TERMS AND CONDITIONS
OF YOUR ACCOUNT
IMPORTANT  INFORMATION  ABOUT  PROCEDURES  FOR  OPENING  A
NEW ACCOUNT - To help the government fight the funding of terrorism and
money  laundering  activities,  Federal  law  requires  all  financial  institutions  to
obtain, verify, and record information that identifies each person who opens an
account.
What  this  means  for  you:  When  you  open  an  account,  we  will  ask  for  your
name,  address,  date  of  birth  (for  individuals),  and  other  information  that  will
allow  us  to  identify  you.  We  may  also  ask  to  see  your  driver’s  license  (for
individuals) or other identifying documents.
Membership Eligibility:
To  become  a  member  of  MSUFCU,  you  must  satisfy  the  membership
requirements,  including  the  opening  and  maintenance  of  at  least  one  (1)
regular  business  share  account  as  set  forth  in  the  MSUFCU  Bylaws,  and  the
payment of a $1.00 non-refundable membership fee. You authorize us to verify
your membership qualifications or any other products or services you apply for
by  reviewing  your  account,  credit  and  employment  history,  and  by  obtaining
information  from  third  parties,  including,  but  not  limited  to,  credit-reporting
companies.
Responsible Individuals and Authorized Signers:
We allow the following two access levels for accounts: responsible individuals
and authorized signers. Each person with access to the account has the ability
to withdrawal funds, write checks and make other transactions on the business'
behalf.  We  require  that  each  account  have  a  minimum  of  one  (1)  responsible
individual, that person will be held personally liable for all obligations created
by the business' account, including, but not limited to overdraft situations and
returned  deposited  items,  regardless  of  the  individual  who  caused  such
situation.  Authorized  signers  will  not  be  held  liable  for  the  obligations  of  the
business to the extent that they have not otherwise agreed to be held liable. 
AGREEMENT - This document, along with any other documents we give you
pertaining to your account(s), is a contract that establishes rules which control
your  account(s)  with  us.  Please  read  this  carefully  and  retain  it  for  future
reference. If you sign the signature card or open or continue to use the account,
you  agree  to  these  rules.  You  will  receive  a  separate  schedule  of  rates,
qualifying  balances,  and  fees  if  they  are  not  included  in  this  document.  If  you
have any questions, please call us.
This  agreement  is  subject  to  applicable  federal  laws,  the  laws  of  the  state  of
Michigan and other applicable rules such as the operating letters of the Federal
Reserve Banks and payment processing system rules (except to the extent that
this  agreement  can  and  does  vary  such  rules  or  laws).  The  body  of  state  and
federal  law  that  governs  our  relationship  with  you,  however,  is  too  large  and
complex to be reproduced here. The purpose of this document is to:
(1) summarize some laws that apply to common transactions;
(2) establish  rules  to  cover  transactions  or  events  which  the  law  does  not

regulate;

(3) establish rules for certain transactions or events which the law regulates but

permits variation by agreement; and

(4) give you disclosures of some of our policies to which you may be entitled

or in which you may be interested. 

If any provision of this document is found to be unenforceable according to its
terms,  all  remaining  provisions  will  continue  in  full  force  and  effect.  We  may
permit  some  variations  from  our  standard  agreement,  but  we  must  agree  to
any variation in writing either on the signature card for your account or in some
other document. 
As used in this document the words “we,” “our,” and “us” mean the financial
institution  and  the  words  “you”  and  “your”  mean  the  account  holder(s)  and
anyone  else  with  the  authority  to  deposit,  withdraw,  or  exercise  control  over
the  funds  in  the  account.  However,  this  agreement  does  not  intend,  and  the
terms  “you”  and  “your”  should  not  be  interpreted,  to  expand  an  individual’s
responsibility  for  an  organization’s  liability.  If  this  account  is  owned  by  a
corporation, partnership or other organization, individual liability is determined
by  the  laws  generally  applicable  to  that  type  of  organization.  The  headings  in
this  document  are  for  convenience  or  reference  only  and  will  not  govern  the
interpretation of the provisions. Unless it would be inconsistent to do so, words
and  phrases  used  in  this  document  should  be  construed  so  the  singular
includes the plural and the plural includes the singular. 
BYLAWS  - Our  bylaws,  which  we  may  amend  from  time  to  time,  establish
basic  rules  about  our  credit  union  policies  and  operations  which  affect  your
account  and  membership.  You  may  obtain  a  copy  of  the  bylaws  on  request.
Our right to require you to give us notice of your intention to withdraw funds
from  your  account  is  described  in  the  bylaws.  Unless  we  have  agreed
otherwise,  you  are  not  entitled  to  receive  any  original  item  after  it  is  paid,
although you may request that we send you an item(s) or a copy of an item(s).  
LIABILITY - You agree, for yourself (and the person or entity you represent if
you  sign  as  a  representative  of  another)  to  the  terms  of  this  account  and  the
schedule of charges. You authorize us to deduct these charges, without notice
to  you,  directly  from  the  account  balance  as  accrued.  You  will  pay  any
additional  reasonable  charges  for  services  you  request  which  are  not  covered
by this agreement. 
Each of you also agrees to be jointly and severally (individually) liable for any
account shortage resulting from charges or overdrafts, whether caused by you
or another  with  access  to  this  account.  This  liability  is  due  immediately,  and
can  be  deducted  directly  from  the  account  balance  whenever  sufficient  funds
are available. You have no right to defer payment of this liability, and you are
liable regardless of whether you signed the item or benefited from the charge
or overdraft. 

You will be liable for our costs as well as for our reasonable attorneys’ fees, to
the extent permitted by law, whether incurred as a result of collection or in any
other  dispute  involving  your  account.  This  includes,  but  is  not  limited  to,
disputes between you and another joint owner; you and an authorized signer or
similar  party;  or  a  third  party  claiming  an  interest  in  your  account.  This  also
includes  any  action  that  you  or  a  third  party  takes  regarding  the  account  that
causes us, in good faith, to seek the advice of an attorney, whether or not we
become involved in the dispute. All costs and attorneys’ fees can be deducted
from your account when they are incurred, without notice to you.
DEPOSITS - We will give only provisional credit until collection is final for any
items, other than cash, we accept for deposit (including items drawn “on us”).
Before  settlement  of  any  item  becomes  final,  we  act  only  as  your  agent,
regardless of the form of indorsement or lack of indorsement on the item and
even  though  we  provide  you  provisional  credit  for  the  item.  We  may  reverse
any  provisional  credit  for  items  that  are  lost,  stolen,  or  returned.  Actual  credit
for deposits of, or payable in, foreign currency will be at the exchange rate in
effect on final collection in U.S. dollars. We are not responsible for transactions
by mail or outside depository until we actually record them. We will treat and
record all transactions received after our “daily cutoff time” on a business day
we are open, or received on a day we are not open for business, as if initiated
on the next business day that we are open. At our option, we may take an item
for  collection  rather  than  for  deposit.  If  we  accept  a  third-party  check  for
deposit,  we  may  require  any  third-party  indorsers  to  verify  or  guarantee  their
indorsements, or indorse in our presence. 
WITHDRAWALS - 
Generally - Unless clearly indicated otherwise on the account records, any of
you,  acting  alone,  who  signs  to  open  the  account  or  has  authority  to  make
withdrawals may withdraw or transfer all or any part of the account balance at
any  time.  Each  of  you  (until  we  receive  written  notice  to  the  contrary)
authorizes each other person who signs or has authority to make withdrawals
to indorse any item payable to you or your order for deposit to this account or
any other transaction with us.
Postdated  checks  -  A postdated  check  is  one  which  bears  a  date  later  than
the date on which the check is written. We may properly pay and charge your
account for a postdated check even though payment was made before the date
of the check, unless we have received written notice of the postdating in time to
have a reasonable opportunity to act. Because we process checks mechanically,
your  notice  will  not  be  effective  and  we  will  not  be  liable  for  failing  to  honor
your notice unless it precisely identifies the number, date, amount and payee of
the item.
Checks  and  withdrawal  rules  -  If  you  do  not  purchase  your  check  blanks
from us, you must be certain that we approve the check blanks you purchase.
We may refuse any withdrawal or transfer request which you attempt on forms
not  approved  by  us  or  by  any  method  we  do  not  specifically  permit.  We  may
refuse any withdrawal or transfer request which is greater in number than the
frequency  permitted,  or  which  is  for  an  amount  greater  or  less  than  any
withdrawal limitations. We will use the date the transaction is completed by us
(as  opposed  to  the  date  you  initiate  it)  to  apply  the  frequency  limitations.  In
addition, we may place limitations on the account until your identity is verified. 
Even if we honor a nonconforming request, we are not required to do so later.
If  you  violate  the  stated  transaction  limitations  (if  any),  in  our  discretion  we
may close your account or reclassify it as a transaction account. If we reclassify
your account, your account will be subject to the fees and earnings rules of the
new account classification. 
If  we  are  presented  with  an  item  drawn  against  your  account  that  would  be  a
“substitute  check,”  as  defined  by  law,  but  for  an  error  or  defect  in  the  item
introduced in the substitute check creation process, you agree that we may pay
such item. 
See the funds availability policy disclosure for information about when you can
withdraw funds you deposit. For those accounts to which our funds availability
policy  disclosure  does  not  apply,  you  can  ask  us  when  you  make  a  deposit
when  those  funds  will  be  available  for  withdrawal.  We  may  determine  the
amount of available funds in your account for the purpose of deciding whether
to return an item for insufficient funds at any time between the time we receive
the  item  and  when  we  return  the  item  or  send  a  notice  in  lieu  of  return.  We
need  only  make  one  determination,  but  if  we  choose  to  make  a  subsequent
determination,  the  account  balance  at  the  subsequent  time  will  determine
whether there are insufficient available funds.
Overdrafts - You understand that we may, at our discretion, honor withdrawal
requests  that  overdraw  your  account.  However,  the  fact  that  we  may  honor
withdrawal requests that overdraw the account balance does not obligate us to
do  so  later.  So  you  can  NOT  rely  on  us  to  pay  overdrafts  on  your  account
regardless  of  how  frequently  or  under  what  circumstances  we  have  paid
overdrafts  on  your  account  in  the  past.  We  can  change  our  practice  of  paying
overdrafts  on  your  account  without  notice  to  you.  You  can  ask  us  if  we  have
other  account  services  that  might  be  available  to  you  where  we  commit  to
paying overdrafts under certain circumstances, such as an overdraft protection
line-of-credit or a plan to sweep funds from another account you have with us.
You agree that we may charge fees for overdrafts, except for overdrafts caused
by ATM withdrawals or one-time debit card transactions if you have not opted-
in to that service. We may use subsequent deposits, including direct deposits of
social  security  or  other  government  benefits,  to  cover  such  overdrafts  and
overdraft fees.
Multiple  signatures,  electronic  check  conversion,  and  similar
transactions  -  An  electronic  check  conversion  transaction  is  a  transaction
where  a  check  or  similar  item  is  converted  into  an  electronic  fund  transfer  as
defined  in  the  Electronic  Fund  Transfers  regulation.  In  these  types  of
transactions  the  check  or  similar  item  is  either  removed  from  circulation

