CREDIT CARD AGREEMENT AND DISCLOSURES 

THIS IS YOUR AGREEMENT AND DISCLOSURE STATEMENT WITH LAKE MICHIGAN CREDIT UNION.  PLEASE READ 
IT CAREFULLY AND KEEP IT FOR YOUR RECORDS.  IT SUPERSEDES ALL PRIOR AGREEMENTS AND DISCLOSURE 
STATEMENTS RELATING TO YOUR ACCOUNT.  YOU DO NOT HAVE TO SIGN THIS AGREEMENT.  YOUR 
AGREEMENT TO ALL OF THESE PROVISIONS, AS AMENDED FROM TIME TO TIME INCLUDING THE CARD ISSUED 
BY US, WILL BE SHOWN BY YOUR APPLICATION FOR THE CARD, YOUR ACCEPTANCE OF THE CARD, OR YOUR 
USE OF THE CARD, WHICHEVER OCCURS FIRST. 

1. Definitions Used to Understand Your Agreement with Us: In this Agreement, the word "Card" means either one or more 
VISA/MasterCard credit cards and any duplicates, renewals or substitutions we issue.  The words, "you," "your," and "yours" 
mean all cardholders (borrowers and co-borrowers); anyone any cardholder permits to use the Card(s); as well as any 
authorized user for whom an additional Card(s) is issued to the extent of their purchases and cash advances, as well as 
transactions by anyone they permit to use the Card(s).  The word "cardholder" means any applicant or co-applicant to whom 
a Card is issued by us.  The words "Credit Union," "we," "us," and "our" mean Lake Michigan Credit Union.  The words 
"Convenience Checks" mean one or more checks that we may send to you to access your Credit Card Account. 

2. Your Pledge of Shares and Security Interest for Your Loan Advances:  

BY SIGNING AN APPLICATION, ACCEPTANCE OR AUTHORIZED USE OF ANY CREDIT CARDS, YOU GRANT AND 
PLEDGE A CONSENSUAL LIEN TO US ON ALL SHARES TO SECURE PAYMENT OF YOUR OBLIGATIONS ON THIS 
ACCOUNT.  IN ADDITION, YOU ACKNOWLEDGE OUR STATUTORY LIEN RIGHTS UNDER THE FEDERAL CREDIT 
UNION ACT; YOU AGREE THAT SUCH A LIEN IS IMPRESSED AS OF THE DATE THAT THIS ACCOUNT IS OPENED; 
AND YOU AGREE THAT WE CAN APPLY THE SHARES PLEDGED AT THE TIME OF ANY DEFAULT ON THIS 
ACCOUNT WITHOUT FURTHER NOTICE. “Shares” for the purpose of your pledge to secure your obligations to the 
Credit Union means all deposits in any share savings, share draft, club, certificate, P.O.D., revocable trust or 
custodial account(s), whether jointly or individually held -- regardless of contributions, that you have on deposit now 
or in the future.  Your pledge does not include any I.R.A., Keogh, tax escrow, irrevocable trust or fiduciary account in 
which you do not have a vested ownership interest. 

SECURITY AGREEMENT:  “Non-Purchase-Money Security Interests” Payments on your Account are secured by any security 
interest in any property securing your other obligations to the Credit Union, whether existing now or in the future, except your 
household goods and your primary residence. “Purchase-Money Security Interests” You hereby grant Credit Union security 
interest in all property purchased/acquired by you or any authorized user pursuant to the use of this Account, including a 
purchase-money security interest in any household goods purchased/acquired with an extension of credit upon this Account.  
 These Purchase-Money Security Interests shall secure faithful performance of all obligations arising under this Agreement; 
and the Credit Union shall have all of the rights of a secured party in accordance with Article Nine of the Uniform Commercial 
Code and/or other applicable law. 

3. How to Use this Account: You must sign the Card in order to use it. You can purchase or lease goods and services 
("Purchases") from any merchant who honors your Card up to your maximum credit limit by presenting your Card and signing 
a sales slip or writing a Convenience Check for the amount of the Purchase. You may also use the Card to obtain cash loans 
("Cash Advances") up to your maximum credit limit from financial institutions that accept the VISA/MasterCard credit card, 
and by use of preprinted Convenience Checks that the Credit Union may issue to you. You agree not to present your Card, 
obtain a Cash Advance or write a Convenience Check for any extension of credit in excess of your available Credit Limit (the 
difference between your outstanding balance and your maximum credit limit) on your account. Certain purchases and cash 
advances require authorization prior to completion of the transaction.  In some cases, you may be asked to provide 
identification.  If our system is not working, we may not be able to authorize a transaction, even though you have sufficient 
credit available.  Also, for security reasons, we may block the use of your Card in certain countries or geographic areas.  We 
will have no liability to you or others if any of these events occur. 

You authorize us to honor any Purchase or Cash Advance you make by telephone or mail on this account.  You agree that a 
signature is not necessary as identification in such cases.  We reserve the right to refuse to honor any request for credit, to 
reduce your credit limit or terminate your account at any time using our sole discretion, based on changes in the economy, 
the Credit Union's financial condition, your creditworthiness or for any other reason not prohibited by law. 

