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Penfed defendeR  
AmeRicAn exPRess® cARd 

Cardholder Agreement  
and Disclosure Statement 

to us within 10 days telling us that you still refuse to pay. If you do so, we can-
not  report  you  as  delinquent  without  also  reporting  that  you  are  questioning 
your  bill.  We  must  tell  you  the  name  of  anyone  to  whom  we  reported  you  as 
delinquent, and we must let those organizations know when the matter has been 
settled between us. 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 dissatisfied with the goods or services that you have pur-
chased  with  your  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 purchase. 
To use this right, all of the following must be true:
1. The purchase must have been made in 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 is necessary if your purchase was based on 
an advertisement we mailed to you, or if we own the company that sold you 
the goods or services.)

2. You must have used your 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 yet have fully paid for the purchase.
If all of the criteria above are met and you are still dissatisfied with the purchase, 
contact  us  in  writing  or  electronically  at:  Card  Services,  Pentagon  Federal 
Credit Union, Box 456, Alexandria, VA 22313-0456, or online at PenFed.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.

Information about this card is accurate as of September 2012 but may have changed since then. To find out what may have 
hanged, please go to PenFed.org or call 800-732-8268.

Amex def form 1221  09/12  Pod  FDR M-106709  

definitions.  The  “Card”  means  the  Pentagon  Federal  Credit  Union  (PenFed) 
American Express credit card which we issue to you under this Agreement, and in-
cludes any device or check used to obtain credit or cash from the account. An Autho-
rized User is an individual receiving a Card, but who has no responsibility for pay-
ment of the Account. The words “you”, “your” and “cardmember” mean each person, 
jointly and individually who holds, signs, retains, uses, or permits others to use or 
sign a card. The words “our”, “we” and “us” mean PenFed or any of its assignees. Un-
less otherwise stated, “Account” means your Card account with us.

1.  AgReement.  We agree to extend credit to you and advance amounts up 
to your credit limit, but transaction limits may apply. Your credit limit is not 
increased by any credit balance you may have on your account. You will sign 
the  back  of  the  Card  as  soon  as  you  receive  it.  You  agree  to  pay  us  for  credit 
extended for the use of the Card by you or any other cardmember, along with 
all applicable finance charges, fees and insurance, if any apply. By signing, us-
ing or permitting others to use the Card, you agree to the terms and conditions 
contained  in  this  Agreement,  on  the  Card,  on  any  charge  slip  resulting  from 
authorized use of the Card, on any authorized cash advance slip, and to accept 
responsibility for all actions taken with the Card.

amounts from the date charged to your Account and continue so long as such 
amounts remain outstanding. (2) A finance charge will be imposed on the av-
erage  daily  balance  of  cash  advances,  which  is  the  sum  of  the  cash  advances 
(determined by including new cash advances and deducting any payments or 
credits  and  excluding  any  unpaid  finance  charge)  outstanding  each  day  dur-
ing the billing cycle, divided by the number of days in the billing cycle. A cash 
advance  appearing  on  the  periodic  statement  is  considered  a  part  of  the  out-
standing  balance  from  the  date  of  posting.  (3)  The  amount  of  finance  charge 
is calculated by multiplying the average daily balance for cash advances by the 
monthly periodic rate.

2. cRedit limit. You agree to use the Card within the credit limit we autho-
rize. You also agree that we can change your credit limit at any time. We are 
not obligated to accept charges that would cause you to exceed your authorized 
credit limit. Any extension of credit to you, made or honored by us, shall be at 
such times and in such amounts and for such purposes as to conform to this 
Agreement, and only when there is no default.

