Cardmember Agreement: Part 1 of 2 

As of: 06/30/2022 

®
Morgan Stanley Blue Cash Preferred  American Express Card 
Issuer: American Express National Bank 

Rates and Fees Table 
Interest Rates 
Annual Percentage Rate 
(APR) for Purchases 

APR for Cash Advances 

Penalty APR and When it 
Applies 

Paying Interest 

Plan Fee (Fixed Finance 
Charge) 
For Credit Card Tips from 
the Consumer Financial 
Protection Bureau 
 Fees 
Annual Membership Fee 
Transaction Fees 
●  Cash Advance 
●  Foreign Transaction 
Penalty Fees 
●  Late Payment 
●  Returned Payment 
●  Overlimit 

Prime Rate + 10.74% to Prime Rate + 20.74% 

This is a variable APR. See Explanation of Variable Rates below. 

Prime Rate + 21.99% 

This is a variable APR. See Explanation of Variable Rates below. 

Prime Rate + 26.74% 

This is a variable APR. See Explanation of Variable Rates below. 
This APR will apply to your account if you: 
1) make one or more late payments; or 
2) make a payment that is returned by your bank. 

We may also consider your creditworthiness in determining whether or not to apply the
penalty APR to your Account. 

How Long Will the Penalty APR Apply? If the penalty APR is applied, it will apply for
at least 6 months. We will review your Account every 6 months after the penalty APR is
applied. The penalty APR will continue to apply until you have made timely payments with
no returned payments during the 6 months being reviewed. 

Your due date is at least 25 days after the close of each billing period. We will not 
charge you interest on purchases if you pay each month your entire balance (or, if you 
have a plan outstanding, your balance adjusted for plans) by the due date. We will 
begin charging interest on cash advances on the transaction date. 
A monthly fee up to 1.33% of each purchase amount moved into a plan based on the plan
duration, the APR that would otherwise apply to the purchase, and other factors. 
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.

$95 

Either $10 or 5% of the amount of each cash advance, whichever is greater. 
2.7% of each transaction after conversion to US dollars. 

Up to $40 
Up to $40 
None 

How we calculate interest: We use the Average Daily Balance method (including new transactions). See the How we 

calculate interest section in Part 2. 

Explanation of Variable Rates: If the Prime Rate increases, variable APRs (and corresponding DPRs) will increase.
In that case, you may pay more interest and may have a higher Minimum Payment Due. When the Prime Rate
changes, the resulting changes to variable APRs take effect as of the first day of the billing period. The Daily Periodic
Rate (DPR) is 1/365th of the APR, rounded to the nearest one ten-thousandth of a percentage point. The variable
penalty APR will not exceed 29.99%. 

CMAEUAOT0000025 

Page 1 of 4 

 
 
How Rates and Fees Work 
Rates 

Penalty APR for new 
transactions 

The penalty APR may  apply to new transactions if: 
•  you do not pay at least the Minimum Payment

Due by the Payment Due Date on one or more 
occasions; or 

If the penalty APR applies to a balance, it will 
apply to charges added to that balance 15 or 
more days after we send you notice. 

•  your payment is returned by your bank. 
We may also consider your creditworthiness in 
determining whether or not to apply the penalty APR 
to your Account. 

We will review your Account every 6 months 
after the penalty APR is applied. The penalty 
APR will continue to apply until you have made 
timely payments with no returned payments 
during the 6 months being reviewed. 

Fees 
We add fees to a purchase balance, unless we tell you otherwise. 
Annual Membership 
Plan  Fee 

This fee is on the Rates and Fees Table on page 1 of Part 1. 
Up to 1.33% of each purchase amount moved into a plan based on the plan duration, the APR that 
would otherwise apply to the purchase amount(s), and other factors. This fee is a fixed finance 
charge that will be charged each month that a plan is active. The dollar amount of your plan fee 
will be disclosed when you set up a plan. For more information, see About the Plan It feature in 
Part 2 of your Cardmember Agreement. 
Up to $40. If we do not receive the Minimum Payment Due by its Payment Due Date, the fee is 
$29. If this happens again within the next 6 billing periods, the fee is $40. However, the late fee will 
not exceed the Minimum Payment Due. Paying late may also result in a penalty APR. See Penalty 
APR for new transactions above. 
Up to $40. If you make a payment that is returned unpaid the first time we present it to your bank, the 
fee is $29. If you do this again within the same billing period or the next 6 billing periods, the fee is 
$40. However, the returned payment fee will not exceed the applicable Minimum Payment Due. A 
returned payment may also result in a penalty APR. See Penalty APR for new transactions above. 
$38 if you use your card to cash a check at one of our approved locations and the check is returned 
unpaid. We will also charge you the unpaid amount. 
None. See Credit limit and cash advance limit in Part 2. 
$25 if your Account is cancelled, you ask us to re-open it, and we do so. 
5% of the cash advance transaction (including fees charged by the ATM operator, if any), with a 
minimum of $10. We will add this fee to the Cash Advance balance. 
2.7% of the converted U.S. dollar amount. This fee is a finance charge. See Part 2 for Converting 
charges made in a foreign currency. 

Late Payment 

Returned  Payment 

Returned  Check 

Overlimit 
Account Re-opening 
Cash  Advance 

Foreign Transaction 

Part 1, Part 2 and any supplements or amendments make up your Cardmember Agreement. 

CMAENFEEPAPR128 

Page 2 of 4 

   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Supplement to the Cardmember Agreement 

How Your Reward Program Works 
Morgan Stanley Blue Cash Preferred®  American Express Card 

How you earn reward dollars 

When you will not earn 
reward dollars 

How you can redeem reward 
dollars 

You will earn Blue Cash®  Reward Dollars 
(reward dollars) for eligible purchases on 
your Morgan Stanley Blue Cash Preferred 
Card Account. The number of reward 
dollars you earn is based on a percentage 
of the dollar amount of your eligible 
purchases during each billing period. 
Eligible purchases are purchases made on 
your Card for goods and services minus 
returns and other credits. 

fees or interest charges, 

Eligible purchases do NOT include: 
• 
•  balance transfers, 
•  cash advances, 
•  purchases of traveler's checks, 
•  purchases or reloading of prepaid cards, 
•  purchases of any cash equivalents, or 
•  person-to-person transactions. 
You will earn a reward of: 
•  6% on the first $6,000 of eligible 
purchases in a calendar year at 
supermarkets located in the U.S. 
(Superstores, convenience stores, 
warehouse clubs, and meal-kit 
delivery services aren't considered 
supermarkets); 

•  6% on eligible purchases of U.S. 
streaming subscriptions from 
select providers (the current list 
of select providers is available at 
americanexpress.com/rewards-info). If 
your subscription is bundled with another 
product or service or billed by a third 
party (such as a digital platform, a cable, 
telecommunications, or internet provider, 
or a car manufacturer), your purchase 
may not be eligible; 

You will not earn reward dollars for 
eligible purchases posted to your Card 
Account during a billing period if the 
Minimum Payment Due shown on the 
statement for that billing period is not paid 
by the Payment Due Date shown on that 
statement. 

