Account
Rules and
Regulations
Agreement and Disclosure of
Share and Deposit Account Rules
Table of Contents
2 Understanding Your SECU Share
and Deposit Accounts
2 State Employees’ Credit Union
Member Identication Notice
3 General Provisions
5 Information About Our Accounts
6 Fees
6 Monthly Maintenance Fees and Contributions to
State Employees’ Credit Union Foundation
7
7 Account Ownership
8 Joint Accounts
9 Payable on Death Accounts
10 Uniform Transfers to Minors.
11 Accounts by Minors
11 Personal Agency Accounts
11 Trust Accounts
12 Powers of Attorney
12 Fiduciary Accounts
12 Other Agency Relationships
13 Electronic Fund Transfers
13 Regulation E Disclosure
17 ACH Transactions
18 Wire Transfers
20 When Funds Are Available for Withdrawal
20 Your Ability to Withdraw Funds
20 Longer Delays May Apply
21 Special Rules
22 Special Rules for Mobile Check Deposits and
Deposits to Share Accounts
22 Electronic Deposits and Other Credits
23 Substitute Check Policy Disclosure
23 Substitute Checks and Your Right
24 Deposits to and Withdrawals from Your Account
24 Deposits
25 Collection of Items
26 Negative Balance
26 Checks and Other Withdrawals
27 Stale and Post-Dated Items
27 Stopping Payment on Checks
28 Remotely Created Checks or Drafts
28 Cashier’s Checks
29 Account Balance and Posting Order
31 Overdraft Transfer Service
33 Checking Account Non-Sucient Funds
34 Notice of Negative Information
34 General Account Terms
34 Statements
36 Communications with SECU
36 Opening Additional Accounts
37 Taxpayer Identication Number and Backup
Withholding
37 Statutory Lien; Right of Seto; Security Interest
38 Holding Funds in Your Account
38 Disputes Involving Your Account
39 Limitation of Liability/Indemnication
40 Legal Process Against Your Account
40 Assignments, Pledges, and Transfers
41 Zero Balance and Abandoned Accounts
41 Your Membership and Maintaining
Your Accounts Responsibly
43 Arbitration
50 Safety
1 2
State Employees’
Credit Union
ACCOUNT RULES AND REGULATIONS
Agreement and Disclosure of Share and
Deposit Account Rules
1 2
Understanding Your
SECU Share and
Deposit Accounts
State Employees’ Credit Union (“SECU” or the “Credit
Union”) oers a wide variety of account services. Your
agreement with us concerning your share and deposit
accounts held at SECU is contained in the account
signature form, and other account opening agreements
and disclosures incorporated by reference are associated
with each of your accounts. These account opening
agreements and disclosures include, as applicable:
• this
Account Rules and Regulations
(the
“Agreement”);
• our
Fees and Terms
disclosure;
• the
Supplemental Terms and Conditions for SECU
Visa®
1
Debit, CashPoints®, CashPoints Global, and
HSA Cards (“Debit Card Supplement”)
(if we issue
one of these cards to you);
• the
Share & Deposit Account Rate Summary
; and
• our
Online Services Agreement
(if you enroll in Online
Services).
• We may present other agreements and disclosures
to you from time to time, which may also govern
your accounts.
• Read this Agreement and keep it so you can refer
to it when you have questions about your accounts.
Visit www.ncsecu.org for the most up-to-date version
of this Agreement. You can also contact your local
branch or call us at 1-888-732-8562 to request a copy.
THIS AGREEMENT CONTAINS AN ARBITRATION
PROVISION IN THE “GENERAL ACCOUNT TERMS”
SECTION, WHICH GOVERNS HOW DISPUTES
BETWEEN YOU AND US WILL BE RESOLVED IF
A DISPUTE ARISES. YOU HAVE THE RIGHT TO
OPT OUT OF THE ARBITRATION PROVISION
BY NOTIFYING US WITHIN THE TIME PERIOD
SPECIFIED IN THAT PROVISION.
STATE EMPLOYEES’ CREDIT UNION
MEMBER IDENTIFICATION NOTICE
IMPORTANT INFORMATION ABOUT PROCEDURES
FOR OPENING A NEW ACCOUNT – To help the
government ght the funding of terrorism and money
1
Visa is a registered trademark of Visa International
Service Association and used under license.
3 4
laundering activities, federal law requires all nancial
institutions to obtain, verify, and record information that
identies each person who opens an account. What this
means for you: When you open an account, we will ask for
your name, address, date of birth, and other information
that will allow us to identify you. We may ask to see your
driver’s license or other identifying documents. We may
also ask to see your identifying documents if you change
your name or before completing a transaction, such as a
withdrawal.
GENERAL PROVISIONS
Use of Certain Terms in This Agreement:
• “You” or “your” refers to each person signing an
account signature form, anyone who owns an
account, or anyone who has access to or control over
an account (including your agents, such as agents
under powers of attorney and personal agents).
• “We,” “our,” and “us” each refer to SECU.
• “Item” includes all orders and instructions for the
payment, transfer, or withdrawal of funds from
your account; for example, a check, draft, image,
substitute check, everyday non-recurring debit card
transaction, recurring debit card transaction, ACH
transaction, ATM transaction, preauthorized payment,
automatic transfer, telephone-initiated transfer,
online transfer including a BillPay transaction,
withdrawal slip, and an in-person payment, transfer
or withdrawal instruction.
• “Includes,” “including,” “include,” and “for example”
are used to introduce a list of some, but not all,
situations or items that are covered by a particular
provision.
• When we refer in this Agreement to “sucient
available funds,” “available funds,” “funds being
available,” or similar phrases, we mean the Available
Balance plus, if applicable, any funds available to the
account through your participation in our Overdraft
Transfer Service.
• “Re-presentment” occurs when an Item that was
returned unpaid is presented again by a merchant or
other person for payment.
• “Business days” are Mondays through Fridays except
SECU holidays. SECU posts its holiday schedule on its
website at www.ncsecu.org.
• All references to time are in Eastern time unless
otherwise noted.
Headings: This Agreement uses section and paragraph
headings to help you nd certain subjects. This is done for
3 4
convenience only. The headings do not limit the sections
and paragraphs.
Governing Law: This Agreement is governed by
applicable federal law and North Carolina law, except
that the Arbitration Provision is governed by the Federal
Arbitration Act. If any terms of this Agreement come into
conict with applicable law, those terms will be nullied to
the extent they are inconsistent with the law, and the law
will govern. Except as set forth in the Arbitration Provision,
if any part of this Agreement is found to be invalid, the
rest of it will still remain in eect.
Amending This Agreement: We reserve the right to
amend the terms of this Agreement at any time by
adding, deleting, or amending any provisions. If we
amend this Agreement, we will notify you as required
by law and as we determine is appropriate, which may
include by mail (e.g., statement message, statement
enclosure, or letter) or by posting a notice on our website
and/or in our branches. When we amend this Agreement,
the amended version supersedes all previous versions and
governs your account. Your continued use of the account
after the eective date of any amendment will constitute
your acceptance of the amendment. Any attempt by you
to amend this Agreement by striking through, adding
language, or making any other written changes is void.
Communications Are Provided in English: State
Employees’ Credit Union conducts all transactions
and other member business in English. Therefore, all
agreements, disclosures, applications, origination,
servicing, collection, marketing, and informational
materials are provided in English only unless otherwise
required by law. As a service to our members, we
will attempt to assist those who have limited English
prociency where possible.
Changes to Your Account: If you ask us to make a
change to your account, the change will not be eective
unless we accept and process your request. We may
require you to follow specic procedures to make certain
account changes.
SECU Waiver: The waiver of any of our rights under this
Agreement must be in writing and signed by us to be
eective. We may delay enforcing or not enforce any of
our rights under this Agreement without losing or waiving
any of them.
Your Waiver: You agree to waive any notice of non-
payment, dishonor, or protest regarding any Items
credited to or charged against your account. For
5 6
example, if a check you deposited or we cashed for you
is dishonored and returned to us, we are not required to
notify you of the dishonor.
Calls and Messages to Your Telephone or Mobile
Device: You agree that we (and our aliates, agents, and
contractors) may monitor or record any calls between
you and us. You also agree that we do not need to remind
you of this before any phone conversation. If we need to
contact you to service your account or to collect amounts
you owe us, you authorize us (and our aliates, agents,
and contractors) to contact you at any number you
have provided to us, from which you called us, or which
we obtained and believe we can use to reach you. You
must notify us if you change or discontinue using any
phone number you provide. We may contact you in any
way, such as calling, texting, or email. We may contact
you using an automated dialer or using articial or pre-
recorded voice messages. We, our aliates, agents, and
contractors may call or text you at any phone number
you provide about any products and services you have
with us or that you request we provide to you. We may
contact you on a mobile, wireless, or similar device, even
if you are charged for it by your provider. You may change
your preferences regarding certain calls and messages by
updating your preferences online through Member Access,
contacting your local branch, or calling us at 1-888-732-
8562 or 919-857-2150 locally in Raleigh. You may also write
us at our mailing address: State Employees’ Credit Union,
P.O. Box 27963, Raleigh, NC 27611-8540.
When you give us your phone number or call us, you agree
and expressly consent in advance to these terms and
conditions.
Our internal policies
and procedures are only for our purposes, may not be
enforced by you, and do not impose a higher standard of
care than otherwise would apply by the law that governs
your accounts.
Information About
Our Accounts
We oer a number of dierent types of share and
deposit accounts with dierent benets, features,
terms, requirements, limitations, rates, and fees. Please
review our
Fees and Terms
disclosure and
Share and
Deposit Account Rate Summary
provided to you at
account opening for important information regarding
your accounts. We may update these documents from
5 6
time to time and may do so without prior notice to you
unless prohibited by law. Current copies are available
on our website at www.ncsecu.org. You can also request
information via ASK SECU, our voice response phone
system, which is available 24 hours a day. You can reach
ASK SECU by dialing (888) ASK-SECU or 919-839-5400 if
you are in the Raleigh area.
FEES
You are responsible for paying any fees associated with
your account. These fees, which are deducted from your
account, can cause the account to have insucient funds
to pay other Items. Fees are subject to change at our
discretion and in accordance with applicable laws. For a
full list of fees that may aect your account, see our
Fees
and Terms
disclosure.
MONTHLY MAINTENANCE
FEES AND CONTRIBUTIONS
TO STATE EMPLOYEES’ CREDIT
Checking and CPG accounts are subject to a monthly
maintenance fee, and unless you opt out, that fee
is contributed to the State Employees’ Credit Union
Foundation. The option to contribute the fee to the SECU
Foundation is not available on Zard Checking accounts or
any account held in the name of an estate. Zard checking
accounts automatically convert to traditional checking
accounts when the owner turns 20 years old. When this
automatic conversion occurs, the monthly maintenance
fee on the traditional checking account is automatically
contributed to the SECU Foundation unless the owner
opts out.
Contributions to the SECU Foundation: The SECU
Foundation is a private, nonprot charitable 501(c)(3)
foundation that focuses on promoting local community
development, primarily through high-impact projects in
the areas of housing, education, healthcare, and human
services. Contributions are not tax deductible. You may
opt out of the monthly contribution by contacting SECU;
however, if you opt out your account will be subject to
the monthly maintenance fee. SECU retains the right to
discontinue the SECU Foundation contribution at any
time. The following applies to contributions which are
made in whole dollar amounts:
• Checking Accounts:If there are insucient funds
available in your checking account to cover your
entire monthly contribution, your contribution amount
7 8
accrues and is debited from your account when the
entire contribution amount is available. If accrued
contributions are not collected within 90 days, your
contribution election is automatically switched to the
monthly maintenance fee option, and unpaid fees are
debited as available.
