Updated as of 09/12 

APPLIED BANK® CREDIT CARD AGREEMENT 
In this Credit Card Agreement (“Agreement”) “we,” “us,” “our” and “Bank” refers to Applied 
Bank of Wilmington, Delaware. “You,” “your” and “yours” refer to the person or persons who 
are  liable  for  the  Visa®  or  MasterCard®  credit  card  account  (“Account”).  This  Agreement 
includes  the  “Schedule  of  Rates  and  Fees”  and  governs  your  Account.  It  supersedes  and 
replaces any prior agreement you may have with us for this account. This Agreement (or any 
prior  credit  card  agreement  we  provided  to  you)  became  effective  when  your  Account  was 
approved.  If  you  do  not  agree  to  abide  by  the  terms  of  this  Agreement,  you  must  close  your 
Account, in the manner provided in this Agreement, before you attempt to obtain the first Cash 
Advance  or  Purchase  on  your  Account  or  otherwise  use  your  Account.  If  you  close  your 
Account within 30 days of the date it is opened we will issue a credit to your Account for any 
fees or Interest Charges we assess and charges for goods or services provided by our affiliated 
companies. 
THIS  AGREEMENT  CONTAINS  AN  ARBITRATION  PROVISION  THAT  MAY 
SUBSTANTIALLY  LIMIT  OR  AFFECT  YOUR  RIGHTS.  AS  SET  FORTH  IN  THE 
ARBITRATION  PROVISION,  YOU  MAY  EXCLUDE  YOURSELF  FROM  THE 
ARBITRATION  PROVISION  WITHOUT  AFFECTING  YOUR  RIGHT  TO  CREDIT 
OR ANY OTHER TERMS OF THIS AGREEMENT IF YOU PROMPTLY SEND US A 
WRITTEN  NOTICE.  PLEASE  READ  THE  ARBITRATION  PROVISION 
CAREFULLY  AND  KEEP  IT  FOR  YOUR  RECORDS.  THE  ARBITRATION 
PROVISION  SHALL  BE  EFFECTIVE  UNLESS  PROHIBITED  BY  LAW,  RULE  OR 
REGULATION. 

Definitions. Other defined terms used in this Agreement include: 
1. “ATM” means any automated teller machine. 
2. “Authorized User” means anyone you authorize to use the Card (or any other credit 
device we supply to you) or your Account to obtain credit. If you request, and at our discretion, 
we  may  issue  an  additional  Card  in  the  name  of  the  Authorized  User  with  your  Account 
number provided that the Authorized User to whom the card is to be issued accepts joint and 
severable  liability  for  the  account.  You  agree  to  be  obligated  for  all  credit  obtained  by  all 
Authorized Users as if that credit were obtained by you, including credit for which you may not 
have intended to be liable. 

3. “Billing Cycle” means a monthly billing period, which begins on or about the same 

day of each month. 

4. “Card” means the card(s) issued in connection with your Account. 
5. “Cash Advance Check” means Visa Check, MasterCard Check or any other checks, 

drafts or written instruments we supply to you to obtain a Cash Advance on your Account. 

6. “Cash Advance” means credit you or an Authorized User obtain on your Account in 

any of the following ways: 

(a) by drawing a Cash Advance Check on your Account, 
(b) by presenting the Card (or any other credit device we supply to you) to us or 
to any other participating MasterCard or Visa financial institution or other provider, to obtain 
cash or to make a transfer from your Account to any other deposit or loan account or to make 
any other transactions that involve the purchase of items that are readily convertible to cash or 
similar transactions including, but not limited, to money orders, stamps, travelers cheques, bail 

1

 
 
 
 
 
 
 
 
 
 
 
 
 
bonds, tax payments and gaming transactions (it being understood that you will only engage in 
gaming transactions where lawful),  

(c) by using the Card at an ATM or other device available for this purpose, to 
obtain cash or to make a transfer from your Account to any other deposit or loan account you 
have with us, 

(d) by incurring certain fees which may be billed as a Cash Advance for billing 
purposes such as the Account Origination Fee, Cash Advance Fee Interest Charge, Credit Limit 
Increase Fee, Upgrade Fee and any other fee defined in this Agreement or otherwise disclosed 
to you as a Cash Advance. 

7. “Closing Date” means the last day of any Billing Cycle. 
8. “Credit Limit” means the maximum amount of credit we have approved for you on 

your Account.  

9. “Deposit” means the deposit account that you may maintain with us at any time in 
connection  with  your  Account.  The  Deposit  is  subject  to  our  regular  Deposit  Account  Rules 
and Regulations (the “Rules”) which are in effect (as may be amended from time to time) and 
which  are  included  with  this  Agreement.  Information  described  in  the  Truth-in-Savings 
disclosures  of  the  Deposit  account  has  been  or will  be  sent  to  you  if  and  when  you  open  the 
Deposit. Your Deposit will secure all credit you now have or later obtain on your Account, as 
well as our charges. 

10. “New Balance” means the outstanding balance in your Account at the end of any 
Billing Cycle. The New Balance is the sum of the Previous Balance shown on your Statement, 
less payments and credits, plus new Cash Advances and Purchases and our charges (including 
Interest Charges) posted during the Billing Cycle. 
11. “POS” means point of sale.  
12.  “Purchase”  means  credit  you  or  an  Authorized  User  obtains  on  your  Account, 
when you present the Card, or Card number, to a merchant honoring the Card or use the Card at 
a POS terminal to purchase goods and/or services. A Purchase also includes any fee listed in 
the  “Our  Charges”  portion  of  this  Agreement  and  any  other  fee,  Interest  Charge,  or  other 
transaction billed to your Account (for example, debt protection) that is not a Cash Advance.  

13. “Statement” means a statement of your Account which we will send to you at the 
end of any Billing Cycle in which we owe you or you owe us more than $1, or we impose any 
charge  (including  Interest  Charges),  or  any  payment,  credit,  Cash  Advance  or  Purchase  is 
posted to your Account. 

Using Your Account To Obtain Credit. You can use the Card  and  your  Account to 
make Purchases and obtain Cash Advances at any time, as long as you are not in Default and 
your  credit  privileges  have  not  been  terminated.  We  may  also  allow  Purchases  or  Cash 
Advances  on  your  Account,  even  if  you  are  in  Default  or  your  credit  privileges  have  been 
terminated,  if  the  Purchase  or  Cash  Advance  was  made  by  you  or  an  Authorized  User.  Your 
Account may be used only for valid and lawful purposes. If you use or allow someone else to 
use  your  Account  for  any  other  purpose  you  will  be  responsible  for  such  use  and  may  be 
required to reimburse us and/or Visa or MasterCard for all amounts or expenses either we or 
Visa or MasterCard pay as a result of such use. 

