MAX CREDIT UNION  
CLASSIC CREDIT CARD AGREEMENT  
(RETAIN FOR YOUR RECORD) 

In this Agreement, the words “you” and “your” mean each and all of those who have applied for the Card,  signed the Card, used the Card or authorized someone 
else to use the Card. “Card” means either the VISA card, the MasterCard credit card, or both, and any duplicates and renewals we issue. Account means your 
MAX Credit Union VISA card or MASTERCARD credit card Line of Credit Account with us. “We,” “us” and “ours” mean MAX Credit Union. If you do not agree to 
the terms and conditions of this Agreement, you must not use any Card issued to you and you must cut all Cards issued to you in half and return them to us. 

1. Responsibility. If we issue you a Card, you agree to repay all debts and the FINANCE CHARGE arising from the use of the Card and the Account. For 
example, you are responsible for charges made by yourself, your spouse and minor children. You also agree to be responsible for charges made by anyone else 
to whom you give the Card, and this responsibility continues until the Card is recovered. You cannot disclaim responsibility  by notifying us, but we will close the 
Account  for  new  transactions  if  you  so  request  and  if  you  return  all  Cards.  Your  obligation  to  pay  the  Account  balance  continues  even  though  an  agreement, 
divorce decree or other court judgment to which we are not a party may direct you or one of the other persons responsible to  pay the Account. Any person using 
the Card is jointly responsible with you for charges he or she makes, but if that person signs the Card, he or she becomes a  party to this Agreement and is also 
jointly responsible for all charges on the Account, including yours. You agree the Card may not be used for any illegal or unlawful activity or transactions, including 
but not limited to, illegal gambling. 

2. Lost Card Notification. If you believe the Card has been lost or stolen, you will immediately call us at 1 (800) 325-3678. 
3. Liability for Unauthorized Use. You may be liable for the unauthorized use of your Card. You will not be liable for unauthorized use that occurs after you 
notify the Credit Union, orally or in writing, of the loss, theft, or possible unauthorized use. In any case, your liability will not exceed $50.00. For Visa Credit Cards, 
if  you  tell  the  Credit  Union  after  learning  of  the  loss  or  theft  of  the  Card  your  liability  for  unauthorized  transactions  using  the  VISA  system  is  zero.  For  ATM 
transactions,  card  transactions  through  a  non-Visa  network,  Visa  Commercial  cards,  Visa  or  Plus*  ATM  or  any  ATM  transactions,  or  cards  issued  outside  the 
United States, if you tell the Credit Union within two (2) days after learning of the loss or theft of the Card, your liability for unauthorized transactions is $50.00 and 
$500 if you do not tell the Credit Union within two (2) business days and if you do not tell us within sixty (60) days after the statement was mailed, you may not get 
back any money you lost if we can prove that we could have stopped someone from taking the money had you told us in time. We may require you to provide a 
written statement regarding claims of unauthorized transactions. If we determine that you have been grossly negligent or fraudulent in the handling of your account 
or Card, your liability may increase. For MasterCard credit card, you will have no liability for unauthorized use if you comply with each of the following: you report 
the loss, theft or possible unauthorized use of the Card to the Credit Union orally or in writing; you demonstrate that you have exercised reasonable care with the 
Card; you have not reported two or more incidents of unauthorized use on your account within the preceding twelve months, and your account is in good standing. 
If you do not meet all of these conditions, your liability for unauthorized Card use is a maximum of $50.00. The term “unauthorized” use does not include losses 
that occur due to any of the following conditions: use of the Card from which you receive a benefit or use of the Card by a person with actual, implied, or apparent 
authority. These limits of liability may be exceeded to the extent allowed  under applicable law, if we determine that you handled the  account in a fraudulent or 
grossly negligent manner. These rules do not apply to Maestro, Cirrus Card transactions or other electronic transfers. 

4. Credit Line. If we approve your application, we will establish a self-replenishing Line of Credit for you and notify you of its amount when we issue the Card. 
You agree not to let the Account balance exceed this approved Credit Line. Each payment you make on the Account will restore your Credit Line by the amount of 
the payment which is applied to principal. You may request an increase in your Credit Line by written application to us, or by telephone at 334-279-1122 or 1-800-
279-7535, which must be approved by a loan officer. By giving you written notice, we may reduce your Credit Line from time to time or, with good cause, revoke 
your Card and terminate this Agreement. Good cause includes your failure to comply with this Agreement or our adverse reevaluation of your credit worthiness. 
You may also terminate this Agreement at any time, but termination by either you or us does not affect your obligation to pay the Account balance. The Cards 
remain our property, and you must recover and surrender to us all Cards upon our request and upon termination of this Agreement. 

