NOTICE: Revised Commercial Membership Agreement June 30, 2021

June 30th, 2021 by Catherine James

NOTICE: Revised Commercial Membership Agreement regarding your accounts and services.

The credit union revised your Commercial Membership Account Agreement and Disclosures. The following note the most substantive changes, but not all the changes. Please read the whole of your Agreement which can be found on our website: We will provide you a printed copy, if you wish, by contacting the credit union at a branch office or by telephone at 800.336.6309 or by mailing us your request. All changes take effect 30 days after 06/31/2021, which is the date this Change of Terms notice is provided to all members.

Bank Secrecy Act; PATRIOT Act; Due Diligence: You agree to help us fight crime and fraud, including the funding of terrorism, illegal drug trafficking and illegal human trafficking, money laundering, and identity theft. You agree to help us comply with all laws, including the Bank Secrecy Act, PATRIOT Act, and our due diligence obligations within those laws. All financial institutions are required to obtain from you, and all persons with an interest in an account, their name, physical address, date of birth, and Tax Identification Number. We will request documentation confirming this information when your credit union membership is established. Additionally, we will ask you questions about the types of services you need and the transactions you plan to conduct which will help us establish appropriate services that best suit your stated needs. Once you become a member, we are obligated to monitor your transaction activity and assess whether your transaction activity fits the services we offer and your stated needs. You agree to cooperate and answer our questions about your transaction activity, including current employment and sources of income; sources of cash deposits; specific transaction frequency, amounts, and duration; and your knowledge of those you do transactions with and why you conduct those transactions, etc.

Virtual Currency: We may limit the frequency or amount of transactions involving virtual currencies. We reserve the right to reject transactions regarding any type of virtual currency (crypto-currency) services and may close your account if we believe your account is a regulatory monitoring burden. Virtual/crypto currency transactions associated with incoming and outgoing wire activity, incoming and outgoing ACH activity, privately owned ATM activity, incoming and outgoing credit and debit card activity, etc., can become particular concerns. (Refer to Termination or Restriction of Account(s) and Service(s)).

“Actual Balance” and “Available Balance”: How do we determine your Account’s available balance: Your Actual Balance is the total amount of money in your account at a specific point in time. The Actual Balance does not take into account outstanding transactions authorized by you, but which have not yet posted to the Account. The Actual Balance may not always be a reliable indication of what you may spend without overdrawing your account.

The Available Balance is the total amount of funds in your account less holds placed on deposits and less holds on debit card authorizations not yet presented for payment. While an Available Balance shows as immediately available for use, it may not always depict an accurate display of what you may spend without overdrawing your account. For example: You have an Actual Balance of $75 and an Available Balance of $75. You then swipe your debit card at the grocery store and an authorization for your purchase is given for $25. The $25 transaction is now on hold in your Account against the $75 Actual Balance. Since we are obligated to pay the merchant, even if your checking account is negative at the time the transaction is presented to us by the merchant, we will reduce your available balance by the $25 authorized amount. Your Actual Balance would still be $75 because this transaction has not yet posted, but your Available Balance would be $50 because you have authorized a $25 payment to the grocer. When the grocer (merchant) submits the request for payment, your Actual Balance will then be reduced by the amount of the posted transaction and both your current and available balance will be $50, provided additional charges and transactions have not been made. If you exceed the Available Balance (even though the Actual Balance may be greater), you may overdraw your account since transactions are posted against the Available Balance. This may result in Insufficient Funds transactions, Courtesy Pay fees, Returned Items and Fees, and Overdraft Protection Fees as a result of exceeding your Available Balance. To know the Available Balance, you may verify your list of outstanding transactions by updating your transaction register, signing into Online Banking, or calling the Credit Union’s Contact Center. It is important to understand the order in which your transactions are paid as explained in the “Transactions from Your Account(s)” section to avoid making transactions that exceed your Available Balance.

We use your Available Balance to determine when your account is overdrawn prior to assessing Non Sufficient Funds fees or Courtesy Pay Fees. The following is an example: Your Actual Balance and Available Balance are both $100. You use your debit card for a $70 purchase, the merchant requests an authorization, and a hold is placed against the $70 Available Balance making your Available Balance $30. Your Actual Balance still shows as $100. Before the merchant sends the transaction to us for payment, a $35 check you wrote clears your checking account. Because you only have $30 available when the check is presented, your account will be overdrawn by $5, even though your Actual Balance shows $100. In this case, we may pay the $35 check, but you will be charged a Courtesy Pay fee, even though your Actual Balance exceeds the amount of the transaction. The fee will be deducted from your account, further reducing your Available Balance. When the merchant requests payment for the $70 debit card transaction, your Available Balance no longer has sufficient funds to cover it. Assuming you have opted-in to the program, this will result in a Courtesy Pay fee for the $70 transaction even though your Available Balance was sufficient at the time the authorization for the transaction was approved.