2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Credit  Limit.  Your  Credit  Limit  will  appear  on  the  accompanying  Card  carrier  and  on  your 
Statements. You may not exceed or attempt to exceed your Credit Limit at any time. However, 
if your Account balance exceeds your Credit Limit for any reason, we may require that you pay 
us  any  such  excess  immediately  on  demand,  rather  than  in  monthly  installments.  If  we  have 
previously  honored  requests  for  credit  over  your  Credit  Limit,  it  does  not  mean  that  we  will 
honor  further  overlimit  requests.  We  may  offer  or  accept  requests  for  credit  limit  increases, 
which may be subject to a Credit Limit Increase Fee Interest Charge. 

Promise to Pay. By opening an Account, signing the Card or obtaining credit on your 
Account, you agree, jointly and severally if more than one person is contractually liable for the 
Account, to be obligated for all credit obtained on your Account, whether by you or any of you, 
or by any Authorized User, as well as for our charges (including Interest Charges) as provided 
in this Agreement. You also agree to be legally bound by this Agreement. You promise to pay 
to us all sums you owe on your Account, together with Interest Charges and other charges, in 
U.S. dollars, and payable through a financial institution in the United States, and in accordance 
with this Agreement and any hour of receipt and other payment instructions that appear on your 
Statement. No Cash Advance Check, draft or written instrument we supply to you can be used 
to make a payment against this Account. We may accept late payments, partial payments, post-
dated checks, or any form of payment containing a restrictive writing without losing any of our 
rights under this Agreement.  No payments shall operate as an accord and satisfaction without 
prior written approval of a Senior Officer of the Bank. Any payment check that you send to us 
for less than the full balance due that is marked “paid in full” or with a similar notation or that 
you  otherwise  attempt  to  tender  in  full  satisfaction  of  a  disputed  amount  must  be  sent  to  our 
Legal  Department  at  P.O.  Box  15803,  Wilmington,  DE  19850  with  a  letter  identifying  the 
dispute  and  that  the  payment  is  tendered  in  satisfaction  of  the  disputed  Account  balance.  We 
will apply your payments in any lawful manner that we choose. 

You may choose, subject to our approval, to make a payment in U.S. dollars by means 
of a direct debit or charge to any deposit, savings or credit account of yours that is issued by a 
financial  institution  in  the  United  States  (“Payment  Account”).  By  requesting  us  to  process  a 
payment  by  direct  debit  or  charge  to  your  Payment  Account,  you  hereby  authorize  us,  at  our 
option,  to  debit  your  Payment  Account  by  means  of  an  electronic  transaction  or  to  submit  a 
paper check or draft to your financial institution. 

You agree that we may convert any payment check or other payment instrument into an 
electronic  debit  transaction  that  will  be  processed  through  the  Automated  Clearing  House 
system (“ACH”) and electronically debited from the account on which the check was drawn. 
Your  payment  check  or  other  payment  instrument  will  not  be  physically  presented  to  your 
financial  institution  or  returned  to  you.  This  is  called  check  truncation  or  check  conversion. 
However, should you need a copy of a check you may contact us and we will provide it to you. 
You  may  be  charged  a  fee  for  such  copy  request  as  allowed  by  law  and  as  set  forth  in  the 
section of this Agreement entitled “Our Charges.” 

Statements.  The  Statements  we  will  send  to  you  will  reflect  the  activity  and  our 
charges  on  your  Account  during  the  Billing  Cycle.  They  will  also  show  your  Minimum 
Payment  and  the  Payment  Due  Date  by  which  we  must  receive  your  Minimum  Payment.  If 
there are more than one of you, we may send the Statements only to the person named as the 
primary account holder in our system. 

Our Charges. You agree to pay us the following fees in connection with your Account. 
All Purchases and Charges will reduce credit availability at the time they are charged to your 

3

 
 
 
 
 
 
 
 
Account.  The amounts of these fees are listed in the “Schedule of Rates and Fees” enclosed 
with this Agreement. Such fees will be treated as Purchases on your Account. Our assessment 
of Late Fees and Returned Payment Fees does not mean you are permitted to engage in conduct 
giving rise to these fees. In fact, you agree not to engage in such conduct. 

1. Annual Fee.  If your Account has an Annual Fee it will be billed each year (unless 
otherwise noted on the “Schedule of Rates and Fees”) and it will be charged once your account 
is  opened  and  will  appear  on  your  first  monthly  statement.  Subsequent  Annual  Fees  will  be 
charged  annually  on  the  anniversary  Closing  Date.  The  Annual  Fee  is  non-refundable  unless 
you notify us in writing that you wish to close your Account within 30 days of our providing 
the Statement on which the Annual Fee is billed and at the same time, you pay your outstanding 
balance in full. If your account is closed by you or us, we will continue to charge the Annual 
Fee until you pay your outstanding balance in full and terminate your Account relationship. 

2. Monthly Maintenance Fee (MMF).  If your Account has a MMF it will be imposed 
for  each  Billing  Cycle  or  portion  thereof  your  Account  is  open  or  has  a  balance  (unless 
otherwise  noted  on  the  “Schedule  of  Rates  and  Fees”).  The  MMF  will  be  charged  to  your 
Account  on  each  Closing  Date.    If  your  account  is  closed  by  you  or  us,  we  will  continue  to 
charge  the  MMF  until  you  pay  your  outstanding  balance  in  full  and  terminate  your  Account 
relationship. 

3. Copying Charges. If you request duplicates of any Statement, Cash Advance Check 
or  other  documents  (except  in  connection  with  proper  and  timely  written  notice  of  a  billing 
error), we will charge you a fee for each copy we provide, unless applicable state law requires 
us to charge a lesser amount. This fee will be charged to your Account on the date that your 
request is processed. 

4. Late Fee. We will charge a Late Fee if we do not receive your Minimum Payment by 
the  Payment  Due  Date  shown  on  your  Statement  in  accordance  with  any  hour  of  receipt  and 
other  payment  instructions  appearing  on  your  Statement.  This  fee  will  be  charged  to  your 
Account on your Payment Due Date if your Minimum Payment is not received.  

5.  Returned  Payment  Fee.  If  any  check,  draft,  or  other  payment  method  we  allow, 
electronic or otherwise, that is submitted as payment for sums owing on your Account, or for 
any other purpose, is returned unpaid or charged back to us for any reason, we will charge a 
Returned Payment Fee. This fee will be charged to your Account on the date that your returned 
payment is processed. 

6. Reinstatement Fee. If you or we terminate credit privileges on your Account for any 
reason, at your request and in our sole discretion we may reinstate your Account privileges. To 
be  eligible  for  reinstatement  you  must  resolve  any  Default  to  our  satisfaction.  If  we  reinstate 
your  Account,  we  will  charge  you  a  Reinstatement  Fee  on  the  date  that  your  request  is 
processed.  