3. chAnge in teRms. You agree that the terms of this Agreement are ap-
plicable to any cardmember. You also agree that we can change the terms of this 
Agreement at any time by adding, deleting, or modifying any provision of the 
Agreement. Termination of the account by you or PenFed will not affect your 
obligation to pay the Account balance plus any finance charge and other charges 
you owe under this Agreement. You are responsible for all transactions made 
to your account after termination, unless the transactions were unauthorized. 
Should you choose to cancel your Account, the terms in effect at the time that 
you cancel the Account will apply until the outstanding balance of the Account 
is paid in full, unless you are in default. Your card will no longer be available for 
use for new transactions, including purchases, as the Account will be closed (if 
it is not already closed). Any cash rewards you have earned will be forfeited. If 
you do not notify us of your decision to terminate the account by the date stated 
in any notice we provide, or if you notify us but then use the Account after the 
date stated in the notice, you will be deemed to accept all changes to the Ac-
count’s terms and conditions of this Agreement. If you are in default because 
your payment has not been received within 60 days of the due date, you do not 
have the right to reject the changes we make to this Agreement or the Account’s 
terms and conditions. 

4. finAnciAl condition chAnge. You agree to advise us of any change 
in your financial condition that may affect your creditworthiness and to pro-
vide us with a current loan application whenever we request one. You expressly 
authorize any person, partnership, association, firm, corporation or consumer 
reporting agency, upon our request, to furnish us with information concerning 
you relevant to the review and evaluation of this Account. You understand and 
agree  that  we  may  terminate  your  account  upon  reevaluation  of  your  credit-
worthiness.

5. finAnce chARges. WILL BE IMPOSED IN THE FOLLOWING MAN-
NER AND WILL BE IN AMOUNTS NOT IN EXCESS OF THOSE PERMIT-
TED BY LAW:

(A) PuRchAses: (1) No finance charge will be imposed during the next billing 
cycle (defined as the time interval between regular monthly billing statement 
dates) if you pay the entire new balance shown on the current periodic statement 
and we receive your payment on or before the payment due date shown on the 
statement. (2) In all other cases, a finance charge will be imposed based on the 
average daily balance of all purchases and debit adjustments, hereafter referred 
to as purchases. The average daily balance is the sum of all outstanding purchas-
es, which is determined by including new purchases and deducting payments or 
credits and excluding any unpaid finance charge for your Account on each day 
of the billing cycle divided by the number of days in the billing cycle. A purchase 
appearing on the periodic statement is considered a part of the outstanding bal-
ance from the date of posting. (3) The amount of the finance charge is calculated 
by  multiplying  the  average  daily  balance  for  purchases  by  the  monthly  peri-
odic  rate.  The  monthly  periodic  rate  is  the  yearly  interest  rate  divided  by  12. 
  (b)  cAsh  AdVAnces:  (1)  Finance  charges  accrue  on  all  cash  advance 

6. PAyments. A payment delivered by regular U.S. mail must be sent to the 
address indicated on your periodic statement. Your payment by mail must be a 
check or money order in U.S. dollars with your account number on the check 
or money order and drawn on a U.S. financial institution, and be accompanied 
by the payment voucher from your statement. Write your account number on 
your check or money order. All such payments will be posted to your account 
as of the date we receive them provided we receive them before 5:00 PM at the 
address  indicated  on  your  periodic  statement.  Payments  received  at  other  lo-
cations or not conforming to these procedures may be delayed in posting, but 
not more than 5 business days from the date of receipt. PenFed, in its sole dis-
cretion,  may  accept  a  check  for  payment  on  your  Account  even  though  pay-
ment was made before the date of the check or a check which has a date more 
than 6 months old. For the first six months all payments received from PenFed 
members who have held membership for six months or less will be credited to 
your Account as of the date we receive them, but credit in the amount of the 
payment will not be available to you for 10 calendar days. Payments made elec-
tronically through our automated telephone service, member service represen-
tatives,  or  our  website  will  be  subject  to  any  processing  times  disclosed  with 
those payments. Your minimum payment due is the greater of $15 or 2% of the 
new balance plus the past due amount, if any, and/or all amounts in excess of 
the  authorized  credit  line/limit  shown  on  the  periodic  statement.  If  the  new 
balance  does  not  exceed  $15,  only  the  new  balance  total  is  due  and  is  shown 
as the minimum payment due. All past due or over limit amounts are due and 
must be fully paid immediately upon notification. You may, however, pay the 
total amount due, which is shown as the new balance, or you may pay any ad-
ditional  amount  you  wish  over  the  minimum  payment  due.  If  your  payment 
is not honored or we must return it to you because it could not be processed, 
a charge may be made to your account in the amount indicated for “returned 
payment” on Pentagon Federal’s current Schedule of Service Fees brochure. In 
addition, for the 6 months following any such dishonored payment, any pay-
ments you make will be credited to your account as of the date we receive them, 
but credit in the amount of the payment will not be available to you for 10 cal-
endar days. You understand and agree that payments will be applied first to the 
card balance bearing the highest rate of interest, then to each successive balance 
bearing  the  next  highest  rate  of  interest  until  the  payment  is  exhausted.  You 
understand and agree that payments will be applied in the following order: (1) 
finance charge; (2) credit life fee (if any); (3) previous balance cash advances; 
(4) previous balance purchases; (5) new cash advances; and (6) new purchases.