4. ATM Access:  If you have received a personal identification number (PIN), you may use your Card and PIN to obtain Cash 
Advances at any Automatic Teller Machine ("ATM") that accepts your Card.  Your PIN is confidential and should not be 
disclosed to anyone.  You agree not to write your PIN on your Card, you will not keep your Card and PIN together, and you 
will not provide your PIN to anyone who is not an authorized user.  Except as otherwise provided in this agreement, advances 

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through ATM access will be treated as Cash Advances under this Agreement.  Advances at authorized ATM's are limited to a 
total of $1,000.00 during any 24-hour period.  The total of all cash advances on your VISA/MasterCard Account and any 
withdrawals from your other accounts through an ATM in any 24-hour period may be combined for the purpose of this 
limitation.  Although we do not charge a fee for this service, others may. Owners of ATMs that we do not own may charge 
fees in addition to any fees disclosed in this Agreement.   This is not a fee charged by your Credit Union; however, 
any such fee will be added to your account. The party charging the fee is required to provide appropriate disclosures 
to you with regard to any such fees. 

5. Your Maximum Credit Limit: Your Maximum Credit Limit will appear on the folder in which you receive your Card and on 
your monthly statement. At our discretion, we may change your credit limit at any time, and may provide separate limits for 
purchases and for cash advances.  We will notify you if we do, either by mail or through your monthly billing statement. You 
may request a change to your credit limit by contacting the Credit Union by telephone or mail.  Your continued use of the card 
will show your agreement to any such increase.  If you object to an increase in your credit limit, you must notify Credit Union 
in writing.  Upon receipt of such notice, your credit limit will be reduced to its prior limit or the limit requested; however, you will 
be responsible to pay any amounts by which you have exceeded the reduced limit.  You agree to pay any amounts you owe 
that exceed your maximum credit balance upon demand. You agree we are not obligated to extend to you credit for any 
amount that would cause your outstanding balance to exceed your Maximum Credit Limit, or for any amount if your 
outstanding balance already exceeds your Maximum Credit Limit. Any increase in your Maximum Credit Limit requested by 
you will require you to make a written application for our approval. In assessing your credit limit under the provisions in this 
Section (either at our discretion or upon request): (a) we may and you authorize us to review your credit history, including 
consumer credit reports; (b) you authorize us to have this review made by third parties to determine whether you meet the 
criteria we have set for such an increase; and (c) this process shall not be pre-screening under the Fair Credit Reporting Act 
or other applicable laws or regulations based on our existing relationship and this Agreement. 

Credit balances in excess of $1.00 will be refunded to you three months after collection as provided herein by a credit 
deposited to your credit union account or by mailing a check to the address to which statements are provided payable to the 
order of any cardholder.  You agree that the Maximum Credit Limit will at no time exceed the agreed upon amount, and that 
any credit balance will not be available or increase the Maximum Credit Limit available for new purchases or cash advances 
during any billing cycle. 

6. Limits for ATM and Over-the-Counter Cash Advances can be determined by contacting the Credit Union’s VISA / 
MasterCard Department as set forth at the end of this Agreement.  

7. General Terms Governing Your Payments: You will be jointly and severally liable and agree to pay the Credit Union for 
all charges  (purchases, cash advances, finance charges, and other charges added to your Account under the terms of this or 
any other agreements with us) extended to you or anyone else using any Card issued for your account, unless the use of 
such Card is by a person other than you, who does not have actual, implied or apparent authority for such use and from which 
you receive no benefit.  Authority includes, but is not limited to, any authorized users permitting another person to use any 
Card(s).  Further, all user’s are obligated to us for all charges they make, authorize or permit. The Credit Union can accept 
late or partial payments as well as payments that are marked with "paid in full" or other restrictive endorsements, without 
losing any of our rights under this Agreement. You must pay the Credit Union in U.S. dollars drawn on funds on deposit in the 
United States.  If you make payment with other currencies or from an institution domiciled outside the United States, then 
your payment will not be credited until the funds have been collected by us in U.S. dollars.  The Credit Union will determine 
the method of applying payments and credits to your account, which will in all respect comply with any specific requirements 
of applicable laws.   

Unless otherwise required by specifically applicable laws, for  payments received by mail by 5:00 PM EST, you will receive 
credit that day; and for payments made in any other manner, including in person, your account will be credited the business 
day payment is received. 

To protect you and us, the Credit Union, in its sole discretion, may place a temporary freeze on all or part of the 
credit available to you for new purchases or cash advances under this agreement any time the Credit Union receives 
a large payment ($1,000.00 or more), by a method other than cash, certified funds or electronic transfer.  In such 
cases, the Credit Union may freeze your credit line until payment is actually collected by us. 