You can redeem reward dollars for 
statement credits whenever your total 
available reward dollar balance is 
or 
25 
more. The statement credit will appear 
on your Card Account within  days and 
will apply to the billing period in which it 
appears. Reward dollars redeemed for a 
statement credit cannot be used to pay 
your Minimum Payment Due. 

3 

Redemption will be in the form of a 
statement credit of $1 for every reward 
dollar redeemed. Partial reward dollar 

•  3% on eligible purchases of gasoline at gasoline 

stations located in the U.S. (superstores, 
supermarkets and warehouse clubs that sell 
gasoline are not considered gas stations); 
•  3% on eligible purchases on transit, including 

trains, taxicabs, ride share services, ferries, tolls, 
parking, buses, and subways (airfare, car rental 
and cruises are not considered transit); and 

•  1% on all other eligible purchases. 
Merchants are assigned codes based on what they 
primarily sell. We group certain merchant codes into 
categories that are eligible for additional rewards. 
A purchase with a merchant will not earn additional 
rewards if the merchant's code is not included in a 
reward category. You may not receive additional 
rewards if we receive inaccurate information or are 
otherwise unable to identify your purchase as eligible 
for a reward category. For example, you may not 
receive additional rewards when: 
•  a merchant uses a third-party to sell their products 

or services; or 

•  a merchant uses a third-party to process or submit 

your transaction to us (e.g., using mobile or 
wireless card readers); or 

•  you choose to make a purchase using a third-party 
payment account or make a purchase using a 
mobile or digital wallet. 

For questions about additional rewards on a 
purchase, call the number on the back of your Card. 
Please visit americanexpress.com/rewards-info for 
more information about rewards. 

Credits for eligible purchases will reduce the number 
of reward dollars you earn. 

redemptions will receive an equivalent statement 
credit amount (e.g., 32.11 reward dollars can be 
redeemed for a $32.11 statement credit). 

From time to time we may, at our option, offer you 
other ways to redeem reward dollars, such as for gift 
cards or merchandise. The minimum redemption is 
25 

reward dollars. 

You cannot redeem reward dollars if your Card 
Account is cancelled or past due. 

CMAENPSP0000259 

Page  of 

3  4

 
 
 
 
When you will forfeit reward 
dollars 

You will forfeit your entire reward dollar bala

nce if your Card Account is cancelled for any reason. 

If a credit to your Card Account places your eligible 
purchases in a negative status, the Reward Dollars 
Summary on your billing statement will show a 
negative balance. It will continue to show a negative 
balance until you accumulate eligible purchases 
exceeding the negative eligible purchases. 

American Express will only issue the Morgan Stanley 
Blue Cash Preferred Card to (1) an eligible Morgan 
Stanley client who is an individual; and (2) an 
individual associated with an eligible Morgan Stanley 
client (if the eligible Morgan Stanley client itself is not 
an individual). 

Eligibility is subject to change. American Express 
may cancel your Card Account and participation 
in this program if you do not maintain an eligible 
account. 

1 

to December 

A calendar year is from January 
31 
regardless of when you open your Card 
Account. This means that during your first year 
as a Cardmember you may have fewer months to 
accumulate eligible purchases towards the $100 
Statement Credit Purchase Requirement. 

The benefit is only available to the Basic Card 
Member; however, eligible purchases made by 
Additional Card Members will contribute to the 
Purchase Requirement. 

We may change the terms of this program at our 

The Reward Dollars Summary  The reward dollars shown on your billing 

Program Eligibility 

How you can receive a 
$100 Statement Credit each 
calendar year 

statement under the heading Reward 
Dollars Summary is only for informational 
purposes. It does not show the actual 
reward dollars that you may be entitled to 
receive. For example, a credit for eligible 
purchases posted to your Card Account 
can lower the reward dollars shown. 

The Morgan Stanley Blue Cash Preferred ® 
Card is only available to you if you have 
an eligible account with Morgan Stanley 
Smith Barney LLC or its eligible affiliates, 
including but not limited to E*TRADE 
Securities LLC (Morgan Stanley). 

An eligible account is a brokerage account 
with Morgan Stanley (i) held in your name, 
(ii) held by a trust where you are both the 
grantor and trustee of such trust, or (iii) 
held as a beneficial owner of a personal 
holding company, a non-operating limited 
liability company, a non-operating limited 
partnership, or a similar legal entity. 

If, in any calendar year, the total eligible 
purchases charged to your Morgan Stanley 
Blue Cash Preferred Card Account equal 
$15,000 or more (Purchase Requirement), 
you will receive a $100 statement credit 
($100 Statement Credit). 

The $100 Statement Credit will be posted 
to your account within 8-12 weeks after 
the Purchase Requirement is met. Please 
call the number on the back of your Card 
if the statement credit has not posted after 
weeks from the date when you met the 
12 
Purchase Requirement. 

Other things you should know  You will only receive rewards for eligible 
about this program 

Reward dollars are redeemable for rewards 
as described above, they are not cash. 

CMAENPSP0000259 

Page  of 

4  4

purchases for personal, family or household  discretion. If you violate or abuse this program, 
use. 

you may forfeit some or all of your accrued reward 
dollars. 

 
FDR 1122744 

Cardmember Agreement: Part 2 of 2 

Doc 28549

How Your American Express Account Works 

Introduction 

About your Cardmember 
Agreement 

Changing the Agreement 

Words we use in 
the Agreement 

This document together with Part 1 make up the 
Cardmember Agreement (Agreement) for the Account 
identified on page 1 of Part 1. Any supplements or 
amendments are also part of the Agreement. 

We may change this Agreement, subject to applicable 
law. We may do this in response to the business, legal or 
competitive environment. This written Agreement is a final 
expression of the agreement governing the Account. The 
written Agreement may not be contradicted by any alleged 
oral agreement. 
We cannot increase the interest rate on existing balances 
except in limited circumstances. 

We, us, and our mean the issuer shown on page 1 of 
Part 1. You and your mean the person who applied for 
this Account and for whom we opened the Account. You 
and your also mean anyone who agrees to pay for this 
Account. You are the Basic Cardmember. You may 
request a card for an Additional Cardmember (see About 
Additional Cardmembers in Part 2). 
Card means any card or other device that we issue to 
access your Account. A charge is any amount added 
to your Account, such as purchases, cash advances, 
balance transfers, fees and interest charges. 

You may use the card to make purchases. At our 
discretion, we may permit you to create plans, make 
cash advances or balance transfers. You cannot transfer 
balances from any other account issued by us or our 
affiliates. 
You may arrange for certain merchants and third parties 
to store your card number and expiration date, so that, for 
example: 
●  the merchant may charge your account at regular 

●  you may make charges using that stored card 

intervals; or 

information. 

About using your card 

Using the card 

Promise to pay 

Credit limit and cash 
advance limit 

When you use the Account (or you sign or keep the 
card), you agree to the terms of the Agreement. 

