:(i)
Delay in repayment of obligations, even partially, that
the Customer owes to the Bank;(ii) Commencement of attachment or auction procedures
regarding the collaterals;(iii) Violation by the Customer of the transactional
agreement with the Bank; and(iv) Occurrence of any considerable cause which requires
the conservation of claims, other than the cases set
forth in the preceding Items.
<Article 11> Delayed Charges
The Customer who delays the repayment of the principal of
overdraft amount shall pay the delayed charges calculated at
14.6% per annum (on a daily pro-rata basis over a year of 365days); provided, however, that in any event, the Customer
shall not be required to pay the portion which shall be inexcess of the statutory interest rate limitation. If the Bank
shall have received such excess interest, the Bank shall returnthe same to the Customer without delay.
<Article 12> Set-off Calculation etc.
1. In the event that the Customer shall perform theobligations under the Service, the Bank may take theprocedures as follows:(i)With regard to the time deposit or the Structured
Deposit, which is offered as collateral as specified
in Article 3, the Bank may terminate the same, even
before its maturity date and without any prior notice,and set off the proceeds (or the remaining amountof the proceeds after deducting various expenses,
if such expenses are needed for termination of suchtime deposit) against the overdraft principal andinterest, etc. or may apply the same to the repaymentof obligations. For the procedures of termination oftime deposit or Structured Deposit before its maturity
date in such case, the provisions of “Section 4: Terms
and Conditions for Time Deposit Account” or “Section
5: Terms and Conditions for Structured Time Deposit
Account” shall be applied, mutatis mutandis;(ii) With regard to any collateral other than time deposit,
the Bank may dispose of the same by generally
accepted method and at generally accepted timeand price, without prior notice to the Customer, andapply to the repayment of obligations the remaining
amount of the proceeds after deducting various
expenses; and(iii) If there still exists a remaining obligation after theprocedures in Items (i) and (ii), the Customer shall
repay it immediately.
2. In case that the Bank effectuates the set-off or theapplication to repayment pursuant to the preceding
Paragraph, the calculation period of interest and damages
pertinent to the claims and obligations shall be made to
the date of calculation.

<Article 13> Report of Financial Standing
1. The Customer shall represent and warrant that the
information concerning the financial standing of the
Customer that the Customer notified to the Bank for theService shall be accurate and that there shall be no suchfact which may lead to misunderstandings.
2. If any material event that may adversely impact theCustomer ’s financial standing occurs in future, theCustomer shall immediately inform the Bank thereof.
3. The Customer shall reply to the inquiries from the Bank
concerning the financial standing accurately and without
delay.
<Article 14> Registration and Utilisation of Personal Credit
Information Bureau
1. For the investigation of the Customer’s ability to pay,
the Bank may make reference to the personal credit
information bureaus of which the Bank is a member(the “Affiliated Credit Information Bureaus”) and otherpersonal credit information bureaus that the AffiliatedCredit Information Bureaus are in alliance with (the “Allied
Credit Information Bureaus”), and if the Customer ’s
p e r s o n a l i n f o r m a t i o n ( i n c l u d i n g o ff i c i a l ga ze tt e
information etc.) is registered, the Bank may utilise suchinformation, pursuant to the provisions of Article 13-6-6 of
the Enforcement Ordinance of the Banking Law, only forthe investigation purposes on the ability to pay.
2. The Customer shall agree that the personal information
based on the objective transactional facts under theService will be registered with the Affiliated Credit
Information Bureaus for the period specified in the tableof Paragraph 3, and that such information will be utilized
by the members of the Affiliated Credit Information
Bureaus or of the Allied Credit Information Bureaus forthe investigation of the Customer’s ability to pay. The
Customer shall not object to such utilization.
3. The name, address, telephone number, etc. of the AffiliatedCredit Information Bureaus, the information to be registered
therewith and the period of such registration are as follows:(i)Affiliated Credit Information Bureaus:- Pe r s o n a l C r e d i t I n f o r m a t i o n C e n t e r ( k o j i n
s h i ny o u j o u h o u c e n t e r ) o f Ja p a n e s e B a n k e r s
Association
1-3-1 Marunouchi Chiyoda-ku Tokyo 100-8216
http://www.zenginkyo.or.jp/pcic/index.html
Phone: 03-3214-5020-Japan Credit Information Reference Center Corp.
(“JICC”)
Kanda Shinko Building2-1 Kanda Tacho, Chiyoda-ku,
Tokyo 101-0046
http://www.jicc.co.jp
Phone: 0120-441-481-Credit Information Center Corp. (“CIC”)
First West Bldg., 15th Floor, 1-23-7, Nishi-Shinjuku,
Shinjuku-ku, Tokyo 160-8375
http://www.cic.co.jp
Phone: 0120-810-414(ii) Credit information bureau allied with the personalcredit information bureaus above:
CIC, KSC and JICC above are affiliated.
(iii) Registered information and registration period:

Registered Information
Personal information suchas name, date of birth,sex, address (including therecord of failure of maildelivery to the person),
telephone number, place of
employment, etc.
Contents of the contract,such as the loan amount,borrowing date, the final
repayment date, etc. andrepayment status (including
the facts of arrears, payment
by subrogation, compulsory
recovery procedures,cancellation, complete
repayment, etc.)

Registration Period

For the period during
which any of the following
information is registered.

During the period of contractand for the period notexceeding five (5) years fromthe expiry date of the contract(or the date of complete
repayment, if not completely
repaid).

Date on which the Bankutilizes the personal credit
For the period not exceeding
information bureau, theone (1) year from the date ofcontents of this contract or its such utilization.
application, etc.
For the period not exceedingsix (6) months from theoccurrence of the first (1st)dishonor, and for the period
Information on dishonor
not exceeding five (5) years
from the date of suspensionof bank transaction forthe suspension of banktransaction.
For the period not exceedingten (10) years form the date of
Official Gazette information
decision of commencementof bankruptcy proceedings
etc.
The fact that a complaint
is made concerning the
For the period of suchregistered information andinvestigation.
that it is under investigation
Information reported by the
person about the loss, theft,etc. of personal identity
verification document
For the period not exceeding
five (5) years form the dateon which the report is filed
from the person.
4. The Customer shall agree that the Affiliated Credit
Information Bureaus and the members of such bureaus
will provide and utilise the per sonal information
reciprocally to the extent necessary for the protection
and appropriate utilization of the personal information at
the Affiliated Credit Information Bureaus including, but
not limited to, maintenance of accuracy and newness,processing of complaints, monitoring of such members’
compliance status with the regulations. The Customer
shall not object to such utilization. For the avoidance of
doubt, the registered information utilized by the membersof the Allied Credit Information Bureaus shall be the “factof delay in repayment of obligations”.
<Article 15> Application etc. of Other Provisions
1. Matters not provided for in the Terms and Conditions,such as change to registered items, prohibition of transfer
and pledge, cancellation, disclaimer, governing law,jurisdiction, amendment of provisions, shall be governedby “Section 1: HSBC Premier Account General Agreement”.
2. In case of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.

41Section 17 Terms and Conditions for Automatic Remittance Service
The Terms and Conditions for Automatic Remittance Service (hereafter in this Section, the “Terms and Conditions”) provide for the
Bank’s handlings for the automatic remittance service (the “Service”) for the Customer holding the Premier Account with the Bank.
<Article 1> Application and Contents of the Service
1. In order to start the use of the Service, the Customer shallcomplete the necessary items in the automatic remittanceservice application form prescribed by the Bank andsubmit it to the Bank with affixing the seal (or signature)registered with the Bank.
2. The Service is the service under which the Bank will
repeatedly and automatically execute the transaction
provided for in any of the following Items (the “Transaction”) for the Customer’s Yen Savings Account or Multi Currency
Savings Account (the “Designated Transaction Account”) in
accordance with the conditions described in the automatic
remittance service application form:(i)
Automatic remittance service (To Other Banks inJapan) Yen-denominated local remittance transaction
to the recipient’s deposit account with the head office
or a branch of any domestic financial institution otherthan the Bank, which is effected by debiting the funds
to the Designated Transaction Account (limited only
to Yen-denominated account), in accordance withthe conditions described in the form designated by
the Bank for Yen-denominated automatic remittanceservice for the remittance to other banks in Japan.
(ii) Automatic remittance service (Overseas Remittance)
Yen-denominated or foreign-currency-denominatedoverseas remittance transaction to the recipient’s
deposit account with the head office or any overseas
branch of the Bank or with the overseas head officeor any branch of any financial institution other thanthe Bank, which is effected by debiting the funds to
the Designated Transaction Account, in accordancewith the conditions described in the form designatedby the Bank for overseas automatic remittanceservice.
(iii) Automatic Remittance Service (Transfer within HSBC)
Yen-denominated local transfer transaction between
the deposit accounts within the Customer’s Premier
Account, or to the recipient’s deposit account witha branch of the Bank in Japan, which is effected bydebiting the funds to the Designated Transaction
Account, in accordance with the conditions describedin the form designated by the Bank for automatic
remittance service for the transfer within HSBC.
3. The maximum number of transactions of the Service to beeffective at certain time shall be as specified by the Bank.
4. For the request for overseas remittance using the Service,
the confirmation process stipulated by the foreignexchange related laws and regulations as provided forin Article 3 of “Section 11: Terms and Conditions forOverseas Remittance and Demand Draft Issuance” shallbe performed.
<Article 2> Commencement of the Service
The date designated by the Customer on the automatic
remittance service application form shall be thecommencement date of the Service related to suchapplication.
<Article 3> Selection of Condition for Termination of the Service
When applying for transactions under the Service, theCustomer shall select one of the followings as the condition
for termination of the Service in connection with suchapplication:(i)
Arrival of the last transaction processing date or the
expiry date of the transaction, as designated by the
Customer;(ii) Completion of certain number of times of thetransactions under the Service, as designated by
the Customer (note that it will be counted as one
transaction even if it is not successfully completed
on the designated processing date for the reasons ofshort balance, non-existence of recipient’s account,etc.); or(iii) Termination of the Service upon request by the
Customer.

42<Article 4> Designated Contents of Request for the Service
1. In applying for the Service, the Customer shall designate
one of the several types of the remittance style separately
designated by the Bank.
2. The Service shall be executed in accordance with theconditions set forth for each style and at the time specified
for each style, for the period from the starting date asprovided for in Article 2, through the termination asprovided for in Article 3, of the service pertinent to theapplication for such Service.
3. In case that the frequency of execution of the Service isdesignated as “every business day”, “every week”, “every
two weeks”, “every month”, “every quarter”, “every half year”
or “every year”, the transaction processing date of suchtransaction pertinent to the Service shall be as follows:(i)
If “every business day” is designated: every businessday;(ii) If “every week” is designated: designated day of theweek in every week;(iii) If “every two weeks” is designated: designated dayof the week in every two weeks;(iv) If “every month” is designated: designated calendar
date of every month;(v) If “every quarter” is designated: designated calendar
date of every three months;(vi) If “every half year” is designated: designatedcalendar date of every six months; and(vii) If “every year” is designated: designated calendar dateof every year. However, if the date which is otherwise
designated as the transaction processing date shall
fall on a non-business day, the immediately following
business day shall be the transaction processing
date. Further, in case that the frequency of execution
from “every month” to “every year” is designated,
if the designated calendar date shall not exist in
the corresponding month, then the transaction
processing date shall be the last business day ofsuch corresponding month.
<Article 5> Procedures for More than One Transaction
When applying for the use of the Service, the Customer shallprioritise the transactions under the Service by giving eachtransaction a number from 01 through 99 without duplication.
When more than one Transaction under the Services shall beprocessed concurrently, the Transactions shall be executed in
the order of such number from the smallest number.
<Article 6> Foreign Exchange Rate etc.
In case that a foreign currency is converted into Japanese
Yen or Japanese Yen is converted into a foreign currency for
remittance under the Service, the exchange rate to be applied
shall be determined in accordance with the provision of Article
15 of “Section 1: HSBC Premier Account General Agreement”.
<Article 7> Fees
1. The Customer shall separately pay the fees prescribedby the Bank for setting, cancellation and change of theService.
2. Upon the execution of each Transaction under the Service,
the Customer shall separately pay the remittance fee
prescribed by the Bank. The remittance fee will not be
refunded to the Customer even if the specific Transaction
under the Service has not been executed due to nonexistence of the recipient’s account.
3. The fees set forth in the preceding two (2) Paragraphs shallbe automatically debited to the account designated at thetime of application for the Service (the “Fee Account”).
<Article 8> Procedures in case of Short Balance
1. In case that, as at the time of execution of the Transaction,
the remittance amount exceeds the available balance(including available amount from the automatic overdraft
service, if any) of the Designated Transaction Account or
the amount of the remittance fee exceeds the available
balance of the Fee Account, the Bank will not execute such
Transaction.

