Terms and Cardholder Agreement

This Cardholder Agreement (“Agreement”) applies to any Visa Card (“Card”) issued by First Community Bank (“Bank”).  This Agreement also governs the issuance and use of “Convenience Checks” (“Convenience Checks”) and Balance Transfers.  Truth-in-Lending Disclosures which apply only to consumer purpose accounts are provided at the end of the Agreement.

The following words have the following meanings in this Agreement: (a) “Cardholder” means any individual(s), firm, partnership, or corporation who applies for, signs, accepts, uses, retains, or authorizes the use of the Card (hereinafter “you,” “your”); (b) “Cardholder Account” or “Account” means the credit account or accounts established by Bank for Cardholder for all transactions under this Agreement as a result of issuance of a Visa Card; (c) “Cash Advance” means a loan that Cardholder obtains from Bank using any of the methods specified in this Agreement; (d) “Purchase” means a purchase of goods sold or services of any kind from a seller or provider of goods or services; (e) “Balance Transfer” means moving obligations from other companies or financial institutions to your Cardholder Account.  (f) “Credit Limit” means the total dollar amount Bank approves against which the Cardholder may make Purchases through the use of Cards; (g) “Cash Advance Limit” means that portion of the Credit Limit against which the Cardholder may get Cash Advances through any of the methods specified in this Agreement; (h) “Merchant” means a business displaying the Visa sign;  (i) ”Convenience Checks” means drafts that look like other checks, but are drawn on credit available in your Account; (j) “Cash Equivalent Advances” include transactions to acquire or initiate wire transfers, cashier’s checks, money orders, foreign cash transactions, casino gaming and betting transactions and lottery tickets; (k) “Interest Charges” reflect the cost of credit; (l) “Account Fees” are fees that we may assess for use of your Account; (m) “Default” means failure to comply with any terms of this Agreement; (n) “Index” refers to the Wall Street Journal Prime Rate as of xxx.

Cardholder agrees to be bound by the following terms, conditions, and disclosures, which shall constitute the Agreement between Bank and Cardholder. Furthermore, by accepting and using the Card or a Convenience Check, Cardholder expressly agrees to be bound by the provisions of this Agreement and to the rates and charges applicable to use of the Card and the Convenience Checks.

1.   Purchases: You may use the Account to buy, lease or otherwise obtain goods or services from participating Merchants (including transactions you initiate by mail, telephone or over the Internet), or take advantage of special promotional Balance Transfer offers that post as Purchase transactions. We will, in connection with any promotional offer we make from time to time, provide information on your Card carrier or in additional materials (the “Offer Materials”) that explain whether those transactions will post and be treated as a Purchase. Even if you have not signed a sales draft or the Merchant has not supplied you with a written receipt or other proof of sale, you are responsible for all Purchases made through your Account, except as expressly limited by applicable law (see Your Billing Rights section for more details).

2.   Cash Advances:  Cash Advances are transactions other than Purchases that allow you direct access to funds available through your Account. They may include Account transactions such as Cash Advances you obtain directly from us, automated teller machines (“ATMs”) or other participating financial institutions.  ATM and financial institution advances include phone and internet transfers. Cash Advances also include some Balance Transfers, Convenience Checks, and Cash Equivalent Advances.

3.   Cash Advance Limit: Only a portion of the Credit Limit is available for Cash Advances and that portion may vary from time to time.  Although you may have credit available under your Account, we may be unable to authorize a Cash Advance.

4.   Convenience Checks:  From time to time, we may supply Convenience Checks for use by the person(s) or drawer named on those checks.  Convenience Checks may not be offered for all Account types.  We will, in connection with any Convenience Check we provide, include Offer Materials that will explain whether the Convenience Check will post and be treated as a Cash Advance or as a Balance Transfer. Convenience Checks must be written in U.S. Dollars. We may return a Convenience Check unpaid if:

(a)    the credit available under your Credit Limit is less than the Convenience Check amount;

(b)   the Account is in Default; or

(c)    the Convenience Check is improperly endorsed or otherwise fails to conform to our regularly accepted standards for check payment.

Convenience Checks may not be used to pay your Account or any obligation you owe us or our affiliates.

