Trust in Savings



  Primary Share Account Secondary Share Account IRA Savings Account Checking (Share Draft) with e-Statements Checking (Share Draft) with Paper Statements
Dividends Compounded Quarterly Quarterly Quarterly Quarterly Quarterly
Dividends Credited Quarterly Quarterly Quarterly Quarterly Quarterly
Dividend Period Quarterly Quarterly Quarterly Quarterly Quarterly
Minimum Opening Deposit $50.00 $50.00 $200.00 $1.00 $1.00
Minimum Balance to Avoid Service Fee $0.00 $0.00 $0.00 $0.00 $0.00
Minimum Balance to Earn Stated APY $50.00 $50.00 $200.00 $1.00 $1.00
Balance Method Daily Balance Daily Balance Daily Balance Daily Balance Daily Balance
Monthly Bill Pay N/A N/A N/A Plan 1 – No Fee Plan 2 – $2.99


Except as specifically described, the following disclosures apply to all of the accounts:

  1. Rate Information: The Annual Percentage Yield is a percentage rate that reflects the total amount of dividends to be paid on an account based on the dividend rate and frequency of compounding for an annual period. For all accounts, the Dividend Rate and Annual Percentage Yield may change monthly as determined by the Credit Union’s Board of Directors. Up to date dividend rate and annual percentage yield information can be found at www.merckcu.com.
  2. Nature of Dividends: Dividends are paid from current income and available earnings after required transfers to reserves at the end of the dividend period. The Dividend Rates and Annual Percentage Yields are the prospective rates and yields that the Credit Union anticipates paying for the applicable dividend period.
  3. Dividend Compounding and Crediting: The compounding and crediting of dividends and dividend period for each account are set forth in the Rate Schedule. The Dividend Period is the period of time at the end of which an account earns dividend credit. The Dividend Period begins on the first calendar day of the period and ends on the last calendar day of the period. The IRA Account pays a dividend from the day of deposit to the day of withdrawal.
  4. Accrual of Dividends: For all accounts, dividends will begin to accrue on non-cash deposits (e.g. checks) on the business day you make the deposit to your account.
  5. Balance Information: The minimum balance requirements applicable to each account are set forth in the Rate Schedule. For all accounts, there is a minimum daily balance required to obtain the Annual Percentage Yield for the dividend period. If the minimum daily balance is not met, you will not earn the stated Annual Percentage Yield.

For all accounts using a Daily Balance method, dividends are calculated by applying a daily periodic rate to the principal in the account each day.

  1. Account Limitations: There are no limitations on the dollar amount of withdrawals or deposits which may be made from the Primary Share, Secondary Share and Checking (Share Draft) Accounts.

Fee Schedule


The fees and terms applicable to your accounts at the Merck Employees Federal Credit Union are provided in this Fee Schedule. Rates for all Merck Employee Federal Credit Union accounts and loans, can be found on our website at www.merckcu.com.


A late fee equal to one and a half percent(1.5%) of any unpaid amount for insufficient funds for bill payments may be charged by the Service Provider.

ACH Return Fee                                                                          $25.00

Request for Service Disclosures                                            $20.00


Fee Description Fee Amount
Overdraft $10.00 per item
Non-Sufficient Fund (NSF) $10.00 per item
Return Item (Member Fee) $10.00 per item
Stop Payment Fee $4.00 per item
Share Draft Printing Prices vary depending upon style
Automatic Transfer from Savings to Cover Overdraft $1.00 per item
Microfilm Copy Draft (mailed) $3.00 per item
Microfilm copy Draft (faxed) $5.00 per item


Fee Description Fee Amount
Account Reconciliation $20.00 per hour
Account Research $20.00 per hour
Statement Copy $2.00 per item
Deposited Item Return $10.00 per item
Wire Transfer Domestic (outgoing) $15.00 per item
Wire Transfer (incoming) $15.00 per item
Money Order $1.00 each
Teller Checks No Charge


Fee Description Fee Amount
ATM Withdrawal Transfer @ Shadow 2 ATMs No charge.
ATM Withdrawal/Transfer @ Non-Shadow 2 ATMs $0.60 each

Funds Availability

Regulation CC

The first $100 from a deposit of non-Merck Employees Federal Credit Union Check(s) to your credit union account will be available immediately. The next $125 will be available by the first business day after the day of your deposit. The remaining funds will be available by the second business day after the day of your deposit. For example, if you deposit a check of $600 on a Monday, $100 of the deposit would be available immediately, $125 would be available on Tuesday and the remaining $375 would be available by Wednesday.

Our business days are every day except Saturdays and Sundays and Federal Holidays. We may also be closed due to weather or other extreme circumstances and these will be considered non-business days. Our hours of operation vary by office and are displayed at every office, on our website (www.merckcu.com), and in our quarterly newsletter. If you make a deposit at any office before that office closes for business, we will consider that day to be the day of your deposit.

If you mail a deposit, the day it is received by the Credit Union will be the day of your deposit.

Please remember that even after we have made funds available to you and you have withdrawn those funds, you are still responsible for Checks you deposit that are returned to us, unpaid, and for any other problems involving your Accounts.

All funds from the following deposits are available on the first business day after the day of your deposit at the Credit Union:

  • S. Treasury Checks that are payable to you.
  • Wire transfers including preauthorized credits such as Social Security benefits and payroll payments.
  • Checks drawn on Merck Employees Federal Credit Union.
  • State & local government checks that are payable to you.
  • Cashier’s, Certified & Teller Checks that are payable to you.
  • Federal Reserve Bank Checks, Federal Home Loan Bank Checks, & Postal Money Orders if these items are payable to you.

If you do not make your deposit in-person (i.e. you make your deposit via ATM, RDC or CU Service Center Shared Branch) funds from these deposits will be available on the same schedule outlined in the first paragraph of this column under 2nd Day Availability.

We may delay your ability to withdraw funds deposited by Check into your Account an additional number of days for these reasons:

  • We believe a Check you deposit will not be paid.
  • You deposit Checks totaling more than $5,525 on any one (1) day.
  • You deposit a Check that has been returned unpaid.
  • You have overdrawn your account repeatedly in the last 6 months.
  • There is an emergency, such as failure of communications or computer equipment.

We will notify you if we delay your ability to withdraw your funds for any of these reasons and we will tell you when the funds will be available. They will generally be available no later than the seventh (7th) business day after the day of your deposit.


If you are a new Member and your Account has been open for 30 days or less, we may further limit your ability to withdraw funds deposited by Check during this period. Funds from Electronic Funds Transfer (EFT) to your Account will be available on the day we receive the deposit. Funds from deposit of cash, wire transfers and the first $5,525 of a day’s total deposit of cashier’s, certified, teller’s, traveler’s and federal, state and local government checks will be available on the first business day after the day of your deposit if the deposit meets certain conditions. For example, the check must be payable to you. The excess over $5,525 will be available on the ninth business day after the day of your deposit. If your deposit of these checks (other than U.S. Treasury Checks) is not made in person to one of our employees, the first $5,525 will not be available until the second business day after the day of your deposit. Funds from all other check deposits will be available according to the previously stated availability schedules.

Full Member Disclosure & Agreement



This Agreement covers your and our rights and responsibilities concerning Account(s) offered to you by the Merck Employees Federal Credit Union (Credit Union). In this Agreement, the words “you” and “yours” mean anyone who signs and Account Card or Account Change Card (Account Card). The words “we”, “us”, and “our” mean the Credit Union. The word “account” means any one or more share or other accounts you have with the Credit Union.