8. Minimum Payment Due:  You can pay off your account balance in full each month or you can pay in monthly installments. 
 If you do not pay your balance in full, you agree to pay at least a minimum payment of 3% of your New Balance (rounded to 
the nearest whole dollar) or $20.00, whichever is greater at the end of each statement period.   If the New Balance shown on 
your periodic statement is $20.00 or less, you agree to pay this amount.  Unless the Credit Union takes other action as a 
result of a default under this Agreement, the Minimum Payment Due will also include any amount that is past due and any 
amount by which your new balance exceeds your credit limit.  Payments and credits will be applied first to pay billed but 
unpaid finance charges; annual fee (if applicable); late charges, and other fees or charges provided for herein; and next to 
unpaid cash advances; and then to your unpaid purchase balance.  You must pay at least the minimum payment each month, 
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Terms are accurate as of 2/28/2014 

 
 
 
 
 
 
 
but you may pay more than that amount at any time without a penalty.  The sooner you pay your new balance, the less you 
will have to pay in finance charges. The "Payment Due Date" will be shown on your periodic statement. 
Grace Period For Repayment Of The Balance For Purchases: Grace period for repayment of the balance for purchases 
will be at a minimum 25 days from the close of the billing cycle. See your statement for billing cycle date. 

9. Returns and Adjustments Regarding Your Transaction with Merchants: 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 slip 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 $1.00 or more, it will be refunded upon your written request or 
automatically after three months. 

10. Additional Charges for Transactions in a Foreign Currency and “Cross-Border” Transactions. Currency 
Conversion Fee: If you effect or authorize a transaction with your access device in a currency other than US Dollars, VISA / 
MasterCard will convert the charge into a US Dollar amount. The VISA / MasterCard currency conversion procedure includes 
use of either a government mandated exchange rate, or a wholesale exchange rate selected by VISA / MasterCard, as 
applicable. The exchange rate VISA / MasterCard uses will be a rate in effect on the day the transaction is processed. This 
rate may differ from the rate in effect on the date of the purchase or the date the transaction was posted to your account. A 
Currency Conversion Fee of up to 2% will be applied to transactions that are converted from foreign currencies to U.S. 
dollars. Cross-Border Transaction Fee: In addition, VISA / MasterCard charges us a Cross-Border Assessment up to 1% on 
each transaction on all cross border transactions regardless of whether there is a currency conversion. For purposes of this 
Section, “cross-border transaction” shall include both (a) transactions initiated in a foreign country which are subsequently 
settled in the United States, and (b) transactions initiated in the United States but which are ultimately settled in a country 
outside of the United States. The Credit Union will assess these fees to you to reimburse it for the fee it is required to pay for 
each of your transactions subject to these terms. The Cross-Border transaction fee will be shown separately on your periodic 
billing statement. The Currency Conversion Fee, if it applies to the transaction, will be included in the transaction amount 
posted on your statement. 

11. Finance Charges: WILL BE IMPOSED IN THE FOLLOWING MANNER AND WILL BE IN AMOUNTS NOT IN EXCESS 
OF THOSE PERMITTED BY LAW:  The ANNUAL PERCENTAGE RATE (APR) will be calculated by adding a margin to the 
Prime Rate as published in the “Money Rates” section of the Wall Street Journal on the 1st day of each month.  The credit 
card rates will be changed for your Visa/MasterCard loan on the 1st day of the month following the rate change, and reflect on 
the following month’s statement according to the index.  Each Credit Card product is set based on a specific margin as 
defined in the addendum.   

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

(b) CASH ADVANCES: (1) Finance charges accrue on all cash advance amounts from the date charged to your 
Account and continue so long as such amounts remain outstanding. (2) A finance charge will be imposed on the average 
daily balance of cash advances, which is the sum of the cash advances (determined by including new cash advances and 
deducting any payments or credits and excluding any unpaid finance charge) outstanding each day during the billing cycle, 
divided by the number of days in the billing cycle. A cash advance appearing on the periodic statement is considered a part of 
the outstanding balance from the date of posting. (3) The amount of finance charge is calculated by multiplying the average 
daily balance for cash advances by the monthly periodic rate. 

12. “Promotional Rate” Finance Charges:  From time to time and in our sole discretion we may offer a special rate 
applicable to certain transactions such as particular purchases (as defined by us), balance transfers, cash advances or 
purchases made by using Convenience Checks.  Applicable terms and conditions will be disclosed at the time any such 
promotion is offered, and are incorporated into this Agreement by reference.  The promotional rate will apply only to the 
transactions and for the period of time set forth in any such offer from us.  Existing balances and new purchases or advances 
not expressly subject to any such promotion will remain governed by the terms and conditions of this Agreement.  In addition, 
the terms and conditions of this Agreement will govern your obligations regarding any unpaid balance or transactions that are 
made subject to any such promotional offer, that are not fully paid within the time period set forth in such promotional offer. 

Terms are accurate as of 2/28/2014 

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13. Interest Rate Adjustment (Default Rate) The Credit Union will adjust the interest rate on your account whenever your 
account is 60 days past due.  We will change your interest rate to a fixed rate of 18% ANNUAL PERCENTAGE RATE which 
is a monthly periodic rate of 1.50%, on the first day of the billing cycle following the cycle that was 60 days past due.  After six 
(6) consecutive billing cycles of your account being paid pursuant to the terms of your agreements with the Credit Union, we 
will change the interest rate to the rate that is then applicable to your account, which will become effective on the first day of 
the billing cycle following the sixth consecutive billing cycle. 