5.   Paying and Stopping Payment on Convenience Checks:  You must write to us or call to request that payment be stopped on a Convenience Check. You must call us promptly with an oral stop payment request and then provide us with a written confirmation of the stop payment request within 14 calendar days. Any written stop payment request we receive will remain in effect for 6 months, unless you renew the request in writing before the end of that time. We may pay Convenience Checks more than 6 months old. There may be circumstances under which a Convenience Check must be paid, even if we have received a stop payment request from you.  We will not be liable to you if we do not honor your stop payment request under those circumstances. If it is determined that a Convenience Check should have been paid, but was not, we will not be liable for any consequential, punitive or incidental damages if we acted in good faith. Our only obligation under those circumstances will be to pay the designated payee the amount of the Convenience Check and cancel any charges assessed against your Account as a result of any wrongful failure to honor the Convenience Check.

6.   Balance Transfers:  We may permit you to transfer balances and obligations that you owe other companies or financial institutions to your Account, subject to the terms and conditions disclosed in the Offer Materials.  Balance Transfers will post to your Account and be separately reflected on monthly Account statements as a Balance Transfer, or, depending upon the offer, may post to the Account and be treated as a Purchase or a Cash Advance. We will, in connection with any Balance Transfer offer we make, provide you with materials that explain how the Balance Transfer will post to your Account and be reflected on monthly Account statements. You may not request Balance Transfers on existing obligations you owe us or our affiliates. If you request a Balance Transfer that would cause your Account to exceed its Credit Limit, we may, at our option,

(a)    post the entire Balance Transfer requested to your Account and assess an Over-the-Credit Limit Fee;

(b)   post only a portion of the Balance Transfer requested to your Account up to the amount of credit available under the Credit Limit; or

(c)    refuse to process the entire amount of the Balance Transfer requested.

7.   Credit Limit:  Under certain circumstances, your Account may exceed the Credit Limit and you will be responsible for the full amount of the Credit Limit as well as any amounts owed that exceed the Credit Limit, including fees and Interest Charges. You may not request or obtain additional Cash Advances or Balance Transfers once you have reached your Credit Limit.  The initial Credit Limit is shown on the Card carrier and will also appear on your monthly Account statements. We reserve the right to review your Account at any time and increase or decrease your Credit Limit. Cosigner consent is required for Credit Limit increases. You may not increase your Credit Limit by carrying credit balances over the Credit Limit we make available to you.

8.   Minimum Payment:  Each month, you must pay at least the Minimum Payment and any past due Minimum Payment(s) by the payment due date shown on your monthly Account statement. You may, at your option, pay more than the Minimum Payment or pay the full balance (as stated on your monthly Account statement) in full to reduce or avoid the Interest Charge for the Account. Your Minimum Payment will be calculated as follows: first we determine the “Base Minimum Payment,” which is the greater of $35.00 or 3% of your statement balance. To the Base Minimum Payment, we may add one or more of the following items, as incurred on your Account: (1) any late fee, (2) any delinquency amount, and (3) if your Account is over the Credit Limit, some or all of the balance amount over your Credit Limit. If the resulting Minimum Payment is greater than $35.00, the total is then rounded to the next highest dollar not to exceed your statement balance. Any Minimum Payment or additional amount you pay each month will not prepay any future Minimum Payments required, or change your obligation to make at least a Minimum Payment by the Payment Due Date.

9.   Skip Payment Option:  We may, at our option, occasionally offer you an opportunity to skip your obligation to make the Minimum Payment due. You may not skip payments unless we make this offer to you. If we offer you an opportunity to skip a payment more than once in a 12 month period, you will not be permitted to skip payments required in consecutive months. You cannot accept a skip payment offer if your Account is delinquent, or is in Default. When you take advantage of a skip payment offer, the interest will continue to accrue on the entire unpaid balance of your Account.

10.   Change of Address: Your monthly Account statements and notices about your Account will be sent to the address you provided in your application or your response to our Account solicitation. To change your address, you must call or write to us. We must receive this information 7 days before the date a billing cycle closes to provide your monthly Account statement at your new address. If you have an address change within 45 days of the expiration date of your Card(s), please contact us with your new address so your new Card(s) can be mailed to your new address.

11.   Authorized Users:  You agree not to allow access to your Card, Account number, Convenience Checks, or personal identification number (PIN) to anyone else to use your Account, except by asking us to issue a card to grant Account access to another person. If you allow access to your Card or Account information, you will be liable for any charges made by that person, unless and except as expressly required by applicable law. You agree to be responsible for all Account transactions made by Cardholders and anyone who you have authorized by (a) asking us to issue a Card to grant Account access to another person; (b) lending your Card to or allowing Account access by another person; or (c) any other way in which you would be legally considered to have allowed another person to use your Account or to be legally prevented from denying that you did so.  Be cautious when allowing another person to become an authorized user of your Account; once you allow authority to any authorized user you cannot limit that authority unless the Account is closed to future transactions. You, as a primary or joint Cardholder must call or write us with any request to cancel and remove a person’s authority. We will not provide any Account information to anyone other than you and any authorized users.  Authorized users have no right to make any Account changes.