7. Stop Payment Fee. If we stop payment on any Cash Advance Check or other Cash 
Advance at your request, we will charge a Stop Payment Fee on the date that your request is 
processed. Stop Payment orders are permissible, subject to applicable law, by mail or by phone 
on any Cash Advance Check that has not posted to your Account and is received at such time 
as  to  give  the  Bank  a  reasonable  opportunity  to  act.  To  request  a  stop  payment,  you  must 
precisely identify the type of Cash Advance Check, the check number, date of Cash Advance 
Check, the exact amount of the item, and the payee. However, at our option, and to the extent 
that we are able, we may honor Stop Payment requests that do not identify the Cash Advance 
Check  with  as  great  a  degree  of  precision  as  that  specified  in  the  immediately  preceding 

4

 
 
 
 
 
 
 
sentence.  Only  the  person  who  initiated  the  Stop  Payment  may  make  a  release  of  the  Stop 
Payment request. Oral Stop Payment orders are binding for fourteen (14) days only, unless you 
confirm  the  order  in  writing  and  we  receive  it  within  the  fourteen-day  period.  When  a  Stop 
Payment request form is properly signed and returned, the order is effective for six (6) months 
after  the  latest  date  the  written  confirmation  is  received,  accepted,  and  recorded  on  your 
Account,  at  which  time  it  will  automatically  expire.  The  Bank  will  not  be  liable  for  any 
reasonable delay in accepting and recording a Stop Payment to your Account. 

8. Additional Card Fee. After the initial Card has been issued for your Account, if you 
request and we agree to provide an additional Card to be issued in the name of an Authorized 
User  or  you  request  and  we  agree  to  permit  an  Authorized  User  who  accepts  full  contractual 
liability for the account, be added to your Account, we will charge an Additional Card Fee for 
the approval of your request and the issuance of another Card to your Account. This fee will be 
charged to your Account on the date that your request is processed. 

9. Replacement Card Fee. After a Card has been issued in your name, if you request 
and we agree to provide a replacement Card, we will charge a Replacement Card Fee for the 
Card’s replacement. This fee also applies to any Authorized User. This fee will be charged to 
your Account on the date that your request is processed. 

10.  Automated  Account  Information  Fee.  We  will  charge  you  to  access  our 
automated  account  information  system  through  our  toll  free  telephone  number.  The  first  two 
inquiries per Billing Cycle will not incur a charge. Thereafter, a fee for each separate Account 
inquiry  you  make  through  our  automated  account  information  system  will  be  assessed.  This 
fee(s) will be charged to your Account on the same day that you make your inquires. You will 
be charged for each separate inquiry you make even if you make more than one inquiry during 
the  same  call.  This  fee  may  also  be  referred  and  listed  on  your  Statement  as  an  “excessive 
pinpoint transaction.” 

11.  Fees  for  Optional  Payments.  If  you  choose  and  we  allow  you  to  make  an 
expedited payment by telephone with the assistance of one of our associates or agents to post to 
your  Account  the  same  day  or,  if  the  payment  is  made  or  received  after  5:00  p.m.,  we  will 
assess a fee to your account on the date that your payment is initiated. 

12.  Miscellaneous  Fees.  In  accordance  with  applicable  law,  we  may  charge  you  any 
reasonable fees for services rendered or for reimbursement of expenses, incurred in good faith 
by  us  or  our  agents  in  connection  with  your  Account,  or  other  reasonable  fees  in  connection 
with our administering, terminating or reinstating your Account. For example, if you continue 
to  use  the  Account  after  we  advise  you  that  your  credit  privileges  have  been  terminated,  we 
may  charge  you  for  our  costs  in  listing  your  Account  as  ineligible  for  credit  and  for  any  fee 
imposed on recapture of the Card(s) or Cash Advance Checks. 

Interest  Charges.  Your  Account  is  subject  to  the  following  Interest  Charges,  which 
may  appear  as  either  a  Fee or  Interest  on  your  Statement:  (1)  a  Cash  Advance  Fee,  which  is 
imposed  on  the  same  day  we  honor  any  Cash  Advance  and  added  to  your  Cash  Advance 
balance  (please  note  that  in  the  Billing  Cycle  in  which  a  Cash  Advance  is  posted,  the  Cash 
Advance  Fee  will  cause  the  “Annual  Percentage  Rate”  for  Cash  Advances  to  exceed  the 
“Corresponding Annual Percentage Rate” for Cash Advances shown on your Statement for that 
Billing Cycle); (2) a “Periodic Rate Interest Charge,” which is calculated on the Purchase and 
Cash  Advance  average  daily  balance  of  your  Account  as  described  in  this  Agreement.  This 
charge will be assessed to your Account on the Closing Date; (3) a “Credit Limit Increase Fee” 
which may be charged on the same day we approve each unsecured credit limit increase after 

5

 
 
 
 
 
 
 
your  Account  is  opened;  (4)  an  “Upgrade  Fee”,  which  may  be  charged  on  the  same  date  we 
approve any product upgrade (i.e. standard to gold); (5) a “Foreign Currency Transaction Fee” 
is applied to any transaction made in a foreign currency that is converted to U. S. Dollars by 
Visa or MasterCard or any transaction made in a foreign country even if it is in U.S. Dollars 
(please  note  that  this  fee  will  be  added  on  the  same  date  to  the  same  balance  to  which  the 
foreign transaction is added); and (6) a “Minimum Interest Charge”, which will be charged for 
a Billing Cycle during which there exists any Purchases and/or Cash Advances balance of $1 or 
greater in your Account. 

Grace  Period.  There  is  no  Grace  Period  for  the  Account.  Interest  Charges  accrue  on 
Purchases, Cash Advances and Our Charges beginning on the date the transaction occurs or on 
the first day of the Billing Cycle in which the transaction is received by us or, at our option, the 
date  the  transaction  is  posted  to  your  Account.  Periodic  Rate  Interest  Charges  continue  to 
accrue until payment in full is received.  

Periodic  Rate  Interest  Charge  Calculation-Average  Daily  Balance  Method 

(Including New Transactions) for Purchases and Cash Advances. 

(1)  To  determine  the  Periodic  Rate  Interest  Charge  for  Purchases  and  Cash  Advances 
we multiply the monthly Periodic Rate for Purchases and Cash Advances by the “average daily 
balance” for Purchases and Cash Advances (including new transactions) for the current Billing 
Cycle.  

(2) The total Interest Charge imposed on your Account each Billing Cycle is the sum of 
the  Periodic  Rate  Interest  Charges  as  calculated  for  Purchases  and  Cash  Advances  for  the 
current  Billing  Cycle,  all  Cash  Advance  Fees,  and  any  Fees  described  in  the  Our  Charges 
section of this agreement that may be imposed during such Billing Cycle.  

(3) Purchases. To get the “average daily balance” of Purchases for a Billing Cycle, we 
take the beginning balance of Purchases in your Account each day, add any new Purchases, and 
subtract any payments or credits which are applied to Purchases (treating any negative balances 
as  zero).  On  the  first  day  of  each  Billing  Cycle,  we  add  the  unpaid  Periodic  Rate  Interest 
Charges  for  Purchases  for  the  prior  Billing  Cycle  to  the  daily  balance  of  Purchases.  (In  this 
way, we compound Interest Charges on Purchases on your Account on a monthly basis.) This 
gives us the daily balance of Purchases. Then, we add up all the daily balances of Purchases for 
the Billing Cycle and divide the total by the number of days in the Billing Cycle. This gives us 
the “average daily balance” of Purchases for a Billing Cycle. There is no grace period in which 
Purchases may be repaid without incurring an Interest Charge.  