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

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(truncated) or given back to you. As a result, we have no opportunity to review
the check to examine the signatures on the item. You agree that, as to these or
any items as to which we have no opportunity to examine the signatures, you
waive any requirement of multiple signatures.
BUSINESS, ORGANIZATION AND ASSOCIATION ACCOUNTS - Earnings
in  the  form  of  interest,  dividends,  or  credits  will  be  paid  only  on  collected
funds, unless otherwise provided by law or our policy. You represent that you
have the authority to open and conduct business on this account on behalf of
the  entity.  We  may  require  the  governing  body  of  the  entity  opening  the
account to give us a separate authorization telling us who is authorized to act
on its behalf. We will honor the authorization until we actually receive written
notice of a change from the governing body of the entity.
STOP PAYMENTS - Unless otherwise provided, the rules in this section cover
stopping  payment  of  items  such  as  checks  and  drafts.  Rules  for  stopping
payment of other types of transfers of funds, such as consumer electronic fund
transfers,  may  be  established  by  law  or  our  policy.  If  we  have  not  disclosed
these rules to you elsewhere, you may ask us about those rules.
We  may  accept  an  order  to  stop  payment  on  any  item  from  any  one  of  you.
You must make any stop-payment order in the manner required by law and we
must  receive  it  in  time  to  give  us  a  reasonable  opportunity  to  act  on  it  before
our  stop-payment  cutoff  time.  Because  stop-payment  orders  are  handled  by
computers, to be effective, your stop-payment order must precisely identify the
number, date, and amount of the item, and the payee. You may stop payment
on any  item  drawn  on  your  account  whether  you  sign  the  item  or  not.
Generally, if your stop-payment order is given to us in writing it is effective for
six months. Your order will lapse after that time if you do not renew the order
in writing before the end of the six-month period. If the original stop-payment
order  was  verbal  your  stop-payment  order  will  lapse  after  14  calendar  days  if
you  do  not  confirm  your  order  in  writing  within  that  time  period.  We  are  not
obligated  to  notify  you  when  a  stop-payment  order  expires.  A  release  of  the
stop-payment request may be made only by the person who initiated the stop-
payment order.
If you  stop  payment  on  an  item  and  we  incur  any  damages  or  expenses
because of the stop payment, you agree to indemnify us for those damages or
expenses,  including  attorneys’  fees.  You  assign  to  us  all  rights  against  the
payee  or  any  other  holder  of  the  item.  You  agree  to  cooperate  with  us  in  any
legal actions that we may take against such persons. You should be aware that
anyone  holding  the  item  may  be  entitled  to  enforce  payment  against  you
despite the stop-payment order. 
TRANSFER LIMITATIONS - For savings and money market accounts you may
make  up  to  six  transfers  or  withdrawals  by  means  of  a  preauthorized,
automatic, or telephonic transfer to another account of yours or to a third party
or  by  check,  debit  card,  or  similar  order  to  a  third  party  during  any  calendar
month  (or  statement  cycle  of  at  least  four  weeks).  A  preauthorized  transfer
includes any arrangement with us to pay a third party from your account at (i) a
predetermined time; (ii) on a fixed schedule or (iii) upon oral or written orders
including  orders  received  through  the  automated  clearing  house  (ACH).  If  the
transfer or withdrawal is initiated in person, by mail, or at an ATM then there is
no limit on the number of payments that may be made directly to you, directly
to us for amounts you owe us, or transfers to other accounts you have with us.
Withdrawals by phone are also unlimited if you are requesting that a check be
mailed to you.
AMENDMENTS AND TERMINATION - We may change our bylaws and any
term  of  this  agreement.  Rules  governing  changes  in  rates  are  provided
separately in the Truth-in-Savings disclosure or in another document. For other
changes we will give you reasonable notice in writing or by any other method
permitted by law. We may close this account if your membership in the credit
union  terminates,  or  by  giving  reasonable  notice  to  you  and  tender  of  the
account  balance  personally  or  by  mail.  Items  presented  for  payment  after  the
account  is  closed  may  be  dishonored.  When  you  close  your  account,  you  are
responsible for leaving enough money in the account to cover any outstanding
items and charges to be paid from the account. Reasonable notice depends on
the  circumstances,  and  in  some  cases  such  as  when  we  cannot  verify  your
identity  or  we  suspect  fraud,  it  might  be  reasonable  for  us  to  give  you  notice
after  the  change  or  account  closure  becomes  effective.  For  instance,  if  we
suspect fraudulent activity with respect to your account, we might immediately
freeze or close your account and then give you notice. At our option, we may
suspend  your  rights  to  member  services  if  you  violate  the  terms  of  this
agreement.  You  must  keep  us  informed  of  your  current  address  at  all  times.
Notice from us to any one of you is notice to all of you. If we have notified you
of a change in any term of your account and you continue to have your account
after the effective date of the change, you have agreed to the new term(s).
STATEMENTS  - Statements are a valuable tool to help prevent fraudulent or
mistaken transfers. Your statement will show the transactions that occurred in
connection with your account during the statement period. 
Your  duty  to  report  unauthorized  signatures,  alterations  and
forgeries  - Your  statement  will  provide  sufficient  information  for  you  to
reasonably  identify  the  items  paid  (item  number,  amount,  and  date  of
payment). You should keep a record of each transaction as it is made so that
when we give you the information in the statement, you will have a complete
understanding of each transaction listed.
You  have  some  responsibilities  in  connection  with  your  statement.  You  must
examine  your  statement  with  “reasonable  promptness.”  Also,  if  you  discover
(or  reasonably  should  have  discovered)  any  unauthorized  signatures  or
alterations, you must promptly notify us of the relevant facts. As between you
and us, if you fail to do either of these duties, you must bear the loss entirely
yourself or share the loss with us (we may have to share some of the loss if we

failed to use ordinary care and if we substantially contributed to the loss). The
loss you might bear, in whole or part, could be not only with respect to items
listed  on  the  statement,  but  also  other  items  with  unauthorized  signatures  or
alterations  by  the  same  wrongdoer.  Of  course,  an  attempt  can  be  made  to
recover the loss from the thief, but this is often unsuccessful.
You agree that the time you have to examine your statement and report to us
will depend on the circumstances, but you will not, in any circumstance, have a
total  of  more  than  30  days  from  when  we  first  send  or  make  the  statement
available to you.
You  further  agree  that  if  you  fail  to  report  any  unauthorized  signatures,
alterations or forgeries in your account within 60 days of when we first send or
make  the  statement  available,  you  cannot  assert  a  claim  against  us  on  any
items  in  that  statement,  and  as  between  you  and  us  the  loss  will  be  entirely
yours.  This  60-day  limitation  is  without  regard  to  whether  we  exercised
ordinary care. The limitation in this paragraph is in addition to those contained
in the second paragraph of this section.
Contact  us  if  you  do  not  receive  your  regular  statement.  If  this  is  a  business
account,  you  agree  that  you  will  have  at  least  two  people  review  your
statements, notices, and returned checks, or in the alternative, the person who
reviews  these  will  be  someone  who  does  not  have  authority  to  transact
business on the account. 
Your duty to report other errors - In addition to the Commercial Code and
other state law, you agree there is a common law duty to promptly review your
statement  for  errors  in  addition  to  unauthorized  signatures,  alterations  or
forgeries.  Promptly  reviewing  your  statement  is  valuable  to  both  you  and  us
because it can help identify, correct and prevent future mistakes.
In addition to your duty to review your statements for unauthorized signatures,
alterations and forgeries, you agree to examine your statement with reasonable
promptness for any other error - such as an encoding error. You agree that the
time you have to examine your statement and report to us will depend on the
circumstances. However, such time period shall not exceed 60 days. Failure to
examine  your  statement  and  report  any  such  errors  to  us  within  60  days  of
when  we  first  send  or  make  the  statement  available  precludes  you  from
asserting  a  claim  against  us  for  any  such  errors  on  items  identified  in  that
statement and as between you and us the loss will be entirely yours. If a good
reason (such as a long trip or a hospital stay) kept you from telling us, we will
extend the 60 day time period to report other errors. 
ACCOUNT  TRANSFER  - If  you  attempt  to  transfer  or  assign  all  or  a  part  of
your  account,  we  will  not  be  bound  by  the  transfer  or  assignment  until  we
agree in writing to the transfer or assignment. We are not required to accept or
recognize  any  transfer  or  assignment.  Unless  we  agree  otherwise  in  writing,
any  rights  of  a  transferee  or  assignee  will  be  subject  to  our  right  of  setoff  or
prior security interest. We have no obligation to notify you or any other person
before disbursing any funds from your account in accordance with what we in
good faith believe to be the terms of the transfer or assignment.
DIRECT  DEPOSITS  -  If  we  are  required  for  any  reason  to  reimburse  the
federal government for all or any portion of a benefit payment that was directly
deposited  into  your  account,  you  authorize  us  to  deduct  the  amount  of  our
liability to the federal government from the account or from any other account
you have with us, without prior notice and at any time, except as prohibited by
law.  We  may  also  use  any  other  legal  remedy  to  recover  the  amount  of  our
liability.
RIGHT TO REPAYMENT OF INDEBTEDNESS - You each agree that we may
(without  prior  notice  and  when  permitted  by  law)  charge  against  and  deduct
from this account any due and payable debt owed to us now or in the future, by
any  of  you  having  the  right  of  withdrawal,  to  the  extent  of  such  persons’  or
legal  entity’s  right  to  withdraw.  If  the  debt  arises  from  a  note,  “any  due  and
payable  debt”  includes  the  total  amount  of  which  we  are  entitled  to  demand
payment  under  the  terms  of  the  note  at  the  time  we  charge  the  account,
including any balance the due date for which we properly accelerate under the
note.
In addition to these contract rights, we may also have rights under a “statutory
lien.”  A  “lien”  on  property  is  a  creditor’s  right  to  obtain  ownership  of  the
property  in  the  event  a  debtor  defaults  on  a  debt.  A  “statutory  lien”  is  one
created  by  federal  or  state  statute.  If  federal  or  state  law  provides  us  with  a
statutory  lien,  then  we  are  authorized  to  apply,  without  prior  notice,  your
shares and dividends to any debt you owe us, in accord with the statutory lien.
Neither  our  contract  rights  nor  rights  under  a  statutory  lien  apply  to  this
account if prohibited by law. For example, neither our contract rights nor rights
under a statutory lien apply to this account if: (a) it is an Individual Retirement
Account  or  similar  tax-deferred  account,  or  (b)  the  debt  is  created  by  a
consumer  credit  transaction  under  a  credit  card  plan  (but  this  does  not  affect
our  rights  under  any  consensual  security  interest),  or  (c)  the  debtor’s  right  of
withdrawal arises only in a representative capacity. We will not be liable for the
dishonor  of  any  check  or  draft  when  the  dishonor  occurs  because  we  charge
and  deduct  an  amount  you  owe  us  from  your  account.  You  agree  to  hold  us
harmless  from  any  claim  arising  as  a  result  of  our  exercise  of  our  right  to
repayment.
RESTRICTIVE  LEGENDS  - The automated processing of the large volume of
checks  we  receive  prevents  us  from  inspecting  or  looking  for  special
instructions  or  “restrictive  legends”  on  every  check.  Examples  of  restrictive
legends placed on checks are “must be presented within 90 days” or “not valid
for  more  than  $1,000.00.”  For  this  reason,  we  are  not  required  to  honor  any
restrictive legend placed on checks you write unless we have agreed in writing
to  the  restriction.  We  are  not  responsible  for  any  losses,  claims,  damages,  or
expenses that result from your placement of these or other special instructions
on your checks.