Changes to some terms may require 45 days 
advance notice, and we will tell you in the notice if 
you have the right to reject a change. We cannot 
change certain terms during the first year of your 
Cardmembership. 

A purchase is a charge for goods, services, or 
person-to-person transactions. A cash advance is 
a charge to get cash or cash equivalents, including 
travelers cheques, gift cheques, foreign currency, 
money orders, digital currency, casino gaming chips, 
race track wagers, and similar offline and online 
betting transactions. A balance transfer is a charge 
to pay an amount you owe on another credit card 
account. A person-to-person transaction is a 
charge for funds sent to another person or a charge 
to add funds to your Amex Send™ Account. A plan 
is a portion of your account balance that you have 
selected to pay over time through a set number of 
monthly payments using Plan It. 
To pay by a certain date means to send your payment 
so that we receive it and credit it to your Account by 
that date (see About your payments in Part 2). 

We may (but are not required to) tell these merchants 
and third parties if your expiration date or card 
number changes or if your account status is updated, 
including if your account is cancelled. If you do not 
want us to share your updated account information, 
please contact us using the number on the back of 
your card. 

Keep your card safe and don't let anyone else use it. 
If your card is lost or stolen or your Account is being 
used without your permission, contact us right away. 
You may not use your Account for illegal activities. 

You promise to pay all charges, including: 
●  charges you make, even if you do not present your card or sign for the transaction, 
●  charges that other people make if you let them use your Account, and 
●  charges that Additional Cardmembers make or permit others to make. 
We assign a Credit Limit to your Account. We may make 
part of your Credit Limit available for cash advances (Cash 
Advance Limit). There may also be a limit on the amount 
you can withdraw from ATMs in a given period. The Credit 
Limit and Cash Advance Limit are shown on page 1 of 
Part 1 and on each billing statement. 
We may increase or reduce your Credit Limit and Cash 
Advance Limit. We may do so even if you pay on time and 
your Account is not in default. 
You agree to manage your Account so that: 

●  your Account balance (including fees and interest) 

is not more than your Credit Limit, and 

●  your cash advance balance (including fees and 
interest) is not more than your Cash Advance 
Limit. 

We may approve charges that cause your Account 
balance to go over your Credit Limit. If we do this, 
we will not charge an overlimit fee. If we ask you to 
promptly pay the amount of your Account balance 
above your Credit Limit, you agree to do so. 

Version 1122744 

Page 1 of 8 

Limits on person-to-person 
transactions 

Your person-to-person transactions may not exceed the 
$2,000 person-to-person transactions limit within any 30-
day period. 

Declined transactions 

About the Plan It feature 

About your payments 

When you must pay 

How to make payments 

How we apply payments 
and credits 

We may decline to authorize a charge. Reasons we may 
do this include suspected fraud and our assessment of 
your creditworthiness. This may occur even if the charge 
would not cause you to go over your Credit Limit 
We may offer you Plan It, which allows you to create a 
payment plan for qualifying purchases or a qualifying 
amount, subject to a plan fee. This fee is a fixed finance 
charge that will be charged each month that a plan is 
active. 
You may use this feature by selecting qualifying purchases 
or a qualifying amount and a plan duration. You will be 
able to view the monthly plan payments, including the plan 
fee, for your selection. Each plan fee will be disclosed 
prior to your establishing the applicable plan and will be 
based on the plan duration, the APR that would otherwise 
apply to the purchase amount(s), and other factors. When 
you set up a plan, the purchases or amount will be moved 
to a plan balance and will be subject to a plan fee instead 
of the APR for purchases. 
A qualifying purchase for Plan It is a purchase of at least 
a specified dollar amount. A qualifying amount for Plan 
It is a specified portion of your balance. These qualifying 
purchases or a qualifying amount do not include: cash 
or cash equivalents, purchases subject to Foreign 
Transaction Fees, or any fees owed to us, including 
Annual Membership fees. 

You must pay at least the Minimum Payment Due by the 
Payment Due Date. The Minimum Payment Due and 
Payment Due Date are shown on each billing statement. 
Each statement also states the time and manner by which 
you must make your payment for it to be credited as 
of the same day it is received. For your payment to be 
considered on time, we must receive at least the 

Make payments to us in U.S. dollars with:
●  a single check drawn on a U.S. bank, or 
●  a single negotiable instrument clearable through the 
U.S. banking system, for example a money order, or 
●  an electronic payment that can be cleared through the 

U.S. banking system. 

When making a payment by mail: 
●  make a separate payment for each account, 
●  mail your payment to the address shown on the 
payment coupon on your billing statement, and 

●  write your Account number on your check or negotiable 

instrument and include the payment coupon. 

If your payment meets the above requirements, we will 
credit it to your Account as of the day we receive it, as 
long as we receive it by the time disclosed in your billing 
statement. 
Your Account may have balances with different interest 
rates. For example, purchases may have a lower interest 
rate than cash advances. Your Account may also have 
plan balances which are assessed plan fees. If your 
Account has balances with different interest rates, plan 
balances, or plan fees, here is how we generally apply 
payments in a billing period: 
●  We apply your payments, up to the Minimum Payment 

Due, first to any plan amounts included in your 
Minimum Payment Due, then to the balance subject to 
the lowest interest rate, and then to balances subject to 
higher interest rates. 

Version 1122744 

Page 2 of 8 

You agree to manage your Account so that the total 
of your person-to-person transactions in any 30-day 
period do not exceed the limit on person-to-person 
transactions. 
We may not approve a person-to-person transaction if 
it would cause your Account to exceed the person-to-
person transaction limit or your Credit Limit. 
and your Account is not in default. We are not 
responsible for any losses you incur if we do not 
authorize a charge. And we are not responsible if any 
merchant refuses to accept the card. 
Your ability to initiate plans will be based on a variety 
of factors such as your creditworthiness or your 
Credit Limit. You will not be able to initiate plans if 
your Account is cancelled. You will also not be able 
to initiate plans if one or more of your American 
Express accounts is enrolled into a debt management 
program, or has a payment that is returned unpaid, 
or is delinquent. We will tell you the number of active 
plans you may have and we may change this number 
at any time. The plan durations offered to you, and 
your ability to include multiple qualifying purchases 
or a qualifying amount in a single plan, will be at 
our discretion and will be based on a variety of 
factors such as your creditworthiness, the purchase 
amount(s), and your Account history. You agree to 
manage your Account so that the total of your plan 
balances (including plan fees) is not more than your 
Credit Limit. 

Plans cannot be cancelled after they have been set 
up but you can choose to pay them early by paying 
the New Balance shown on your most recent billing 
statement in full. If you pay a plan off early, you will 
not incur any future plan fees on that plan. 

