SCOTIABANK CREDIT CARD CARDHOLDER AGREEMENT

The  use  of  the  Visa®  and  MasterCard®  credit  Cards 
issued by Scotiabank de Puerto Rico (the Bank) to the 
Applicant  or Applicants  (referred  to  individually  and/or 
collectively  as  the  Cardholder)  shall  be  governed  by 
the following terms and conditions: 

I. USE OF THE CARD 
The Cardholder and its company shall use the Card for 
the purchase or lease of merchandise and services in 
establishments  where  the  Card  is  accepted  and  to 
obtain  Cash  Advances  from  the  Bank  or  from  any 
other bank that may accept the Card, subject to such 
limits  as  the  Bank  or  the  issuing  bank  may  establish 
from time to time. 

The  Cardholder  authorizes  the  Bank  to  pay  and 
for  all  Purchases  or 
charge  his/her  Account 
merchandise,  service  and  Cash  Advances  made  with 
the  Card  and  the  Cardholder  agrees  to  pay  the  Bank 
for  all  such  Purchases  and  Cash  Advances  plus  the 
that  are  assessed  on  the 
FINANCE  CHARGES 
Cardholder’s Account, and any other charges that the 
Cardholder  may  owe  according  to  the  terms  of  this 
Agreement,  which  sums  shall  be  payable  in  full  or  in 
monthly  installments  in  legal  tender  of  the  United 
States of America. 

II. CREDIT LIMIT 
The  initial  credit  limit  granted  by  the  Bank  for  the 
Cardholder’s  Account  shall  appear  in  a  notice  to  be 
sent  with  the  Card.  Also,  the  Credit  Limit  effective  at 
the date of each monthly billing statement shall appear 
on the statement. If the Cardholder exceeds the Credit 
Limit approved by the Bank, the Bank shall be entitled 
to  close  the  Account,  cancel  the  Card,  demand  its 
surrender  or  take  possession  of  the  Card.  The 
Cardholder  upon  demand  shall  pay  any  amount  in 
excess  of  the  Credit  Limit  approved  by  the  Bank.  No 
over-the-limit  fee  will  be  charged  by  the  Bank.  The 
initial  Credit  Limit  granted  by  the  Bank  for  the 
Cardholder’s  Account  can  be 
for  not 
complying  with 
the  Bank’s  established  credit 
parameters  and  if  any  of  the  following  conditions 
occurs:  

reduced 

A.  Inadequate  Account  management  that  is  not  in 
accordance with Bank credit policies that may include: 
one  late  payment,  a  returned  check,  over  limit  of  the 
established credit line. 
B. Not using the credit Card for a period longer than 12 
months. 
C. Not activating the Card. 

Cash Advance Limit: The maximum amount that will 
be  available  for  cash  advances  will  be  20%  of  your 
approved limit, if available. 

III. CANCELLATION OF THE CARD 
You may cancel your Account at any time by notifying 
us in writing. You may also cancel your Card if you do 

not agree with changes to be made to this Agreement. 
Refer to Section XIV. 
The  Card  is  the  property  of  the  Bank  and  the  latter 
may  cancel  the  Card  at  any  time  without  previous 
notice to the Cardholder, who agrees to return, at the 
Bank’s request, any issued Card. 

IV. MONTHLY BILLING STATEMENT 
The  Bank  will  provide  the  Cardholder  with  a  monthly 
billing statement, containing all information required by 
law. 

