PLATINUM MASTERCARD CREDIT CARD® 
AGREEMENT AND FEDERAL TRUTH-IN-LENDING 
DISCLOSURE 
May 1, 2011 

This Kinecta Platinum Credit Card Agreement and Federal Truth-
in-Lending Disclosure (“Agreement”) establishes the terms and 
conditions of your Kinecta Platinum Credit Card (“Card” or 
“Account”) with Kinecta Federal Credit Union. Please read it and 
keep it for your records.  

Kinecta Federal Credit Union or anyone to whom the Credit 
Union transfers its rights under this Agreement. By requesting 
and receiving, signing, using, or permitting others to use the card 
issued to you by the Credit Union, you agree to be bound by the 
terms and conditions as set forth herein and any amendments 
thereto.  

NOTICE: THIS DOCUMENT CONTAINS PROVISIONS FOR 
A VARIABLE ANNUAL PERCENTAGE (INTEREST) RATE 

In this Agreement, the words “you” and “your” mean any person 
(if more than one person, individually and jointly) who is 
responsible for the Card, but not limited to, any joint obligor, 
guarantor, authorized user or the person whose name is embossed 
on the card(s). “We,” “us,” “our,” and “Credit Union” refer to  

AUTHORIZATION AND PAYMENT:  You authorize us to pay 
and charge your Account for all purchases, balance transfers, and 
cash advances made or obtained by you or anyone you authorize to 
use your card or account.  You will be obligated to pay all such 
purchases, balance transfers, and cash advances charged to your  

Interest Rates and Interest Charges 

Annual 
Percentage Rate 
(APR) for 
Purchases and 
Balance Transfers  
APR for Cash 
Advance 

Default APR 
and When it 
Applies 

Variable Rate 
Information 

Standard Variable APR: 
9.99% to 18.00% APR* 
The APR you receive is determined based 
on your credit worthiness 
Standard Variable APR is 11.99% to 
18.00% APR*.  The APR you receive is 
determined based on your credit 
worthiness 
Default Variable APR is 18.00% for all 
purchase, balance transfer, and cash 
advance balances.* 
Refer to Default Section 
How Long Will the Default APR 
Apply? After the account has been 
brought current and remained current for 
six months, the account will revert to 
your standard qualifying APR 

Your APRs for purchases, balance 
transfers, and cash advances may increase 
monthly.  For each month, we determine 
the APR by adding a margin to the U.S. 
Prime Rate published in the Wall Street 
Journal the 15th day of each month 
preceding the start date of each current 
billing cycle (Refer to Interest Rates and 
Interest Charges section.) 

The margin for determining the Standard 
Variable APR for purchases and balance 
transfers is 6.74% to 18.00%. 

Cash Advance: The margin for 
determining the Standard Variable APR 
for Cash Advances is 8.74% to 18.00%. 

Default: The margin for the default APR 
is 18.00% 

Paying 
Interest 

Minimum Interest 
Charge 

Fees 

Annual Fee 
Transaction  
  Balance Transfer 

  Cash Advance  

  Foreign 

Transaction 

Penalty Fees 
  Late Payment 
  Returned Payment 

Fee 

Other Fees 
  Document Copy 

Fee 

Your due date is at least 25 days after the 
close of each billing cycle.  We will not 
charge you interest on purchases if you pay 
your entire balance by the due date each 
month.  We will begin charging interest on 
cash advances and balance transfers on the 
transaction date 
If you are charged interest, the charge will 
be no less than $1.00 

None 

3% of the amount of the transfer but not 
less than $10 
3% of the amount of the transfer but not 
less than $10 
A 1% international transaction fee will be 
assessed on all transactions where the 
merchant country differs from the country 
of the card issuer 

Up to $25 
Up to $25 

$12 for each sales draft but one copy per year 
is free 

  Rush Card Fee 

$25 to rush each requested replacement card 

Billing Rights: Information on your rights to dispute transactions 
and how to exercise those rights is provided on pages seven and 
eight of this agreement 

*Based on the U.S. prime Rate of 3.25% as of April 15, 2011.  The 
maximum APR of 18% as currently permitted by Federal Credit 
Unions applies to this credit card 

How We Will Calculate Your Balance: We will use the method 
called “Average Daily Balance” 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Account whether resulting from: (1) actual use of your card or 
convenience checks; (2) mail order or telephone, computer, or other 
electronic purchases made without presenting the Card; or (3) any 
other circumstance where you authorize a charge, or authorize 
someone else to make a charge, to your Account (collectively, 
“authorized charges”).  You promise to pay us or to our order in U.S. 
Dollars with an instrument drawn on a financial institution in the 
United States at our office or at the address set forth on your periodic 
statement all authorized charges on the terms and at the rates set forth 
herein, plus any interest charges assessed on your account and any 
other charges and fees which you may owe under the terms of this 
Agreement (the “account balance”).  Payments will continue until you 
have paid in full the account balance. 

Change of Terms: Account and agreement terms are not 
guaranteed for any period of time. You understand and agree that 
we may amend, modify, add to, or delete from this agreement or 
disclosure statement any of its terms and conditions, including 
financial terms such as the method of application and the amount 
of any interest charge, transaction fee, or other finance charge, 
annual percentage rate, monthly periodic rate, and/or fee in 
accordance with applicable laws. If required by applicable law, 
we will mail a notice of the change to you at your last known 
address. You also understand that in the event of a significant 
change, as defined under the Federal Truth in Lending Act, any 
such notice will be mailed at least forty-five (45) days prior to the 
effective date of the significant change as required by applicable 
law. If we are required by applicable law to provide you with a 
right to reject significant changes to this agreement and disclosure 
statement prior to the effective date of such changes, we will 
provide you with an explanation of how to reject the significant 
changes, unless you fail to make a required minimum payment 
within sixty (60) days after its due date. We may change the 
terms of this Agreement and Disclosure Statement based on 
information in your credit report, market conditions, business 
strategy or for any other reason. Notice of a change in terms is 
required, but may be sent as late as the effective date of the 
change where the change has been agreed to in writing, by you.  