5.  Credit  Information.  You  authorize  us  to  investigate  your  credit  standing  when  opening,  renewing  or  reviewing  your  Account,  and  you  authorize  us  to 

disclose information regarding your Account to credit bureaus and other creditors who inquire of us about your credit standing. 

6. Monthly Payment. We will mail you a statement every month showing your Previous Balance of purchases and cash advances, the current transactions 
on your account, the remaining credit available under your Credit Line, the New Balances of purchases and cash advances, the Total New Balance, the FINANCE 
CHARGE due to date, any other billed fees, and the Minimum Payment required. Every month you must pay at least the Minimum Payment within 25 days of your 
statement closing date. You may; of course, pay more frequently, pay more than the Minimum Payment, or pay the Total New Balance in full, and you will reduce 
the FINANCE CHARGE by doing so. The Minimum Payment will be either (a) 3.00% of your Total New Balance, or $10.00, whichever is greater, or (b) your Total 
New Balance, if it is less than $10.00, plus (c) any portion of the Minimum Payment(s) shown on prior statement(s) which remains unpaid. In addition, at any time 
your total New Balance exceeds your Credit Line, you must immediately pay the excess upon our demand. We will apply your payments first to the previously 
billed  and  unpaid  FINANCE  CHARGE  on  cash  advances; then  to the  previously  billed  and  unpaid  FINANCE  CHARGE  on  purchases;  then  to  any  late  charge 
outstanding and/or any over the limit charge outstanding, if applicable: then the remainder of the payment will be prorated  and applied to the cash advance and 
purchases’ outstanding balances. If a payment is ever late ten days or more, you will be charged a late charge equal to 5.00% of the amount of the scheduled 
payment in default, with a minimum charge of $.50 and a maximum charge of $25.00. You agree a fee of up to $30.00 will be added to your card balance, and 
such a fee will be treated as a purchase including FINANCE CHARGES, if a check to pay all or part of the card balance is returned unpaid. 

7. Finance Charges. If you have a zero purchase balance at the beginning of a statement cycle, you can avoid a FINANCE CHARGE on purchases billed 
during the cycle by paying the full amount of the New Balance of Purchases within 25 days of your statement closing date. Otherwise, purchases will be subject to 
a FINANCE CHARGE from the date they are posted to your account. Cash advances are always subject to a FINANCE CHARGE from the date they are posted 
to your Account. The  FINANCE  CHARGE  (interest) is calculated at the periodic  rate of 1.042% per month (ANNUAL PERCENTAGE RATE of 12.5%), on the 
average  daily  principal  balances  of  purchases  and  cash  advances  in  the  Account.  Separate  FINANCE  CHARGES  for  purchases  and  cash  advances  are 
determined by multiplying the periodic rate by the separate average daily balance for purchases and cash advances. Each average daily balance is determined by 
taking the beginning balance (of cash advances and purchases) in your account each day, adding any new purchases or cash advances (whichever is applicable) 
and subtracting any payments or credit. The results are the daily balances. The daily balances are totaled, and divided by the number of days in the statement 
period to produce separate average daily principal balances for purchases and cash advances to which the periodic rate is then applied. 

8. Default. You will be in default if you fail to make any Minimum Payment when due. You will also be in default if (a) your ability to repay us is materially 
reduced by a change in your employment, an increase in your obligations, bankruptcy or insolvency proceedings involving you, your death or your failure to abide 
by this Agreement, (b) you break any promise you have made to us under this Agreement or any other agreement you have with us, (c) any statement you have 
made in this Agreement, in connection with this Agreement or in connection with any other Agreement you have with us is not true, or (d) we should otherwise feel 
insecure  in  receiving  payment  of the  Account  balance  for  whatever  reason.  If  you  are  in  default,  we  have  the  right  to  demand  immediate  payment  of  your  full 
Account  Balance  at  once  without  notice  to  you.  In  the  event  of  a  default,  you  agree  to  pay  all  costs  of  collecting  the  amount  you  owe  under  this  agreement 
including, if the unpaid balance under this plan is greater than Three Hundred Dollars ($300.00) at the time of collection, reasonable attorney fees if  the debt is 
referred for collection to an attorney who is not our employee and if suit is filed, court costs. 

