ELECTRONIC FUND TRANSFERS
YOUR RIGHTS AND RESPONSIBILITIES
Indicated below are types of Electronic Fund Transfers we are capable of handling, some of which may not apply to your account. Please read this disclosure carefully because it tells you your rights and obligations for the transactions listed. You should keep this notice for future reference.
Electronic Fund Transfers Initiated By Third Parties. You may authorize a third party to initiate electronic fund transfers between your account and the third party’s account. These transfers to make or receive payment may be one-time occurrences or may recur as directed by you. These transfers may use the Automated Clearing House (ACH) or other payments network. Your authorization to the third party to make these transfers can occur in a number of ways. For example, your authorization to convert a check to an electronic fund transfer or to electronically pay a returned check charge can occur when a merchant provides you with notice and you go forward with the transaction (typically, at the point of purchase, a merchant will post a sign and print the notice on a receipt). In all cases, these third party transfers will require you to provide the third party with your account number and bank information. This information can be found on your check as well as on a deposit or withdrawal slip. Thus, you should only provide your bank and account information (whether over the phone, the Internet, or via some other method) to trusted third parties whom you have authorized to initiate these electronic fund transfers. Examples of these transfers include, but are not limited to:
• Preauthorized credits. You may make arrangements for certain direct deposits to be accepted into your checking or statement savings account(s).
• Preauthorized payments. You may make arrangements to pay certain recurring bills from your checking or statement savings account(s).
• Electronic check conversion. 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 or pay bills. You may provide your check to a merchant or service provider who will scan the check for the encoded bank and account information. The merchant or service provider will then use the information to convert the transaction into an electronic fund transfer. This may occur at the point of purchase, or when you provide your check by other means such as by mail or drop box.
• Electronic returned check charge. You may authorize a merchant or other payee to initiate an electronic fund transfer to collect a charge in the event a check is returned for insufficient funds.
Please also see Limitations on frequency of transfers section regarding limitations that apply to savings accounts.
Telephone Banking Transfers - types of transfers and frequency limitations - You may access your account by telephone at (401) 845-2265 (Local) or 1-877-709-2265 using your personal identification number, a touch tone phone, your account numbers and your social security number, to:
• transfer funds from checking to checking
• transfer funds from checking to statement savings
• transfer funds from statement savings to checking
- you may make no more than six transfers per month
• transfer funds from statement savings to statement savings
- you may make no more than six transfers per month
• transfer funds from line of credit to checking
• make payments from checking to loan accounts with us
• make payments from statement savings to loan accounts with us
Please also see Limitations on frequency of transfers section regarding limitations that apply to telephone transfers.
ATM Transfers - types of transfers, dollar limitations, and charges - You may access your account(s) by ATM using your ATM card and personal identification number or Visa® Check Card and personal identification number, to:
• make deposits to checking account(s)
• make deposits to statement savings account(s)
• get cash withdrawals from checking account(s)
- you may withdraw no more than $500.00 per day unless otherwise authorized by the Bank which includes any point-of-sale transaction
- there is a charge of $1.75 per withdrawal at ATMs we do not own or operate
• get cash withdrawals from statement savings account(s)
- you may withdraw no more than $500.00 per day unless otherwise authorized by the Bank which includes any point-of-sale transaction
- there is a charge of $1.75 per withdrawal at ATMs we do not own or operate
• transfer funds from statement savings to checking account(s)
• transfer funds from checking to statement savings account(s)
• make payments from checking or statement savings to loan account(s) with us
• get information about:
- the account balance of your checking account(s)
• there is a charge of $1.75 per inquiry at ATMs we do not own or operate
- the account balance of your statement savings account(s)
• there is a charge of $1.75 per inquiry at ATMs we do not own or operate
• you may not make deposits at ATMs we do not own or operate
• fees for ATMs we do not own or operate are waived for Platinum accounts, Generations Gold accounts, Student Focus accounts, and Go Checking accounts.
Some of these services may not be available at all terminals.
Please also see Limitations on frequency of transfers section regarding limitations that apply to ATM transfers.
Types of ATM Card Point-of-Sale Transactions - You may access your checking account(s) to purchase goods (in person), pay for services (in person), and get cash from a merchant, if the merchant permits, or from a participating financial institution.