Interest Rates and Interest Charges: This Agreement 
establishes the APR for purchases, balance transfers, and cash 
advances under this credit card program.  

You understand that a portion of your finance charges incurred 
during a billing cycle will include your interest charges incurred 
during that billing cycle. The interest charge for a billing cycle 
will be calculated by applying your monthly periodic rate to your 
average daily balance. You understand and agree that under the 
“Change in Terms” section above, we have the right in our sole 
discretion to change the amount of any APR, monthly periodic 
rate and, or interest charge that may apply to your Account.  

Monthly periodic interest charge, monthly periodic rate, and APR 
for cash advances, balance transfers, and purchases: The monthly 
periodic rate used in calculating the monthly periodic interest 
charge for cash advances, balance transfers, and purchases is 
based upon the “Prime Rate” as published in the “Money Rates” 
section of the print edition of the Wall Street Journal (“Index”). 
Your APR for cash advances, balance transfers, and purchases is 
determined by adding a “Margin” to the Index in effect as of the 
15th day of each month preceding the start date of each current 
billing cycle. 

Your APR may increase or decrease every month. Any such 
change will be based on an increase or decrease in the “Index” as 
set forth above.  In the event that the Prime Rate ceases to be 
published, changes in the APR will be related to a comparable 
Index. We may waive an increase in the APR when such an 
increase can be made, but such a waiver shall not be construed as 
a waiver of our right to increase the APR at a future date when 
entitled to do so.  

The Monthly Periodic Rate is equal to 1/12th of the APR as stated 
each month. If the payment for the entire new purchase balance is 
received by the payment due date (25 days after the close of the 
billing cycle), no interest charges will be assessed in that billing 
period. However, if the new purchase balance is not paid in full 
by the payment due date, interest charges will be assessed on all 
purchases from the date they posted to your Account (including 
new purchases). If the Account balance revolves, there is no grace 
period. 

Credit Information: You authorize us to investigate your credit 
standing when opening, renewing, or reviewing the Account, and 
you authorize us to disclose information regarding the Account to 
credit bureaus and other creditors who inquire of us about your 
credit standing to the extent authorized by law. 

How the purchase balance, consisting of transactions related 
to the purchases of property and services upon which periodic 
interest charges are assessed is computed:  Average Daily 
Balance (including new purchases). We figure a portion of the 
interest charge on your Account by applying the purchase 
monthly periodic rate to the average daily balance of credit 
purchases (including current purchase transactions). To get the 
average daily balance of purchase transactions you take the 
beginning balance of purchase transactions on your account each 
day, add any new purchases, and subtract any payment or credits 
and unpaid interest charges and other finance charges. This gives 
you the daily balance of purchase transactions. Then, you add up 
all the daily balances of purchase transactions for the billing cycle 
and divide the total by the number of days in the billing cycle. 
This gives you the average daily balance of purchase transactions.  

You have at least a 25 day grace period from the close of each 
billing cycle to pay the new balance without incurring additional 
interest charges provided that either: (1) we received payment in 
full of the ending balance for the previous billing cycle by the 
payment due date disclosed in the previous billing cycle’s 
periodic statement; or (2) the previous billing cycle’s ending 
balance was $0. If you have a grace period to pay the new billing 
for any billing cycle, and do not pay the new balance in full 
during this period, interest charges will be assessed on any 
portion of the new balance not paid during the grace period using 
the average daily balance method as explained above. The 
payment due date disclosed on each periodic statement provided 
to you is the last day of your grace period for that statement’s 
billing cycle.  

How the cash advances balance, consisting of transactions 
related to cash and other cash advance transactions upon 
which periodic interest charges are assessed is computed:  
Average daily balance (including cash advance transactions). We 
figure a portion of the interest charge on your Account by 

2 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
applying the monthly periodic rate to the average daily balance of 
cash advances (including current cash advances). To get the 
average daily balance of cash advance transactions you take the 
beginning balance of cash advance transactions on your Account 
each day, add any new cash advances, and subtract any payment 
or credits, and unpaid, interest charges and other finance charges. 
This gives you the daily balance of cash advance transactions. 
Then, you add up all the daily balances of cash advance 
transactions for the billing cycle and divide the total by the 
number of days in the billing cycle. This gives you the average 
daily balance of cash advance transactions.  

There is no grace period in order to avoid the imposition of 
interest charges on cash advances. 

How the balance transfer balance, consisting of transactions 
related to cash and other balance transfer transactions upon 
which periodic interest charges are assessed is computed:  
Average daily balance (including balance transfer transactions). 
We figure a portion of the interest charge on your Account by 
applying the monthly periodic rate to the average daily balance of 
balance transfers (including current balance transfers). To get the 
average daily balance of balance transfer transactions you take 
the beginning balance of balance transfer transactions on your 
Account each day, add any new balance transfers, and subtract 
any payment or credits, and unpaid, interest charges and other 
finance charges. This gives you the daily balance of balance 
transfer transactions. Then, you add up all the daily balances of 
balance transfer transactions for the billing cycle and divide the 
total by the number of days in the billing cycle. This gives you 
the average daily balance of balance transfer transactions.  