V. FINANCE CHARGES 
The FINANCE CHARGES of the Cards are computed 
only  on 
for  purchase  of 
merchandise,  services,  Cash  Advances  and  Balance 
Transfers. 
The monthly and annual rates are the following: 

the  principal  balance 

Card Type 

APR for 
Purchases 

Monthly 
(Periodic 
Rate) 
Purchases 

APR 
for Cash 
Advances 

Monthly 
(Periodic 
Rate) Cash 
Advances 

MasterCard/ 
Visa 

18.95% 
19.99% 
24.99% 

1.5792% 
1.6658% 
2.0825% 

22.99% 
22.99% 
24.99% 

1.9158% 
1.9158% 
2.0825% 

Gold 
MasterCard 

Visa Gold  

17.90% 

1.4917% 

22.99% 

1.9158% 

14.99% 
16.99% 
19.99% 
24.99% 

1.2492% 
1.4158% 
1.6658% 
2.0825% 

14.99% 
16.99% 
19.99% 
24.99% 

1.2492% 
1.4158% 
1.6658% 
2.0825% 

APR (Annual Percentage Rate) 

The applicable annual percentage rate for MasterCard 
and Visa on Purchases, Cash Advances and Balance 
Transfers  can  be  18.95%,  19.99%  or  24.99%.  This 
rate is established according to your experience upon 
approval of your application, on the free market and on 
the regulation in effect. 
The  applicable  annual  percentage  rate  for  Visa  Gold 
on Purchases, Cash Advances and Balance Transfers 
can be 14.99%, 16.99%, 19.99% or 24.99%. This rate 
is  established  according  to  your  experience  upon 
approval of your application, on the free market and on 
the regulation in effect. 
A. The Bank determines the FINANCE CHARGES you 
will pay for the purchase of merchandise and services 
as follows: 
1.  The  Average  Daily  Balance  for  Purchases  is 
calculated  by  adding  the  outstanding  balance  at  the 
end of each day during the preceding billing cycle and 
dividing that sum by the number of days in that billing 
cycle. The outstanding balance at the end of each day 
is  determined  by  (a)  adding  to  the  previous  day’s 
outstanding balance any Purchase posted on that day, 
the  previous  day’s 
from 
and 

(b)  subtracting 

 
 
 
 
 
 
 
 
 
 
 
 
outstanding  balance  any  payment  received  or  credit 
posted in relation to Purchases during that day. 
2. Then it multiplies the Average Daily Balance by the 
actual monthly periodic rate. 
B. The Bank determines the FINANCE CHARGES you 
will pay for Cash Advances as follows: 
1.  The  Average  Daily  Balance  for  Cash  Advances  is 
calculated  as  prior  stipulated  for  merchandise  and 
services using a monthly periodic rate. 
2. Then it multiplies the Average Daily Balance by the 
actual monthly periodic rate. 
3. There is no grace period to avoid paying FINANCE 
CHARGES 
the 
customer. 
C.  No  FINANCE  CHARGES  will  be  assessed  on 
Purchases  of  merchandise  and  service  during  a 
monthly  billing  cycle  if  the  Cardholder  pays  the 
balance in full on or before the due date shown on the 
billing  statement.  FINANCE  CHARGES  will  be 
assessed  on  Cash  Advances  or 
if  you  use  a 
Convenience Check from the date the Cash Advance 
is posted to the Cardholder’s Account until it is repaid 
in  full.  BALANCE  TRANSFERS  and  CONVENIENCE 
CHECKS are handled as Cash Advances. 

for  Cash  Advances  obtained  by 

VI. MINIMUM PAYMENT 
The Cardholder may pay the full amount or a portion of 
the  New  Balance  show  on  his/her  monthly  billing 
statement but must pay at least the minimum monthly 
payment,  calculated  as  follows:    3%  of  the  new 
balance plus any amount due and/or amount over the 
approved limit, or $25, whichever is greater. 

VII. APPLICATION OF PAYMENTS 
If  the  Cardholder  pays  an  amount  in  excess  of  the 
required  Minimum  Payment,  the  excess  shall  be 
applied  against  the  principal  amount  with  the  highest 
interest rate. 