2. In case that more than one Transaction shall be executedat the same time in the same Designated Transaction
Account, and that the available balance of such DesignatedTransaction Account shall fall short of the total remittanceamount of such Transactions, the Bank shall execute theTransaction with the highest priority among those which
can be executed within the limit of such available balance;
and thereafter, the Bank shall repeat this procedure until
there remains no transaction which can be executed.
3. The Bank will not execute the Transaction which
previously is not executed due to short balance on acertain transaction processing date, even if the available
balance of the Designated Transaction Account or thatof the Fee Account reaches the amount necessary forsuch Transaction; provided, however, that the Bank shalldetermine the possibility of executing the Transaction on
the next transaction processing date after such certaintransaction processing date.
4. The Bank shall not be liable for any damages, losses orother expenses incurred by the Customer, the recipient or
any other third party under the procedures set forth in this
Article.
<Article 9> Cancellation of RemittanceIn case that the remittance fund is returned for the reason of
non-existence of the recipient’s account etc., the Bank will
refund such returned amount after deducting the cancellation
fee prescribed by the Bank by crediting such amount to the
Designated Transaction Account relating to the Transaction,
without any request for rewinding (kumimodoshi) from theCustomer. The Bank shall not be liable for any damages,
losses or any other expenses incurred by the Customer, therecipient or any other third party under such procedure.
Further, the Bank shall not return the remittance fee etc to theCustomer.
<Article 10> Suspension, Change, etc. of RemittanceIn the event that the Customer shall suspend the Transaction
or change any of the designated items, the Customer shall filean application with the Bank by the deadline specified by the
Bank and follow the procedures prescribed by the Bank. The
Bank will not be responsible for such suspension or changeof the Transaction, if such application from the Customer shallnot have been delivered to the Bank by the deadline specified
by the Bank.
<Article 11> Termination
1. The specific Service shall terminate upon the arrival of the
final transaction processing date or the expiration datedesignated by the Customer in the automatic remittanceservice application form related to such Service, upon thecompletion of the Transaction for the number of times
designated by the Customer (the Transaction which was
not executed due to short balance, non-existence of therecipient’s account or any of other reasons will be counted
as one transaction) or upon the request for termination of
the Service by the Customer.

2. Notwithstanding the preceding paragraph, the Customer
may terminate the specific Service at the cancellation datethat the Customer notifies by a form designated by the
Bank before the deadline designated by the Bank.
3. In the event of cancellation of the Designated Transaction
Account, all the Services relating to such DesignatedTr a n s a c t i o n A c c o u n t s h a l l b e d e e m e d c a n c e l l e dconcurrently.
4. In case that the status of impossibleness to process theindividual Transaction continues for a period specified
by the Bank due to short balance of the DesignatedTransaction Account, non-existence of the recipient’s
account or any other reason, the Bank may terminate theService in connection with such Transaction.
5. The Bank may terminate all the Services without giving
prior notice etc. to the Customer in case any of the events
prescribed in the following Items shall occur to theCustomer:(i)
Suspension or payment, or filing of the application
for commencement of bankruptcy proceedings,
commencement of civil rehabilitation proceedings(including commencement of individual rehabilitation
proceedings) or the petition for commencement ofprivate liquidation;(ii) Commencement of inheritance;(iii) Dispatch of the order or notice of provisional
attachment (kari sahiosae), preservative attachment(hozen sashiosae) or attachment (sashiosae) on the
Customer’s deposit or other claims against the Bank;(iv) That the whereabouts of the Customer becomes
unknown to the Bank due to a reason attributable to
the Customer, such as failure to notify the addresschange etc.;(v) Delay in repayment of obligations, even partially, that
the Customer owes to the Bank;(vi) Commencement of attachment or auction procedures
regarding the collateral granted to the Bank by the
Customer;(vi) Violation by the Customer of the transactional
agreement with the Bank; or(vii) Occurrence of any considerable cause which requires
the conservation of claims, other than the cases
forest forth in the preceding Items<Article 12> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions,such as change to registered items, prohibition of transfer
and pledge, cancellation, disclaimer, governing law,jurisdiction, amendment of provisions, shall be governedby “Section 1: HSBC Premier Account General Agreement”.
2. In case of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” and the Terms andConditions, the Terms and Conditions shall prevail.
3. With regard to the Service, in case of any discrepancy
between the conditions set forth for each style asprescribed under Article 4, Paragraph 2 and the Terms andConditions, such conditions for each style shall prevail.

Section 18 Terms and Conditions for Integrated Investment Trust Account
The Terms and Conditions for Integrated Investment Trust Account (hereunder in this Section, the “Terms and Conditions”)
provide for the Bank’s handling of transactions (the Transactions”) made by the Customer holding the Premier Account with
the Bank, relating to the beneficiary right or beneficiary certificate of an investment trust or of a foreign investment trust, andthe investment security, investment corporate bond or foreign investment security of an investment company or of a foreign
investment company (the “Investment Trust Beneficiary Certificate etc.”).

Part 1 General Rules<Article 1> Application
1. The Terms and Conditions shall apply, in addition to“Section 1: HSBC Premier Account General Agreement”, tothe Transaction with the Bank,
2. The provisions of Section 19 shall apply, mutatis mutandis,
to the transaction of foreign investment trust andinvestment security, investment corporate bond or foreign
investment security of a foreign investment company with
the Bank.

3. The provisions of Section 20 shall apply, mutatis mutandis,
to the transaction of Investment Trust Beneficiary
Certificate etc. through the Specified Account.
4. In addition to the above, for some products or transaction
types, clauses (yakkan) may be delivered to the Customer,or the Customer may be required to submit a letter ofconsent. The Customer shall confirm the contents thereof.
5. Matters not set out in the Terms and Conditions, such aschange in registered items, disclaimer, governing law,jurisdiction, change of provisions, etc. shall be governedby “Section 1: HSBC Premier Account General Agreement”.

43

In the event of any discrepancy between any provision of“Section 1 HSBC Premier Account General Agreement”
and any provision of the Terms and Conditions, theprovision of the Terms and Conditions shall prevail.
6. In the event of any discrepancy between any provision of theTerms and Conditions and any provision of the respective
terms and conditions mentioned in Paragraph 2 or 3, theprovision of such terms and conditions shall prevail.
<Article 2> Delivery of Prospectus etc.
The Bank shall deliver the prospectus and supplementary
document thereof (collectively, the “Prospectus etc.”) to theCustomer who acquires the Investment Trust Beneficiary
Certificate etc. based on the Transaction. The Customer isrequested to carefully read and fully understand the contentsof the Terms and Conditions and those documents, and toenter into the Transaction under his/her own judgment andresponsibility.
<Article 3> Opening of Account
1. The Customer shall open an account (the “Integrated
Investment Trust Account”) by the application form
prescribed by the Bank to effect the Transactions.
The Integrated Investment Trust Account contains the
Accumulated Investment Account for Accumulated
Investment as provided for in Part 2 and the generalaccount not intended for the Accumulated Investment, theaccount for safe custody as provided for in Part 3 and theTransfer Settlement Account as provided for in Part 4.
2. For the application pursuant to the preceding Paragraph,the customer shall present the personal identification
documents as prescribed by the Bank. If the Bank
cannot confirm the address and the name with such apersonal identification documents in the case where thepresentation of such personal identification documents isrequired, the Bank may decline the Transaction.
3. Where the Bank approves the application for opening of
the Integrated Investment Trust Account under Paragraph
1, the integrated investment trust transaction contact isestablished between the Customer and the Bank basedon the contents provided for in the Terms and Conditions.
With the establishment of the integrated investment trusttransaction contract, the Bank shall open the Integrated
Investment Trust Account, through which the Customer
can execute the Transactions.
<Article 4> Non-residents, etc.
A Customer who is a non-resident or who has registeredan address outside of Japan to the Bank cannot effect theTransactions. The Customer who becomes a non-resident or
who changes the address to outside of Japan after having
opened the Integrated Investment Trust Account may be
restrained from effecting transactions through the Integrated
Investment Trust Account, in such way that the purchase,cancellation, etc. of Investment Trust Beneficiary Certificate
etc. may not be effected at the Bank.
<Article 5> Employee of Member Company or Special Member
Company of Japan Securities Dealers Association
Transactions between the Bank and an employee of amember company (including special member company) ofJapan Securities Dealers Association shall be subject to the
Association’s regulations concerning the employees. The
Customer who becomes an employee of a member companyof the said Association after the opening of the Integrated
Investment Trust Account shall notify the Bank of it without
delay.
<Article 6> Fees
Application fee, etc. concerning the Transactions shall beseparately specified by the Bank.
<Article 7> Designation of Settlement Account
The account (the “Designated Deposit Account”) to be used
for credit of cancellation proceeds, redemption money,
distribution of revenues, etc. (the “Redemption Money etc.”)
and for debit, etc. of purchase price, fees consumption tax,
etc. related to the Transactions shall be the Yen Savings
Account for funds denominated in Yen, and the Multi Currency
Savings Account for funds denominated in a foreign-currency,
both in the Customer’s name.