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

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CHECK  PROCESSING  -  We process items mechanically by relying solely on
the  information  encoded  in  magnetic  ink  along  the  bottom  of  the  items.  This
means that we do not individually examine all of your items to determine if the
item is properly completed, signed and indorsed or to determine if it contains
any information other than what is encoded in magnetic ink. You agree that we
have not failed to exercise ordinary care solely because we use our automated
system  to  process  items  and  do  not  inspect  all  items  processed  in  such  a
manner. Using an automated process helps us keep costs down for you and all
account holders.
CHECK  CASHING  - We  may  charge  a  fee  for  anyone  that  does  not  have  an
account  with  us  who  is  cashing  a  check,  draft  or  other  instrument  written  on
your  account.  We  may  also  require  reasonable  identification  to  cash  such  a
check,  draft  or  other  instrument.  We  can  decide  what  identification  is
reasonable  under  the  circumstances  and  such  identification  may  be
documentary  or  physical  and  may  include  collecting  a  thumbprint  or
fingerprint.
TRUNCATION, SUBSTITUTE CHECKS, AND OTHER CHECK IMAGES - If
you truncate an original check and create a substitute check, or other paper or
electronic image of the original check, you warrant that no one will be asked to
make payment on the original check, a substitute check or any other electronic
or paper  image,  if  the  payment  obligation  relating  to  the  original  check  has
already  been  paid.  You  also  warrant  that  any  substitute  check  you  create
conforms  to  the  legal  requirements  and  generally  accepted  specifications  for
substitute  checks.  You  agree  to  retain  the  original  check  in  conformance  with
our internal policy for retaining original checks. You agree to indemnify us for
any  loss  we  may  incur  as  a  result  of  any  truncated  check  transaction  you
initiate.  We  can  refuse  to  accept  substitute  checks  that  have  not  previously
been warranted by a bank or other financial institution in conformance with the
Check 21 Act. Unless specifically stated in a  separate  agreement between you
and  us,  we  do  not  have  to  accept  any  other  electronic  or  paper  image  of  an
original check.
FACSIMILE SIGNATURES - Unless you make advance arrangements with us,
we have  no  obligation  to  honor  facsimile  signatures  on  your  checks  or  other
orders.  If  we  do  agree  to  honor  items  containing  facsimile  signatures,  you
authorize us, at any time, to charge you for all checks, drafts, or other orders,
for  the  payment  of  money,  that  are  drawn  on  us.  You  give  us  this  authority
regardless of by whom or by what means the facsimile signature(s) may have
been  affixed  so  long  as  they  resemble  the  facsimile  signature  specimen  filed
with  us,  and  contain  the  required  number  of  signatures  for  this  purpose.  You
must notify us at once if you suspect that your facsimile signature is being or
has been misused.
REMOTELY  CREATED  CHECKS  - Like  any  standard  check  or  draft,  a
remotely  created  check  (sometimes  called  a  telecheck,  preauthorized  draft  or
demand draft) is a check or draft that can be used to withdraw money from an
account.  Unlike  a  typical  check  or  draft,  however,  a  remotely  created  check  is
not  issued  by  the  paying  bank  and  does  not  contain  the  signature  of  the
account  owner  (or  a  signature  purported  to  be  the  signature  of  the  account
owner).  In  place  of  a  signature,  the  check  usually  has  a  statement  that  the
owner  authorized  the  check  or  has  the  owner’s  name  typed  or  printed  on  the
signature  line.  For  example,  if  a  person  provides  an  account  number  in
response to a telephone solicitation, the telephone solicitor can use the account
number to  issue  a  remotely  created  check  to  withdraw  money  from  that
account.
You  warrant  and  agree  to  the  following  for  every  remotely  created  check  we
receive  from  you  for  deposit  or  collection:  (1)  you  have  received  express  and
verifiable authorization to create the check in the amount and to the payee that
appears  on  the  check;  (2)  you  will  maintain  proof  of  the  authorization  for  at
least 2 years from the date of the authorization, and supply us the proof if we
ask;  and  (3)  if  a  check  is  returned  you  owe  us  the  amount  of  the  check,
regardless  of  when  the  check  is  returned.  We  may  take  funds  from  your
account  to  pay  the  amount  you  owe  us,  and  if  there  are  insufficient  funds  in
your account, you still owe us the remaining balance.
UNLAWFUL  INTERNET  GAMBLING  NOTICE  - Restricted  transactions  as
defined in Federal Reserve Regulation GG are prohibited from being processed
through this account or relationship. Restricted transactions generally include,
but are not limited to, those in which credit, electronic fund transfers, checks, or
drafts  are  knowingly  accepted  by  gambling  businesses  in  connection  with  the
participation by others in unlawful Internet gambling. 
FIDUCIARY  ACCOUNTS  - Accounts may be opened by a person acting in a
fiduciary capacity. A fiduciary is someone who is appointed to act on behalf of
and for the benefit of another. This account may be opened and maintained by
a person or persons named as a trustee under a written trust agreement, or as
executors, administrators, or conservators under court orders. You understand
that by merely opening such an account, we are not acting in the capacity of a
trustee  in  connection  with  the  trust  nor  do  we  undertake  any  obligation  to
monitor or enforce the terms of the trust or letters.
TELEPHONIC  INSTRUCTIONS  -  Unless  required  by  law  or  we  have  agreed
otherwise in writing, we are not required to act upon instructions you give us
via facsimile transmission or leave by voice mail or on a telephone answering
machine.
WAIVER  OF  NOTICES  - You  waive  any  notice  of  non-payment,  dishonor  or
protest regarding any items credited to or charged against your account.
FUNDS TRANSFERS - The terms used in this section have the meaning given
to them in Article 4A of the Uniform Commercial Code - Funds Transfers (UCC
4A).  This  section  will  generally  not  apply  to  you  if  you  are  a  consumer.
However, even if you are a consumer, this section will apply to that part of any
funds transfer that is conducted by Fedwire. This section is subject to UCC 4A
as adopted in the state in which you have your deposit with us. This agreement

is also  subject  to  all  clearing  house  association  rules,  rules  of  the  Board  of
Governors  of  the  Federal  Reserve  System  and  their  operating  circulars.  If  any
part  of  this  agreement  is  determined  to  be  unenforceable,  the  rest  of  the
agreement  remains  effective.  This  agreement  controls  funds  transfers  unless
supplemented or amended in a separate written agreement signed by us.
Funds  transfer  - A funds  transfer  is  the  transaction  or  series  of  transactions
that begin with the originator’s payment order, made for the purpose of making
payment  to  the  beneficiary  of  the  order.  A  funds  transfer  is  completed  by  the
acceptance by the beneficiary’s bank of a payment order for the benefit of the
beneficiary  of  the  originator’s  order.  Generally,  a  funds  transfer  does  not
include  any  transaction  if  any  part  of  the  transfer  is  covered  by  the  Electronic
Fund Transfer Act of 1978, as amended from time to time. You may give us a
payment  order  orally,  electronically,  or  in  writing,  but  your  order  cannot  state
any condition to payment to the beneficiary other than the time of payment.
Authorized  account  - An  authorized  account  is  a  deposit  account  you  have
with  us  that  you  have  designated  as  a  source  of  payment  of  payment  orders
you issue to us. If you have not designated an authorized account, any account
you  have  with  us  is  an  authorized  account  to  the  extent  that  payment  of  the
payment order is not inconsistent with the use of the account.
Acceptance  of  your  payment  order  - We are  not  obligated  to  accept  any
payment  order  that  you  give  us,  although  we  normally  will  accept  your
payment  order  if  you  have  a  withdrawable  credit  in  an  authorized  account
sufficient to cover the order. If we do not execute your payment order, but give
you  notice  of  our  rejection  of  your  payment  order  after  the  execution  date  or
give you no notice, we are not liable to pay you as restitution any interest on a
withdrawable credit in a non-interest-bearing account.
Cutoff  time  - If  we  do  not  receive  your  payment  order  or  communication
canceling  or  amending  a  payment  order  before  our  cutoff  time  on  a  funds
transfer  day  for  that  type  of  order  or  communication,  the  order  or
communication will be deemed to be received at the opening of our next funds
transfer business day.
Payment of your order - If we accept a payment order you give us, we may
receive  payment  by  automatically  deducting  from  any  authorized  account  the
amount of the payment order plus the amount of any expenses and charges for
our services in execution of your payment order. We are entitled to payment on
the payment or execution date. Unless your payment order specifies otherwise,
the  payment  or  execution  date  is  the  funds  transfer  date  we  receive  the
payment  order.  The  funds  transfer  is  completed  upon  acceptance  by  the
beneficiary’s bank. Your obligation to pay your payment order is excused if the
funds  transfer  is  not  completed,  but  you  are  still  responsible  to  pay  us  any
expenses  and  charges  for  our  services.  However,  if  you  told  us  to  route  the
funds  transfer  through  an  intermediate  bank,  and  we  are  unable  to  obtain  a
refund  because  the  intermediate  bank  that  you  designated  has  suspended
payments, then you are still obligated to pay us for the payment order. You will
not be entitled to interest on any refund you receive because the beneficiary’s
bank does not accept the payment order.
Security  procedure  - As  described  more  fully  in  a  separate  writing,  the
authenticity  of  a  payment  order  or  communication  canceling  or  amending  a
payment  order  issued  in  your  name  as  sender  may  be  verified  by  a  security
procedure. You affirm that you have no circumstances which are relevant to the
determination  of  a  commercially  reasonable  security  procedure  unless  those
circumstances are expressly contained in a separate writing signed by us. You
may choose from one or more security procedures that we have developed, or
you  may  develop  your  own  security  procedure  if  it  is  acceptable  to  us.  If  you
refuse a commercially reasonable security procedure that we have offered you,
you agree that you will be bound by any payment order issued in your name,
whether or not authorized, that we accept in good faith and in compliance with
the security procedure you have chosen.
Duty  to  report  unauthorized  or  erroneous  payment  - You must exercise
ordinary care to determine that all payment orders or amendments to payment
orders that we accept that are issued in your name are authorized, enforceable,
in the correct amount, to the correct beneficiary, and not otherwise erroneous.
If  you  discover  (or  with  reasonable  care  should  have  discovered)  an
unauthorized,  unenforceable,  or  erroneously  executed  payment  order  or
amendment, you must exercise ordinary care to notify us of the relevant facts.
The time you have to notify us will depend on the circumstances, but that time
will not in any circumstance exceed 14 days from when you are notified of our
acceptance  or  execution  of  the  payment  order  or  amendment  or  that  your
account  was  debited  with  respect  to  the  order  or  amendment.  If  you  do  not
provide  us  with  timely  notice  you  will  not  be  entitled  to  interest  on  any
refundable  amount.  If  we  can  prove  that  you  failed  to  perform  either  of  these
duties with respect to an erroneous payment and that we incurred a loss as a
result  of  the  failure,  you  are  liable  to  us  for  the  amount  of  the  loss  not
exceeding the amount of your order.
Identifying  number  - If  your  payment  order  identifies  an  intermediate  bank,
beneficiary bank, or beneficiary by name and number, we and every receiving
or beneficiary bank may rely upon the identifying number rather than the name
to make payment, even if the number identifies an intermediate bank or person
different  than  the  bank  or  beneficiary  identified  by  name.  Neither  we  nor  any
receiving or beneficiary bank have any responsibility to determine whether the
name and identifying number refer to the same financial institution or person.
Record of oral or telephone orders - You agree that we may, if we choose,
record any oral or telephone payment order or communication of amendment
or cancelation.
Notice of credit - If we receive a payment order to credit an account you have
with  us,  we  are  not  required  to  provide  you  with  any  notice  of  the  payment
order or the credit.