There is 25 day grace period in order to avoid the imposition of 
interest charges on balance transfers. 

MINIMUM PAYMENT: Every month, you must pay at least the 
minimum payment due by the payment due date shown on your 
periodic statement.  By separate agreement, you may authorize us 
to automatically transfer the minimum payment due from your 
Credit Union share or share draft account. You may, of course, 
pay more frequently, or pay the account balance in full, and you 
will reduce your periodic interest charge by doing so. The 
minimum payment due will be either: 2.00% of your account 
balance or $25.00, whichever is greater.  

In addition, you must pay any amount on your periodic statement 
listed as past due and any late charge(s). Lastly, at any time your 
account balance exceeds your credit limit, you must pay the 
excess.  

You understand and agree that any minimum monthly payment 
made by you will be applied in the following order: (a) unpaid 
fees and charges, if any; (b) unpaid periodic interest charges, 
transaction fees, and other finance charges due on purchases, 
balance transfers, and cash advances; (c) outstanding balances of 
cash advances, balance transfers, and purchases previously billed; 
and (d) current cash advances, balance transfers, and purchases. If 
two or more transactions are posted on the same day, your 
payment will be applied first to the smaller of them. Any payment 
you make in excess of the minimum monthly payment will be 
applied to your balances subject to the highest APR first, then to 
balances subject to lower APR, in descending order of APRs until 

all balances subject to an APR are paid in full. Thereafter, we will 
apply all payments in excess of the minimum monthly payment, 
if applicable, in the same order as we apply the minimum 
monthly payment.  

Credit Limit:  Your Account has a credit limit that is established 
by Kinecta. We may increase or decrease your credit limit at any 
time and we may notify you of such increase or decrease by mail 
or through a statement sent to the primary Account holder’s 
address of record, in accordance with applicable legal 
requirements. We will provide you oral or written notice of any 
decrease in your credit limit. If you object to any credit limit 
increase, you must notify us immediately. You or your joint 
applicant for the account may request a change to the credit limit 
orally, in writing, or electronically, but any such request must be 
approved by us. If your credit limit is increased, you are 
immediately responsible for the new credit limit and any increase 
in the account balance even when it differs from an amount 
previously agreed to orally or in writing.  

Rewards Fee: The Home Rebate Rewards program is available 
to members with a Kinecta 1st mortgage and there in no annual 
fee. 

Dream Points are available to all members with a annual fee of 
$25 

Minimum Finance Charge: We charge a minimum finance 
charge of $1.00. We charge it if the total periodic finance charge 
is less than $1.00. We add the additional amount to any balance 
that is assessed a periodic finance charge. 

Purchases and Advance:  You may make purchases and request 
advances in accordance with the current loan policies up to your 
credit limit.  You understand and agree that all purchases and 
other transactions requested by you or anyone you have permitted 
to use the Card(s) and/or Account are subject to our approval. 

Using the Card:  To make a purchase or obtain an advance, you 
may present the card or card number to a participating 
MasterCard plan merchant, to us, or to another financial 
institution, and sign or authorize a sales or cash advance draft, or 
you may complete a transaction by using your PIN in conjunction 
with the Card at an ATM or other type of electronic terminal that 
provides access to the MasterCard system. 

Suspicious Activity: Kinecta  is committed to keeping your 
financial transactions as secure as possible. Our fraud detection 
systems are endorsed by CUNA Mutual Group, the bond 
coverage underwriter for many credit unions including Kinecta, 
as an effective tool in deterring fraudulent credit card use.  

To help keep your money and your personal information safe, 
Kinecta uses a credit card fraud detection system designed using 
the latest “neural network” technology that “learns” your credit 
card purchase patterns. The system analyzes authorization 
requests for your card in real time and compares them to your 
purchase history as well as current fraud trends. If we detect 
abnormal transaction patterns, we can take immediate action to 
reduce the potential of continued fraud. As your profile and 
transactions change over time, the system updates its files with 
every new transaction. 

3 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
We reserve the right to identify transactions as unauthorized or 
fraudulent and subsequently to decline those transactions.  

Travel Advisory: A transaction in an area where you do not 
usually use your card may trigger the system. We encourage you 
to provide us with prior notice of any forthcoming unusual 
activity, such as high transaction volume and any anticipated 
transactions outside the U.S.  You may provide this notice via 
email, by phone, or in writing. Travel advisory instructions are 
found on the Kinecta Web site: 

http://www.kinecta.org/travel_advisory.aspx  

If you experience any problems using your card while traveling, 
please contact us: 

Domestic: 800.854.9846  
International: 812.647.9790 

To verify account activity if card is blocked:  
800.337.3392 or 800.238.8604 

Hotel Reservations:  If you use your Card to make hotel 
reservations, you agree that your Account may be charged for the 
transaction as a “No Show” which is presented by the hotel.  

Authorized Users:  Additional cards are available on your 
Account for authorized users. Only one card will be issued to 
each person. You are responsible for the use of each additional 
card and cardholder even if that person exceeds the amount you 
authorized. 

PIN:  A Personal Identification Number (PIN) that acts as your 
signature when obtaining cash advances at participating 
automatic teller machines and for other point-of-sale-(POS) 
transactions.  

