be  assessed  on  multi-currency  international  transactions.  The  exchange  rate 
between the transaction currency and the billing currency used for processing 
international  transactions  is  a  rate  selected  by  MasterCard  from  the  range 
of  rates  available  in  wholesale  currency  markets  for  the  applicable  central 
processing date, which may vary from the rate MasterCard itself receives or the 
government-mandated rate in effect for the applicable central processing date.  
The conversion rate may be different than the rate on the day of the transaction 
or date of the posting of the Account.  The Credit Union has no control over the 
conversion rate. When a credit to the Account does not fully offset a charge to 
the Account due to changes in the rate, you are responsible for the difference.

International  Service  Assessment  Fee:  A  fee  of  0.8%  will  be  assessed  on 
single  currency  international  transactions.  MasterCard,  Inc.  rules  provide 
for  either  a  0.8%  currency  exchange  fee  for  single  currency  international 
transactions (transactions made internationally without a currency conversion) 
or  1.00%  currency  exchange  fee  for  multi-currency  international  transactions 
(transactions  made  internationally  that  require  a  currency  conversion),  which 
is added to the amount of the purchase, cash advance, or credit and retained 
by MasterCard.  This fee is charged directly to the Credit Union, is passed on to 
you, and will be included in the transaction on your statement, along with an 
additional description line for each fee. Transactions acquired in U.S. territories, 
and transactions originating on U.S. military bases, at U.S. embassies and at U.S. 
consulates, are excluded from this fee.

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

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

Lost or Stolen Card, Notification and Liability: You will notify us at once if you 
believe that the card, account number, PIN, or any combination of the three has 
been lost or stolen by immediately calling us at 877.881.6023.  Telephoning is 
the best way of keeping your possible losses down.  You understand that your 
total liability to us shall not exceed $50 for any Account and/or Card transactions 
resulting  from  the  loss,  theft,  or  other  unauthorized  use  of  the  Account  and/
or Card that occurs prior to the time you give notice to us.  Such liability does 
not apply when the Account and/or Card is used to make an electronic transfer.  

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

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

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

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

Integrated  Documents:  Any  separate  sheet  of  paper  labeled,  “Additional 
Disclosure – Federal Truth In Lending Act” which is delivered together with this 

Agreement or Disclosure Statement is an integrated part of the Agreement and 
Disclosure Statement. 

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

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

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

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

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

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

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

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

Credit Reports: Your performance under this Agreement will be reported to a 
credit  reporting  agency(s).  As  required  by  law,  you  are  hereby  notified  that  a 
negative credit report reflecting on your credit record may be submitted to a 
credit reporting agency if you fail to fulfill the terms of your credit obligations.

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

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

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

ARC (Accounts Receivable Entries) Notification: By sending a check, please be 
aware that you are authorizing Kinecta to use information on that check to make 
a one-time electronic debit in the amount of the check from your account at that 

financial institution indicated on it. If you prefer not to have your checks used 
in this way contact the Credit Union at 877.881.6023 to opt out. When we use 
information from your check to make an electronic fund transfer, funds may be 
withdrawn from your account as soon as the same day we receive your payment, 
and you will not receive your check back from your financial institution. 

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

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

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

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

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

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

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

You may withdraw your acceptance of this Agreement at any time by notifying 
Kinecta’s Card Services Department by calling us at 877.881.6023 or writing us at 
Kinecta Federal Credit Union Card Services Department, P.O. Box 217, Manhattan 
Beach,  California  90267.  You  must  discontinue  using  the  Card(s).  Your  use 
of  the  Card(s)  following  any  amendment  of  this  Agreement  will  signify  and 
constitute your assent to and acceptance of such revised Agreement. 

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

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

Cancellation: You may cancel your card at any time in writing including your 
signature, enclosing all cards on your account cut in two. Mail your letter along 
with the destroyed card to: Card Services Department P.O. Box 217 Manhattan 
Beach, California 90267. Cancellation of the card will end all charging privileges. 

Cancellation  of  your  credit  card  will  not  affect  your  obligation  to  pay  any 
amounts that may be due under this Agreement. 

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

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

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

YOUR BILLING RIGHTS: Keep this Notice for future use.

Your Rights if You are Dissatisfied with Your Credit Card Purchases:

This notice contains important information 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 a mistake on your periodic statement, you must write to 
us at: 

Kinecta Federal Credit Union 
P.O. Box 3038, Evansville, Indiana 47730

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

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

•	 Account	Information:	Your name and Account Number

•	 Dollar	Amount:	The dollar amount of the suspected error

If you are dissatisfied with the good and services that you have purchased with 
your credit card, and have tried in good faith to correct the problem with the 
merchant, you may have the right not to pay the remaining amount due on the 
purchase. 