By signing the Membership & Account Agreement, each of you, jointly and severally, agree to the terms and conditions in this Membership & Account Agreement, the Funds Availability Disclosure (Regulation CC), the Truth-in-Savings Rate and Fee Schedule (Rate & Fee Schedule), Electronic Fund Transfers (Regulation E), the Credit Union’s Digital Banking Agreement & Disclosure, if applicable, and any Account Receipt accompanying this Agreement and the Credit Union’s bylaws and policies and any amendments of these documents from time to time which collectively govern your Membership and Accounts.

Merck Employees Federal Credit Union Membership Eligibility (Field of Membership):

1) Current and retired employees of Merck and organizations of such employees

2) Family members of Merck Employees Federal Credit Union members (spouse, children, sibling, parent, grandchild, niece, nephew, etc.)

3) Spouses of persons who died while they were Credit Union Members or eligible for Membership during their lifetime.

4) Employee organizations (must have tax ID number)

IMPORTANT NOTE: Please include with your application a photocopy of one form of current identification from the list below for both the Primary Account Holder and any Joint Owner. The ID must include a photo.

  • A photocopy of state issued driver’s license or state issued photo ID
  • Merck & Co. Photo ID
  • Other photo ID (work, state, federal, school, etc.)
  • Passport
  • Birth Certificate (only accepted for minor child)

The credit union may ask for additional information to verify your address and identification for your safety. The credit union may ask for a copy of a utility bill, credit card, etc. to verify your identity.

Minimum Share Savings Account Balance = $50.00 (due at the time of opening)

To help the government fight the funding of terrorism and money laundering activities, Federal Law requires all financial institutions to obtain, verify and record information that identifies each person who opens an account.

When you open an account, Merck Employees Federal Credit Union will ask for your name, address, date of birth and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents.

(1) This Share Savings Account (if Joint) is subject to the New Jersey Multiple Party Deposit Account Law (NJSA 17:161-1), the by-laws and regulations of the Credit Union, all laws and regulations of the state of New Jersey and the United States of America and all future changes that may be made by them.

(2) If this Application is only signed by one person, the account will be an Individual Account. If signed by more than one member, it is a Joint Account. Ownership of this Account cannot be changed by a will or other directive. Each party of this Account has a present right to payment from this Account. Each party owns his or her net contribution to this Account. In the absence of proof of net contributions and unless the parties have specifically otherwise agreed, each party will own an equal share of this Account. The Credit Union may make payments from this Account, including payment of the entire Account balance, a) pursuant to any statutory or common law right of set off, levy, attachment or other valid legal process or court order relating to any one or more of the parties; and b) on request to a trustee in bankruptcy, receiver in any state or Federal insolvency proceedings or other duly authorized insolvency representative of any one or more of the parties. The Credit Union is not required to determine net contributions.

Upon the death of a party to this Account:
a) Where there is only one surviving party, the entire Account will belong to the survivor.
b) Where there are two or more surviving parties, each party will continue to own his or her proportionate share. The portion of the Account owned by the deceased party will be shared equally by the survivors.

3) A regulation of the New Jersey Banking Department made this notice necessary. However, this notice does not affect the right of any party while alive to make withdrawals.

4) Any party who wants to change the form of this Account must give written notice to the Credit Union.

5) Any party may pledge all or part of this Account as collateral for a Loan.

6) Each signatory on this Membership Application (and any minor children) agrees to receipt of this Membership Account Agreement & Disclosure, has read it and agrees to be bound by all of its terms. Each signatory also agrees to receipt of and agrees to the terms and conditions of the Credit Union’s Funds Availability Notice and the Truth in Savings and Electronic Funds Transfer Disclosures.

7) I/we do hereby apply for Membership in the Merck Employees Federal Credit Union and agree to conform to its bylaws and amendments and to subscribe for at least one Share ($50.00) in the Credit Union.

Dividend Disclosure Statement for Share Savings Account: Dividends are compounded on the Share Savings Balance at the end of each day and are credited to your Account on the first day of each calendar quarter. Dividends can be withdrawn immediately after they are credited to your Account. Federal regulations prohibit the payment of dividends in excess of available earnings.

NOTICE: The National Credit Union Administration (NCUA) requires that we disclose that the Federal Credit Union Act contains a provision that permits Credit Unions to require Members to give sixty (60) days notice of intent to withdraw Share Savings. It has always been the policy of the Merck Employees Federal Credit Union to immediately honor all Share Savings withdrawals requests. We cannot foresee any circumstances that could change this policy. If permitted, the Credit Union’s Board of Directors would waive the right to invoke this 60-day notice requirement.


  1. MEMBERSHIP ELIGIBILITY. To be eligible for membership in the Credit Union you must be an individual or entity qualifying within the Credit Union’s field of membership and must purchase and maintain at least one share (the “membership share”) as required by the Credit Union’s Bylaws. You authorize us to check your account, credit, and employment history, and obtain a credit report from third parties, including credit reporting agencies, to verify your eligibility for the accounts and services you request.
  2. SINGLE PARTY ACCOUNTS. A single party account is an account owned by one member including any individual, corporation, partnership, trust, or other organization qualified for Credit Union membership. If the account is a single party account the interest of a deceased individual owner will pass, subject to applicable law, to the decedent’s estate or Payable on Death (POD) beneficiary, subject to other provisions of this Agreement governing our protection for honoring transfer and withdrawal requests of an owner or owner’s agent prior to notice of an owner’s death.
  3. MULTIPLE PARTY ACCOUNTS. An account owned by two or more persons is a multiple party account.
  4. Rights of Survivorship. For a multiple party account with rights of survivorship, upon the death of one of the owners, the person’s interest will pass to the surviving owners.
  5. Control of Multiple Party Account Owners. Any multiple party account towner is authorized and deemed to act for the other owner(s) and the Credit Union may accept orders and instructions regarding the account, requests for future services, and any transaction from any other account owner. Each multiple party account owner guarantees the signature of the other owners. Any account owner may withdraw all funds in the account, stop payment on items drawn on an account, transfer, or pledge to the Credit Union all or any part of the shares of any account without the consent of the other account owner(s) and the Credit Union shall have no duty in such event to notify any other account owner(s). The Credit Union reserves the right at any time to require written consent of all account owners for a change of ownership or termination of a multiple party account. If the Credit Union receives written notice of a dispute between account owners or receives inconsistent instructions from them, the Credit Union may suspend or terminate the account, require a Court Order to act or require that all account owners agree in writing to any transaction concerning the account.
  6. Multiple Party Account Owner Liability. If any item deposited in a multiple party account is returned unpaid, an account is overdrawn, or if we do not receive final payment on any transaction, each of the multiple party account owners is jointly and severally liable to the Credit Union for the amount of the returned item, overdraft, or unpaid amount and any charges, regardless of who created the overdraft, deposited or cashed the item or benefited from the transaction. If any account owner is against any or all funds in the multiple party account regardless of who contributed the funds to the account.
  7. PAYABLE ON DEATH ACCOUNTS. A Payable on Death (POD) Account is an instruction to the Credit Union that an individual or joint account so designated is payable to the owner(s) during their lifetimes and, when the last account owner dies, payable to all and surviving POD beneficiaries/payees. If there are more than one (1) surviving beneficiary/payee, the account is owned jointly by such beneficiaries/payees without rights of survivorship upon the death of the last account owner. Any POD beneficiary/trustee designation shall not apply to Individual Retirement Accounts (IRAs). We are not obligated to notify a beneficiary/payee of the existence of any account or the vesting of the beneficiary/payee’s interest in any account except as otherwise provided by law. This paragraph does not apply to an account held on behalf of or held in the name of a trust.
  8. ACCOUNTS FOR MINORS. For any account established by a minor, the Credit Union reserves the right to require the minor account to be a multiple party account with an owner who has reached the age of majority under state law who shall be jointly and severally liable to the Credit Union for any returned item, overdraft, or unpaid charges or amounts on such account. The Credit Union may make payments of funds directly to the minor without regard to his or her minority. Unless a guardian or parent is an account owner, the guardian or parent shall not have any right to access the account. The Credit Union has no duty to inquire of the use or purpose of any transaction by the minor any account owner. The Credit Union shall not change the account status when the minor reaches the age of majority, unless authorized in writing by all account owners. Note: Minors aged 13 and older can apply for a Shadow 2 Visa Debit Card. If under 18 years of age, a parent or guardian must apply and be on the account jointly.
  9. UNIFORM TRANSFERS/GIFTS TO MINORS ACCOUNT. A Uniform Transfers/Gifts to Minors Account (UTTMA/UGMA) is an individual account established by a member as a custodian by depositing funds as an irrevocable gift to a minor. The minor to whom the gift is made is the owner and beneficiary of the funds. The custodian has possession and control of the account for the exclusive right and benefit of the minor, and barring a court order otherwise, is the only party entitled to make deposits to, withdrawals from, or close the account. The Credit Union has no duty to inquire of the use or purpose of any transaction by the custodian.

