Truth in Lending Disclosure and Cardholder Agreement 
Military APR Disclosure 
Unsecured Visa® Credit Card 
Effective October 21, 2020 

This  document contains  the  terms  which  govern  your  Credit  Union  Visa  credit  card  Account  (“Account”).  Please  review  this  document  and  keep  it  for  your 
records. In this document the words “you” and “your” mean the individual(s) who requested the Account or to whom we issued an account. “Card” means the 
Visa Credit Card and any duplicates and renewals the Credit Union issues. “We,” “us,” “our,” and “Credit Union” mean Latino Community Credit Union, the 
issuer of the Card. “Our Mailing Address” is LCCU, P.O. Box 25360, Durham, NC  27702.  Our business days are Monday through Thursday, 9:00 am to 5:00 
pm, and Friday 9:00 am to 6:00 pm.  Holidays are not included.  You can contact your local branch or call us at 919-595-1800.  You may fax us at 919-688-9309. 

These  Rules  and  Regulations  apply  to  any  Credit  Union  Visa  credit  card (“Card”) issued,  or  to  be  issued,  by  the  Credit  Union.  Any  Credit  Union  member 
(“Cardholder”) who applies for, signs, accepts, uses, or authorizes the use of the Card agrees to be bound by these Rules and Regulations, and agrees that they 
shall  constitute  the  agreement  between  the  Credit  Union  and  the  Cardholder  governing  the  use  of  the  Card.  Furthermore,  by  signing  the  Card  as  specified 
herein, the Cardholder expressly agrees to be bound by the provisions of these Rules and Regulations as to the rates and charges applicable to use of the Card. 
If you do not agree to this Agreement, do not sign or use your Card and immediately contact us at 919-595-1800 to block the Card. 

Notifications  and  Changes: Any  notice  required  to  be  given  by  these  Rules  and  Regulations,  by  law,  or  desired  to  be  given  by  the  Credit  Union  will  be 
considered given if and when posted in the United States mail, postage prepaid, and addressed to the Cardholder at  the last known address as shown on the 
Credit Union’s records.  The Credit Union may modify or amend this Agreement, from time to time, upon 45 days advance notice  to the Cardholder. The new 
terms,  including  any  increase  or  decrease  in  the  charges,  will  apply  to  both  new  Cash  Advances  and  Purchases  made  on  and  after  the  effective  date.  The 
Cardholder can contact the Credit Union at  any time to determine  if changes have been made to this  agreement since the date this  document was  printed. 
Contact LCCU at 1-919-595-1800 or write to us at Our Mailing Address. 

Ownership, Termination and Expiration: The Credit Union may, at any time, suspend your Card and your ability to use your Card, for any reason allowed by 
law, such as if we suspect possible fraud or suspicious activity, or for security reasons.  The Card remains the property of the Credit Union at all times.  We may, 
at any time and  for  any  reason, terminate  a  Card  and your use  of the  Card  and may  request the  Card  to  be surrendered.  Your  Card will  expire  on the  last 
calendar day  of the month of the expiration date on the Card.  Upon termination or expiration, we may stop accepting transactions from the  Account and we 
may  decline  to  authorize  a  transaction  with  the  Account.  You  agree  not  to  use  or  attempt  to  use  any  expired  or  revoked  Account  to  obtain  credit.  You  or 
anyone jointly liable for the Account may voluntarily terminate the Account at any time by notifying us orally or in writing. However, this will not relieve you or 
any of the other joint owners from liability for the repayment of any obligations arising from the use of the Account. 

Use  of  Card:  You  may  only  buy  goods  or  services  from  businesses  displaying  the  Visa  sign  (“Merchant”),  or  borrow  cash  from  the  Credit  Union  or  other 
institutions displaying such signs.  You must follow any reasonable and proper procedures by those honoring the Card. In order for the Card to be valid, it must 
be signed by the Cardholder or Authorized User. The Cardholder must be a Credit Union member.  By signing, activating, using, or allowing another person to 
use the Card, you agree to this Agreement and are responsible for all authorized transactions and cash advances made by the use of this Card. 

