In compliance with the requirements of the Federal Credit Protection Act of 1968 (Truth in Lending Act) which became effective July 1, 1969, this bank makes the following disclosure of credit terms applicable to the use of your Visa and MasterCard Account.
(1) With respect to cash advances, whether made by the use of your Visa Card, MasterCard, or No Bounce Checking privileges or otherwise, and regardless of when payment is made, an initial FINANCE CHARGE equal to 2% of the cash advance is imposed for each such advance, and, in addition, a FINANCE CHARGE is imposed on the closing date for each billing cycle, computed by applying a Periodic Rate of 1.16% per month (13.92% ANNUAL PERCENTAGE RATE) to the average daily balance of such cash advances during such billing cycle.
(2) With respect to extensions of credit for goods and services, a FINANCE CHARGE is imposed on the closing date for each billing cycle, computed by applying a Periodic Rate of 1.16% per month (13.92% ANNUAL PERCENTAGE RATE) to the average daily balance of such extensions of credit during such billing cycle, except that no FINANCE CHARGE for goods and services extensions of credit will be imposed for any billing cycle in which payment in full of the New Balance shown on the periodic billing statement for the preceding billing cycle is received prior to the Due Date shown therein.
(3) The average daily balance of cash advances is the sum of the actual amounts outstanding for such cash advances (whenever made, including cash advances made for the first time during the billing cycle) on each day of the billing cycle, divided by the number of days in the billing cycle. The average daily balance of extensions of credit for goods and services is the sum of the actual amounts outstanding for such extensions (whenever made, including such extensions of credit made for the first time during the billing cycle) on each day of the billing cycle, divided by the number of days in the billing cycle. Extensions of credit for goods and services are considered a part of the average daily balance from the date of the transaction with the participating merchant or the first day of the billing cycle reflecting the transaction, whichever date is later. Extensions of credit for cash advances are considered a part of the average daily balance from the date of the cash advance or the first day of the billing cycle reflecting the transaction, whichever date is later.
(4) The Bank takes no security interest directly in connection with the use of your Card. Collateral, other than your principal dwelling, securing your other loans with the Bank may also secure all amounts you owe under the Card Plan.
(5) The minimum periodic (Monthly) payment required under the Card Plan is 3% of your New Balance or $10.00, whichever is greater. In the event you fail to pay such minimum periodic (Monthly) payment within 10 calendar days after the Due Date shown on the periodic billing statement which first includes such minimum periodic (Monthly) payment, a late charge of up to $20.00 may be imposed on your next succeeding periodic billing statement.
(6) If any check received in payment of all or part of your Card account is returned unpaid, an $18.00 handling fee will be assessed and billed on the date the check is returned.
(7) “Reasonable Attorney’s Fees” and other costs of collection may be imposed in the event you fail to pay the minimum periodic monthly payment required, or otherwise default on the terms of your cardholder agreement.
(8) With respect to Visa cards only, the exchange rate between the transaction currency and the billing currency used for processing international transactions is a rate selected by Visa from a range of rates available in wholesale currency markets for the applicable central processing date, which may vary from the rate that Visa itself receives or the government-mandated rate in effect for the applicable central processing date. We add a 1% currency conversion fee to the billed amount posted to your statement.
Your Billing Rights
This notice contains important information about your rights and our responsibilities under the Fair Credit Billing Act.
Notify Us in Case of Errors or Questions About Your Bill
(1) If you think your bill is wrong, or if you need more information about a transaction on your bill, write us [on a separate sheet] at Bank Card Department, PO Box 90002, Blacksburg, Virginia, 24062. Write to us as soon as possible. We must hear from you no later than 60 days after we sent you the first bill on which the error or problem appeared. You can telephone us, but doing so will not preserve your rights.
(2) In your letter, give us the following information:
a. Your name and account number.
b. The dollar amount of the suspected error.
c. Describe the error and explain, if you can, why you believe there is an error. If you need more information, describe the item you are not sure about.