In the event of the custodian’s death, the Credit Union may place an administrative hold on the account, until it receives instructions from any person authorized by law to withdraw funds or a court order authorizing such withdrawal.

  1. AGENCY DESIGNATION. An agency designation is an instruction to the Credit Union that the account owner has authorized another person to make transactions as agent for the account owner regarding the accounts designated. An agent has no ownership interest in the account or Credit Union voting rights. The Credit Union has no duty to inquire of the use or purpose of any transaction by the agent.
  2. DEPOSIT OF FUNDS REQUIREMENTS. Funds may be deposited to any account, in any manner approved by the Credit Union in accordance with the requirements set forth on the Rate and Fee Schedule.
  3. Endorsements. You authorize the Credit Union, in its discretion, to accept transfers, checks, drafts, and other items for deposit into any of your accounts if they are made payable to, or to the order of, any one or more owners on the account, whether or not they are endorsed by all payees. You authorize the Credit Union to supply missing endorsements of any owners if the Credit Union choose to supply such endorsements. If an insurance, government, or other check or draft requires an endorsement as set forth on the back of the check or draft, the Credit Union may require endorsement as set forth on the item. Endorsements must be placed in the space on the back of the share draft or check between the top edge and 1.5 inches from the top edge. The Credit Union may accept drafts or checks with endorsements outside this space. However, if any such endorsement or any other markings you or any prior endorser has made on the draft or check cause any delay or error in processing the item for payment, you will be responsible for any loss incurred by the Credit Union due to the delay or error.
  4. Collection of Items. The Credit Union shall not be responsible for deposits made by mail or at an unstaffed facility until the Credit Union actually receives them. In handling items for deposit or collection, the Credit Union only acts as your agent and assumes no responsibility beyond the exercise of ordinary care. The Credit Union will not be liable for the negligence of any correspondent or for loss in transit, and each correspondent will only be liable for its own negligence. The Credit Union reserves the right to send any item for collection.
  5. Final Payment. All items or ACH (automated clearing house) transfers credited to your account are provisioned and subject to our receipt of final payment. If final payment is not received, we reserve the right to charge your account for the amount of such items or ACH transfers or both and impose a return item charge on your account. If the Credit Union incurs any fee to collect any item, the Credit Union may charge such fee to your account. The Credit Union reserves the right to refuse or to return all or any item or funds transfer. The Credit Union shall have the right to charge back against your account all previously deposited items or other items endorsed by you that are returned to the Credit Union unpaid, regardless of whether the amount of the item has been available for your use.
  6. Direct Deposits. The Credit Union may offer direct deposit options allowing you to preauthorize deposits (i.e., payroll checks, Social Security or retirement checks, or other government checks) or preauthorize transfers from other accounts at the Credit Union. You must authorize any direct deposits to your accounts by a separate authorization form. If applicable, you must notify the Credit Union at least thirty (30) days prior to any direct deposit or preauthorized transfer you wish to cancel or change the direct deposit or direct transfer option. Upon a filing of a bankruptcy, if you fail to cancel any direct deposit authorization, you instruct your employer and the Credit Union to make and apply direct deposits in accordance with your authorization on file with the Credit Union. If the Credit Union is required to reimburse the U.S. Government for any benefit payment directly deposited into your account for any reason, you agree the Credit Union may deduct the amount returned from any of your accounts, unless prohibited by law.
  7. Crediting Deposits. Deposits made after the deposit cut-off time and deposits made on Credit Union holidays and on days that are not business days of the Credit Union will be credited to your account on the next business day. Deposits received at unstaffed facilities such as night depositories will be credited on the day funds are removed and processed by the Credit Union. Items drawn on an institution located outside the United States are handled on a collection basis only. Amounts will be credited to your account when we receive final payment. You waive any notice of nonpayment, dishonor, or protest regarding any items purchased or received by the Credit Union for credit to your account or for collection.
  8. ACCOUNT ACCESS. In order to access your account, the credit union the credit union must have a signed Membership Application, Disclosure & Agreement. The Credit Union is authorized to recognize your signature, but will not be liable for refusing to honor any item or instruction of yours if it believes in good faith that the signature on such items or instruction is not genuine. If you have authorized the use of an electronic signature, the Credit Union may honor any draft that appears to bear your electronic signature even if it was made by an unauthorized person. If you give your account number to a third person, you authorize us to honor transactions initiated by the third person even if you did not specifically authorize a particular transaction.

You may make withdrawals or transfers from your account in any manner which is permitted by the Credit Union (i.e., draft, automated teller machines (ATMs), in-person, by mail, electronically, automatic transfer, or telephone, as applicable).

If the credit union accepts any draft that is not drawn on a form provided by the credit union, you will be responsible for any loss incurred by the credit union for handling the draft. The credit union may return as unpaid any draft that is not drawn on the form provided by the credit union. The credit union has the right to review and approve any form of power of attorney and may restrict any withdrawals or transfers on your accounts.

ACH and Wire Transfers. If provided by the credit union, you may initiate or receive credits or debits to your account via wire transfer or ACH transfer. You agree that if you receive funds by a wire or ACH transfer, the credit union is not required to notify you at the time the funds are received. Instead, the transfer will be shown on your periodic statement. The credit union may provisionally credit your account for an ACH transfer before it receives final settlement for the transfer. You agree that if the credit union does not receive final settlement for an ACH transfer, we may reverse the provisional credit to your account or you will refund the amount to the credit union. When you initiate a wire transfer, you must identify the recipient and any financial institution by name and by account or identifying number.

Credit Union Examination. The credit union may disregard information on any draft or check other than the Signature of the drawer, amount of the item and any magnetic encoded information. You agree the credit union does not fail to exercise ordinary care in paying an item solely because its procedures do not provide for sight examination of items.