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

(page 3 of 9)

Provisional credit - You agree to be bound by the automated clearing house
association  operating  rules  that  provide  that  payments  made  to  you  or
originated  by  you  by  funds  transfer  through  the  automated  clearing  house
system are provisional until final settlement is made through a Federal Reserve
Bank  or  otherwise  payment  is  made  as  provided  in  Article  4A-403(a)  of  the
Uniform Commercial Code.
Refund of credit - You agree that if we do not receive payment of an amount
credited  to  your  account,  we  are  entitled  to  a  refund  from  you  in  the  amount
credited and the party originating such payment will not be considered to have
paid the amount so credited.
Amendment  of  funds  transfer  agreement  - From  time  to  time  we  may
amend any term of this agreement by giving you reasonable notice in writing.
We may give notice to anyone who is authorized to send payment orders to us
in your name, or to anyone who is authorized to accept service.
Cancelation or amendment of payment order - You may cancel or amend
a payment  order  you  give  us  only  if  we  receive  the  communication  of
cancelation  or  amendment  before  our  cutoff  time  and  in  time  to  have  a
reasonable  opportunity  to  act  on  it  before  we  accept  the  payment  order.  The
communication of cancelation or amendment must be presented in conformity
with the same security procedure that has been agreed to for payment orders.
Intermediaries  - We are  not  liable  for  the  actions  of  any  intermediary,
regardless  of  whether  or  not  we  selected  the  intermediary.  We  are  not
responsible for acts of God, outside agencies, or nonsalaried agents.
Limit  on  liability  - You  waive  any  claim  you  may  have  against  us  for
consequential  or  special  damages,  including  loss  of  profit  arising  out  of  a
payment  order  or  funds  transfer,  unless  this  waiver  is  prohibited  by  law.  We
are  not  responsible  for  attorney  fees  you  might  incur  due  to  erroneous
execution of payment order.
Erroneous execution - If we receive an order to pay you, and we erroneously
pay you more than the amount of the payment order, we are entitled to recover
from you the amount in excess of the amount of the payment order, regardless
of whether  you  may  have  some  claim  to  the  excess  amount  against  the
originator of the order.
Objection  to  payment  - If  we  give  you  a  notice  that  reasonably  identifies  a
payment  order  issued  in  your  name  as  sender  that  we  have  accepted  and
received  payment  for,  you  cannot  claim  that  we  are  not  entitled  to  retain  the
payment unless you notify us of your objection to the payment within one year
of our notice to you.
Payable on Death Account for Sole Proprietorships - If a Beneficiary has
been designated on the Business Account Application in the case of an account
opened  for  a  Sole  Proprietorship  only,  a  Payable  on  Death  (POD)  account  is
established  in  order  to  designate  any  surviving  POD  beneficiary.  If  more  than
one POD beneficiary is named, the ownership of account balances passes to all
such beneficiaries without rights of survivorship and in the fractional shares as
indicated  on  the  Business  Account  Application,  upon  the  death  of  the  last
surviving owner of the Sole Proprietorship. If no percentages are listed on the
Business Account Application, each named beneficiary will take an equal share
in  the  account  balances.  If  no  named  POD  beneficiary  is  living  at  the  time  of
death of the last surviving owner of the Sole Proprietorship, the account shall
be considered as a part of the last surviving owner of the Sole Proprietorship’s
estate.
Death  of  an  Account  Owner  of  Sole  Proprietorship  (this  provision
applies to Sole Proprietorship Accounts only) - If the account was opened for a
Sole  Proprietorship,  you  irrevocably  waive  the  right  to  make  a  testamentary
disposition  of  any  account  with  the  Credit  Union  now  or  in  the  future.  You
agree  that  upon  your  death,  your  account  will  be  payable  in  accordance  with
any  existing  account  designations  and  the  terms  of  the  Agreement.  Upon  the
death  of  an  account  owner,  funds  in  the  account  shall  be  payable  to  multiple
party  account  owners  or  any  POD  beneficiaries  in  accordance  with  this
Agreement  and  Michigan  law.  We  may  honor  checks  or  accept  payments  or
transfers  drawn  by  you  until  ten  (10)  days  after  we  learn  of  your  death.  We
require  any  person  claiming  an  interest  in  the  deceased  member's  account  to
provide  us  proof  of  their  right  to  the  account  and  may  require  that  person  to
indemnify  us  from  any  losses  incurred  as  a  result  of  honoring  that  claim.  The
conditions  of  this  Business  Membership  and  Account  Agreement  shall  be
binding  upon  any  heirs,  personal  representatives,  and  successors  of  any
account owner after his or her death.
Termination  of  Account  -  We  may  close  your  account  at  any  time  without
informing you or may order you to close your account and open a new account
if: (1) you wish to change Authorized Signers or the ownership of the business
entity or other legal entity has changed; (2) we have been informed of a fraud
or  forgery  perpetrated  against  your  account;  (3)  there  is  a  disagreement  as  to
who  owns  the  account  or  the  funds  in  the  account;  (4)  any  checks  are  lost  or
stolen;  (5)  if  there  is  an  excessive  amount  of  unhonored  items  that  are  not
included  under  an  overdraft  protection  account;  (6)  any  information  has  been
falsified  or  there  has  been  any  other  misuse  of  your  account;  or  (7)  we
objectively  conclude  that  the  account  will  cause  a  loss  to  us.  We  are  not
required to honor any check, withdrawal, or other item following the closure of
your account. However, you are required to reimburse us if we choose to honor
an item after your account has been closed.
Termination of Membership - Unless a written resolution from the business
entity is provided, a Responsible  Individual's  signature is  required  if you wish
to  voluntarily  terminate  your  membership.  MSUFCU  may  suspend  services  to
you  or  expel  you  from  membership,  for  any  reason  as  permitted  by  law,
including causing a loss to the Credit Union.
Indemnity - If by following your instructions we are exposed to a claim or suit
by an adverse claimant, you shall hold us harmless and indemnify us from any
such losses, expenses, liabilities, or damages including actual attorney’s fees.

PLEDGES - Each owner of this account may pledge all or any part of the funds
in it for any purpose to which we agree. Any pledge of this account must first
be satisfied  before  the  rights  of  any  surviving  account  owner  or  account
beneficiary  become  effective.  For  example,  if  an  account  has  two  owners  and
one of the owners pledges the account (i.e., uses it to secure a debt) and then
dies, (1) the surviving owner’s rights in this account do not take effect until the
debt has been satisfied, and (2) the debt may be satisfied with the funds in this
account.
STALE-DATED CHECKS - We are not obligated to, but may at our option, pay
a check,  other  than  a  certified  check,  presented  for  payment  more  than  six
months  after  its  date.  If  you  do  not  want  us  to  pay  a  stale-dated  check,  you
must  place  a  stop-payment  order  on  the  check  in  the  manner  we  have
described elsewhere.
NCUA  INSURANCE  -  Funds  in  your  account(s)  with  us  are  insured  by  the
National  Credit  Union  Administration  (NCUA)  and  backed  by  the  full  faith  and
credit  of  the  United  States.  The  amount  of  insurance  coverage  you  have
depends  on  the  number  of  accounts  you  have  with  us  that  are  of  different
“ownership.” An individual account is one unique form of “ownership”; a joint
account,  a  pay-on-death  account,  and  a  self  directed  qualified  retirement
account (e.g., an IRA) are examples of some of the others. Share insurance for
a person’s self directed qualified retirement account is up to $250,000. (An IRA
is a self  directed  qualified  retirement  account  as  is  any  account  where  the
owner  decides  where  and  how  to  invest  the  balance.)  Funds  are  insured  to
$250,000  per  depositor  for  the  total  of  funds  combined  in  all  of  your  other
insured accounts with us. If you want a more detailed explanation or additional
information, you may ask us or contact the NCUA. You can also visit the NCUA
website  at  www.ncua.gov  and  click  on  the  Share  Insurance  link.  The  link
includes detailed contact information as well as a share insurance estimator.
INDORSEMENTS  -  We may  accept  for  deposit  any  item  payable  to  you  or
your order, even if they are not indorsed by you. We may give cash back to any
one of you. We may supply any missing indorsement(s) for any item we accept
for deposit or collection, and you warrant that all indorsements are genuine.
To ensure that your check or share draft is processed without delay, you must
indorse  it  (sign  it  on  the  back)  in  a  specific  area.  Your  entire  indorsement
(whether a signature or a stamp) along with any other indorsement information
(e.g.  additional  indorsements,  ID  information,  driver’s  license  number,  etc.)
must  fall  within  11/2” of  the  “trailing  edge”  of  a  check.  Indorsements  must  be
made in blue or black ink, so that they are readable.
As you  look  at  the  front  of  a  check,  the  “trailing  edge”  is  the  left  edge.  When
you flip the check over, be sure to keep all indorsement information within 11/2”
of that edge.

Name
Address, City, State
Pay to the
order of

Bank Name
and Location
Memo

7654

20

$

dollars

A123456789A    7654

FRONT OF CHECK

TRAILING EDGE

YOUR INDORSEMENT MUST
BE WITHIN THIS AREA

1 1/2"

Keep your indorsement
out of this area.

BACK OF CHECK

It is important that you confine the indorsement information to this area since
the remaining blank space will be used by others in the processing of the check
to place additional needed indorsements and information. You agree that you
will indemnify, defend, and hold us harmless for any loss, liability, damage or
expense  that  occurs  because  your  indorsement,  another  indorsement  or
information  you  have  printed  on  the  back  of  the  check  obscures  our
indorsement.
These indorsement guidelines apply to both personal and business checks.
DORMANT  ACCOUNT  -  We will consider an account to be dormant if there
are no deposits or withdrawals for a period of eighteen (18) months. Exceptions
are loan accounts and Certificates.
When an account becomes dormant and has a balance of less than $500.00, we
will  charge  a  monthly  dormant  account  fee  as  stated  in  the  Business  Fee
Schedule,  unless  restricted  by  law.  The  fee  will  be  charged  until  the  account