• CPG Accounts: If there are insucient funds
available in your CPG account to cover your entire
monthly contribution, no funds are debited from
your account for contributions that month, and the
contribution amount does not accrue.
Collection of Monthly Maintenance Fee: If your account
incurs the monthly maintenance fee, i.e., you have elected
not to contribute the amount of the fee to the SECU
Foundation, or (if your account is a checking account)
your contribution election was automatically switched
to the monthly maintenance fee option as described
above, or (if your account is a Zard checking account) the
contribution option is not available to you on this account,
the following applies:
• Checking Accounts:If your account has insucient
funds to cover the entire monthly maintenance fee,
the portion of the fee amount that is available is
debited, and the unpaid portion of the fee accrues
and is debited from your account when sucient
funds become available.
• CPG Accounts: If your account has a zero balance
on the statement date, the account does not incur a
monthly maintenance fee for that month. If there is
a positive balance in the account on the statement
date, the account is debited up to the full amount of
the monthly maintenance fee that is available in the
account. Any unpaid portion of the fee does
not accrue.
Account Ownerships,
and Agents
ACCOUNT OWNERSHIP
You select the account ownership type for your account.
The type of account ownership is designated on the
account signature form associated with your account. You
may request that we facilitate certain trust, will, or court-
ordered account setups or other arrangements. However,
we do not give legal advice, we cannot counsel you as to
which account arrangement most appropriately meets the
7 8
specic requirements of your trust, will, or court order, and
we are not responsible for informing you how the dierent
account ownership types may aect your legal interests.
JOINT ACCOUNTS
All joint accounts are governed by North Carolina General
Statutes § 54-109.58. All joint accounts are held by the
owners as co-owners with the right of survivorship,
regardless of which owner deposited the funds or whose
money was deposited. Each joint owner has the right
to withdraw any or all of the funds in the account and/
or close the account without the knowledge, consent, or
joinder of any other joint owner. We may pay the funds in
the account to, or on the order of, any of the joint owners
named on the account.
Upon the death of one joint owner, the funds remaining
in the account belong to the surviving joint owners and
will not pass to the heirs of the deceased joint owner
or be controlled by the deceased joint owner’s will.
However, upon the death of one joint owner, funds in the
account may be subject to collection by the personal
representative of the decedent’s estate.
Each joint owner appoints each of the other joint owners
as his or her agent to deposit, withdraw, and conduct
any business on the joint account, including pledging
the account. Each joint owner guarantees the signatures
of the other joint owners and authorizes the other joint
owners to endorse and deposit checks, drafts, or other
payment orders that are payable to any of the joint
owners into the joint account.
Any joint owner may appoint an agent under a power
of attorney and add the agent to the account, but we
reserve the right to require the consent of all joint owners.
You agree that each joint owner may withdraw or transfer
any or all of the funds on deposit by any means SECU
makes available, including closing the account, placing or
removing a stop payment order, designating the account
as a protecting account for our Overdraft Transfer
Service, or, for STCs, changing the renewal option or the
account into which interest or principal upon maturity
is paid, all without the knowledge, consent, or joinder of
any other joint owner. Each joint owner authorizes SECU
to exercise seto and enforce its lien on the entire joint
account, even if only one, or less than all, of the joint
owners is the debtor. These rights exist irrespective of who
contributes funds to the joint account. (See the Statutory
Lien, Right of Seto, Security Interest section.) SECU is
not bound by knowledge and has no duty to inquire as
to the source of funds deposited into the joint account.
9 10
Each joint owner has an equal and undivided interest in
the entire account regardless of the source of funds. SECU
may provide information about the account, including
statements and other records documenting the prior
history of the account, to any joint owner. Notice provided
by SECU to any one joint owner is notice to all joint
owners.
Removal of a Joint Owner: Joint owners may voluntarily
remove themselves from a joint account at any time,
without the authorization of the remaining owners, by
completing an addendum to the account signature form.
You agree that the signatures of the remaining owners
are not required in order to remove a joint owner and that
the addendum shall validly amend the account signature
form, but only to the extent necessary to remove the
owner’s interest in the account. After voluntary removal,
the account continues in the names of the remaining
owners, who will be notied of the change in ownership.
The removing owner relinquishes his or her rights to the
account, including the right of survivorship, and will no
longer be authorized to make withdrawals, initiate debit
transactions, write checks, or obtain information about
future activity on the account. The removing owner
remains liable for any debts incurred and checks or debits
authorized during the period in which he or she was a joint
owner on the account. If the account has been pledged
to secure a loan made to or guaranteed by the removing
owner, the removing owner’s relinquishment of rights does
not release the account as collateral or aect the pledge
in any manner.
When joint owners voluntarily remove themselves from an
account, remaining owners should review and update the
statement address, Overdraft Transfer Service, transfer
accounts for STCs, Summer Cash accounts, Holiday Cash
Club accounts, BillPay records, funds transfers, and payroll
deductions, as applicable.
If, for any reason, an account signature form with co-
owners fails to create a statutory joint account with right
of survivorship, you agree that the account will be held as
a joint account with right of survivorship under contract
and common law and will have the characteristics
described in this section.
PAYABLE ON DEATH ACCOUNTS
Payable on Death (POD) accounts are governed by North
Carolina General Statutes § 54-109.57A. POD accounts
may have multiple owners and multiple beneciaries.
If there are two or more owners, the owners own the
9 10
account as joint tenants with right of survivorship. Owners
may change the beneciaries at any time by completing
a new account signature form and returning that form
to SECU. We have no obligation at any time to notify the
beneciary(ies) of the existence of, or vesting of interest
in, any POD account except as otherwise required by law.
Upon the death of the last surviving owner, the money
remaining in the account belongs to the beneciaries,
does not pass to the heirs of the deceased owners, and
is not controlled by a will. Distribution to beneciaries,
however, is subject to our review of documentation
establishing the death of the account owner and
the identity of the beneciaries. If there are multiple
beneciaries, we reserve the right to close the resulting
joint account with the right of survivorship and distribute
the funds in equal shares to the beneciaries then living.
If, for any reason, an account signature form designating
one or more POD beneciaries fails to create a statutory
POD account, you agree that the account is held as a POD
account under contract and common law and has the
characteristics described in this section.
UNIFORM TRANSFERS TO MINORS
ACT ACCOUNTS
Uniform Transfers to Minors Act (UTMA) accounts are
governed by the provisions of the North Carolina Uniform
Transfers to Minors Act, Chapter 33A of the North Carolina
General Statutes. Transfers to minors under the UTMA
are irrevocable gifts to the minors. The account signature
form designates a custodian who has the authority to
make withdrawals, obtain information, and otherwise
manage the account. The custodian does not have any
ownership rights or interests in the account. The custodian
is responsible for transferring the custodial property to
the minor after the minor reaches 18 and before the minor
reaches the age of 21.
The custodian may designate a successor custodian
who may act in the event the custodian dies, resigns,
or becomes incapacitated. If the custodian dies or
becomes incapacitated and no successor custodian has
been designated, we may suspend withdrawals from the
account until we receive instructions from any person
authorized by law to withdraw funds or in a court order
authorizing withdrawals. We have no duty to inquire
about the use or purpose of any transaction; however, we
may limit certain withdrawals and transfers from UTMA
accounts. For example, the custodian may not be able to
complete point-of-sale debits or ATM withdrawals.
11 12
The custodian must notify us in writing immediately
upon the occurrence of any of the following events: the
death of the minor, the termination of the custodianship,
the appointment of a successor custodian, or if the
custodian’s authority has otherwise been terminated.
Before we receive such notice, we may honor any checks
or other Items drawn on the account without incurring any
liability to the minor or any third party. The custodian will
be liable to us for any loss or expense we incur because of
the custodian’s failure to provide prompt notice.
ACCOUNTS BY MINORS
We may oer accounts to minors. We may require that
any account opened by a minor be a joint account with
another member who has reached the age of majority
under state law and who will be jointly and severally liable
to us for any returned Item, negative balance, or unpaid
fees or amounts on such account. We may pay funds
directly to the minor without regard to their minority
status. Unless a guardian or parent is a joint account
owner, such guardian or parent will not have any account
access rights. We have no duty to inquire about the use
or purpose of any transaction. We will not automatically
remove a parent, guardian, or other responsible adult as
joint owner when the minor reaches the age of majority
unless the change is authorized in writing by all account
owners.
PERSONAL AGENCY ACCOUNTS
Personal agency accounts are governed by North Carolina
General Statutes § 54-109.63. The agent named on the
account may sign checks, withdraw funds, make deposits,
and obtain account information. A personal agent has
no ownership rights or interest in the account. If an
owner of the account becomes incapacitated or mentally
incompetent, you agree that the agent will have the
authority to continue acting on behalf of the owners. The
personal agent’s authority ends upon the death of the last
owner, and the money remaining in the account will either
be released to POD beneciaries, controlled by the will, or
inherited by the heirs of the last account owner to die.
TRUST ACCOUNTS
SECU may open accounts titled in the name of a
revocable living trust or an irrevocable trust. We accept no
responsibility for determining whether a grantor or trustee
is qualied to act or has been duly appointed to act in
11 12
that capacity or whether any transaction involving the
account is in accordance with or authorized by applicable
law or the trust agreement. We also have no obligation at
any time to notify the beneciary(ies) of any trust account
of the account’s existence or of the vesting of any interest
in the account. SECU acts only as the depository for the
funds. However, we reserve the right to require a copy of a
certication of trust or excerpts of the trust agreement.
POWERS OF ATTORNEY
We may accept your power of attorney document, which
authorizes the person you name in the document (your
attorney-in-fact or agent) to act on your behalf with
respect to your accounts. In order to accept a power of
attorney, we will require, at minimum, a copy of the power
of attorney document and an adavit executed by your
agent that the authority granted to the agent in the power
of attorney remains valid and active. We may continue
to recognize the authority of your agent until we receive
notice of your death or written notice of revocation of
the agent’s authority or of the revocation of the power of
attorney document and we have had a reasonable time to
act on the notice.
FIDUCIARY ACCOUNTS
We may open guardianship and conservatorship accounts
(including Receipt and Agreement accounts), VA Federal
Fiduciary accounts, Social Security Administration
Representative Payee accounts, and estate accounts.
Agents who open these accounts must provide
documentation evidencing their appointment as the
duciary from the appropriate authority. We reserve the
right to require additional documents and information, as
appropriate, for any designated person before allowing
them to act on your behalf or on behalf of your estate.
We may limit certain withdrawals and transfers from VA
Federal Fiduciary accounts, Social Security Administration
Representative Payee accounts, and guardianship
accounts. For example, agents may not be able to
complete point-of-sale debits or ATM withdrawals.
OTHER AGENCY RELATIONSHIPS
Notwithstanding the preceding paragraphs, if you give
any individual actual or apparent authority to view
or transact on your account, such as by providing the
individual with your account information, card, and/
13 14
or security credentials (e.g., your personal identication
number [PIN], username or password), or direct us to
grant account access to the person, we may, in our sole
discretion, elect to treat such person as an agent with
respect to the account, even if the agent’s name is not
expressly designated on the account or in an authorizing
document.
We may pay funds in your account to or upon the order of
your agent. We are authorized to follow the directions of
your agents regarding the account without liability to you
until we receive written notice that the agency relationship
has been terminated and we have had a reasonable
time to act upon the notice. You will be responsible for
all acts of your agent, even if your agent acts contrary
to your specic instructions or your best interests or
exceeds the agent’s authority. We have no duty to monitor
your accounts or inquire about the use or purpose of
any transaction made by your agent, and we will not
be responsible for any breach of duciary duty or the
misapplication of funds from your account by your agent
or duciary. You or your agent must immediately notify us
when their authority has ended.