VIII. ANNUAL MEMBERSHIP FEE 
The  Cardholder  is  subject  to  pay  an  annual  fee,  as 
well as a fee for each additional Card. The fees apply 
even  if  the  Cardholder  and/or  the  authorized  persons 
do  not  use  the  Card(s).  The  fees  may  change  over 
time,  at  the  Bank’s  discretion.  You  may  cancel  your 
Card if you do not agree with an annual fee increase. 
Refer to Section XIV of this Agreement. 
The following fees apply: 

Card Type 
MasterCard 
Gold MasterCard 
Visa 
Visa Gold  

Annual Fee 
$29 
$49 
$29 
$45 

Additional Card Fee 
$9 
$9 
$9 
$9 

IX. OTHER CHARGES 
For all cards there is a $25.00 late payment charge if 
the Minimum Payment is not received by the payment 
due  date.  Any  subsequent  violations  that  occur  after 
the first late payment, over the next 6 months, may be 
subject  to  a  $35  late  payment  fee.  After  the  6-month 

period has elapsed, the next late payment violation will 
be  subject  to  a  $25  fee  and  another  6-month  period 
will  commence  where  late payment  violations may  be 
subject  to  a  $35  fee,  and  so  on.  In  any  case,  the 
amount  of  the  fee  will  not  exceed  the  minimum 
monthly  payment  amount  for  the  billing  statement  in 
which your monthly payment was late. 

For all Cards, a 2% fee for Cash Advance or Balance 
Transfer  amounts  will  be  charged  to  your  Account 
with a maximum fee of $10.00 and minimum of $2.00 
for each Cash Advance obtained, be it made by ATM, 
branch, Cash Advance or from Convenience Checks. 

Foreign  Transaction  Fee:  A  fee  of  1%  of  the 
transaction  in  USD  will  apply  to  each  transaction 
made  in  a  foreign  currency,  and  is  additional  to  any 
other applicable fees.  
If you pay by check and the check payment is returned 
unpaid,  an  administrative  fee  of  $10.00  will  be 
assessed every time the check is returned unpaid. 
These charges will be added to your balance account 
for purchase of merchandise and services. These fees 
may  vary  from  time  to  time  at  the  Bank’s  discretion 
with prior notification. 

One  Fee  for  Violations  Resulting  From  Single 
Event or Transaction: We will not impose more than 
one of the above-described fees for violating the terms 
of your account based on a single event or transaction. 
For example, if your payment is returned after the date 
it  was  due  as  shown  on  your  billing  statement  as  a 
result  of  non-sufficient  funds  or  other  reason,  we  will 
impose a late payment fee, a returned payment fee or 
a non-sufficient funds fee but not all of them because 
the  late  payment  and  the  returned  payment  have 
resulted from the same event or transaction.  

X. DEFAULT APR 
Default  Rate:  The  APR  that  will  apply  to  the  Account 
balance,  including  new  Purchases,  Cash  Advances 
and  Balance  Transfers,  can  increase  to  24.99%  or 
28.99%  APR,  subject  to  your  credit  behavior  score  if 
any of the following conditions occurs: 

A.  The  Minimum  Payment  is  not  received  within  60 
days of the due date on the account statement. 

B.  Inadequate  account  management  that  is  not  in 
accordance with Bank credit policies that may include: 
one  late  payment,  a  returned  check,  over  limit  of  the 
established  credit  line,  and  non-compliance  with  the 
credit  parameters  established  by  the  Bank.  The  Bank 
will provide previous notices as required by law before 
the  implementation  of  default  rates.  The  default  rate 
will revert to the regular APR when six (6) consecutive 
Minimum Payments are received by the due date. 

XI. LOSS OR THEFT OF THE CARD 
In the event of loss or theft of the Card, the Cardholder 
shall  promptly  notify  the  Bank  by  telephone  787-766-

 
 
 
 
 
 
 
 
 
 
 
 
4999  (toll  free:  1-877-766-4999)  24  hours,  7  days  a 
week,  or  at  1-800-847-2911  (United  States);  or  by 
sending  a  fax  to  787-704-6510.  The  Cardholder  will 
complete  and  submit  such  forms  or  reports  as  the 
Bank  may  require.  The  Cardholder’s 
for 
unauthorized  use  of  the  Card  will  not  exceed  the 
lesser  of  $50.00  or  the  amount  of  money,  property, 
labor or services obtained by the unauthorized use of 
the  Card  if  the  customer  notified  the  Bank  within  two 
days of discovering the loss. 

liability 

XII. BALANCE INSURANCE 
The Cardholder can apply for credit plan insurance, in 
which  you  will  insure  the  Account  balance  up  to  a 
maximum  of  $10,000.  This  is  optional;  the  credit  plan 
insurance is not a requirement to obtain the Card. 