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

(page 4 of 9)

becomes active or there are no funds available to pay the fee. You authorize us
to  transfer  funds  from  other  accounts  of  yours  to  cover  any  service  fees  we
may impose upon the account deemed dormant. To the extent allowed by law,
we reserve  the  right  to  transfer  account  funds  to  an  account  payable  and
suspend any further account statements. We will attempt to notify you prior to
your  account  becoming  dormant.  If  a  deposit  or  withdrawal  has  not  been
posted to your account for thirty-six (36) consecutive months, and we have not
had any other contact with you, we will consider your account abandoned. We
will  report  and  disburse  the  funds  from  an  abandoned  account  in  accordance
with Michigan law. Dormant accounts receive only an annual statement.
DEATH OR INCOMPETENCE - You agree to notify us promptly if any person
with  a  right  to  withdraw  funds  from  your  account(s)  dies  or  becomes  legally
incompetent.  We  may  continue  to  honor  your  checks,  items,  and  instructions
until:  (a)  we  know  of  your  death  or  incompetence,  and  (b)  we  have  had  a
reasonable  opportunity  to  act  on  that  knowledge.  You  agree  that  we  may  pay
or certify  checks  drawn  on  or  before  the  date  of  death  or  legal  incompetence
for up to ten (10) days after your death or legal incompetence unless ordered to
stop payment by someone claiming an interest in the account. 
CASH  TRANSACTION  REPORTING  - To help  law  enforcement  agencies
detect  illegal  activities,  the  law  requires  all  financial  institutions  to  gather  and
report  information  on  some  types  of  cash  transactions.  If  the  information  we
need  to  complete  the  report  is  not  provided,  we  are  required  to  refuse  to
handle the transaction. If you have any questions regarding these rules, please
contact your local Internal Revenue Service office.
BACKUP WITHHOLDING/TIN CERTIFICATION - Federal tax law requires us
to  report  interest  payments  we  make  to  you  of  $10  or  more  in  a  year,  and  to
include  your  taxpayer  identification  number  (TIN)  on  the  report  (the  taxpayer
identification  number  is  your  social  security  number  if  you  are  an  individual).
Interest  includes  dividends,  interest  and  bonus  payments  for  purposes  of  this
rule. Therefore, we require you to provide us with your TIN and to certify that it
is correct. In some circumstances, federal law requires us to withhold and pay
to the IRS a percentage of the interest that is earned on funds in your accounts.
This  is  known  as  backup  withholding.  We  will  not  have  to  withhold  interest
payments when you open your account if you certify your TIN and certify that
you  are  not  subject  to  backup  withholding  due  to  underreporting  of  interest.
(There are special rules if you do not have a TIN but have applied for one, if you
are  a  foreign  person,  or  if  you  are  exempt  from  the  reporting  requirements.)
We  may  subsequently  be  required  to  begin  backup  withholding  if  the  IRS
informs  us  that  you  supplied  an  incorrect  TIN  or  that  you  underreported  your
interest income. 
CREDIT  VERIFICATION  - You  agree  that  we  may  verify  credit  and
employment history by any necessary means, including preparation of a credit
report by a credit reporting agency.
LOST, DESTROYED, OR STOLEN CERTIFIED, CASHIER’S, OR TELLER’S
CHECKS  - Under  some  circumstances  you  may  be  able  to  assert  a  claim  for
the  amount  of  a  lost,  destroyed,  or  stolen  certified,  cashier’s  or  teller’s  check.
To assert the claim: (a) you must be the remitter (or drawer of a certified check)
or payee of the check, (b) we must receive notice from you describing the check
with reasonable certainty and asking for payment of the amount of the check,
(c) we must receive the notice in time for us to have a reasonable opportunity
to  act  on  it,  and  (d)  you  must  give  us  a  declaration  (in  a  form  we  require)  of
your loss with respect to the check. You can ask us for a declaration form. Even
if  all  of  these  conditions  are  met,  your  claim  may  not  be  immediately
enforceable. We may pay the check until the ninetieth day after the date of the
check (or date of acceptance of a certified check). Therefore, your claim is not
enforceable  until  the  ninetieth  day  after  the  date  of  the  check  or  date  of
acceptance,  and  the  conditions  listed  above  have  been  met.  If  we  have  not
already  paid  the  check,  on  the  day  your  claim  is  enforceable  we  become
obligated to pay you the amount of the check. We will pay you in cash or issue
another certified check.
At  our  option,  we  may  pay  you  the  amount  of  the  check  before  your  claim
becomes  enforceable.  However,  we  will  require  you  to  agree  to  indemnify  us
for any losses we might suffer. This means that if the check is presented after
we pay  your  claim,  and  we  pay  the  check,  you  are  responsible  to  cover  our
losses.  We  may  require  you  to  provide  a  surety  bond  to  assure  that  you  can
pay us if we suffer a loss. 
CHANGING  ACCOUNT  PRODUCTS  - We  may  change  your  account  to
another  product  offered  by  us  at  any  time  by  giving  you  notice  that  your
account will be changed to another product on a specified date. If your account
is  a  time  account,  the  change  will  not  occur  before  the  next  maturity  date  of
your account. If you do not close your account before the date specified in the
notice, we may change your account to that other product on the date specified
in the notice.
TRANSACTIONS  BY  MAIL  - You  may  deposit  checks  by  mail.  You  should
indorse  the  check  being  sent  through  the  mail  with  the  words  “For  Deposit
Only”  and  should  include  your  correct  account  number  underneath  to  ensure
the  check  is  credited  to  the  correct  account.  You  should  use  the  pre-encoded
checking  deposit  slips  found  behind  your  checks  in  your  checkbook.  If  you  do
not  use  your  deposit  slip  or  provide  us  with  instructions  indicating  how  or
where the check should be credited, we may apply it to any account or any loan
balance you have with us or we may return the check to you. Receipts for such
transactions will be mailed to you only if a self-addressed stamped envelope is
provided.  Following  your  deposit,  examine  your  statement  carefully  or  call  us
to  ensure  that  we  received  the  item.  Do  not  send  cash  through  the  mail  for
deposit. 
LEGAL  ACTIONS  AFFECTING  YOUR  ACCOUNT  - If  we  are  served  with  a
subpoena,  restraining  order,  writ  of  attachment  or  execution,  levy,
garnishment, search warrant, or similar order relating to your account (termed

“legal action” in this section), we will comply with that legal action. Or, in our
discretion, we may freeze the assets in the account and not allow any payments
out  of  the  account  until  a  final  court  determination  regarding  the  legal  action.
We may do these things even if the legal action involves less than all of you. In
these cases, we will not have any liability to you if there are insufficient funds
to  pay  your  items  because  we  have  withdrawn  funds  from  your  account  or  in
any  way  restricted  access  to  your  funds  in  accordance  with  the  legal  action.
Any  fees  or  expenses  we  incur  in  responding  to  any  legal  action  (including,
without  limitation,  attorneys’  fees  and  our  internal  expenses)  may  be  charged
against  your  account.  The  list  of  fees  applicable  to  your  account(s)  provided
elsewhere  may  specify  additional  fees  that  we  may  charge  for  certain  legal
actions.
CHECK  STORAGE  AND  COPIES  - You agree that you will not receive your
canceled  checks.  We  will  store  your  canceled  checks  or  copies  of  them  for  a
reasonable retention period. You may request copies from us in the manner we
require.
SECURITY  - It is  your  responsibility  to  protect  the  account  number(s)  and
access  device(s)  (e.g.,  an  ATM  card,  point-of-sale  card  and/or  PIN)  for  your
account(s). Do not discuss, compare, or share information about your account
number(s) or access device(s) with anyone unless you are willing to give them
full  use  of  your  money.  Checks  and  electronic  withdrawals  are  processed  by
automated methods, and anyone who obtains your account number or access
device could use it to withdraw money from your account, with or without your
permission.
You  agree  that  if  we  offer  you  services  appropriate  for  your  account  to  help
identify  and  limit  fraud  or  other  unauthorized  transactions  against  your
account, such as positive pay or commercially reasonable security procedures,
and  you  reject  those  services,  you  will  be  responsible  for  any  fraudulent  or
unauthorized transactions which could have been prevented by the services we
offered, unless we acted in bad faith or to the extent our negligence contributed
to the loss.
Account  numbers  -  Thieves  can  encode  your  account  number  on  a  check
which  looks  and  functions  like  an  authorized  check  and  can  be  used  to
withdraw money from your account. Your account number can also be used to
issue a “remotely created check.” Like a typical check, a remotely created check
(sometimes called a telecheck, preauthorized draft or demand draft) is a draft or
check that can be used to withdraw money from your account. Unlike a typical
check  or  draft,  however,  a  remotely  created  check  is  not  issued  by  the  paying
bank and does not contain the signature of the account owner (or a signature
purported  to  be  the  signature  of  the  account  owner).  For  example,  if  you
provide  your  account  number  in  response  to  a  telephone  solicitation,  the
telephone  solicitor  can  use  the  account  number  to  issue  a  remotely  created
check  to  withdraw  money  from  your  account.  If  you  have  truly  authorized  the
remotely created check (to purchase a service or merchandise, for example), it
is properly payable. But it can be risky to authorize a remotely created check. A
swindler  could  issue  a  remotely  created  check  in  an  amount  greater  than  you
authorized,  or  issue  additional  remotely  created  checks  that  you  have  not
authorized. We will not know if the withdrawal is unauthorized or in an amount
greater than the amount you have authorized. Payment can be made from your
account even though you did not contact us directly and order the payment.
Access devices - If you furnish your access device and grant actual authority
to  make  transfers  to  someone  who  then  exceeds  that  authority,  you  will  be
liable  for  the  transfers  unless  we  have  been  notified  that  transfers  by  that
person are no longer authorized. Please review the additional information you
have received or will receive regarding transfers by access device.
Blank  checks  -  You  must  also  take  precaution  in  safeguarding  your  blank
checks.  Notify  us  at  once  if  you  think  your  blank  checks  have  been  lost  or
stolen.  As  between  you  and  us,  if  you  are  negligent  in  safeguarding  your
checks, you must bear the loss entirely yourself, or share the loss with us if we
failed to use ordinary care which substantially contributes to the loss.
MONITORING  AND  RECORDING  TELEPHONE  CALLS  - We  may  monitor
or  record  phone  calls  for  security  reasons  and  to  ensure  that  you  receive
courteous and efficient service. You consent in advance to any such recording.
We need not remind you of our recording before each phone conversation.
CLAIM  OF  LOSS  - If  you  claim  a  credit  or  refund  because  of  a  forgery,
alteration, or any other unauthorized withdrawal, you agree to cooperate with
us  in  the  investigation  of  the  loss,  including  giving  us  an  affidavit  containing
whatever  reasonable  information  we  require  concerning  your  account,  the
transaction,  and  the  circumstances  surrounding  the  loss.  You  will  notify  law
enforcement authorities of any criminal act related to the claim of lost, missing,
or  stolen  checks  or  unauthorized  withdrawals.  We  will  have  a  reasonable
period of time to investigate the facts and circumstances surrounding any claim
of  loss.  Unless  we  have  acted  in  bad  faith,  we  will  not  be  liable  for  special  or
consequential  damages,  including  loss  of  profits  or  opportunity,  or  for
attorneys’ fees incurred by you.
You  agree  that  you  will  not  waive  any  rights  you  have  to  recover  your  loss
against anyone who is obligated to repay, insure, or otherwise reimburse you
for your loss. You will pursue your rights or, at our option, assign them to us so
that  we  may  pursue  them.  Our  liability  will  be  reduced  by  the  amount  you
recover or are entitled to recover from these other sources. 
EARLY  WITHDRAWAL  PENALTIES  (and  involuntary  withdrawals)  - We
may  impose  early  withdrawal  penalties  on  a  withdrawal  from  a  time  account
even  if  you  don’t  initiate  the  withdrawal.  For  instance,  the  early  withdrawal
penalty may be imposed if the withdrawal is caused by our setoff against funds
in the account or as a result of an attachment or other legal process. We may
close  your  account  and  impose  the  early  withdrawal  penalty  on  the  entire
account  balance  in  the  event  of  a  partial  early  withdrawal.  See  your  notice  of
penalty for early withdrawals for additional information.

