NOTICE: Revised Membership Agreement June 30, 2021

June 30th, 2021 by Catherine James

NOTICE: Revised Membership Agreement regarding your accounts and services.

The credit union revised your 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 06/30/2021, 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.

Actual (or Ledger) Balances and Available Balances—In Order to manage and understand how transactions are processed, including when fees such as overdraft fees may apply, you understand and agree to the following: How do we determine your account’s available balance? Your account’s Available Balance is our most current record of the amount of money in your account available for your use or withdrawal. We use the Available Balance to authorize your transactions during the day (e.g. debit card purchases and ATM withdrawals). We also use the Available Balance to pay your transactions in our nightly processing. We calculate your Available Balance as follows:

  • We start with the ending daily account balance from the prior business day’s nightly processing that includes all transactions deposited to or paid from your account
  • We subtract from this amount ACH debits as received throughout the business day
  • We subtract any holds placed on a deposit to your account and any holds placed due to legal process
  • We add pending deposits that are immediately available for your use, including cash deposits, electronic direct deposits, and the portion of a paper check deposit we make available (see “The Availability of Funds You Deposit with the Credit Union” section for details
  • We subtract pending withdrawals that we have either authorized (such as debit card purchases and ATM withdrawals) or are known to us (such as your checks and preauthorized automatic ACH withdrawals that we receive for payment from your account) but have not yet processed
  • Important note: The Available Balance does not reflect every transaction you have initiated or that we previously authorized. For example, your Available Balance may not include the following:
  • Outstanding checks and authorized withdrawals (such as recurring debit card transactions and ACH transactions that we have not received for payment)
  • The final amount of a debit card purchase: for example, we may authorize a purchase amount prior to a tip that you add to the transaction
  • For previously authorized debit card transactions which have been not sent to us for final payment, we must release the transaction authorization hold after 3 business days (or up to 30 business days for certain types of debit or ATM card transactions, including car rental, cash, and international transactions) even though the transaction may be sent later for payment from your account. We must honor the transaction when presented. This can result in what is commonly referred to as “Authorize Positive, Settle Negative” and can result in an overdraft if other transactions draw your account negative before final payment. Since we do not know all transactions you may enter into, we have to rely upon you to manage your account to avoid overdrafts

If you exceed the Available Balance (even though the Actual Balance may be greater), you may overdraw your account because transactions ARE posted against the Available Balance. To know the Available Balance, you may verify your list of outstanding transactions using Online Banking, Mobile Banking, or PhoneBranch. It is important to understand the order in which your transactions are paid as explained in the section below entitled “Transactions from Your Account(s)” 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 Fund (NSF) fees or Courtesy Pay overdraft privilege Fees. The following is an example: Your Actual Balance and Available Balance are both $100 to start the day.  You use your debit card for a $70 purchase and the merchant requests an authorization hold to be placed on the account for $70.  Your Available Balance is now $30. Your Actual Balance still shows as $100. Before the merchant sends the transaction to us for payment, a $35 check you wrote is presented for payment. Because you only have $30 available when the check is presented, your account will be overdrawn by $5 when processed, even though your Actual Balance is still $100. In this case, we may pay the $35 check or return it as NSF, but you will be charged a fee for overdrawing your Available Balance, even though your Actual Balance is greater than the amount of the $35 check presented for payment. Be aware you accept the following: The Credit Union may return debit items (ACH payments as well as other transactions) submitted for payment against your account if the amount of the debit exceeds the Available Balance in the account. Each time we return a debit item for insufficient funds, we will assess an NSF fee in the amount shown on the Schedule for each returned debit item. The entity that submitted the debit may submit another debit to the Credit Union even if we have already returned the prior debit for insufficient funds in the account. If the resubmitted debit again exceeds the Available Balance in the account, the Credit Union again will return the debit item, resulting in an additional NSF fee. You can be charged multiple NSF fees in connection with a single debit item presented and subsequently returned for insufficient funds multiple times. The reason for this is that when you authorize a merchant to process a debit from your account, that merchant may present the transaction multiple times and in various ways when payment is declined for insufficient funds or otherwise. There is no way the Credit Union can identify such actions by the merchant you authorized to process the debit item.

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)).

IMPORTANT INFORMATION ABOUT FEES: Fees may be assessed with each item paid into overdraft or returned unpaid subject to the following:

  • Multiple “presentments”: Any item or transaction which is presented for payment multiple times is beyond the control of the Credit Union. Multiple presentments by other parties may further overdraw your account balance. Each presentment we cannot pay will be charged a separate returned item (NSF) fee even though it may be for a repeat presentment.
  • A single Courtesy Pay Fee may be assessed when we choose to pay the presentment even though your account has insufficient funds. Doing so will put your account into an overdrawn status while helping you avoid at least one returned item fee to the original person or entity you intended to pay
  • No Courtesy Pay Fee will be assessed on ATM and everyday (one-time) debit card transactions unless you specifically opt-in to such non-contractual service being added to your account. The merchant informs the Credit Union if a debit card transaction is a one-time or recurring transaction. A Courtesy Pay Fee can be assessed on recurring debit card transactions and any other item we pay into overdraft. An NSF Fee can be assessed on recurring debit card transactions and any other item we return for lack of sufficient funds
  • No Courtesy Pay Fee will be assessed on presented items of $5 or less
  • We limit the number of Courtesy Pay overdraft and/or returned item (Non-Sufficient Funds/NSF) fees charged per business day as follows:
       •   For consumer accounts, we will charge no more than two (2) overdraft /NSF fees per share account, business day.

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.