XIII. ACCELERATION OF THE DEBT 
The Bank may accelerate the maturity of any part or al 
l of the amount owed under this Agreement under the 
occurrence  of  any  of  those  circumstances  prescribed 
by law. 

to 

the  effective  date  of 

XIV. AMENDMENTS 
The Bank shall have the right to amend the terms and 
conditions  at  any  time  by  giving  written  notice  to  the 
Cardholder  prior 
the 
amendment as required by applicable regulation. If the 
Cardholder  does  not  accept  the  amended  terms  and 
conditions stated  in  the written  notice, the  Cardholder 
may cancel the Agreement in accordance with the law 
by  following  the  cancellation  procedure  described  in 
the  written  notice.  If  you  do  not  agree  with  the 
amendments  and  want  to  cancel  the  Agreement,  you 
must  notify  us  in  writing  before  the  date  the  changes 
become  effective  and  continue  to  pay  the  balances 
owed according to the terms and conditions previously 
in effect. 

XV. MISCELLANEOUS PROVISIONS 
A. The Bank is hereby authorized by the Cardholder to 
investigate the Cardholder’s credit references. 
B.  The  Cardholder  may  apply  for  additional  Cards 
under  the  Cardholder’s  current  Account  number  for 
use by other persons designated by the Cardholder, in 
which case the Cardholder shall be severally liable for 
the  payment  of  all  Purchases  and  Cash  Advances 
made  through  the  use  of the  additional  Cards,  and of 
the  FINANCE  CHARGES  pertaining  thereto.  If  the 
Cardholder wants to revoke the authorization given by 
him/her  to  other  people  to  use  the  Cards,  the 
Cardholder must notify those persons of the revocation 
and obtain and surrender to the Bank the Cards issued 
to such people. 
C. The Bank’s failure to exercise any of its rights under 
the  contract  shall  not  be  deemed  to  be  a  waiver  of 
such rights. 
D.  Joint  accounts:  You  shall  be  jointly  and  severally 
liable for the total payment of the Purchases and Cash 
Advances  made  with  your  Cards.  The  Bank  can 
require  the  appearance  and  signature  of  all  the 

purchasers to process certain instructions or requests, 
which include, but are not limited to, (1) a request for 
increase  or  reduction  in  the  Credit  Limit,  (2)  the 
issuance  of  additional  Cards,  and  (3)  change  of 
address to which the Account Statement of your Card 
is  mailed.  You  agree  to  release  and  indemnify  the 
Bank  of  all  responsibility  due  to  damages,  losses  or 
expenses that arise as a result of any action executed 
by  the  Bank  in  compliance  with  the  instructions  given 
by any of you.  
E. The Bank is not responsible if a Purchase or Cash 
Advance on your Account is not approved either by the 
Bank  or  by  a  third  party,  even  if  you  have  sufficient 
credit  available.  The  Bank  may  limit  the  number  of 
Purchases or Cash Advances that may be approved in 
one  day.  If  the  Bank  detects  unusual  activity  in  your 
Account,  it  may  temporarily  suspend  your  credit 
privileges  until  it  can  verify  that  the  transaction  is 
legitimate. The Bank may approve Purchases 
or  Cash  Advances  that  cause  the  balance  to  exceed 
your Credit Limit without waiving any of its rights under 
this Agreement.  
F.  If  any  clause  or  part  thereto  of  this  Contract  is 
annulled by Court or becomes ineffective by provisions 
of  law  or  regulations,  the  remaining  provisions  of  this 
Contract shall not be affected and shall continue in full 
force and effect. 
G. This Contract shall be interpreted under the laws of 
the Commonwealth of Puerto Rico and the currency let 
out herein shall be United States dollars. 
H. You have no obligation to accept this Card, nor will 
you be held responsible for any of the charges, unless 
you  choose  to  accept  it.  Use  of  this  Card  shall 
constitute its acceptance with the terms and conditions 
of  this  Agreement.  If  you  choose  not  to  accept  the 
Card,  you should  notify  the  Bank  within  30  days  after 
receiving  this  Agreement  without  having  used  it.  To 
notify, please call 787-766-4999 or toll free 1-877-766-
4999  or  write  to:  Scotiabank  de  Puerto  Rico,  PO  Box 
362230, San Juan, PR 00936-2230. 

