mailed to your last known address at least forty-five (45) days prior 
to the effective date of the change as required by federal or other 
law.  When a notice of change in terms is required, it may be sent 
as late as the effective date of the change when the change has 
been  agreed  to  in  writing  by  you.    Rates  are  based  on  approved 
credit. 

Cancellation of Card
You may cancel your card at any time in writing, enclosing all cards 
on  your  account  cut  in  two.  Cancellation  of  the  card  will  end  all 
charging privileges.  We have the right to revoke your right to use 
the credit card at any time. We can do this with or without cause 
and  without  giving  you  notice.  We  may  list  revoked  credit  cards 
in  a  cancellation  bulletin  or  otherwise  inform  firms  honoring  the 
credit card that the credit card issued to you has been revoked or 
cancelled. If we revoke the credit card or it expires, you must return 
it to us if we so request. Also, if a firm that accepts the credit card 
asks you to surrender an expired or revoked credit card, you must 
do so. You may not use the credit card after it has expired or after 
it has been revoked.  Cancellation or revocation of your credit card 
will not affect your obligation to pay any amounts that may be due 
under this Agreement.

Illegal Activity
Your Visa® card may not be used for any illegal activity. Internet 
gambling may be illegal in the jurisdiction in which you are located, 
including the United States and its territories. Your card may only 
be used for legal transactions. Display of a payment card logo by 
an online merchant does not mean that Internet gambling or other 
transactions are legal in the jurisdiction in which you are located. 
You  agree  to  repay,  according  to  the  terms  of  this  Agreement, 
transactions you initiate by use of your card, whether deemed legal 
or illegal.

Internet Transactions
Your Visa® card is automatically enrolled in the Verified by Visa® 
program.  To  make  transactions  over  the  Internet,  merchants 
may  request  your  Verified  by  Visa®  password  to  complete 
the  transactions.  If  a  password  is  not  provided,  or  you  do  not 
successfully  register  with  Verified  by  Visa®,  the  merchant  may 
deny  the  transaction.  If  the  password  is  incorrect,  we  may  deny 
the transaction. You can select or change your password and view 
additional terms online at schoolsfirstfcu.org by clicking on the 
Verified  by  Visa®  link  under  “Related  Topics”  on  the  credit  card 
product  pages.  By  allowing  another  person  to  use  your  Verified 
by  Visa  password  you  are  authorizing  the  transaction(s)  on  your 
account.

Foreign Currency Transactions
If you effect a transaction at a merchant that settles in a currency 
other than U.S. dollars, Visa® Incorporated will convert the charge 
into a U.S. dollar amount. The conversion rate in U.S. dollars will be 
either at the government-mandated rate or a wholesale currency 
market rate determined by Visa® for the processing date on which 
the transaction is processed. The currency conversion rate used by 

Visa® on the processing date may differ from the rate that would have 
been used on the purchase date or the cardholder statement posting 
date. The Credit Union has no control over the conversion rate. 

International Service Fee
A fee of 2% of the transaction amount in US Dollars will be assessed 
on international transactions. Transactions acquired in U.S. territories, 
and transactions originating on U.S. military bases, at U.S. embassies 
and at U.S. consulates, are excluded from this fee. 

Convenience Checks
You may access your credit line by writing checks provided by us for 
that purpose. The checks will be honored and paid up to your credit 
limit as long as the account is not in default. You may request a stop 
payment  on  a  convenience  check  by  phone  or  in  writing.  We  must 
receive  the  request  in  time  to  afford  us  reasonable  opportunity  to 
act upon it under the Credit Union’s rules. Oral or telephone requests 
to  stop  payment  must  be  confirmed  by  you  in  writing  to  us  within 
fourteen (14) calendar days after your original request, and if not so 
confirmed,  such  request  will  be  considered  to  have  lapsed  after  the 
fourteen day period. We can only honor a stop payment request for 12 
months from the date of request. You agree not to hold us responsible 
for  any  claims  or  liabilities  of  payees  or  endorsers  on  convenience 
checks for which you have requested payment stopped. You agree not 
to  hold  us  responsible  for  the  misrouting  or  delay  of  a  convenience 
check due to markings placed on the check by you or a prior endorser 
that obscure any depository endorsement placed by us or our agent. 
We may recognize the signature of any borrower or authorized user 
on this account as authorized to transact any business on the account.  
Convenience checks cannot be used to pay any amount you owe under 
this Agreement or under any other credit agreement or account you 
have with us now or in the future. Convenience checks are considered 
cash advances and accrue interest according to the method described 
for cash advances under the “CALCULATION OF FINANCE CHARGES” 
heading of this disclosure.