14. Monthly Statement.  We will send you a monthly billing statement whenever there is activity on your account.  Your 
monthly statement will show an itemized list of current charges (Purchases and Cash Advances) and Convenience Check 
transactions to your account, your new balance, any Finance Charges, the minimum payment due, and the payment due 
date.  In addition, it will show your current credit limit, payments, and credits, a summary showing your Purchases and Cash 
Advances, the merchant, electronic terminal or financial institution at which transactions were made, as well as other 
information concerning your account.  Sales, Cash Advance, credit or other slips cannot be returned with any statement.  You 
will retain a copy of such slip furnished at the time of the transaction in order to verify your monthly statement. E-Statements: 
If provided electronically, you will be sent a notice via e-mail that will direct you to a site we maintain or cause to be 
maintained where you may access, review, print and otherwise copy / download your periodic statements using procedures 
that we authorize. E-mails from us will be sent to the e-mail address provided by any owner.  

15. Additional Benefits/Card Enhancements: The Credit Union may from time to time offer additional services to your 
Account, such as travel accident insurance, purchase rewards or rebates at no additional cost to you.  You understand that 
the Credit Union is not obligated to continue or to offer such services and may withdraw or change them at any time. If these 
benefits are withdrawn prior to any accrued use by you, the Credit Union will have no obligation to provide the benefit or 
enhancement, or any other compensation or consideration.  

16. Merchant Disputes:  The Credit Union is not responsible for the refusal of my merchant or financial institution to honor 
your Card except as set forth in the Special Rules for Credit Card Purchases set forth at the end of this Agreement.   

17. Skip Payment Option: At our option, we may offer you the opportunity to not make (“skip”) a minimum payment during 
certain designated billing cycles (“skip payment period”).  If you do not make your minimum payments as provided in this 
Agreement, during such designated billing cycles, you understand that we will continue to apply finance charges to your 
account.  Beginning with the billing cycle following an allowed skip payment period, all other provisions of this Agreement will 
apply.  We have no obligation to accept your application for any skip payment period offered, and you authorize us to 
investigate your creditworthiness including obtaining consumer credit reports.  

18. What Happens When You Exceed Your Credit Limit: If you opt-in pursuant to applicable laws governing over-the-limit 
fees whereby you agree that the Credit Union will charge your account an over the credit limit fee of $25 for each billing 
period in which your new balance exceeds your credit limit unless expressly limited pursuant to applicable laws. This fee may 
be added to your account balance, or collected from you on demand. You agree that over-limit charges are imposed only in 
the case of a breach of this Agreement, and that such activity constitutes an event of default under the terms and conditions 
of this agreement; and that such a charge is not anticipated by any party to this Agreement to constitute a part of any Finance 
Charge, Monthly Periodic Rate or APR.  

19. Late Payment Fee. If your minimum payment is not received within ten (10) days of your payment due date, the Credit 
Union will charge your account a late payment fee of $15.00 if your balance is below $1,000 or $25 if your balance is $1,000 
or greater.   

20. Returned Payment or Insufficient Funds Fee. Credit Union will charge your account a $25.00 fee if your payment by 
any method, including check, electronic transfer, home banking transaction or otherwise, is not honored, collected by us, or if 
we must return it to you because it cannot be processed for any reason.  This fee will be added to your account balance. 

21. Charge for Statement Copies, Research and Card Replacement:  Credit Union will charge a fee of $2.50 per monthly 
statement copy requested.  However, no charge will be imposed in connection with any actual or asserted billing error.  We 
will charge a $5.00 fee to replace a lost card. 

22. Cash Advance Fee.  Credit Union will charge a cash advance fee (Finance Charge) equal to 3.00% of each such 
advance.   

23. Convenience Checks.  Any individual cardholder or authorized user can use your Convenience Checks to purchase 
goods and services or to obtain cash up to the amount of your available credit limit unless that amount will cause you to 
exceed your credit limit.  Credit Union will treat Convenience Checks as Cash Advances and will charge them against your 
credit limit.  Credit Union may decline to honor a Convenience Check if you are over your credit limit, you are in default, your 
account privileges have been cancelled, your Card has expired, or your account is not activated.  If we decline to honor a 

Terms are accurate as of 2/28/2014 

Page 4 of 11 

 
 
 
 
 
 
 
 
 
 