XVI. BILLING ERRORS 
What To Do If You Think You Find A Mistake On Your 
Statement 

If you think there is an error on your statement, write to 
us at: 

Scotiabank de Puerto Rico 
PO Box 362230 
San Juan, PR 00936-2230 

the  Web: 

contact  us  on 

You  may  also 
scotiabankpr.com. 
In your letter, give us the following information: 
•  Account 
number. 
•  Dollar  amount:  The  dollar  amount  of  the  suspected 
error. 

information:  Your  name  and  Account 

 
 
 
 
 
 
 
 
•  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. 

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.  While  we 
investigate whether or not there has been an error, the 
following are true: 
1. We cannot try to collect the amount in question, or 
report you as delinquent on that amount. 
2.  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. 
3.  While  you  do  not  have  to  pay  the  amount  in 
question, you are responsible for the remainder of your 
balance. 
4.  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  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. 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.) 

If  all  of  the  criteria  above  are  met  and  you  are  still 
dissatisfied with the Purchase, contact us in writing at: 
Scotiabank de Puerto Rico 
PO Box 362230 
San Juan, PR 00936-2230.  
You  may  also 
the  Web: 
scotiabankpr.com.  While  we  investigate,  the  same 
rules  apply  to  the  disputed  amount  as  discussed 
above. If you owe an amount and you do not pay we 
may report you as delinquent. 

contact  us  on 

IMPORTANT 
PROCEDURES TO OPEN A NEW ACCOUNT  

INFORMATION 

ABOUT 

To help the government in their fight against terrorism 
and  money  laundering  activities,  federal  laws  require 
that all financial institutions obtain, verify and maintain 
the  identification  information  of  each  person  who 
opens a new account.  What does this signify to you: 
when  you  open  an  Account  we  will  ask  your  name, 
address  and  date  of  birth  and  any  other  information 
that could help us to identify you. Also, we may ask for 
your  license  number  and  any  other  document  that 
identifies you. 

this 

receiving  or  acquiring 

NOTICE TO THE CARDHOLDER 
The  Assignee 
retail 
installment  Contract  or  promissory  note  related  there 
to shall be subject in equal conditions, to any claim or 
defense  that  the  buyer  may  initiate  against  the  seller. 
The assignee of the Contract shall have the right to file 
against  the  seller  all  the  claims  and  defense  that  the 
buyer  may  raise  against  the  seller  of  the  goods  or 
services. 

NOTICE TO THE ASSIGNEE 
DO  NOT  SIGN  THIS  CONTRACT  BEFORE  YOU 
READ  IT  OR  IF  IT  CONTAINS  BLANK  SPACES. 
YOU  ARE  ENTITLED  TO  A  COPY  OF  THIS 
CONTRACT. UNDER THE PRESENT LAW 
YOU HAVE THE RIGHT TO PAY IN ADVANCE THE 
FULL AMOUNT DUE. 