7. defAult. You will be in default if you fail to make any payment on time, if 
you exceed the credit limit established for the Account, if you become insolvent 
or file bankruptcy, if you become incompetent or die, if a judgment or garnish-
ment should be issued against any of your property including any of your Ac-
counts  with  us,  if  we  in  good  faith  consider  our  or  your  obligations  or  your 
ability to repay or perform your obligations with us unsafe or insecure, or if you 
fail to live up to any of your other agreements with us, to include any PenFed 
policy or procedure. Subject to law, if you default on this Agreement, we can, 
without  giving  anyone  notice,  demand  immediate  payment  of  the  remaining 
balance due including but not limited to any unpaid finance charges, late fees 
and any other charges due under this Agreement. You also agree our obligation 
for further credit extensions shall immediately end and we may terminate your 
Account without further notice to you. We can do this if you make any false 
or  misleading  statements  on  your  requests  for  an  advance,  if  you  die,  file  for 
bankruptcy or if any other creditor tries to seize your property. If your required 
minimum  payment  has  not  been  received  within  60  days  of  the  due  date,  we 

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may end your promotional rates, including your promotional Balance Transfer 
APR. If collection is necessary, you agree to pay all costs of collection, including 
attorney’s fees and court costs, in an amount not more than 25 percent of the 
balance due.

8. VARiAble RAtes One or more APRs that apply to your account may vary with 
changes to the Prime Rate, which means your rate can increase. We calculate the 
APR by adding a margin to the Prime Rate published in The Wall Street Journal. If 
The Wall Street Journal stops publishing the Prime Rate, we will select a similar ref-
erence rate and inform you on your billing statement or through a separate notice. 
The “Prime Rate” is the highest (U.S.) Prime Rate published in the Money Rates 
section of The Wall Street Journal. A margin is the percentage we add to the Prime 
Rate to calculate the APR. Twice a year, on the Tuesday in the last full week before 
January 1 and the Tuesday in the last full week before July 1, we determine what 
the Prime Rate is, as published in the Wall Street Journal. We then add a margin of 
6.74% to the Prime Rate to get the APR. If the APR increases, you will have to pay a 
higher periodic finance charge and may have to make a higher minimum payment.

9. PRomotionAl AnnuAl PeRcentAge RAte. At our option a special 
promotional rate may be offered from time to time. The specific terms will be 
provided at the time of the offer. Generally, the promotional APR will only apply 
to  select  transactions  (i.e.  purchases  or  balance  transfers)  during  the  promo-
tional period.  The APR rates for all other transactions, not outlined in the pro-
motion as eligible for the promotional APR, will remain unchanged.  If your re-
quired minimum payment is not received within 60 days of the due date, we may 
end your promotional rates, including your promotional Balance Transfer APR. 

10. Account closuRe. You or anyone jointly liable for the Account may 
terminate the Account at any time by notifying us orally or in writing. However, 
this will not relieve you or any of the other joint owners from liability for the 
repayment of any obligations arising from the use of the Account. Upon receipt 
of your notice, we may close your Account or suspend your account privileges 
at any time without prior notice. You must return all of the Cards to us upon 
request.

