626 Jacksonville Road 
Suite 250 
Warminster, PA 18974 
215-612-5900 
Freedomcu.org 

Gold, Classic, Student & Secured Credit Cards 

In this Agreement the words “you” and “your” mean each and all of those who agree 
to be bound by this Agreement; “Card” means the VISA credit card and any 
duplicates, renewals, or substitutions the Credit Union issues to you; “Account” 
means your VISA credit card line of credit account with the Credit Union, and “Credit 
Union” means the Credit Union whose name appears on this Agreement or anyone to 
whom the Credit Union transfers this Agreement. 

1.  Using Your Account. If you are approved for an Account, the Credit Union 

will establish a line of credit for you and notify you of your credit limit. You 
agree that your credit limit is the maximum amount (purchases, cash 
advances, finance charges, plus “other charges”) that you will have 
outstanding on your Account at any time. Each payment you make to your 
Account will restore your credit limit by the amount of the payment, unless 
you are over your credit limit. If you are over your credit limit, you must pay 
the amount you are over before payments will begin to restore your credit 
limit. You may request an increase in your credit limit only by a method 
acceptable to the Credit Union. The Credit Union has the right to reduce your 
credit limit, refuse to make an advance and/or terminate your Account at any 
time for any reason not prohibited by law.  

2.  Using the VISA Card. You may use your Card to make purchases from 

merchants and others who accept VISA Cards. In addition, you may obtain 
cash advances from the Credit Union and from other financial institutions that 
accept VISA Cards, and from some automated teller machines (ATMs), such 
as the VISA ATM Network, that accept VISA Cards. (Not all ATMs accept VISA 
Cards). To obtain cash advances from an ATM, you must use the Personal 
Identification Number (PIN) that is issued to you for use with your Card.  
3.  Responsibility. You agree to pay all charges (purchases and cash advances) 

to your Account that are made by you or anyone whom you authorize to use 
your Account. You also agree to pay all finance charges and other charges 
added to your Account under the terms of this Agreement or another 
agreement you made with the Credit Union. If this is a joint Account, Section 
18 below also applies to your Account.  

4.  Grace Period. In order to avoid a finance charge on purchases made since 

your last statement date, you must pay the Total New Balance shown on your 
statement within 28 days of the statement closing date. Otherwise, the 
finance charge on purchases is calculated from the beginning of the next 
statement period on previously billed but unpaid purchases and on new 
purchases from the date they are posted to your account. Cash advances are 

 
 
 
 
 
           
 
 
always subject to finance charge from the date they are posted to your 
account. Balance transfers and advances (including, but not limited to, those 
through telephone teller, online banking, or automated teller machine) are 
considered cash advances, and therefore subject to finance charges from the 
date they are posted to your account.  

5.  Finance Charges. The finance charge (interest) on purchases and cash 
advances will be calculated at the periodic rate specified in the Additional 
Disclosure Federal Truth-In-Lending Act, which you will receive no later than 
the time of your first advance. Separate finance charges for purchases and 
cash advances are determined by multiplying the periodic rate by the 
separate average daily balances for purchases and cash advances. Each 
average daily balance is determined by taking the beginning balance (of cash 
advance or purchases) in your account each day, adding any new purchases 
or cash advances (whichever is applicable), and subtracting any payments or 
credits. The results are the daily balances. All the daily balances for the 
statement cycle are added and the total is divided by the number of days in 
the statement cycle to arrive at the average daily balance for the cycle.  

6.  Other Charges. The following other charges (fees) will be added to your 

Account, as applicable:  

a.  Over-the-Credit-Limit Fee: None.  
b.  Late Payment Fee: $20.00 (applied if the required payment is not 

made by the end of the calendar month in which the payment is due).  

c.  Returned Check Fee: $25.00.  
d.  Collection Costs: To the extent permitted by law, you will also be 

required to pay the Credit Union’s collection expenses, including court 
costs and reasonable attorney’s fees.  