Electronic Fund
Transfers
REGULATION E DISCLOSURE
The following sections summarize your rights, liabilities,
and obligations for electronic fund transfers under
Regulation E. An electronic fund transfer is a transfer
of funds that is initiated electronically, such as by an
SECU debit card, through an electronic device (such as a
telephone or computer) or converted from a paper Item
for the purpose of authorizing us to debit or credit your
account.
Consumer Liability: Tell us AT ONCE if you believe your
card, code, or PIN has been lost or stolen, or if you believe
that an electronic fund transfer has been made without
your permission using information from your check.
Telephoning is the best way of keeping your possible
losses down. You could lose all the money in your account
(plus any funds available for overdraft transfer). If you
tell us within two business days after you learn of the loss
or theft of your card, code, or PIN, you can lose no more
than $50 if someone used your card, code, or PIN without
your permission.
13 14
If you do NOT tell us within two business days after you
learn of the loss or theft of your card, code, or PIN, and
we can prove we could have stopped someone from using
your card, code, or PIN without your permission if you
had told us, you could lose as much as $500.
Also, if your statement shows transfers you did not make,
including those made by card, code, PIN, or other means,
such as ACH or BillPay, tell us at once. If you do not tell
us within 60 days after the date we send the statement or
otherwise make it available to you; you may not get back
any money you lost after the 60 days if we can prove that
we could have stopped someone from taking the money if
you had told us in time. If a good reason (such as a long
trip or a hospital stay) keeps you from telling us, we will
extend the time period.
If you believe your card, code, or PIN has been lost or
stolen, call us immediately at 1-888-732-8562, or write to
State Employees’ Credit Union, PO Box 28540, Raleigh,
NC 27611. You should also call the number or write to the
address listed above if you believe a transfer has been
made using the information from your check without
your permission. For the purposes of these disclosures,
our business days are Monday through Friday, with the
exception of SECU holidays.
Transfer Types and Limitations: You may use your card,
code, and PIN to:
• withdraw cash from your accounts
• make deposits to your accounts
• transfer funds between your accounts whenever you
request
• pay for purchases at places that have agreed to
accept the card, code, or PIN
• pay bills directly from your checking account in the
amounts and on the days you request
Some of these services are unavailable with all types
of accounts or cards and may not be available at all
terminals. Please see the
Debit Card Supplement
for
details.
You may authorize a merchant or other payee to make a
one-time electronic payment from your checking account
using information from your check to:
• pay for purchases
• pay bills
If you enroll in our Online Services, you can use our BillPay
service to make payments from your checking account,
CashPoints Global account, and HSA at no cost.
15 16
For security reasons, there are limits on the dollar amount
of transactions you can make using our services, as set
forth in our
Fees and Terms
disclosure. If you need these
limits adjusted, please contact us.
We may disclose information to third
parties about your account or the transfers you make:
• where it is necessary for completing transfers and
other transactions
• in order to verify the existence and condition of your
account for a third party, such as a credit bureau or
merchant
• in response to legal process which we believe requires
our compliance
• if you give us your written permission
• to other third parties as described in our Consumer
Privacy Notice or as otherwise permitted by
applicable law
Documentation: You can get a receipt at the time you
make any transfer to or from your account using one of
our ATMs or in our branches.
If you have arranged to have direct deposits made
to your account at least once every 60 days from the
same person or company, you can nd out whether or
not a deposit has been made by viewing your account
online through Member Access, Mobile Access, or our
Mobile App, or by calling us at 1-888-732-8562 or 1-800-
ASK SECU. We will send or otherwise make available to
you a monthly account statement unless we consider
your account inactive. Your account is inactive if no
transactions (including fees and dividend/interest
payments) are made in a given month. Inactive accounts
will not produce a statement.
Stopping Payment on Pre-Authorized Transactions:
If you have told us in advance to make regular payments
out of your account, you can stop any of these payments.
Call us at 1-888-732-8562, sign on to Member Access at
www.ncsecu.org, or write to us at State Employees’ Credit
Union, PO Box 28540, Raleigh, NC 27611, in time for us to
receive your request three business days or more before
the payment is scheduled to be made. If you call, we may
also require you to put your request in writing and get it to
us within 14 days after you call.
If these regular payments may vary in amount, the person
you are going to pay will tell you 10 days before each
payment when it will be made and how much it will be.
You may choose instead to get this notice only when the
payment would dier by more than a certain amount
from the previous payment, or when the amount would
15 16
fall outside certain limits that you set. If you order us to
stop one of these payments three business days or more
before the transfer is scheduled, and we fail to do so, we
will be liable for your losses or damages.
Our Liability for Failure to Make Transfers: If we do
not complete a transfer to or from your account on time
or in the correct amount according to our agreement
with you, we will be liable for your losses or damages.
However, there are some exceptions. We will not be liable,
for instance:
• If, through no fault of ours, you do not have enough
money in your account, including any amounts
available from overdraft transfer sources, to cover
the transaction;
• If the ATM where you are making the transfer does
not have enough cash;
• If the terminal or system was not working properly
and you knew about the breakdown when you
started the transfer;
• If circumstances beyond our control (such as a power
outage, re, or ood) prevent the transfer, despite
reasonable precautions that we have taken; or
• If the funds are subject to legal process.
There may be other exceptions provided by applicable
law or stated in our agreements with you governing your
accounts.
Fees: We may charge you fees to use ATMs to make
balance inquiries, fund transfers, and withdrawals. These
fees are disclosed in our
Fees and Terms
disclosure. Please
review it carefully. Fees are subject to change at our
discretion and in accordance with applicable law.
In addition to any fees we charge, when you use an
ATM that is not a CashPoints ATM, you may be charged
a fee by the ATM operator for completed and denied
transactions and balance inquiries.
Error Resolution: In case of errors or questions about
your electronic fund transfers, telephone us at 1-888-732-
8562 or write us at State Employees’ Credit Union, PO
Box 28540, Raleigh, NC 27611, as soon as you can if you
think your statement or receipt is wrong or if you need
more information about a transfer listed on the statement
or receipt. We must hear from you no later than 60 days
after the statement on which the problem or error rst
appeared was sent or made available to you.
• Tell us your name and account number.
• Describe the error or the transfer you are unsure
about and explain as clearly as you can why
17 18
you believe it is an error or why you need more
information.
• Tell us the dollar amount of the suspected error.
If you tell us orally, we may require that you send us your
complaint or question in writing within ten business days.
We will determine whether an error occurred within 10
business days after we hear from you and will correct
any error promptly. If we need more time, however, we
may take up to 45 days to investigate your complaint
or question. If we decide to do this, we will provisionally
credit your account within 10 business days for the
amount you think is in error, so that you will have the
use of the money during the time it takes us to complete
our investigation. If we ask you to put your complaint
or question in writing and we do not receive it within 10
business days, we are not required to credit your account.
For errors involving new accounts, point-of-sale, or
foreign-initiated transactions, we may take up to 90
days to investigate your complaint or question. For new
accounts, we may take up to 20 business days to credit
your account for the amount you think is in error.
We will tell you the results within three business days
after completing our investigation. If we decide that
there was no error, we will send you a written explanation
and reverse the provisional credit to your account. You
may ask for copies of the documents that we used in our
investigation.
ACH TRANSACTIONS
Automated Clearing House (ACH) entries are debits or
credits to your account that are transmitted through the
ACH system. All ACH entries are subject to the Operating
Rules and Guidelines of the National Automated Clearing
House Association (NACHA Rules). Because ACH entries
are a type of electronic fund transfer, ACH entries to/from
consumer accounts are generally subject to Regulation E.
Inconsistency of Receiver Name and Account
Number: If we receive an ACH entry that includes a
receiver name and account number that are inconsistent,
the entry will be credited on the basis of the account
number, even if it identies an account that does not
belong to the named receiver. You agree that we have
no obligation to identify such inconsistencies and are
not responsible if we process an entry that contains your
name based solely on the account number.
17 18
Notice of Receipt of ACH Items: Under the NACHA
Rules, we are not required to give next-day notice to you
of receipt of an ACH Item, and we will not do so. However,
we will continue to notify you of the receipt of payments
in the periodic statements we provide to you.
Early Direct Deposit: If you receive direct deposits to
one or more of your Credit Union accounts, you may be
able to access your funds up to two days earlier than the
ACH Network settlement date. This means if you receive
your pay through direct deposit, you may have access
to your pay up to two days sooner than your employer’s
payday. Early access to your funds is not guaranteed,
however. (For more information regarding standard
posting expectations for direct deposits, see the Electronic
Deposits and Other Credits section.) Always check your
account transactions to conrm your deposit has been
credited to your account before you make purchases or
pay bills in reliance on early direct deposit.
Provisional Payment: Credit given by SECU to you with
respect to an ACH credit entry is provisional until we
receive nal settlement for such entry through a Federal
Reserve Bank. If we do not receive such nal settlement,
you are hereby notied and agree that we are entitled to
a refund of the amount credited to you in connection with
such entry, and the party making payment to you via such
entry (i.e., the originator of the entry) will not be deemed
to have paid you the amount of such entry.
Applicable Law: SECU may accept on your behalf
payments to your account which have been transmitted
as ACH entries and which are not subject to the Electronic
Fund Transfer Act, such as a re-presented paper
check, and you agree that your rights and obligations
with respect to such payments shall be construed in
accordance with and governed by the laws of the State of
North Carolina and as provided by the NACHA rules.
WIRE TRANSFERS
Applicable Law: Wire transfers are subject to Article 4A
of the North Carolina Uniform Commercial Code and any
rules in eect at the time of the transfer governing the
use of the system(s) through which funds are transmitted.
However, wire or other fund transfers sent outside the
United States that are initiated primarily for personal,
family, or household purposes (called remittance
transfers) are governed primarily by federal law and not
by this section of the Agreement; your rights regarding
remittance transfers will be disclosed to you in connection
with each remittance transfer transaction that you make.
19 20
Wire transfers are also governed by the terms set forth on
our
Wire Transfer Receipt
, which is provided to you when
you give us a wire transfer payment order and is available
at other times upon request.
Inconsistency of Name and Account Number: If you
request a wire transfer that identies the beneciary
(recipient of funds) by name and account number,
payment may be made by the beneciary’s nancial
institution on the basis of the account number, even
if it identies a person dierent than the designated
beneciary. You agree that we have no obligation to
identify such inconsistencies and may process your
request only on the basis of the account number. If you
request a wire transfer that identies an intermediary
or beneciary’s nancial institution by both name and
identifying number, a receiving nancial institution may
rely on the number as the proper identication, even if it
identies a dierent nancial institution than the named
nancial institution.
Notice of Acceptance: We will notify you of the receipt of
a wire transfer into or out of your account in the periodic
statements provided to you for your account. We are not
obligated to give you next-day notice or any other notice
of a wire transfer.
Our Liability: If you are entitled to compensation for
any delay or improper completion of a wire transfer as
a result of our error, our liability will be limited to the
payment of interest at the then-oered share account
rate for a period not exceeding the lesser of 60 days
or the period between the date of the error and the
date of the correction. We will not be responsible under
any circumstances for any consequential, incidental or
actual damages (except for interest as provided above)
in the event of any such delay or improper completion.
You agree to notify us immediately upon learning of or
suspecting any unauthorized wire transfer or any other
discrepancy from your transfer instructions. We will be
discharged from any loss or liability to the extent caused
by your delay in giving us such notication.
19 20
When Funds Are
Available for
Withdrawal
This section describes our policy for when your deposits
are available for withdrawal. We often make funds from
your deposited checks available for your use before we
can collect the check. If you have withdrawn the funds,
you are still responsible for any problem with the deposit,
such as the return of a deposited check. If a check you
deposited or cashed is returned to us for any reason, we
may charge your account for the amount of the check, or
you must repay us for the amount of the check.