  1. Electronic Fund Transfers. Except as amended by this agreement, electronic funds transfers we permit that are subject to Article 4A of the Uniform Commercial Code will be subject to such provisions of the Uniform Commercial Code as enacted by the state of New Jersey. We may execute certain requests for electronic funds transfer by Fedwire. Fedwire transactions are subject to Federal Reserve Board Regulation J. You may order electronic funds transfer to or from you accounts. We will debit your account for any fees related to the transfer. Unless we agree otherwise in writing, we reserve the right to refuse to execute any order to transfer funds out of your account if the amount of the requested transfer plus applicable fees exceeds the available funds in your account. We are not liable for errors, delays, interruptions or transmission failures caused by third parties or circumstances beyond our control including mechanical, electronic or equipment failure. We will not provide you with next day notice of ACH, wire transfers and other electronic payments credited to your account. You will receive notice of such credits on your account statements. You may contact us to determine whether a payment has been received. If we fail to properly execute a payment order, and such actions result in a delay in payment to you, we will pay you dividends or interest for the period of the delay as required by applicable law. The dividends or interest paid to you will be based on the lowest normal dividend or interest rate we were paying on any account during that period. Payment orders we accept will be executed within a reasonable time of receipt but may not necessarily be executed on the date they are received. Cut-off dates may apply to the receipt, execution and processing of funds transfers, payment orders, cancellations and amendments and, if received after a cut-off time, may be treated as having been received on the next business day following funds transfer. Information about any cut-off times is available upon request. When you initiate a wire transfer, you may identify the recipient and financial institution by name and by account or identifying number. The credit union and any other financial institutions facilitating the transfer may rely strictly on the account or identifying number even if the number identifies a different person or financial institution. Any account owner may amend or cancel a payment order even if that person did not initiate the order. We may refuse requests to amend or cancel a payment order that we believe will expose the credit union to liability or loss. Any request to amend or a cancel a payment order that we accept will be processed within a reasonable time after it is received. You agree to hold us harmless from and indemnify us for all losses and expenses resulting from any actual or attempted amendment or cancellation of a payment order. We may require you to follow a security procedure to execute a payment for certain electronic funds transfer transactions. We will notify you of any such security procedures and you agree that our procedures are commercially reasonable.
  2. Account Rates and Fees. The Credit Union’s payment of earnings on your account is subject to the account rates and fees, payment and balance requirements as set forth in the Rate and Fee Schedule (included). The credit union may charge you fees for accounts and services provided by the credit union. The fees and charges that may be assessed against your account are set forth on the Rate and Fee Schedule. You agree the credit union may change the Rate and Fee Schedule at any time, and you will be notified of such changes as required by law.
  3. Transaction Limitations. a.) Withdrawal Restrictions. The credit union may permit a withdrawal only if you have sufficient available funds in your account to cover the full amount of the withdrawal or have an established overdraft protection plan. Drafts or other transfers or payment orders which are drawn against insufficient funds will be subject to a service charge, set forth in the Rate and Fee Schedule.

If there are sufficient funds to cover some but not all of your withdrawal orders, the credit union may allow those withdrawals for which there are sufficient funds in any order at the credit union’s discretion.

The credit union may also refuse to allow a withdrawal in other cases; for example: any dispute between the owners about the account (unless a court has ordered the credit union to allow the withdrawal); a legal garnishment or attachment is served; the account secures any obligation to the credit union; any required documentation has not been presented; or you fail to repay a credit union loan on time. You will be advised of the reasons for refusal if such action is taken. In accordance with Federal regulations, the credit union may require members to give a minimum sixty (60) day prior written notice of any intended withdrawals from any account. The credit union has never opted to, nor has no intention of using this freedom.

  1. Overdrafts. a.) Overdraft Liability. If on any day, the funds in your share draft account are not sufficient to cover drafts, fees or other items posted to your account, those amounts will be handled in accordance with our overdraft procedures or an overdraft protection plan you have with us. The credit union’s determination of an insufficient account balance may be made at any time between presentation and the credit union’s midnight deadline with only one review of the account required. The credit union has no duty to notify you of an insufficient funds draft. Your account will then be subject to a charge for the item whether paid or returned as set forth in the Rate and Fee Schedule. Except as otherwise agreed in writing, the credit union, by covering one or any overdraft, does not agree to cover overdrafts in the future and may discontinue covering overdrafts at any time without notice. If the credit union pays a draft or imposes a fee that would otherwise overdraw your account, you agree to pay the overdrawn amount immediately. We reserve the right to pursue collection of previously dishonored items at any time, including giving a payor bank extra time beyond any midnight deadline limits.

b.) Overdraft Protection Plan. If we have approved an overdraft protection plan for you, we will honor drafts drawn on insufficient funds in your account by transferring the necessary funds from another account under this Agreement or a loan account, as you have directed, or as required under the credit union’s overdraft protection policy. The fee for overdraft transfers, if any, is set forth on the Rate and Fee Schedule. Transfers from an account will be governed by this Agreement. Transfers from a loan account will be governed by the applicable loan agreement.

  1. Postdated and Staledated Drafts. You agree not to issue any check or draft that is postdated. If you do issue a check or draft that is payable on a future date and we pay it before that date, you agree that we shall have no liability to you for such payment. You agree not to deposit checks, drafts, or other items before they are properly payable. We are not obligated to pay any check or draft drawn on your account that is presented more than six (6) months past its date.
  2. Stop Payment Orders. a.) Stop Payment Request. You may ask the credit union to stop payment on any draft you or any account owner draw upon your share draft account. You may request a stop payment by telephone, by mail, or in person. The stop payment will be effective if the credit union receives the order in time for the credit union to act upon the order and you state the number of the account, number of the draft, and its exact amount. You understand that the exact information is necessary for the credit union’s computer to identify the draft. If you give the credit union incorrect or incomplete information, the credit union will not be responsible for failing to stop payment on the draft. If the stop payment order is not received in time for the credit union to act upon the order, the credit union will not be liable to you or to any other party for payment of the draft. If you recredit your account after paying a draft over a valid and timely stop payment order, you agree to sign a statement describing the dispute with the payee, to transfer all of your rights against the payee or other holders of the draft to the credit union, and to assist the credit union in legal action taken against the person.

b.) Duration of Order. You may make an oral stop payment order which will lapse within fourteen (14) calendar days unless confirmed in writing within that time. A written stop payment order will be effective for six (6) months. A written stop payment order may be renewed in writing from time to time. The credit union is not obligated to notify you when a stop payment order expires.

c.) Liability. The credit union may charge a fee for each draft for which a stop payment order is requested, as set forth on the Rate and Fee Schedule. You may not stop payment on any certified check, cashier’s check, teller’s check, or any other check, draft, or payment guaranteed by the credit union. You should be aware that while payment of the item may be stopped, you may remain liable to any person, including the credit union, who is a holder of the item despite the stop payment order. You agree to indemnify and hold the credit union harmless from all costs, including attorney’s fees, damages or claims related to the credit union’s action in refusing payment of an item, including claims related to the credit union’s action in refusing payment of an item, including claims of multiple party account owner, payee, or endorsee in failing to stop payment of an item as a result of incorrect information provided by you.