 (4) Cash Advances. To get the “average daily balance” of Cash Advances for a Billing 
Cycle,  we  take  the  beginning  balance  of  Cash  Advances  in  your  Account  each  day,  add  any 
new Cash Advances, and subtract any payments or credits which are applied to Cash Advances 
(treating  any  negative  balances  as  zero).  On  the  first  day  of  each  Billing  Cycle,  we  add  the 
unpaid  Periodic  Rate  Interest  Charges  for  Cash  Advances  for  the  prior  Billing  Cycle  to  the 
daily  balance  of  Cash  Advances.  (In  this  way,  we  compound  Interest  Charges  on  Cash 
Advances  on  your  Account  on  a  monthly  basis.)  This  gives  us  the  daily  balance  of  Cash 
Advances. Then, we add up all the daily balances of Cash Advances for the Billing Cycle and 
divide  the  total  by  the  number  of  days  in  the  Billing  Cycle.  This  gives  us  the  “average  daily 
balance”  of  Cash  Advances  for  a  Billing  Cycle.  There  is  no  grace  period  in  which  Cash 
Advances may be repaid without incurring an Interest Charge.  

(5)  General  Periodic  Rates.  See  “Schedule  of  Rates  and  Fees”  enclosed  with  this 

Agreement. 

6

 
 
 
 
 
 
 
 
Credit  Availability.  Payments  on  your  account  are  made  by  guaranteed  funds  (for 
example, money orders and cashier’s checks) your credit will be available on the day after your 
deposit  or  payment  is  credited.  All  other  deposits  or  payments  may  not  increase  your  credit 
availability until we are assured that the payment has not been dishonored. This could take up 
to 14 calendar days (or longer). 

Minimum Payments. You may pay your entire balance at any time, without penalty or 
premium.  Whenever  a  balance  is  due,  however,  each  month  you  must  pay  us  at  least  the 
Minimum Payment Due, which we must receive on or before the Payment Due Date shown on 
the Statement, in accordance with any hour of receipt and other payment instructions shown on 
your  monthly  Statement.  The  Payment  Due  Date  will  be  approximately  25  days  after  the 
Closing Date. The Minimum Payment Due in any monthly Billing Cycle will be equal to the 
sum of (i) 2.25% of your New Balance plus the total of all Periodic Rate Interest Charges that 
have  accrued  in  the  Billing  Cycle  for  which  the  Minimum  Payment  is  being  calculated 
(rounded up to the next dollar) or $35, whichever is more (or your entire New Balance if less 
than $35); plus (ii) all past due amounts; plus (iii) the amount of any Late Fee charged in the 
Billing Cycle for which the Minimum Payment is being calculated. 

Subject  to  applicable  law,  we  will  apply  and  allocate  payment  up  to  the  Minimum 
Payment Due and any credits on your Account among balances and Charges in any order and 
manner determined by us in our sole discretion. You agree that we have the unconditional right 
to exercise this discretion  in  a  way  that is most favorable or convenient  to us.  Generally, the 
amount of payments credited to your Account during a Billing Cycle will be applied first to the 
balance  bearing  the  lowest  APR  and  then  to  balances  bearing  the  higher  APR,  until  the 
Minimum Payment Due payable in the Billing Cycle is credited to your Account. After that, the 
amount of payments remaining will be applied to the balance bearing the highest APR and then 
to balances bearing the lower APR in descending order. In most cases, credits will be applied 
first to the balance from which the corresponding debit originated. 

Security. You grant us a security interest and pledge and assign to us any and all sums 
now or later in any Deposit established by you to secure payment of all of your existing and 
future  obligations  under  this  Agreement  and  your  Account.  The  Deposit  must  be  maintained 
with  us  unencumbered  (i.e.  not  subject  to  any  lien,  judgment,  attachment  or  execution)  at  all 
times. You may add to the Deposit at any time. With our consent, you may also withdraw from 
the Deposit, which will reduce your Credit Limit by a like amount, so long as you do not cause 
the outstanding balance in the Account to exceed your new, lower Credit Limit. You agree that 
we may restrict your right to obtain withdrawals from the Deposit. Upon a Default and without 
notice to you, we may apply any sums then in the Deposit against what you then owe on your 
Account. We may retain the Deposit or any sums remaining in the Deposit until the latest of the 
following events: (i) 14 days after the time all sums owed to us on your Account are paid in 
full,  (ii)  10  weeks  from  the  time  we  receive  from  you  all  of  the  unexpired  Cards  and  Cash 
Advance Checks, cut in half, or (iii) 10 weeks from the time of termination of your Account. 
Except  for  the  Deposit,  we  do  not  have  a  security  interest  in  any  other  of  your  property  in 
connection with your Account. 

Terminating Credit Privileges and Closing Your Account. You or we can terminate 
your credit privileges at any time for any reason, including but not limited to when you are in 
Default under this Agreement. If you or we terminate your credit privileges, you promise that 
any  amounts  that  you  owe  us  at  the  time  of  termination,  plus  any  new  Purchases  or  Cash 
Advances,  plus  any  Interest  Charges  and  other  fees  and  charges  that  will  continue  to  be 

7

 
 
 
 
 
imposed at the rates and in the amounts specified in this Agreement, will be repaid according to 
this Agreement.  

You  may  Close  your  Account  at  any  time.  In  order  to  close  your  Account,  you  must: 
give us written notice of your intent to close your Account at the address for inquiries shown on 
your Statement,  and  pay  your outstanding balance  in  full. Your notice to close your  Account 
will  become  effective  as  soon  as  we  can  reasonably  act  on  it.  If  you  request  to  close  your 
Account,  but  do  not  pay  your  outstanding  balance  in  full,  your  credit  privileges  will  be 
terminated. If you close your account, the terms of this Agreement remain in effect. 

Default.  You  will  be  in  default  of  this  Agreement  (“Default”)  if  any  of  the  following 

occur:  

1.  You  do  not  make  a  Minimum  Payment  on  your  Account  on  or  before  the 

Payment Due Date; 

2. You die or are declared legally incompetent; 
3. You become insolvent or bankrupt; 
4. You exceed or attempt to exceed the Credit Limit; 
5. You provide us with false or misleading information or signatures at any time 

or use your Account in any fraudulent or unlawful manner; 
6. You fail to comply with this Agreement; 
7. You fail to make any payment or perform any promise in any other agreement 

or obligation you have with us; or  

8.  Any  judgment,  lien,  attachment  or  execution  is  issued  against  you,  the 

Deposit or your other property. 