Minimum Payment Due in such time and manner 
by the Payment Due Date shown on your billing 
statement. 
Each statement also shows a Closing Date. The 
Closing Date is the last day of the billing period 
covered by the statement. Each Closing Date is about 
30 days after the previous statement's Closing Date. 
If we receive it after that time, we will credit the 
payment on the day after we receive it. 
If your payment does not meet the above 
requirements, there may be a delay in crediting your 
Account. This may result in late fees and additional 
interest charges (see How Rates and Fees Work on 
page 2 of Part 1). 
We will not accept a payment made in a foreign 
currency or a payment drawn on an account at a 
bank located outside of the U.S. 
If we process a late payment, a partial payment, or a 
payment marked with any restrictive language, that 
will have no effect on our rights and will not change 
this Agreement. 
●  After the Minimum Payment Due has been paid, 
we apply your payments to the balance subject 
to the highest interest rate, then to balances 
subject to lower interest rates, and then to any 
plan balances. 

In most cases, we apply a credit to the same balance 
as the related charge. For example, we apply a 
credit for a purchase to the purchase balance. We 
may apply payments and credits within balances, 
and among balances with the same interest rate, in 
any order we choose. If you receive a credit for a 
purchase placed into a plan, you must call us at the 
number on the back of your card to have the credit 
applied to the plan balance. 

 
About your Minimum Payment Due 

How we calculate your 
Minimum Payment Due 

About interest charges 

When we charge interest 

To calculate the Minimum Payment Due for each 
billing statement, we start with the highest of: 
(1) Interest charged on the billing statement plus 1% 
of the New Balance (excluding any interest, penalty 
fees, overlimit amount, and plan balances); or 
(2) 2% of the New Balance (excluding any penalty 
fees, overlimit amount, and plan balances); or 

(3) $40. 
Then we add any penalty fees shown on the billing 
statement, up to 1/24th of any overlimit amount, any 
plan payment due, and any amount past due. 
Your Minimum Payment Due will not exceed your 
New Balance. You may pay more than the Minimum 
Payment Due, up to your New Balance, at any time. 

EXAMPLE: Assume that your New Balance is $2,900, 
interest is $29.57, and you have no active plans, 
overlimit amount, penalty fees, or amounts past due. 
(1) $29.57 + 1% multiplied by ($2,900 - $29.57) = 
$58.27 

(2) $58 (2% of $2,900) 

(3) $40 

The highest of (1), (2) or (3) is $58.27 

If your account has any active plans, overlimit 
amount, penalty fees, or amounts past due, your 
Minimum Payment Due will be higher. 

●  You are not charged interest on purchases when 

you are in an Interest Free Period. 

●  Your account enters an Interest Free Period when 
you pay your New Balance as shown on your 
statement by the Payment Due Date or your 
account had no previous balance. 

●  When your account is not in an Interest Free 

Period, we charge interest on purchases from the 
date of the transaction. 

●  After you enter an Interest Free Period again, 

interest may appear on your next billing statement. 
This reflects interest charged from the beginning of 
that billing cycle through the date the payment was 
received. 

●  If you have an active plan created through Plan It, 
you can enter an Interest Free Period by paying at 
least the Balance Adjusted for Plans (or Adjusted 
Balance) by the Payment Due Date. 

●  Balance Transfers and Cash Advances will be 

charged interest from the date of the transaction 
and do not have an Interest Free Period. 

For more details about how we calculate your interest 
charges, see the How we calculate interest section of 
this agreement. 

How we calculate interest 

We calculate interest for a billing period by first figuring the interest on each balance. Different categories of 
transactions--such as purchases and cash advances--may have different interest rates. Balances within each 
category may also have different interest rates. 

We use the Average Daily Balance method 
(including new transactions) to figure interest 
charges for each balance. The total interest charged 
for a billing period is the sum of the interest charged 
on each balance. 

Interest 

The interest charged for a balance in a billing period, 
except for variations caused by rounding, equals: 
●  Average Daily Balance (ADB) multiplied by 
●  Daily Periodic Rate (DPR) multiplied by 
●  number of days the DPR was in effect. 
ADB 

To get the ADB for a balance, we add up its daily 
balances. Then we divide the result by the number 
of days the DPR for that balance was in effect. If the 
daily balance is negative, we treat it as zero. 
DPR 
A DPR is 1/365th of an APR, rounded to one 
tenthousandth of a percentage point. Your DPRs are 
shown in How Rates and Fees Work on page 2 of 
Part 1. 

EXAMPLE: Calculating Interest 

Assume that you have a single interest rate of 
15.99%, your ADB is $2,250 and there are 30 days in 
the billing period. 

The DPR is 15.99% divided by 365 days = 0.0438% 

The Interest is $2,250 multiplied by 0.0438% 
multiplied by 30 days = $29.57 

Daily Balance 
For each day a DPR is in effect, we figure the daily 
balance by: 
●  taking the beginning balance for the day, 
●  adding any new charges, 
●  subtracting any payments or credits; and 
●  making any appropriate adjustments. 
We add a new charge to a daily balance as of its 
transaction date. 
Beginning balance 
For the first day of a billing period, the beginning 
balance is the ending balance for the prior billing 
period, including unpaid interest. For the rest of the 
billing period, the beginning balance is the previous 
day's daily balance plus an amount of interest equal 
to the previous day's daily balance multiplied by the 
DPR for that balance. This method of figuring the 
beginning balance results in daily compounding of 
interest. 
When an interest rate changes, the new DPR may 
come into effect during--not just at the beginning of--
the billing period. When this happens, we will create 
a new balance and apply the new DPR to it. To get 
the beginning balance on the first day for this new 
balance, we multiply the previous day's daily balance 
by the old DPR and add the result to that day's daily 
balance. 
Other methods 
To figure the ADB and interest charges, we may use 
other formulas or methods that produce equivalent 
results. Also, we may choose not to charge interest on 
certain types of charges. 

Version 1122744 

Page 3 of 8 

 
Determining the Prime Rate 

We use the Prime Rate from the rates section of The Wall Street Journal. The Prime Rate for each billing period 
is the Prime Rate published in The Wall Street Journal on the Closing Date of the billing period. 
The Wall Street Journal may not publish the Prime Rate on that day. If it does not, we will use the Prime Rate 
from the previous day it was published. If The Wall Street Journal is no longer published, we may use the Prime 
Rate from any other newspaper of general circulation in New York, New York. Or we may choose to use a 
similar published rate. 
If the Prime Rate increases, variable APRs (and corresponding DPRs) will increase. In that case, you may pay 
more interest and may have a higher Minimum Payment Due. When the Prime Rate changes, the resulting 
changes to variable APRs take effect as of the first day of the billing period. 