(3) If you have authorized us to pay your credit card bill automatically from your savings or checking account, you can stop the payment on any amount you think is wrong. To stop the payment your letter must reach us three business days before the automatic payment is scheduled to occur.
Your Rights and Our Responsibilities After We Receive Your Written Notice
(1) We must acknowledge your letter within 30 days, unless we have corrected the error by then. Within 90 days, we must either correct the error or explain why we believe the bill was correct.
(2) After we receive your letter, we cannot try to collect any amount you question, or report you as delinquent. We can continue to bill you for the amount you question, including finance charges, and we can apply any unpaid amount against your credit limit. You do not have to pay any questioned amount while we are investigating, but you are still obligated to pay the parts of your bill that are not in question.
(3) If we find that we made a mistake on your bill, you will not have to pay any finance charges related to any questioned amount. If we didn’t make a mistake, you may have to pay finance charges, and you will have to make up any missed payments on the questioned amount. In either case, we will send you a statement of the amount you owe and the date that it is due.
(4) If you fail to pay the amount that we think you owe, we may report you as delinquent. However, if our explanation does not satisfy you and you write to us within 10 days telling us that you still refuse to pay, we must tell anyone we report you to that you have a question about your bill. And, we must tell you the name of anyone we reported you to. We must tell anyone we report you to that the matter has been settled between us when it finally is.
(5) If we don’t follow these rules, we can’t collect the first $50 of the questioned amount, even if your bill was correct.
Special Rule for Credit Card Purchases
If you have a problem with the quality of property or services that you purchased with a credit card, and you have tried in good faith to correct the problem with the merchant, you may have the right not to pay the remaining amount due on the property or services. There are two limitations on this right:
a. You must have made the purchase in your home state or, if not within your home state within 100 miles of your current mailing address; and
b. The purchase price must have been more than $50.
These limitations do not apply if we own or operate the merchant, or if we mailed you the advertisement for the property or services.
Rules and Regulations and Cardholder Agreement
These Rules and Regulations apply to any Visa Card or MasterCard (“Card”) issued, or to be issued by this bank (“Bank”). Any individual, firm, partnership or corporation (“Cardholder”) who either retains, makes application for, signs, uses or authorizes the use of the Card, agrees to be bound by the following Rules and Regulations, and agrees that they shall constitute the agreement between the Bank and Cardholder governing the use of the Card. Furthermore, such Cardholder expressly agrees to be bound by the rates and charges applicable to the use of the Card, as set forth in the Disclosure Statement included within this folder.
(1) Bank may refuse to issue a Card, or may revoke any Card issued to a Cardholder, with or without cause or notice. The Card at all times, remains the property of the Bank and may be repossessed by the Bank at any time. Any revoked Card must be surrendered upon demand, or upon knowledge of its revocation, to the Bank or its agent designated to repossess the Card. No expired or revoked Card shall be used to obtain, or attempt to obtain, credit.
(2) The Cardholder may, under the terms hereof only, buy goods or services from the businesses displaying the Visa sign, MasterCard, or Interbank (“Merchant”) or borrow cash from the Bank or other banks displaying such signs, by use of the Card. Any reasonable and proper procedures required by the Bank or the Merchant honoring the Card must be followed. The card must be signed by the Cardholder, or authorized user, to insure its proper use.
(3) The Cardholder shall not use the Card if such use would make the Cardholder’s debt to the Bank by use of the Card greater than the limit set by the Bank from time to time by notice to the Cardholder. However, the Bank may, at its option, recognize transactions (and extend credit) which will cause the Cardholder’s outstanding balance to exceed the maximum credit limit.