YOUR ABILITY TO WITHDRAW FUNDS
Our general policy is to make funds from your cash and
in-person check deposits available to you on the same
business day we receive your deposit. Funds from checks
deposited to a CashPoints ATM are generally made
available to you on the rst business day after the day of
your deposit.
For determining the availability of your deposits, every
day is a business day, except Saturdays, Sundays, and
days we are closed for observance of holidays. If you
make a deposit before 5:30 p.m. on a business day we
are open at one of our branches or at a CashPoints ATM,
we will consider that day to be the day of your deposit.
However, if you make a deposit at one of our branches or
at a CashPoints ATM after 5:30 p.m. or on a day we are
not open, we will consider the deposit made on the next
business day we are open. For example, if you deposit
funds at a CashPoints ATM on a Saturday at 3:00 p.m.,
and we are closed the following Monday for a holiday, we
will consider the deposit made on Tuesday.
LONGER DELAYS MAY APPLY
In some cases, we will not make all of the funds that you
deposit by check available to you on the same or the
next business day of a deposit. Depending on the check
you deposit, funds may not be available until the seventh
business day after the day of your deposit. The rst $225
of your in-person deposits, however, will be available on
the same business day we receive your deposit, and the
rst $225 of your deposits to a CashPoints ATM will be
available on the second business day.
21 22
Generally, if we are not going to make all the funds from
your deposit available on the same business day of your
deposit (or the rst business day after the day of your
deposit for checks deposited to a CashPoints ATM), we will
notify you at the time you make your deposit. We will also
tell you when the funds will be available. If your deposit is
not made directly to one of our employees, or if we decide
to take this action after you have left the premises, we will
mail you the notice by the end of the next business day
after we receive your deposit. If you need the funds from
a deposit right away, you should ask us when the funds
will be available.
In addition, funds you deposited by check may
be delayed for a longer period under the following
circumstances:
• we believe a check you deposit will not be paid
• the check you deposited, or other checks you have
previously deposited, has been returned unpaid
• you make a large deposit (however, up to $5,525 will
be available on the same or next business day)
• you make a deposit to a new transaction account
• you have overdrawn one or more of your accounts
with us repeatedly in the last six months
• there is an emergency, such as a weather
emergency, power outage, or failure of computer or
communications equipment
We will notify you if we delay your ability to withdraw
funds for any of these reasons, and we will tell you when
the funds will be available. With respect to deposits made
to checking accounts, CPG accounts, and HSAs, funds
from the deposit will be available no later than the seventh
business day after the day of your deposit.
SPECIAL RULES
Holds on Other Funds – Check Cashing: If we cash
a check for you that is drawn on another nancial
institution, we may withhold the availability of a
corresponding amount of funds that is already in your
account. Those funds will be available at the time funds
from the check we cashed would have been available if
you had deposited it. For example, if SECU cashes a $500
check for you, $500 of funds already in your account may
not be available until up to the seventh business day after
the day SECU cashed the check.
Holds on Other Funds – Other Accounts: If we accept
for deposit a check that is drawn on another nancial
institution, we may make funds from the deposit available
21 22
for withdrawal immediately but delay your availability to
withdraw a corresponding amount of funds that you have
on deposit in another account with us. The funds in the
other account would then not be available for withdrawal
until the time periods that are described elsewhere in this
disclosure for the type of deposit.
SPECIAL RULES FOR MOBILE
CHECK DEPOSITS AND DEPOSITS
TO SHARE ACCOUNTS
Holds on deposits made to share accounts and on any
deposits made through Mobile Check Deposit are not
governed by the rules described above. Thus, we may
place longer holds on funds from these deposits if we
believe there is risk the check may not be paid and/
or there may not be sucient available funds in your
account to cover the check should non-payment occur. It
is also our policy to place a seven-day hold on all check
deposits greater than $1,000 made to IRA share accounts.
If we place a hold on your deposited check, we will
provide you with notice of the hold at the time of deposit
(if the deposit takes place in person at our branch), or we
will mail you notice as soon as practicable.
ELECTRONIC DEPOSITS
AND OTHER CREDITS
Electronic Deposits: Funds from electronic deposits,
including direct deposits and wires, are available on
the eective date or the day we receive the deposit,
whichever is later. (Additionally, direct deposits may be
available up to two days early; see Early Direct Deposit
under the ACH Transactions section.) Once they are
available, you can withdraw the funds in cash, and we will
use the funds to pay any debits to your account.
Merchant Credits: When you initiate a merchant return
on a debit card point-of-sale transaction, the credit for
the transaction will be held and unavailable for use until
we receive the credit settlement transaction from the
merchant and post it to your account. Until that time,
the credit will be displayed in Activity Today (which term
is dened in the Account Balance and Posting Order
section).
23 24
Substitute Check
Policy Disclosure
SUBSTITUTE CHECKS
AND YOUR RIGHTS
What Is a Substitute Check? To make check processing
faster, federal law permits nancial institutions to replace
original checks with “substitute checks.” These checks are
similar in size to original checks, with a slightly reduced
image of the front and back of the original check. The
front of a substitute check states: “This is a legal copy of
your check. You can use it the same way you would use
the original check.” You may use a substitute check as
proof of payment, just like the original check.
Some or all of the checks that you receive back from us
may be substitute checks. This notice describes the rights
you have when you receive substitute checks from us.
The rights in this notice do not apply to original checks or
to electronic debits to your account. However, you have
rights under other laws with respect to those transactions.
What Are My Rights Regarding Substitute Checks? In
certain cases, federal law provides a special procedure
that allows you to request a refund for losses you suer if
a substitute check is posted to your account (for example,
if you think that we withdrew the wrong amount from your
account or that we withdrew money from your account
more than once for the same check). The losses you may
attempt to recover under this procedure may include
the amount that was withdrawn from your account and
fees that were charged as a result of the withdrawal (for
example, non-sucient funds fees).
The amount of your refund under this procedure is
limited to the amount of your loss or the amount of the
substitute check, whichever is less. You also are entitled to
dividends on the amount of your refund if your account
is a dividend-bearing account. If your loss exceeds the
amount of the substitute check, you may be able to
recover additional amounts under other laws.
If you use this procedure, you may receive up to $2,500
of your refund (plus dividends, if your account earns
dividends) within 10 business days after we receive your
claim and the remainder of your refund (plus dividends, if
your account earns dividends) not later than 45 calendar
days after we receive your claim.
23 24
We may reverse the refund (including any dividends on
the refund) if we later are able to demonstrate that the
substitute check was correctly posted to your account.
How Do I Make a Claim for a Refund? If you believe that
you have suered a loss relating to a substitute check
that you received and that was posted to your account,
please contact us at your local branch, call us at 1-888-
732-8562, or sign on to Member Access at www.ncsecu.org
and send a Secure Message to request a refund. You must
contact us within 60 calendar days of the date that we
mailed (or otherwise delivered by a means to which you
agreed) the substitute check in question or the date of the
account statement showing that the substitute check was
posted to your account, whichever is later. We will extend
this time period if you are not able to make a timely claim
because of extraordinary circumstances.
Your claim must include a description of why you have
suered a loss (for example, you think the amount
withdrawn was incorrect), an estimate of the amount of
your loss, an explanation of why the substitute check you
received is insucient to conrm that you suered a
loss, and a copy of the substitute check and the following
information to help us identify the substitute check: the
check number, the name of the person to whom you wrote
the check, and the amount of the check.
Deposits to and
Withdrawals from
Your Account
DEPOSITS
You may make deposits in person, by mail, or by any
other method we make available to you, including through
CashPoints ATMs or through our online mobile application
(our “Mobile App”). We will not be responsible for deposits
made by or through a depository not staed by our
personnel until we actually receive the deposits. We may,
at our discretion, refuse any deposits.
Endorsement of Deposited Items: We may accept
checks for deposit into any of your accounts if they are
made payable solely to, or to the order of, one or more
of the account owners, even if the check is not endorsed
by all the payees. If you fail to endorse an Item that
you submit for deposit, we have the right, but are not
obligated, to supply a stamped endorsement. We may,
25 26
at our discretion, require that certain checks, including
government checks or insurance company checks,
be personally endorsed by each payee. You agree to
reimburse SECU for any loss or expense we incur because
you fail to endorse an Item exactly as it is drawn.
Restrictive Legends: Some checks and drafts contain
restrictive legends or similar limitations on the front of
the Item. Examples of restrictive legends include “two
signatures required,” “void after 60 days,” and “not valid
over $500.00.” We are not liable for payment of any check
or draft contrary to a restrictive legend or other limitation
contained in or on the Item unless we have specically
agreed in writing to the restriction or limitation.
All deposits are
subject to our subsequent verication and adjustment,
even if you have already withdrawn all or part of the
deposit. Even though we provide you a receipt or
acknowledgement, deposits are still subject to subsequent
verication and adjustment.
Return of Direct Deposits: If, for any reason, we are
required to reimburse the federal or state government or
any other depositor for all or any portion of any payment
deposited into your account through a direct deposit
plan, you agree that we may, without prior notice to
you, deduct the amount returned from your account or
from any other account you have with SECU, unless the
deduction is prohibited by law. This right is in addition to
any other rights SECU has under this Agreement and at
law, including its right of seto and lien.
Mobile Check Deposit: We oer our Mobile Check
Deposit (MCD) service to eligible members who have
enrolled in our Online Services and loaded our Mobile
App on their mobile devices. Please review the State
Employees’ Credit Union Online Services Agreement,
which is available through www.ncsecu.org, for
information about the service, including deposit cutos
and funds availability information.
COLLECTION OF ITEMS
In receiving Items for deposit or collection, SECU acts only
as your collecting agent and assumes no responsibility
beyond the exercise of ordinary due care. Special
instructions for handling an Item are eective only if we
accept them in writing at the time we receive the Item
in question. We are not responsible for errors or delays
caused by others in the collection process. Delivery to SECU
of Items for deposit, collection, credit, or payment will
constitute your acceptance of these conditions.
25 26
Returned Items: If we cash an Item or deposit it into
your account and, upon presentment to the obligated
party, the Item is not paid for any reason (or we believe it
will be returned unpaid), it may be charged back against
your account (or any other account you have with us),
even if the item is not returned within any applicable
deadlines. We can also charge back any Item drawn on
us if, within the normal handling period for such an Item,
it cannot be honored against the drawer’s account. If an
Item is returned to us after it was deposited or cashed
because someone made a claim that the Item was
altered, forged, unauthorized, or should not have been
paid for some other reason, we reserve the right to either
charge back the amount of such Item to your account
or hold the amount of such Item in your account until a
nal determination as to the validity of that claim has
been made. We may also charge back an Item or hold
the amount of an item if there is a problem which, in our
judgment, justies a reversal of credit. We are authorized
to pursue collection of previously dishonored items, and,
in so doing, may permit the payor nancial institution to
hold an Item beyond the normal deadline to pay or return
an Item.
Processing of Items: Items may be sent directly to the
nancial institution upon which they are drawn or at which
they are payable, or they may be sent through collecting
agents for collection and remittance.
NEGATIVE BALANCE
If your account has a negative balance for any reason,
you agree to pay the amount of the negative balance
without notice or demand from us. You agree that we
may recover the amount of any negative balance from
any deposit or transfer made to the account without prior
notice. You also agree to reimburse us for any costs we
incur in collecting the amount of any negative balance,
including reasonable attorneys’ fees and the costs of
litigation. For joint accounts, each owner agrees that
all of the owners are jointly and severally liable for all
negative balances. Each owner also agrees that we may
debit funds from any other account held by each owner
to repay any negative balance. Account services may
be restricted, and your account may be closed due to
account mismanagement.