Default/Collection/Attorney’s Fees
You  will  be  in  default  and  understand  that  all  loan  credit  under  this 
Agreement  may  be  terminated  if  (1)  you  do  not  make  periodic 
payments  as  required  by  this  Agreement,  (2)  you  do  not  keep  any 
promise  made  in  this  Agreement  or  any  other  agreement  with  this 
Credit  Union,  (3)  any  information  that  you  give  us  to  obtain  a  loan 
advance is false, (4) any third party attempts by legal process to take 
any property belonging to you, (5) you die, become insolvent or are 
a party to any bankruptcy proceeding, or (6) as otherwise provided 
in this Agreement. If you are in default, we may refuse to make any 
further  advances  or  refuse  charge  privileges  to  you  and  declare  all 
sums owed under this Agreement immediately due and payable. We 
may accept late payments or partial payments without losing any of 
our  rights  under  this  Agreement.  You  understand  that  if  you  are  in 
default, we may add to your unpaid balance any reasonable attorney’s 
fees and court costs, all of which you agree to pay.

Waivers and Severability
We  may  waive  or  decline  to  enforce  any  of  our  rights  under  this 
Agreement  without  affecting  any  of  our  other  rights.    Should 
any  provision  of  this  Agreement  be  determined  to  be  invalid  or 
unenforceable,  that  determination  shall  not  affect  the  validity  or 
enforceability of any other provision.

Governing Law
This Agreement, your credit card line of credit, as well as our rights 
and duties and your rights and duties regarding them, will be governed 
by and interpreted in accordance with federal law to the fullest extent 
possible and, to the extent federal law does not apply, in accordance 
with California law, regardless of where you live and use your credit 
card. This Agreement is made in California. All credit will be extended 
from California, and all repayment must be made in California.

YOUR BILLING RIGHTS: 
KEEP THIS DOCUMENT FOR FUTURE USE
This notice tells you about your rights and our responsibilities 
under the Fair Credit Billing Act.

What  To  Do  If  You  Find  a  Mistake  on  Your  Statement.  If  you 
think there is an error on your statement, write to us at: SchoolsFirst 
FCU P.O. BOX 11547, Santa Ana, CA 92711. You may also contact 
us on our website at schoolsfirstfcu.org. 

In your letter, give us the following information:

•	
•	
•	

Account Information: Your name and account number
Dollar Amount: The dollar amount of the suspected error.
Description  of  problem:  If  you  think  there  is  an  error  on 
your bill, describe what you believe is wrong and why you 
believe it is a mistake.

You must contact us:

•	
•	

Within 60 days after the error appeared on your statement.
At least 3 business days before an automated payment is 
scheduled, if you want to stop payment on the amount you 
think is wrong.

You must notify us of any potential errors in writing (or electronically). 
You may call us, but if you do we are not required to investigate any 
potential errors and you may have to pay the amount in question.

What will Happen After We Receive Your Letter

When we receive your letter, we must do two things:

1.  Within  30  days  of  receiving  your  letter,  we  must  tell  you 
that we received your letter. We will also tell you if we have 
already corrected the error.

2.  Within  90  days  of  receiving  your  letter,  we  must  either 
correct the error or explain to you why we believe the bill 
is correct.

While we investigate whether or not there has been an error:

•	

•	

We cannot try to collect the amount in question, or report 
you as delinquent on that amount.
The charge in question may remain on your statement, and 
we may continue to charge you interest on that amount.