12.   Lost or Stolen Card or Other Information: You must notify us immediately by calling 1-866-563-1335 or in writing if your Card, Convenience Checks, or PIN is lost or stolen or there is possible unauthorized use of your Card, Account, or PIN.  If your card is lost or stolen, then your liability for unauthorized use of your Account will be limited to $50.00.  If this happens, we will ask you and all other persons given Account access to return all Cards and unused Convenience Checks to us. In addition, we have the right to close your Account and open a new Account. If we do so, new Cards will be issued. If requested, we may issue a new PIN and new Convenience Checks for your new Account.

13.   Using Your Card for International Transfers:  Visa will convert to U.S. dollars any charge or credit made to your Account in currency other than U.S. dollars. The conversion rate will be determined under Visa regulations.  The conversion rate in effect when the transaction is processed may differ from the rate in effect on the date of the transaction or the date of the posting of the transaction to your Account.  Currently, Visa uses a currency conversion rate of either: (1) a wholesale market rate, or (2) a government-mandated rate.  We may charge a foreign transaction fee for transactions made or processed outside the U.S. as listed in paragraph 5(d) of the Truth in Lending Disclosures following this agreement.

14.   Responsibility to Pay: You agree to pay us for all Purchases, Cash Advances, Balance Transfers, Interest Charges, Account Fees and charges, any other transaction charges as provided in this Agreement and, to the extent permitted under applicable law, attorney’s fees and collection costs we incur enforcing this Agreement against you. This is the case even if your Account is only used by one of you, or is used by someone authorized by only one of you. If there is more than one Cardholder, each of you is responsible, together and separately, for the full amount owed on your Account. Your obligation to pay the Account balance continues even though an agreement, divorce decree, court judgment, or other document to which we are not a party may direct another person responsible to pay the Account.

15.   Intent to Repay: Every time you use your Account, you represent to us that you intend to and have the ability to repay your Account obligations. We rely on this representation every time you use your Account.

16.   Settling a Disputed Balance; Payment in Full: If you want to settle a disagreement with us about any amount you owe by sending a check on which you have written "Payment in Full" or similar language, you must send us a written explanation of the disagreement or dispute and any such check. (See Your Billing Rights section below for complete details.) This address is different than the address you use to make Account payments. Writing “Payment in Full” or similar language on the check will not be enough to resolve the dispute. If we collect a check or any payment instrument marked “Payment in Full” that you sent to an address other than the one provided in the Cardholder Agreement issued with your Card (such as the address at which you normally make payments), we will not have waived our right to collect any remaining amount you owe us under the terms of your Account.

17.   Default: You and your Account will be in Default if:

(a)    we do not receive the Minimum Payment by the Payment Due Date disclosed on the monthly Account statement;

(b)   you violate any other provision of this Agreement;

(c)    you die without a surviving joint Cardholder;

(d)   you become insolvent, assign any property to your creditors, or go into bankruptcy or receivership;

(e)   you have made false statements on your Account application or in the maintenance of your Account;

(f)     we have any reason to believe that your Account is in danger of, or is being used for fraud;

(g)    you are a married community property state resident and you or we receive a written termination notice of this Agreement from your spouse;

(h)   your Account becomes inactive;

(i)      anything happens that we believe in good faith materially increases the risk that you will not live up to your payment and other obligations under this Agreement; or

(j)     this is a joint Account and one of you notifies us that he or she wants the Account closed or will no longer be liable on the Account.

You and your Account may also be in Default if you make transactions which go over your Credit Limit.

18.   Illegal Purchases: You agree that you will not use or permit an Authorized User to use the Card or Account for any unlawful purpose, such as funding any account that is set up to facilitate online gambling.

19.   Ownership of this Account: Your Card and any other Account access devices that we supply to you are our property and must be immediately returned to us or our designated agent or otherwise destroyed or surrendered as we instruct.