Convenience check, Credit Union will charge you a fee of up to $25.00, which the Credit Union will add to your account 
balance.  Convenience checks may be used only by the person whose name is printed on them.  You may not use 
Convenience Checks to pay any amount which you owe the Credit Union under this or any other credit agreement with the 
Credit Union.  Credit Union will not certify any Convenience Checks, nor will the Credit Union return paid Convenience 
Checks to you.  It is in the Credit Union’s sole discretion to issue Convenience Checks to any member.  STOPPING 
PAYMENT OF A CONVENIENCE CHECK.  You may ask us to stop payment of a convenience check by calling us at (800) 
654-7728.  Your stop payment request will only be effective for 14 days from the date of your call unless within that 14 days 
you confirm it in writing, signed by you, describing with certainty the convenience check to be stopped and sent to us at 
LMCU PO Box 2848 Grand Rapids MI 49501.  Even if you do that, we may disregard your stop payment request starting six 
months after we receive it unless you renew that request in writing to us before the end of that six month period.  We will use 
commercially reasonable efforts to stop payment on our convenience check.  However, you agree that convenience checks 
are credit transactions; and that we will not be responsible in any way if the convenience check that you have requested us to 
stop payment on is cashed or otherwise presented for payment and, using commercially reasonable efforts, we are unable to 
stop payment.  You agree that the UCC does not apply to a convenience check. 

24. Your Responsibility and Liability for Unauthorized Use and Lost or Stolen Cards or Convenience Checks:  If your 
Card or Convenience Checks are lost or stolen, or if you are afraid someone used or may use them without your permission, 
you must notify the Credit Union at once by calling 1-800-449-7728.  If notice is given orally, you will promptly confirm it in 
writing.  The Credit Union may require you to provide us certain information in writing to help us investigate any unauthorized 
use.  Further, you agree to cooperate and assist us or any government or law enforcement agent or agency in investigating, 
collecting or pursuing any other rights (civil and criminal) relating to any unauthorized use.  In this regard, you agree to file an 
appropriate police report when asked to do so.  Do not use the Card or the Convenience Checks after you have notified the 
Credit Union, even if you find them or have them returned to you.   

You are liable for all transactions that you authorize.  No Liability: You will have no liability for unauthorized use of your Card, 
Convenience Checks or other Access Devices for non-ATM transactions made over the VISA/MasterCard Network if the 
following conditions are met: (1) You have not been grossly negligent; and (2) You have not committed, participated in or 
conspired to commit any fraudulent act or scheme involving the use of your VISA/MasterCard credit card account.   Limited 
Liability:  For transactions on other networks or ATM transactions, you may be liable for unauthorized transactions using your 
Card, Convenience Checks or other Access Devices that occur before we are notified.  However, your liability for 
unauthorized use on networks other than VISA/MasterCard will not exceed $50.00.  In any case, you will not be liable for any 
unauthorized use after notifying us of the loss, theft or unauthorized use of your Card, Convenience Checks or other Access 
Devices. 

25. Our Liability for Failure to Complete Transactions: If we do not complete a transaction pursuant to any request, and/or 
in the correct amount, we may be liable for your losses or damages. However, there are some exceptions. We will not be 
liable, for instance:  

• 
• 

• 
• 
• 
• 
• 

• 
• 

if through no fault of ours, you do not have adequate funds available on your Card to complete the transfer;  
if circumstances beyond our control (such as fire, flood, terrorist attack, national emergency, or computer or 
communication failure) prevent the completion of the transaction, despite reasonable precautions we have taken;  
if access to your Card has been blocked after you reported your Card lost or stolen;  
if there is a hold on your Card for any reason;  
if your funds are subject to legal process or other encumbrance restricting their use;  
if your transfer authorization terminates by operation of law;  
if a computer system or mobile device was not working properly and you knew about the problem when you initiated 
the transaction;  
if we have reason to believe that the requested transaction is not authorized; or  
as otherwise provided in this Agreement.  

26. What the Credit Union may do if You do not meet You Obligations under this Agreement (“Default”):  You will be in 
default if: (a) you fail to pay the Minimum Payment Due by the Payment Due Date; (b) the Credit Union, in its sole discretion, 
feels insecure (For example:  Our good faith belief that your ability to pay your account is impaired; use of your account in any 
manner or in any way that may expose the Credit Union to a risk of loss; etc.); (c) your ability to repay is materially reduced by 
a change in your employment, by an increase in your obligations, by bankruptcy or insolvency proceedings involving you, by 
your death, or (for community property state residents only) by a change in marital status or domicile; (d) you exceed your 
credit limit without our permission; (e) you have made a false or misleading statement to us in your application or otherwise; 
(f) you are in default under any other agreement with us; (g) if you use or authorize the use of any Card(s) to make or facilitate 
any illegal transaction; or (h) you fail to perform any of your other obligations under the terms of this Agreement as it may be 
amended from time to time.  Upon default we may close your Account to future purchases and advances and, to the extent 
not prohibited by Governing Law, demand immediate payment of your entire Account balance, after giving you any notice and 
opportunity to cure the default if required by applicable law.  The Credit Union's sole obligation hereunder with regard to 

Terms are accurate as of 2/28/2014 

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determining and declaring an event of default is the exercise of "good faith," based on its subjective understanding of 
applicable facts. We shall also have the right to close your account and terminate access privileges where your account is 
inactive for such periods of time as we may from time-to-time determine to be appropriate for protecting both our and your 
interests.   