11.  thiRd  PARty  disclosuRe.  We  may  disclose  information  to  third 
parties about your account in order to advise third parties, such as American 
Express Travel Related Services Company, Inc., American Express Global Net-
work Services, credit reporting agencies or merchants of the existence or condi-
tion of your Account, to evaluate your current credit worthiness or as otherwise 
provided by law. 

12. To protect us if you are in default on any credit extended or cash advanced 
under this account, you pledge all of your shares, deposits, payments and divi-
dends  which  may  be  received,  whether  held  jointly  or  individually,  up  to  the 
amount of your outstanding balance. The foregoing pledge includes the right to 
apply funds available to you in any jointly held account on your date of death. 
This does not include your individual retirement account (IRA). We may take 
all the shares needed by us to repay your credit extension or cash advance. If it 
is necessary to take all of your shares for the payment of this account, you un-
derstand your membership in PenFed may end. Collateral securing other loans 
with the credit union may also secure this loan.

13. cARd dishonoR. If a merchant refuses the Card, we will not have any li-
ability or responsibility. No cash refund will be made to or accepted by you with 
respect to any adjustment for goods or services purchased. All adjustments will 
be made by credit to your PenFed account by a properly executed credit voucher 
issued by the merchant. 

14.  illegAl  cARd  use.  You  agree  that  illegal  use  of  your  Card  by  card-
holders(s)  will  be  deemed  an  action  of  default  and/or  breach  of  contract  and 
your  account  and  other  related  services  may  be  terminated  at  our  discretion. 
You further agree, should illegal use occur, to waive any right to sue PenFed for 
such illegal use or any activity directly or indirectly related to it. You also agree 
to indemnify and hold PenFed harmless from any suits or other legal action or 
liability, directly or indirectly, resulting from such illegal use. 

15. AuthoRized useR. You may request us to issue a Card to an individual 
who has no financial responsibility under this Agreement. An Authorized User 
has the same access to your Account as you do, subject to any limitations we 
may impose. An Authorized User has no authority to add or delete Cardholders, 
request a replacement Card or terminate or modify this Agreement. You may 
terminate an Authorized User’s authority to access your Account at any time. 
To do this, you must return the Card to PenFed. You agree that you are respon-
sible for all charges and cash advances made by an Authorized User, including 
charges made before the Card is returned, recurring charges, or charges made 
without the use of the Card initiated by the Authorized User after termination 
of the Authorized User’s access.

16. lien. You hereby appoint PenFed as your agent under a special power of 
attorney as well as give your express consent to enable us to charge against any 
balance in any of your accounts, including accounts on which you are a joint 
owner, to include any otherwise statutorily protected funds that may not other-
wise be available by legal process, to pay any indebtedness or other outstanding 
financial obligation owed by you or any person who is listed as a joint owner 
on your accounts, including a deceased joint owner. This does not include your 
IRA or any other account for which this provision is not permitted. We may take 
such action without further notice to you or any joint owner. In regard to those 
funds that have a statutory protection, you understand that you may withdraw 
the special power of attorney and consent for PenFed to apply such funds to pay 
any such indebtedness by notifying us in writing. If your agency appointment 
or consent is withdrawn, PenFed may in its sole discretion terminate any and all 
services that you have with the credit union.

17. issuAnce/use of cARd. Upon receipt of the Card(s) you and all oth-
er cardholders agree that you will sign the signature panel on the back of the 
Card(s). The Card remains the property of Pentagon Federal Credit Union and 
may be revoked without notice at any time. The Card must be surrendered to 
us upon demand or revocation. If we employ an agent to obtain the Card your 
Account will be charged with any related fees. No expired, revoked or otherwise 
invalid Card shall be used to obtain or attempt to obtain credit. You will remain 
responsible to pay the amount you owe us according to the terms of this Agree-
ment.  Cancellation  of  the  Account  will  also  terminate  any  other  products  or 
services offered in conjunction with it. However, recurring charges from a third 
party vendor/merchant will be charged to your Account, even though you have 
requested  cancellation.  You  must  cancel  the  recurring  charge  with  the  third 
party merchant/vendor. 

