THE MEMBER (REFERRED TO AS “YOU” OR “YOUR”) SHOULD READ THIS AGREEMENT CAREFULLY AND KEEP AN ELECTRONIC COPY OR PRINT A HARD COPY FOR YOUR RECORDS.
This Agreement and Disclosure Statement for External Loan Payment Services (“Agreement”) sets forth the terms and conditions for your use of our external loan payment services (“Service”). In this Agreement, Redstone Federal Credit Union is referred to as “RFCU®,” “we,” “us,” or “our.” In addition to these terms and conditions, any Account Agreement, Electronic Services Agreement, agreement that governs your RFCU loan(s), or any other applicable agreement entered into by you and RFCU also apply to the Service. Should the terms of this Agreement conflict with the terms of any other applicable agreement, then the terms of this Agreement shall control. Notwithstanding the preceding sentence, you agree and confirm that the terms of any agreement that governs your RFCU loan(s) continues unchanged and that you shall remain responsible under and bound by such agreement(s) regardless of any successful or unsuccessful payment through the Service.
Pay Loan from non-RFCU Account
This Agreement enables you to make payments to your loans at RFCU by using a checking account or debit card at an external Financial Institution (“FI”). Any payment submitted through the Service will be referred to as an “External Loan Payment,” “Loan Payment Transfer,” or “Service.”
Overview: By agreeing to this Agreement and submitting the payment information, you authorize RFCU to use your payment information and originate an ACH transaction from your external FI accounts, including debit cards (credit cards are excluded from ACH transactions), to credit your loan(s) as specified. You agree to follow any applicable instructional material we provide to schedule and initiate your Loan Payment Transfers from a non-RFCU Account.
You understand and agree that, under the terms of this agreement, RFCU may charge you fees to use this service.
Charges or Fees: You understand and agree that at all times your relationship with each account provider is independent of RFCU and your use of the Service. RFCU will not be responsible for any acts or omissions by the other FI or any other provider of any account, including without limitation any modification, interruption, or discontinuance of any account by such provider.
YOU AGREE THAT RFCU SHALL NOT BE LIABLE FOR ANY COSTS, FEES, LOSSES, OR DAMAGES OF ANY KIND INCURRED AS A RESULT OF OR IN CONNECTION WITH (1) YOUR USE OF THE SERVICE; (2) RFCU’S ACCESS TO THE ACCOUNTS; (3) RFCU’S DEBIT AND/OR CREDIT OR INABILITY TO DEBIT AND/OR CREDIT THE ACCOUNTS IN ACCORDANCE WITH YOUR ACCOUNT TRANSFER INSTRUCTIONS; (4) ANY INACCURACY, INCOMPLETENESS, OR MISINFORMATION CONTAINED IN THE INFORMATION RETRIEVED FROM THE ACCOUNTS OR PROVIDED BY YOU; (5) ANY CHARGES IMPOSED BY ANY PROVIDER OF ACCOUNTS; (6) ANY NON-RFCU ACCOUNT LIMITATIONS SET BY THE FINANCIAL INSTITUTIONS OR OTHER PROVIDERS OF THE ACCOUNTS; OR (7) YOUR NEGLIGENCE OR INTENTIONAL MISCONDUCT.
Not all types of accounts are eligible for the Services. RFCU is not responsible for any costs or losses incurred from fund transfers or other usage of the Service that is not permitted under restrictions by the provider of your account or restrictions imposed by applicable law.
Accuracy of Information You Provide and Your Responsibility for Errors: You agree to provide true, accurate, current, and complete information about yourself and your accounts at the other FI, and you agree not to misrepresent your identity or information related to your accounts at your other FI. In addition, you agree to promptly update or correct any information about yourself or your accounts at the other FI upon learning that it has changed or that it is incorrect. You acknowledge that we will rely on the information provided by you, to submit loan payment funds transfer instructions on your behalf, and you authorize us to act on any instruction which has been or reasonably appears to have been sent by you. We are not obligated to take any further steps to confirm or authenticate such instructions and may act upon them without further communication. If instructions identify an FI and/or a Third-Party Account by name and number, RFCU will execute those instructions by reference to the name and number. You understand and acknowledge that FIs may not investigate discrepancies between names and numbers. We shall have no liability for any damages or other losses resulting directly or indirectly from any errors, duplications, ambiguities, fraud, or misrepresentations in the information that you provide.
You understand that an FI receiving the funds transfer instructions may rely on such information. You accept full responsibility for any damages or other losses resulting from or connected with any of your errors. You agree not to impersonate any person or use a name that you are not authorized to use. If any information you provide is untrue, inaccurate, not current, or incomplete, without limiting other remedies, RFCU reserves the right to recover from you any costs or losses incurred as a direct or indirect result of such information. If you believe there are any errors in your External Loan Payments, please contact RFCU’s Call Center at 800-234-1234, and press “3” (toll free).
Frequency and Dollar Amounts of Transfers: RFCU may limit your External Loan Payment amount. The maximum payment amount that may be allowed is $5,000. For security and risk management reasons, RFCU may from time to time and for any legally allowable reason, modify the limits, frequency, and dollar amount of payments you can make using the Service.