27. When You may be Responsible for Legal and Other Costs:  You agree to pay all costs incurred by the Credit Union in 
collecting any amounts you owe or in enforcing or protecting the Credit Union's rights under this Agreement, including 
attorneys' fees, and also those costs, expenses and attorneys' fees incurred in any appellate, bankruptcy and post-judgment 
proceedings, except as limited or prohibited by applicable law. 

28. Updating and Disclosing Financial Information: We may report your performance under this Agreement to credit 
reporting agencies and secure follow-up credit reports on you for any legitimate business reason, including if you fail to make 
your minimum payments on time.  We can reinvestigate and reevaluate any information you provide on your 
VISA/MasterCard Application at any time, and in the course of doing so, we may ask you to provide additional information, 
request credit bureau reports and/or otherwise verify your current credit standing. Access to Account Information: You agree 
that all borrowers and authorized users will have access to information regarding transactions on your account, including but 
not limited to purchases and cash advances, account balances, account history, payments and other information relating to or 
arising with regard to this account or any transaction.  

29. Change of Name, Address or Employment. You will notify immediately the Credit Union in writing if your name, home 
address, or employment changes. 

30. Correcting the Credit Union's Credit Report: If you think the Credit Union reported erroneous information about you to 
a credit reporting agency, call the Credit Union at the telephone number listed on your monthly billing statement.  Credit Union 
will promptly investigate the matter. Credit Union will contact each credit reporting agency whose records may reflect an error. 
 Credit Union will require them to correct your report if its investigation decides that you were correct.  If Credit Union 
disagrees with you after the investigation, Credit Union will advise you, in writing or by phone, and instruct you how to submit 
to those agencies a statement of your position that will become a part of your credit record with them.  The instructions will 
include the name, address, and phone number of each such agency, along with other pertinent information. 

31. When Your Account may be Closed and Effects of Account Closing:  Any individual cardholder without the consent of 
other cardholders may close your Account at any time by notifying us in writing as indicated in this Agreement.  Credit Union 
may close your account or suspend your Card privileges or Convenience Checks at any time without prior notice.  Credit 
Union may also reissue a different Card or different checks at any time.  You must return the Card or the Convenience 
Checks to the Credit Union upon request.  You agree that the Card and all Convenience Checks remain the property of Credit 
Union.  Each Card we issue will have an expiration date.  Upon expiration of your Card your account will automatically 
terminate; or the Credit Union, in its sole discretion, may extend your Agreement and issue a new card with a new expiration 
date.  If your account is closed, expires or your credit privileges are terminated or suspended, you will remain responsible for 
paying all amounts you owe us according to the terms of this Agreement. Without limiting the foregoing, the Credit Union has 
the right to terminate your line of credit or any part of the services provided pursuant to this Agreement and to demand the 
return of all cards, access checks and other access devices if the Credit Union, in its sole discretion, feels that it is insecure 
for any reason whatsoever; including but not limited to mismanagement of your account, failing to safeguard any access 
device, creation of any credit balances by you that may increase the risk of loss or exposure of the Credit Union or failing to 
cooperate with the Credit Union or others with regard to any claim of unauthorized use or any other defense to payment under 
applicable law. 

32. Changing This Agreement:  The Credit Union may change the terms of this Agreement, including the Annual 
Percentage Rate, at any time.  Except where limited by applicable law, the new terms, including, but not limited to, increasing 
the finance charge or the way the Credit Union calculates finance charges, late charges, and the minimum payment due, will 
apply both to new purchases and cash advances and to the existing outstanding balance of your account as of the day of the 
change.  In accordance with applicable law, the Credit Union will notify you of any increased charge or change by writing to 
you at the most recent address shown for you on the Credit Union's records. 

33. The Effect of any Delay in Enforcement or Waiver:  The Credit Union may delay or waive enforcement of any of the 
provisions of this Agreement, including any agreement to make timely payments, without losing its right to enforce the same 
provision later or any other provisions of this Agreement.  You waive the right to receive notice of any waiver or delay or 
presentment, demand, protest or dishonor.  You also waive any applicable statute of limitations to the full extent permitted by 
law and any right you may otherwise have to require the Credit Union to proceed against any person before suing you to 
collect.  You understand that the Credit Union will not be liable for a merchant's or other parties' refusal to honor your Card 
whether due to an error by the Credit Union, the merchant, the Credit Union's authorized agent, or other third party. 

34. Additional Terms of Agreement:  To the extent not prohibited by applicable law, the terms, interpretation and 
enforcement of any claim or dispute arising under this Agreement, as well as all parties’ rights and duties, will be governed by 

Page 6 of 11 

Terms are accurate as of 2/28/2014 

 
 
 
 
 
 
 
 
Michigan State law regardless where you may reside or use your account.  Further, this Agreement is the contract which 
governs all transactions on your Account even though sales, cash advances, credit or other slips may contain different terms.  