Credit Limit:  Your credit  limit is  set by the Credit Union and may be changed from time to time with notice to the Cardholder.  The  Credit  Union may, at its 
option, recognize transactions (and extend credit) which will cause the Cardholder’s outstanding balance to exceed the maximum credit limit. 

Activating Your Card:  You must activate your Card by calling 1-866-322-2377. The Card is not valid until it has been activated. 

Authorized Users: You may request a Card for an Authorized User in the name of a person identified by you at any time.  We may request information about 
the  person  to  whom  you  want  us  to  issue  the  Card  and  reserve  the  right  to  deny  your  request  for  an  Authorized  User  Card. You  are  responsible  for  all 
transactions made by an Authorized User.  You have the right to revoke an Authorized User at any time, either by notifying your local branch or by calling LCCU 
at 1-919-595-1800. 

Your Responsibilities:  You are responsible for the following: 
• 
• 
• 

You agree not to use the Card if such use would cause your Account to exceed the credit limit. 
You agree to pay immediately upon demand any amount in excess of the maximum credit limit. 
You are responsible for all transactions and cash advances made through the use of your Card by yourself, any Authorized User, or any person you allow to 
use your Card. 
You will not authorize anyone else to use your personal Card (other than Authorized Users added to the Account) and you will not transfer your Card to 
anyone. If you do give your Card to another individual, you will be responsible for all transactions and cash advances made through the use of your Card. 
You agree to notify us AT ONCE if you believe your Card has been lost or stolen or if someone has used or may use your Card without your permission, by 
contacting your local branch immediately or calling 1-919-595-1800. You may also write us at Our Mailing Address. 
You agree to cooperate with us in our investigation of any possible unauthorized use of your Card. 
You agree to retain copies of all sales slips or cash advance slips or any other instrument acknowledging or recognizing a transaction, and to use such 
copies to identify transactions reported on your periodic statement. 

• 

• 

• 
• 

Page 1 of 4 

 
 
 
 
 
 
 
 
 
 
 
• 
• 

You will not use your Card in an illegal transaction or in connection with an Internet gambling transaction. 
You will take reasonable steps to protect the security and confidentiality of the PIN for your Card. 

Interest Rates and Interest Charges 

Annual 
Percentage 
Rate (APR) 
for 
Purchases 

APR for 
Cash 
Advances 

Paying 
Interest 

For Credit 
Card Tips 
from the 
Consumer 
Financial 
Protection 
Bureau 

12.75% 
This APR will vary based on the 26-week 
Treasury Bill rate rounded up to the nearest 
¼%.* 

12.75% 
This APR will vary based on the 26-week 
Treasury Bill rate rounded up to the nearest 
¼%.* 

Your due date is at least 21 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 on the transaction posting 
date. 

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  
http://www.consumerfinance.gov/learnmore. 

Fees 
Annual Fee 
Transaction Fees 

None 

• Cash Advance 

None 

• Foreign 

Transaction 

1% of each transaction 
in U.S. dollars  

• ATM 

Penalty Fees 

$0.75 for each transaction 

• Late Payment 

Up to $10 

• Returned Payment 

$5 

How We Will Calculate Your Balance 

We calculate the interest charge on your Account by 
applying the periodic rate to the “average daily balance” of 
your Account (including current transactions).  To determine 
the “average daily balance” we take the beginning balance 
of your Account each day, add any new purchases, and 
subtract any payments or credits.  This gives us the daily 
balance.  Then we add up all the daily balances for the 
billing cycle and divide the total by the number of days in 
the billing cycle.  This result is the “average daily balance.” 

  The APR equals 12.5% plus the Index Rate.  The Index Rate is the 26-week Treasury Bill rate set at the first T-bill Auction held each quarter in January, April, 

July, and October, and adjusted up to the nearest ¼%.  Because the Index Rate is subject to change each quarter, the APR is as well. 