Other important information 

Military Lending Act 

About Additional 
Cardmembers 

Converting charges made in a 
foreign currency 

Changing your billing address 

Closing your Account 

Cancelling or suspending your 
Account 

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 
and his or her dependent may not exceed an annual percentage rate of 36 percent. 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 (other than certain 
participation fees for a credit card account). 
To listen to this statement, as well as a description of your payment obligation for this Account, call us at 
855-531-0379. 
If you are a covered borrower, the Claims Resolution section of this Agreement will not apply to you in 
connection with this Account. Instead, the Claims Resolution for Covered Borrowers section will apply. 
At your request, we may issue cards to Additional 
Cardmembers. They do not have accounts with us 
but they can use your Account subject to the terms 
of this Agreement. We may report an Additional 
Cardmember's use of your Account to credit reporting 
agencies. 
You are responsible for all use of your Account by 
Additional Cardmembers and anyone they allow to 
use your Account. You must pay for all charges they 
make. 
You authorize us to give Additional Cardmembers 
information about your Account and to discuss it with 
them. 
If you make a charge in a foreign currency, AE Exposure Management Ltd. ("AEEML") will convert it into U.S. 
dollars on the date we or our agents process it, so that we bill you for the charge in U.S. dollars based upon this 
conversion. Unless a particular rate is required by law, AEEML will choose a conversion rate that is acceptable 
to us for that date. The rate AEEML uses is no more than the highest official rate published by a government 
agency or the highest interbank rate AEEML identifies from customary banking sources on the conversion date 
or the prior business day. This rate may differ from rates that are in effect on the date of your charge. We will bill 
charges converted by establishments (such as airlines) at the rates they use. 
You must notify us immediately if you change the: 
●  mailing address to which we send billing 

If you want to cancel an Additional Cardmember's 
right to use your Account (and cancel their card) you 
must tell us. 
If an Annual Membership fee applies for an Additional 
Card, please refer to the refund policy disclosed 
in the Closing your Account sub-section of your 
Cardmember Agreement. If a single Annual 
Membership fee applies for a group of Additional 
Cards on your Account, this policy will apply when 
you cancel the Additional Card on which the fee was 
assessed. If an Annual Membership fee applies to 
Additional Cards on your Account, it is shown on page 
2 of Part 1 of the Cardmember Agreement. 

If you have more than one account, you need to notify 
us separately for each account.
We may update your billing address if we receive 
information that it has changed or is incorrect.

●  e-mail address to which we send notice that your 

statements; or 

billing statement is available online. 

You may close your Account by calling us or writing to us. 
If an Annual Membership fee applies, we will refund this fee if you notify us that you are voluntarily closing your 
Account within 30 days of the Closing Date of the billing statement on which that fee appears. For cancellations 
after this 30 day period, the Annual Membership fee is non-refundable. If an Annual Membership fee applies to 
your Account, it is shown on page 1 and page 2 of Part 1 of the Cardmember Agreement. 
If your billing address is in the Commonwealth of Massachusetts at the time you close your account, this policy 
will not apply to you. 
We may: 
●  cancel your Account, 
●  suspend the ability to make charges, 
●  cancel or suspend any feature on your Account, 

We may do any of these things at our discretion, even 
if you pay on time and your Account is not in default. 
If your Account is cancelled, you must destroy your 
cards. 
We may agree to reinstate your Account after a 
cancellation. If we do this, we may: 
●  reinstate any additional cards issued on your 

●  notify merchants that your Account has been 

cancelled or suspended. 

and 

Account, 

●  charge you any applicable annual fees, and 
●  charge you a fee for reinstating the Account. 

If we do any of these, you must still pay us for all 
charges under the terms of this Agreement. 

Version 1122744 

Page 4 of 8 

About default 

Collection costs 

Credit reports 

Sending you notices 

We may contact you 

About insurance products 

How we handle electronic 
debits from your checking 
account 

Privacy Act of 1974 notice 

Convenience checks 

Changing benefits 

Assigning the Agreement 

Assigning claims 

We may consider your Account to be in default if: 
●  you violate a provision of this Agreement, 
●  you give us false information, 
●  you file for bankruptcy, 
●  you default under another agreement you have 

with us or an affiliate, 

●  you become incapacitated or die, or 
●  we believe you are unable or unwilling to pay your 

debts when due. 

If we consider your Account in default, we may, to the 
extent permitted by federal and applicable state law:
●  suspend your ability to make charges,
●  cancel or suspend any feature on your Account,
●  require you to pay more than your Minimum

Payment Due immediately, and 

●  require you to pay your Account balance

immediately. 

You agree to pay all reasonable costs, including attorneys' fees, that we incur to collect amounts you owe. 
You agree that we will obtain credit reports about you, investigate your ability to pay, and obtain information 
about you from other sources including information to verify and re-verify your employment and income. And 
you agree that we will use such information for any purposes (for example, marketing to you or evaluating you 
for a new account), subject to applicable law. 
You agree that we will give information about the Account to credit reporting agencies. We will tell a credit 
reporting agency if you fail to comply with any term of this Agreement. This may have a negative impact on your 
credit report. 
If you believe information we have given to a credit reporting agency is incorrect, write to us at: American 
Express Credit Bureau Unit, P.O. Box 981537, El Paso, TX 79998-1537. When you write to us, tell us the 
specific information you believe is incorrect. 
We mail you notices through the U.S. mail, postage prepaid, and address them to you at the latest billing 
address on our records. Any notice that we send you this way is deemed to be given when deposited in the U.S. 
mail. 
Servicing and Collections
If we need to contact you to service your account or to collect amounts you owe, you authorize us (and our 
affiliates, agents and contractors, such as debt collection agencies and service providers) to contact you at 
any phone number or email address you provide, from which you contact us, or at which we believe we can 
reach you. We may contact you in any way, such as calling, texting, emailing, sending mobile application push 
notifications or using any other method of communication permitted by law. We may contact you using an 
automated dialer or prerecorded messages. We may contact you on a mobile, wireless or similar device, even if 
you are charged for it. 
Call monitoring 
We may monitor and record any calls between you and us. 
We or our affiliates may tell you about insurance and non-insurance products, services or features that 
may have a fee. One of our affiliates may act on behalf of a provider of these products. The affiliate may be 
compensated for this. The insurance products are not offered or sold by us or on our behalf. Our affiliates may 
get additional compensation when AMEX Assurance Company or another affiliate is the insurer or reinsurer. 
Compensation may influence what products and providers we or our affiliates tell you about. 
We may share information about you with our affiliates so they can identify products that may interest you. We 
may be compensated for this information. 
When you pay us by check, you authorize us to 
electronically deduct the amount from your bank or 
other asset account. 
We may process the check electronically by 
transmitting to your financial institution: 
●  the amount, 
●  the routing number, 
●  the account number, and 
●  the check serial number. 
Some federal agencies may accept the card under authority of statute. When you make charges at these
agencies, we collect certain charge information. That information may be put to routine uses such as 
processing, billing and collections. It may also be aggregated for reporting, analysis and marketing use. Other 
routine uses by agencies may be published in the Federal Register. 
Convenience checks (including balance transfer
checks) are checks that we may send you to access 
your Account. The following terms will apply to use 
of those checks unless otherwise disclosed with the 
check. 
If you use a convenience check, we may decline it. 
If we decline it, you may have to pay returned check 
fees or other penalties to whomever you wrote the 
check. 
If you use a convenience check and we honor it, 
we will charge interest beginning as of the date we 
receive the check. You cannot avoid paying interest on 
convenience check transactions. 
We will charge a fee for each convenience check 
transaction. This fee is 3% of the transaction, with a 
minimum of $5. This fee is a finance charge. We will 
We have the right to add, modify or delete any benefit, service, or feature of your Account at our discretion. 
We may sell, transfer or assign this Agreement and your Account. We may do so at any time without notifying 
you. You may not sell, assign or transfer your Account or any of your obligations under this Agreement. 
If you dispute a charge with a merchant, we may credit the Account for all or part of the disputed charge. If
we do so, you assign and transfer to us all rights and claims (excluding tort claims) against the merchant. You 
agree that you will not pursue any claim against the merchant for the credited amount. And you must cooperate 
with us if we decide to do so. 