CHECKS AND OTHER WITHDRAWALS
We may require you to withdraw funds from your account
upon notice. We may refuse any check or other Item
27 28
or withdrawal request if it is not made in a manner
specically authorized for your type of account.
We utilize automated collection and processing
procedures which rely primarily on information encoded
onto each Item, whether or not that information is
consistent with other information on the Item. You agree
that SECU does not fail to exercise ordinary care in paying
an Item solely because our automated procedures do not
provide for sight review.
Stale-Dated Items: We maintain the option, at our
discretion, to either pay or dishonor any stale-dated Item
(that is, a check presented more than six months after
the date of the check) upon presentation to SECU. We
may pay the Item at our discretion unless a stop payment
order is in eect.
Post-Dated Items: You agree not to issue any post-
dated Items. You further agree that we will not be liable to
you for charging your account before the indicated date
on a properly payable but post-dated Item unless you
timely request a stop payment, and we have reasonable
opportunity to act on the request, as described below.
STOPPING PAYMENT ON CHECKS
You may request a stop payment order on any check
drawn on your account. If the account is a joint account,
any joint owner can stop payment of any Item drawn on
the account. If you want to stop payment on a check,
you must act promptly to ensure we receive your request
and have a reasonable opportunity to act on it before
the check is paid. As a result of advances in the check
collection process, including the electronic exchange
of check information, your checks may be presented
for payment against your account much more quickly
than in the past. Thus, to request a stop payment order,
we recommend that you contact your local branch,
call Member Services at 1-888-732-8562, or sign on to
Member Access. You may also send a written request to
PO Box 26807, Raleigh, NC 27611, but keep in mind that
we must receive your order in time to act on it. The stop
payment order must describe the check with reasonable
certainty (for example, the payee, account number, check
number, and exact amount of the check). SECU will not
be responsible for failing to stop payment of a check if
you provide us with untimely, incorrect, or incomplete
information. We may rely on any stop payment order
made by you or any co-owner or agent.
27 28
Stop payment orders on checks remain in eect for 12
months. We may pay a check once the stop payment
order expires. To continue the stop payment for another
12 months, you must request a new stop payment order. If
you want the stop payment order to expire in less than 12
months, you may provide us with written notice requesting
to cancel the stop payment order. The cancellation request
will not be eective until we receive the request and
have a reasonable opportunity to act on it. In our sole
discretion, we may decline a request to cancel a stop
payment unless it is made by the same person who placed
the stop payment.
REMOTELY CREATED CHECKS
OR DRAFTS
A remotely created check or draft is a check or draft
created by someone other than the person on whose
account the check or draft is drawn. It is generally created
by a third-party payee as authorized by the owner
of the account on which the check or draft is drawn.
Authorization is usually made over the telephone or
through online communication. The owner of the account
does not sign a remotely created check or draft. In place
of the owner’s signature, the remotely created check or
draft usually bears either a statement that the owner
authorized the check or draft or the owner’s printed or
typed name. If you authorize a third party to draw a
remotely created check or draft against your account,
you may not later revoke or change your authorization. It
is your responsibility to resolve any authorization issues
directly with the third party. We are not required to credit
your account and may charge against your account any
remotely created check or draft for which the third party
has proof of your authorization.
CASHIER’S CHECKS
We may issue cashier’s checks payable to you or to a
third party at your direction. Because cashier’s checks
are guaranteed funds, you may not cancel or put a stop
payment on a cashier’s check once it is issued. However,
if the check becomes lost, stolen, or destroyed, we may
replace the check according to the following procedures,
subject to applicable law.
If you are the remitter or payee on a cashier’s check
we issued that has been lost, stolen, or destroyed while
in your possession, you can make a claim with us and
request a replacement check. We may require you to
sign a declaration of loss and indemnication agreement
and to wait 90 days from the date of the check before
29 30
we issue the replacement. There are some instances
where we are legally required to pay a cashier’s check
that was reported lost, stolen, or destroyed even though
a claim was made and we issued a replacement check.
If we issue a replacement cashier’s check to you, and
the original cashier’s check is presented for payment
under circumstances where we are legally required to pay
it, you agree to immediately pay us the amount of the
replacement check.
ACCOUNT BALANCE AND
POSTING ORDER
Account Balance: We use your Available Balance plus
any Overdraft Transfer Balance you have when we
determine if you have enough funds available to pay
Items or authorize transactions. Your Available Balance
may not reect every transaction or the nal amount of
every transaction you have initiated or authorized. For
example, your Available Balance may not include the nal
settlement amounts for debit card transactions when:
• a merchant delays sending us the nal settlement,
• a merchant requests authorization before you leave
a tip, or
• the nal amount is not yet known when the merchant
requests authorization for a purchase.
One or more of the following account balances is available
to you for review online, by calling ASK SECU, or by
visiting your local branch.
• Beginning Balance/Ending Balance: The balance
in your account after nightly processing.
• Current Balance: The Beginning Balance plus or
minus Items in activity that have not yet been posted
(“Activity Today”). This balance does not include
funds in any accounts designated as protecting
accounts for SECU’s Overdraft Transfer Service.
Items in Activity Today include transactions we have
received but have not yet posted to your account.
The Current Balance does not include Items such as
scheduled BillPay transactions and checks you have
written but have not yet cleared your account. If
you check your balance using a CashPoints ATM, the
Current Balance (but not the Available Balance) will
be displayed.
• Available Balance: The Current Balance, minus
any monetary holds or deposits pending. “Deposits
pending” are funds from checks that have been
deposited but are not yet available for use. This
includes checks deposited at CashPoints ATMs and
through MCD, which are not made available until
29 30
the rst business day following the deposit date (the
business day of the deposit). Deposits pending also
includes merchant credits that have been received by
the Credit Union but have not yet posted. “Monetary
holds” are funds in an account on hold for any other
reason, such as the proceeds of a transit check
you deposit where availability of funds is delayed.
The Available Balance does not include funds in
any accounts designated as protecting accounts
for SECU’s Overdraft Transfer Service. For share
accounts (including FAT CAT share accounts and
Zard share accounts), Coverdell ESAs, IRAs, or SEP
IRAs, where a minimum balance must be maintained,
the Available Balance includes this required minimum
balance amount; however, this balance amount
cannot be transferred to another account for
any purpose.
• Overdraft Transfer Balance: The sum of the
Available Balance(s) in the protecting account(s), in
whole dollars, less any required minimum balance for
the protecting account(s) that cannot be transferred
to another account for any purpose.
Posting Order: We post credit and debit Items to your
account during nightly processing on days we are open
for business. For purposes of this section, Items include
fees. Credits increase your account balance and debits
decrease your account balance. The order Items post
to your account may dier from the order in which the
transactions occur or we receive them. The order in which
Items are posted may aect the total number of NSF
Items you incur if you have insucient funds to cover
all Items.
We reserve the right to process and post Items to your
account in any order at our discretion, and we may
change the order or categories, including Items within
a category, at any time without notice to you; however,
we generally post Items to your account in the order
described below:
We post deposits and other credits to your account
rst. After we post all deposits and other credits to
your account, we post debits. We post debits in order
according to categories. Within each category, we post
debits from the lowest amount to the highest amount. We
post all transactions for each category before posting
transactions in the next category.
The categories of debits are listed below in the order in
which they post:
1. Authorized Debits: Authorized debits are Items
that we are obligated to pay because we provided
31 32
authorization at the time you initiated the
transaction. Prior to posting, authorized debits are
included in your account’s Activity Today and will
aect your Available Balance because they are
authorized at the time of the transaction. We later
receive and post the nal transaction, and the nal
amount posted may dier from the authorized
amount appearing in Activity Today. The authorized
debits category also includes certain account fees.
• Examples of authorized debits include ATM
withdrawals, transactions initiated with your debit
card, on-us checks cashed in a branch or at an
ATM, withdrawals performed in a branch, and
automatic funds transfers such as loan or credit
card payments.
• The authorized debits category also includes the
following authorized account fees: Wire Service
Fees, ATM Usage Fees, Card Reissue Fees,
International Transaction Fees, Copy Request
Fees, and any NSF Fees for Items that attempted
but failed to clear the previous business day.
2. ACH Debits: ACH debits are debits to your account
which are transmitted through the ACH system. We
also post check order expenses in this category.
3. Safe Deposit Box Rent: Safe deposit box rent
is drafted each year on the last business day
in October.
4. Checks and Paper Drafts: Checks and other drafts
you have written or authorized from your account.
5. Other Fees: Monthly Maintenance Fees, Per-Item
fees, and any other miscellaneous fees charged.
OVERDRAFT TRANSFER SERVICE
SECU oers an Overdraft Transfer Service whereby
available funds are transferred to the protected checking
account (the “protected account”) from designated
SECU share accounts, money market share accounts,
other checking accounts, and SECU lines of credit such
as open-end signature loans, home equity lines of credit,
and (at the sole discretion of the Credit Union) Visa credit
card accounts to help prevent the protected account
from experiencing non-sucient funds (NSF) activity
or becoming overdrawn, which could result in fees. Each
account you link to your protected account is called a
“protecting account.” To obtain this service, opt-in by
completing and returning an opt-in form we provide
to you.
Overdraft Transfers: When sucient funds are not
available to cover an Item presented for payment against
your protected account, SECU automatically transfers
available funds, if any, from your protecting account(s)
31 32
to your protected account. You may designate up to
two protecting accounts, a primary and a secondary
protecting account, for each protected account. Funds
are transferred, in whole dollar amounts, from the primary
protecting account rst. If available funds in the primary
protecting account are insucient to cover an Item
posting to the protected account, a transfer is made in
whole dollar amounts from the secondary protecting
account.
Incremental Transfers: Overdraft transfers to the
protected account are made in increments of $50 or $500,
depending on the type of protecting account.
• Funds from share, deposit, and open-end signature
loan accounts (and credit card accounts, if
permitted) are transferred in $50 increments.
• Funds from home equity lines of credit are
transferred in $500 increments.
However, if the amount available in the designated
protecting account(s) is less than the applicable
incremental transfer amount, all funds available for
transfer in the protecting account(s) (in whole dollars) are
transferred unless there are insucient available funds in
the primary protecting account (and secondary protecting
account, if applicable) to cover the Item. While the rst
$25 of your share account balance is included in the
Available Balance displayed online, it is not available for
overdraft transfer.
Transfers from Line of Credit Accounts: Overdraft
transfers from SECU line of credit accounts are loan
advances or cash advances, as applicable. These transfers
are subject to the terms, including but not limited to the
repayment period, of the applicable credit agreements
and may not occur if the account is delinquent or
considered in default.
Loan advances and cash advances accrue interest
from the date of the transfer. Interest is charged at the
applicable interest rate under the credit agreement.
The credit agreement governing any
designated line of credit protecting account may contain
provisions relating to Overdraft Transfer Service. In the
event of a conict involving Overdraft Transfer Service,
the provisions of any applicable credit agreement will
control, followed by the provisions of this Agreement and
then the Overdraft Transfer Service Terms and Conditions.
Overdraft Transfer Service is subject to change via
amendments to any of these agreements, which will be
communicated to you as required by law.
33 34
Another Chance Alerts: The Another Chance Alert service
is available only to members who enroll their checking
account in Overdraft Transfer Service. If you register
an account for Another Chance alerts, you receive alert
notications on your mobile device or in your Message
Center reminding you to make a deposit or transfer
into your checking account before 5:30 p.m. that day to
prevent Item(s) from being returned due to insucient
available funds (deposits made via ATM and MCD do not
apply.) However, checks written against your account that
are presented for negotiation in one of our branches will
not be accepted if your account has insucient available
funds to cover the Item, even if you have registered the
account for Another Chance alerts.