44<Article 8> Orders etc.
1. The Bank shall, to the extent possible, follow the
instructions of the Customer given in advance, concerning
the types of sale and purchase transactions, the methodsof effecting the transactions, etc.
2. Purchase and cancellation by the customer shall becommissioned transactions to the Bank, while buying(including buying-back; the same shall apply hereafter)shall be transactions between the Customer and the Bank.
3. The Customer shall place orders, etc. (which term meansa purchaser order provided for in the subsequent Article, acancellation order provided for in Article 10, and a buying
application provided for in Article 11. The same shall apply
hereinafter.) with the Bank during the hours specified by
the Bank. The Bank may suspend receiving orders, etc.
based on the judgment of the management companies,
clearing association members (daikou kyoukai-in), etc.
4. In placing orders, etc. with the Bank, the Customer shallclearly specify the items necessary for execution of orders,etc. including whether it is a sale or a purchase, whether it
is a cancellation or a buying, type of sale/purchase, issue,
volume, whether it is a custody in the Specified Accountor in the General Account, whether it is an ordinary
investment or an accumulating investment, etc. on theform prescribed by the Bank and shall submit it to theBank. If these items are not clearly specified, the Bank may
not execute the orders, etc.
5. The Bank may suspend to receive orders, etc. in theevent of suspension of trade at a financial instruments
exchange, suspension of foreign exchange trading or any
other unavoidable circumstance.
6. The Bank will not handle transfer of Investment Trust
Beneficiary Certificate etc. to the customer’s Integrated
Investment Trust Account from the financial institutions
other than those approved by the Bank, and that from theCustomer’s Integrated Investment Trust Account to thefinancial institutions other than those approved by the Bank.
<Article 9> Purchase Order
1. The Bank will mediate the Customer’s purchase order
and, by the method described in the Prospectus etc. (orby the method specified by the Bank for the matters notdescribed in the Prospectus etc.), purchase the Investment
Trust Beneficiary Certificate etc. without delay. The minimumpurchase unit shall be as specified by the Bank.
2. When the Customer places the purchase order, thepurchase price etc. (including fees and various expenses
pertinent to the purchase) shall be settled, in accordancewith the description of the Prospectus etc., in either of thefollowing methods:(i)
Method of debiting the purchase price etc. from the
Designated Deposit Account on the day on which thepurchase order was received; or(ii) Method of reserving the purchase price etc. in the
Designated Deposit Account and debiting the sameon the settlement date specified by the Bank, For the
avoidance of doubt, such purchase price etc. may
not be withdrawn for other purposes, unless the
Customer cancels such purchase order.
<Article 10> Cancellation Order and Switch-over
1. The Bank will mediate the Customer’s cancellation order,
which order shall take effect when the trust contract etc.
pertinent to such cancellation order is cancelled. In casethat the Bank receives the cancellation proceeds, the Bank
shall deduct the fees and various expenses(including taxes
and other public charges, where applicable) pertinent
to the cancellation as prescribed by the Bank from thecancellation proceeds and shall credit the remaining
amount to the Designated Deposit Account.
2. The purchase order of other Investment Trust Beneficiary
Certificate etc. placed at the time of cancellation ordershall be handled as follows:(i)
At the same time as the cancellation order pursuant
to this Article, the Customer may place a purchaseorder of the Investment Trust Beneficiary Certificate
etc. other than the one pertinent to such cancellation,by using all or a part of the cancellation proceeds
pertinent to such cancellation as the resource of

the purchase price (the “switch-over”). However, aswitch-over shall be allowed only for the Investment
Trust Beneficiary Certificate etc. separately approvedby the Bank; andThe minimum purchase unit of the Investment Trust
Beneficiary Certificate etc. for which purchase orderis placed by switch-over shall be as specified by the
Bank. In the event that the cancellation proceeds
drop below the amount necessary for purchase of
the minimum purchase unit due to the changes ofcircumstances after the application for switch-over,the Bank will not execute the purchase transaction of
the Investment Trust Beneficiary Certificate etc., but
deduct the fees and various expensed as prescribedby the Bank from the cancellation proceeds, andcredit the remaining amount to the DesignatedDeposit Account.

<Article 15> Cancellation etc.
1. The Customer may, at any time, cancel the Integrated
Investment Trust Account by submitting the form
prescribed by the Bank.
2. If the Customer falls under any of the cases in the following
Items, the Bank may cancel the Integrated Investment Trust
Account:(i)
When the Bank recognises that the Customer made a
false registration about the matters to be registeredetc. concerning the Integrated Investment Trust
Account;(ii) When the Customer’s Premier Account is cancelled;(iii) When there is any reasonable cause in light of laws
and regulations, etc, such as that there is no balancein the Integrated Investment Trust Account for aconsiderable period of time; or(iv) When there exists any other unavoidable circumstance.

<Article 11> Application for Buying
1. The Bank shall recei ve application for buying ofInvestment Trust Beneficiary Certificate etc. based on theconditions specified by the Bank.
2. When the Bank receives and approves the application forbuying based on the preceding Paragraph, the Bank shalldeduct the fees and various expenses prescribed by the
Bank from the amount equal to the unit amount for buying
based on the standards provided for in the Prospectus
etc. pertinent to the relevant Investment Trust Beneficiary
Certificate etc. multiplied by the number of units to buy,
and credit the remaining amount to the DesignatedDeposit Account.

<Article 16> US Residents (US Citizens or Residents in US)
and Green Card Holders
US residents under the US Federal Tax Code (US citizens orresidents in US) and US Green Card holders may not open
the Integrated Investment Trust Account. When the Customer
becomes a US resident under the US Federal Tax Code or
obtains the US Green Card after opening the Integrated
Investment Trust Account, the Customer shall report it without
delay, since there may be cases where the Customer may not
maintain such Integrated Investment Trust Account and may
be required to sell or otherwise dispose of the Investment
Trust Beneficiary Certificate etc. in the Customer’s possession.

<Article 12> Cancellation Order and Application for Buying
during the Closed Period
Notwithstanding the provisions of preceding two (2) Articles,
the Bank accepts cancellation order and application forbuying during the closed period only where the case falls
under any of the following circumstances:(i)
When an inheritance of the Customer occurred;(ii) When the substantial part of the Customer ’s
properties is lost due to natural disaster or any otherforce majeure;(iii) W h e n t h e C u s t o m e r h a s b e c o m e s u b j e c t t o
the decision of commencement of bankruptcy
proceedings, etc.
(iv) When the Customer is unable to maintain his/herlivelihood due to sickness; or(v) When the Bank acknowledges the existence of any
other similar circumstance as above.

Part 2 Clauses for Accumulated Investment(ii)<Article 13> Redemption Money etc.
1. The Bank shall receive the Redemption Money etc.
pertinent to the Investment Trust Beneficiary Certificate
etc. on behalf of the customer and shall credit it to theCustomer’s Designated Deposit Account or shall reinvest it
in accordance with the provisions of Part 2.
2. In the procedures of the preceding Paragraph, the fees,
taxes and other public charges, various expenses, etc. thatthe Bank pays to the third party pursuant to various laws
and regulations, various customs, etc. shall be borne by
the Customer, and the Bank shall deduct them from the
Redemption Money etc.
<Article 14> Transaction Report etc.
Where the Transaction is established, the Bank shall send
the transaction report by mail to the Customer’s registeredaddress. Further, the Bank shall periodically send the tradebalance report describing the status of Transactions aswell as the document reporting cancellation etc. of trust
contract related to investment trust, if any, respectively bymail (the documents sent under this Article collectively,
the “Transaction Report etc.”.) If the Transaction Report etc.
does not arrive after a period usually required for mail, or
if there is any doubt about the contents described in theTransaction Report etc., the Customer shall contact the Bank’s
domestic branch where the transaction was made. If there
is no communication from the Customer within the period
specified in the respective Transaction Report etc., the Bank
shall deem that the Customer has approved the contents.

<Article 17> Purpose of this Part
The Clauses for Accumulated Investment provide for the
Bank’s handlings related to the Customer’s accumulated
investment in Investment Trust Beneficiary Certificate etc. (the“Accumulated Investment”) under the integrated investment
trust transaction contract.
<Article 18> Accumulated Investment Contract
1. To effect the Accumulated Investment stipulated inthis Part, the Customer, in addition to the integrated
investment trust transaction contract stipulated in Article
3, Paragraph 3, shall enter into an individual Accumulated
Investment contract (hereunder in this Part, the “Individual
Contract”) with the Bank for each Accumulated Investment
course (the “Accumulated Investment Account”) specified
by the Bank 2. Conclusion of the Individual Contract basedon the preceding Paragraph shall be applied for with theform specified by the Bank.
<Article 19> Re-investment of Return etc.
The Bank shall credit the Redemption Money etc. pertinent to
the Accumulated Investment to such Accumulated Investment
Account, and by appropriating it for payment of amountequivalent to the purchase price etc., the Bank shall executethe purchase transaction of the Investment Trust Beneficiary
Certificate etc. without delay.
<Article 20> Custody of Investment Trust Beneficiary
Certificate etc.
1. The Investment Trust Beneficiary Certificate etc. purchasedt h r o u g h A c c u m u l a t e d I nv e s t m e n t w i l l be k e pt i ncommingle custody with those of the same issue under
any other custody contract.
2. The Bank may charge custody fee of the Investment Trust
Beneficiary Certificate etc. pertinent to such custody.
3. The Bank may gather the Investment Trust Beneficiary
Certificate etc. pertinent to the Accumulated Investment
into certificate of a large face amount for the purposes ofcustody.
4. The Bank shall deem that the Customer has agreed to
the following items concerning the Investment Trust
Beneficiary Certificate etc. placed in commingle custody
pursuant to the provisions of Paragraph 1:(i)
The Customer shall have joint ownership or quasijoint ownership over the Investment Trust Beneficiary
Certificate etc. of the same issue as the issue of thedeposited Investment Trust Beneficiary Certificate45

etc. in proportion to the number or amount of thedeposited Investment Trust Beneficiary Certificate
etc.; and(ii) In newly depositing the Investment Trust Beneficiary
Certificate etc. or in receiving the return of thedeposited Investment Trust Beneficiary Certificate
etc., the Customer shall not need to consult othercustomer s who deposit the Investment Trust
Beneficiary Certificate etc. of the same issue,
concerning the deposit or return of such Investment
Trust Beneficiary Certificate etc.
5. The Bank may deposit the Investment Trust Beneficiary
Certificate etc. pertinent to Accumulated Investment withdepository transfer organisation etc. and have it store thesame based on the laws, regulations, etc.
<Article 21> Return of Investment Trust Beneficiary Certificate
etc. or Money
1. The Bank, when requested for return of the Investment
Trust Beneficiary Certificate etc. or money in custody
based on this Part, shall return it as provided for in this
Article; provided, however, that in the event that the Bank
cannot return in the form of Investment Trust Beneficiary
Certificate etc., the Bank shall liquidate such Investment
Trust Beneficiary Certificate etc. at such time, by suchmethod and at such price as described in the Prospectus
etc. pertinent to such Investment Trust Beneficiary
Certificate etc. and deliver the amount of money, after
deduction of the prescribed fees, various fees, etc., assubstitute for the return, and the Customer shall hereby
agree to the foregoing in advance.
2. The request prescribed in the preceding Paragraph shallbe done in accordance with the procedures prescribed by
the Bank, and the Bank shall return the Investment Trust
Beneficiary Certificate etc. or money pertinent to such
request at the branch which handles the transaction, in
exchange for the receipt prescribed by the Bank with theCustomer’s registered seal (or signature).
3. The provisions of Article 12 shall apply mutatis mutandis
to the procedures of the preceding two (2) Paragraphs
during the closed period of the Accumulated Investment
Account with a closed period.
4. The Bank shall apply the return money in case of the
Customer’s instruction of switch-over to the payment forthe designated Accumulated Investment Account, without
paying it to the Customer.
5. When the Customer applies for cancellation of purchase,the Bank shall return the outstanding balance with the
Accumulated Investment Account at the time of suchapplication similarly with the procedures as specified inparagraph 2.
<Article 22> Others
1. The Bank will not pay interest on the money received
under this Part.
2. Matters not set out in this Part such as the initial payment
amount, time of purchase, number of units to purchase,
method of re-investment, return price, etc. shall begoverned by the provisions of Prospectus etc. of each
Accumulated Investment Account.