•	

•	

While you do not have to pay the amount in question, you 
are responsible for the remainder of the balance.
We can apply any unpaid amount against your credit limit.

•	

•	

After we finish our investigation, one of two things will happen:
If we made a mistake: You will not have to pay the amount 
in  question  or  any  interest  or  other  fees  related  to  the 
amount.
If we do not believe there was a mistake: You will have to 
pay the amount in question, along with applicable interest 
and fees. We will send you a statement of the amount you 
owe and the date payment is due. We may then report you 
as delinquent if you do not pay the amount we think you 
owe.

If you receive our explanation but still believe your bill is wrong, you 
must write to us within 10 days telling us that you still refuse to pay. If 
you do so, we cannot report you as delinquent without also reporting 
that  you  are  questioning  your  bill.  We  must  tell  you  the  name  of 
anyone to whom we reported you as delinquent, and we must let those 
organizations know when the matter has been settled between us.

If we do not follow all of the rules above, you do not have to pay the 
first $50 of the amount in question even if your bill is correct.

Your Rights If You Are Dissatisfied With Your Credit Card 
Purchases
If  you  are  dissatisfied  with  the  goods  or  services  that  you  have 
purchased with your credit card and you have tried in good faith to 
correct the problem with the merchant, you may have the right not to 
pay the remaining amount due on the purchase.

To use this right, the following must be true:

1. 

2. 

3. 

The  purchase  must  have  been  made  in  your  home  state 
or  within  100  miles  of  your  current  mailing  address,  and 
the purchase price must have been more than $50. (Note 
neither of these are necessary if your purchase was based 
on an advertisement we mailed to you, or if we own the 
company that sold you the goods or services.)
You  must  have  used  your  credit  card  for  the  purchase. 
Purchases made with cash advances from an ATM or with a 
check that accesses your credit card account do not qualify.
You must not yet have fully paid for the purchase.

If all of the criteria above are met and you are still dissatisfied with 
the purchase, contact us in writing (or electronically) at the address 
or website listed above. While we investigate, the same rules apply to 
the disputed amount as discussed under What To Do If You Find a 
Mistake on Your Statement. After we finish our investigation, we 
will tell you our decision. At that point, if we think you owe an amount 
and you do not pay we may report you as delinquent.

M-107138

SCHOOL EMPLOYEE 
CREDIT CARD 
VISA  
AGREEMENT AND
DISCLOSURE  
STATEMENT

November 1, 2012

You agree to the following terms and conditions and any amendments 
thereto.

Accepting This Agreement
Before  you  sign  or  use  the  SchoolsFirst  Federal  Credit  Union  Visa® 
credit  card  issued  to  you,  please  read  this  Agreement  thoroughly, 
because by using the credit card you will be agreeing with us to the 
terms and conditions stated in this Agreement. If you do not wish to 
be bound by this Agreement, do not use the credit card, and write to 
us and tell us that you wish to cancel your credit card account with 
us. If you have received a card or checks to access the card account, 
destroy them.

Definitions
In  this  Agreement  the  words  “you”,  “your”,  and  “yours”  mean  each 
and all of the person(s) who apply for and/or use the card, the words 
“credit card” mean the SchoolsFirst Federal Credit Union Visa® credit 
card, and the words, “we”, “our”, “us”, and “Credit Union” mean the 
SchoolsFirst Federal Credit Union.

Liability of All Cardholders and Authorized Users
You understand that you are liable for the payment of all sums due 
under this Agreement. If there is more than one borrower or authorized 
user on this account, each person, individually, and all persons jointly 
are obligated to repay all sums due under this Agreement. You agree 
that all statements made in your application for your credit card were 
for the purpose of obtaining credit and are true, correct, and complete 
to the best of your knowledge and belief.