A PIN may be obtained by calling 877.315.3483. This PIN may 
be used by you with your credit card to obtain a cash advance on 
your account at any ATM displaying the MasterCard logo or to 
make purchases at any designated POS machine.  

You agree not to disclose or otherwise make your Card or PIN 
available to anyone. For security reasons, please do not write your 
PIN on your Card or keep it in the same location as your Card. 

Illegal Activity: Your card may only be used for legal 
transactions. Display of a payment card logo by an online 
merchant does not mean that internet gambling or other 
transactions are legal in the jurisdiction in which you are located. 
Your Card and/or Account may not be used directly or indirectly 
for: (1) any illegal activity or transaction; or (2) any gambling, 
gaming, betting, or similar activity or transaction. Further, you 
may not utilize your Card and/or Account for the purchase of any 
goods or services on the Internet that involve gambling, gaming, 
betting, or any similar transaction or activity.  Such transactions 
include, but may not be limited to, any quasi-cash or online 
gambling transaction, any electronic commerce transaction 
conducted over an open network, and any betting transaction 
including the purchase of lottery tickets or casino gaming 
chips/checks or off-track betting or wagering.   

You agree to repay, according to the terms of this Agreement, 
transactions you initiate by use of your card, whether deemed 
legal or illegal. 

Internet Transactions:  Your MasterCard card is automatically 
enrolled in MasterCard’s SecureCode® program. To make 
transactions over the Internet, merchants may request your 
password to complete the transactions. If a password is not 
provided, or you do not successfully register with SecureCode, 
the merchant may deny the transaction. If the password is 
incorrect, we may deny the transaction. You can select or change 
your password and view additional terms online at 
www.kinecta.org and clicking on the SecureCode® links under 
the credit card page. By allowing another person to use your 
SecureCode® password you are authorizing the transaction on 
your account. 

Partial Authorization: For transactions at some merchants, if the 
available credit limit is not sufficient to complete the full 
purchase, a partial approval in the amount of remaining available 
balance may be provided to the merchant and the merchant may 
permit you to use another source of funds to pay for the 
remaining amount due.  

The option to complete a purchase using the remaining available 
credit limit on your card and another source of funds for the 
remainder is not available at all merchants. Some merchants may 
decline the transaction if the available credit is less than the 
transaction amount. 

Electronic Fund Transfer:  In the event a use of the Card or the 
Account number of the Card constitutes an electronic fund 
transfer, the terms and conditions of your Electronic Fund 
Transfer Agreement and Disclosure with us shall govern such 
transactions to the extent the Electronic Fund Transfer Agreement 
and Disclosure expands or amends this Agreement. 

Prepayment or Irregular Payments:  Though you need only 
pay the minimum payment due, you understand that you have the 
right to repay your account balance at any time without penalty.  
You also understand and agree that you will only be charged 
interest charges to the date you repay your entire account balance.  
You may make larger payments without penalty and this may 
reduce the total amount of interest charges that you will repay.  If 
you pay more than the minimum payment due in any month and 
there is still a balance due, you must continue to make minimum 
payments in future months.  Any partial payment of your account 
balance will not advance your next payment due date(s).  You 
understand and agree that any payment that (a) delays or (b) 
accelerates the repayment of your account balance will (a) 
increase or (b) decrease your monthly periodic interest charge. 

Payments by Automatic Transfer:  By separate agreement, you 
may authorize us to automatically transfer the minimum payment 
due from your Credit Union share or checking account.  If you 
request payment by automatic transfer, you understand and agree 
that no payment can or will be made if there are insufficient or 
uncollected funds in the designated account to make the 
scheduled loan payment.  Should this event occur, you understand 
and agree that you will not be released from making the payment.  
Any automatic transfer you have requested will remain in effect 

4 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
until you cancel it in writing or the account balance is paid in full.  
We may cancel this service at our discretion.  If you have 
authorized us to automatically transfer the minimum payment due 
from your share or checking account, you may request, in writing, 
that the payment be stopped. To stop the payment, your letter 
must be received by Kinecta Federal Credit Union, Card Services 
Department, P.O. Box 217, Manhattan Beach 90267, at least three 
(3) business days before the automatic payment is scheduled to 
occur. 

Default:  You will be in default if:  1) you do not pay on time or 
in the proper amount(s); 2) you fail to live up to any of the terms 
of this Agreement; 3) your creditworthiness is impaired; or 4) you 
die, become insolvent, or are the subject of bankruptcy or 
receivership proceedings.  In the event of any action by us to 
enforce this Agreement, you agree to pay the costs thereof, 
reasonable attorneys’ fees, and other expenses.  You understand 
and agree that interest charges, at the APR as permitted under this 
Agreement will continue to accrue until you repay your entire 
account balance. 

Acceleration and Collection Costs:  If you are in default, you 
understand and agree that we have the right to temporarily or 
permanently suspend any and all Account and Card privileges 
and/or we may demand immediate payment of the account 
balance, including interest charges, late charges, and our 
collection costs, reasonable attorneys’ fees, and court costs 
(collectively, “collection-related charges”). You understand that 
you will be subject to interest charges (at the applicable monthly 
periodic rate), late charges, and collection-related charges under 
the terms disclosed in this Agreement, until you repay your entire 
account balance.  