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

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ADDRESS  OR  NAME  CHANGES  - You  are  responsible  for  notifying  us  of
any change in your address or your name. Unless we agree otherwise, change
of address  or  name  must  be  made  in  writing  by  at  least  one  of  the  account
holders. Informing us of your address or name change on a check reorder form
is not  sufficient.  We  will  attempt  to  communicate  with  you  only  by  use  of  the
most  recent  address  you  have  provided  to  us.  If  provided  elsewhere,  we  may
impose a service fee if we attempt to locate you.
RESOLVING  ACCOUNT  DISPUTES  - We may  place  an  administrative  hold
on the funds in your account (refuse payment or withdrawal of the funds) if it
becomes subject to a claim adverse to (1) your own interest; (2) others claiming
an interest as survivors or beneficiaries of your account; or (3) a claim arising
by operation  of  law.  The  hold  may  be  placed  for  such  period  of  time  as  we
believe  reasonably  necessary  to  allow  a  legal  proceeding  to  determine  the
merits  of  the  claim  or  until  we  receive  evidence  satisfactory  to  us  that  the
dispute  has  been  resolved.  We  will  not  be  liable  for  any  items  that  are
dishonored  as  a  consequence  of  placing  a  hold  on  funds  in  your  account  for
these reasons. 
INTERNATIONAL ACH TRANSACTIONS - Financial institutions are required
by law to scrutinize or verify any international ACH transaction (IAT) that they
receive  against  the  Specially  Designated  Nationals  (SDN)  list  of  the  Office  of
Foreign Assets Control (OFAC). This action may, from time to time, cause us to
temporarily suspend processing of an IAT and potentially affect the settlement
and/or availability of such payments.

————————————————————————————————————
VISA DEBIT CARD FOR BUSINESS
AGREEMENT
TERMS AND CONDITIONS
Introduction. This  Visa  Debit  Card  for  Business  Agreement  (“Agreement”)
contains  contract  terms  and  other  important  information  relating  to  your  Visa
Debit  Card  for  Business  (“Card”).  These  terms  govern  the  operation  of  this
account  unless  varied  or  supplemented  in  writing.  This  Agreement  also
incorporates  any  other  terms  and  conditions  provided  separately  with  your
account  agreement  as  well  as  the  terms  of  any  disclosures  you  may  have
received.  You  should  read  this  Agreement  carefully  and  keep  a  copy  for  your
records.
Applicable Law. This Agreement will be governed by the laws of the state in
which your account is located as well as federal laws and regulations. Normal
banking customs and practices also apply.
Definitions. Unless  inconsistent,  words  and  phrases  used  in  this  document
shall  be  construed  so  that  the  singular  includes  the  plural  and  the  plural
includes  the  singular.  The  words  “we,”  “our,”  and  “us”  refer  to  the  financial
institution  which  issues  the  Card.  The  words  “you”  and  “your”  refer  to  the
owner  of  the  specific  account  for  which  Card  transactions  are  permitted.  The
word “Cardholder” refers to any person authorized by you to use the Card.
Business  Card  Purpose. You and any Cardholder agree that this Card is for
use  by  business  owners  and  employees.  The  Card  can  be  used  for  business
purpose  point-of-sale  and  Automated  Teller  Machine  (ATM)  transactions  only.
The  Card  may  not  be  used  for  personal  purposes.  You  acknowledge  and
understand  that  the  Card  shall  not  be  treated  as  a  consumer  card  under  the
provisions of state and federal law. You agree to provide written instructions to
all  Cardholders  that  the  Card  shall  not  be  used  for  consumer  purposes.  We
assume  all  transactions  are  for  business  purposes.  We  do  not  monitor
transactions to determine their purpose.
Account  Requirement,  Payment  Responsibility,  Transferability,
Enforceability. The  services  described  in  this  Agreement  will  be  available  to
you only as long as you maintain a business checking or savings account with
us.  You  are  liable  for  the  payment  of  Card  transactions  authorized  by  you  or
your  agent  or  any  Cardholder  or  their  agent.  This  account  may  not  be
transferred or assigned without our written consent.
If any terms of this Agreement cannot be legally enforced, it will be considered
changed to the extent necessary to comply with applicable laws. If any part of
this  Agreement  becomes  unenforceable,  it  will  not  make  any  other  part
unenforceable. 
How  to  Use  the  Business  Card,  Security  Procedures. The  Card  allows
Cardholders  to  directly  access  the  business  checking  or  savings  account
specified  in  your  Card  Application.  We  will  issue  Cards  and  codes  to  you  at
your request. Each Card will identify your business as well as the Cardholder. 
You  agree  to  the  following  security  procedures.  Each  Cardholder  must  sign
their Card before it may be used. You agree to require both a Card and a code
to be used together to obtain cash at designated ATMs. However, you may use
your Card to purchase goods or pay for services without a code. Once a Card
has  been  issued  it  cannot  be  transferred  to  another  person.  You  agree  to
immediately  notify  us  when  you  terminate  a  Cardholder’s  rights  and  to
promptly return the Card to us. You agree to provide written instructions to all
Cardholders about the importance of protecting the Card and code. You agree
to  examine  your  receipts  and  periodic  statements  in  a  timely  manner.  You
agree that the dollar/frequency limits assigned to each Cardholder will also act
as a security procedure.
Termination and Amendments.

• We  may  terminate  this  Agreement  by  written  or  verbal  notice  to  you.

Written confirmation will accompany any verbal notice.

• You  may  terminate  this  Agreement  by  verbal  request  to  close  card  or

account.

• You may terminate this Agreement by written notice to us.

We may make amendments to this Agreement in the same method as provided
in  the  terms  and  conditions  provided  in  your  account  agreement.  Use  of  your
Card after receipt of notice of an amendment constitutes your acceptance of the
change. 
Notices. Any notices mailed to you under this Agreement will be mailed to the
address  we  have  for  you  in  our  records.  You  will  keep  us  notified  of  your
current mailing address.
Minimum Account Balance. You must maintain a minimum account balance
of $5.00  in  your  Business  Spartan  Saver  account  as  a  condition  of  using  your
Card and/or code to accomplish a transfer. 
Order  of  Payment. Our  policy  is  to  post  and  pay  Card  transactions  in  the
order  they  are  received.  We  reserve  the  right  to  pay  Card  transactions  before
checks, drafts, and other items.
Overdraft  Protection. If  your  account  has  an  overdraft  protection  feature,
unless  otherwise  agreed  in  writing,  Card  transactions  that  would  otherwise
overdraw  your  account  will  be  covered  by  the  overdraft  protection  feature.
Your overdraft protection feature will be documented on a separate agreement.
You should become familiar with that document as some of the terms, such as
your liability for unauthorized transfers initiated with your Card, may vary from
the terms of this Agreement.
Stop Payment. Only stop-payment requests from you or the Cardholder who
authorized  the  transaction  will  be  honored.  However,  because  Card
transactions are often processed immediately, stopping or amending payment
is difficult and we cannot ensure that any request you make will be effective. In
order  to  be  effective,  we  must  receive  your  request  in  time  to  give  us  a
reasonable  opportunity  to  act.  Your  request  must  precisely  identify  the
transaction by date, time, location and dollar amount. Only you may release a
stop-payment request.

TYPES OF TRANSACTIONS

Below are the types of transactions your Card will accommodate. 
ATM  Transfers. You  may  access  your  account  by  ATM  using  your  Card  and
code to:

• make deposits to your checking account.
• make deposits to your savings account.
• get cash withdrawals from your checking account.

- you may withdraw no more than $500.00 per card per day.

• get cash withdrawals from your savings account.

- you may withdraw no more than $500.00 per card per day.

• transfer funds from your checking account to your savings account.
• transfer funds from your savings account to your checking account.
• transfer funds from your line of credit to your checking account.
• transfer funds from your line of credit to your savings account.
• get information about:

-
-

the account balance of your checking account. 
the account balance of your savings account.
Some of these services may not be available at all terminals.
Your  Option  to  Limit  Cash  Withdrawals. In  addition  to  dollar  amount
limitations  for  withdrawals  using  your  Card  and  code  that  we  may  establish,
you have the option to limit the amount of cash that can be withdrawn by your
Card and code to $50.00 per day or some other amount acceptable to us.
Point-of-Sale  Transactions. You  may  access  your  checking  or  savings
account with your Card to purchase goods (in person, online, or by phone), pay
for  services  (in  person,  online,  or  by  phone),  get  cash  from  a  merchant,  if  the
merchant permits, or from a participating financial institution, and do anything
that a participating merchant will accept.
Using your Card and/or code:

• you may not exceed $1,000.00 in transactions per day per card.

Currency Conversion: When you use your Visa Debit Card, Visa Credit Card,
or ATM card for international transactions, a fee will be assessed. You agree to
pay  a  1.00%  International  Transaction  Fee  for  ATM  transactions  and  a  3.00%
International Transaction Fee for “all other” international transactions and cash
advances.  The  fee  will  be  assessed  on  International  transactions  if  a  currency
conversion  does  take  place  or  if  the  transaction  is  processed  in  U.S.  dollars.
When  you  use  your  Visa  Debit  Card,  Visa  Credit  Card  or  ATM  card  at  a
merchant that settles in, or at an ATM that dispenses, currency other than U.S.
dollars, the charge will be converted into the U.S. dollar amount. The currency
conversion  rate  used  to  determine  the  transaction  amount  in  U.S.  dollars  is
either  a  wholesale  market  rate  or  the  government-mandated  rate  in  effect  the
day before the processing date. The conversion rate in effect on the processing
date may differ from the rate in effect on the transaction date or posting date.
The  International  Transaction  Fee  will  be  calculated  after  the  transaction  has
been converted to U.S. dollars.
Advisory  Against  Illegal  Use. You  agree  not  to  use  your  Card  for  illegal
gambling  or  other  illegal  purpose.  Display  of  a  payment  card  logo  by,  for
example,  an  online  merchant  does  not  necessarily  mean  that  transactions  are
lawful in all jurisdictions in which the Cardholder may be located.
Non-Visa  Debit  Transaction  Processing. We  have  enabled  non-Visa  debit
transaction  processing.  This  means  you  may  use  your  Visa  Debit  Card  for
Business on a PIN-Debit Network* (a non-Visa network) without using a PIN.
The  non-Visa  debit  network(s)  for  which  such  transactions  are  enabled  are:
NYCE, CO-OP, and CIRRUS Networks.
Examples of the types of actions that you may be required to make to initiate a
Visa transaction on your Visa Debit Card for Business include signing a receipt,
providing a card number over the phone or via the Internet, or swiping the card
through a point-of-sale terminal.
Examples  of  the  types  of  actions  you  may  be  required  to  make  to  initiate  a
transaction  on  a  PIN-Debit  Network  include  initiating  a  payment  directly  with

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

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the biller (possibly via telephone, Internet, or kiosk locations), responding to a
logo displayed at a payment site and choosing to direct payment through that
network,  and  having  your  identity  verified  using  known  information  derived
from an existing relationship with you instead of through use of a PIN.
The provisions of your agreement with us relating only to Visa transactions are
not  applicable  to  non-Visa  transactions.  For  example,  the  additional  limits  on
liability  (sometimes  referred  to  as  Visa’s  zero-liability  program)  and  the
streamlined error resolution procedures offered on Visa debit card transactions
are not applicable to transactions processed on a PIN-Debit Network. 
*Visa Rules generally define PIN-Debit Network as a non-Visa debit network
that  typically  authenticates  transactions  by  use  of  a  personal  identification
number (PIN) but that is not generally known for having a card program.

• Please  refer  to  the  separate  fee  schedule  for  additional  information  on

FEES

fees.