Part 3 Clauses for Safe Custody of Investment Trust
Beneficiary Certificate etc.
<Article 23> Purpose of this Part
The Clauses for Safe Custody of Investment Trust Beneficiary
Certificate etc. provide for the Bank’s handlings pertinent tosafe custody of Investment Trust Beneficiary Certificate etc.
based on the integrated investment trust transaction contact.
<Article 24> Scope of Securities for Safe Custody
1. The Bank shall accept the custody of the following
securities as provided for in Article 2, paragraph 1, Items
10 and 11 of the Financial Instruments and Exchange Law:(i)
Beneficiary certificate of investment trust;(ii) Investment security; and(iii) Investment corporate bond.
2. Notwithstanding the preceding Paragraph, the Bank may
decline the safe custody of Investment Trust Beneficiary
Certificate etc., where there exists any adequate cause.

46

3. The Investment Trust Beneficiary Certificate etc. kept incustody pursuant to this Part shall be hereinafter referred
to as “Securities in Safe Custody”.
<Article 25> Deposit Method and Place of Securities in Safe
Custody
The Bank shall keep the Securities in Safe Custody pursuant
to the provisions concerning the segregated custody ofcustomer’s assets as provided for in Article 43-2 of the
Financial Instruments and Exchange Law as follows:(i)
The Bank shall keep the Securities in Safe Custody inthe place designated by the Bank, and in commingle
custody without distinguishing them from othercustomer s ’ securities of the same issue (the“Commingle Custody”), if not specially requested
otherwise. The Investment Trust Beneficiary Certificate
etc. purchased under Part 2 shall be kept as provided
for in Part 2.
(ii) Certificates with a large face amount may be used for
the Commingle Custody under the preceding Item.
(iii) The Bank may re-deposit the Securities in Safe
Custody with other banks, trust banks, securities
companies or other financial institutions in the Bank’s
name.
<Article 26> Matters to be Agreed about Commingle Custody
The Bank deems that the Customer has agreed to the following
matters concerning the Investment Trust Beneficiary Certificate
etc. to be kept in Commingle Custody pursuant to the preceding
Article:(i)
The customer shall have joint ownership or quasijoint ownership over the Investment Trust Beneficiary
Certificate etc. of the same issue in proportion to thenumber or amount of the Securities in Safe Custody;and(ii) In newly depositing the Investment Trust Beneficiary
Certificate etc. or in receiving the return of the
Securities in Safe Custody, the Customer shall notneed to consult other customers who deposit the
securities of the same issue concerning the depositor return of such securities.
<Article 27> Investigation of Public Peremptory Notice, etc.
The Bank is not obliged to investigate public notification (kouji
saikoku), public notice of decision of exclusion (joken kettei),etc. in relation to the Securities in Safe Custody.
<Article 28> Matters to be Agreed about the Act on BookEntry Transfer of Company Bonds, Shares, etc.
With the revision of the Act on Book-Entry Transfer of Company
Bonds, Shares, etc. (the “Transfer Act”), the Bank deems that
the Customer has agreed to the matters in the following Items
1 through 5, in order to shift to the transfer system under theTransfer Act, with regard to the securities which are deposited
to the Bank under the provisions of the Terms and Conditions
and which fall under the special investment trust beneficiaryrights (which means the investment beneficiary rights whose
investment trust clauses were changed for the application of
the Transfer Act concerning the outstanding investment trust
beneficiary rights):(i)
That the consigned investment trust managementbusiness operator shall perform, as agent, theapplication to the transfer organisation concerning
the entry or record of the transfer acceptance book as
stipulated in Article 14 of Supplementary Provisions
as referred to in Article 32 of Supplementary
Provisions of the Transfer Act and such otherprocedures (such as submission of beneficiary
certificates) as required for the shift to the transfer
system based on the Transfer Act;(ii) That the consigned investment trust managementbusiness operator as authorised agent under
the preceding Item shall consign to the Bank the
performance of such procedures required for theshift to the transfer system based on the Transfer Act
as described in the preceding Item;(iii) That the beneficiary securities cannot be withdrawn
for a certain period of time before the shift;(iv) That there may be a case where the entry or record
to the transfer account ledger may be made through(v)the Bank’s account (proprietary account) in thetransfer procedures; andThat the special investment trust beneficiary rights
which have been shifted to the transfer system under
the Transfer Act shall be managed under the provisionof the clauses separately prescribed by the Bank
based on the provisions of the Transfer Act, otherrelevant laws and regulations, as well as the businessprocedures and other provisions of the transferorganisation, instead of the provisions of this Part.

Part 4 Clauses for Management of Investment Trust
Beneficiary Right Transfer and Settlement Account<Article 29> Purpose of this Part
The Clauses for Management of Investment Trust Beneficiary
Right Transfer and Settlement Account provide for the Bank’s
handlings concerning the account (the “Transfer Settlement
Account”) of the Customer who uses the transfer systemstipulated in the Transfer Act, based on the integrated
investment trust transaction Contract.
<Article 30> Transfer and Settlement Account
1. With the establishment of integrated investment trusttransaction contract as stipulated in Article 3, Paragraph
3, the Transfer Settlement Account shall be opened on thetransfer account ledger kept by the Bank as the accountmanagement organisation under the Transfer Act.
2. The Transfer Settlement Account shall be divided into
internal categories in accordance with the provisions ofJapan Securities Depository Center, Inc. (the “Center”);
the Transfer Settlement Account shall be opened with two(2) separately established internal categories, that are aninternal category which is an account to enter and record
investment trust beneficiary right which is the subjectof pledge (the “Pledge Account”) and the other internal
category which is an account to enter or record any otherinvestment trust beneficiary right (the “Custody Account”).
3. The Bank shall enter or record only the investment trust
beneficiary right of which the Customer has the right. The
scope of investment trust beneficiary right is subject to theprovisions of the Center’s business procedures concerning
the corporate bonds etc.
4. The Bank shall manage the Transfer Settlement Account inaccordance with the Transfer Act and other relevant laws
and regulations, and the Center’s business procedures
concerning the corporate bonds etc. and other provisions,in addition to the provisions of this Part. The Customer
shall agree to comply with these laws and regulations
and to follow the necessary measures taken by the Centerand the business processing procedures concerning theCenter’s transfer business as specified by the Center andthe Bank shall deem that the document concerning suchagreement has been submitted, with the delivery of theTerms and Conditions to the Customer.
<Article 31> Application for Transfer
1. The Customer may apply to the Bank for transfer of theinvestment trust beneficiary right entered or recorded in
the Transfer Settlement Account, except for those specified
in the following Items:(i)Those which are subject to attachment and others
for which transfer or application for transfer
are prohibited by other provisions of laws andregulations;(ii) Those related to transfer or pledge prohibited by
the provision of laws and regulations and others
specified by the Center;(iii) Those to be transferred on the business day on whichtransfer is suspended by designation of the issuer forthe purpose of processing distribution of revenues(excluding the case of the application for transfer tothe account of the Bank, as transferee);(iv) Those to be transferred on a business day during thetransfer suspension period (the “Transfer Suspension
Period”) before the redemption date designated by
the issuer for the purpose of processing redemption
amounts (excluding the case of the application fortransfer to the account of the Bank, as transferee) ;(v)

Those to be transferred on the next business dayof the redemption date (excluding the case of theapplication for transfer to the account of the Bank
filed on or prior to the preceding business day of thedate of the intended transfer);(vi) Those to be transferred on any of the days listed
below concerning application for transfer to or froma non-designated company (which means a transfer
that utilises the Center’s non-designated company
transfer information management function among
the transfers whose transferor or transferee is anaccount management organisation etc. other thanthe designated sales company.);(1) The preceding business day of the business day on
which transfer is suspended by designation of theissuer for processing of distribution of revenues(excluding the case of the application for transfer
filed on or prior to the preceding business day of thedate of the transfer.);(2) The business day on which transfer is suspended
by designation of the issuer for processing of
distribution of revenues;(3) Any business day during the transfer suspension
period until two (2) business days before theredemption date (excluding the case of theapplication for transfer to the account of the Bank, astransferee);(4) The preceding business day of the redemption date(excluding, so long as such business day shall not
fall on a day during the transfer suspension period,
the case of the application for transfer filed on or
prior to the preceding business day of the date of
the transfer; as well as excluding, so long as suchbusiness day shall fall on a day during the transfer
suspension period, the case of the application fortransfer to the account of the Bank, as transferee.);(5) The redemption date; and(6) The next business day of the redemption date.
(vii) Those for which transfer is not accepted by thetransferee account management organisation due tosuch reason that they do not deal with the issue forwhich the transfer is applied.
2. In applying for a transfer, the customer shall submit,
during a period specified by the Bank counting
back from the transfer date, the application form
prescribed by the Bank to the Bank’s domestic
branch designated by the Bank, after completing thefollowing items:(i)
The issue and number of the investment trust
beneficiary right for which the entry of, or the recordof, decrease and increase shall be made;(ii) Distinction between the Custody Account and thePledge Account under the Customer ’s Transfer
Settlement Account, to which the entry or the recordof decrease of the investment trust beneficiary rightshall be made;(iii) The transferee account and the name of theimmediate upper-level organisation;(iv) Distinction between the Custody Account and thePledge Account under the transferee account, towhich the entry or the record of increase of theinvestment trust beneficiary right shall be made; and(v) The transfer date.
3. The number prescribed in Item 1 of the preceding
Paragraph shall be designated by integral multiple of one
unit.
4. In case that the transfer is applied for between theinternal categories of the Transfer Settlement Account,the presentation of Paragraph 2, Item 3 is not necessary.
For Item 4 of the same Paragraph, the Customer shalldesignate the “Transferee Account” as “The Customer’s
Transfer Settlement Account”.
5. In case that the Customer shall request the Bank to buy
the investment trust beneficiary right, the Bank shall treat
that the application for transfer of the investment trust
beneficiary right has been made without the proceduresprescribed in each of the preceding Paragraphs.

47

<Article 32> Establishment of Pledge
1. The Customer shall not establish the pledge (shichiken)
on the investment trust beneficiary right except when the
Bank approves it.
2. In establishing the pledge pursuant to the provision of thepreceding Paragraph, the transfer under the proceduresprescribed by the Bank shall be performed in accordancewith the specifications by the Center.
<Article 33> Delegation of Application for Extinguishment
When the investment trust beneficiary right entered orrecorded in the Transfer Settlement Account shall be
redeemed, or cancelled by the Customer’s order, or when
the trusts pertaining to the investment trust beneficiary rightentered or recorded in the Transfer Settlement Account are
merged, then the Bank shall treat that the Customer hasdelegated to the Bank the procedures based on the Transfer
Act in relation to the application for extinguishment of suchinvestment trust beneficiary right; and the Bank shall performthe procedures on behalf of the Customer based on suchdelegation.
<Article 34> The Bank’s Joint Guarantee Obligation
The Bank shall jointly guarantee the fulfillment of all theobligations stipulated in the following Items, which theCenter or the upper-level organisation shall owe, pursuant to
the Transfer Act etc., to the Customer (only if the Customer
qualifies as the member (kanyuu-sha) as provided for in
Article 11, Paragraph 2 of the Transfer Act);
Obligation to pay the redemption amount, cancellation(i)amount or distribution of revenues, for the excess
part of investment trust beneficiary right (excluding
the part for which it is proved that no one has
obtained the investment trust beneficiary right)
caused by non-fulfillment of the obligation for(ii)

cancellation as provided for in the Transfer Act, inspite of the erroneous entry or record in the transfer
account ledger exceeding the actual number of units
at the Center or the upper-level organisation when
performing the transfer procedure of investment
trust beneficiary right; andIn addition to the above, obligation to compensate
the damages caused by non-fulfillment of obligationof cancellation as provided for in the Transfer Act at
the Center or the upper-level organisation.