Responsibility:  You agree to repay us according to the terms of 
this Agreement for all purchases, advances, interest charges, and 
late charges (if any), arising from the use of the Account by you 
or any other person you permit to use the Account, even if that 
person exceeds your permission.  You cannot disclaim 
responsibility by notifying us, although we will close the Account 
if you so request and you will return all cards to us.  Your 
obligation to pay the account balance continues even though an 
agreement, divorce decree, or other court judgment to which we 
are not a party may direct you or one of the other persons 
responsible to pay the Account.  Any person using the Account 
and/or Card is jointly and severally responsible with you for 
charges he or she makes, but if that person signs the Card he or 
she becomes a party to this Agreement and is also responsible for 
all charges on the Account, including yours.  The cards remain 
our property and you must recover and surrender to us all cards 
upon our request and/or upon termination of this Account. 

You must sign the card(s) promptly upon receipt. You may use 
the Card to buy or lease goods, services, or insurance (Purchases) 
wherever the Card is honored up to the full amount of your credit 
limit. You may also obtain cash (Cash Advance) from us or from 
any one who will accept the Card. Cash includes purchases of 
money orders, cashier’s checks or other similar instruments.   

Unauthorized Use: You may be liable for the unauthorized use 
of the Card and/or the Account.  You will not be liable for 
unauthorized use that occurs after you provide immediate 
notification by calling 888.829.6434, or when we receive notice 

in writing at P.O. Box 3038, Evansville, Indiana 47730, of the 
loss, theft, or possible unauthorized use.  In any case, your 
liability for unauthorized use will not exceed $50.  Your liability 
may be lower in cases of MasterCard Credit Card fraud in 
accordance with current MasterCard, Inc. operating regulations 

Termination:  We may terminate this Agreement or limit your 
right to make purchases or obtain cash advances at any time 
without notice or liability. If we ask, you must return your card(s) 
to us, cut in half.  You agree that you will not try to make a 
purchase or obtain a cash advance after you have been notified 
that your privilege to use your Account has been terminated.  You 
may terminate this Agreement at any time. If you do, you must 
return to us all cards previously issued on the Account. Your 
request to close the Account must be sent to us in writing and 
include your signature. In no event shall any termination relieve 
you of your obligation to repay the entire account balance. 

Transaction Slips:  Your periodic statement will identify the 
merchant, electronic terminal, or financial institution at which 
transactions were made, but sales, cash advance, credit, or other 
slips cannot be returned with the periodic statement.  You will 
retain the copy of such slips furnished at the time of the 
transaction in order to verify your periodic statement.  We may 
charge a reasonable fee for any photocopies or slips you request. 

Plan Merchant Disputes: You are not responsible for the refusal 
of any plan merchant or financial institution to honor the Account 
and/or Card. You are subject to claims and defenses (other than 
tort claims) arising out of goods and services you purchase with 
the Card only if you have made a good faith attempt but have 
been unable to obtain satisfaction from the plan merchant, and (a) 
your purchase was made in response to an advertisement we sent 
or participated in sending you; or (b) your purchase cost of more 
than $50 and was made from a plan merchant in your state or 
within 100 miles of your current mailing address. Any other 
dispute you must resolve directly with the plan merchant.  

Foreign Currency Transactions: MasterCard will convert 
purchases, cash advances, and credits effected a transaction at a 
merchant that settles in a currency other than U.S. dollars into a 
U.S. dollar amount. A fee of 1.00% will be assessed on multi-
currency international transactions. The exchange rate between 
the transaction currency and the billing currency used for 
processing international transactions is a rate selected by 
MasterCard from the range of rates available in wholesale 
currency markets for the applicable central processing date, 
which may vary from the rate MasterCard itself receives or the 
government-mandated rate in effect for the applicable central 
processing date.  The conversion rate may be different than the 
rate on the day of the transaction or date of the posting of the 
Account.  The Credit Union has no control over the conversion 
rate. When a credit to the Account does not fully offset a charge 
to the Account due to changes in the rate, you are responsible for 
the difference. 

International Service Assessment Fee: A fee of 0.8% will be 
assessed on single currency international transactions. 
MasterCard, Inc. rules provide for either a 0.8% currency 
exchange fee for single currency international transactions 
(transactions made internationally without a currency conversion) 
or 1.00% currency exchange fee for multi-currency international 

5 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
transactions (transactions made internationally that require a 
currency conversion), which is added to the amount of the 
purchase, cash advance, or credit and retained by MasterCard.  
This fee is charged directly to the Credit Union, is passed on to 
you, and will be included in the transaction on your statement, 
along with an additional description line for each fee. 
Transactions acquired in U.S. territories, and transactions 
originating on U.S. military bases, at U.S. embassies and at U.S. 
consulates, are excluded from this fee. 

Returns and Adjustments:  Merchants and others who honor the 
Account and/or Card may give credit for returns or adjustments, 
and they will do so by sending us a credit slip which we will post 
to the Account.  If your credits and payments exceed what you 
owe us, we will hold and apply this credit balance against future 
purchases and cash advances, or if it is $1.00 or more, refund it 
on your written request or automatically after six (6) months. 

Surrender of Card(s):  The card(s) remains our property and, if 
we request, you agree to surrender the card(s) immediately. 

Lost or Stolen Card, Notification and Liability:  You will 
notify us at once if you believe that the card, account number, 
PIN, or any combination of the three has been lost or stolen by 
immediately calling us at 800.854.9846.  Telephoning is the best 
way of keeping your possible losses down.  You understand that 
your total liability to us shall not exceed $50 for any Account 
and/or Card transactions resulting from the loss, theft, or other 
unauthorized use of the Account and/or Card that occurs prior to 
the time you give notice to us.  Such liability does not apply when 
the Account and/or Card is used to make an electronic transfer.   