Billing Rights information on your rights to dispute transactions and how to exercise those rights is provided in this Agreement. 

Rates and Charges:  You agree to the rates and charges and methods of computation set forth in this document which are made in accordance with the Truth 
in Lending Law.  The Monthly Periodic Rate for the monthly billing cycle is equal to 1/12 of the Annual Percentage Rate (APR). The Monthly Periodic Rate will be 
computed to 1/100th of one percent. The method for calculating the APR is explained below. The APR is subject to change on the first day of the first billing 
cycle at the beginning of each quarter (January, April, July, and October).  If the APR should change, then the Monthly Periodic Rate will change and the new 
rate will take effect on the first day of the billing cycle of January, April, July, and October. The APR will equal 12.5 percentage points plus the Index Rate. The 
Index Rate is the 26-week Treasury Bill rate set at the first Auction held in January, April, July, and October and adjusted up to the nearest 1/4%. Increases in the 
APR will result in a higher finance charge which may result in additional payments over a longer period in order to repay the  purchases balance or your cash 
advance balance. The  increased APR will apply  to any balance outstanding  on the effective  date of the change  as well  as to  future purchases and  advances. 
There is no minimum APR. The APR will not exceed 18% per year or the maximum permitted by applicable law, whichever is lower. The APR and the Monthly 
Periodic Rate used to compute your finance charge appears on your monthly statement. 

Foreign  Currency  Transactions:  Foreign  currency  transactions  will  be  converted  to  U.S.  Dollars  by  Visa.  Under  the  currency  conversion  procedure  that  Visa 
currently  uses,  the  non-U.S.  dollar  transaction  amount  is  converted  into  a  U.S.  dollar  amount  by  multiplying  the  transaction  amount  in  the  non-U.S.  dollar 
currency by a currency conversion rate. The conversion rate that Visa typically uses is either a government-mandated rate or a wholesale rate provided to Visa. 
The currency conversion rate that Visa uses for a particular transaction is the rate in effect for the applicable currency at  the time the transaction is processed. 
This rate may differ from the rate in effect when the transaction occurred or when it was posted to your Account, and may be higher than the rate you could 
have gotten if you had converted U.S. dollars into cash.  If a transaction initially in a foreign currency is converted to U.S. dollars before it is entered into the Visa 
network, the conversion rates and fees of the company that did the conversion will apply.  Visa applies a  1% International Transaction fee to foreign currency 
transactions. The fee is applied after converting the transaction currency into U.S. dollars.   Two separate entries will appear on your statement, one for the 

Page 2 of 4 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
foreign transaction and one for the International Transaction fee. The Latino Community Credit Union does not apply any additional conversion fee other than 
what Visa imposes. 

Refusal to Honor Card:  The Credit Union has no liability or responsibility if any Merchant refuses to honor the Card. 

Notice of Negative Information:  The Credit Union may report information about your Account to credit bureaus. Late payments, missed payments, or other 
defaults on your Account may be reflected on your credit report. 

Events of Default:  At the Credit Union’s option, all amounts due from you to the Credit Union will become immediately due and payable if any of the following 
circumstances apply: (a) default by the Cardholder in making any payment when due and payable, (b) default by the Cardholder  under any provision of these 
Rules and Regulations, (c) the Cardholder’s death or becoming insolvent or making an assignment for the benefit of creditors, (d) a petition being filed or any 
other  proceeding  being  commenced  under  the  Federal  Bankruptcy  Act  or  any  state  insolvency  statute  by  or  against  the  Cardholder,  or  (e)  a  receiver  being 
appointed for, or a writ or order of attachment, levy or garnishment being issued against the Cardholder or any of the Cardholder’s property, assets or income. 
To the extent permitted by law, you agree to pay attorney’s fees and collection costs we incur in collecting amounts you owe us and enforcing our rights under 
this Agreement. 