<Article 35> Notice of not Dealing with Some of Issues ofInvestment Trust Beneficiary Right Dealt with by
the Center
1. The Bank might not deal with some of the issues specified
by the Bank among the investment trust beneficiary rights
dealt with at the Center.
2. The Bank shall notify the Customer of the availability ofthe dealing with certain investment trust beneficiary right,
if inquired by the Customer.
<Article 36> Measures to be Taken at the Time of Cancellation
When the Integrated Investment Trust Account is cancelled, theCustomer shall immediately take the procedures prescribedby the Bank to transfer the investment trust beneficiary rightto another account management organisation. In case thatthe transfer cannot be executed, the Bank may cancel suchinvestment trust beneficiary right and return the proceeds incash, and the Customer shall agree with it.
<Article 37> Measures in Emergency
The Bank may take flexible measures, in case of being
required to transfer the investment trust beneficiary right
pursuant to the laws and regulations or in case of emergency,such as fi re etc. of the branch etc.

Section 19 Terms and Conditions for Foreign Securities Transaction Account
The Terms and Conditions for Foreign Securities Transaction Account (hereunder in this Section, the “Terms and Conditions”)
provide for the Bank’s handlings pertinent to the foreign securities transactions by the Customer holding the Premier Accountwith the Bank.

Part 1 General Rules<Article 1> Purpose of the Terms and Conditions
1. The Terms and Conditions are the agreements forc l a r i f y i n g t h e r i g h t s a n d o b l i ga t i o n s c o n c e r n i n gtransactions of foreign securities (which term shall mean
foreign securities as provided for in the regulations madeby Japan Securities Dealers Association or any financial
instruments exchange, legally allowed to be handled by
the Bank, and designated by the Bank; the same shallapply hereafter.) between the Customer and the Bank.
2. When consigning to the Bank the transactions in which
the sale/purchase orders for foreign securities arecommissioned to a financial commodity market (including
over-the-counter market; the same shall apply hereafter) ina country other than Japan (the "Overseas Transactions"),
domestic over-the-counter transactions of the foreign
securities (the "Domestic Over-the-Counter Transactions")or the consignment of custody of the foreign securities
to the Bank (in case where, under the applicable laws
concerning the issuance of such foreign securities, nonissuance of the physical certificate with respect to therights represented by such foreign securities is allowed
and where the physical certificate has not in fact been
issued (the "Deemed Foreign Securities"), including
management of quantity with respect to the rights
represented by such foreign securities that are entered orrecorded in the account of the foreign securities; the same
shall apply hereafter), the Customer shall fully understandthe contents of the Terms and Conditions and shall
execute the foreign securities transactions on his/her own
judgment and responsibility.

48<Article 2> Processing through Foreign Securities Transaction
Account
All the foreign securities transactions entered into by the
Customer with the Bank, such as execution of sale/purchase,settlement of sale/purchase proceeds, custody of securities,
and other delivery of money pertinent to the foreign securities
transactions, shall be processed through the foreign securities
transaction account (the “Foreign Securities Transaction
Account”); provided, however, that the foreign investment
trust beneficiary certificates as well as investment securities
and investment corporate bonds of foreign corporations(collectively, the “Foreign Investment Securities etc.”) shall beprocessed through the Integrated Investment Trust Account as
specified in Section 18, Article 3, Paragraph 2.
<Article 3> Matters to Observe
The Customer, in relation to foreign securities transactions
with the Bank, shall comply with the provisions pertinent
to the sale/purchase of foreign securities of various
Japanese laws and regulations and of various regulations,decisions and practices prescribed by the domestic financial
instruments exchange which executes the sale/ purchase ofsuch securities (“Such Exchange”), Japan Securities Dealers
Association, settlement companies (which term means
any of Japan Securities Settlement & Custody, Inc., Japan
Securities Depository Center, Inc. and other settlement
organisations designated by Such Exchange; the same shallapply hereafter.). Further, the Customer shall observe theinstructions of the Bank, if any, concerning various laws andregulations, practices, etc. of countries etc. where the issuersof foreign securities (or the depository organisations related
to the depository receipts in the case of depository receipts;
the same shall apply hereafter.) are located.

Part 2 Overseas Transactions and Domestic Over-theCounter Transactions of Foreign Securities<Article 4> Instruction of Place and Method of Execution on
Sale/Purchase Orders
The type of sale/purchase transaction, place and method of
execution of sale/purchase orders by the Customer placed to
the Bank shall be subject to the Customer’s prior instructions,to the extent the Bank may respond to them.
<Article 5> Acceptance, Execution and Processing or Orders
Sale/Purchase orders and applications for acquisition offoreign securities pertinent to subscription and offering fromthe Customer to the Bank shall be subject to the provisions of
the following Items:(i)
It shall be allowed that foreign trades andapplications for acquisition of foreign securities
pertinent to subscription and offering may cause
difference between the date and time of orderplacement and the date and time of contract, due tothe holidays of relevant countries, the time difference
etc. as long as they are processed by the Bank
without delay;(ii) Orders to the Bank shall be placed during the hours
specified by the Bank;(iii) Domestic over-the-counter transactions shall be
executed if the Customer requests them and the
Bank can respond to the request;(iv) The minimum purchase unit of foreign securities
shall be specified by the Bank; and(v) After confirming the establishment of sale/purchaseetc. the Bank shall dispatch a transaction report etc.
to the registered address of the Customer, without
delay.
<Article 6> Settlement Date etc.
Processing, such as delivery after establishment of atransaction, shall be performed in accordance with thefollowing Items:(i)
In the case of foreign trade, the date on which the
Bank confirmed the establishment of sale/purchaseorder at the place of execution (or the immediately
following business day if the date falls on a nonbusiness day) shall be the contract date; and(ii) The settlement date concerning the sale/purchase offoreign securities shall be the fourth (4th) business
day starting from the contract date, unless otherwise
agreed between the Customer and the Bank.
<Article 7> Procedures for Custody, Name and Return of
Foreign Securities
In case that the Customer consigns the custody of foreign
securities to the Bank, the procedures for custody, nameand return of such foreign securities shall be performed inaccordance with the following Items:(i)
The foreign securities acquired by the Customer
shall be consigned to the Bank under a commingle
custody contract;(ii) If the foreign securities (other than the Deemed
Foreign Securities) consigned under the preceding
Item are in the custody of a depository organisation
designated by the Bank (the “Bank’s Depository
Organisation”), the Customer shall obtain the rights
in accordance with the quantity concerning suchforeign securities entered or recorded in the Bank's
account for such foreign securities at the Bank's
Depository Organisation and such foreign securities
shall be kept based on the nature of such rights
obtained corresponding to its quantity, in accordancewith the applicable laws and practices;(iii) With respect to the Deemed Foreign Securities, theprovisions of the preceding Item shall apply mutatis
mutandis. In such case, "the foreign securities(other than the Deemed Foreign Securities) are in
the custody of the Bank’s Depository Organisation"in the preceding Item shall be replaced with "thequantity concerning the Deemed Foreign Securities
is entered or recorded in the Bank's account at the
Bank's Depository Organisation" and "the Customer
shall obtain the rights in accordance with thequantity concerning such foreign securities" shall be
replaced with "the Customer shall obtain the rights
in accordance with the quantity concerning such
Deemed Foreign Securities".
(iv) In case that the registration of nominee is required
for foreign securities, such nominee shall be
the Bank’s Depository Organisation or a person
designated by such depository organisation;(v) In case that the Customer needs to sell, to transfer
the custody of, or to obtain the return of, the foreign
securities consigned pursuant to the provisions of
the Item 1, the Bank shall process it in accordancewith the prescribed procedures; provided, however,that the Customer shall not request for return, inJapan, of the foreign securities whose physicalcertificates are not returned due to the local laws,
regulations, etc.;(vi) In case that the Bank was required to pay actual costs
concerning the transfer of custody and return under
the preceding Item, the Customer shall pay, at eachtime of such occurrence, the amount equivalent tosuch actual costs to the Bank; and(vii) In case that, due to the loss of value as securities, thebalance of foreign securities kept pursuant to Item 2 isextinguished based on the local laws, regulation, etc.
at the Bank’s Depository Organisation, the Bank shallextinguish the consigned balance pertinent to suchextinguishment in the Foreign Securities Transaction
Account, and treat the physical certificate pertinent
to such securities as disposed of, except where theCustomer especially requests otherwise to the Bank.
<Article 8> Processing in Case of Nonconformity for the
Selection Standards
In case that the Foreign Investment Securities etc. have comenot to conform to the selection standards specified by theJapan Securities Dealers Association, the Bank suspends thesales of such Foreign Investment Securities etc. In this case,the Bank accepts the Customer’s request for intermediation ofliquidation of such Foreign Investment Securities etc. that theCustomer purchased.
<Article 9> Processing of Rights concerning Foreign Securities
The processing of rights on foreign securities kept in custodywith the Bank’s Depository Organisation shall be handled inaccordance with the provisions of following Items:(i)
The Bank shall receive, on behalf of the Customer,
the dividends, interests, distributions of revenues
and other fruits of, and the redemption amountsof, the foreign securities kept in custody at suchdepository organisation and shall pay the sameto the Customer. In this case, if charges are leviedpursuant to the laws, regulations, practices etc. of
the country etc. where the issuer of such foreign
securities is located, such charges shall be borne by
the Customer and the Bank shall charge the same to
the Customer by deducting the same from such fruits
or redemption amounts or otherwise;(ii) In case that subscription right for new share or shareoption is granted to the foreign securities, the Bank,in principle, shall dispose of such right or warrant
and process the sales proceeds in applying, mutatis
mutandis, the provisions of the preceding Item;
provided, however, if the Bank cannot sell all or partof such subscription right for new share or shareoption due to laws and regulations or practices of thecountry where the issuer of such foreign securities islocated or due to the market conditions, such all orpart of the subscription right for new share or shareoption shall become invalid;(iii) The stocks allocated by stock dividends, stock split,
free distribution, capital reduction, merger, shareexchange, etc. shall be processed through the
Bank at the Foreign Securities Transaction Account;provided, however, that all the less than-unit stocks
in the financial instruments markets in countries
other than Japan shall be disposed of by sellingthem and the sales proceeds shall be processed byapplying, mutatis mutandis, the provisions of Item 1,49