You agree that in the event of a lost, stolen, not received, or 
counterfeited card or fraudulent activity on your Account or 
account number, you and all parties given access to the Account 
shall complete the required affidavit of forgery and obtain 
notarization as required by the Credit Union’s bonding company. 
You also agree to assist us in determining the facts, 
circumstances, and other pertinent information related to any loss, 
theft or possible unauthorized use of your Card, account number 
or PIN and to comply with such procedures as we may require in 
connection with our investigation. 

Payments Marked “Paid in Full”:  Payments marked “Paid in 
Full” or other language used to indicate full satisfaction of 
indebtedness may be accepted by us without us being bound by 
such language or waiving any rights under this Agreement.  We 
shall accept full satisfaction of indebtedness only in a written 
agreement, signed by an authorized representative of the Credit 
Union. 

Delay in Enforcement:  We can delay enforcing any of our 
rights under this Agreement without losing them. 

Governing Law:  You understand and agree that this Agreement 
is made in California and shall be governed by the laws of the 
State of California to the extent that California law is not 
inconsistent with controlling federal law. You also understand 
and agree that California’s choice of law rules shall not be 
applied if they would result in the application of non-California 
law.   

Integrated Documents: Any separate sheet of paper labeled, 
“Additional Disclosure – Federal Truth In Lending Act” which is 
delivered together with this Agreement or Disclosure Statement is 
an integrated part of the Agreement and Disclosure Statement.  

Membership Requirement:  You understand and agree that you 
must be and remain a member in good standing with us to be 
eligible for continuing Account and/or Card privileges including 
future purchases and advances.  You understand and agree that 
we may suspend the Account and/or Card privileges during any 
period in which you do not maintain your membership with us. 

If your Account is a joint account, or if more than one cardholder 
is permitted to use the Account, you agree that all notices 
regarding the Account may be sent solely to the cardholder whose 
name and address appears on our billing records. 

You understand that if your Account is a joint account, neither 
party can be removed from the Account except in cases of death.  

Change of Name, Address, or Employment Status:  You 
understand and agree that you must promptly report to us any 
change in your name, address, or employment status. 

Accuracy of Information:  The information provided in your 
request for credit (Application) is accurate and you will notify us 
in writing immediately if there is a change in your financial 
condition.  We may retain the Application.  You understand that 
it is a violation of Section 1014, Title 18, US Code to make false 
statements or over value security for the purpose of influencing 
the action of any federally insured credit union.  We may gather 
credit and/or employment information we deem necessary and 
appropriate from time to time and we may give information 
concerning our credit experience with you to others. 

Copy Received:  You acknowledge receipt of a copy of this 
Agreement and agree to accept its terms. 

Lien on Shares:  If you have voluntarily agreed to a lien on 
shares in your credit card application, you understand and agree 
that if you are in default on the Account, we may impress and 
enforce a lien on all shares (except IRA accounts) then on deposit 
needed by us to repay the unpaid balance of the Account in 
accordance with the Federal Credit Union Act § 1757(11) and our 
bylaws. 

Pledge of Shares: If you have signed a separate Share Pledge 
Agreement, you understand and agree that you are pledging, 
under the uniform commercial code, shares now on deposit in 
your regular share account(s). You understand that you must, at 
all times, keep a sum equal to your credit limit on deposit in your 
regular share account(s) until you repay your entire account 
balance and the account is terminated. You understand and agree 
that this security interest will cover future purchases and 
advances under this Agreement. If you default, we may apply 
these shares to repay your Account Balance in accordance with 
federal or other law. You understand that the APR, quoted herein, 
does not take into account the amount pledged in your regular 
share account(s).  

Credit Reports:  Your performance under this Agreement will 
be reported to a credit reporting agency(s). As required by law, 

6 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
you are hereby notified that a negative credit report reflecting on 
your credit record may be submitted to a credit reporting agency 
if you fail to fulfill the terms of your credit obligations. 

Telephone Monitoring:  We may monitor and record telephone 
calls between you and us to monitor and improve the quality of 
service you receive. 

Billing:  We will send you a periodic statement for each monthly 
cycle in which transaction activity has occurred on your Account, 
and at least quarterly if no activity has occurred. Your periodic 
statement is your bill. We shall bill you for all amounts you 
charge or borrow plus any interest charges, other charges, or fees 
as provided for in this Agreement.  You are responsible for 
notifying us if you do not receive your periodic statement before 
your next payment is due. 

Payments:  Payments should be sent to Kinecta Federal Credit 
Union, Card Services Department, P.O. Box 60083, City of 
Industry, California 91716.  

Payments may be reversed or returned to you un-cashed for 
reasons such as: postdated checks, incomplete checks, or the 
numeric amount differs from the written amount. Return of 
payments is at our discretion and is not limited to the preceding 
examples. 

ARC (Accounts Receivable Entries) Notification:  By sending 
a check, please be aware that you are authorizing Kinecta to use 
information on that check to make a one-time electronic debit in 
the amount of the check from your account at that financial 
institution indicated on it. If you prefer not to have your checks 
used in this way contact the Credit Union at 800.854.9846 to opt 
out. When we use information from your check to make an 
electronic fund transfer, funds may be withdrawn from your 
account as soon as the same day we receive your payment, and 
you will not receive your check back from your financial 
institution.  