18.  issuAnce/use  of  checks.  If  we  issue  you  checks,  these  checks  are 
treated as cash advances when they are used and presented for payment. We may 
refuse to issue or reissue and may also terminate, limit or modify the use of the 
checks without notice to you, and you agree to surrender the checks upon our 
demand or upon learning of our cancellation or withdrawal of the checks. Use 
of checks or other methods of access for kiting or similar activity is an action 
of default. The checks at all times remain the property of PenFed and we may 
repossess them without the use of court process. All of the terms and conditions 
of this Agreement apply to the use of the checks. Only check blanks and other 
methods  authorized  by  PenFed  now  and  in  the  future  may  be  used  to  obtain 
funds from your Account. If so authorized by PenFed, your use of a personal 
identification number (PIN) for such purpose shall constitute your signature. 
Paid checks become our property and will not be returned to you. Copies may 
be provided, if requested for a nominal fee for each item. Should we decline to 
pay any check, or if you instruct us not to pay a check, PenFed shall not be li-
able, except for gross negligence, for any action it takes regarding payment or 
nonpayment of a check. If we decline to pay a check, a charge may be made to 
your account in the amount indicated on our current Schedule of Service Fees 
brochure, which is available at any branch office, on request, or at PenFed.org. 
You will not date any check later than the date that you write it. If you do and the 
check is presented for payment before its date, PenFed, in its sole discretion may 
return it unpaid, or pay it. If we pay it, we will charge the Account. PenFed may, 
in its sole discretion, pay a check which has a date more than six months old.

19.  foReign  tRAnsActions. Purchases and cash advances made in for-

eign currencies will be debited from your account in U.S. dollars. The exchange 
rate  between  the  transaction  currency  and  the  billing  currency  used  for  pro-
cessing international transactions is either a wholesale market rate or the gov-
ernment mandated rate in effect one day prior to the date processed by Ameri-
can Express and may include an international transaction fee. 

skip option, we will continue to apply the finance charge as disclosed above, but 
no  late  payment  fees  will  apply  to  the  skipped  payment.  For  the  billing  cycle 
following a skipped payment, all the terms and conditions of this Agreement 
(including minimum periodic payment and applicable late payment fees) will 
continue to apply.

20. membeR PRotection PlAn. Your purchase of the Member Protection 
Plan (“Plan”) is optional. Whether or not you purchase this protection will not 
affect your application for credit or the terms of any existing credit agreement 
you have with PenFed. If you do purchase this Plan you may cancel it at any time 
by notifying us in writing. You understand that you may rescind this plan within 
30 days after the date your Plan becomes effective. If you rescind, any premiums 
you have already paid will be credited to your account. We can terminate this 
Agreement by giving you notice at least 30 days in advance of the termination. 
You understand that the Plan protects only you as the primary Member-Bor-
rower against protected events while you are enrolled in the Plan. Co-borrowers, 
co-signers, guarantors and additional card holders are not eligible for protec-
tion. The premium, method of calculation and assessment are subject to change. 
If these terms change we will provide written notice before the change goes into 
effect. Premiums will accrue on a daily basis and will be billed to your account 
monthly.  Complete  details  of  this  optional  Plan  are  included  in  The  Member 
Protection Plan Program Agreement which you will receive upon enrollment.

21. tRAVel Accident insuRAnce. We agree to provide you with Travel 
Accident Insurance at no direct cost to you. You, your spouse and unmarried 
dependent  children  will  be  automatically  insured  against  accidental  bodily 
injuries or death while riding in any aircraft or land or water conveyance oper-
ated by a common carrier licensed to carry passengers for hire provided the 
full  travel  fare(s)  has  been  charged  to  your  Account.  Death  benefits  will  be 
paid to the estate of the insured; all other benefits will be paid to the insured. 
This insurance is subject to cancellation without prior notice. You understand 
and agree that the Certificate of Insurance controls all insurance terms and 
conditions to the exclusion of any statements made in this Agreement regard-
ing limitations, exclusions, and claims procedures.