9.  Using  the  Card.  You  may  use  your  VISA  card  and/or  MASTERCARD  credit  card  at  millions  of  locations  worldwide.  In  addition,  you  may  obtain  cash 
advances from the Credit Union, from other financial institutions participating in the MasterCard credit card and/or VISA card program and from automated teller 
machines (ATMs), such as a VISA ATM Network and MasterCard ATM network, which provide access to the individual credit card system. (Not all ATMs provide 
such  access.)  You  will  need  to  use  your  Personal  Identification  Number  (PIN)  to  obtain  a  cash  advance  from  an  ATM.  The  monthly  statement  will  identify  the 
merchant, electronic terminal or financial institution at which transactions were made, but sales, cash advances, credit or other slips cannot be returned with the 
statement.  You  will  retain  the  copy  of  such  slips  furnished  at  the  time  of  the  transaction  in  order  to  verify  the  monthly  statement. We  may make  a  reasonable 
charge for photocopies of slips you request. 

10. Returns and Adjustments. Merchants and others who honor the Card may give credit for returns or adjustments, and they will do so by sending us a 
credit slip  which  we  will  post to  your  Account.  If  your  credits  and  payments  exceed  what  you  owe  us,  we  will  hold  and  apply  this credit  balance  against  future 
purchases and cash advances, or if it is $1 or more, refund it on your written request. 

11. Foreign Transactions. Payments, purchases and cash advances made in foreign currencies will be charged to your account in U.S. dollars. For Visa 
transactions, the exchange rate between the transaction currency and the billing currency used for processing international transactions is a rate selected by Visa 
from  the  range  of  rates  available  in  wholesale  currency  markets  for  the  applicable  central  processing  date,  which  the  rate  may  vary  from  the  rate  Visa  itself 
receives,  or  the  government  mandated  rate  in  effect  for  the  applicable  central  processing  date,  plus  the  1%  International  Transaction  Fee.  For  MasterCard 
transactions, the currency conversion procedures includes the use of either a government – mandated exchange rate, or a wholesale exchange rate selected by 
MasterCard,  and  the  rate  MasterCard  uses  for  a  particular  transaction  is  a  rate  selected  by  MasterCard  for  applicable  currency  on  the  day  the  transaction  is 
processed, which may differ from the rate applicable on the date the transaction occurred or when it is posted to the cardholder’s account. Cardholder agrees to 
pay the converted amount to the Issuer in U.S. dollars plus a fee of 1% for conversion and processing imposed by issuer and MasterCard. 

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

13.  Security  Interest.  To  secure  your  Account,  you  grant  us  a  purchase  money  security  interest  under  the  Uniform  Commercial  Code  in  any  goods  you 
purchase through use of the Card. If you default, we will have the right to recover any of these goods which have not been paid for through our application of your 
payments in the manner described in Paragraph 6. 

MAX.CLCC                                                                                                       Page 1 of 2                                                                                 Effective Date: 7/2012 

 
 
 
 
 
 
 
 
14. Security Agreement. The payment of the Credit Card Account shall be secured by all of my Credit Union accounts, shares and certificates (excluding 
Individual Retirement Accounts) I now have or hereafter may have including all accounts I have a right to withdraw from or an ownership interest in. I am giving 
this interest to secure repayment of my credit card account as well as any other amounts I now owe or will owe the Credit Union. I am giving the Credit Union a 
security interest in all present and future shares in my account I have with the Credit Union or in which I have an interest. I authorize the Credit Union to take 
those funds, shares or certificates and apply it to my debt if I am in default. The Credit Union may, solely at its option, allow me to withdraw a portion of my 
shares without affecting its security interest. Withdrawals may not be allowed if it will reduce the amount of my shares in the Credit Union below the amount of 
my debt. I am not giving a security interest in an IRA, SEP, KEOUGH, or any other account which, if pledged, would result in the loss of special tax treatment 
under the Internal Revenue Code. 

15. Effect of Agreement. This Agreement is the contract which applies to all transactions on your Account even though the sales, cash advances, credit or 
other slips you sign or receive may contain different terms. We may amend this Agreement from time to time by sending you any advance written notice required 
by law. Any amendment to this Agreement will take effect on the day it is mailed unless advance notice is required by law. Your use of the Card thereafter will 
indicate your agreement to the amendments. To the extent the law permits, and we indicate in our notice, amendments will apply to your existing Account balance 
as well as to future transactions. 

16. Governing Law. The terms and conditions of this Agreement are governed by and construed in accordance with the laws of the State of Alabama  and 

any applicable Federal law. 

17.  Delay  in  Enforcement.  No  delay  in  enforcement  of  our  rights  under  this  agreement  will  result  in  any  loss  of  our  rights  or  relieve  you  of  any  of  your 

obligation. 