Credit Limit
This  Agreement  establishes  a  credit  card  account  for  you  with  an 
open  end  line  of  credit.  We  will  establish  a  credit  limit  for  you,  and 
may increase or decrease that credit limit from time to time. We have 
provided  you  with  a  separate  written  disclosure  stating  the  credit 
limit  for  purchases  and  cash  advances  on  your  account,  and  that 
disclosure  is  made  a  part  of  this  Agreement  by  this  reference.  Your 
monthly statements will show the amount of credit available to you 
for  purchases  and  cash  advances  as  of  the  statement  date.  We  will 
give  you  written  notice  of  any  change  in  your  credit  limit.  If  your 
credit limit is decreased for any reason, any subsequent request for a 
credit limit increase will be subject to credit application and approval. 
You agree not to use your account in any way which would make the 
unpaid  balance  of  your  account  or  cash  advances  on  your  account 
exceed your credit limit. You also agree to pay us the amount of any 
transactions on your account in excess of your credit limit along with 
your regular minimum payment at your next scheduled payment due 
date.  Purchases  and  advances  are  subject  to  daily  limits  that  may 
restrict the full use of your Credit Limit.

Pledges of Shares
You grant us a consensual security interest in your accounts and have 
pledged  funds  on  deposit  in  your  account  (except  IRA  or  Deferred 
Compensation) to satisfy debts that are due us. We reserve the right 
to exercise this pledge of shares for liabilities owed to us against any 
account held by you individually or jointly with any other person(s) to 
the fullest extent permitted by law.

Personal Identification Number
A  Personal  Identification  Number  (PIN)  may  be  obtained  by 
selecting your own PIN at any SchoolsFirst FCU branch or by calling 
877.315.3483.  This  PIN  may  be  used  by  you  with  your  credit  card 
to  obtain  a  cash  advance  on  your  account  at  any  Automated  Teller 
Machine  (ATM)  displaying  the  Visa®  logo  or  to  make  purchases  at 
any  designated  point  of  sale  (POS)  machine.  Please  keep  your  PIN 
confidential and do not write it on or keep it with your credit card.

Credit Information

You  agree 
that  we  may  re-examine  and  re-evaluate  your 
creditworthiness at any time. You authorize us to obtain, from time 
to time, information from others, including, but not limited to credit 
reporting  agencies,  concerning  you  and  your  credit  accounts.  You 
also authorize us to respond to requests from others and to provide 
information  regarding  the  status  and  history  of  your  account  with 
us.  However,  we  are  not  obligated  to  release  any  such  information 
to anyone unless we are required by law to do so. You agree that we 
have the right to refuse future advances under your line of credit or 
reduce your credit limit upon re-examination and re-evaluation of your 
creditworthiness, should your creditworthiness change significantly.

Change of Name, Address, Employment, Telephone
You agree to promptly report to us any change in your name, address, 
employment, or telephone number.

Balance Transfers
When the Credit Union uses the term “balance transfer” this refers to 
the transfer of balances from other lenders to your SchoolsFirst FCU 
credit card.

Purchases/Cash Advances
You  may  access  your  line  of  credit  by  making  a  purchase  at  a 
merchant’s  location  that  accepts  the  credit  card,  by  requesting  a 
Balance  Transfer  orally  or  electronically,  or  in  writing,  or  by  making 
a  cash  advance.  We  will  not  be  responsible  or  liable  to  you  should 
anyone refuse to accept or honor your card, or should anyone retain 
your card and not return it to you. You may request cash advances 
under  this  Agreement  by  writing  a  SchoolsFirst  FCU  convenience 
check; by making a written, telephone or electronic request to us; or 
by requesting a cash advance at a financial institution or an ATM that 
accepts the credit card. You agree to repay all advances for purchases 
and cash advances made to you or at the request of a joint borrower 
or  authorized  user  under  this  Agreement,  and  you  understand  that 
all purchases and cash advances will be subject to the terms of this 
Agreement. You agree not to request advances or make purchases or 
use your account in any way that would make the unpaid balance of 
your account exceed your credit limit. Cash advances cannot be used 
to pay any amount you owe under this Agreement or under any other 
credit agreement or account you have with us now or in the future.