Obtaining  Account  Information/Receipts:  You  may  obtain  information  about  the  balance  of  your  Account  by  calling  our  automated  Latino  Direct  Voice 
Response number at 1-866-873-5228 or locally in Raleigh at 919-839-5435.  This information, along with a history of card transactions is also available online 
through Latino DirectNet at www.latinoccu.org.  You can get a receipt at the time you make any transaction with your Card at an ATM or point-of-sale terminal. 
A receipt may not be required for a point-of-sale transaction if the amount of the transaction is $50 of less. 

Periodic Statements: A statement will be mailed to you after the 20th  of each month in which there was a balance or activity on your Account. Statements are 
also  available  through  Latino  DirectNet  at  www.latinoccu.org.  We  reserve  the  right  to  stop  periodic  statements  if  your  Account  is  inactive.  Notify  the  Credit 
Union  immediately  of  any  charge  or  item  which  you  believe  to  be  incorrect  or  subject  to  dispute.  Any  charge  or  item  on  your  monthly  statement  will  be 
considered to be correct 60 days following the statement mail date if written notification from you is not received by that time. 

Payments:  If  you  choose  to  pay  less  than  the  total  New  Balance  as  shown  on  your  monthly  statement,  a  minimum  payment  is  required  to  be  made.  The 
minimum payment is computed as 3% of your total New Balance or $25, whichever is greater.  Generally, payments above the Minimum Payment due will be 
applied first to higher interest rate balances and then to lower interest rate balances. This may help you pay off your highest interest rate balances more quickly 
and reduce your interest charges.  Payments  received  at a  branch  office  by  5:00 pm  Monday through  Thursday  or  6:00 pm  Friday  will be credited the same 
business day. Payments received electronically through an optional payment service, including online through Latino DirectNet, or through Latino Direct Voice 
Response, will be credited based on the terms presented during use of the service. 

Late Charges: If you fail to make the Minimum Payment shown on your monthly statement by the 5th calendar day after the Payment Due Date shown on your 
monthly statement, we will charge you a late fee of $10 or the amount of the Minimum Payment if it is less than $10. You will only have to pay the late charge 
once on the same late payment. Any payment you make will be treated as being your oldest payment due. 

Overdraft Transfer Service: You may request Overdraft Transfer Service if you maintain a Credit Union checking account and a Credit Union issued Visa card. 
Overdraft Transfer cash advances will be made in $50 increments up to your credit limit less any outstanding balance. If the available amount is less than $50, all 
funds available will be transferred if these funds are sufficient to cover the item(s) in the checking account. You understand that the regular increment amount is 
subject to change by the Credit Union without notice. If your Visa credit card Account is 30 or more days past due, or over the approved credit limit, Overdraft 
Transfer Service will not be available until the Account is current.  Rates and methods of computation are the same as other cash advances. 

Refunds and Merchant Disputes: If you are entitled to a refund or credit for any reason, you agree to accept a credit to your Card instead of a cash refund,  if 
the merchant does not provide cash refunds. You will settle all disputes about purchases you make using your Card with the merchant who honored the Card. 
We are not responsible for the delivery, quality, safety, legality or other aspect of goods or services that you purchase from others with the Card. 

Liability for Unauthorized Use: If you notice the loss or theft of your Card or a possible unauthorized use of your Card, you should notify us immediately at the 
address  listed  on  your  bill  or  LCCU,  P.O.  Box  25360,  Durham,  NC  27702,  or  call  us  at  919-595-1800.  You  may  also  contact  us  through  Latino  DirectNet  at 
www.latinoccu.org.  You will not be liable for any unauthorized use that occurs after you notify us.  You may, however, be liable for unauthorized use that occurs 
before your notice to us.  In any case, your liability will not exceed $50. 