7.  Payments. Each month you must pay at least the minimum payment shown 
on your statement by the date specified on the statement or no later than 28 
days from the statement closing date, whichever is later. If your statement 
says the payment is “Now Due,” your payment is due no later than 28 days 
from the statement closing date. You may pay more frequently, pay more 
than the minimum payment or pay the Total New Balance in full. If you make 
extra or larger payments, you are still required to make at least the minimum 
payment each month your Account has a balance (other than a credit 
balance). The minimum payment is 3% of your Total New Balance, or $25.00, 
whichever is greater, plus the amount of any prior minimum payments that 
you have not made, and any amount you are over your credit limit. The 
Credit Union also has the right to demand immediate payment of any amount 
by which you are over your credit limit.  

8.  Payment Allocation. Subject to applicable law, your payments may be 

applied to what you owe the Credit Union in any manner the Credit Union 
chooses.  

9.  Security Interest. If you give the Credit Union a specific pledge of shares by 
signing a separate pledge of shares, your Account will be secured by your 
pledged shares. Collateral securing other loans you have with the Credit 
Union may also secure this loan, except that your home will never be 
considered as security for this Account, notwithstanding anything to the 
contrary in any other agreement.  

10. Default. You will be in default if you fail to make any minimum payment or 

other required payment by the date that it is due. You will be in default if you 
break any promise you make under this Agreement. You will be in default if 
you die, file for bankruptcy or become insolvent, that is, unable to pay your 
obligations when they become due. You will be in default if you make any 

Effective 2/28/10 

false or misleading statements in any credit application or credit update. You 
will also be in default if something happens that the Credit Union believes 
may substantially reduce your ability to repay what you owe.  

11. Liability for Unauthorized Use-Lost/Stolen Card Notification. You will 
not be liable for unauthorized use that occurs after you notify the Credit 
Union, orally or in writing of the loss, theft, or possible unauthorized use. You 
can notify the Credit Union by calling (215) 612-5900.  

12. Changing or Terminating Your Account. The Credit Union may change the 
terms of this Agreement from time to time. Notice of any change will be given 
in accordance with applicable law. If permitted by law and specified in the 
notice to you, the change will apply to your existing Account balance as well 
as to future transactions. 

Either you or the Credit Union may terminate this Agreement at any time, but 
termination by you or the Credit Union will not affect your obligation to pay 
the Account balance plus any finance and other charges you owe under this 
Agreement. You are also responsible for all transactions made to your 
Account after termination, unless the transactions were unauthorized. 

The Card or Cards you receive remain the property of the Credit Union and 
you must recover and surrender to the Credit Union all Cards upon request or 
upon termination of this Agreement whether by you or the Credit Union. The 
Credit Union has the right to require you to pay your full Account balance at 
any time after your Account is terminated, whether it is terminated by you or 
the Credit Union. If this is a joint Account, Section 18 of this agreement also 
applies to termination of the Account.  

13. Credit Information. You authorize the Credit Union to investigate your 

credit standing when opening or reviewing your Account. You authorize the 
Credit Union to disclose information regarding your Account to credit bureaus 
and creditors who inquire about your credit standing.  

14. Returns and Adjustments. Merchants and others who honor your Card may 
give credit for returns or adjustments, and they will do so by sending the 
Credit Union a credit which will be posted to your Account. If your credits and 
payments exceed what you owe the Credit Union, the amount will be applied 
against future purchases and cash advances. If the credit balance amount is 
$1 or more, it will be refunded upon your written request or automatically 
pooled to savings by the Credit Union.  

15. Additional Benefits/Card Enhancements. The Credit Union may from time 

to time offer additional services to your Account, such as travel accident 
insurance, at no additional cost to you. You understand that the Credit Union 
is not obligated to offer such services and may withdraw or change them at 
any time.  

16. Foreign Transactions. Purchases and cash advances made in foreign 

countries and foreign currencies will be billed to you in U.S. dollars. The 
conversion rate to U.S. dollars will be determined in accordance with the 
operating regulations established by VISA U.S.A. Currently the currency 
conversion rate used to determine the transaction amount in U.S. dollars is 
either a government-mandated rate or the wholesale rate in effect one day 
prior to the transaction processing date. The currency conversion rate used 
on the processing date may differ from the rate that would have been used on 
the purchase date or cardholder statement posting date.  