If  you  are  in  Default,  we  may  immediately  terminate  your  credit  privileges  on  your 
Account and any other credit account(s) you may have with us. We need not give you notice of 
termination.  We  may  also  demand  that  you  immediately  pay  us  all  sums  owing  on  your 
Account  and  any  other  credit  account(s)  you  may  have  with  us,  including  all  unpaid  Interest 
Charges  and  other  charges.  We  may  also  combine  the  outstanding  balance  on  your  Account 
with the balances of any other credit account(s) you may have with us regardless of whether or 
not  that  account  is  past  due.  Without  notice  to  you,  we  may  also  apply  any  sums  then  in  the 
Deposit,  including  interest,  if  any,  you  earned  on  the  Deposit,  against  what  you  then  owe  on 
your Account. We may also demand that you cut the Card(s) and Cash Advance Checks in half 
and  immediately  return  them  to  us.  Although  we  may  have  declared  your  Account  to  be  in 
Default,  you  agree  to  pay  us  Interest  Charges  and  other  charges  at  the  rates  provided  in  this 
Agreement until all sums you owe us are paid in full, even if we have demanded that you make 
immediate payment in full. 

If we waive a Default, we do not waive the right to declare the same or another event 
occurring  later  as  a  Default  of  your  Account.  If  we  start  collection  proceedings  to  recover 
amounts you owe us on this Agreement, to  the  extent permitted  by law you  agree to  pay the 
reasonable fees of our attorneys who are not our regularly salaried employees, all fees paid to 
third parties who collect on your debt for us, and all of our court, arbitration or other collection 
charges. 

Check  Return.  If  we  issue  Cash  Advance  Checks  or  drafts  to  you  for  use  with  your 
Account, you agree that we need not return to you those that you use. If you need evidence of 
any payment made to a merchant or other person by a Cash Advance Check or draft, you agree 
that  a  photocopy  or  similar  reproduction  we  provide  to  you  will  be  satisfactory  for  such 

8

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
purposes. Such copies are subject to the Copying Charges listed in the Our Charges section of 
this Agreement. 

No Responsibility. We are not responsible in any way for the failure or refusal of any 
person to honor a Card, Cash Advance Check or other credit instrument or device we supply to 
you. We are not responsible if any ATM or other device fails to operate or operates improperly. 
Lost or Stolen Cards or Checks. You agree to notify us immediately if any Card or 
Cash Advance Checks are lost or stolen, or if you suspect that they or your Account has been 
used, or may be used, without your permission. 

Unlawful  Internet  Gambling.  Restricted  transactions  are  prohibited  from  being 
processed  through  your  account  with  us  as  required  by  the  Unlawful  Internet  Gambling 
Enforcement  Act  of  2006  and  Regulation  GG.  A  restricted  transaction  is  a  transaction  or 
transmittal  involving  any  credit,  funds,  instrument,  or  proceeds  in  connection  with  the 
participation of another person in unlawful internet gambling. 

Severability  and  Waiver.  If  any  provision  of  this  Agreement  is  invalid  or 
unenforceable under any law, rule or regulation, it shall not affect the validity or enforceability 
of any other provision of this Agreement. We may delay or waive enforcing any of our rights 
under this Agreement without losing them. 

Changing This Agreement. We may change the terms of this Agreement at any time 
and  from  time  to  time  (including  during  the  first  year  the  Account  is  open)  and  including, 
without limitation, by increasing existing annual or other fees, adding new fees, adding other 
new terms or deleting or modifying any existing terms. If we change this Agreement, we will 
send you a prior notice of the change only if it is then required by law. To the extent permitted 
by  law,  a  change  in  terms  of  this  Agreement  will  apply  to  existing  balances  and  new 
transactions on your Account.  

Credit  Information.  If  you  believe  that  any  information  that  we  have  furnished  to 
consumer reporting agencies about you and your Account is inaccurate, you should contact the 
consumer  reporting  agency  to  ensure  your  rights.  As  permitted  by  law,  we  may  obtain 
consumer credit reports and information about you for updates, renewals, extensions of credit, 
review  or  collection  of  your  Account  and  any  other  permissible  purpose.  We  may  furnish 
information about you and your Account to consumer reporting agencies and others who help 
service your Account.  

Governing  Law.  This  Agreement  and  your  Account  will  be  governed  by,  and 
interpreted under Federal law and the laws of the State of Delaware without reference to 
principles  of  conflict  of  laws.  The  legality,  enforceability  and  interpretation  of  this 
Agreement and the amounts contracted for, charged and received under this Agreement 
will  be  governed  by  such  laws.  This  Agreement  is  entered  into  between  you  and  us  in 
Delaware. We make decisions about granting credit to you from and extend credit to you 
under  this  Agreement  in  Delaware.  Federal  and  Delaware  law  will  also  apply  to  any 
controversy, Claim or dispute arising from or relating in any way to the subject matter of 
this Agreement and/or your Account, including, without limitation, statutory, equitable or 
tort claims.  

Return  of  Cards  and  Cash  Advance  Checks.  You  must  surrender  the  Card(s)  and 

Cash Advance Checks to us upon demand. 

Binding  Effect.  If  we  pay  a  participating  merchant  for  a  Purchase  or  post  a  Cash 
Advance to your Account before we receive written notice of your death or declaration of your 
legal  incompetence,  or  if  we  pay  a  participating  merchant  for  a  Purchase  or  post  a  Cash 

9

 
 
 
 
 
 
 
 
 
Advance to your account for a transaction that you made prior to your death or the declaration 
of your legal incompetence, those transactions will be a valid and binding Account obligations 
upon you, your estate and your personal representatives. 

Foreign Exchange Rate. If you make a transaction in a foreign currency, MasterCard 
or Visa, depending on your card type, will convert the foreign currency transaction amount into 
a  U.S.  dollar  amount.  MasterCard  or  Visa  will  act  in  accordance  with  their  operating 
regulations or foreign currency conversion procedures then in effect. MasterCard currently uses 
a conversion rate in effect one day prior to its transaction processing data. Such rate is either a 
government-mandated rate or a wholesale rate. Visa currently uses a conversion rate in effect 
on  its  central  processing  date.  Such  rate  is  either  a  rate  it  selects  from  the  range  of  rates 
available  in  wholesale  currency  markets,  which  may  vary  from  the  rate  Visa  receives  or  the 
government mandated rate. We may impose a Foreign Currency Transaction Fee as described 
in the Interest Charges section of this Agreement.  

Telephone  Monitoring.  You  consent  and  authorize  us,  and  any  of  our  affiliates, 
servicing  companies,  or  associates  to  monitor  and/or  record  any  of  your  telephone 
conversations with our representatives or the representatives of those companies. 

Your Consent For Calls And/Or Text Messages To Your Cellular Phone. If we 

collect your cellular phone number from you, from another source or as a result of receiving a 
cellular phone call from you, you expressly consent to accept from us, our affiliates or any third 
party acting on our behalf:  

(1) Calls or text messages for collection purposes or for other account-related purposes, 

such as to process your application.  

(2)  Calls  or  text  messages  that  we  initiate  to  your  cellular  phone  number  made  or 
transmitted  using  any  automatic  telephone  dialing  system  and/or  containing  prerecorded 
messages.  

You  agree  you  will  be  responsible  for  any  fees  or  charges  you  incur  as  a  result  of 
incoming calls or text messages from us, from our affiliates, or from any third party acting on 
behalf of us or our affiliates. 