What To Do if You Discover a Mistake on Your Statement:  If you believe there is an error on your statement, notify us in writing at the address on your bill, 
or:  LCCU,  P.O.  Box  25360,  Durham,  NC  27702.  You  may  also  contact  us  through  Latino  DirectNet  at  www.latinoccu.org.  In  your  letter,  please  provide  the 
following information: 

• Account Information:  Your name and Account number. 
• Dollar Amount:  The dollar amount of the suspected error. 
• Description of Problem:  If you believe there is an error on your bill, describe the error and why you believe it is a mistake. 

You must contact us within 60 days after the error appeared on your statement.  You must notify us of any potential errors in writing (or electronically).  You 
may call us, but if you do we are not required to investigate any potential errors and you may have to pay the amount in question. 

Page 3 of 4 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
While we investigate whether or not there has been an error, the following are true: 

• We cannot try to collect the amount in question, or report you as delinquent for that amount. 
• The charge in question may remain on your statement, and we may continue to charge you interest on that amount.  But, if we determine that we 

made a mistake, you will not have to pay the amount in question or any interest or other fees related to that amount. 

• While you do not have to pay the amount in question, you are responsible for the remainder of your balance. 
• We can apply any unpaid amount against your credit limit. 

Your Rights if You Are Dissatisfied with Your Credit Card Purchases:  If you are dissatisfied with the goods or services that you have purchased with your  
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: 

• The purchase must have been made in your home state or within 100 miles of your current mailing address, and the purchase price must have been 
more than $50.  (Note: Neither of these are necessary if your purchase was based on an advertisement we mailed to you, or if we own the company 
that sold you the goods or services.) 

• You must have used your Card for the purchase. Purchases made with cash advances from an ATM or with a check that accesses your credit card 

Account do not qualify. 

• You must not yet have fully paid for the purchase. 

If all of the criteria above are met and you are still dissatisfied with the purchase, contact us in writing (or electronically) at Our Mailing Address:  LCCU, P.O. Box 
25360, Durham, NC  27702, or through Latino DirectNet at  www.latinoccu.org.  While we investigate, the same rules apply to the disputed amount as discussed 
above.  After completion of our investigation, we will notify you of our decision. At that point, if we believe you owe an amount and you do not pay, we may 
report you as delinquent. 

Military  Lending  Act  Covered  Borrower:  A  covered  borrower  is  identified  by  the Military  Lending  Act  as  someone  that  at  the  time  of  loan  origination  is  a 
member of the Armed Forces serving on active duty, active Guard  duty, or Reserve duty.  A dependent of someone on active duty is also a covered borrower 
under the Military Lending Act. 

Notice of Military APR: Federal law provides important protections to members of the Armed Forces and their dependents relating to  extensions of consumer 
credit. In general, the cost of consumer credit to a member of the Armed Forces on active duty or active Guard or Reserve duty and his/her dependent(s) may 
not exceed an annual percentage rate of 36% for certain types of consumer loans. This rate must include, as applicable to the credit transaction or account: the 
costs associated with credit insurance premiums; fees for ancillary  products sold in connection with the credit transaction;  any application fee charged (other 
than certain application fees for specified credit transactions or accounts); and any participation fee charged (other than certain participation fees for a credit 
card account). 

According to Part 232 of Title 32 of the Code of Federal Regulations for Limitations on Terms of Consumer Credit Extended to Service Members and Dependents, 
a creditor is required to provide a covered borrower an oral disclosure relating to the extension of credit. 

You may obtain your complete oral disclosure by calling us at: 1-833-595-1800. 

Upon activation, the cardholder acknowledges receipt of a copy of the MILITARY APR DISCLOSURE STATEMENT and one copy of the Federal Truth in Lending 
Disclosure  Statement,  all  given  by  lender  in  compliance  with  Truth  in  Lending  Simplification  and  Reform  Act  of  1980  (Public  Law  96-221)  and  the  Military 
Lending Act. 

OCS #1604210 

Page 4 of 4