unless the Customer especially requests otherwise;(iv) In case that withholding tax shall be imposed on
the stocks allocated under the provisions of thepreceding Item, regardless of such provisions, theBank shall dispose of all such stocks and process
the sales proceeds by applying, mutatis mutandis,
the provisions of Paragraph 1, unless the Customer
especially requests otherwise;(v) In case that rights other than those listed in thepreceding Items are granted to foreign securities, theBank shall dispose of all such rights and process thesales proceeds by applying, mutatis mutandis, theprovisions of Item 1, unless the Customer especiallyrequests otherwise;(vi) The bank shall follow the Customer’s instructions
on the exercise of the right to vote or to object at
the general meeting of shareholders, meeting ofcreditors, meeting of beneficiaries, or meeting ofowners etc; provided, however, that the Bank shallnot exercise the right to vote or to object, if not
instructed by the Customer; and(vii) The Bank may perform, on behalf of the Customer,
the procedures for application of reduced tax rateor exemption, tax refund, etc. concerning thewithholding tax imposed in any country etc. otherthan Japan on the fruits specified in Item 1.
<Article 10> Various Notices
1. The Bank shall send following notices to the registeredaddress of the Customer concerning the foreign securities
pertinent to the consignment:(i)
Notice of matters which may affect significantly
the position of stockholder, beneficiary and owner,
including a capital increase, stock split, reverse stock
split, etc.; and(ii) Notice of dividends, interests, distributions ofrevenues, redemption amount, etc.
(iii) Notice of important issues in shareholders meetingsuch as amalgamation.
2. In addition to the notices in the preceding Paragraph, theBank or the issuer of the Foreign Investment Securities etc.
shall send the report and other documents on settlementof accounts concerning the Foreign Investment Securities
etc. under the consignment; provided, however, that, withregard to the report and other documents concerning
settlement of accounts of the investment securities ofa foreign corporation, the Bank will not send the same
so long as the contents thereof are published in a daily
newspaper which carries news of current affairs, except
when the notice is stipulated by laws and regulations orwhen the Customer especially requests for the same.
<Article 11> Processing of Various Notices from Issuers
1. Notices and materials etc. delivered from the issuers are
kept and offered at the Bank for inspection for three (3)years from the date of their arrival to the Bank; provided,
however, that the Bank will send them to the Customer’s
registered address, if the Customer so requests.
2. The actual costs required for sending the notices andmaterials etc. to the Customer under the proviso of thepreceding Paragraph shall be paid by the Customer to the
Bank each time of dispatch, except for those pertinent to
the Foreign Investment Securities etc.
<Article 12> Various Charges etc.
1. The charges and the due date thereof concerning theexecution of transaction shall be handled in accordancewith the provisions of the following Items:(i)
The Customer shall pay to the Bank, concerning
the overseas transactions of foreign securities, thesale/purchase fees, taxes and public dues and othercharges, as well as the prescribed brokerage fees,in the financial instruments market of the countryetc. other than Japan, before the settlement datespecified in Article 6, Item 2; and.
(ii) The Customer shall pay to the Bank, concerning
the application for acquisition pertinent to thesubscription and offering of the Foreign Investment
Securities etc., the fees specified by the foreign
investment trust or foreign investment company

50

pertinent to such Foreign Investment Securities etc.
and the taxes and public dues imposed in the placeof intermediary of order and other charges, before
the due date specified in the prospectus etc.
2. The Customer shall pay the actual cost incurred by
the Bank each time when the Bank performs special
procedures under the Customer’s instruction.
<Article 13> Settlement of Money
1. Settlement of money between the Bank and the Customer
concerning the foreign securities transactions etc. provided
for in the Terms and Conditions shall be made, in principle,
in the same currency as the currency in which such foreign
securities are denominated; provided, however, that thesettlement may be made by the currency designated by
the Customer to the extent that the Bank can respond tosuch designation. In this case, conversion between foreign
currency and Yen, or between different foreign currencies
shall be subject to the provision of Article 15 of “Section
1: HSBC Premier Account General Agreement”, and theforeign exchange rate of the date of conversion shall apply,
unless otherwise agreed or designated.
2. The conversion date under the preceding Paragraphshall be the contract date for sale/purchase price, andthe day on which the Bank confirmed the receipt of thetotal amount for the fruits such as dividends, interests,
distributions of revenues, etc. and of the redemption
amount of the foreign securities kept in custody at suchdepository organisation, as well as for the liquidation
proceeds of share option granted to the foreign securities
that the Bank was consigned for custody from theCustomer.
3. Settlement of foreign currency pertinent to the foreign
securities transaction shall be made, in principle, bymeans of transfer from or to the Customer’s Yen Savings
Account or Multi Currency Savings Account.

Part 3 Miscellaneous Rules<Article 14> Delivery of Transaction Balance Report
1. The Customer shall periodically accept the deliveryof the transaction balance report issued by the Bank,
concerning the foreign securities consigned to the Bank;
provided, however, that with regard to the transaction
balance report, if the Customer so requests, the method of
accepting the delivery without delay after the settlementof the transaction shall be employed, instead.
2. Notwithstanding the provisions of the preceding
Paragraph, the Customer shall accept the deliveryof transaction balance report without delay after thesettlement of the transaction, if the Bank is not, by laws
and regulations, obliged to deliver the transaction balance
report to the Customer, except where the laws andregulations provides otherwise.
3. Even if the Bank is to deliver the transaction balance
report to the Customer without delay after the settlementof the transaction, there may be a case, with regard
to the items to be stated as stipulated by the laws andregulations, that the Bank shall deliver the transaction
balance report periodically, instead of the method ofdelivering the transaction balance report without delay
after the settlement of the transaction.
<Article 15> Cancellation of Contract
1. The Customer may, at any time, cancel the Foreign
Securities Transaction Account by notifying the Bank of itwith the form specified by the Bank.
2. If the Customer falls upon any of the following Items, theBank shall be entitled to cancel the Foreign Securities
Transaction Account:(i)
When the Bank recognises that the Customer made a
false registration about the matters to be registeredetc. concerning the Foreign Securities Transaction
Account;(ii) When the Customer’s Premier Account is cancelled;(iii) When there is any reasonable cause in light of laws
and regulations, etc. such as that there is no balancein the Foreign Securities Transaction Account for aconsiderable period of time; or(iv) When there exists any other unavoidable circumstance.
3. In the case of the preceding two (2) Paragraphs and in casewhere there is a balance of consigned foreign securities
in the Foreign Securities Transaction Account, the Bank
shall return the foreign securities and money kept by the
Bank in accordance with the method determined by the
Bank. If it is difficult to return the foreign securities kept
by the Bank in their original status, the Bank shall, upon
instruction from the Customer, return the sales proceeds
etc. after converting them into cash or conducting
offsetting transactions in accordance with the method
designated by the Bank.
4. In the case of Paragraph 1 and Paragraph 2, Item 1, 2 or 4,
if the Customer has given the instruction as provided forin the preceding Paragraph, the Customer shall pay theactual expenses incurred by the Bank immediately upon
the Bank’s request.
<Article 16> Consent to the Provision of Personal Data to
Third Party
The Customer shall agree that the personal data of the
Customer (address, name, contact, date of birth, number andvolume of foreign securities in possession and other items,
limited to the scope necessary for the relevant case) may beprovided in any of the cases listed in the following Items toany party specified in the relevant Item:(i)
In case that the procedures are performed for
application for reduction of tax rate or exemption,
tax refund and other procedures pertinent to thewithholding tax imposed on the dividends, interests,
distributions of revenues and other fruits of foreign
securities in any country etc. other than Japan; thetax authorities of such country etc., the depositoryorganisation of such foreign securities or a person towhom those parties have delegated such procedures;(ii) In case that the procedures are performed for
application for reduction of tax rate or exemption,
tax refund and other procedures pertinent to thewithholding tax imposed on the dividends, interests,
distributions of revenues and other fruits of foreign
securities pertinent to the rights indicated on thedepository receipt in any country etc. other thanJapan; the tax authorities of such country etc., thedepository organisation of such foreign securities ora person to whom those parties have delegated suchprocedures;(iii)

In case that the issuer of the foreign securities or of
the foreign securities permanent to the right indicatedon the depository receipt prepares statistical datanecessary for the preparation of securities report(yuukashouken houkokusho) and other documents
based on the laws and regulations or the rules set
forth by the financial instruments exchange etc. ofJapan or of country etc. other than Japan (the “Lawsand Regulations etc.”), for the exercise of rights or
performance of obligations under the Laws andRegulations etc., or provision of information or public
relationship activities etc. for actual shareholders;the issuer or depository organisation of such foreign
securities or the issuer or depositary organisation offoreign securities pertinent to the rights indicated onsuch depository receipt; and(iv) In case that the supervisory authorities (including
self-regulatory Organisations authorized by suchsupervisory authorities; the same shall apply in thisItem) of financial instruments market of any countryetc. other than Japan where the sale/purchase offoreign securities is executed investigates, under theLaws and Regulations etc. of such country etc., forthe purposes of money laundering, cases of breach
related to securities transactions or procurement etc.
of the fairness in trade in such financial instruments
mark et; such supervisory authorities, or theforeign securities business operator or depositoryorganisation pertinent to the sale/purchase of suchforeign securities.
<Article 17> Application of Other Provisions
1. Matters not provided for in the Terms and Conditions, suchas changes in registered items, prohibition of transfer
and pledge, cancellation, disclaimer, governing law,jurisdiction, changes in the terms and conditions, shall begoverned by “Section 1: HSBC Premier Account General
Agreement” and “Section 18: Terms and Conditions for
Integrated Investment Trust Account”.
2. In case of any discrepancy between “Section 1: HSBC
Premier Account General Agreement” or “Section 18:
Terms and Conditions for Integrated Investment Trust
Account” and the Terms and Conditions, the Terms andConditions shall prevail.

Section 20 Terms and Conditions for Specified Account
The Terms and Conditions for Specified Account (hereunder in this Section, the “Terms and Conditions”) provides for the Bank’s
handlings concerning transactions of the Listed Stock etc. in the Specified Account made by the Customer holding the Premier
Account with the Bank.
<Article 1> Purposes etc. of the Terms and Conditions
1. The Terms and Conditions are the arrangements forclarifying the following matters:(i)
Matters concerning the Specified Account to beopened at the Bank’s domestic branches, as well as
the rights and obligations between the Customer andthe Bank, so that the Customer may be applicableto the special rules of income calculations etc.
in relation to the transfer of the Listed Stock etc.
Deposited in the Special Account, pursuant to theprovisions of Article 37-11-3 of the Special Taxation
Measures Law; and(ii) Requirements provided for in Article 37-11-6,
Paragraph 4, Item 1 of the Special Taxation Measures
Law, as well as the rights and obligations between
the Customer and the Bank, with respect to thereceipt of dividends etc. of the Listed Stock etc. in theSpecified Account (Withholding Selection Accountonly) opened with the Bank so that the Customer
becomes subject to the special rules regarding
income calculations and withholding taxation etc. in
relation to the dividends in the Withholding Selection
Account etc., as provided for in Article 37-11-6,
Paragraph 1 of the Special Taxation Measures Law.