22. AssignAbility of Account. You agree that PenFed may at any time 
sell, transfer or assign your account.

23. lost/stolen cARd. You are responsible for the possession and use of 
the Card and must maintain the confidentiality of the PIN we may assign you. 
You will notify us at once if you believe your Card has been lost or stolen, or if 
you have reason to believe the Card is being used without your permission. You 
may notify us by calling 1-800-732-8268 OR 1-541-225-6790 from overseas, or 
by writing to us at PenFed Card Services, Box 456, Alexandria, VA 22313-0456. 

24. liAbility foR unAuthoRized use. You are liable for all authorized 
use of any Card issued under the Agreement regardless of the credit limit or the 
party using it. You agree to notify us immediately using the contact information 
listed in “Lost/Stolen Card”, above) if you suspect unauthorized use of the Card, 
and  to  cooperate  with  us  in  the  recovery  of  any  amounts  advanced  based  on 
unauthorized use. You will not be liable for any unauthorized use of the card.

25.  stAtements.  We  will  bill  you  monthly,  on  a  date  selected  by  us,  for 
amounts due under this Agreement. If you elect to receive your credit card state-
ment electronically, you will receive an e-mail alerting you when your statement 
is ready to be viewed online. Failure to receive a monthly statement or electronic 
statement  notification  does  not  relieve  you  from  making  any  required  mini-
mum payment. Upon receipt of each periodic statement, you should examine 
it and immediately notify us in writing of any transaction you believe to be in 
error. If your Account is a joint account, we can send statements and notices to 
either of you. You agree to notify us promptly of any change in your name, ad-
dress, or e-mail address.

26. PAyment skiP oPtion. At our option, we may provide for a payment 
skip  option,  which  means  that  you  may  be  allowed  to  skip  making  the  mini-
mum periodic payment for specified billing cycles. If you accept this payment 

27. otheR AgReements. All the terms and conditions of any other agree-
ment between us and you and/or any other institution that is part of a network 
of automated teller machines (ATMs) in which we participate, and any appli-
cable rules and regulations, also apply to use of the Card. There may be mini-
mum and/or maximum limits on the amount of a cash advance dispensed from 
electronic  terminals  which  accept  the  Card.  All  of  the  transactions  made  by 
electronic means are subject to verification by us, and any checks or other items 
deposited for collection may be deemed to be received and any other transac-
tion  may  be  deemed  to  occur  on  our  next  business  day.  You  understand  that 
transactions may be limited in some areas. You agree that we do not waive our 
rights under this Agreement if we fail to assert them. The Agreement binds and 
benefits us and our successors and assigns and binds you, your estate and your 
personal representatives. 

28. APPlicAble lAW. This Agreement and your Card and Additional Cards, 
and all questions about their legality, enforceability and interpretation, are gov-
erned by the laws of the Commonwealth of Virginia, USA.

youR billing Rights (Keep this notice for future use.) This notice tells you 
about your rights and our responsibilities under the Fair Credit Billing Act. 

WhAt to do if you find A mistAke on youR stAtement. If you 
think there is an error on your statement, write to us at: Card Services, Penta-
gon  Federal  Credit  Union,  Box  456,  Alexandria,  VA  22313-0456.  You  may 
also contact us on the Web via our Secure Online Message Center at: PenFed.org 
In your letter give us the following information:
• Account information: Your name and account number.
• Dollar amount: The dollar amount of the suspected error.
• Description of problem: If you think there is an error on your bill, describe what 

you believe is wrong and why you believe it is a mistake.

You must contact us:
• Within 60 days after the error appeared on your statement.
• At least 3 business days before an automated 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 re-
ceive your letter, we must do two things:
1. Within 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 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 question 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 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