add the fee to the same balance that we add the 
convenience check transaction to. 
We will charge $29 each time you ask us to stop 
payment on a convenience check. 
A convenience check is not a card. You may not use 
convenience checks to pay this or any other account 
with us or our affiliates. If you use a convenience 
check, we will apply the: 
●  cash advance APR if you make it payable to cash, 
to you, or to a bank, brokerage or similar asset 
account, or to a mortgage or insurance provider. 

If we do this, your payment may be deducted from 
your bank or other asset account on the same day 
we receive your check. Also, you will not receive that 
cancelled check with your bank or asset account 
billing statement. 
If we cannot collect the funds electronically, we may 
issue a draft against your bank or other asset account 
for the amount of the check. 

●  balance transfer APR if you use it to transfer a 

●  purchase APR if you make it payable to a 

●  penalty APR if it applies to your Account. 

balance from another creditor. 

merchant. 

Version 1122744 

Page 5 of 8 

 
We do not waive our rights 

Governing law 

Notice to Oregon Residents 

Notice for residents of 
Washington State 

We may choose to delay enforcing or to not exercise rights under this Agreement. If we do this, we do not waive 
our rights to exercise or enforce them on any other occasion. 
Utah law and federal law govern this Agreement and 
your Account. They govern without regard to internal 
principles of conflicts of law. We are located in Utah. 
We hold your Account in Utah. We entered into this 
Agreement with you in Utah. 
Service charges not in excess of those permitted by law will be charged on the outstanding balances from 
month to month. You may pay more than the Minimum Payment Due, up to your entire outstanding balance, at 
any time. 
In accordance with the Revised Code of Washington Statutes, Section 63.14.167, you are not responsible for 
payment of interest charges that result solely from a merchant's failure to transmit to us within seven working 
days a credit for goods or services accepted for return or forgiven if you have notified us of the merchant's delay 
in posting such credit, or our failure to post such credit to your account within three working days of our receipt 
of the credit. 

In addition, if your billing address is in the State 
of Maryland, to the extent, if any, that Maryland 
law applies to your account, we elect to offer your 
card account pursuant to Title 12, Subtitle 9 of the 
Maryland Commercial Law Article. 

Claims Resolution 
Most customer concerns can be resolved by 
calling our Customer Service Department at the 
number listed on the back of your card. In the 
event Customer Service is unable to resolve 
a complaint to your satisfaction, this section 
explains how claims can be resolved through 
mediation, arbitration or litigation. It includes 
an arbitration provision. You may reject the 
arbitration provision by sending us written 
notice within 45 days after your first card 
purchase. See Your Right to Reject Arbitration 
below. 
For this section, you and us includes any 
corporate parents, subsidiaries, affiliates or 
related persons or entities. Claim means any 
current or future claim, dispute or controversy 
relating to your Account(s), this Agreement, or 
any agreement or relationship you have or had 
with us, except for the validity, enforceability 
or scope of the Arbitration provision. Claim 
includes but is not limited to: (1) initial claims, 
counterclaims, crossclaims and third-party claims; 
(2) claims based upon contract, tort, fraud, 
statute, regulation, common law and equity; 
(3) claims by or against any third party using 
or providing any product, service or benefit in 
connection with any account; and (4) claims that 
arise from or relate to (a) any account created 
under any of the agreements, or any balances on 
any such account, (b) advertisements, promotions 
or statements related to any accounts, goods or 
services financed under any accounts or terms 
of financing, (c) benefits and services related 
to card membership (including fee-based or 
free benefit programs, enrollment services and 
rewards programs) and (d) your application for 
any account. You may not sell, assign or transfer 
a claim. 
Sending a Claim Notice 
Before beginning a lawsuit, mediation or 
arbitration, you and we agree to send a written 
notice (a claim notice) to each party against 
whom a claim is asserted, in order to provide 
an opportunity to resolve the claim informally or 
through mediation. Go to americanexpress.com/ 
claim for a sample claim notice. The claim notice 
must describe the claim and state the specific 
relief demanded. Notice to you may be provided 
by your billing statement or sent to your billing 
address. Notice to us must include your name, 
address and Account number and be sent to 
American Express ADR c/o CT Corporation 
System, 28 Liberty Street, New York, New York 
10005. If the claim proceeds to arbitration, the 
amount of any relief demanded in a claim notice 
will not be disclosed to the arbitrator until after the 
arbitrator rules. 

Mediation 
In mediation, a neutral mediator helps parties 
resolve a claim. The mediator does not decide 
the claim but helps parties reach agreement. 
Before beginning mediation, you or we must 
first send a claim notice. Within 30 days after 
sending or receiving a claim notice, you or we 
may submit the claim to JAMS (1-800-352-5267, 
jamsadr.com) or the American Arbitration 
Association ("AAA") (1-800-778-7879, adr.org) 
for mediation. We will pay the fees of the 
mediator. All mediation-related communications 
are confidential, inadmissible in court and not 
subject to discovery. 
All applicable statutes of limitation will be tolled 
from the date you or we send the claim notice 
until termination of the mediation. Either you or 
we may terminate the mediation at any time. 
The submission or failure to submit a claim to 
mediation will not affect your or our right to elect 
arbitration. 
Arbitration 
You or we may elect to resolve any claim by 
individual arbitration. Claims are decided by a 
neutral arbitrator. 
If arbitration is chosen by any party, neither 
you nor we will have the right to litigate that 
claim in court or have a jury trial on that 
claim. Further, you and we will not have 
the right to participate in a representative 
capacity or as a member of any class 
pertaining to any claim subject to arbitration. 
Arbitration procedures are generally simpler 
than the rules that apply in court, and 
discovery is more limited. The arbitrator's 
authority is limited to claims between you 
and us alone. Claims may not be joined 
or consolidated unless you and we agree 
in writing. An arbitration award and any 
judgment confirming it will apply only to 
the specific case and cannot be used in any 
other case except to enforce the award. The 
arbitrator's decisions are as enforceable 
as any court order and are subject to very 
limited review by a court. Except as set forth 
below, the arbitrator's decision will be final 
and binding. Other rights you or we would 
have in court may also not be available in 
arbitration. 