Rejection of Transfers: RFCU reserves the right to decline to affect any External Loan Payment or to carry out change or cancellation requests.
Authorization: At all times, you warrant and represent that you have the authority to take or request the actions governed by this Agreement and that you have the authority to make the representations and promises contained in this Agreement. You authorize RFCU to select any means to execute your External Loan Payment. You understand that, to affect your loan payment instruction, RFCU utilizes either Merchant Processing (debit card) or the Automated Clearing House (ACH), using applicable ACH Rules, to debit an account at your other FI and credit your RFCU loan account(s). RFCU reserves the right to resubmit a debit or a portion of a debit in the event of an insufficient or uncollected funds return and, if RFCU cannot collect, RFCU has the right to reverse and/or cancel the subject amount. To affect this collection, you understand that RFCU will and authorize RFCU to debit the credited loan account(s) or the debited account(s) in the same dollar amount as the original funds transfer of the debit. There may be a fee associated with such collection imposed by the FI holding the account. RFCU is not responsible for any penalties, fees, or other losses incurred as a result of or connected with the above-outlined RFCU response to an insufficient or uncollected funds return.
If you choose to proceed with the transaction, you authorize RFCU to debit your non-RFCU account in the amount indicated. Further, each time you use the Service described in this Agreement or allow any other person to use the Service in relation to any of your accounts, you are confirming your acceptance of the terms of this Agreement. You agree to and understand that the following terms apply to such authorization:
Timing of External Loan Payment Transfers and Related Information: Payments will be credited to your loan(s) on the scheduled payment date after 4:00 pm CST. Because of the time required to process transactions, an External Loan Payment that you initiate may or may not be reflected in the balances of your affected accounts before the transaction is actually processed and posted in our official records for the accounts. Subject to the requirements of applicable law, you agree that we shall have a reasonable opportunity and time to complete the posting of External Loan Payments. Funds will be applied to your loan account(s) according to the terms and conditions of the loan.
Scheduling Payments: To ensure timely credit to your loan(s) by the due date, you must select a payment date that is no later than the actual date that your payment is due. If the actual due date falls on a non-business day, you must select a payment date that is at least one (1) business day before the actual due date. External Loan Payments must be initiated by 4:00 pm CST to be credited to your loan(s) on the same business day. If the date of your recurring payment falls on a non-business day, the payment will be initiated on the business day following the payment date. Payment must be made on or before the due date. You are responsible for any late charge, finance charge, penalty, default, or other consequence that may result from you selecting a payment date later than the due date.
Cancelling or Changing External Loan Payments: You may cancel or change any External Loan Payment that you have initiated or scheduled (including recurring payments) by following the instructions within online banking. External Loan Payments may be cancelled or changed at any time prior to 4:00 pm CST on the scheduled payment date. You may not cancel or change an External Loan Payment after the Service has begun processing the transaction and/or after 4:00 pm CST as displayed in the platform. RFCU shall have no obligation to cancel, change, or stop payment on any External Loan Payment, except as required by applicable law.
Documentation: You may access affected or pending External Loan Payments at any time by logging into online banking and clicking on the "External Loan Payment” tab option. The Loan Payment History is available for 90 days on the Loan Summary Screen. Additional transaction history is available by viewing your monthly banking statements.
Security Procedures: You understand that the FI at which an account is maintained may contact RFCU to verify the content and authority of funds transfer instructions, including External Loan Payments, and any changes to those instructions. You understand that, as your agent, RFCU may provide to such an FI such information as may be required to verify the instructions and may constitute a valid security procedure under the rules governing such an account.
Account Number Policy: If funds transfer instructions identify a bank or beneficiary by name and account number, the relevant FI may execute those instructions by reference to the number only, even if the number does not correspond to the name. You understand that FIs may not investigate discrepancies between names and numbers. In addition, you agree that RFCU has no responsibility to investigate discrepancies between names and numbers.
Means of Transfer: You authorize RFCU to select any means RFCU deems suitable to provide your payment instructions to the applicable FI. These choices include banking channels, debit card, electronic means, funds transfer systems, mail, courier, telecommunications services, intermediary banks, and other organizations. You agree to be bound by the rules and regulations that govern the applicable funds transfer systems, such as CHIPS or Automated Clearing House (ACH) as published by the National Automated Clearing House Association (NACHA). RFCU shall make all reasonable efforts to ensure that your transfer requests are processed on time.
Our Liability: You agree that your External Loan Payment instructions constitute authorization for RFCU to complete the transfer. You represent and warrant to RFCU that you have enough money in the applicable accounts to make any scheduled loan payment you request that RFCU makes on your behalf through the External Loan Payment Service. You understand and agree that RFCU is not liable under any circumstances for any losses or damages that you incur as a result of or connected with you not having enough funds in the designated account to make the loan payment, the loan payment not completing, the loan payment being reversed to a later time, your other FI not permitting the transfer, or the loan payment exceeding the credit limit on any applicable overdraft line. You also understand and agree that RFCU is not responsible for any losses or damages if circumstances beyond RFCU’s reasonable control (e.g., fire, flood, earthquake, war, workers’ strike, massive power outage, tornado, etc.) prevent RFCU from completing a loan payment or if there was any technical issue with online banking and you were aware of it when you started the request.
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