Your Information. You agree to provide us with accurate and updated information 
necessary to communicate with you and to send you information about your Account. Your 
Cards, Statements and any other notices will be sent to you at the address in our files. If you 
change your name, address, telephone numbers or e-mail address, you must notify us promptly. 
We may at our option accept corrections or updates to your personal information from the 
United States Postal Service and others. You agree that in the event that we do not have valid 
personal information on file we may obtain such information from a third party. You agree that 
we may send information to you about your Account by e-mail and that such information may 
include, among other things its delinquency or overlimit status. If you do not want us to send 
account information  
by e-mail, please send a written request to our customer service address asking us not to do so. 

We  May  Transfer  Your  Account.  We  may  at  any  time,  and  without  notice  to  you, 
transfer,  assign  or  sell  your  account,  any  sums  due  on  your  account,  this  Agreement,  or  our 
rights or obligations under your account or this Agreement to any person or entity. The person 
or entity to whom we make any such sale, assignment or transfer shall be entitled to all of our 
rights and/or obligations under this Agreement, to the extent sold, assigned or transferred. 

10

 
 
 
 
 
 
ARBITRATION 

Arbitration. Arbitration is a method of deciding disputes outside the court system. This 
Arbitration  Provision  governs  when  and  how  any  disputes  you  and  we  may  have  will  be 
arbitrated instead of litigated in court. 

Certain Definitions. Certain capitalized words used in this Arbitration Provision have 

special meanings: 

“We,”  “us,”  and  “our”  do  not  mean  just  the  Bank.  These  terms  also  include:  (1)  any 
parent  company  of  the  Bank,  all  companies  owned  by,  controlled  by  or  under  common 
ownership or control with the parent company or the Bank, including but not limited to Applied 
Card Systems, Inc.; (2) any prior issuer of the Account; (3) any company to which we transfer 
our rights under this Agreement; and (4) all of the employees or other individuals who manage 
or  own  these  companies.  Finally,  if  either  you  or  we  elect  to  arbitrate  any  Claim  you  bring 
against us, these terms include any other persons or companies who you make Claims against 
in the same proceeding. 

“Claim” means any dispute between you and us that cannot be resolved without a  
judicial or arbitration proceeding and arises as a result of, or has anything at all to do with: (1) 
your  Account;  (2)  the  events  leading  up  to  your  becoming  an  Account  holder;  (3)  this 
Agreement  (including  this  Arbitration  Provision);  (4)  any  prior  credit  account  or  agreement 
relating to such account; or (5) your relationship with us. This includes disputes relating to any 
products,  insurance  or  other  services  offered  to  you  as  an  Account  holder.  This  includes 
disputes about whether this Arbitration Provision is valid or binding; about whether or when it 
applies;  and  whether  a  dispute  is  arbitrable.  It  includes  disputes  relating  to  constitutional 
provisions;  statutes;  ordinances;  regulations;  court  decisions;  compliance  with  the  Agreement 
or a related contract; and wrongful acts of every type (whether intentional; fraudulent; reckless; 
or just negligent). It includes requests for money, for orders requiring you or us to take certain 
actions (which are sometimes referred to as “injunctive relief”), for declarations of legal rights 
and for any other kind of relief. This Arbitration Provision applies to Claims that arise prior to 
the  effective  date  of  this  Arbitration  Provision.  Notwithstanding  the  foregoing,  any  dispute 
concerning the validity or effect of the part of this Arbitration Provision captioned “NO CLASS 
ACTIONS OR SIMILAR PROCEEDINGS” shall not be subject to this Arbitration Provision 
and shall be resolved by a court and not an arbitrator. 

“Administrator”  means  the  American  Arbitration  Association  (“AAA”),  335  Madison 
Avenue, New York, NY 10017, www.adr.org, or, in the event that AAA is not available as a 
forum  for  arbitration  of  a  Claim,  such  alternative  forum  which  administrates  arbitration  of  a 
Claim  in  accordance  with  the  Federal  Arbitration  Act,  9  U.S.C.  §§1  et  seq.  and  the 
Administrator’s Rules. The arbitrator will be selected under the Administrator’s Rules. You can 
select the Administrator if you give us written notice of your selection with your notice that you 
are  electing  to  arbitrate  any  Claim  or  within  20  days  after  we  give  you  notice  that  we  are 
electing to arbitrate any Claim. If you do not select the Administrator on time, we will select 
one.  If  for  any  reason  the  Administrator  you  or  we  select  is  unable  or  unwilling  to  serve  or 
continue to serve as Administrator, you will have 20 days to select a different Administrator. 

Starting  an  Arbitration.  You  or  we  can  give  written  notice  of  an  intention  to  begin 
arbitration of a Claim or Claims or to require arbitration of the other party’s Claim or Claims. 
This  notice  can  be  given  by  one  party  even  if  the  other  party  has  begun  a  lawsuit.  If  such  a 
notice is given, any Claim will be resolved by arbitration under this Arbitration Provision and 
the Administrator’s Rules that are in effect at the time the Claim is filed with the Administrator. 

11

 
 
 
 
 
 
 
The arbitrator must be a lawyer with more than 10 years of experience or a retired judge, unless 
you  and  we  agree  otherwise.  A  copy  of  the  Claim  form  may  be  obtained  from  the 
Administrator  or  from  us.  A  party  who  has  asserted  a  Claim  in  a  lawsuit  may  still  elect 
arbitration  with  respect  to  any  Claim  that  is  later  asserted  in  the  same  lawsuit  by  any  other 
party. All doubts about whether to arbitrate a Claim shall be resolved in favor of arbitration.  

We  will  not  elect  to  arbitrate  an  individual  Claim  that  you  bring  against  us  in  “small 
claims”  court  (or  the  equivalent  court  in  your  state).  However,  we  may  elect  to  arbitrate  a 
“small claims” court Claim that is later transferred, removed or appealed to any different court. 
IMPORTANT LIMITATIONS 

If you or we elect to arbitrate a Claim,  neither  you  nor  we  will  have  the  right  to 
pursue that Claim in court or have a jury decide the Claim. Also, the ability of a party to 
obtain information from the other party and to appeal, is more limited in an arbitration 
than  in  a  lawsuit.  Other  rights  that  you  or  we  would  have  in  court  may  also  not  be 
available  in  arbitration.  The  fees  charged  by  the  administrator  may  be  higher  than  the 
fees charged by a court.  

NO CLASS ACTIONS OR SIMILAR PROCEEDINGS 

If  you  or  we  elect  to  arbitrate  a  Claim:  (1)  neither  you  nor  anyone  else  on  your 
behalf can pursue that Claim in court or in an arbitration proceeding on a class-wide or 
representative  basis;  and  (2)  Claims  brought  by  or  against  one  account  holder  (or  joint 
account  holders)  may  not  be  brought  together  with  Claims  brought  by  or  against  any 
other  account  holder.  The  arbitrator  shall  have  no  authority  to  hear  or  decide  an 
arbitration on a class-wide or representative basis. However, this prohibition against class 
actions is not applicable to cardholders residing in the State of California. 