Initiating Arbitration 
Before beginning arbitration, you or we must first 
send a claim notice. Claims will be referred to 
either JAMS or AAA, as selected by the party 
electing arbitration. Claims will be resolved 
pursuant to this Arbitration provision and the 
selected organization's rules in effect when 

the claim is filed, except where those rules 
conflict with this Agreement. If we choose the 
organization, you may select the other within 
30 days after receiving notice of our selection. 
Contact JAMS or AAA to begin an arbitration 
or for other information. Claims also may be 
referred to another arbitration organization if 
you and we agree in writing or to an arbitrator 
appointed pursuant to section 5 of the Federal 
Arbitration Act, 9 U.S.C. sec. 1-16 (FAA). 
We will not elect arbitration for any claim you 
file in small claims court, so long as the claim 
is individual and pending only in that court. 
You or we may otherwise elect to arbitrate 
any claim at any time unless it has been filed 
in court and trial has begun or final judgment 
has been entered. Either you or we may delay 
enforcing or not exercise rights under this 
Arbitration provision, including the right to 
arbitrate a claim, without waiving the right to 
exercise or enforce those rights. 
Limitations on Arbitration 

If either party elects to resolve a claim by 
arbitration, that claim will be arbitrated 
on an individual basis. There will be 
no right or authority for any claims to 
be arbitrated on a class action basis or 
on bases involving claims brought in a 
purported representative capacity on behalf 
of the general public, other cardmembers 
or other persons similarly situated. 
Notwithstanding any other provision and 
without waiving the right to appeal such 
decision, if any portion of these Limitations on 
Arbitration is deemed invalid or unenforceable, 
then the entire Arbitration provision (other than 
this sentence) will not apply. 
Arbitration Procedures 
This Arbitration provision is governed by 
the FAA. The arbitrator will apply applicable 
substantive law, statutes of limitations and 
privileges. The arbitrator will not apply any 
federal or state rules of civil procedure or 
evidence in matters relating to evidence 
or discovery. Subject to the Limitations on 
Arbitration, the arbitrator may otherwise award 
any relief available in court. You and we agree 
that the arbitration will be confidential. You 
and we agree that we will not disclose the 
content of the arbitration proceeding or its 
outcome to anyone, but you or we may notify 
any government authority of the claim as 
permitted or required by law. 
If your claim is for $10,000 or less, you 
may choose whether the arbitration will be 
conducted solely on the basis of documents, 

Version 1122744 

Page 6 of 8 

through a telephonic hearing, or by an in-person 
hearing. At any party's request, the arbitrator will 
provide a brief written explanation of the award. 
The arbitrator's award will be final and binding, 
subject to each party's right to appeal as stated 
in this section and/or to challenge or appeal an 
arbitration award pursuant to the FAA. To initiate 
an appeal, a party must notify the arbitration 
organization and all parties in writing within 35 
days after the arbitrator's award is issued. The 
arbitration organization will appoint a three-
arbitrator panel to decide anew, by majority vote 
based on written submissions, any aspect of the 
decision objected to. The appeal will otherwise 
proceed pursuant to the arbitration organization's 
appellate rules. Judgment upon any award may 
be entered in any court having jurisdiction. At your 
election, arbitration hearings will take place in the 
federal judicial district of your residence. 
Arbitration Fees and Costs 
You will be responsible for paying your share 
of any arbitration fees (including filing, 
administrative, hearing or other fees), but only up 
to the amount of the filing fees you would have 
incurred if you had brought a claim in court. We 
will be responsible for any additional arbitration 

fees. At your written request, we will consider in 
good faith making a temporary advance of your 
share of any arbitration fees, or paying for the 
reasonable fees of an expert appointed by the 
arbitrator for good cause. 
Additional Arbitration Awards 
If the arbitrator rules in your favor for an 
amount greater than any final offer we made 
before the final hearing in arbitration, the 
arbitrator's award will include: (1) any money to 
which you are entitled, but in no case less than 
$5,000; and (2) any reasonable attorneys' fees, 
costs and expert and other witness fees. 
Your Right to Reject Arbitration 
You may reject this Arbitration provision by 
sending a written rejection notice to us at: 
American Express, P.O. Box 981556, El Paso, 
TX 79998. Go to americanexpress.com/reject 
for a sample rejection notice. Your rejection 
notice must be mailed within 45 days after your 
first card purchase. Your rejection notice must 
state that you reject the Arbitration provision 
and include your name, address, Account 
number and personal signature. No one else 
may sign the rejection notice. If your rejection 
notice complies with these requirements, this 

Arbitration provision and any other arbitration 
provisions in the cardmember agreements for 
any other currently open American Express 
accounts you have will not apply to you, except 
for Corporate Card accounts and any claims 
subject to pending litigation or arbitration at the 
time you send your rejection notice. Rejection 
of this Arbitration provision will not affect your 
other rights or responsibilities under this Claims 
Resolution section or the Agreement. Rejecting 
this Arbitration provision will not affect your 
ability to use your card or any other benefit, 
product or service you may have with your 
Account. 
Continuation 
This section will survive termination of your 
Account, voluntary payment of your Account 
balance, any legal proceeding to collect a debt, 
any bankruptcy and any sale of your Account 
(in the case of a sale, its terms will apply to the 
buyer of your Account). If any portion of this 
Claims Resolution section, except as otherwise 
provided in the Limitations on Arbitration 
subsection, is deemed invalid or unenforceable, 
it will not invalidate the remaining portions of 
this Claims Resolution section. 

Claims Resolution for Covered Borrowers 
Most customer concerns can be resolved by 
calling our Customer Service Department at the 
number listed on the back of your Card. In the 
event Customer Service is unable to resolve a 
complaint to your satisfaction, this section explains 
how claims can be resolved through litigation, 
non-binding mediation or, at your election, 
arbitration. You are not required to resolve any 
claims by mediation and arbitration. For this 
section, you and us includes any corporate 
parents, subsidiaries, affiliates or related persons 
or entities. Claim means any current or future 
claim, dispute or controversy relating to your 
Card account, this Agreement, or any agreement 
or relationship you have or had with us, except 
for the validity, enforceability or scope of the 
Arbitration provision. Claim includes but is not 
limited to: (1) initial claims, counterclaims, cross-
claims and third-party claims; (2) claims based 
upon contract, tort, fraud, statute, regulation, 
common law and equity; (3) claims by or against 
any third party using or providing any product, 
service or benefit in connection with any account; 
and (4) claims that arise from or relate to (a) any 
account created under any of the agreements 
or any balances on any such account, (b) 
advertisements, promotions or statements related 
to any accounts, goods or services financed 
under any accounts or terms of financing, (c) 
benefits and services related to Card membership 
(including fee-based or free benefit programs, 
enrollment services and rewards programs) and 
(d) your application for any account. You may not 
sell, assign or transfer a claim. 
Sending a Claim Notice 
Before beginning a lawsuit, arbitration or 
non-binding mediation, you may send a 
written notice (a claim notice) to us. Go to 
americanexpress.com/claim for a sample claim 
notice. The claim notice should describe the claim 
and state the specific relief demanded. We may 
also request that we resolve a claim by mediation 
or arbitration, but you are not required to accept 