  1. Credit Union Liability. If we do not properly complete a transaction according to this agreement, we will be liable for your losses or damages not to exceed the amount of the transaction except as otherwise provided by law. We will not be liable if: (1) your account contains insufficient funds for the transaction; (2) circumstances beyond our control prevent the transaction; (3) your loss is caused by your or another financial institution’s negligence; or (4) your account funds are subject to legal process or other claims. We will not be liable for consequential damages, except liability for wrongful dishonor. We exercise ordinary care if our actions or non-actions are consistent with applicable state law, Federal Reserve regulations and operating letters, clearinghouse rules, and general financial institution practices followed in the area we serve. You grant us the right, in making payments of deposited funds, to rely exclusively on the form of the account and the terms of this agreement. Any conflict between what you or our employees may say or write will be resolved by reference to this agreement.
  2. Checks Presented for Payment in Person. We may refuse to accept any check or draft drawn on your account that is presented for payment in person. Such refusal shall not constitute a wrongful dishonor of the check or draft and we shall have no liability for refusing payment.
  3. Remotely Created Checks. For purposes of this paragraph, “account” means a transaction account, credit account, and any other account on which checks (share drafts) may be drawn. A remotely created check is a check created by someone other than the person on whose account the check 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. In place of the owner’s signature, the remotely created check usually bears a statement that the owner authorized the check or bears the owner’s printed or typed name. If you authorize a third party to draw a remotely created check against your account, you may not later revoke 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 for which the third party has proof of your authorization.
  4. Credit Union Lien and Security Interest. To the extent you owe the credit union money as a borrower, guarantor, endorser, or otherwise, the credit union has a lien on any or all of the funds in any account in which you have an ownership interest, regardless of the source of the funds, unless prohibited by law. The credit union may apply these funds in any order to pay off your indebtedness. If the credit union chooses to enforce its lien, the credit union does not waive its right to enforce the lien at a later time. In addition, you grant the credit union a consensual security interest in your accounts and agree the credit union may use the funds from your accounts to pay any debt or amount now or hereafter owed the credit union, except for obligations secured by your residence, unless prohibited by applicable law. All accounts are non-assignable and nontransferable to third parties.
  5. Legal Process. If any legal action, such as a levy, garnishment, or attachment, is brought against your account, the credit union may refuse to pay out any money from your account until the dispute is resolved or may pay out funds according to the terms of the levy. If the credit union incurs any expenses or attorney fees in responding to legal process, such expenses may be charged against your account without prior notice to you, unless prohibited by law. Any legal process against your account is subject to the credit union’s lien and security interest.
  6. Account Information. Upon your request, the credit union will inform you of the name and address of each credit reporting agency from which the credit union obtains a credit report in connection with your account. The credit union agrees not to disclose information to third parties about your account regarding any transaction or balances except when: (1) it is necessary to complete the transaction; (2) the third party seeks to verify the existence or condition of your account in accordance with applicable law; (3) such disclosure is in compliance with the law, government agencies or court orders; (4) you give us your written permission.
  7. Notices. a.) Name or Address Changes. It is your responsibility to notify the credit union upon a change of address or change of name. The credit union is only required to attempt to communicate with you at the most recent address you have provided to the credit union. The credit union never accepts oral notices of a change in address and may require any other notice from you to the credit union be provided in writing. If the credit union attempts to locate you, the credit union may impose a service fee as set forth on the Rate and Fee Schedule.

b.) Notice of Amendments. Except as otherwise prohibited by applicable law, the terms of this Agreement are subject to change at any time. The credit union will notify you of any changes in terms, rates, or fees as required by law. The credit union reserves the right to waive any term in this Agreement. Any such waiver shall not affect the credit union’s right to enforce any right in the future.

c.) Effect of Notice. Any written notice you give to the credit union is effective when it is actually received by the credit union. Any written notice the credit union gives to you is effective when it is deposited in the U.S. Mail, postage prepaid and addressed to you at your statement mailing address. Notice to any one account owner is considered notice to all owners of the account.

  1. Taxpayer Identification Numbers and Backup Withholding. If your account is or becomes subject to backup withholding, the credit union is required by law to withhold and pay to the Internal Revenue Service (IRS) a required percentage of payments of dividends, interest, and certain other payments under certain conditions. Your failure to furnish a correct taxpayer identification number (TIN) or meet other applicable requirements may result in backup withholding. If you fail to provide your TIN, the credit union may suspend the opening of your account or you may request a non-dividend or interest-bearing account until a TIN is provided.
  2. Statements. a.) Contents. If the credit union provides a periodic statement for your account, you will receive a periodic statement of transactions and activity on your account during the statement period as required by applicable law. If a periodic statement is provided, you agree that only one statement is necessary for a multiple party account. For share drafts or checking accounts, you understand and agree that, when paid, your original draft becomes property of the credit union and may not be returned to you, but copies may be retained by the credit union or payable through financial institution and made available upon your request. You understand and agree that statements are made available to you on the date they are sent to you. You also understand and agree that drafts or copies thereof are made available to you on the date the statement is mailed to you, even if the drafts do not accompany the statement.

b.) Examination. You are responsible for examining each statement and reporting any irregularities to the credit union. The credit union will not responsible for any forged, altered or unauthorized items drawn on your account if: (1) you fail to notify the credit union within sixty (60) days of the mailing date of the earliest statement regarding any forgery, alteration or unauthorized signature on any item described in the statement; or (2) any items are forged or altered in a manner not detectable by reasonable person, including the unauthorized use of a facsimile signature machine.

c.) Notice to Credit Union. You agree that the credit union’s retention of drafts does not alter or waive your responsibility to examine your statements or the time limit for notifying the credit union of any errors. The statement will be considered correct for all purposes and the credit union will not be liable for any payment made or charge to your account unless you notify the credit union in writing within the above time limit for notifying the credit union of any errors.

  1. Inactive Accounts. If you account falls below the minimum applicable balance, and you have not made a withdrawal from, deposit to, or transfer involving your account for more than the period specified in the Rate and Fee Schedule and the credit union has been unable to contact you by regular mail during that period, the credit union may classify your account as a dormant account. Unless prohibited by applicable law, the credit union may charge a service fee for continuing to process your dormant account as set forth on the Rate and Fee Schedule. The credit union will notify you, as required by law, at your last known address prior to imposing any fee. You authorize us to transfer funds from another account of yours to cover any service fees, if applicable. To the extent allowed by law, the credit union reserves the right to transfer the account funds to an account payable and to suspend any further account statements. If a deposit or withdrawal has not been made on the account and the credit union has had no other sufficient contact with you within the period specified by state law, the account will be presumed to be abandoned. Funds in abandoned accounts will be reported and remitted in accordance with state law. Once funds have been turned over to the state the credit union has no further liability to you for such funds and if you choose to reclaim such funds, you must apply to the appropriate state agency.
  2. Special Account Instructions. You may request the credit union to facilitate certain trust, will, or court-ordered account arrangements. However, because the credit union does not give legal advice, we cannot counsel you as to which account arrangement most appropriately meets the specific requirements of your trust, will, or court order. If you ask the credit union to follow any instructions that the credit union believes might expose it to claims, lawsuits, expenses, liabilities, or damages, whether directly or indirectly, the credit union may refuse to follow your instructions or may require you to indemnify the credit union or post a bond or other protection. Account changes requested by you, or any account owner, such as adding or closing an account or service, must be evidenced by a signed Account Change form and accepted by the credit union.
  3. Termination of Account. The credit union may terminate your account at any time without notice to you or may require you to close your account and apply for a new account if: (1) there is a change in owners or authorized signers; (2) there has been a forgery or fraud reported or committed involving your account; (3) there is a dispute as to the ownership of the funds in the account; (4) any share drafts are lost or stolen; (5) if there are excessive returned, unpaid items not covered by an overdraft protection plan; (6) if there has been a misrepresentation or any other abuse of any of your accounts; or (7) if the credit union reasonably deems it necessary to prevent a loss to the credit union. You may terminate any single party account at any time by notifying the credit union writing. The credit union reserves the right to require the consent of all multiple party account owners for termination of a multiple party account. The credit union is not responsible for payment of any draft, withdrawal, or other item after your account is terminated, however, if the credit union pays an item after termination, you agree to reimburse the credit union for the payment.
  4. Termination of Membership. You may terminate your membership at the credit union after giving notice of your intent to withdraw from membership. You may be denied services or expelled from membership for any reason allowed by applicable law, including causing a loss to the credit union.
  5. Death of Account Owner. The credit union may continue to honor all transfers, withdrawals, deposits and other transactions on the account until the credit union is notified of a member’s death. Once the credit union is notified of a member’s death, the credit union may pay drafts or honor other payments or transfer orders authorized by the deceased member for a period of ten (10) days unless the credit union receives instructions from any person claiming an interest in the account to stop payment on the drafts or other items. You agree the credit union can require that anyone who claims funds in your account after your death indemnify the credit union for any losses resulting from honoring that claim. This Agreement will be binding upon any heirs or legal representatives of any account owner.
  6. Severability. In the event that any portion of this Agreement is held by a court to be invalid or unenforceable for any reason, the remainder of this Agreement shall not be invalid or unenforceable and will continue in full force and effect. All headings are intended for reference only and are not part of the Agreement.
  7. Enforcement. You agree to be liable to the credit union for any loss cost or expense that the credit union incurs as a result of your failure to follow this Agreement. You authorize the credit union to deduct any such loss, costs or expenses from your account without prior notice to you. In the event the credit union brings a legal action to enforce the Agreement or collect any amount due under this Agreement, the credit union shall be entitled, subject to applicable law, to payment of its reasonable attorney’s fees and costs, including fees on any appeal, bankruptcy proceedings, and any post judgement collection actions.
  8. Governing Law. This Agreement is governed by the Bylaws of the Credit Union, federal laws and regulations, the laws, including applicable principles of contract law, and regulations of the state in which the credit union’s main office is located, and local clearinghouse rules, as amended from time to time. To the extent permitted by applicable law, you agree that any legal action regarding this Agreement shall be brought in the county in which the credit union’s main office is located.
  9. Negative Information Notice. We may report information about your loan, share or deposit accounts to credit bureaus. Late payments, missed payments or other defaults on your accounts may be reflected on your credit report.