You may not transfer or assign your account or Card to any other person. The Credit Union may assign or transfer this 
Account, your Account balance, or this Agreement to another person, who will have all of our rights hereunder. This 
Agreement is binding on your heirs and legal representatives.  If there are joint obligors or authorized users for this credit 
plan, each of you will have the right to use the Account to obtain loans pursuant to the terms hereof. Any one obligor’s 
elections, transactions and directions to the Credit Union shall be binding upon all obligors. Each of you will be liable for all 
obligations owing on the Account whether borrowed by you or otherwise and whether within or beyond the credit limit.  Your 
liability will be joint and several.  Either party has the right to cancel this Agreement. Further each of you is responsible for all 
amounts borrowed by any authorized user(s).  Authorized users and other users may also be required to repay the amount 
owed for charges they make; however, you remain, at all times, primarily responsible for all amounts owed. All Cards, billing 
statements and notices will be mailed or delivered to the address given on the application for either applicant unless you 
direct otherwise in writing. If any law or judicial ruling makes any part, provision, sentence or section of this Agreement 
unenforceable, the remainder will continue in full force and effect.   

You agree that any lawsuit based on a cause of action against us must be filed within one year from the date it 
arises, or you shall be barred from filing any lawsuit.  This limitation includes tort, contract and all other causes of 
action for which you and we may lawfully contract to limit. 

.   

35. Compliance with Applicable Laws and Prohibition of Illegal Transactions: You warrant and agree that you will at all 
times comply with all Applicable Laws; and that your card and services are at all times subject to Applicable Laws. Further, 
you agree and warrant that your Credit Card, other access device or any related account will not be used to make or facilitate 
any illegal transaction(s) as determined by applicable law; and that any such use, including any such authorized use, will 
constitute an event of default under this Agreement.  Certain federal and/or state laws or Card Service Providers’ Rules may 
limit or prohibit certain transactions such as (but not limited to) those coded as possible gambling transactions. The Credit 
Union may decline to accept, process or pay any transaction that we believe to be illegal or unenforceable (regarding your 
obligation to pay us or otherwise) under applicable law; or which is otherwise limited or prohibited, including but not limited to 
any transaction involving or relating to any gambling activity. Such prohibition or limitations may affect some otherwise proper 
or allowable transactions such as charges incurred at a hotel-casino. You understand and agree such limitations/prohibitions 
are not within the Credit Union’s control and that the Credit Union will not have any liability, responsibility or culpability 
whatsoever for any such use by you or any authorized user(s); or for declining to accept, process, or pay any such 
transaction.  You further agree to indemnify and hold the Credit Union harmless from any suits, liability, damages or adverse 
action of any kind that results directly or indirectly from any such use of your account and/or access devices. 

36. CU Rewards.  Additional rules for your CURewards Program have been provided separately:  1) Points expire annually.  
Points earned in calendar year one expire on the last day of calendar year five.  2) Points that are not earned during any 
period in which your account is in default.  3) You will earn 1000 points at the time of your first purchase.  4) For Visa Platinum 
Max Rewards, points will be earned for purchases of gasoline at the rate of three points per $1.00 for the first $500.00 of such 
purchases, and then one point for each subsequent $1.00 spent on gasoline purchases.  Points will be earned for purchases 
of groceries at the rate of two points per $1.00 of such purchases.  Each Point is equal to $0.01 in redeemable value, and are 
redeemable in 5000 point increments.  You may redeem them for cash by calling (800) 242-9790, ext 9915.   

37. Loan Rebate Rewards.  1) Rebates are earned for purchases at the rate of 1%, $.01 per $1 of net purchases.  Net 
purchases, equals the total of all purchases minus any returns posted to your account during a billing period.  Rebates are 
calculated and added to your account on the last day of each billing period.  Rebates are not earned for finance charges, 
fees, cash advances, balance transfers, convenience checks, foreign currency conversion charges posted to your account. 2) 
Rebates are not earned during any billing period in which your account is in default. 3) Rebates are redeemable in $25 
increments.  Redemptions will be posted as a payment to your LMCU Mortgage, Credit Card, or Consumer Loan.  You may 
redeem your rebates for a loan payment by calling (800) 242-9790, ext. 9915. 4) Rebates expire after five years.  For 
example, rebates earned in calendar year one expire on the last day of calendar year five; rebates earned in calendar year 
two expire on the last day of calendar year six; and so on. 5) Rebates are forfeited immediately upon closure of account. 6) 
LMCU reserves the right to modify or cancel the Loan Rebate Rewards program at any time.    

Terms are accurate as of 2/28/2014 

Page 7 of 11 

 
 
 
 
 
 
 
 
 
 
 
YOUR BILLING RIGHTS STATEMENT 
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 STATEMENT / BILLING AT: 

PSCU 
Post Office Box 31112 
Tampa, FL 33631-3112 

If you think your statement is wrong, or if you need more information about a transaction on your statement, you must write to us on 
a separate sheet of paper to the address listed in your periodic statement. You should write to us as soon as possible. We must 
hear from you no later than 60 days after we sent you the first statement on which the error or problem appeared. You can 
telephone us, but doing so will not preserve your rights. In your letter, you should 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 checking account, you can stop payment on 
any amount you think is wrong. To stop the payment, your letter must reach us 3 business days before the automatic payment is 
scheduled to occur. 