DOCUMENTATION
Terminal Transfers. You can get a receipt at the time you make a transfer to
or  from  your  account  using  an  automated  teller  machine  or  point-of-sale
terminal.  However,  you  may  not  get  a  receipt  if  the  amount  of  the  transfer  is
$15 or less. The machine receipt provided to you is admissible evidence.
Retain  Copies  for  Your  Records. You  should  retain  copies  of  all  records
including  receipts,  credit  slips  (for  returned  merchandise),  and  cancellation
numbers (for cancelled reservations). You should also mark each transaction in
your  account  record  (but  not  while  at  a  terminal).  You  should  review  your
periodic statement for accuracy and compare your account record against your
periodic statement to reconcile balances.
Periodic  Statements. You will get a monthly account statement from us for
your  checking  account  that  will  also  include  a  record  of  transactions  made
using  your  Card.  The  periodic  statement  provided  to  you  is  admissible
evidence. 
Periodic  Statements. You  shall  be  provided  with  a  periodic  statement  for
your  savings  account  not  less  than  once  a  month  in  which  an  electronic  fund
transfer  occurs,  or  quarterly,  whichever  is  more  frequent.  The  periodic
statement provided to you is admissible evidence. 

LIMITATIONS ON OUR LIABILITY

We will not be liable if: 

• you do not have enough money in your account to make the transfer. 
• you  have  an  overdraft  line  and  the  transfer  would  cause  you  to  exceed

your credit limit. 

• an ATM does not have sufficient cash. 
• a terminal or system is not working properly.
• circumstances  beyond  our  control  (such  as  fire  or  flood)  prevent  the

transfer.

• a merchant refuses to accept your Card. 
• an ATM rejects your Card. 

There may be other limitations on our liability.

UNAUTHORIZED TRANSFERS
Your  Liability  for  Unauthorized  Transfers. We  will  be  liable  for
unauthorized  transfers  unless  we  can  prove  1)  that  your  negligence
substantially contributed to the unauthorized transfer; and 2) that we exercised
reasonable care to prevent the loss.
Tell us AT ONCE if you believe your Card and/or code has been lost or stolen.
Telephoning is the best way of keeping your possible losses down. You could
lose  all  the  money  in  your  account  (plus  your  maximum  overdraft  line  of
credit).  You  may  be  liable  for  any  unauthorized  transfer  before  the  time  you
notify us that your Card and/or code has been compromised if:
(i) you or the Cardholder write your code on the Card.
(ii) you or the Cardholder keep your code with the Card.
(iii) you or the Cardholder voluntarily permit the Card and/or code to come
into  the  possession  of  a  person  who  makes  or  causes  an  unauthorized
transfer.

If  you  fail  to  notify  us  of  an  unauthorized  transfer  within  30  days  after  the
receipt of a statement containing the unauthorized transfer, you shall be liable
for  subsequent  unauthorized  transfers  that  could  have  been  prevented  by
timely notification.
Additional  Limit  on  Liability. Unless  you  have  been  grossly  negligent  or
have  engaged  in  fraud,  you  will  not  be  liable  for  any  transactions  using  your
lost or stolen Card if you report the unauthorized transfer within 60 days of the
mailing  date  of  the  first  statement  showing  the  unauthorized  transfer.
Unauthorized  transfers  do  not  include:  1)  any  transaction  by  a  business  co-
owner, a cardholder or person authorized by a cardholder, or other person with
an  interest  in  or  authority  to  transact  business  on  the  account;  or  2)  any
transaction  by  a  cardholder  that  exceeds  the  authority  given  by  the  Visa
Business  check  card  account  owner.  This  additional  limit  on  liability  does  not
apply to ATM transactions or to transactions using your Personal Identification
Number which are not processed by Visa®. 
Contact  in  Event  of  Unauthorized  Transfer. If  you  believe  your  Card
and/or  code  has  been  lost  or  stolen  or  that  someone  has  transferred  or  may
transfer money from your account without your permission, call or write us at
the telephone number or address listed in this brochure.
Consequential  Damages. We  will  not  be  liable  for  any  consequential  or
incidental damages resulting from the unauthorized use of your Card. 

REGULATORY AUTHORITY
If you believe that any provision of the Michigan Electronic Funds Transfer Act
has  been  violated  you  should  notify  Michigan  Department  of  Consumer  and
Industry  Services,  Office  of  Financial  and  Insurance  Regulation,  at  PO  Box
30224, Lansing, MI 48909. 

ERROR RESOLUTION
You agree to examine your receipts and periodic statements and immediately
report any errors or problems to us at the telephone number or address listed
in this  brochure.  If  you  tell  us  orally,  we  may  require  your  complaint  or
question in writing within 14 calendar days.
You have the right to seek correction of an error on your statement by notifying
us orally or in writing within 60 days after receipt of the statement containing
an error.  If  you  do  not  report  within  60  days,  we  will  be  entitled  to  treat  such
information as correct and you will be precluded from asserting otherwise. We
will respond to you within 10 business days (5 business days for a point-of-sale
transaction  processed  by  Visa)  after  notification  by  either  1)  provisionally
correcting  your  account;  or  2)  providing  a  written  explanation  stating  the
reason we believe the statement is correct. Provisional correction allows us to
charge  the  correction  back  to  your  account  for  up  to  60  days.  An  “error”
consists of 
(a) An unauthorized electronic fund transfer; 
(b) An incorrect electronic fund transfer from or to your account; or 
(c) The omission of an electronic fund transfer affecting your account.

MICHIGAN STATE UNIVERSITY FEDERAL CREDIT UNION
PO BOX 1208
EAST LANSING, MI 48826-1208
Business Days: Monday through Friday
Excluding Federal Holidays
Phone: 800-678-4968 or 517-333-2424
NOTICE OF ATM/NIGHT DEPOSIT
FACILITY USER PRECAUTIONS

As  with  all  financial  transactions,  please  exercise  discretion  when  using  an
automated teller machine (ATM) or night deposit facility. For your own safety,
be careful. The following suggestions may be helpful. 

1. Prepare  for  your  transactions  in  advance  (for  instance,  by  filling  out  a

deposit slip) to minimize your time at the ATM or night deposit facility.

2. Mark each transaction in your account record, but not while at the ATM
or  night  deposit  facility.  Always  save  your  ATM  receipts.  Don’t  leave
them  at  the  ATM  or  night  deposit  facility  because  they  may  contain
important account information.

3. Compare your records with the account statements you receive. 
4. Don’t lend your ATM Card to anyone.
5. Remember,  do  not  leave  your  Card  at  the  ATM.  Do  not  leave  any

documents at a night deposit facility.

6. Protect the secrecy of your Personal Identification Number (PIN). Protect
your ATM Card as though it were cash. Don’t tell anyone your PIN. Don’t
give  anyone  information  regarding  your  ATM  Card  or  PIN  over  the
telephone. Never enter your PIN in any ATM that does not look genuine,
has been modified, has a suspicious device attached, or is operating in a
suspicious manner. Don’t write your PIN where it can be discovered. For
example, don’t keep a note of your PIN in your wallet or purse.

7. Prevent  others  from  seeing  you  enter  your  PIN  by  using  your  body  to

8.

shield their view. 
If  you  lose  your  ATM  Card  or  if  it  is  stolen,  promptly  notify  us.  You
should consult the other disclosures you have received about electronic
fund transfers for additional information about what to do if your Card is
lost or stolen.

9. When you make a transaction, be aware of your surroundings. Look out
for suspicious activity near the ATM or night deposit facility, particularly
if  it  is  after  sunset.  At  night,  be  sure  that  the  facility  (including  the
parking  area  and  walkways)  is  well  lighted.  Consider  having  someone
accompany you when you use the facility, especially after sunset. If you
observe any problem, go to another ATM or night deposit facility.
10. Don’t  accept  assistance  from  anyone  you  don’t  know  when  using  an

11.

ATM or night deposit facility.
If  you  notice  anything  suspicious  or  if  any  other  problem  arises  after
you  have  begun  an  ATM  transaction,  you  may  want  to  cancel  the
transaction,  pocket  your  Card  and  leave.  You  might  consider  using
another ATM or coming back later. 

12. Don’t  display  your  cash;  pocket  it  as  soon  as  the  ATM  transaction  is
completed and count the cash later when you are in the safety of your
own car, home or other secure surrounding. 

13. At  a  drive-up  facility,  make  sure  all  the  car  doors  are  locked  and  all  of
the windows are rolled up, except the driver’s window. Keep the engine
running and remain alert to your surroundings.

14. We  want  the  ATM  and  night  deposit  facility  to  be  safe  and  convenient
for  you.  Therefore,  please  tell  us  if  you  know  of  any  problem  with  a
facility. For instance, let us know if a light is not working or there is any
damage  to  a  facility.  Please  report  any  suspicious  activity  or  crimes  to
both  the  operator  of  the  facility  and  the  local  law  enforcement  officials
immediately. 

————————————————————————————————————

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

(page 7 of 9)

AVAILABILITY OF FUNDS AT
MICHIGAN STATE UNIVERSITY
FEDERAL CREDIT UNION
This  disclosure  is  provided  in  compliance  with  the  Federal  Expedited  Funds
Availability  Act  and  Regulation  CC.  This  policy  applies  to  all  deposits  into
business  checking  accounts  at  the  Michigan  State  University  Federal  Credit
Union at 3777 West Road; PO Box 1208; East Lansing, MI 48826-1208, and at all
of  its  branches.  Deposits  made  at  Credit  Union  Family  Service  Centers  are
governed  by  the  Availability  Policy  Disclosure,  which  is  included  in  this
disclosure.
Our  policy  is  to  make  funds  from  your  deposits  available  to  you  immediately.
At  that  time,  you  can  withdraw  funds  in  cash  and/or  we  will  use  the  funds  to
pay checks that you have written. For determining availability of your deposits,
every day is a business day, except Saturday, Sunday, and federal holidays. If
you make a deposit on a business day that we are open, we will consider that
day to be the day of your deposit. However, if you make a deposit on a day that
we are  not  open,  we  will  consider  that  the  deposit  was  made  on  the  next
business day.
Holds On Other Funds (Check Cashing): If we cash a check for you that is
drawn  on  another  financial  institution,  we  may  withhold  the  availability  of  a
corresponding  amount  of  funds  that  are  already  in  your  business  checking
account.  Those  funds  will  be  available  at  the  time  funds  from  the  check  we
cashed would have been available if you had deposited it. 
Holds  On  Other  Funds  (Other  Accounts): If we accept for deposit a check
for you that is drawn on another financial institution, we may make funds from
the deposit available for withdrawal immediately, but delay your availability to
withdraw a corresponding amount of funds that you have on deposit in another
account  with  us.  The  funds  in  the  other  account  would  then  not  be  available
until  the  time  period,  described  elsewhere  in  this  disclosure  for  the  type  you
deposited, has lapsed.
Holds On Funds Deposited by eDeposit (Remote Deposit Capture): If we
accept  for  deposit  a  check  deposited  through  eDeposit  (Remote  Deposit
Capture), the first $1,500.00 of your deposits will be immediately available, and
the remaining funds will be available on the second business day after the day
of your deposit. In some cases, we may need to extend the hold on a deposited
item,  we  will  provide  you  with  a  notice  and  tell  you  when  the  funds  will  be
available.  
Delayed  Availability: In some  cases,  we  will  not  make  all  of  the  funds  that
you  deposit  by  check  available  to  you  immediately.  Depending  on  the  type  of
check  you  deposit,  funds  may  not  be  available  until  the  second  business  day
after the day of your deposit. However, the first $200.00 of your deposit will be
available on the first business day after the day we receive your deposit. If we
are not going to make all of the funds from your deposit available immediately,
we  will  notify  you  at  the  time  you  make  your  deposit.  We  will  also  tell  you
when the funds will be available. If your deposit is not made directly to one of
our  employees,  or  if  we  decide  to  take  this  action  after  you  have  left  the
premises, we will mail the notice by the day after we receive your deposit.   
Longer Delays May Apply
In  addition,  funds  you  deposit  by  check  may  be  delayed  for  a  longer  period
under the following circumstances: 
a) We believe a check you deposit will not be paid.
b) You deposit checks totaling more than $5,000.00 on any one day.
c) You redeposit a check that has been returned unpaid.
d) You have overdrawn your account repeatedly in the last six months.
e)  There  is  an  emergency,  such  as  a  failure  of  communication  or  computer
equipment. 
We  will  notify  you  if  we  delay  your  ability  to  withdraw  funds  for  any  of  these
reasons,  and  we  will  tell  you  when  the  funds  will  be  available.  They  will
generally  be  available  no  later  than  the  seventh  business  day  after  the  day  of
your deposit.