Privacy Policy

Merck Employees Federal Credit Union Privacy Policy
Why? Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do.
What? The types of personal information we collect and share depend on the product or service you have with us. This information can include:

  • Social Security Number & Income
  • Account Balances & Payment History
  • Credit History & Credit Score
How? All financial companies need to share customers’ personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers’ personal information; the reasons Merck Employees Federal Credit Union chooses to share; and whether you can limit this sharing.
Reasons Merck Employees Federal Credit Union Can Share Your Personal Information Does the Credit Union share? Can you limit this sharing?
For everyday business purposes – such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or to report to credit bureaus Yes No
For our marketing purposes – to offer our products and services to you No No
For joint marketing with other financial companies Yes Yes
For our affiliates’ everyday business purposes –
Information about your transactions and experiences
Yes No
For our affiliates’ everyday business purposes –
information about your creditworthiness
Yes No
For our affiliates to market to you Yes Yes
For non-affiliates to market to you No Yes
To Limit Our Sharing:
  • Call (732) 594-3317 or;
  • Use the online form at the bottom of this page. Submit it. Or;
  • eMail memberservices@merckefcu.com
    Be sure to provide all the information requested in the online form at the bottom of this page. Or;
  • Write to: Merck EFCU, PO Box 2000, Rahway NJ 07065 – provide all the information requested in the online form at the bottom of this page.

Please Note: If you are a new Member of the Merck Employees Federal Credit Union, the Credit Union can begin sharing your information from 30 days after joining. If you leave the Credit Union, we continue to share your information as described in this Policy. However, you can contact the Credit Union at any time to limit our sharing.

Questions? Call (732) 594-3317
Who We Are
Who Is Providing This Notice? Merck Employees Federal Credit Union
What We Do
How does the Credit Union protect my personal information? To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings.
How does the Credit Union collect my personal information? We collect your personal information, for example, when you

  • open an account or apply for a loan
  • provide employment information or give us your contact information
  • show your driver’s license

We also collect your personal information from others, such as credit bureaus, affiliates or other companies.

Why can’t I limit all sharing? Federal law gives you the right to limit only

  • sharing for affiliates’ everyday business purposes – information about your creditworthiness
  • affiliates from using your information to market to you
  • sharing for non-affiliates to market to you

State laws and individual companies may give you additional rights to limit sharing.

What Happens When I Limit Sharing For An Account I Hold Jointly With Someone Else? Your choices will apply to everyone on your Account(s).
Affiliates Companies related by common ownership or control. They can be financial and non-financial companies.

  • Merck Employees Federal Credit Union has no affiliates.
Non-affiliates Companies not related by common ownership or control. They can be financial and non-financial companies.

  • Nonaffiliates we share with can include insurance companies, government agencies, plastic card processors credit/debit/ATM), financial statement publishers or printers, mailhouse, consumer reporting agencies, data processors, and check/share draft printers
Joint marketing A formal agreement between non-affiliated financial companies that together market financial products or services to you.

  • Our joint marketing partners include CUNA Mutual Group’s MEMBERCONNECT
Other important information
Merck Employees Federal Credit Union does not sell Member information to anyone. Be aware that there may be occasions where the Credit Union is legally required to disclose information about current and former Members, such as in response to a subpoena, to prevent fraud, or to comply with a legally permitted inquiry by a governmental agency or federal regulator.

At Merck Employees Federal Credit Union, employee access to Member information is authorized for business purposes only and is based on the sensitivity of the information and our employees’ or agents’ need to know. We educate our employees regularly of their obligation to maintain the condentiality of Member information at all times.

The Credit Union’s goal is to maintain complete and accurate information about you and your Accounts to provide you with the best service and to safeguard you and your Accounts against fraud. If you believe the Credit Union’s records contain inaccurate or outdated information, you should notify the Credit Union immediately in writing. This includes the correct spelling of your name with any name changes, your current address, email address, phone number and cell phone number. Upon receipt of your letter, the Credit Union will correct any inaccuracies or update your records at once.

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Remote Deposit Capture Disclosure


This Remote Deposit Capture (RDC) Agreement is the contract that covers “your” and “our” rights and responsibilities concerning the RDC services offered to you by Merck Employees Federal Credit Union.  The words “we”, “us” and “our” mean the Merck Employees Federal Credit Union. The word “account” means any one or more deposit accounts you have with the Credit Union. The initials RDC mean Remote Deposit Capture services offered by the Credit Union.  By using the RDC services or clicking the electronic signature “acceptance” below you and any joint owners or authorized users, jointly and severally agree to the terms and conditions in this Agreement and any amendments.

RDC services are offered for the purpose of converting original checks to substitute checks, as such term is defined in the Check Clearing for the 21 Century Act and Federal Reserve Board Regulation CC (Check 21), for deposit with the Credit Union and for processing and presentment to a collecting or paying financial institution. RDC service(s) is subject to the following terms and conditions and to the instructions, rules and terms contained in the Remote Deposit Capture Agreement, provided to you via a link within the App.

1) Remote Deposit Capture (RDC)

a) RDC Process: You will image your checks with a smart phone (other devices may be added later) creating an electronic image. You will transmit this image as an electronic file that we will deposit to your account. The Credit Union’s processing agent shall perform an image quality assessment of the imaged checks and shall convert items meeting our required standards into substitute checks to facilitate the deposit and collection of such items. You agree that the manner in which these items (e.g., substitute check, image exchange, Automated Clearing House) are cleared or presented for payment shall be determined by the Credit Union in its sole discretion. We reserve the right to select the clearing agent(s) through which items are to be cleared.  You agree to be bound by any clearinghouse agreements, operating circulars and image exchange agreements to which the Credit Union is a party.

b) Funds Availability: For determining the availability of your deposits, every day is a business day, except Saturdays, Sundays and federal holidays. If you make a deposit before 3 p.m. Eastern Time on a business day that we are open, we will consider the next day to be the day of your deposit. However, if you make a deposit after 3 p.m. Eastern Time or on a day we are not open, we will consider that the deposit was made on the 2nd business day we are open.  You understand and agree that, for purposes of deposits made using the Services, the place of deposit is Rahway, New Jersey.  You understand that following our receipt and processing of the image, funds from the check will be made available for your withdrawal and/or use on the second business day after we receive your deposit; however, longer delays may apply.  You understand that we may make such funds available sooner based on such factors as creditworthiness, the length and extent of your relationship with us, transaction and experience information, and such other factors as we, in our sole discretion, deem relevant.  You also understand that credit is provisional until settlement is final.  Refer to our Funds Availability Disclosure.