Credit Life and/or Disability Insurance: If credit insurance is 
offered on the Account and you request it, the premium will be 
calculated monthly by multiplying the premium rate by the 
outstanding balance on the Account. We will add the premium 
amount to the account balance on the billing cycle closing date. 
The purchase of this insurance is entirely voluntary and is not 
required for credit approval. You acknowledge receiving a copy 
of the credit insurance documents, which contain current rates 
and other information. You understand and agree that if you have 
requested this insurance coverage, you will be obligated to pay 
the premium(s) indicated on the election form, which have been 
included as part of your payment. If you decide to cancel such 
insurance, you must do so in writing and you agree to pay all 
premiums up to the date we act on your request to cancel. You 
further understand that your payment will not decrease if you 
cancel your credit insurance, but will be applied to your 
remaining principal. 

Emergency Card Replacement and Emergency Cash 
Disbursement:  We may provide your personal data to 
MasterCard Inc., its members, or their respective contractors for 
the purpose of providing you with emergency card replacement 
and emergency cash disbursement and you agree and consent to 
the release of this information. 

Disclaimer of Liability:  We offer the Card, the Account, and 
related services in our own interests and disclaim any duty or 
responsibility other than those expressly set forth in this 
Agreement. 

Assignment:  We may assign your Account and any of our rights 
under this Agreement without your consent or notice to you. 

Notices:  All notices required to be given by us in connection 
with your Account shall be deemed to have been delivered on the 
day when they are deposited in the United States mail, properly 
addressed, and with postage prepaid. 

Agreement Assent: You have entered into this agreement with 
Kinecta whether electronically, by recorded voice authorization, 
or physical copy, intending to be bound by your acceptance of the 
Agreement. You agreed that each time you access or use the card; 
you will be bound by the current version of these terms and 
conditions. As the Agreement may be modified periodically, 
Kinecta will mail advance notification to alert all members, 
including online members, to review the enclosed amendments or 
to check the website regularly for updates to this Agreement. You 
should retain or print this Agreement and all subsequent 
notifications for future reference.  This credit card agreement is 
also available on the Federal Reserve Board's website at: 
http://www.federalreserve.gov/creditcardagreements 
so that you may obtain information about shopping for and using 
credit cards. 

You may withdraw your acceptance of this Agreement at any 
time by notifying Kinecta’s Card Services Department by calling 
us at 800.854.9846 or writing us at Kinecta Federal Credit Union 
Card Services Department, P.O. Box 217, Manhattan Beach, 
California 90267. You must discontinue using the Card(s). 
Your use of the Card(s) following any amendment of this 
Agreement will signify and constitute your assent to and 
acceptance of such revised Agreement.  

Upon notification of your withdrawal of acceptance, Kinecta will 
cancel your credit card.  

You will be permitted to pay off the remaining balance pursuant 
to the previous Agreement.  

Cancellation: You may cancel your card at any time in writing 
including your signature, enclosing all cards on your account cut 
in two. Mail your letter along with the destroyed card to: Card 
Services Department P.O. Box 217 Manhattan Beach, California 
90267. Cancellation of the card will end all charging privileges. 
Cancellation of your credit card will not affect your obligation to 
pay any amounts that may be due under this Agreement.  

Notice:  See the statement below for important information 
regarding your right to dispute billing errors. 

YOUR BILLING RIGHTS: Keep this Notice for future use. 

7 

 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
This notice contains important information about your rights and 
our responsibilities under the Fair Credit Billing Act. 

delinquent, and we must let those organizations know when the 
matter has been settled between us.  

What to Do If You Find a Mistake on Your Statement  
If you think there is a mistake on your periodic statement, you 
must write to us at:  
Kinecta Federal Credit Union 
P.O. Box 3038, Evansville, Indiana 47730 

You may also contact us via secure email by visiting our Web 
site, www.kinecta.org  

In your letter, you must give us the following information:  

  Account Information: Your name and Account Number 
  Dollar Amount: The dollar amount of the suspected error 
  Description of the problem: Describe the error and explain if 
you can, why you believe there is a mistake 

You must contact us: 
  Within sixty (60) days after the error appeared on your 
statement. You can telephone us, but doing so will not preserve 
your rights. 
  At least three (3) business days before an automatic payment is 
scheduled, if you want to stop payment on the amount you think 
is wrong. You must notify us of any potential errors in writing [or 
electronically]. You may call us, but if you do we are not required 
to investigate any potential errors and you may have to pay the 
amount in question.  

What Will Happen After We Receive Your Letter 
When we receive your letter, we must do two things: 
1. Within thirty (30) days of receiving your letter, we must tell 
you that we received your letter. We will also tell you if we have 
already corrected the error.  
2. Within ninety (90) days of receiving your letter, we must either 
correct the error or explain to you why we believe the bill is 
correct.  
While we investigate whether or not there has been an error: 
  We cannot try to collect the amount in question, or report you 
as delinquent on that amount. 
  The charge in questions may remain on your statement, and we 
may continue to charge you interest on that amount.  
  While you do not have to pay the amount in question, you are 
responsible for the remainder of your balance. 
  We can apply any unpaid amount against your credit limit.  
After we finish our investigation, one of two things will 
happen: 
If we made a mistake: You will not have to pay the amount in 
question or any interest or other fees related to that amount.  

If we do not believe there was a mistake: You will have to pay the 
amount in question, along with applicable interest and fees. We 
will send you a statement of the amount you owe and the date the 
payment is due. We may then report you as delinquent if you do 
not pay the amount we think you owe.  

If you receive our explanation but still believe your bill is wrong, 
you must write to you within 10 days telling us that you still 
refuse to pay. If you do so, we cannot report you as delinquent 
without also reporting that you are questioning your bill. We must 
tell you the name of anyone to whom we have reported you as 

If we do not follow all the rules above, you do not have to pay the 
first $50 of the amount you question even if your bill is correct.  