CHECKING ACCOUNT
SECU determines whether sucient funds are available
to pay an Item after the Item is received by SECU and
before SECU’s return deadline. Only one determination of
the account balance is required.
We may assess a non-sucient funds (NSF) fee each time
an Item is presented for payment against your checking
account and sucient funds are not available to cover the
Item. However, we will not assess an NSF fee if we identify
a transaction as a Re-presentment.
Your Available Balance is subject to SECU’s Funds
Availability Policy and the order in which we process and
post Items. If our determination reveals that sucient
funds are not available to pay an Item, SECU will not be
required to pay the Item and may return it and, if we do
not identify the transaction as a Re-presentmet, assess
an NSF fee. We do not distinguish between available and
unavailable funds in the Beginning/Ending Balance that
is displayed on your account statements and online, so it
may appear that you had enough funds to cover an Item
that was returned and for which you were charged an
NSF fee. You may obtain your Available Balance online, by
calling ASK SECU, or by visiting your local branch.
If you have opted into our Overdraft Transfer Service,
SECU will transfer any funds available for transfer from
the designated protecting account(s) to help prevent the
protected checking account from incurring NSF fees or
becoming overdrawn. See the Overdraft Transfer Service
section. SECU is not required to send you notice of Items
returned for non-sucient funds. As the account owner,
you are responsible for keeping track of your account
balance to ensure that you have sucient funds available
to pay any Item you authorize. SECU may restrict account
33 34
services or close your account if your account has
excessive NSF activity and incurs excessive NSF fees or
returned Items or is otherwise mismanaged.
As a service to our members, NSF fees will not be
assessed on an account the rst two days of a calendar
year in which NSF fees would otherwise be incurred.
The order in which we post Items can aect the total
number of NSF Fees you incur.
During nightly processing on business days, we post Items
received for payment since the previous business day’s
cut-o time. For example, Items received on a Tuesday
after cut-o time, and Items received on Wednesday
up until cut-o time, post during Wednesday night
processing. Dierent posting timeframes may apply
depending on the eective date of the Item. Items often
post in a dierent order than they were authorized. Please
refer to the Account Balance and Posting Order section
for more information about the posting order of Items.
NOTICE OF NEGATIVE INFORMATION
We may report information about your account to credit
bureaus. Late payments, missed payments, or other
defaults on your account may be reected on your
credit report.
General Account Terms
STATEMENTS
Paper and Electronic Statements: We will provide
periodic statements to you as required by law. We also
oer large print and braille statements on our share
and deposit accounts, which are available upon request.
Unless you have previously elected to receive electronic
statements online through SECU’s Member Access (at
www.ncsecu.org), a paper statement will be mailed to the
address shown in SECU’s records.
Accounts, including individually and jointly owned
accounts, can be combined on one statement. If
your statement includes more than one account, any
authorized signer on any of the accounts included on
the statement will have access to the entire statement.
Statements made available electronically are presented
35 36
as maintained in the normal course of recordkeeping. Any
person with online access to your account will be able to
view all the information on the combined statement on
which the account appears. Also, any person on jointly
owned accounts will be able to view all the information
on individual accounts of the other joint owners if these
accounts are combined on one statement.
If any part of a statement is presented responsive to
a court order, subpoena, or other legal process, or you
ask us to produce a statement, we will present the
entire statement as maintained in the normal course
of recordkeeping.
Reviewing Your Statement: You agree to review your
account statements carefully and promptly. If you believe
there is an error of any type on your statement, including
a missing Item, you must immediately notify us as soon
as you notice the error. You agree that unless prohibited
by law we will not be liable for paying or charging
any erroneous Item if you have not reported it to
us in writing within 60 calendar days of the date
Item. Types of erroneous Items include unauthorized
checks (including counterfeit checks, altered checks, and
checks with unauthorized or missing signatures and/
or endorsements), encoding errors, unauthorized or
incorrect fees, unauthorized withdrawals or other debit
transactions, missing, diverted or unauthorized deposits,
or any other type of error, other than electronic fund
transfer errors.
If you report these types of erroneous items to us, you
agree to cooperate with us in our investigation and
prosecution of your claim and with any attempt to recover
the funds. Unless prohibited by law, we may require you
to provide us with an adavit about the circumstances of
your reported erroneous Item(s) and any other reasonable
information we may request, and to le reports with
the appropriate law enforcement agencies. Subject to
applicable law, if you do not cooperate fully with us
in our investigation or recovery eorts, the reported
erroneous Items were not unauthorized, or we otherwise
determine no error exists, the statement on which these
Items appear will be considered correct, and you will be
responsible for the full amount of the Item(s) charged to
your account.
Mailing Address: You agree to notify us promptly of any
change in your contact information. We may rely on any
instructions made by you, or on your behalf, including
by any co-owner or agent, to change your contact
information or mode of statement delivery without
liability. We may also rely on our receipt of a notication
35 36
of an address change from the U.S. Postal Service or its
agents. If you receive paper statements, we mail a copy
of the paper statement to one address per statement. We
have no obligation to mail the statements to any other
account owner or other address on le.
You agree to notify us immediately if you believe you
are not receiving your correspondence from SECU. If
a statement is returned undeliverable, or we otherwise
receive notice that it is undeliverable, we may stop
mailing statements until we receive verication of your
mailing address. We may destroy undelivered statements,
along with any accompanying Items. However, copies
of any undelivered statements and paid Items will still
be made available to you upon your request, subject to
any applicable fees and our legal obligation to maintain
copies of statements and Items. Therefore, if we stop
mailing your statements as described in this paragraph,
you agree that your statements and Items have been
“made available” to you as of the date of the statement
for purposes of your responsibility to promptly review your
statements and report any erroneous Items to us.
COMMUNICATIONS WITH SECU
We may accept and act upon instructions from you to
open accounts, transfer all or any portion of the balance
of your accounts, close your accounts, process a change
of account information, or obtain any other deposit
services from SECU. We may accept instructions you give
verbally or in writing, whether in person, by telephone,
electronic communication or by any other reasonable
method. We may accept and act on such instructions that
do not contain your signature with the same eect as if
such instructions were signed by you. However, we may,
in our discretion, require your original signature or any
other documentation before accepting and acting upon
your instructions.
OPENING ADDITIONAL ACCOUNTS
Some types of SECU accounts can be opened by
referencing a previously signed account signature form.
Referencing means that a new account is opened, and
a new account signature form is created, referencing
the instruction(s) and signature(s) of the owner(s) on an
existing account signature form.
Members can open an individual account by referencing
the account signature form of either an individual or
joint account on which the member is an owner. Any joint
account owner has sole authority to open a joint account
37 38
referencing the account signature form of an existing
joint account, without the knowledge, consent or joinder
of the other joint owners, provided the joint owners on the
referenced account signature form are identical to the
joint owners on the new account.
You agree that new accounts can be opened by
referencing existing accounts and that a joint owner,
acting as agent for the other co-owners of an existing
joint account, can independently open another joint
account in the name of the same joint owners, and all
owners on joint accounts are jointly and severally liable
for the debts of the account, regardless of whether the
account is opened through referencing. Account owners
on all jointly held accounts have rights of survivorship.
Certain types of accounts, such as IRA and POD
accounts, cannot be opened by referencing a previously
signed account signature form and cannot serve as the
signature reference for a new account.
TAXPAYER IDENTIFICATION NUMBER
AND BACKUP WITHHOLDING
Your failure to furnish a correct Social Security or other
Taxpayer Identication Number (TIN) or meet other
Internal Revenue Service (IRS) requirements may result
in backup withholding. If your account is subject to
backup withholding, we must withhold and pay to the
IRS a percentage of dividends, interest, and certain other
payments. If you fail to provide your TIN, we may decline
to open your account.
STATUTORY LIEN; RIGHT OF SETOFF;
SECURITY INTEREST
Statutory Lien: When you open an account, you grant
SECU a statutory lien on the shares, deposits, and
accumulated dividends or interest in your jointly and
individually owned accounts to the extent of any amounts
owed to SECU at any time. If you fail to satisfy a nancial
obligation due and payable to SECU, we may enforce the
statutory lien without further notice to you, except where
prohibited by law.
We may, without prior notice, set o
all the shares, deposits, and accumulated dividends or
interest in your jointly and individually owned accounts
against any due and payable amount you owe us now or
in the future, except where prohibited by law.
Security Interest: You assign, pledge, and grant SECU a
security interest in all shares and deposits, and earnings
37 38
on shares and deposits, which you now have or may have
in the future, at SECU as security for any indebtedness
now owing or arising with SECU in the future, except
where prohibited by law and for indebtedness which is
itself secured by your residential real estate.
We may exercise or enforce our statutory lien, right of
seto, or security interest against any account at any
time, and each shall survive the death of the account
holder. We will not, however, exercise or enforce our
statutory lien, right of seto, or security interest where
prohibited by applicable law (including the Military
Lending Act).
HOLDING FUNDS IN YOUR ACCOUNT
We reserve the right to place a hold on funds in your
account and/or to prevent any deposits from being made
to your account for a reasonable period of time, in our
sole discretion, and without prior notice to you, when:
• we have a right of seto or may enforce our lien;
• we comply with a court order or other legal process;
• we have been notied, or we reasonably believe,
there exists a legitimate dispute among any parties
who have or claim an interest in your account;
• we believe or suspect the account is involved in fraud;
• we in good faith believe we have a claim against you
or the funds in your account, or
• something has occurred or is reasonably expected to
occur that may result in our having a claim against
you or the funds in your account.
DISPUTES INVOLVING
YOUR ACCOUNT
If we have been notied of, or we reasonably believe there
exists, a dispute among any parties who have or claim an
interest in your account, we may, at our discretion:
• continue to rely on the account signature forms and
other account documents incorporated therein;
• pay the funds to an appropriate court of law or
equity for resolution;
• honor the competing claim upon receipt of evidence
we deem satisfactory to justify such claim;
• require that the parties agree in writing to any
transaction concerning the Account;
• require a court order to act; and/or
• close the account and pay the proceeds to all who
have or claim an interest in the account or to the
account owner(s) as indicated in our records.
39 40
You, your estate, and your successors-in-interest agree
to indemnify and hold SECU harmless from and against
all claims, actions, costs, and liabilities arising out of or
relating to actions taken in opening and maintaining your
account, making distributions upon notice of the death
of the last surviving account holder pursuant to the terms
of this Agreement and any conicting designations of the
funds in your account by will, revocable living trust, or any
other instrument.
INDEMNIFICATION
SECU serves only as a depository for the funds in your
account, and we do not owe you a duciary duty with
respect to your account unless we explicitly agree
otherwise in writing. Our responsibility to you and to your
account is limited to the exercise of ordinary care as
established by the reasonable commercial standards for
nancial institutions.
Except as prohibited by law, we will not be liable to you
for any claim, loss, cost, or damage caused by events
or circumstances beyond our reasonable control, even
if they were foreseeable, including extreme weather,
natural disasters, re, oods, pandemics, measures of
any governmental authority, civil disorder, labor strikes,
and terrorism or threats of terrorism, as well as loss of
electrical power, the breakdown or failure of any private
or common carrier communication or transmission
facilities, or suspensions of payments by another nancial
institution. In particular, SECU is not liable to you if such
an event or circumstances prevent us from, or delay us
in, performing our obligations for a service, including
acting on a payment order, crediting a fund transfer to
your account, processing a transaction or crediting your
account. Our liability to you for any act or failure to act
will not exceed any direct resulting loss, if any, which
you incur, and payment of any interest or dividends. In
any case, we will not be liable for any special, incidental,
exemplary, punitive or consequential losses or damages
of any kind, regardless of whether you informed us of the
possibility of such damages, unless required by law.