You agree that the image transmitted to us shall be deemed an “item” within the meaning of Article 4 of the Uniform Commercial Code as adopted in the State of New Jersey.

c) Deposit Acceptance: You agree that we may at any time, at our sole discretion, refuse to accept deposits of checks from you via RDC. In the event that the capture services are interrupted or are otherwise unavailable, you may, at your option, deposit checks in person at a Credit Union branch, at an ATM, shared branching office, by mail or other contractually acceptable method.

2) Member Obligations

a) Prerequisites: You must have a Savings and Share Draft account and be signed up for the Credit Union’s Home Banking service before using RDC.

b) Member Account: We will provide you with details of the specific transactions that were a result of access to the service. You will be responsible for auditing and balancing of any settlement account.

c) Responsibility for Image: You are solely responsible for the image(s) of the deposit items, accessing the service and for maintaining your equipment. You will be responsible for the payment of all telecommunications expenses associated with the service. The Credit Union shall not be responsible for providing, servicing or troubleshooting any equipment that you may use.

d) Deposit Requirements: You agree that you will only use RDC to deposit checks drawn on financial institutions within the United States, excluding its territories. You will deposit checks not falling within the requirement in person or by U.S. mail. We reserve the right to impose limits on the amount(s) and/or number of deposits that you transmit using RDC and to modify such limits from time to time. There is a $9,999.99 maximum deposit limit using RDC.

e) Check Retention & Destruction: You agree that all checks belong to you and not to the Credit Union and that those checks shall be handled in accordance with this Agreement. After we receive your imaged checks transmitted for deposit to your account, your electronic transmission is subject to proof and verification. It is your responsibility to retain the original of all imaged checks that have been deposited via RDC for a reasonable period of time in order to verify settlement and credit or to balance periodic statements, but in no case beyond ninety (90) days from the date processed, and you shall properly destroy and dispose of such original checks after such time. During the period that you retain the original checks, you understand and agree that a high degree of care must be used to protect these original checks against risks. These risks include, but are not limited to (a) theft or reproduction of the original check for purposes of presentment for deposit of these original checks (i.e., after the original checks have already been presented for deposit via RDC, and (b) unauthorized use of information derived from the original checks.  When you destroy and dispose of the original checks pursuant to the requirements of this Agreement, you understand and agree that you must use a high degree of care when selecting and implementing destruction and disposal procedures.  Among other things, these procedures must be designed to ensure that the original checks are not accessed by unauthorized persons during the destruction and disposal process and, once destroyed, the original checks are no longer readable or capable of being reconstructed (e.g., through the use of competent copying equipment).

f) Unacceptable Items for Deposit: You understand and agree that you will not use the Services to deposit the following items:

  1. Any item drawn on your personal account at the Credit Union.
  2. Any third party check, i.e., any item that is made payable to another party and then endorsed to you by such party.
  3. Any item that contains evidence of alteration to the information on the check.
  4. Any check previously converted to a “substitute check,” as defined in Regulation CC.
  5. Any item issued to you by a financial institution in a foreign country.
  6. A “remotely created check”,
  7. Any item that is “stale dated,” expired or “postdated”.
  8. Any item that is “non-negotiable” (whether stamped in print or as a watermark).
  9. Any item that has been re-deposited or returned such as “non-sufficient funds” or “refer to maker” or returned for any other reason.
  10. Any item that is incomplete.
  11. Cash.
  12. Savings Bonds.
  13. Any original check that the substitute check as already been presented.

In the event that you or any third party presents or attempts to present, a deposit in violation of this Agreement, you agree to defend, indemnify, and hold the Credit Union and its agents harmless from and against all liability, damage and loss arising out of any claims, suits or demands brought by third parties with respect to any such substitute check or original check.  You agree that the aggregate amount of any items which are deposited more than once will be debited from your account, and to the extent funds in your account are insufficient to cover such amount, any balance shall be debited by us from any other deposit accounts you have with the Credit Union in our sole discretion.  You further acknowledge that you, and not the Credit Union, are responsible for the processing and handling of any original items which are imaged and deposited utilizing this service, and assume all liability to the drawer of any item imaged using the service or liability arising from the Credit Union’s printing of any substitute check from those images.

Deposits of this nature will result in the immediate termination of the Services.

g) Member’s Representations and Warranties: You represent and warrant that:

  1. You will comply with all federal and state laws, rules and regulations applicable to online transactions, including those of the National Automated Clearing House for ACH transactions;
  2. All checks received by us through image transport are made payable to you;
  3. All signatures on each check are authentic and authorized; and
  4. Each check has not been altered.

In the event any of these representations or warranties are breached, you agree to defend, indemnify and hold the Credit Union and its agents harmless from and against all liability, damages and loss arising out of any claims, suits or demands brought by third parties with respect to any such breach.  You further authorize us to charge your account for the amount of any such demand, claim or suit, including reasonable attorney’s fees and court costs that constitute a breach of warranty claim under the provisions of the Uniform Commercial Code.

h) Financial Responsibility: You are, and shall remain, solely and exclusively responsible for any and all financial risks associated with accessing RDC. We will not be liable in any manner for such risk unless we fail to follow the procedures described in materials for use of the service. You assume exclusive responsibility for the consequences of any instructions you may give to the Credit Union, for your failure to access the service properly in a manner prescribed by us, and for your failure to supply accurate input information, including, without limitation, any information contained in an application.

i) Account Reconciliation: You will verify and reconcile any out-of-balance condition, and promptly notify us of any errors within the time periods established in this Agreement (exclusive of weekends and applicable holidays) after receipt of the applicable detail report from the Credit Union. If notified within such period, we will correct and resubmit all erroneous files, reports, and other data at our then-standard charges, or at no charge, if the erroneous report or other data directly resulted from our error.

j) Ownership and License. You agree that we retain all ownership and proprietary rights in the Services, associated content, technology and website(s). Your use of the Services is subject to and conditioned upon your complete compliance with this Agreement.  Without limiting the effect of the foregoing, any breach of this Agreement immediately terminates your right to use the Services.  Without limiting the restriction of the foregoing, you may not use the Services (i) in any anti-competitive manner, (ii) for any purpose which would be contrary to the business interest of the Credit Union, or (iii) to actual or potential economic disadvantage in any aspect to the Credit Union.  You may use the Services only for non-business, personal use in accordance with this Agreement.  You may not copy, reproduce, distribute or create derivative works from the content and agree not to reverse engineer or reverse compile any of the technology used to provide the Services.