Minimum Monthly Payments
You will receive a statement for each monthly billing period in which your 
account has an outstanding or credit balance. The minimum monthly 
payment on your account is calculated at 2% of the statement balance 
or $25, whichever is greater. If your account balance is greater than 

your limit or your account is past due, you will be billed for the greater 
of: the minimum monthly payment; or the past due amount; or the 
Overlimit amount. If the account is not paid down to the limit or below, 
the  account  is  subject  to  closure.  The  minimum  monthly  payment 
must be received at the payment center on or before the payment due 
date reflected on the front of your monthly billing statement or the 
payment may be considered past due. Payments made in excess of the 
minimum payment will be applied first to the balance with the highest 
interest  rate,  then  successively  to  each  lower  interest  rate  until  the 
excess payment amount is exhausted. If you have a credit balance on 
your account due to merchant credits, adjustments or overpayments, 
we  will  hold  and  apply  this  credit  balance  against  future  purchases 
and cash advances, or refund it at your written request. An increase 
or decrease in the Annual Percentage Rate may result in an increase 
or decrease in your monthly payment.

Promise to Pay
You agree to pay us, at the payment address stated on the front of your 
monthly billing statement, all sums which have been accumulated on 
your account by you or others with your permission, together with any 
finance charges, late charges and any other service charges computed 
on your account as set forth in this Agreement.

Authorizations
Most  transactions  require  approval  of  funds.    Approvals  result  in 
placing  a  hold  against  your  credit  limit.    We  may  limit  the  number 
or amount of approvals or purchases and advances per day or deny 
transactions  when  we  detect  unusual  or  suspicious  activity,  even  if 
you  have  sufficient  credit  available.    We  are  not  liable  for  failing  to 
approve any transaction and we may, although we are not required 
to, approve transactions above your available credit.  We are not liable 
if a merchant, financial institution, or ATM does not honor your card.

Membership Requirement
You  must  be  a  Member  in  good  standing  to  be  eligible  for  a  credit 
card with us.  We may suspend card privileges, including closing your 
account,  if  you  do  not  maintain  your  Membership  with  us  in  good 
standing.

Responsibility for Account
You agree to repay us according to the terms of this Agreement for all 
purchases, advances, finance charges, fees and collection costs, if any, 
arising from the use of this account by you or any other person you 
permit to use your card and/or account (even if that person exceeded 
the amount for which you gave permission).  If you decide to close 
your account please notify us orally or in writing and return all card(s) 
on the account.  You remain liable for any transactions to the account 
that  we  cannot  prevent  after  you  notify  us.    Any  person  using  the 
account and/or card is jointly and severally responsible for all charges 
on the account.

Lost, Stolen or Unauthorized Use
It  is  important  to  continually  monitor  your  monthly  statements  to 
identify any unauthorized transactions. If your card is lost or stolen, 
or  you  believe  that  someone  has  accessed  or  may  access  money 
from  your  card  without  your  permission,  notify  us  immediately.  If 

you  notice  unauthorized  or  fraudulent  activity  on  your  card,  notify 
us immediately. Notify us at the phone number or address listed on 
your statement under “How to Reach Us”. See Your Billing Rights 
for further information. If your card is used fraudulently, you agree to 
assist us in our investigation and to sign and return the Cardholder 
Dispute Form. 

Annual Percentage Rate
SchoolsFirst  FCU  has  a  loan  program,  which  features  a  range  of 
interest  rates  for  some  of  its  consumer  loans.  A  rate  is  based  on  a 
variety of factors, including the applicant’s credit rating. 

This  Agreement  establishes  the  Annual  Percentage  Rate  for 
Purchases, Balance Transfers and Cash Advances under this credit card 
program.  We  have  provided  you  with  a  separate  written  disclosure 
stating the Annual Percentage Rate that will apply to purchases and 
cash advances on your account. That disclosure is made part of this 
Agreement by this reference. 

Annual Percentage Rate - Variable Rate Credit Program
The Annual Percentage Rate is subject to change annually on the 
first  business  day  of  August.    Note  that  an  increase  in  the  Annual 
Percentage Rate may result in greater interest charges and a larger 
monthly payment.