Arbitration  Location  and  Costs.  Any  arbitration  hearing  that  you  attend  will  take 
place at a location reasonably convenient to your residence. In the event that you file a Claim 
against us and you cannot afford to pay the fees charged by the Administrator and the arbitrator 
or  if  you  believe  that  such  fees  are  too  high,  and  you  cannot  obtain  a  fee  waiver,  we  will 
consider any reasonable written request by you for us to advance the fees. We will pay any fees 
or expenses we are required to pay by law. The arbitrator will decide who will be ultimately 
responsible for paying those fees. In the event that you file a Claim against us, in no event will 
you be required to reimburse us for any arbitration filing, administrative or hearing fees in an 
amount greater than what your court costs would have been if the Claim had been resolved in a 
state  court  with  jurisdiction.  In  the  event  that  we  file  a  Claim  against  you,  the  arbitrator  will 
decide who is responsible for paying all costs for arbitrating the Claim.  

Governing  Law.  This  Agreement  involves  interstate  commerce  and  this  Arbitration 
Provision  is  governed  by  the  Federal  Arbitration  Act  (“FAA”),  9  U.S.C.  §§1  et  seq.  The 
arbitrator must follow: (1) the FAA; (2) the substantive law, consistent with the FAA, related to 
any Claim; (3) statutes of limitations; and (4) claims of privilege recognized at law. Upon the 
timely  request  of  either  party,  the  arbitrator  must  provide  a  brief  written  explanation  of  the 
basis for the award. The arbitrator will determine the rules of procedure and evidence to apply, 
consistent  with  the  FAA,  the  Administrator’s  Rules  and  this  Arbitration  Provision.  The 
arbitrator shall not apply federal, state or local rules of procedure and evidence or state or local 
laws concerning arbitration proceedings.  

Obtaining Information. After an arbitration has been started, in  addition  to a party’s 
right to obtain information from the other party under the Administrator’s Rules, either party 

12

 
 
 
 
 
 
 
 
may  request  the  arbitrator  in  writing  to  allow  that  party  to  obtain  more  information  from  the 
other party. A copy of such request must be provided to the other party. That party will then 
have the chance to object in writing. The objection must be sent to the arbitrator and the other 
party. The arbitrator will decide the issue, in his or her sole discretion. 

Effect  of  Arbitration  Award.  Any  appropriate  court  may  enter  judgment  upon  the 
arbitrator’s  award.  The  arbitrator’s  decision  will  be  final  and  binding,  except  for  any  appeal 
right under the FAA and except for Claims that involve requests for monetary relief exceeding 
$100,000  or  requests  for  injunctive  or  declaratory  relief  that  could  cost  any  party  more  than 
$100,000.  For  these  large  Claims,  any  party  may  appeal  the  award  to  a  three-arbitrator  panel 
appointed by the Administrator. That panel will consider all over again any part of the initial 
award  that  any  party  asserts  was  incorrectly  decided.  The  decision  of  the  panel  will  be  by 
majority vote and will be final and binding, except for any appeal right under the FAA. Unless 
applicable  law  provides  otherwise,  the  fees  charged  by  the  Administrator,  and  the  arbitrators 
for such an appeal, are to be paid by the appealing party, regardless of who wins  the  appeal. 
However, we will consider any reasonable written request by you for us to pay such fees. All 
other  provisions  of  this  Arbitration  Provision  shall  apply  to  any  appeal  to  a  three-arbitrator 
panel  and  any  reference  in  this  Arbitration  Provision  to  a  single  arbitrator  shall  apply  to  the  
three-arbitrator panel. 

Continued  Effect  of  Arbitration  Provision.  This  Arbitration  Provision  governs, 
notwithstanding any prior arbitration provision between you and us. This Arbitration Provision 
will  remain  in  force  no  matter  what  happens  to  you  or  your  Account.  For  example,  it  will 
remain in force even if: (1) your credit privileges are ended or put on hold; (2) you close your 
Account; (3) you repay your entire Account balance; (4) we begin a lawsuit to collect amounts 
we  think  you  owe;  or  (5)  you  become  bankrupt  or  insolvent  or  a  bankruptcy  or  insolvency 
proceeding is begun, to the extent consistent with applicable bankruptcy law. If any portion of 
this  Arbitration  Provision  cannot  be  enforced  for  any  reason,  the  rest  of  this  Arbitration 
Provision will continue to apply. However, if the part of  this Arbitration Provision captioned 
“NO CLASS ACTIONS OR SIMILAR PROCEEDINGS” is struck in a proceeding brought as 
a class action or representative action, the entire Arbitration Provision (other than this sentence) 
shall be null and void in such proceeding, provided that we and you retain the right to contest 
through appeal or further available judicial proceedings any determination with respect to this 
part  of  the  Arbitration  Provision.  In  the  event  of  any  conflict  or  inconsistency  between  this 
Arbitration  Provision,  on  the  one  hand,  and  the  Administrator’s  Rules  or  other  provisions  of 
this Agreement, on the other hand, this Arbitration Provision will govern. 

Rejection  of  Arbitration  Provision.  You  may  reject  this  Arbitration  Provision,  (and 
any prior arbitration provision between you and us) by sending us a notice (“Rejection Notice”) 
that  we  receive  within  thirty  (30)  days  after  you  open  your  Account.  Any  Rejection  Notice 
must include your name, address and telephone number and must be signed by you. You must 
mail your Rejection Notice or send it by messenger service (such as Federal Express) to us at 
our Legal Department at P.O. Box 15803, Wilmington, DE 19850. In the event of any dispute 
concerning whether you have provided a timely Rejection Notice, you must provide a signed 
receipt as confirmation. This is the only method you can use to reject this Arbitration Provision. 

13

 
 
 
 
 
YOUR BILLING RIGHTS 
KEEP THIS NOTICE FOR FUTURE USE 

This  notice  tells  you  about  your  rights  and  our  responsibilities  under  the  Fair  Credit 

Billing Act. 

WHAT TO DO IF YOU FIND A MISTAKE ON YOUR STATEMENT 

If you think there is an error on your billing statement, write to us on a separate sheet at P.O. 
Box 17125, Wilmington, DE 19850-7125.  In your letter, give us the following information: 
• Account information: Your name and Account number. 
• Dollar amount: The dollar amount of the suspected error. 
• Description of problem: If you think there is an error on your bill, describe what you believe 
is wrong and why you believe it is a mistake. 
You must contact us: 
• Within 60 days after the error appeared on your statement. 
• At least 3 business days before an automated payment is scheduled, if you want to stop 
payment on the amount you think is wrong. 
You must notify us of any potential errors in writing. 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 

Within 90 days of receiving your letter, we must either correct the error or explain to 

Within 30 days of receiving your letter, we must tell you that we received your letter. 