2. The Bank shall conclude the Custody Consignment
Contract for Listed Stock etc. (hereafter in this Section, the“Contract”) with the Customer pursuant to the Terms andConditions.
3. In the Terms and Conditions, the terms listed in the following
sub-paragraph mean as specified in each sub-paragraph:(i)
The “Specified Account” shall mean the specified
account as provided for in Article 37-11-3, Paragraph
3, Item 1 of the Special Taxation Measures Law;(ii) The “Listed Stock etc.” shall mean the listed stock
etc. specified by the Bank among the listed stockprovided for in Article 37-11, Paragraph 1 of theSpecial Taxation Measures Law;(ii)-2 "Withholding Selection Account" shall mean thewithholding selection account provided for in Article
37-11-6, Paragraph 1 of the Special Taxation MeasuresLaw;(ii)-3 "Specified Listed Stock Dividend Etc. Account" shallmean the account to distinguish the record on
dividends etc. of the Listed Stock etc. from the recordon other dividends etc. of the Listed Stock etc.;(iii) The “Listed Stock etc. Deposited in the Special
Account” shall mean the Listed Stock etc. for which
the entry or record in the transfer account ledger

51pertinent to the Specified Account shall be made, orthe custody of which is consigned at the Specified
Account;(iv) The “Custody Consignment Contract for Listed Stocketc.” shall mean the custody consignment contractof listed stock etc. as provided for in Article 37-11-3,
Paragraph 3, Item 2 of the Special Taxation Measures
Law;(v) The “Specified Custody Account” shall mean, withrespect to the Listed Stock etc. for which the entry
or record shall be made or the custody of which isconsigned in the Specified Account as provided forin Article 37-11-3, Paragraph 3, Item 2 of the Special
Taxation Measures Law, the account to distinguishthe record on such custody consignment from therecord on other transactions; and(vi) The “Financial Instruments Dealer etc.” shall mean
the financial instruments dealer provided for in
Article 37-11-3, Paragraph 3, Item 1 of the Special
Taxation Measures Law.
<Article 2> Scope of Listed Stock etc. Acceptable in Specified
Account
The Bank shall accept, in the Customer’s Specified Custody
Account, only the Listed Stock etc. specified in the following
sub-paragraphs (excluding the Listed Stock etc. pertinent tothe specified share option etc. as provided for in Article 292, Paragraph 1 of the Special Taxation Measures Law andobtained under the application of the main sentence of such
Paragraph):(i)
The Listed Stock etc. that the Customer obtains
by consigning its purchase to the Bank or obtains
through the Bank, and that the Bank accepts in theSpecified Account immediately after the Customer’s
acquisition, after the Customer has submitted
the Form of Notice of Specified Account Opening
provided for in Article 3;(ii) The Listed Stock etc. that the Bank accepts in the
Customer’s Specified Account by transfer of all orpart of the Listed Stock etc. Deposited in the Specified
Account accepted in such Customer ’s Specified
Account maintained with a financial instruments
dealer other than the Bank, by the method specified
in laws and regulations and by the Bank;(iii) The Listed Stock etc. that the Customer acquires
through the subscription of the Listed Stock etc.
(limited to one qualifies as subscription of securities
as provided for in Article 2, Paragraph 3 of the
Financial Instruments and Exchange Law; hereafterin this Section, “the Subscription of Securities”)) by
the Bank;(iv) The Listed Stock etc. that the Customer acquiresby gift, inheritance (excluding the one related toqualified acceptance (gentei shounin); the same shallapply hereafter.), or testamentary gift (excluding the
one related to qualified acceptance (gentei shounin)among the testamentary gift of universal succession(houkatsu izou); the same shall apply hereafter.),that have been continuously entered, recorded, orconsigned for custody, in the Specified Accountmaintained with the Bank or any other financial
instruments dealer etc. by the donor of such gift,
the decedent of such inheritance or the universal
testamentary donor in such testamentary gift, andthat the Bank accepts in such Customer’s Specified
Account with the Bank;(v) With regard to the Listed Stock etc. Deposited in
the Specified Account, the Listed Stock etc. to beacquired by stock split or reverse stock split, and theacceptance to the Specified Account of which Listed
Stocks etc. related to such stock split or reverse stock
split is processed by means of the entry or record
into the transfer account ledger or the customer
account ledger under the Act on Custody and Transfer
of Share Certificate etc.;(vi) With regard to the Listed Stock etc. Deposited in theSpecified Account, the stock of merged company
acquired through the merger of corporations (limited
only to the merger in which either the stock or capital52

of such merged corporation is delivered or the stockor capital of the corporation having such relationshipas stipulated in the Cabinet Order with the merged
corporation shall be delivered to the shareholders
etc. of such corporation), and the acceptance to theSpecified Account of which is processed by means of
the entry or record into the transfer account ledger
or the customer account ledger under the Act on
Custody and Transfer of Share Certificate etc.;(vii) With regard to the Listed Stock etc. Deposited in
the Specified Account, the stock of the succeeding
corporation in split (bunkatsu shoukei houjin) (whichmeans a corporation as provided for in Article 2, Item
12-3 of the Corporate Tax Law; the same shall apply
hereafter.) or the stock of the succeeding parent
corporation in split (bunkatsu shoukei oya houjin)(which means a succeeding parent corporation asprovided for in Article 2, Item 12-11 of the Corporate
Tax Law; the same shall apply hereafter.) acquiredby the split of corporation (limited only to the splitof corporation in that either the stock (including
capital) of the succeeding corporation in split or thestock of the corporation having such relationshipas stipulated in Cabinet Order with the succeeding
corporation in split shall be deli vered to theshareholders of such split corporation (which meansa corporation as provided for in Article 2, Item 12-2of the Corporate Tax Law) (that includes the split ofcorporation in which the stock of such succeeding
corporation in split or the stock of such succeeding
parent corporation in split, as well as the money andsuch other assets, other than the split compensation
assets (bunkatsu taika shisan), as distribution of
surplus fund or as distribution of profits related tothe stock, shall be delivered to the shareholders ofsuch split corporation.)) and the acceptance to theSpecified Account of which is processed by means of
the entry or record into the transfer account ledger
or the customer account ledger under the Act on
Custody and Transfer of Share Certificate etc.;(viii) With regard to the Listed Stock etc. Deposited in theSpecified Account, the stock of the wholly owningparent company in share exchange (which means awholly owning parent company in share exchange asprovided for in Article 2, Item 12-6-4 of the Corporate
Tax Law) acquired by the share exchange as provided
for in Article 37-14, Paragraph 1, Item 4 of the Special
Taxation Measures Law and the stock of the wholly
owning parent company in share transfer (whichmeans the wholly owning parent company in sharetransfer as provided for in Article 2, Item 12-7 of the
Corporate Tax Law) acquired by the share transfer as
provided for in Article 37-14, Paragraph 1, Item 4 of
the Special Taxation Measures Law, the acceptanceto the Specified Account of which is processed bymeans of the entry or record into the transfer accountledger or the customer account ledger under the Act
on Custody and Transfer of Share Certificate etc.;(ix) The Listed Stock etc. acquired by exercise of theshare option granted on the Listed Stock etc.
Deposited in the Specified Account or the right tosubscribe the shares granted on such Listed Stocketc. Deposited in the Specified Account or thesubscription right granted on such Listed Stock etc.
Deposited in the Specified Account, the acceptanceto the Specified Account of which is processed bymeans of the entry or record into the transfer accountledger or the customer account ledger under the Act
on Custody and Transfer of Share Certificate etc.;(x) The Listed Stock etc. that the Customer acquires
through the solicitation conducted by the Bank or asa result of the redemption of the corporate bond withthe special agreement of redemption by the Listed
Stock etc. (which means a corporate bond with thespecial agreement that, if the stock index related
to the Listed Stock etc., or the price of the Listed
Stock etc. issued by a party other than the issuer ofsuch corporate bond, satisfies the pre-determinedcondition, the redemption of such corporate bondwill be made with money equivalent to the face valueof such corporate bond or with such Listed Stock etc.)
which the Customer has acquired through the Bankand the entry or the record of which has been madein the transfer account ledger related to the Bank’s
account, or the consignment of custody of which has
been made in such account, continuously, from thenext day of the acquisition date, and the acceptanceto the Specified Account of that is processed bymeans of the entry or record into the transfer accountledger or the customer account ledger under the Act
on Custody and Transfer of Share Certificate etc.;(xi) The Listed Stock etc. that the Customer acquiresby the exercise of right or fulfillment of obligation
associated with the transaction listed in Article 28,
Paragraph 8, Item 3, ha of the Financial Instruments
and Exchange Law which the Customer has made in
the account with the Bank, and the acceptance to theSpecified Account of that is processed by means of
the entry or record into the transfer account ledger
or the customer account ledger under the Act on
Custody and Transfer of Share Certificate etc.; and(xii) In addition to the above, the Listed Stock etc.
provided for in the Enforcement Ordinance of theSpecial Taxation Measures Law.
<Article 2-2> Scope of the listed stock dividends etc. to bereceived in the Withholding Selection Account
1. The Bank shall accept, in the Specified Listed StockDi vidend Etc. Account opened in the Customer ’sWithholding Selection Account, only the following
dividends etc. that fall under the category of the dividends
etc. of the Listed Stock etc. (only the dividends etc. inrespect of the Listed Stock etc. (which means the Listed
Stock etc. provided for in Article 37-11-3, Paragraph 2 of
the Special Taxation Measures Law) for which the entry
or record in the transfer account ledger pertinent to thebranch of the Bank, with which the relevant Withholding
Selection Account is opened, shall be made, or thecustody of which is consigned to such branch):(i)
Dividends etc. of the overseas investment trust etc.,
other than dividends etc. of overseas investment
trust etc. for private placement public and corporate
bonds etc. that is described in Article 8-3, Paragraph2, Item 2 of the Special Taxation Measures Law, forwhich the Bank shall collect the income tax pursuant
to the provisions of Article 8-3, Paragraph 3 of thesame law;(ii) Dividends etc. of the overseas stock provided forin Article 9-2, Paragraph 1 of the Special Taxation
Measures Law for which the Bank shall collect theincome tax pursuant to the provisions of Article 9-2,
Paragraph 2 of the same law; or(iii) Dividends etc. of the Listed Stock etc. provided forin Article 9-3-2, Paragraph 1 of the Special Taxation
Measures Law for which the Bank shall collect theincome tax pursuant to the provisions of the same
Paragraph of the same law.
2. From the dividends etc. of the Listed Stock etc. describedin the preceding Paragraph for which the Bank handles
payments, the Bank shall only accept the dividends etc.
which shall be delivered to the Customer immediately
after the Bank receives from the payer, in the Specified
Listed Stock Dividend Etc. Account opened in the relevant
Withholding Selection Account upon delivery by the Bank.
<Article 3> Method of Application for Specified Account
1. In applying for the establishment of the Specified
Account with the Bank, the Customer shall, in advance,
submit the Form of Notice of Specified Account Opening(which means the one as provided for in Article 37-11-3,
Paragraph 3, Item 1 of the Special Taxation Measures Law;
the same shall apply hereafter.) to the Bank at the Bank’s
domestic branch designated by the Bank. At such time, theCustomer shall submit the copy of certificate of residence,the certificate of seal impression, the driver’s license andother documents prescribed by the Bank.
2. The Customer shall establish the Specified Custody