17. Merchant Disputes. The Credit Union is not responsible for the refusal of 

any merchant or financial institution to honor your Card. The Credit Union is 

Effective 2/28/10 

 
 
subject to claims and defenses (other than tort claims) arising out of goods or 
services you purchase with the Card if you have made a good faith attempt 
but have been unable to obtain satisfaction from the merchant or service 
provider, and (a) your purchase was made in response to an advertisement 
the Credit Union sent or participated in sending to you; or (b) your purchase 
cost more than $50.00 and was made in your state or within 100 miles of 
your home.  

18. Joint Accounts. If this is a joint Account, each person on the Account must 

sign the Agreement. Each of you will be individually and jointly responsible for 
paying all amounts owed under this Agreement. This means that the Credit 
Union can require any one of you individually to repay the entire amount 
owed under this Agreement. Each of you authorizes the other(s) to make 
purchases or cash advances individually. Any one of you may terminate the 
Account and the termination will be effective as to all of you.  

19. Effect of Agreement. This Agreement is the contract which applies to all 

transactions on your Account even though the sales, cash advances, credit or 
other slips you sign or receive may contain different terms.  

20. No Waiver. The Credit Union can delay enforcing any of its rights any 

number of times without losing them.  

21. Statement and Notices. Statements and notices will be mailed to you at the 

most recent address you have given the Credit Union. Notice sent to any one 
of you will be considered notice to all.  

22. Copy Received. You acknowledge that you have received a copy of this 

Agreement.  

YOUR BILLING RIGHTS - KEEP THIS NOTICE FOR FUTURE USE 

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

Notify Us In Case of Errors or Questions About Your Bill 

If you think your bill is wrong, or if you need more information about a transaction 
on your bill, write us on a separate sheet at the address listed on your bill. Write to 
us as soon as possible. We must hear from you no later than 60 days after we sent 
you the first bill on which the error or problem appeared. You can telephone us, but 
doing so will not preserve your rights. In your letter, give us the following 
information: 

•  Your name and account number.  
•  The dollar amount of the suspected error.  
•  Describe the error and explain, if you can, why you believe there is an error. 
If you need more information, describe the item you are not sure about.  

If you have authorized us to pay your credit card bill automatically from your savings 
or share draft account, you can stop the payment on any amount you think is wrong. 
To stop the payment your letter must reach us three business days before the 
automatic payment is scheduled to occur. 

Effective 2/28/10 

Your Rights and Our Responsibilities After We Receive Your Written 
Notice 

We must acknowledge your letter within 30 days, unless we have corrected the error 
by then. Within 90 days, we must either correct the error or explain why we believe 
the bill was correct. 

After we receive your letter, we cannot try to collect any amount you question, or 
report you as delinquent. We can continue to bill you for the amount you question, 
including finance charges, and we can apply an unpaid amount against your credit 
limit. You do not have to pay any questioned amount while we are investigating, but 
you are still obligated to pay the parts of your bill that are not in question. 

If we find that we made a mistake on your bill, you will not have to pay any finance 
charges related to any questioned amount. If we didn’t make a mistake, you may 
have to pay finance charges, and you will have to make up any missed payments on 
the questioned amount. In either case, we will send you a statement of the amount 
you owe and the date that it is due. 

If you fail to pay the amount that we think you owe, we may report you as 
delinquent. However, if our explanation does not satisfy you and you write to us 
within ten days telling us that you still refuse to pay, we must tell anyone we report 
you to that you have a question about your bill. And, we must tell you the name of 
anyone we reported you to. We must tell anyone we report you to that the matter 
has been settled between us when it finally is. 

If we don’t follow these rules, we can’t collect the first $50.00 of the questioned 
amount, even if your bill was correct. 

Special Rule for Credit Card Purchases 

If you have a problem with the quality of property or services that you have 
purchased with a credit card, and you have tried in good faith to correct the problem 
with the merchant, you may have the right not to pay the remaining amount due on 
the property or services. There are two limitations on this right: 

a.  You must have made the purchase in your home state or, if not within your 

home state, within 100 miles of your current mailing address; and  

b.  The purchase price must have been more than $50.00.  

These limitations do not apply if we own or operate the merchant, or if we mailed 
you the advertisement for the property or services. 

Effective 2/28/10