Point-of-Sale Transactions - dollar limitations - Using your card:
• you may not exceed $500.00 in transactions per day, unless otherwise authorized by the bank
Types of Visa® Check Card Point-of-Sale Transactions - You may access your checking account(s) to purchase goods (in person, online, or by phone), pay for services (in person, online, or by phone), get cash from a merchant, if the merchant permits, or from a participating financial institution, and do anything that a participating merchant will accept. Visa® Check Cards may not be used for any illegal transactions.
Point-of-Sale Transactions - dollar limitations - Using your card:
• you may not exceed $2,000.00 in transactions per day
• for additional information, please see your Visa® Check Card application
Please also see Limitations on frequency of transfers section regarding limitations that apply to debit card transactions.
Currency Conversion and International Transaction Fees. When you use your Visa Check card or ATM card at a location outside of the United States you will be charged. This charge will be converted into the US dollar amount and is called an International Service Assessment (ISA) fee. The ISA fee and a currency conversion rate used to determine the transaction amount in US dollars is either a rate selected by Visa®, PLUS®, Mastercard®, CIRRUS®, or another bankcard processing network from the range of rates available in wholesale currency markets for the applicable central processing date, which rate may vary from the rate Visa®, PLUS®, Mastercard®, CIRRUS®, or another processing network itself receives, or the government-mandated rate in effect for the applicable central processing date, in each instance, plus or minus any adjustment fee or cross border fee determined by the issuer. The conversion rate or ISA rate in effect on the processing date may differ from the rate in effect on the transaction date or posting date.
Non-Visa Debit Transaction Processing. We have enabled non-Visa debit transaction processing. This means you may use your Visa-branded debit card on a PIN-Debit Network* (a non-Visa network) without using a PIN.
The non-Visa debit network(s) for which such transactions are enabled are: NYCE Network.
Examples of the types of actions that you may be required to make to initiate a Visa transaction on your Visa-branded debit card include signing a receipt, providing a card number over the phone or via the Internet, or swiping the card through a point-of-sale terminal.
Examples of the types of actions you may be required to make to initiate a transaction on a PIN-Debit Network include initiating a payment directly with the biller (possibly via telephone, Internet, or kiosk locations), responding to a logo displayed at a payment site and choosing to direct payment through that network, and having your identity verified using known information derived from an existing relationship with you instead of through use of a PIN.
The provisions of your agreement with us relating only to Visa transactions are not applicable to non-Visa transactions. For example, the additional limits on liability (sometimes referred to as Visa's zero-liability program) and the streamlined error resolution procedures offered on Visa debit card transactions are not applicable to transactions processed on a PIN-Debit Network.
*Visa Rules generally define PIN-Debit Network as a non-Visa debit network that typically authenticates transactions by use of a personal identification number (PIN) but that is not generally known for having a card program.
Focus Online Banking Transfers - types of transfers and frequency limitations - You may access your account(s) via the Internet 24 hours a day using your Sign-On ID, password and a secure web browser, to:
• transfer funds from checking to checking
• transfer funds from checking to statement savings
• transfer funds from statement savings to checking
- you may make no more than six transfers per month
• transfer funds from statement savings to statement savings
- you may make no more than six transfers per month
• transfer funds from checking to make payments on loan accounts with us
• make payments from checking to third parties
• transfer funds from statement savings to make payments on loan accounts with us
- you may make no more than six transfers per month
• place a stop payment
• get information about:
- the account balance of checking account(s)
- the last deposit to checking account(s)
- the last withdrawal from checking account(s)
- the account balance of statement savings account(s)
- the last deposit to statement savings account(s)
- the last withdrawal from statement savings account(s)
Please also see Limitations on frequency of transfers section regarding limitations that apply to online banking transfers.
Limitations on frequency of transfers. In addition to those limitations on transfers elsewhere described, if any, the following limitations apply:
• Transfers from a Passbook Savings, Statement Savings, Platinum Partnership Investment, or Preference Statement Savings account to another account or to third parties by preauthorized, automatic, telephone, or an online transfer are limited to six per month with no transfers by check, debit card, or similar order to third parties.
• Transfers from a Money Market Savings account: During any statement period, you may not make more than six withdrawals or transfers to another BankNewport account of yours or to a third party by means of a check, preauthorized or automatic transfer, Internet or telephone order or instruction. If you exceed the transfer limitations set forth above in any statement period, your account will be subject to closure by the bank.