Your Rights if You are Dissatisfied with Your Credit Card 
Purchases:  If you are dissatisfied with the goods and services 
that you have purchased with your credit card, and 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 
purchase.  

To use this right, all of the following must be true:  
1. The purchase must have been made in your home state or, if 

not within your home state or within 100 miles of your current 
mailing address, and the purchase price must have been more 
than $50. (Note: Neither of these are necessary if your 
purchase was based on an advertisement we mailed you, or if 
we own the company that sold you the goods and services.) 
2. You must have used the credit card for the purchase. Purchases 
made with cash advances from an ATM or with a check that 
accesses your credit card account do not qualify.  

3. You must not have fully paid for the purchase.  

If all the criteria above are met and you are still dissatisfied with 
the purchase, you must contact us in writing or electronically at:  
Kinecta Federal Credit Union 
P.O. Box 3038, Evansville, Indiana 47730 

You may also contact us via secure email by visiting our website, 
www.kinecta.org  

While we investigate, the same rules apply to the disputed 
amount as discussed above. After we finish our investigation, we 
will tell you our decision. At that point, if we think you owe an 
amount and you do not pay, we may report you as delinquent.  

Rebate/Reward Programs:  Kinecta offers a choice of rewards 
programs on this card.  The choices are Dream Points and for 
members with a Kinecta 1st Mortgage, Home Rebate Rewards.     

The terms and conditions of the Dream Points program will be 
provided to you in a separate disclosure.  The terms and 
conditions of the Home Rebate program are listed below.   

We reserve the right to change the terms and conditions of any 
Rebate/Reward program and to cancel or temporarily suspend 
such a program at any time without notice.  The Rebate/Reward 
program or any other promotional offer is void where prohibited.  

Home Rebate Reward Program:  Kinecta offers a reward 
program with this card.  The terms and conditions of this program 
are listed.   

a.  Cardholders will earn cash towards the mortgage principal 

balance for purchases of all eligible goods and services using 
Kinecta Federal Credit Union’s Platinum Home Rebate Credit 
Card (“card”). Cash back towards mortgage principal will be 
accumulated at the rate of one percent (1.00%) for net 
purchases. 

8 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
b.  Accrual of cash back may begin on the date the card and the 

o.  Kinecta is not responsible for typographical errors and/or 

card agreement is received by the cardholder. 

omissions in any program document. 

p.  Kinecta reserves the right to change the terms and conditions of 

the Home Rebate program.  

Kinecta Federal Credit Union 

PAYMENT ADDRESS 
Kinecta Federal Credit Union 
Card Services Department 
P.O. Box 60083 
City of Industry, California 91716 

MAILING ADDRESS 
Kinecta Federal Credit Union 
Card Services Department 
P.O. Box 217 
Manhattan Beach, California 90267 

PHONE NUMBERS 

800.854.9846 
310.643.5416 

WEBSITE 
www.kinecta.org 

02/01/10   

M-XXXXX 

c.  Cash back earnings are based on the new net retail purchase 
transaction volume (i.e., purchases less credits, returns and 
adjustments) charged to the card during each periodic billing 
cycle (“billing cycle”) by the cardholder(s) (“net purchase(s)”). 
Net purchases are rounded to the nearest dollar and are subject 
to verification. If a transaction is subject to a billing dispute, 
the cash back value of the transaction will be deducted from the 
cash back total during the dispute period. If the transaction is 
reinstated, cash back will be reinstated. 

d.  The earned cash back will be credited to the member’s 
mortgage principal balance that is serviced by Kinecta. 

e.  The credit card must be in good standing (not delinquent, not 

charged-off, or bankrupt, etc.) at the time the cash back will be 
credited to the member’s mortgage principal balance.  If the 
account is in bad standing the redemption will be postponed to 
the next redemption period.  If the account charges off or 
become bankrupt the earned cash back is forfeited.   

f.  Cash back cannot be transferred from one account to another.  

g.  Cash back towards mortgages may not be combined with any 

other loyalty/frequency reward program. 

h.  Cash back will not be earned or accumulated for cash 

advances, convenience checks, traveler’s check purchases, 
finance charges, late fees, annual fees, over-limit fees or 
transaction fees. Unauthorized transactions, including those 
made with a lost, stolen, canceled, or fraudulent Kinecta Credit 
Card does not earn points. At Kinecta’s option, additional 
exclusions may be included in the rules governing the Home 
Rebate program. 

i.  Cash back rights are not the property of the cardholder, and 
cannot be bought, sold or transferred in any way (including 
upon death or as part of a domestic relations matter). 

j.  The cardholder is responsible for determining any tax liability 

arising from participation in the program. Consult a tax advisor 
concerning tax consequences. 

k.  Kinecta shall have no liability for disagreements between 

cardholders regarding cash back. Discrepancies about cash 
back earnings are not treated as card billing disputes. Kinecta’s 
decisions regarding cash back discrepancies shall be final.  

l.  Cash back must be redeemed by the cardholder and payment 

must be made on their mortgage serviced by Kinecta. 

m.  Kinecta reserves the right to disqualify any cardholder from 
participation in the program and invalidate all cash back for 
abuse, fraud, or any violation of the program terms and 
conditions. Kinecta may make such a determination in its sole 
discretion. 

n.  The Home Rebate program is void where prohibited by federal, 

state, or local law. 

9