To use this right, all of the following must be true: 

1.  The purchase must have been made in your home state or, if not within 
your home state or within 100 miles of your current mailing address, and 
the purchase price must have been more than $50. (Note: Neither of these 
are necessary if your purchase was based on an advertisement we mailed 
you, or if we own the company that sold you the goods and services.)

2.  You  must  have  used  the  credit  card  for  the  purchase.  Purchases  made 
with cash advances from an ATM or with a check that accesses your credit 
card account do not qualify. 

•	 Description	of	the	problem:	Describe the error and explain if you can, why 

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

you believe there is a mistake

You must contact us:

If all the criteria above are met and you are still dissatisfied with the purchase, 
you must contact us in writing or electronically at: 

•	 Within sixty (60) days after the error appeared on your statement. You can 

telephone us, but doing so will not preserve your rights.

Kinecta Federal Credit Union 
P.O. Box 3038, Evansville, Indiana 47730

•	 At least three (3) business days before an automatic payment is scheduled, 
if you want to stop payment on the amount you think is wrong. You must 
notify us of any potential errors in writing [or electronically]. You may call 
us, but if you do we are not required to investigate any potential errors 
and you may have to pay the amount in question. 

What Will Happen After We Receive Your Letter

When we receive your letter, we must do two things:

1.  Within thirty (30) days of receiving your letter, we must tell you that we 
received your letter. We will also tell you if we have already corrected the 
error. 

2.  Within ninety (90) days of receiving your letter, we must either correct the 

error or explain to you why we believe the bill is correct. 

While we investigate whether or not there has been an error:

•	 We  cannot  try  to  collect  the  amount  in  question,  or  report  you  as 

delinquent on that amount.

•	 The  charge  in  questions  may  remain  on  your  statement,  and  we  may 

continue to charge you interest on that amount. 

•	 While you do not have to pay the amount in question, you are responsible 

for the remainder of your balance.

•	 We can apply any unpaid amount against your credit limit. 

After we finish our investigation, one of two things will happen:

If	we	made	a	mistake: You will not have to pay the amount in question or any 
interest or other fees related to that amount. 

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

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

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

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

Reward Programs: Kinecta offers Dream Points Rewards.    

The terms and conditions of the Dream Points program will be provided to you 
in a separate disclosure.  .  

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

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

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

PHONE NUMBERS
800.854.9846	•	310.643.5416

WEBSITE
www.kinecta.org 

05/01/11

M-102985

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

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

Interest Rates and Interest Charges

Annual Percentage Rate 
(APR) for Purchases and 
Balance Transfers 

APR for Cash Advance

Default APR and When it 
Applies

Variable Rate Information

Paying Interest

Standard Variable APR:

12.99% to 18.00% APR*

The APR you receive is determined based on your 
credit worthiness

Standard Variable APR is 14.99% to 18.00% APR*.  
The APR you receive is determined based on your 
credit worthiness

Default Variable APR is 18.00% for all purchase, 
balance transfer, and cash advance balances.*
Refer to Default Section
How Long Will the Default APR Apply? After 
the account has been brought current and remained 
current for six months, the account will revert to your 
standard qualifying APR

Your APRs for purchases, balance transfers, and cash 
advances may increase monthly.  For each month, we 
determine the APR by adding a margin to the U.S. 
Prime Rate published in the Wall Street Journal the 
15th day of each month preceding the start date of 
each current billing cycle (Refer to Interest Rates 
and Interest Charges section.)
The margin for determining the Standard Variable 
APR for purchases and balance transfers is 9.74% 
to 18.00%.
Cash Advance: The margin for determining the 
Standard Variable APR for Cash Advances is 11.74% 
to 18.00%.
Default: The margin for the default APR is 18.00%

Your due date is at least 25 days after the close of 
each billing cycle.  We will not charge you interest on 
purchases if you pay your entire balance by the due 
date each month.  We will begin charging interest 
on cash advances and balance transfers on the 
transaction date

Minimum Interest Charge

If you are charged interest, the charge will be no less 
than $1.00

Fees

Annual Fee

Transaction

None

•	 Balance Transfer

•	 Foreign Transaction Fee

•	 Balance Transfer Fee

3% of the amount of the transfer but not less than 
$10.00
3% of the amount of the transfer but not less than 
$10.00
A 1% international transaction fee will be assessed 
on all transactions where the merchant country 
differs from the country of the card issuer