FEES
• We do not charge for direct deposits to any type of account.
Overdraft Fees: An overdraft fee applies to transactions that include checks, preauthorized debits, Point of Sale (POS) transactions, telephone transfers, ATM transactions, online bill payments, Internet banking transactions, in-person withdrawals, or items created by other electronic means.
• Please refer to the Schedule of Common Fees For Checking and Savings Accounts.
Except as indicated elsewhere, we do not charge for electronic fund transfers.
ATM Operator/Network Fees. When you use an ATM not owned by us, you may be charged a fee by the ATM operator or any network used (and you may be charged a fee for a balance inquiry even if you do not complete a fund transfer).
DOCUMENTATION
• Terminal transfers. You can get a receipt at the time you make a transfer to or from your account using an automated teller machine or point-of-sale terminal. However, you may not get a receipt if the amount of the transfer is $15 or less.
• Preauthorized credits. 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 call us at (401) 845-2265(Local) or 1-877-709-2265 to find out whether or not the deposit has been made.
• Periodic statements:
You will get a monthly account statement from us for your checking account(s).
You will get a monthly account statement from us for your statement savings account(s), unless there are no transfers in a particular month. In any case, you will get a statement at least quarterly.
For passbook accounts, if the only electronic transfers to or from your account are preauthorized credits, we will send monthly statements. You may also bring your passbook to us and we will record any electronic deposits that were made since the last time you brought in your passbook.
We may, from time to time, need to temporarily suspend processing of an International Automated Clearing House Transaction (IAT) for further investigation and this may delay your settlement.
PREAUTHORIZED PAYMENTS
• Right to stop payment and procedure for doing so. If you have told us in advance to make regular payments out of your account, you can stop any of these payments. Here is how:
Call or write us at the telephone number or address listed in this brochure in time for us to receive your request 3 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.
We will charge you $25.00 for each stop payment order you give.
• Notice of varying amounts. 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 differ by more than a certain amount from the previous payment, or when the amount would fall outside certain limits that you set.)
• Liability for failure to stop payment of preauthorized transfer. If you order us to stop one of these payments 3 business days or more before the transfer is scheduled, and we do not do so, we will be liable for your losses or damages.
FINANCIAL INSTITUTION'S LIABILITY
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:
(1) If, through no fault of ours, you do not have enough money in your account to make the transfer.
(2) If you have an overdraft line and the transfer would go over the credit limit.
(3) If the automated teller machine where you are making the transfer does not have enough cash.
(4) If the terminal or system was not working properly and you knew about the breakdown when you started the transfer.
(5) If circumstances beyond our control (such as fire or flood) prevent the transfer, despite reasonable precautions that we have taken.
(6) There may be other exceptions stated in our agreement with you.
CONFIDENTIALITY
We will disclose information to third parties about your account or the transfers you make:
(1) where it is necessary for completing transfers; or
(2) in order to verify the existence and condition of your account for a third party, such as a credit bureau or merchant; or
(3) in order to comply with government agency or court orders; or
(4) as explained in the separate Privacy Disclosure.
UNAUTHORIZED TRANSFERS
(a) Consumer liability.
• Generally. Tell us AT ONCE if you believe your card and/or code 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 your maximum overdraft line of credit). If you tell us within 2 business days after you learn of the loss or theft of your card and/or code, you can lose no more than $50 if someone used your card and/or code without your permission.
If you do NOT tell us within 2 business days after you learn of the loss or theft of your card and/or code, and we can prove we could have stopped someone from using your card and/or code without your permission if you had told us, you could lose as much as $500.
Also, if your statement shows transfers that you did not make, including those made by card, code or other means, tell us at once. If you do not tell us within 60 days after the first statement was mailed to you or electronically delivered 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) kept you from telling us, we will extend the time periods.
• Additional Limit on Liability for Visa® Check Card. Unless you have been grossly negligent or have engaged in fraud, you will not be liable for any unauthorized transactions using your lost or stolen Visa® Check Card. This additional limit on liability does not apply to ATM transactions or to transactions using your Personal Identification Number which are not processed by VISA®.