When we receive your letter, we must do two things: 
1. 
We will also tell you if we have already corrected the error. 
2. 
you why we believe the bill is correct. 
While we investigate whether or not there has been an error: 
• We cannot try to collect the amount in question, or report you as delinquent on that amount. 
• The charge in question may remain on your statement, and we may continue to charge you 
interest on that amount. 
• While you do not have to pay the amount in question, you are responsible for the remainder of 
your balance. 
• We can apply any unpaid amount against your credit access line. 
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 payment is due. We may then report you as delinquent if you do not 
pay the amount we think you owe. 
If you receive our explanation but still believe your bill is wrong, you must write to us within 
10 days telling us that you still refuse to pay. If you do so, we cannot report you as delinquent 
without also reporting that you are questioning your bill. We must tell you the name of anyone 
to whom we reported you as delinquent, and we must let those organizations know when the 
matter has been settled between us. 
If we do not follow all of the rules above, you do not have to pay the first $50 of the amount 
you question even if your bill is correct. 

14

 
 
 
 
YOUR RIGHTS IF YOU ARE DISSATISFIED 
WITH YOUR CREDIT CARD PURCHASES 

The purchase must have been made in your home state or within 100 miles of your 

If you are dissatisfied with the goods or services that you have purchased with your credit 
card, and you have tried in good faith to correct the problem with the merchant, you may 
have the right not to pay the remaining amount due on the purchase. 
To use this right, all of the following must be true: 
1. 
current mailing address, and the purchase price must have been more than $50. (Note: Neither 
of these are necessary if your purchase was based on an advertisement we mailed to you, or if 
we own the company that sold you the goods or services.) 
You must have used your credit card for the purchase. Purchases made with cash 
2. 
advances from an ATM or with a check that accesses your credit card Account do not qualify. 
3. 
If all of the criteria above are met and you are still dissatisfied with the purchase, contact us in 
writing on a separate sheet at P.O. Box 17125, Wilmington, DE 19850-7125. 
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. 

You must not yet have fully paid for the purchase. 

YOUR LIABILITY FOR UNAUTHORIZED 
USE OF YOUR ACCOUNT 

You  may  be  liable  for  unauthorized  use  of  your  Account.  You  will  not  be  liable  for 
unauthorized  use  that  occurs  after  you  notify  us,  orally  or  in  writing,  of  the  loss  or  theft,  or 
possible unauthorized  use  of your  card, Cash Advance Checks, or your account. In any case, 
your liability will not exceed $50. To notify us of the loss, theft, or possible unauthorized use of 
your Account, call us at the telephone number located on the back of your Card or your Billing 
Statement,  24  hours  a  day  or  write  to  us  at  the  address  noted  in  the  paragraph  “HOW  TO 
CONTACT US”. 

HOW TO CONTACT US 
For  general  inquiries  we  can  be  reached  in  writing  at:  Applied  Bank,  P.O.  Box  17125, 
Wilmington, DE 19850-7125. Or, you can call our Customer Service Department at (561) 982-
9111.  Automated  Account  Information  is  available  24  hours  a  day  with  representatives 
available  during  normal  business  hours.  Payments  should  be  mailed  to  the  address  listed  on 
your Statement. 

APPLIED BANK 
DEPOSIT ACCOUNT RULES AND REGULATIONS 
In these Deposit Rules and Regulations (the “Rules”), “we” are Applied Bank of Wilmington, 
DE. “You,” “your” and “yours” refer to the person or persons whose Visa or MasterCard credit 
Card account (“Account”) is secured by this Deposit Account (the “Deposit”). 
JOINT ACCOUNT. If you have a Joint Account the Deposit will be deemed a Joint Account 
with the Right of Survivorship. Each of you will be deemed to own an equal share and each has 
the  right  to  make  deposits  and  withdrawals.  Upon  the  death  of  any  signer,  the  Deposit  will 
become the property of the survivor. 

15

 
 
 
 
DEPOSITS.  You  can  make  additions  to  the  Deposit  by  mail  at  any  time.  To  assure  proper 
crediting,  you  should  not  include  the  deposit  in  the  same  envelope  in  which  you  are  making 
payment on the Account.  
WITHDRAWALS. You can make a request to us for a withdrawal from your Deposit only by 
mail.  Because  your  Deposit  secures  payment  of  sums  owing  on  your  Account,  we  need  not 
honor any withdrawal order until the latest of the following events: (i) 14 days after the time all 
sums owed to us on your Account are paid in full, (ii) 10 weeks from the time we receive from 
you all unexpired credit Cards and cash advance checks, cut in half, or (iii) 10 weeks from the 
time your Account is closed. 
INTEREST. We do not pay interest on the Deposit.  
ASSIGNMENTS PROHIBITED. You may not assign the Deposit to anyone other than us. 
GOVERNING LAW. These Rules and your Deposit will be governed by and interpreted 
under  Federal  law  and  the  laws  of  the  State  of  Delaware  without  reference  to  the 
principles  of  conflict  of  laws.  Such  laws  will  govern  the  legality,  enforceability,  and 
interpretation  of  these  Rules.  These  Rules  are  entered  into  between  you  and  us  in  Delaware. 
Federal and Delaware law will also apply to any controversy, claim or dispute arising from or 
relating in any way to the subject matter of these Rules and/or your Deposit, including, without 
limitation, statutory, equitable or tort claims.  
AMENDMENTS.  We  may  change  the  terms  of  these  Rules  from  time  to  time,  including, 
without  limitation,  by  adding  new  terms  or  by  deleting  or  modifying  existing  terms.  If  we 
change the Rules, we will send you a prior notice of the change only if it is then required by 
law.  To  the  extent  permitted  by  law,  a  change  in  terms  of  these  Rules  will  apply  to  existing 
balances and new transactions on your Deposit. 

Applied Bank 
Wilmington, DE 
© 2012 Applied Bank. All Rights Reserved.  
Member FDIC. 

16

 
  
Applied Bank® 
Schedule of Rates and Fees 

Updated as of 09/12 

Interest Rates and Interest Charges 
Annual Percentage Rate (APR) 
for Purchases and Cash Advances 
Penalty APR and When it Applies 
How to Avoid Paying Interest on 
Purchases 
Minimum Interest Charge 

9.99% Fixed Rate 
None 
No grace period is provided. 

If you are charged interest, the charge will be no 
less than $0.50. 

Fees 
Annual Fee 
Monthly Maintenance Fee 
Additional Card Fee 
Replacement Card Fee 
Copying Charges 
Fees for Optional Payments 
Stop Payment Fee 
Automated Account Information Fee 

Credit Limit Increase Fee 
Upgrade Fee 
Reinstatement Fee 
Transaction Fees 
 Cash Advance Fee 

 Foreign Currency Transaction Fee 

Penalty Fees 

 Late Fee 
 Returned Payment Fee 

$50  
None 
$30 
$30 
$10 per copy 
$12.95 for each payment 
$30 
$0.50 for each separate Account inquiry made 
through our automated account information 
system 
$100 (unless you and we otherwise agree) 
$100 (unless you and we otherwise agree) 
$50 

Either $5 or 5% of the amount of each cash 
advance, whichever is greater. 
3% of each transaction in U.S. dollars. 

Up to $35 
Up to $35 

17