MAX CREDIT UNION  
MasterCard® CREDIT CARD AGREEMENT (RETAIN FOR YOUR RECORDS) 

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 the MasterCard credit card, and any duplicates and renewals we issue. Account means your 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 1-800-449-7728. 
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.  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 334-260-2600 or 1-800-
776-6776, 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  transaction  date.  The 
FINANCE  CHARGE  (interest)  is  calculated  at  the  periodic  rate  of  either  0.8325%  per  month  (ANNUAL  PERCENTAGE  RATE  of  9.99%),  0.908%  per  month 
(ANNUAL PERCENTAGE RATE of 10.9%), or 1.042%per month (ANNUAL PERCENTAGE RATE of 12.50%) 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 MasterCard 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  card  program  and  from  automated  teller  machines  (ATMs),  such  as  a  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. 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. 

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. 

MAX.MCAGMT_NOFEE                                                       Page 1 of 2                                                                                          Effective Date:  8/2014 

 
 
 
 
 
 
 
 
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.   

This notice contains important information about your rights and our responsibilities under the Fair Credit Billing Act. 

YOUR BILLING RIGHTS (KEEP THIS NOTICE FOR FUTURE USE) 

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 
Your APR will be 9.99%, 10.90% or 12.50% based on 
your creditworthiness when you open your account. 
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. 

MAX.MCAGMT_NOFEE                                                       Page 2 of 2                                                                                          Effective Date:  8/2014