1 EXHIBIT 10.7 2 NEGATIVE PLEDGE AGREEMENT Associated with a $875,000.00 Carolina First Bank Loan in favor of People's Community Capital Corporation dated May 19, 1997 The undersigned borrower hereby agrees to grant to Carolina First Bank a NEGATIVE PLEDGE on certain assets in relation to a loan from Carolina First Bank. This negative pledge represents an agreement on behalf of the Borrower not to encumber, sell or otherwise liquidate said assets without the expressed written consent of Carolina First Bank. Borrower: People's Community CapitalCorporation Negative Pledge Assets: All assets now owned or hereafter acquired, including but not limited to two parcels of commercial real estate known as a former NationsBank building located at 1715 Whiskey Rd., Aiken, S.C. and a former NationsBank building located at 518 Georgia Ave., North Augusta, S.C. This negative pledge is hereby agreed to on this 19 day of May, 1997 by: Borrower: People's Community Capital Corporation By: /s/ Alan J. George ----------------------------------- Alan J. George, Its President By: /s/ Tommy B. Wessinger -------------------------------------- Tommy B. Wessinger, Its Chairman Carolina First Bank: By: /s/ Susan B. Yarborough --------------------------------------------- Susan B. Yarborough, Its Vice President