The rate is determined by adding an index plus a margin.  The index 
is the highest “Prime Rate” as reported in the “Money Rates” tables 
of The Wall Street Journal on the first business day of August.  The 
tier and margin, and subsequently the APR you receive, is determined 
by  your  creditworthiness.  The  maximum  Annual  Percentage  Rate 
is 18.00%. 

Variable Rate Margins

Periodic  Rate.  We  will  calculate  your  Average  Adjusted  Daily 
Balance as follows: We take the outstanding balance (all amounts 
you owe) at the start of the day. Then, in the sequence in which the 
amounts post to your account, we add the amount(s) of all debits 
and subtract the amount(s) of all payments and credits which post 
to your account that day. After applying payments and credits, we 
subtract any amount of late charge, interest charge, and any other 
charges that remain unpaid.

The  result  is  the  adjusted  daily  balance  for  that  day.  We  add 
together all the adjusted daily balances for each day in the billing 
cycle and divide the total by the number of days in the billing cycle. 
The  result  is  the  Average  Adjusted  Daily  Balance  for  that  billing 
cycle.

Interest Charges are imposed only if you do not pay in full the new 
balance  for  Purchases  shown  on  your  Periodic  Statement  within 
25  days  of  the  end  of  the  statement  period.  However,  interest 
charges  will  be  assessed  and  will  accrue  on  any  cash  advance 
(see Purchases/Cash Advances) from the date that such cash 
advance  transaction  is  posted  to  your  account  to  the  date  the 
cash advance balance is paid in full or the Statement Closing Date 
whichever comes first, even if payment of the entire New Balance 
is received by us by the Payment Due Date. In other words, there 
is  no  time  period  within  which  credit  extended  to  you  by  a  cash 
advance may be repaid without incurring an interest charge.

Late Charge
If the minimum payment due is not received by the Credit Union 
within 15 days after the payment due date, a late charge of $25 
will be imposed.

Additional Fees and Service Charges

Tier 

Tier 1

Tier 2

Tier 3

Tier 4

We may charge additional service charges for the following:

Purchases

4.25% 6.25% 8.25% 13.25%

•  each draft copy that you request: $10
•  additional copies of your monthly billing statement: $2 (per 

Balance Transfers

4.25% 6.25% 8.25% 13.25%

statement)

Cash Advances

9.25% 11.25% 13.25% 17.90%

Annual Percentage Rate  - Penalty Rate
If  your  credit  card  account  is  delinquent  60  days,  we  will  increase 
your Annual Percentage Rate on the entire balance to 17.90%. The 
Penalty  APR  will  continue  to  apply  unless  you  make  6  consecutive 
minimum  payments  when  due  (beginning  with  the  billing  cycle 
immediately following the application of the Penalty APR) and do not 
exceed your credit limit during that time period. If these requirements 
are met, your credit card rate will be lowered to reflect your original 
tier.

Monthly Periodic Rate
The  Monthly  Periodic  Rate  is  determined  by  dividing  the  Annual 
Percentage Rate by twelve (12 months in a year).

Calculation of Interest Charges
Interest  Charges  for  each  monthly  billing  cycle  will  be  calculated 
by  multiplying  the  Average  Adjusted  Daily  Balance  by  the  Monthly 

•  any  payment  instrument  or  method  including  check,  in-
person, ACH or other electronic transaction returned to us for 
any reason: $20

•  researching transactions occurring prior to your most recent 

account statement: $20 per hour, minimum $20

•	 card replacement fee: $5
•	 convenience check stop payment:  $15
•	 balance transfer stop payment fee:  $15
•	 each request to have a credit card delivered by courier:  $20

Change in Terms
This  Agreement  is  the  contract  which  applies  to  all  transactions 
on  your  Account,  even  though  the  sales,  Cash  Advance,  credit, 
or  other  documents  you  sign,  agree  to,  or  receive,  may  contain 
different  terms.    We  may  amend,  modify,  add  to,  or  delete  from 
this Agreement any term, condition, service, or feature at any time, 
including the amount or calculation of INTEREST CHARGES.  Unless 
we  state  otherwise,  the  change  will  affect  any  unpaid  balance 
outstanding  and  any  subsequent  transactions.    A  notice  will  be