(4) The Cardholder shall be responsible for all credit obtained (through purchases, cash advances or otherwise) by the authorized use of the Card by any person. The Cardholder shall be liable for unauthorized use of the Card (for purchases, cash advances or otherwise) only if (1) the Card has been accepted, (2) the Bank has given notice to the Cardholder of potential liability, (3) the Bank has provided the Cardholder with a toll free telephone number to be called in the event of loss or theft, and (4) the unauthorized use occurs before the Cardholder has given notice of the loss or theft. The Cardholder’s maximum liability is limited to $50. Should the Bank fail to comply with these requirements, the Cardholder has no liability whatsoever for unauthorized use of the Card.
(5) If any Card is lost or stolen, the Cardholder shall immediately notify the Bank upon discovery of such loss or theft. The Cardholder shall confirm such notice in writing within 48 hours. The Cardholder shall cooperate completely with the Bank in its attempt to recover the Card from unauthorized users and shall assist in the prosecution of such person(s).
(6) At the time of obtaining each cash advance or of making each purchase transaction, the Cardholder, or authorized user, shall sign a cash advance slip or sales slip evidencing the transaction. The word “slip” shall include a draft or any other instrument acknowledging or recognizing the transaction. The Cardholder shall be fur nished one properly executed copy of each slip.
(7) The Bank shall have no liability or responsibility if any Merchant or other bank refuses to honor the Card, and the Bank shall not be, or be deemed , a party to any purchases or other transaction between the Cardholder (or other user of the Card) and Merchant, even though the Bank may be obligated to make disbursements directly to such Merchant. Under the Fair Credit Billing Act, if there is a dispute or problem with property or services purchased on the basis of such Card, the Cardholder may have the right not to pay the remaining amount due on such purchases, if the Cardholder first tries in good faith to return them or give the Merchant a chance to correct the problem. There are two limitations on this right: First, the purchase must have occurred in the Cardholder’s home state or if outside said state, within 100 miles of the Cardholder’s current mailing address. Second, the purchase price must have been more than $50. However, these limitations do not apply if the Merchant is owned by the Bank or if the Bank mailed the Cardholder the advertisement for the property or services. Except for transactions governed by the Fair Credit Billing Act provisions above, upon assignment of the evidence of debt by the Merchant to Bank, the Cardholder’s liability to the Bank shall be immediate and absolute, and the Bank shall not be responsible for any claims or defenses the Cardholder may have against any Merchant.
(8) The Bank will bill the Cardholder monthly, on a date selected by the Bank, for amounts becoming due through the use of the Cardholder’s Card. Upon receipt, the Cardholder should examine each bill and immediately notify the Bank of any charge or item which the Cardholder believes to be in error, or subject to dispute. Any charge or item for which the Bank is not notified within sixty (60) days after the billing date shall be deemed to be correct.
(9) Notwithstanding anything herein, in the event of (1) default by the Cardholder in making any payment when due and payable, (2) default by the Cardholder under any provision of these Rules and Regulations, (3) the Cardholder’s death, insolvency, or assignment for the benefit of creditors, (4) a petition filed or any other proceeding commenced under the Federal Bankruptcy Act or any state insolvency statute by or against Cardholder, or (5) a receiver appointed for, or a writ or order of attachment, levy or garnishment issued against the Cardholder or any of the Cardholder’s property, assets or income, then, at the Bank’s option all amounts due from the Cardholder to the Bank shall become immediately due and payable, and in any such event the Cardholder agrees to pay all costs of collection, including reasonable attorney’s fees, incurred by the Bank.
(10) The Bank may modify or amend these Rules and Regulations, in whole or in part, at any time or times, without notification to the Cardholder, provided, however, that the credit ter ms and finance charges referred to in the disclosure statement on this document shall in no manner be modified without first giving such notice.
(11) The construction and performance of this agreement shall be governed by the laws of Virginia and subject to applicable federal law.
(12) Notice required to be given by these Rules and Regulations, by law, or desired to be given by the Bank, shall be deemed given if and when posted in the United States mail, postage prepaid, addressed to the Cardholder at the last known address as shown on the Bank’s records.
Bank Card Department
PO Box 90002, Blacksburg, VA 24062-9002
540-951-6235 or (800) 951-6235