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 any 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 the bill that are not 
in question. 

If we find that we made a mistake on your statement, you will not have to pay the 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 us and the date that it is due. 

If you fail to pay the amount we think you owe us, we may report you as delinquent. However, if our explanation does not satisfy 
you and you write us within 10 days telling us that you still refuse to pay, we must tell anyone we report you to that you have a 
question about your statement. 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 you and 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 the statement was correct. 

SPECIAL RULE FOR CREDIT CARD PURCHASES: 

If you have a problem with the quality of property or services that you 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: 

1. 

2. 

You must have made the purchases in your home state or, if not within your home state, within 100 miles of your 
current mailing address; and  
The purchase 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. 

If you feel that you need Counseling or Debt Management services, please contact Consumer Credit Counseling Service toll free at 
1-800-251-2227 or visit them on the web at www.cccsinc.org. You may also visit www.frbatlanta.org for a list of Counseling and 
Debt Management Services. 

Terms are accurate as of 2/28/2014 

Page 8 of 11 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CONTACT INFORMATION 

Lake Michigan Credit Union VISA/MasterCard Department: 
PO Box 2848 
Grand Rapids, MI 49501-2848 
Toll Free 1-800-242-9790 

To Report a Lost or Stolen Card 
Call:  1-800-449-7728 

To Close the Account: (SEND WRITTEN NOTICE) 
P.O. Box 2848 
Grand Rapids, MI 49501-2848 

Direct All Other Reports, Requests and Inquiries to: 
P.O. Box 31112 
Tampa, FL 33631-3112 
(616) 242-9790 
1-800-654-7728 

Terms are accurate as of 2/28/2014 

Page 9 of 11 

 
 
 
 
ADDENDUM TO YOUR CARDHOLDER AGREEMENT 
Lake Michigan Credit Union 
PO Box 2848, Grand Rapids, MI  49546 - 800.242.9790 

Effective Date: 3/1/2014  

Prime Rate: 3.25 

Interest Rates and Interest Charges 

ANNUAL PERCENTAGE RATE (APR) 

1.  Purchases 

2.  Cash Advances 

3.  Balance Transfers 

Penalty APR and When it Applies 

How to Avoid Paying Interest 

Prime Platinum Visa:  

Variable Rate:  

 6.25 – 14.25% 

Max Rewards Platinum Visa:  

Variable Rate:       10.00 – 17.75% 

Loan Rebate Platinum Visa: 

Variable Rate:              8.25 – 17.25% 

This APR will vary with the market based on the Prime Rate. 

18.00% 

This APR may be applied to your account if your account is 60 days 
past due.    

How Long Will Your Penalty APR Apply?  If your APRs are 
increased for this reason, the Penalty APR will apply until you make 
six consecutive minimum payments when due.   

Your due date is at least 25 days after the close of each billing 
cycle.  We will not charge you any 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 

None. 

For Credit Card Tips from the Consumer 
Financial Protection Bureau 

To learn more about factors to consider when applying for or using 
a credit card, visit the website of the Consumer Financial Protection 
Bureau at https//www.consumerfinance.gov/learnmore 

Fees 

Annual Fee 

Transaction Fees 

1.  Balance Transfer 

2.  Cash Advance 

None. 

None. 

3% of the amount of the cash advance. 

3.  Foreign Transaction 

1% of each transaction in U.S. Dollars 

Terms are accurate as of 2/28/2014 

Page 10 of 11 

 
 
 
 
 
 
 
 
 
 
 
           
 
 
 
 
Penalty Fees 

1.  Late Payment 

Up to $15.00 for unpaid balances up to $1,000.00 
Up to $25.00 for unpaid balances of $1,000.00 and greater 

2.  Over-the-Credit Limit 

3.  Returned Payment 

If you opt in, $25.00. 

Up to $25.00. 

How We Will Calculate Your Balance:  We use a method called “average daily balance (including new purchases).”   
See your account agreement for more details.  

Billing Rights:  Information on your right to dispute transactions and how to exercise those rights is provided in your account 
agreement.   

Lost or Stolen Card Replacement:  First occurrence is $5.00; second occurrence is $10.00; rush card is $30.00. 

Minimum Payment:  Three percent (3%) of the new balance or $20, whichever is greater, plus the amount of balance that 
exceeds the Credit Limit, plus any amounts past due.   

Margin:  
Prime Platinum Visa:  Prime + 6.00% - 13.25% - ceiling 18.00%. 
Max Rewards Platinum Visa:  Prime + 6.75% - 14.50% - ceiling 18.00% 
Loan Rebate Platinum Visa:  Prime + 5.00% - 14.00% - ceiling 18.00% 

Rates shown are variable and subject to change. Your rate may vary based on individual creditworthiness and our underwriting 
standards. 

The information about the costs of the card described in this application is accurate as of the date above.  This 
information may have changed after that date. To find out what may have changed, contact LMCU via the address and 
phone number in the agreement.   

Terms are accurate as of 2/28/2014 

Page 11 of 11