18. Invalidity of Provisions and Captions. If any provision of this agreement is deemed invalid the rest of this Agreement will remain in full force and effect. 

The paragraph headings are for convenience only and do not form a part of this Agreement. 

YOUR BILLING RIGHTS  
(KEEP THIS NOTICE FOR FUTURE USE) 

This notice contains important information about your rights and our responsibilities under the Fair Credit Billing Act. 

NOTIFY US IN CASE OF ERRORS OR QUESTIONS ABOUT YOUR LOAN ACCOUNT STATEMENT. If you think your statement is wrong, or if you need 
more information about a transaction on your statement, write us on a separate sheet at the address listed on your statement. Write to us as soon as possible. We 
must hear from you no later than 60 days after we sent you the first statement on which the error or problem appeared. You can telephone us but doing so will not 
preserve your rights. 

In your letter, give us the following information: •Your name and account number. •The dollar amount of the suspected error. •Describe the error and explain, 

if you can, why you believe there is an error. If you need more information, describe the item you are not sure about. 

If you have authorized us to pay your loan account automatically from your savings or share draft account, you can stop the payment on any amount you 

think is wrong. To stop the payment your letter must reach us three business days before the automatic payment is scheduled to occur. 

YOUR RIGHTS AND OUR RESPONSIBILITIES AFTER WE RECEIVE YOUR WRITTEN NOTICE. We must acknowledge your letter within 30 days, unless 

we have corrected the error by then. Within 90 days, we must either correct the error or explain why we believe the statement was correct. 
After we receive your letter, we cannot try to collect any amount you question, or report you as delinquent. We can continue  to send statements to you for the 
amount  you  question,  including  FINANCE  CHARGES,  and  we  can  apply  any  unpaid  amount  against  your  credit  limit.  You  do  not  have  to  pay  any  questioned 
amount while we are investigating, but you are still obligated to pay the parts of your statement that are not in question. 

If we find that we made a mistake on your statement, you will not have to pay any FINANCE CHARGES related to any questioned amount. If we didn’t make 
a mistake, you may have to pay FINANCE CHARGES, and you will have to make up any missed payments on the questioned amount. In either case, we will send 
you a statement of the amount you owe and the date it is due. 

If you fail to pay the amount that we think you owe, we may report you as delinquent. However, if our explanation does not satisfy you and you write to us 
within ten days telling us that you still refuse to pay, we must tell anyone we report you to that you have a question about your statement. And, we must tell you the 
name of anyone we reported you to. We must tell anyone we report you to that the matter has been settled between us when it finally is. 

If we don’t follow these rules, we can’t collect the first $50 of the questioned amount, even if your statement was correct. 
SPECIAL RULE FOR CREDIT CARD PURCHASES. If you have a problem with the quality of property or services that you purchased with a credit card, and 
you have tried in good faith to correct the problem with the merchant, you may have the right not to pay the remaining amount due on the property or service. 
There are two limitations on this right: (a) You must have made the purchase in your home state or, if not within your home state, within 100 miles of your current 
mailing address; and (b) The purchase price must have been more than $50. 

These limitations do not apply if the credit card issuer owns or operates the merchant, or mailed you the advertisement for property or services. 

ANNUAL PERCENTAGE RATE 
(APR) for Purchases, Balance 
Transfers and Cash Advances 
Variable Rate Information 

How to Avoid Paying Interest on 
Purchases 

Minimum Interest Charge 
For Credit Card Tips from the 
Consumer Financial Protection 
Bureau 

Interest Rates and Interest Charges 

12.50% 

Your APR will not vary in relation to an index. However, all terms of your 
Credit Card Agreement are subject to change with 45 days prior notice. 
Your due date is at least 25 days after the close of each billing cycle. We 
will not charge you any interest on purchases if you pay your entire 
balance by the due date each month. We will begin charging interest on 
balance transfers and cash advances on the transaction date. 
None 
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 

Annual Fee 
Transaction Fees 

Fees 

None 

  Balance Transfer 
  Cash Advance 
  Foreign Transactions 

None 
None 
1% International Transaction Fee 

Penalty Fees 

  Late Payment 

  Over-the Credit Limit 
  Returned Payment 

5% of the amount of the scheduled payment in default, with a minimum 
charge of $0.50 and a maximum charge of $25.00 
None 
Up to $30.00 

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

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

MAX.CLCC                                                                                                       Page 2 of 2                                                                                 Effective Date: 7/2012