(b) Contact in event of unauthorized transfer. If you believe your card and/or code has been lost or stolen, that someone has transferred, may transfer money, or if you believe a transfer has been made using the information from your check without your permission, call or write us at the telephone number or address listed in this brochure.
ERROR RESOLUTION NOTICE
In Case of Errors or Questions About Your Electronic Transfers, call or write us at the telephone number or address listed in this brochure, 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 we sent the FIRST statement on which the problem or error appeared.
(1) Tell us your name and account number (if any).
(2) Describe the error or the transfer you are unsure about, and explain as clearly as you can why you believe it is an error or why you need more information.
(3) 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 10 business days.
We will determine whether an error occurred within 10 business days (5 business days for Visa® Check Card point-of-sale transactions processed by Visa and 20 business days if the transfer involved a new account) after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days (90 days if the transfer involved a new account, a point-of-sale transaction, or a transfer that was not initiated within a state which is also known as a foreign-initiated transfer) to investigate your complaint or question. If we decide to do this, we will credit your account within 10 business days (5 business days for Visa® Check Card point-of-sale transactions processed by Visa and 20 business days if the transfer involved a new account) 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 may not credit your account. Your account is considered a new account for the first 30 days after the first deposit is made, unless each of you already has an established account with us before this account is opened.
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.
You may ask for copies of the documents that we used in our investigation.
BankNewport
DEPOSIT SERVICING DEPARTMENT
P.O. BOX 450
NEWPORT, RHODE ISLAND 02840
Business Days: Monday through Friday
Excluding Federal Holidays
and Victory Day (2nd Monday in August)
Phone: (401) 845-2265 (Local) or 1-877-709-2265
MORE DETAILED INFORMATION IS AVAILABLE
ON REQUEST
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SUBSTITUTE CHECKS AND YOUR RIGHTS
As our personal checking account customer, we think it's important for you to know about substitute checks. The following Substitute Check Disclosure provides information about substitute checks and your rights. So you will recognize substitute checks when you receive them, we have included a copy of the front side of a substitute check along with an explanation of the substitute check's components.
What is a substitute check?
To make check processing faster, federal law permits banks 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 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 law 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 suffer if a substitute check is posted to your account incorrectly (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, bounced check 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 interest on the amount of your refund if your account is an interest-bearing account. If your loss exceeds the amount of the substitute check, you may be able to recover additional amounts under other law.
If you use this procedure, you may receive up to $2,500 of your refund (plus interest if your account earns interest) within 10 business days after we received your claim and the remainder of your refund (plus interest if your account earns interest) not later than 45 calendar days after we received your claim.
We may reverse the refund (including any interest 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 suffered a loss relating to a substitute check that you received and that was posted to your account, please contact us at:
BankNewport
Attention: Deposit Servicing Department
P.O. Box 450
Newport, RI 02840
You must contact us within 40 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 account statement showing that the substitute check was posted to your account, whichever is later. We will extend this time period if you were not able to make a timely claim because of extraordinary circumstances.
Your claim must include —
• A description of why you have suffered 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 insufficient to confirm that you suffered a loss; and
• A copy of the substitute check or the following information to help us identify the substitute check: the check number, the amount of the check, the date of the check, the name of the person to whom you wrote the check, and a description of the loss in detail.
These numbers correspond with the numbers on the Substitute Check Image:
1 An image of the original check appears in the upper right-hand corner of the substitute check.
2 A substitute check is the same size as a standard business check.
3 The information in asterisks relates to the “reconverting bank”—the financial institution that created the substitute check.
4 The information in brackets (appears sideways facing check image) relates to the “truncating bank”—the financial institution that took the original check out of the check processing system.
5 The Legal Legend states: This is a LEGAL COPY of your check. You can use it the same way you would use the original check.
6 The MICR lines at the bottom of the image of the original and at the bottom of the substitute check are the same except for the “4” at the beginning of the MICR line on the substitute check, which indicates that it is a substitute check being moved forward for collection purposes. It is also possible for the MICR line on the substitute check to begin with a “5” if the item is being returned. The rest of the MICR line is the same as the original check to ensure that it is processed as though it were the original.
1842323-020
Rev. 07/09
© 1989 Wolters Kluwer Financial Services – Bankers Systems™
Form ETM-BRO 8/19/92 Custom 2ay,8d