YOU MAY STILL OVERDRAW YOUR ACCOUNT EVEN THOUGH THE AVAILABLE BALANCE APPEARS TO SHOW THERE ARE SUFFICIENT FUNDS TO COVER A TRANSACTION YOU WANT TO MAKE. Your Available Balance does not reflect your outstanding checks, automatic bill payments, or any other outstanding transactions that have not been paid from your account. These items will not be reflected in your Available Balance until presented to us and paid from your account. Holds on deposits may not be reflected, as described in our Funds Availability Policy.

In addition, your Available Balance may not reflect all of your pending debit card transactions. For example, if a merchant obtains an authorization but does not submit the debit card transaction for payment within three (3) business days after the authorization is given, we may increase your Available Balance by the amount of that authorization. This means your Available Balance will no longer reflect the pending transaction until the transaction has been received by us and posted to your account. Although clearing times for debit card transactions may range from 0-5 days, merchants choose the system by which they process their transactions and how frequently they do so (often a decision based on the lowest cost to them). The Credit Union has no control over how and when transactions are presented to us to be paid.

Even though we may increase your Available Balance when a merchant does not submit the transaction for payment within 3 business days, the obligation to the merchant still applies. The time period for authorizations may be different for certain types of merchants.

NOTE: Holds placed on your account balance for pending debit card/electronic transactions, including gasoline, hotels, car rentals, etc., may reduce your available balance for an amount that may vary from the actual purchase amount, which may or may not be presented for payment. These same holds also reduce the available funds for subsequent purchases. Failing to account for outstanding items may cause your account to become overdrawn and fees assessed. Why is this Important to You? The order in which items are paid is important if there are not enough available funds in your account to pay all of the items presented for payment. Our payment policy may cause your larger, more important items, (such as your rent or mortgage payment), to not be paid first, but may reduce the amount of overdraft or NSF fees you have to pay if funds are not available to pay all of the items. If an item is presented without sufficient available funds in your account to pay it, we may, at our discretion, pay the item (creating an overdraft) or return the item (NSF). The Credit Union does not have to notify you prior to paying an item, regardless of the availability of funds. We encourage you to keep careful records of all transactions (debits & credits) and practice good account management. This will help you avoid writing checks or share drafts without sufficient available funds and incurring overdraft fees.

Transaction Limitations for All Share Savings (Non-Transaction) Accounts—Regulation D:  In April 2020 the federal government suspended Regulation D non-transaction account transaction prohibitions but can reinstate them at any time. Until such time, the Credit Union will not enforce the Regulation D prohibitions on non-transaction accounts. Non-transaction accounts do have transaction limits as noted in the Schedule which are not associated with Regulation D. [The following information is provided for your information—Pursuant to federal Regulation D, during any calendar month you may not make more than six withdrawals or transfers to another Credit Union account of yours or to a third party by means of a preauthorized, automatic, telephonic, Online Banking, or audio response transfer or instruction. A preauthorized transfer includes any arrangement with us to pay a third party from your account upon oral or written orders, including orders received through ACH. Transfers/withdrawals in excess of the transfer/withdrawal limitations described in Regulation D may be subject to a Regulation D excessive transaction fee as set forth in the Schedule. For accounts in which activity violates these monthly limits, we may return each item that exceeds the monthly limit and charge you a fee for its return without notice to you. Additionally, continued abuse of the non-transaction account Regulation D rules allows us to close the account. If payment is made directly to the depositor, you may make an unlimited number of withdrawals from these accounts in person, by mail, at an ATM, or by telephone if the withdrawal is mailed to you in a check.  There is no limit on the number of transfers you may make to any loan account(s) with us.]

Using Third-Party Apps or Payment Services: If you link any of your accounts or services to a third-party app or payment service (including but not limited to PayPal, Zelle, Venmo) you understand and agree that these are not Credit Union services. Any transactions you make through the third-party app or payment service will be subject to your agreements with the third-party app or payment service provider. You understand such apps and services do not provide you the same protections from fraud or other misapplication of funds as traditional, direct credit union or other banking services. If we transfer any funds as directed by you or anyone you authorize through the third-party app or payment service provider, such transfer(s) shall in all respects be an authorized transaction and we will have no further obligation or liability if the third-party app or payment service provider then transfers the funds to a fraudster or the funds are otherwise misapplied. Further, you understand that funds transferred to/via a third-party app or payment service may not be federally or otherwise insured and you assume all risks should your funds become unavailable for any reason.