You agree to reimburse SECU for all claims, costs,
losses, and damages we may incur, including reasonable
attorneys’ fees, in connection with your account, except
to the extent caused by our failure to exercise ordinary
care, or if prohibited by law. Your liability will be joint and
several. We may charge any of your accounts with us for
any such losses, liabilities or expenses without prior notice
to you. With respect to your act, omission, negligence or
fault, and specically in connection with overdrafts or
39 40
returned deposits to your account, you agree to reimburse
SECU for all claims, costs, losses and damages, including
fees paid for collection, unless prohibited by law. Nothing
in this Agreement shall be construed to limit any rights
or defenses available to us, or any warranty, indemnity
or liability imposed on you, under applicable state or
federal laws or regulations or any separate agreements
applicable to your accounts.
LEGAL PROCESS AGAINST
YOUR ACCOUNT
We may comply with any legal process we believe is valid
and to which we believe we are required to respond and
comply. We may, at our discretion, accept legal process
by mail, electronic mail, facsimile, or any other means
at any location where we do business. SECU is not liable
to you for releasing information or remitting funds in
compliance with legal process, including subpoenas,
attachments, executions, garnishments, levies, restraining
orders, injunctions, or warrants. We may charge your
account a service fee for such compliance, which fee will
be disclosed in our
Fees and Terms
disclosure. In addition,
you agree that SECU is generally under no obligation to
object to or otherwise contest on your behalf any legal
process brought against your account, and we will not
send you notice of the legal process unless required by law
to do so. Notwithstanding the foregoing, we acknowledge
that funds you have on deposit with us may be exempt
from, or be protected against, claims of judgment
creditors under federal and/or state law, and we expressly
do not require you to waive any of these protections or
exemptions, or any claims you may have against us, that
apply to these protections and your exemption rights.
SECU will not be liable to you for any sums we may be
required to hold or pay because of legal process against
your account, even if holding or paying funds from your
account leaves insucient funds to pay checks or other
Items from your account. All funds held in a joint account
can be used to satisfy any legal process against you, your
account, or any joint owner. Legal process against your
account is subject to SECU’s lien and right of seto in
accordance with applicable law.
ASSIGNMENTS, PLEDGES,
AND TRANSFERS
SECU will not recognize any assignment, pledge, transfer
or grant of your account, or any interest in it, to anyone
other than SECU.
41 42
ZERO BALANCE AND
ABANDONED ACCOUNTS
We may close your account (other than a CPG, Summer
Cash, Holiday Cash Club, or Salary Advance Cash
account) if your account has a zero balance.
If your account has a positive balance, but there have
been no transactions on your account, or owner-initiated
activity with respect to your account, within the period
specied by applicable state law, the account will be
presumed to be abandoned. The Credit Union reports and
remits funds from abandoned accounts to the state in a
process known as escheatment. Once funds have been
turned over to the state, we have no further liability to you
for such funds. If you choose to reclaim these funds, you
must contact the appropriate state department or agency
that handles abandoned property within the time period
established by state law.
YOUR MEMBERSHIP AND
MAINTAINING YOUR
ACCOUNTS RESPONSIBLY
Our Expectations: In order to maintain full use of and
access to all of SECU’s products and services, we require
that you to meet our expectations regarding how you
handle yourself, your nances, and your accounts
as follows:
• Maintain the applicable minimum par shares value in
at least one share account;
• Prevent delinquency on any SECU loan;
• Maintain accounts responsibly to avoid account
closure (other than due to zero balance);
• Honor nancial obligations so as not to reect
discredit upon SECU;
• Use the products or services oered by SECU
responsibly; do not engage in fraudulent, illegal,
dishonest, or deceptive activities;
• Carry out and/or comply with the agreements you
have made with SECU;
• Refrain from belligerent, abusive, intemperate, or
threatening demeanor or behavior that disturbs the
activities of SECU and its membership, including
verbally or otherwise abusing or threatening SECU
sta or other SECU members; and
• Avoid causing a nancial loss to SECU.
Failure to abide by these expectations can result in the
loss of services, closure of accounts, and/or expulsion
from membership.
41 42
Suspension of Services/Closing Your Account: SECU,
in its sole discretion, may close your account, or deny
your access to specic services, without prior notication
unless required by law, (1) if you breach any terms of this
Agreement, (2) if we, in our sole discretion, determine
continued maintenance of the account exposes SECU to
risk, including risk of nancial loss, or (3) for any other
reason not prohibited by applicable law.
This Agreement, which includes the Arbitration
Provision, will continue to govern matters related to
your account after it is closed. You will remain liable
for checks and other transactions in process and for
the payment of any accrued fees if we close your
account. If we receive a deposit for credit to your
account after it has been closed, we may, at our sole
discretion, return the deposit, reopen your account
and accept the deposit, or redirect the deposit into
another account owned by you.
Actions Warranting Suspension of Services and/
or Termination of Membership: Actions that may
warrant suspension of services, account closure and/or
termination of membership include, but are not limited to:
• Providing false or fraudulent information or
documentation in an attempt to join SECU, receive a
product or service, or originate a loan;
• Providing fraudulent eligibility information to assist a
non-member in joining SECU;
• Passing counterfeit currency;
• Passing fraudulent, forged, or worthless checks, or
kiting checks;
• Structuring transactions in an attempt to avoid
required government lings;
• Using an SECU account to commit fraudulent or
illegal activity, including unlawful Internet gambling;
• Using an SECU account to engage in activity that
is suspicious or otherwise potentially indicative of
fraudulent or illegal activity or activity that is not
allowed under this Agreement.;
• Using an SECU account to defraud others;
• Repeatedly participating in scam activity despite
SECU advice and counseling; or
Conducting non-consumer transactions or otherwise using
an account for business purposes.
Termination of Membership: A member may be expelled
from SECU only in the manner provided by law. Expulsion
or withdrawal from SECU will not operate to relieve a
member of any liability to SECU. All amounts paid on
shares, deposits, or other accounts held by expelled
or withdrawing members, prior to their expulsion or
withdrawal, will be paid in the order of their expulsion
43 44
or withdrawal, but only as funds become available and
only after deducting any amount due from such member
to SECU.
ARBITRATION
YOU HAVE THE RIGHT TO OPT OUT OF (NOT BE
BOUND BY) THIS ARBITRATION PROVISION AS
DESCRIBED IN THE “OPT-OUT” SUBSECTION
in the “Disputes Subject to Arbitration” subsection
below is arbitrated, neither you nor we will have the
right to: (1) have a court or a jury decide the Claim;
(2) engage in information-gathering (discovery)
to the same extent as in court; (3) participate in a
class action, private attorney general action or other
representative action in court or in arbitration; or (4)
unless all parties otherwise agree in writing, join or
consolidate a Claim with claims of any other person
or entity.
General: This Arbitration Provision describes when
and how a Claim (as dened in the “Disputes Subject
to Arbitration” subsection below) may be arbitrated.
Arbitration is a method of resolving disputes in front of
one or more neutral persons (the “arbitrator”) instead
of having a trial in court in front of a judge and/or jury.
It can be a quicker and simpler way to resolve disputes.
Arbitration proceedings are private and less formal than
court trials. Each party to the dispute has an opportunity
to present some evidence to the arbitrator. The arbitrator
will issue a nal and binding decision resolving the
dispute (the “award”), which may be enforced as a court
judgment. A court rarely overturns an arbitrator’s decision.
Governing Law: This Arbitration Provision is governed by
the Federal Arbitration Act, 9 U.S.C. §§ 1-16 (the “FAA”),
and not by any state arbitration law.
Solely for purposes of this Arbitration
Provision, “we,” “us,” and “our” mean (1) State Employees’
Credit Union, each of its subsidiaries, aliates, successors
and assigns, and any of their employees, ocers,
directors and agents; (2) any servicer of your account;
and (3) any other third party that you name along with us
as defendants in a single proceeding.
Opt-Out Process: If you do not want this Arbitration
Provision to apply, you may reject it by mailing us a
written opt-out notice which species your name and
address, identies the applicable account(s), and includes
a signed statement that you opt out of the Arbitration
Provision. The opt-out notice must be signed by you and
43 44
sent to us by mail (not electronically) at Credit Union, Attn:
ARBITRATION, P.O. Box 28327, Raleigh, NC 27611. You
should retain a copy of your opt-out notice and evidence
of mailing.
with the preceding requirements and is postmarked
within thirty (30) days after the date you opened
your account.
This is the only way you can opt out of the Arbitration
Provision. Your decision to opt-out will not have any other
eect on this Agreement or your account with us. If you
don’t reject this Arbitration Provision, it will be eective as
of the date you rst opened your account. If an account
is jointly owned, one owner’s rejection of this Arbitration
Provision will be deemed to be a rejection by all joint
owners. In all other circumstances, your rejection of this
Arbitration Provision will not be deemed to be a rejection
of this Arbitration Provision by any person or entity other
than you. If you have more than one account with us, and
wish to opt out of the Arbitration Provision for multiple
accounts, and are still within the 30-day time period for
opting out of the Arbitration Provision for said accounts,
please include in your written opt out notice each account
for which you wish to opt out of the Arbitration Provision.
In all other circumstances, your decision to opt out of
the Arbitration Provision applies only to the applicable
account and not to any other accounts you have with us.
Moreover, we oer a number of dierent products and
services to our members. If you opt out of arbitration
for one or more accounts governed by this Agreement,
this opt-out will not aect any other arbitration provision
that may exist between you and us, now or in the future,
in connection with other products or services you obtain
from us. Any such arbitration provision will remain in force
unless you separately opt out of it in accordance with its
terms. For example, if you also have a credit card account
with us, opting out of this Arbitration Provision will not
constitute an opt out of any arbitration provision that
may apply to the credit card account.
Disputes Subject to Arbitration: You or we may elect
to have “Claims” arbitrated rather than resolved in court.
The term “Claim” means any past, present or future
claim, dispute or controversy between you and us that
in any way arises from or relates to this Agreement
or your account. “Claim” has the broadest reasonable
meaning and includes, without limitation: (1) initial
claims, counterclaims, cross-claims and third-party
claims; (2) disputes based upon contract, negligence,
fraud and other intentional torts, constitution, statute,
regulation, ordinance, common law and equity; (3)
data breach or privacy claims arising from or relating
45 46
directly or indirectly to our disclosure of any non-public
personal information about you; (4) disputes concerning
your application or other information you gave us
before opening your account; (5) any account(s) you
previously had with us; (6) disputes arising from or
related to debit cards or any other cards, products or
services provided by or purchased or obtained from us
in connection with your account; (7) disputes arising
from or related to any transactions in connection with
your account; (8) disputes arising from or related to any
advice, recommendations, solicitations, communications,
disclosures, promotions or advertisements concerning
your account; (9) claims brought in a direct, derivative,
assignee, survivor, successor, beneciary or personal
capacity; (10) disputes concerning any fees or charges
relating to your account or this Agreement (for example,
non-sucient funds charges and safe deposit box rental
fees), any products or services relating to your account
(for example, ATMs and our online or member support
services), and communication methods and practices
we may use to service your account; and (11) disputes
arising from or related to the relationship(s) between you
and us resulting from any of the foregoing. Claims are
subject to arbitration even if they arise out of or relate to
actions, omissions, transactions, facts, or conduct that
occurred prior to the date of this Agreement. However, this
Arbitration Provision will not apply to any Claim that was
already pending in court before this Arbitration Provision
took eect.
Disputes Not Subject to Arbitration: Notwithstanding
the foregoing, the following disputes are not required to
be arbitrated: (1) disputes that are within the jurisdiction
of a small claims court (or an equivalent court). You
or we may bring an action in small claims court or, if
an arbitration demand has been made, instruct the
arbitration administrator to close the case because
the dispute should be decided by a small claims court.