Cardholder (Applicant): 

Cardholder (Co-Applicant): 

Date: 

Date: 

  FOR BANK USE ONLY 

Account Number 

  By: _______________ 

Officer’s Signature 

SCOTIABANK DE PUERTO RICO 
PO BOX 362230 
SAN JUAN, PR 00936-2230 

2.  You  must  have  used  your  credit  Card  for  the 
Purchase. Purchases made with Cash Advances from 
an ATM or with a Convenience Check do not qualify.  
3.  You must not yet have fully paid for the Purchase. 
    * Trademark of The Bank of Nova Scotia, used under license. Member FDIC. OCIF Lic. 22. 
     ® Visa is a registered trademark of Visa International Service Association. 
     ® MasterCard is a registered trademark of MasterCard International Incorporated. 

    MCVICA Puerto Rico 11/2011 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
     
   
 
 
 
 
 
 
 
 
 
      
Disclosure Statement 

Interest Rates and Charges 

Annual Percentage Rate (APR) for 
Purchases 

APR for Balance Transfers and Cash 
Advances 

Penalty APR and When it Applies 

Paying Interest 

Cash Advance Limit 

For Credit Card Tips from The Federal 
Reserve Board 
Fees 

Visa® and MasterCard® 

18.95%, 
19.99% or 
24.99% 

Visa Gold 
14.99%, 
16.99%, 
19.99% or 
24.99% 

Gold MasterCard  

17.90% 

This rate is established according to your experience upon approval 
of your application, on the free market and the regulation in effect. 

22.99% or 
24.99% 

14.99%, 
16.99%, 
 19.99% or 
 24.99% 

This rate is established according to your experience upon approval 
of your application, on the free market and the regulation in effect. 
24.99% or 28.99%, subject to your credit score. 

22.99% 

This APR may be applied to your account if: 

o  The  Minimum  Payment  is  not  received  within  60  days  of  the  due  date  on  the  account 

statement. 

o  Inadequate account management that is not in accordance with Bank credit policies that 
may include:  one late payment, returned check, over limit of the established credit line, 
and non compliance with the credit parameters established by the Bank. 

For How Long Will the Penalty APR Apply? If your APR is increased for any of these reasons, 
the Penalty APR will apply until you make six (6) consecutive Minimum Payments when due and 
do not exceed your credit limit during that time period. 
Your  due  date  is  at  least  25  days  after  the  close  of  each  billing  cycle.    We  will  not  charge  you 
interest on Purchases if you pay your entire balance by the due date each month.  We will begin 
charging  interest  on  Cash  Advances  and  Balance  Transfers  on  the  transaction  date  until  the 
amount  is  repaid  in  full.    Balance  Transfers  and  Convenience  Checks  are  handled  as  Cash 
Advances. 

The maximum amount that will be available for cash advances will be 20% of your approved limit, 
if available. 

To  learn  more  about  factors  to  consider  when  applying  for  our  using  a  credit  card,  visit  the 
Federal Reserve Board website at: http://www.federalreserve.gov/creditcard 

Visa and MasterCard 

Visa Gold 

Gold MasterCard 

Annual Fee 

o  For each additional Card 

$29 
$9 

$45 
$9 

$49 
$9 

Cash Advances and Balance Transfers 

A 2% fee for Cash Advances and Balance Transfers will be charged to your Account, with a 
minimum fee of $2.00 and a maximum fee of $10.00. 

Foreign Transaction  
(Currency Exchange) 

Returned Payment 

Late Payment 

A 1% transaction fee of the amount in USD will apply to each transaction made in a foreign 
currency, and is additional to any other applicable fee. 

$10 

Up to $35 

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

Billing Rights: Information on your rights to dispute transactions and how to exercise those rights is provided in your Cardholder Agreement.  

For more information you may contact a TeleScotia Representative at (787) 766-4999 or 1-877-766-4999.  You may also contact us at PO Box 
362230, San Juan Puerto Rico 00936-2230. 

Signature (Applicant): ___________________________________________________________________   Date: ___________________ 

Signature (Co-Applicant): ________________________________________________________________   Date: ___________________ 

*Trademark of The Bank of Nova Scotia, under license.  Member FDIC.  OCIF Lic. 22.  
®Visa is a registered trademark of Visa International Service Association.  
®MasterCard is a registered trademark of MasterCard International Incorporated.   

11/2011