Account at the time of application under the preceding
Paragraph.
3. In case that the Customer requests the withholding
taxation for the income by the transfer of the Listed
Stock etc. Deposited in the Specified Account related to
the Specified Account, the Customer shall submit theForm of Notice on Election of Withholding Taxation for
the Specified Account (which means the one as provided
for in Article 37-11-4, Paragraph 1 of the Special Taxation
Measures Law; the same shall apply for hereafter.) to
the Bank before the first transfer in the calendar year of
the Listed Stock etc. Deposited in the Specified Account.
Further, as to the transfer of the Listed Stock etc. Depositedin the Specified Account in the subsequent years after theyear of submission of the Form of Notice on Election ofWithholding Taxation for the Specified Account, unlessthe Customer gives notice before the first transfer of theyear of the Listed Stock etc. Deposited in the Specified
Account, the Bank shall handle it as such Form of Noticeon Election of Withholding Taxation for the Specified
Account is submitted. For the avoidance of doubt, after the
first transfer of the year of the Listed Stock etc. Depositedin the Specified Account, the handling of withholding
taxation under the Specified Account shall not be changed
during such year.
4. If the Customer submits to the Bank the Notice on
Commencement of Acceptance of Dividends etc. inWithholding Selection Account provided for in Article 3711-6, Paragraph 2 of the Special Taxation Measures Law
and receives in the Specified Listed Stock Dividend Etc.
Account the dividends etc. of the Listed Stock etc. delivered
to the Customer in the relevant year, the Customer may
not claim that the Customer does not wish withholding
taxation for the income from transfer of the Listed Stocketc. deposited in the Specified Account on or after the dateon which the payment of dividends etc. of the Listed Stocketc. is determined for the first time in such year.
<Article 3-2> Submission of the Notice on Commencementof Acceptance of Dividends etc. in Withholding
Selection Account Etc.
1. For the Customer to be eligible for the special rules ofincome calculations and withholding taxation etc. in
relation to the dividends etc. in the Withholding Selection
Account provided for in Article 37-11-6, Paragraph 1 of
the Special Taxation Measures Law, the Customer shallsubmit the "Notice on Commencement of Acceptance ofDividends etc. in Withholding Selection Account" provided
for in Article 37-11-6, Paragraph 2 of the Special Taxation
Measures Law and Article 25-10-13, Paragraph 2 of the
Enforcement Ordinance of the Special Taxation Measures
Law to the Bank by the date designated by the Bank which
is prior to the day on which the payment is determined.
2. For the Customer to cease to be eligible for the special
rules of income calculations and withholding taxation
etc. in relation to the dividends etc, in the Withholding
Selection Account provided for in Article 37-11-6, Paragraph
1 of the Special Taxation Measures Law, the Customer
shall submit the "Notice on Termination of Acceptance ofDividends etc. in Withholding Selection Account" provided
for in Article 37-11-6, Paragraph 3 of the Special Taxation
Measures Law and Article 25-10-13, Paragraph 4 of the
Enforcement Ordinance of the Special Taxation Measures
Law to the Bank by the date designated by the Bank which
is prior to the day on which the payment is determined.
<Article 4> Consignment of Custody in the Specified Custody
Account
The entry and record, as well as the consignment of custodyof the Listed Stock etc. related to the Customer’s Specified
Account shall be made through the Specified Custody
Account.
<Article 5> Transactions through Specified Account
1. All the transactions of the Listed Stock etc. (excluding
the transactions etc. of the Listed Stock etc. withdrawn
from the Specified Account) between the Customer who
has opened the Specified Account and the Bank shall be
executed through the Specified Account, unless otherwise
applied for from the Customer.

53

2. In case that the Listed Stock etc. Deposited in the Specified
Account is the beneficiary certificate of securities etc.
investment trust, if the liquidation of such beneficiary
certificate is made by cancellation or redemption, it will
not be processed as a transaction through the Specified
Account, except for the part which shall be deemed astransfer by the provisions of Article 37-10, Paragraph 4 etc.
of the Special Taxation Measures Law.
<Article 5-2> Handling in Specified Listed Stock Dividend Etc.
Account
The Bank shall handle, in the Specified Listed Stock Dividend
Etc. Account opened in the Withholding Selection Account,the dividends etc. of the Listed Stock etc. which are delivered
to the Customer in the Withholding Selection Account.
<Article 6> Calculation of Income Amount etc.
1. The transfer profit/loss of the Listed Stock etc. at theSpecified Account shall be calculated based on theprovisions of Article 37-11-3 of the Special Taxation
Measures Law and Article 37-11-4 of such law, as well as
the related Cabinet Ordinance and Ordinance of Ministry.
2. The income calculations for the di vidends etc. in
the Withholding Selection Account shall be madein accordance with the provisions of Article 37-11-6,
Paragraph 6 of the Special Taxation Measures Law and therelated Cabinet Ordinance and Ordinance of Ministry.
<Article 7> Withholding Taxation
1. In case that the Customer has submitted the Form of
Notice on Election of Withholding Tax for the Specified
Account, the Bank shall withhold and refund the income
tax and local tax on the income regarding the Listed Stocketc. Deposited in the Specified Account, pursuant to theprovisions of Special Taxation Measures Law and otherrelated laws and regulations. For the avoidance of doubt,
the portion on transfer income from stock etc. as provided
for in the Local Tax Law shall be withheld by the Bank bymeans of special collection as provided for in such law.
2. Withhold tax to be refunded to the Customer shall becredited to the Customer’s Yen Savings Account under thePremier Account.
3. The Customer who has submitted the Form of Notice on
Election of Withholding Tax for the Specified Account shallnot be applicable for the application of such tax exemption
system up to ten (10) million yen of the acquisition pricebased on Article 37-14 of the Special Taxation Measures
Law for the income from transfer of Listed Stock etc.
Deposited in the Specified Account.
<Article 8> Method of Transfer
The Customer shall transfer the Listed Stock etc. entered,
recorded, or consigned for custody in the Specified
Depository Account in any of the methods provided for in
the following Items. The transfer of the Listed Stock etc.
shall include the case regarded as transfer pursuant to theprovisions of Article 37-10, Paragraph 3, etc. of the Special Tax
Measures Law.
(i)
Method of sell consignment to the Bank;(ii) Method of transfer to the Bank;(iii) Method of requesting for buying through the Bank
to the corporation which issues the Listed Stocketc. related to the transfer of less-than-unit stock
pursuant to the provisions of Article 192, Paragraph 1of the Companies Act; and(iv) In addition to the above Items, method provided forin the Enforcement Ordinance of the Special Taxation
Measures Law.
<Article 9> Notice concerning Withdrawal of Listed Stock etc.
from Specified AccountIn case that all or a part of the Listed Stock etc. shall bewithdrawn from the Specified Account, the Bank shall givenotice to the Customer of such withdrawal pursuant to theprovisions of the Enforcement Ordinance of the Special
Taxation Measures Law.
<Article 10> Transfer of Listed Stock etc. Deposited in theSpecified AccountIn case that the Customer shall transfer the Listed Stocketc. Deposited in the Specified Account the custody of

54

which is consigned to the Specified Account maintainedwith any financial instruments dealer other than the Bank
(the Transferring Financial Instruments Dealer etc.”) to theSpecified Account maintained with the Bank under theprovisions of Article 2, Paragraph 2, the Bank shall executesuch transfer by the method designated in the Enforcement
Ordinance of the Special Taxation Measures Law. In thisevent, the Customer shall submit the Form of Request forTransfer of the Listed Stock etc. Deposited in the Specified
Account and other necessary documents to the Transferring
Financial Instruments Dealer etc.
<Article 11> Acceptance by Transfer into Specified Account by
Way of Inheritance or Testamentary Gift
In case that the Customer shall request the acceptance bytransfer of the Listed Stock etc. as stipulated in Article 2, Item
4 to the Specified Account maintained with the Bank, of the
Listed Stock etc. Deposited in the Specified Account entered,
recorded or consigned for custody (the “Inherited Listed Stocketc.”) in the Specified Account (the “Inheritance etc. Account”)
maintained with the Bank or with any financial instruments
dealer etc. other than the Bank by the donor, the decedent or
the universal testamentary donor of the Customer, the Bank
shall execute such acceptance by transfer in accordance withthe method designated by the Enforcement Ordinance of theSpecial Taxation Measures Law. At this event, the Customer
shall submit the Form of Request for Transfer of the Inherited
Listed Stock etc. and other necessary documents to the Bankor any other financial instruments dealer etc. with which theInheritance etc. Account is maintained.
<Article 12> Delivery of Specified Account Annual Transaction
Report1. The Bank, as provided for in Article 37-11-3, Paragraph 7of the Special Taxation Measures Law, shall deliver theSpecified Account Annual Transaction Report by the thirtyfirst (31st) of January of the subsequent year, describing
the transfer price of the Listed Stock etc. executed by the
Customer during the year at the Specified Account with
the Bank, the acquisition amount of such Listed Stock etc.,
the amount of expenses required for such transfer, theamount of income or profit pertinent to such transfer andother prescribed matters.
2. In case that the Contract is cancelled pursuant to Article
14, the Bank shall delivery the Specified Account Annual
Transaction Report by the end of the subsequent monthof the month to which the cause of such cancellation
occurred.
<Article 13> Changes of Registered Matters
In case that the name or address of the Customer changes
after the submission of the Form of Notice of Specified
Account Opening under Article 3, the Customer shall submit,
without delay, the Form of Notice of Change concerning theSpecified Account describing the change, pursuant to theprovisions of Article 25-10-4 of the Enforcement Ordinanceof the Special Taxation Measures Law. At this event, theCustomer shall submit the copy of certificate of residence,the certificate of seal impression, the driver’s license andother documents designated by the Bank. The Bank shall notassume any responsibility which arises before this notice.
<Article 14> Abolishment of Specified Account
The Contract shall be cancelled in any of the cases in thefollowing Items, and the Customer’s Specified Account shallbe abolished simultaneously with such cancellation:(i)
In case that the Customer applies for cancellation. In
this case, the Customer shall submit to the Bank theForm of Notice of Specified Account Abolishment(which means the one as provided for in Article 2510-7, Paragraph 1 of the Enforcement Ordinanceof the Special Taxation Law; the same shall apply
hereafter.);(ii) In case that the Customer departs from Japan(which means the departure stipulated in Article 2,
Paragraph 1, Item 42 of the Income Tax Law) due totransference to overseas etc., and becomes not toqualify as a resident or as a non-resident having apermanent establishment in Japan. In this case, theCustomer is deemed to have submitted the Form ofNotice of Specified Account Abolishment;
In case that the Bank proposes the cancellation due
to an avoidable cause;(iv) In case that the Customer does not agree with therevision of the Terms and Conditions;(v) In case that the consignment for custody of the Listed
Stock etc. at the Specified Account has not been
made during the period ending on the thirty first(31st) of December of the year in which the date thatis two (2) years from the date when no Listed Stocketc. Deposited in the Specified Account came to exist
in the Customer’s Specified Account. In this case, theForm of Notice of Specified Account Abolishment
shall be deemed to have been submitted on the first(1st) of January of the subsequent year pursuant
to the provisions of Article 25-10-7, Paragraph 3 ofthe Enforcement Ordinance of the Special Taxation
Measures Law; and(vi) In case that the Form of Notice on Death of theSpecified Account Opener has been submitted
pursuant to the provisions of Article 25-10-8 of the
Enforcement Ordinance of the Special Taxation
Measures Law and that the procedures of inheritanceor testamentary gift have been completed.
(iii)<Article 15> Revision of the Terms and Conditions
The Terms and Conditions may be revised in accordancewith the change of laws and regulations, instructions ofsupervisory authorities, changes of various rules designatedby financial instruments exchanges and Japan Securities
Dealers Association, and in case that the Bank recognizes
it necessary. If the contents of the revision shall restrict theexisting rights of the Customer or impose new obligations
to the Customer, the Bank shall notify the revised mattersby means of notice on the Bank’s web site or other meansthat the Bank recognizes as appropriate. In this case, if the
Customer shall not have made an objection by the designateddate, the Bank shall treat that the Customer has agreed to therevision of the Terms and Conditions.
<Article 16> Application
1. With regard to the matters not provided for in the Terms
and Conditions, if there are provisions in “Section 1:
HSBC Premier Account General Agreement” or “Section
18: Terms and Conditions for Integrated Investment Trust
Account”, such provisions shall apply.
2. In case of any discrepancy between the provisions of theTerms and Conditions and those of “Section 1: HSBC
Premier Account General Agreement” or “Section 18:
Terms and Conditions for Integrated Investment Trust
Account”, the Terms and Conditions shall prevail.

55

T&C_ALLe_BR_110201

HSBC Premier Call Centre (24 hours / 365 days, toll-free)

0120-777-268 (Japan)
www.hsbcpremier.jp

81-3-5204-5001(collect call accepted)