Penalty Fees

•	 Late Payment

Up to $19.00

•	 Returned Payment Fee

Up to $19.00

Other Fees

•	 Document Copy Fee

•	 Rush Card Fee

$12.00 for each sales draft but one copy per year 
is free
$25.00 to rush each requested replacement card

Billing Rights: Information on your rights to dispute transactions and how to 
exercise those rights is provided in the “Billing Rights” section of this agreement
*Based on the U.S. prime Rate of 3.25% as of April 15, 2011.  The maximum APR of 18% as 
currently permitted by Federal Credit Unions applies to this credit card

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

In this Agreement, the words “you” and “your” mean any person (if more than one 
person, individually and jointly) who is responsible for the Card, but not limited 
to,  any  joint  obligor,  guarantor,  authorized  user  or  the  person  whose  name  is 
embossed  on  the  card(s). “We,” “us,” “our,”  and “Credit  Union”  refer  to  Kinecta 
Federal  Credit  Union  or  anyone  to  whom  the  Credit  Union  transfers  its  rights 
under this Agreement. By requesting and receiving, signing, using, or permitting 
others to use the card issued to you by the Credit Union, you agree to be bound 
by the terms and conditions as set forth herein and any amendments thereto.

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

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

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

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

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

Monthly  periodic  interest  charge,  monthly  periodic  rate,  and  APR  for  cash 
advances, balance transfers, and purchases: The monthly periodic rate used in 
calculating  the  monthly  periodic  interest  charge  for  cash  advances,  balance 
transfers,  and  purchases  is  based  upon  the “Prime  Rate”  as  published  in  the 
“Money Rates” section of the print edition of the Wall Street Journal (“Index”). 

Your  APR  for  cash  advances,  balance  transfers,  and  purchases  is  determined 
by  adding  a “Margin”  to  the  Index  in  effect  as  of  the  15th  day  of  each  month 
preceding the start date of each current billing cycle.

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

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

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

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

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

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

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

How  the  balance  transfer  balance,  consisting  of  transactions  related  to 
cash and other balance transfer transactions upon which periodic interest 

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

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

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

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

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

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

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

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

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

Using the Card: To make a purchase or obtain an advance, you may present the 
card or card number to a participating MasterCard plan merchant, to us, or to 
another financial institution, and sign or authorize a sales or cash advance draft, 

or you may complete a transaction by using your PIN in conjunction with the 
Card at an ATM or other type of electronic terminal that provides access to the 
MasterCard system.

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

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

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

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

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

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

Domestic: 877.881.6023  
International: 812.647.9790

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

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

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

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

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

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

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

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

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

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

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

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

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

Payments by Automatic Transfer: By separate agreement, you may authorize 
us to automatically transfer the minimum payment due from your Credit Union 
share  or  checking  account.    If  you  request  payment  by  automatic  transfer, 
you  understand  and  agree  that  no  payment  can  or  will  be  made  if  there  are 
insufficient  or  uncollected  funds  in  the  designated  account  to  make  the 
scheduled loan payment.  Should this event occur, you understand and agree 
that you will not be released from making the payment.  Any automatic transfer 
you  have  requested  will  remain  in  effect  until  you  cancel  it  in  writing  or  the 
account  balance  is  paid  in  full.   We  may  cancel  this  service  at  our  discretion.  
If  you  have  authorized  us  to  automatically  transfer  the  minimum  payment 
due  from  your  share  or  checking  account,  you  may  request,  in  writing,  that 
the  payment  be  stopped. To  stop  the  payment,  your  letter  must  be  received 
by  Kinecta  Federal  Credit  Union,  Card  Services  Department,  P.O.  Box  217, 
Manhattan Beach 90267, at least three (3) business days before the automatic 
payment is scheduled to occur.

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

Acceleration and Collection Costs: If you are in default, you understand and 

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

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

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

Unauthorized Use: You may be liable for the unauthorized use of the Card and/
or the Account.  You will not be liable for unauthorized use that occurs after you 
provide  immediate  notification  by  calling  888.829.6434,  or  when  we  receive 
notice in writing at P.O. Box 3038, Evansville, Indiana 47730, of the loss, theft, or 
possible unauthorized use.  In any case, your liability for unauthorized use will 
not exceed $50.  Your liability may be lower in cases of MasterCard Credit Card 
fraud in accordance with current MasterCard, Inc. operating regulations.

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

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

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

Foreign  Currency  Transactions:  MasterCard  will  convert  purchases,  cash 
advances,  and  credits  effected  a  transaction  at  a  merchant  that  settles  in  a 
currency  other  than  U.S.  dollars  into  a  U.S.  dollar  amount.  A  fee  of  1.00%  will