Special Rules for New Accounts
The  following  special  rules  will  apply  during  the  first  thirty  (30)  days  your
business checking account is open:
Funds from the deposits of cash and the first $5,000.00 of a day’s total deposits
of cashier’s, certified, teller’s, traveler’s and state and local government checks
will  be  available  immediately  if  the  deposit  meets  certain  conditions.  For
example, the checks must be payable to you. The excess over $5,000.00 will be
available no later than the ninth business day after the day of your deposit. 
Funds  from  all  other  check  deposits  will  be  available  no  later  than  the  ninth
business day after the day of your deposit. 
Please remember that even after we have made funds available to you, and you
have withdrawn the funds, you are still responsible for checks you deposit that
are returned to us unpaid and for any other problems involving your deposit.
If you have any questions, please contact your branch manager.

location  guide 

for  your  use.  A 

Credit Union Family Service Centers
Service Centers, managed by the Credit Union Service Center Corporation, are
available 
is  available  at
http://www.cuservicecenter.com/ or 800-919-CUSC  (2872).  Transactions
performed  at  Service  Center  locations  are  subject  to  their  fees,  rules,  policies,
and procedures.
Shared  Branch  Availability  Policy  Disclosure: Shared  branches  are
defined  as  those  offices  where  members  of  many  different  credit  unions  are
able  to  perform  transactions  to  their  own  Credit  Union  account.  The  policy  at
shared  branches  is  to  make  funds  from  your  deposits  available  to  you  on  the
same  business  day  your  deposit  is  received.  A  deposit  at  a  shared  branch  is
considered received when it is accepted with all appropriate endorsements. For
determining  the  availability  of  your  deposits,  every  day  is  a  business  day  that
your  own  Credit  Union  is  open  which  may  differ  from  the  days  the  shared
branch is open. If you make a deposit on a day your Credit Union is open, that
day will be considered the day of deposit. However, if you make a deposit at a
shared branch on a day that your Credit Union is not open, your deposit will be
considered made on the next business day your Credit Union is open.
Longer  Delays  May  Apply: In some cases, all of the funds that you deposit
by check will not be available to you on the same business day you make the
deposit.  Local  checks  may  be  held  for  two  (2)  business  days  after  the  day  of
deposit  and  non-local  checks  may  be  held  for  five  (5)  business  days  after  the
day of deposit. Depending on the type of check you deposit, funds may not be
available  until  the  tenth  business  day  after  the  day  of  deposit.  However,  the
first $200.00 of your deposits will be available on the first business day after we
receive your deposit. If all of your funds from your deposit are not available on
the same business day, you will be notified at the time you make your deposit
as to when your funds will be available. If your deposit is not made directly to a
shared  branch  employee,  or  if  this  action  is  taken  after  you  have  left  the
premises, a notice will be mailed to you by the business day after your deposit
is received. If you will need the funds from a deposit right away, you should ask
us when  the  funds  will  be  available.  In  addition,  funds  you  deposit  by  check
may be delayed for a longer period if there is an emergency, such as failure of
communications or computer equipment. Should such an emergency occur, we
will notify you and tell you when the funds will be available. They will generally
be available no later than the second business day after the day of deposit.

————————————————————————————————————
BUSINESS ELECTRONIC
CORRESPONDENCE
DISCLOSURE & AGREEMENT
In  this  Disclosure  and  Agreement,  the  words  “you”  and  “your”  refer  to  the
corporation, partnership, limited liability company, sole proprietorship or other
legal  entity  on  whose  behalf  a  Business  Account  application  was  executed  to
establish  membership  and  open  a  business  account  with  MSU  Federal  Credit
Union.  When  the  Business  Account  application  is  signed  by  an  authorized
representative  of  the  legal  entity,  you  agree  to  accept  these  terms  and
conditions  and  are  electing  to  receive  electronic  correspondence  from  MSU
Federal  Credit  Union  whenever  applicable  law  or  regulation,  or  any  of  the
terms  of  your  various  account  agreements  with  the  credit  union,  require  that
notice  be  provided  in  writing.  In  addition,  each  of  the  terms  and  conditions
below apply to your accounts with the credit union.

• You  will  receive  certain  MSUFCU  correspondence  at  the  email  address
you provide to us. The correspondence may include, but is not limited to:
Account Statement Notices, Visa Statement Notices, Loan Billing Notices
(including late payments), IRS Tax Form Notices, and Transaction Notices
(non-sufficient fund and over-draft notices). 

• Electing  electronic  loan  billing  notices  does  not  change  your  current
payment  method.  Loans  that  are  not  set  up  for  a  monthly  billing  notice
will be emailed only a late notice should the loan become past due. 

• The  credit  union  will  accumulate  a  15-month,  online  archive  of  account

and Visa statements and IRS Tax Forms. 

• Your  consent  for  electronic  IRS  Tax  Forms  applies  to  every  year  the
statement is furnished or until you cancel your electronic enrollment (see
below for instructions). 

• You  agree  to  electronically  view  any  changes  in  disclosures,  election

information, or updates to MSUFCU products, services, or fees. 

• Some correspondence that you receive via email may contain links to the
MSUFCU web site and ComputerLine for additional information, such as
a check  image.  You  will  need  to  use  your  ComputerLine  password  to
access this information. 

• While  enrolled  in  electronic  correspondence,  you  will  not  receive  the

same correspondence via the U.S. Postal Service. 

However,  you  will  continue  to  receive  through  the  U.S.  Postal  Service  certain
correspondence that is currently not available electronically.

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

(page 8 of 9)

• You must have a valid email address that we will use to send information
using  unencrypted  email.  You  will  remain  enrolled  in  our  electronic
service(s) as long as you meet the eligibility requirements, or unless you
request  otherwise.  Consecutive  undeliverable  email  attempts  may  cause
the Credit Union to revoke electronic services until a valid email address
is provided. 

• At any time, you may cancel enrollment for electronic correspondence by
visiting  MSUFCU’s  web  site  at  www.msufcu.org ,
logging  in  to
ComputerLine,  with  your  account  number  and  password,  then  selecting
E-Services  from  the  menu  and  choosing  paper  notices.  Or,  you  may
contact a Credit Union representative at (517) 333-2424 or toll-free at 800-
678-4968. 

• When you cancel your enrollment in a service(s), we will resume mailing
all  of  your  correspondence  as  elected  through  the  U.S.  Postal  Service  at
no  additional  charge  to  you*  and  discontinue  electronic  transmission  of
these items. 

• Except  as  provided  below,  if  you  wish  to  obtain  a  paper  copy  of  the

emailed correspondence, we will provide it to you at no cost.* 

• It  is  your  responsibility  to  inform  us  about  any  change  to  your  name
and/or  email  address.  This  email  address  will  be  used  to  also
communicate  with  you  electronically  as  necessary.  You  accept
responsibility for the delivery of the electronic correspondence. 

• You  have  access  to  the  necessary  hardware  and  software  to  view,  print,
or otherwise  access  necessary  information  to  receive  electronic
communications  from  us  and  to  access  the  MSUFCU  web  site.  The
minimum  hardware  requirements  are  IBM  or  fully  IBM-Compatible  PC,
Apple,  analog  modem  or  Ethernet  for  internet  connection,  monitor,  and
printer.  The  minimum  software  requirements  are  an  operating  system
that supports a web browser such as Internet Explorer v6.0, and Internet
Service Provider (Internet Access), and an email application that supports
HTML formatted emails. 

*A fee  may  be  charged  for  each  overdraft  transaction  when  paper  Overdraft
Notice is selected, please review the most recent fee schedule for the cost.

————————————————————————————————————

BUSINESS ACCOUNT PRIVACY POLICY
Michigan  State  University  Federal  Credit  Union  is  owned  by  its  members  and
run by a Board of Directors you elect. You can be confident that your financial
privacy is a top priority of this credit union. We are required by law to give you
this privacy notice to explain how we collect, use and safeguard your personal
financial  information.  If  you  have  any  questions  please  contact  a  member
service  representative  by  phone  at  517-333-2424  or  800-678-4968  or  send  a
secure message using the “Contact Us” form at www.msufcu.org.
Information We Collect About You
We collect  nonpublic  personal  information  about  you  from  the  following
sources:

• Information  we  receive  from  you  on  membership  and  loan  application

and other forms; 

• Information about your transactions with us or others; 
• Information we receive from a consumer reporting agency; 
• Information  obtained  when  verifying  the  information  you  provide  on  an
application or other forms, such as from your current or past employers
or from other institutions where you conduct financial transactions.

Information About You We Share
We  may  disclose  information  we  collect  about  you  under  circumstances  as
permitted or required by law. These disclosures typically include information to
process transactions on your behalf, conduct the operations of our credit union,
follow your instructions as you authorize, or protect the security of our financial
records.
We are committed to providing you with competitive products and services to
meet your financial needs, which necessitates that we share information about
you  with  our  affiliates,  to  complete  your  transactions  and  to  provide  you  with
certain  financial  opportunities.  We  have  also  entered  into  agreements  with
other  companies  that  provide  either  services  to  us  or  additional  financial
products for you to consider.
Under these agreements, we may disclose all of the information we collect, as
described above, to companies that perform marketing or other services on our
behalf  or  to  other  financial  institutions  with  whom  we  have  joint  marketing
agreements.  To  protect  your  privacy,  we  require  these  companies  to  agree  to
maintain  strong  confidentiality  protections  and  we  prohibit  their  use  of  this
information other than to carry out the purposes for which it is disclosed.
If you  terminate  your  membership  with  Michigan  State  University  Federal
Credit  Union,  we  will  not  share  information  we  have  collected  about  you,
except as permitted or required by law.
Steps We Take to Protect Your Information
We  restrict  access  to  nonpublic  personal  information  about  you  to  those
employees  who  have  a  specific  business  purpose  in  utilizing  your  data.  Our
employees, members of our Official Family, members of the Board of Directors
and  Committee  Members  shall  maintain  confidentiality  and  member  privacy.
We  maintain  physical,  electronic,  and  procedural  safeguards  that  comply  with
federal regulations and industry practices to safeguard your nonpublic personal
information.

————————————————————————————————————

© 2001 Wolters Kluwer Financial Services – Bankers Systems™ Form AIB-B-CU  12/13/2001   Custom TCM-24CUBi,7q,3,6   3549451-010

(page 9 of 9)