3) Credit Union’s Obligations

a) Financial Data: We agree to transmit all the financial data under our control required to utilize the service selected by you and to act on appropriate instructions received from you in connection with such service. We will exercise due care in seeking both to preserve the confidentiality of the account number, password, test key, or other code or identifier and to prevent the use of the service by unauthorized persons (and in this connection it is understood and agreed that implementation by the Credit Union of its normal procedures for maintaining the confidentiality of information relating to its members, and where practicable the obtaining by the Credit Union from any third parties engaged in the installation, maintenance and operation of the system of similar undertakings, shall constitute fulfillment of its obligation so to exercise due care) but shall not otherwise be under any liability or have any responsibility of any kind for any loss incurred or damage suffered by the member by reason or in consequence of any unauthorized person gaining access to or otherwise making use of the service. You assume full responsibility for the consequences of any misuse or unauthorized use of or access to the service or disclosure of any confidential information or instructions of yours by your employees, agents or other third parties.

b) Service Availability: You understand that service availability is at all times conditioned upon the corresponding operation and availability of those computer services and systems used in communicating your instructions and requests to us and our response. We shall not be liable or have any responsibility of any kind for any loss or damage thereby incurred or suffered by you in the event of any failure or interruption of such services or any part thereof, resulting from the act or omission of any third party, or from any other cause not reasonably within the control of the Credit Union.

c) Exception Items: When we review and process your electronic file, we may reject any electronic image that in our sole discretion is determined to be ineligible for the service including, without limitation, electronic images of items drawn on banks located outside the United States, items drawn on U.S. Banks in foreign currency, electronic images that are illegible, electronic images of items previously processed, electronic images previously converted to substitute checks, and electronic images with unreadable MICR information. You agree that if you wish to attempt to deposit any exception item to any of your accounts with the Credit Union, you shall only do so by depositing the original item(s) on which the exception item is based. You also acknowledge and agree that even if we do not initially identify an electronic image as an exception item, the substitute check created by us may nevertheless be returned to us because among other reasons, the electronic image is deemed illegible by a paying bank for numerous reasons. Our failure to identify an exception item shall not preclude or limit your obligation to the Credit Union.

d) Statements: We will provide you with a transaction history via hard copy mailed statements or eStatements. These detail items processed, returned items and deposit adjustments.

e) Retention of Check Images: The Credit Union will retain any substitute checks it generates for seven (7) years.

f) Service Fees: Currently there is no monthly fee for RDC. You agree to pay all fees and charges for deposit services as set forth in the Rate & Fee Schedule.  All Service Fees are subject to change by the Credit Union upon thirty (30) days written notice to you.

4) Warranties: Disclaimer of Warranties

a) Service Warranty: You will perform the function of converting an original check to a substitute check. Therefore, you understand and agree that you are responsible, to the extent permitted by law, for all warranties and indemnifications set forth in Check 21 applying to any Reconverting Credit Union and Truncating Credit Union, as such terms are defined by Check 21, including, without limitation, the obligation to only convert an original check that allows for the creation of a substitute check that clearly and accurately represents the information on the front and back of the original check. The Credit Union and its agents will have no obligation to screen items or substitute checks for legal compliance. You agree to defend, indemnify and hold the Credit Union and its agents harmless from and against all liability, damage and loss arising out of any claims, suits or demands brought by third parties with respect to any such substitute checks.


5) Credit Union’s Liabilities


b) Member’s Duty to Report Errors: You agree to notify us of any suspected errors regarding items deposited through RDC right away and in no event later than 60 days after the applicable Credit Union Account Statement is sent. Unless you notify us within 60 days such statement regarding all deposits made through RDC shall be deemed correct and you are prohibited from bringing a claim against us for such alleged error.

c) Credit Union’s Performance: You acknowledge and agree that we will not be liable for any damages or loss of any kind resulting from any unintentional error or omission by us in the performance of these services, in accordance with or unintentional deviation from the terms and conditions of this agreement. You acknowledge that the Credit Union’s systems and procedures established for providing the services are commercially reasonable and shall defend, indemnify and hold us harmless from and against all liability, damage and loss arising out of any claims, suits, or demands brought by third parties with respect to the RDC service.

d) Limitation. We shall have no liability to the member, or any other person or entity for any loss, damage, cost, or expense arising out of this Agreement or the services regardless of the form in which asserted, whether in contract, tort (including negligence), warranty, or any other legal or equitable grounds, and regardless of whether the remedies available fail of their essential purpose, except as provided by applicable law for any error or delay in performing the services provided for in this Agreement, and shall have no liability for not affecting an entry, if:

  1. We receive actual notice or have reason to believe that you have filed or commenced a petition or proceeding for relief under any bankruptcy or similar law;
  2. The ownership of funds involving an entry or the authorized representative’s authority to transmit an entry is in question.
  3. We suspect a breach of the security procedures;
  4. We suspect that your account has been used for illegal or fraudulent purposes; or
  5. We reasonably believe that an entry is prohibited by federal law or regulation, or otherwise so provided in the Agreement.

We will not be liable if you fail to report in a timely manner any error or discrepancy reflected in a statement prepared by us, or if you fail to report a breach of a security procedure. If we fail to perform under this Agreement in accordance with the standards set herein, our liability for damages, losses and other compensation owing to you shall be limited to the total fees you paid to us for our failure to perform resulting in such liability in the two (2) month period preceding the date the claim accrued.  We shall not be liable for any loss, damage, liability, or claim arising directly or indirectly from any error, delay, or failure to perform hereunder which is caused by earthquakes, fires, natural disasters, civil or foreign disturbances, power outages, acts of government, labor disputes, failures in either communication or computer networks, legal constraints or any other event beyond our control.  In no event will we be liable for any indirect, consequential, punitive or special damages.  We will also be excused from failing to transmit or delay in transmitting an entry if such transmittal would result in it exceeding any limitation imposed on it by any governmental or regulatory body.

e) Force Majeure: The Credit Union shall not be responsible for liability, loss or damage of any kind resulting for any delay in the performance of or failure to perform its responsibilities hereunder due to causes beyond our reasonable control.

f) Termination: Either party may terminate this Agreement with or without written notice to the other party. Notwithstanding any such notice of termination, this Agreement shall remain effective in respect of any transaction occurring prior to such termination. Upon any termination of this Agreement, (a) you will immediately cease using the service, and (b) you shall promptly remit all unpaid monies due under the Agreement. We may immediately suspend or terminate your access to the service in the event that we reasonably determine such suspension or termination is necessary in order to protect the service or itself from harm or compromise of integrity, security, reputation or operation.

g) Indemnification. You agree to indemnify, defend and hold harmless the Credit Union and its shareholders, directors, officers, employees and agents (the “Indemnified Parties”) from and against any and all losses, costs, expenses, fees (including, but not limited to, reasonable attorney fees and disbursements), claims, damages, liabilities and causes of actions of third parties resulting or arising from: (a) your failure to abide by or perform any obligation imposed upon you under this Agreement, (b) your willful misconduct, fraud, criminal activity intentional tort or negligence or any of your representatives involving use of the service; (c) your actions, omissions or commissions of the actions, omissions or commissions of your employees, consultants and/or agents relating to the service; and (d) any transmission or instruction whether or not authorized, acted upon by the Credit Union in good faith. You will be provided with prompt notice of any claims and given full authority and assistance (at your expense) for the defense of any such claims; provided that we may participate in such defense and settlement with counsel of our own choosing, and at our own expense; provided, further, however, you shall have no authority to settle any claim against any indemnified party without the prior written consent of such indemnified party (which consent shall not be unreasonably withheld).

h) Modification of Services: We reserve the right to modify the service from time to time without making prior notice to you, provided, however, the Credit Union will give you thirty (30) days prior notice before making any modification to the service that would materially alter its functionality.

i) Notices: Except as otherwise expressly provided herein, we will not be required to act upon any notice or instruction received from you or any other person, or to provide any notice or advice to you or any other person with respect to any matter.

j) Enforcement: You agree to be liable to the Credit Union for any liability, loss or expense as provided in this Agreement that we incur as a result of any dispute involving your accounts or services. You authorize the Credit Union to deduct any such liability, loss or expense from your account without prior notice to you.  This agreement shall be governed by and construed under the laws of the State of New Jersey. Should any one or more provisions of this Agreement be determined illegal or unenforceable in any relevant jurisdiction, then such provision may be modified by the proper court, if possible, but only to the extent necessary to make the provision enforceable and such modification shall not affect any other provision of this Agreement.

Rev. 061914