However, if the dispute is transferred, removed, or
appealed from small claims court to a dierent court, you
or we may elect to compel arbitration. Moreover, if you or
we bring a counterclaim or cross-claim that is for more
than the small claims court’s jurisdiction, the entire dispute
must, if you or we choose, be resolved by arbitration; and
(2) disputes about the validity, enforceability, coverage
or scope of this Arbitration Provision or any part thereof
(including, without limitation, the Class Action Waiver),
which are for a court and not an arbitrator to decide.
However, any dispute or argument that concerns the
validity or enforceability of this Agreement as a whole is
for the arbitrator, not a court, to decide.
In addition, this Arbitration Provision does not prohibit
you or us, at any time, from (1) exercising any lawful rights
45 46
to preserve or obtain possession of property or self-help
remedies, including but not limited to, the right to set-o
or exercise a statutory lien or other lien granted by law or
rule, the right to restrain funds in an account, recoupment,
repossession, replevin or trustee’s sales; (2) obtaining
provisional or ancillary remedies or injunctive relief (other
than a stay of arbitration), including but not limited to
attachment, garnishment, interpleader or the appointment
of a receiver by a court of appropriate jurisdiction; or (3)
bringing an individual action in court that is limited to
preventing the other party from using a self-help or non-
judicial remedy and that does not involve a request for
damages or monetary relief of any kind.
Starting or Electing Arbitration: You or we may start
an arbitration by ling a demand with the arbitration
administrator pursuant to the administrator’s rules. You or
we may also require arbitration of a Claim led in court by
ling a motion with the court to compel arbitration of the
Claim. Even if you and we have chosen to litigate a Claim
in court, either party may elect arbitration of a new Claim
or of a Claim made by a new party in that or any related
or unrelated lawsuit.
Choosing the Administrator: The party who commences
the arbitration may select either of the following
arbitration organizations to administer the arbitration
under their rules that apply to consumer disputes: the
American Arbitration Association (“AAA”), 120 Broadway,
Floor 21, New York, NY 10271 (1-800-778-7879),
www.adr.org; or JAMS, 1920 Main St. at Gillette Ave., Suite
300, Irvine, CA 92614 (1-800-352-5267), www.jamsadr.com.
Moreover, in the event of a mass arbitration (as dened
by the rules of the applicable arbitration administrator),
the parties expressly agree that (a) if AAA is the
administrator, its Mass Arbitration Supplementary Rules
shall apply, and (b) if JAMS is the administrator, its
Mass Arbitration Procedures and Guidelines shall apply.
You can obtain a copy of the administrators’ rules by
visiting their websites or calling them. The parties may
also mutually agree to select an arbitrator who is an
attorney, retired judge or arbitrator registered and in
good standing with a bona de arbitration association
and arbitrate pursuant to the arbitrator’s rules. If AAA
and JAMS cannot or will not serve, and the parties are
unable to select an arbitrator by mutual consent, a court
with jurisdiction will select the administrator or arbitrator,
who must agree to abide by all of the terms of this
Arbitration Provision (including, without limitation, the
Class Action Waiver). Any arbitrator must be a practicing
attorney with ten or more years of experience practicing
law or a retired judge. If a party les a lawsuit in court
asserting Claim(s) that are subject to arbitration and the
other party les a motion to compel arbitration with the
47 48
court which is granted, it will be the responsibility of the
party prosecuting the Claim(s) to select an arbitration
administrator in accordance with this paragraph and
commence the arbitration proceeding in accordance with
the administrator’s rules and procedures.
Jury Trial Waiver: IF YOU OR WE ELECT TO
ARBITRATE A CLAIM, YOU AND WE WILL NOT HAVE
THE RIGHT TO PURSUE THAT CLAIM IN COURT OR
HAVE A JURY DECIDE THE CLAIM.
Class Action Waiver: ANY ARBITRATION MUST BE
ON AN INDIVIDUAL BASIS ONLY. THIS MEANS
THAT IF YOU OR WE ELECT TO ARBITRATE A
CLAIM, NEITHER YOU NOR WE WILL HAVE THE
RIGHT TO: (1) PARTICIPATE IN A CLASS ACTION
OR OTHER REPRESENTATIVE ACTION IN COURT
OR IN ARBITRATION, EITHER AS A CLASS
REPRESENTATIVE, CLASS MEMBER OR OTHERWISE;
OR (2) ACT AS A PRIVATE ATTORNEY GENERAL IN
COURT OR IN ARBITRATION. ALSO, ABSENT THE
WRITTEN CONSENT OF ALL PARTIES, NEITHER
YOU NOR WE WILL HAVE THE RIGHT TO JOIN OR
CONSOLIDATE A CLAIM WITH CLAIMS OF ANY
OTHER PERSON OR ENTITY. An arbitration award shall
determine the rights and obligations of the named parties
only, and only with respect to the Claim(s) in arbitration.
No arbitration administrator or arbitrator shall have the
power or authority to waive or modify this section, and
any attempt to do so, whether by rule, policy, arbitration
decision or otherwise, shall be invalid and unenforceable.
Location and Costs of Arbitration: Any arbitration
hearing that you attend in person must take place
at a location reasonably convenient to the parties or
as otherwise agreed to by the parties or ordered by
the arbitrator. Each administrator charges ling and
administrative fees and the arbitrator also charges fees.
The parties shall pay said fees in accordance with the
administrator’s rules. However, if you tell us in writing
that you cannot aord to pay the fees charged by the
arbitration organization and that you were unable to
obtain a waiver of fees from the administrator, and if
your request is reasonable and in good faith, we will pay
or reimburse you for all or part of the fees charged to
you by the arbitration organization and/or arbitrator.
The parties shall also bear the fees and expenses of
their own attorneys, experts and witnesses unless
otherwise required by applicable law, this Agreement or
the administrator’s rules. If we prevail in an individual
arbitration that either you or we commenced, we will not
seek to recover our attorney, expert or witness fees or our
arbitration fees from you. Notwithstanding the foregoing,
if the arbitrator determines that any party’s claim or
47 48
defense is frivolous or wrongfully intended to oppress
or harass the other party, the arbitrator may award
sanctions in the form of fees and expenses reasonably
incurred by the other party if such sanctions could be
imposed under Rule 11 of the Federal Rules of
Civil Procedure.
Law Applied by the Arbitrator: The arbitrator must
apply applicable substantive law consistent with the
FAA and applicable statutes of limitations and claims of
privilege recognized at law. The arbitrator is authorized
to award all remedies permitted by the substantive law
that would apply in an individual court action, including,
without limitation, punitive damages (which shall be
governed by the Constitutional standards employed by
the courts) and injunctive, equitable and declaratory relief
(but only in favor of the individual party seeking relief and
only to the extent necessary to provide relief warranted
by that party’s individual Claim). Any nding, award or
judgment from an arbitration of any Claim shall apply only
to that arbitration. No nding, award or judgment from
any other arbitration shall impact the arbitration of
any Claim.
Right to Discovery: In addition to the parties’ rights
to obtain discovery pursuant to the arbitration rules of
the administrator, either party may submit a written
request to the arbitrator to expand the scope of discovery
normally allowable under the arbitration rules of the
administrator. The arbitrator shall have discretion to grant
or deny that request.
Arbitration Award and Right of Appeal: At the timely
request of either party, the arbitrator shall provide a
written explanation for the award. However, if the amount
in controversy exceeds $50,000, you or we can, within 15
days after the entry of the award by the arbitrator, appeal
the award to a three-arbitrator panel administered by the
administrator. The panel shall reconsider anew any aspect
of the initial award requested by the appealing party. The
decision of the panel shall be by majority vote. Reference
in this Arbitration Provision to “the arbitrator” shall mean
the panel if an appeal of the arbitrator’s decision has
been taken. The costs of such an appeal will be borne in
accordance with the paragraph above titled “Location
and Costs of Arbitration.” The original award or any
subsequent award on the appeal described above shall
be nal and binding, subject to any further appeal rights
under the FAA, and may be entered as a judgment by any
court having jurisdiction.
49 50
Rules of Interpretation: This Arbitration Provision is
binding upon and benets you, your respective heirs,
successors and assigns, and us and our respective
successors and assigns. This Arbitration Provision shall
survive (1) the repayment of amounts owed under
this Agreement; (2) any legal proceeding; (3) any
sale, assignment or transfer of your account; (4) any
bankruptcy to the extent consistent with applicable
bankruptcy law; (5) any default, breach or repossession;
(6) any termination, cancellation, closure, suspension
or non-renewal of this Agreement, your account or
credit privileges; and (7) any termination, amendment,
expiration or performance of any transaction between
you and us. In the event of a conict or inconsistency
between this Arbitration Provision, on the one hand, and
the applicable arbitration rules or the other terms of this
Agreement, on the other hand, this Arbitration Provision
shall govern. Any changes to this Arbitration Provision will
apply only prospectively unless we give you a right to opt
out of the change or the entire Arbitration Provision.
Severability: If any portion of this Arbitration Provision
is held to be invalid or unenforceable, the remaining
portions shall nevertheless remain in force, subject to two
exceptions: (1) if a determination is made that the Class
Action Waiver is unenforceable, and that determination
is not reversed on appeal, then the Arbitration Provision
(except for this sentence) shall be void in its entirety; and
(2) if a court determines that a public injunctive relief
Claim may proceed notwithstanding the Class Action
Waiver, and that determination is not reversed on appeal,
then the public injunctive relief Claim will be decided by
a court, any individual Claims will be arbitrated, and the
parties will ask the court to stay the public injunctive relief
Claim until the other Claims have been nally concluded.
Notice and Cure: Prior to initiating a lawsuit or an
arbitration proceeding under this Arbitration Provision,
you or we, as applicable, shall give the other party written
notice of the Claim (a “Claim Notice”) and a reasonable
opportunity, not less than 30 days, to resolve the Claim.
Any Claim Notice to you shall be sent in writing by mail to
the address you provided in connection with your account
(or any updated address you subsequently provide). Any
Claim Notice to us shall be sent by mail to Credit Union,
Attn: CLAIM NOTICE, P.O. Box 28327, Raleigh, NC 27611 (or
any updated address we subsequently provide). Any Claim
Notice you send must include your name, address, and
information sucient to identify your account and explain
the nature of the Claim and the relief demanded. You may
only submit a Claim Notice on your own behalf and not on
behalf of any other party. The party giving a Claim Notice
must reasonably cooperate in providing any information
about the Claim that the other party reasonably requests.
49 50
Safety
The National Credit Union Share Insurance Fund
(NCUSIF) of the National Credit Union Administration
(NCUA) insures member deposits up to $250,000 (and
potentially more through dierent account ownerships).
This insurance coverage is automatic and is provided
at no additional member cost. Insurance coverage by
the NCUA is provided on all types of share and deposit
accounts currently oered by SECU.
For more information about NCUA share insurance
coverage, please contact your local branch or see our
NCUA Share Insurance webpage, which is accessible
through the Federally Insured by NCUA link at
www.ncsecu.org.
For information about safety at ATMs,
please visit www.ncsecu.org.
State Employees’
Credit Union Member
IMPORTANT INFORMATION ABOUT PROCEDURES
FOR OPENING A NEW ACCOUNT
To help the government ght the funding of terrorism
and money laundering activities, federal law requires
all nancial institutions to obtain, verify, and record
information that identies each person who opens an
account. What this means for you: When you open an
account, we will ask for your name, address, date of
birth, and other information that will allow us to identify
you. We may ask to see your driver’s license or other
identifying documents. We may also ask to see your
identifying documents if you change your name or
before completing a transaction, such as a withdrawal.
Federally insured by NCUA B-0002 7/2024
NMLS
#430055