our request. We may include our request with 
your billing statement or mail it to your home 
address. Notice to us must include your name, 
address and Account number and be sent to 
American Express ADR c/o CT Corporation 
System, 28 Liberty Street, New York, New 
York 10005. If the claim proceeds to litigation, 
mediation or arbitration, the amount of any 
relief demanded in a claim notice will not be 
disclosed. You are not required to resolve 
your claim through mediation or arbitration. 
You may decline our request to resolve a 
claim through mediation or arbitration. You 
may elect to resolve your claim through 
litigation. 
Mediation 
If you elect to resolve your claim through 
mediation, a neutral mediator will help 
resolve the claim. The mediator does not 
decide the claim but helps parties reach 
agreement. Before beginning mediation, you 
or we must first send a claim notice. Within 
30 days after sending or receiving a claim 
notice, you or we may submit the claim to 
JAMS (1-800-352-5267, jamsadr.com) or 
the American Arbitration Association ("AAA") 
(1-800-778-7879, adr.org) for mediation. We 
will pay the fees of the mediator. All mediation-
related communications are confidential, 
inadmissible in court and not subject to 
discovery. All applicable statutes of limitation 
will be tolled from the date you or we send the 
claim notice until termination of the mediation. 
Either you or we may terminate the mediation 
at any time. The submission or failure to submit 
a claim to mediation will not affect your or 
our right to elect litigation or arbitration. The 
outcome of mediation proceedings is non-
binding. You may proceed to litigation or 
arbitration regardless of the outcome of 
mediation. 
Arbitration 
You may elect, but are not required, to resolve 
any claim by individual arbitration. We may 
Page 7 of 8 

Version 1122744 

also request to resolve any claim by individual 
arbitration, but you are not required to accept 
our request. Claims are decided by a neutral 
arbitrator. 
If you elect or agree to resolve a claim 
through arbitration, your or our right to 
litigate that claim in court or have a jury trial 
on that claim may be limited. Further, you 
and we may not have the right to participate 
in a representative capacity or as a member 
of any class pertaining to any claim subject 
to arbitration. Arbitration procedures are 
generally simpler than the rules that apply 
in court, and discovery is more limited. The 
arbitrator's authority is limited to claims 
between you and us alone. Claims may not 
be joined or consolidated unless you and 
we agree in writing. An arbitration award 
and any judgment confirming it will apply 
only to the specific case and cannot be 
used in any other case except to enforce 
the award. The arbitrator's decisions are 
as enforceable as any court order and are 
subject to very limited review by a court. 
Except as set forth below, the arbitrator's 
decision will be final and binding. Other 
rights you or we would have in court may 
also not be available in arbitration. 

Initiating Arbitration 
If you and we agree to proceed to arbitration, 
claims will be referred to either JAMS or 
AAA, as selected by the party electing 
arbitration. Claims will be resolved pursuant 
to this Arbitration provision and the selected 
organization's rules in effect when the claim is 
filed, except where those rules conflict with this 
Agreement. 
If we choose the organization, you may select 
the other within 30 days after receiving notice 
of our selection. 
Contact JAMS or AAA to begin an arbitration 
or for other information. Claims also may be 
referred to another arbitration organization if 

you and we agree in writing or to an arbitrator 
appointed pursuant to section 5 of the Federal 
Arbitration Act, 9 U.S.C. sec. 1-16 (FAA). We 
will not request arbitration for any claim you file 
in small claims court, so long as the claim is 
individual and pending only in that court. You 
may otherwise elect to arbitrate any claim at any 
time unless it has been filed in court and trial has 
begun or final judgment has been entered. 
Limitations on Arbitration 
If the parties agree to resolve a claim by 
arbitration, that claim will be arbitrated on an 
individual basis pursuant to that agreement, 
and the agreement would not allow claims 
to be arbitrated on a class action basis or on 
bases involving claims brought in a purported 
representative capacity on behalf of the 
general public, other Cardmembers, or other 
persons similarly situated. 
Notwithstanding any other provision and without 
waiving the right to appeal such decision, if 
any portion of these Limitations on Arbitration 
provisions is deemed invalid or unenforceable, 
then the entire Arbitration provision (other than this 
sentence) will not apply. 
Arbitration Procedures 
This Arbitration provision is governed by the FAA. 
The arbitrator will apply applicable substantive 
law, statutes of limitations and privileges. The 
arbitrator will not apply any federal or state rules 
of civil procedure or evidence in matters relating to 
evidence or discovery. Subject to the Limitations 

on Arbitration provisions, the arbitrator may 
otherwise award any relief available in court. 
You and we agree that the arbitration will be 
confidential. You and we agree that we will 
not disclose the content of the arbitration 
proceeding or its outcome to anyone, but you 
or we may notify any government authority of 
the claim as permitted or required by law. 
If your claim is for $10,000 or less, you 
may choose whether the arbitration will be 
conducted solely on the basis of documents, 
through a telephonic hearing, or by an in 
person hearing. At any party's request, the 
arbitrator will provide a brief written explanation 
of the award. The arbitrator's award will be 
final and binding, subject to each party's right 
to appeal as stated in this section and/or 
to challenge or appeal an arbitration award 
pursuant to the FAA. To initiate an appeal, a 
party must notify the arbitration organization 
and all parties in writing within 35 days after 
the arbitrator's award is issued. The arbitration 
organization will appoint a three-arbitrator panel 
to decide anew, by majority vote based on 
written submissions, any aspect of the decision 
objected to. The appeal will otherwise proceed 
pursuant to the arbitration organization's 
appellate rules. Judgment upon any award 
may be entered in any court having jurisdiction. 
At your election, arbitration hearings will take 
place in the federal judicial district of your 
residence. 

Arbitration Fees and Costs 
You will be responsible for paying your share 
of any arbitration fees (including filing, 
administrative, hearing or other fees), but only 
up to the amount of the filing fees you would 
have incurred if you had brought a claim in 
court. We will be responsible for any additional 
arbitration fees. At your written request, we 
will consider in good faith making a temporary 
advance of your share of any arbitration fees, 
or paying for the reasonable fees of an expert 
appointed by the arbitrator for good cause. 
Additional Arbitration Awards 
If the arbitrator rules in your favor for an 
amount greater than any final offer we made 
before the final hearing in arbitration, the 
arbitrator's award will include: (1) any money to 
which you are entitled, but in no case less than 
$5,000; and (2) any reasonable attorneys' fees, 
costs and expert and other witness fees. 
Continuation 
This section will survive termination of your 
Account, voluntary payment of your Account 
balance, any legal proceeding to collect a debt, 
any bankruptcy and any sale of your Account 
(in the case of a sale, its terms will apply to the 
buyer of your Account). If any portion of this 
Claims Resolution section, except as otherwise 
provided in the Limitations on Arbitration 
subsection, is deemed invalid or unenforceable, 
it will not invalidate the remaining portions of 
this Claims Resolution section. 

Version 1122744 

Page 8 of 8