20.   Changes to your Account:  Account and Agreement terms are not guaranteed for any period of time; we may change the terms of your Agreement, including APRs and fees, in accordance with applicable law and the terms of your Agreement. Your transactional experience with us may also cause a change, including an increase in the margin that is added to the Index, an increase in fees, or a decrease in the Credit Limit. Factors considered in determining the increased rate or Credit Limit decrease may include your general credit profile, existence, seriousness and timing of the defaults under any agreement that you have with us, and other indications of the Account usage and performance. We will give you the written notice of any such change in the manner required by law. Any Agreement changes to APRs and fees will apply to all new Account balances you owe under your Account as of the effective date indicated in the notice or otherwise permitted by applicable law. All other Agreement changes will apply to all new and outstanding Account balances you owe under your Account as of the effective date indicated in the notice or otherwise permitted by applicable law. If the change in terms notice provides, you may choose not to accept the changes, in which case you must provide us with written notice at the address contained in the change in terms notice no later than 25 days after the effective date of the change. In this case, we will close your Account and permit you to pay off the outstanding Account balances in full at that time or under the terms of your existing Agreement. You will have accepted any proposed change if your Account is used after the effective date of the changed terms, even if 25 days has not elapsed after any such effective date.

21.   Cancellation of Your Account: We may cancel your Account or suspend your ability to obtain Account credit immediately, without notice, if your Account is in Default. Even if you are not in Default, we may cancel your Account by providing notice to you. You may cancel your Account by notifying us by telephone or in writing. If you have a secured Account, your termination request must be made in writing. If this is a joint Account, we will honor a request by either of you to cancel the Account.  After the Account is cancelled, you will not be able to obtain additional Account credit, except that, (a) the Account may continue to receive recurring charges for items and services until you contact and cancel delivery with the company providing the item or service, or (b) under certain circumstances if you use your Account for a transaction, the transaction may be posted to your Account.  After your Account is cancelled, all amounts outstanding on your Account will be due and payable without notice or demand from us. You must cut all Cards and Convenience Checks in half and return them to us. If you do not pay the amount you owe under this Agreement, you will be liable for our collection costs including our reasonable attorney fees and expenses of legal actions, to the extent permitted by applicable law.

22.   Assignment of Your Account to Another Creditor:  We may assign, sell or transfer your Account and amounts owed by you to another creditor at any time. If we do, this Agreement will still be in effect unless and until amended, and any references made in this Agreement to “we”, “us”, or “our” will refer to the creditor to which we assigned, sold or transferred your Account or amounts owed under your Account. You may not delegate your obligations and responsibilities to us to any third party without our express written consent.

23.   Collecting Credit Information about You: You authorize us to make any credit, employment and investigative inquiries we feel are appropriate related to giving you credit or collecting amounts owed on your Account. You agree that a consumer credit report may be requested periodically from one or more consumer reporting agencies (“Credit Bureaus”) and used in connection with your application and any update, renewal or extension of credit. We will provide information about you, your Account or your credit history to Credit Bureaus and others who may properly receive that information.

24.   Credit Bureau Disputes:  If you believe we inaccurately reported credit history information about you or your Account to a Credit Bureau, write to the Special Assets Department, Attn.: CBR Disputes, P.O. Box 1014, Bluefield, VA 24605.

25.   Notice of Furnishing Negative Information: We may report information about your account to Credit Bureaus. Late payments, missed payments, or other defaults on your account may be reflected in your credit report.

26.   Privacy Policy and Disclosure of Account Information: A copy of our Privacy Policy was included with your original Agreement. You may also receive a copy once annually or any time there are changes to our Privacy Policy while you remain our customer.  We also post it on our web site.  Our Privacy Policy describes how we collect, protect and use confidential financial and other information about you and the circumstances in which we might share information about you with members of our corporate family and with unaffiliated third parties. Our Privacy Policy also tells you how you can (a) limit the ways we share certain kinds of information about you and (b) request corrections to the information we maintain about you.

27.   Refusal to Honor Transactions: We and our agents are not responsible if anyone refuses to honor your Card or a Convenience Check, or if authorization for a particular transaction is not given. Although you may have credit available under your Account, we may be unable to authorize credit for a particular transaction. The number of transactions you make in one day may be limited, and the limit per day may vary. These restrictions are for security reasons and as a result we cannot explain the details of how this system works. If your Account is over the Credit Limit or delinquent, authorization of credit for transactions may be declined. We are not responsible for anything purchased with your Card or a Convenience Check, except as expressly required by applicable law (see Your Billing Rights section below for more details). You must return goods you purchased with the Card or Account to the merchant and not to us.

28.   Third Party Offers: From time to time, third parties may provide you with benefits not related to the extension of Account credit. We are not liable for these features, services and enhancements, as they are the sole responsibility of the third party provider. We and/or a third party may add, change or delete entirely these benefits without notice or liability to you, to the extent permitted by applicable law. You agree to hold us harmless from any claims, actions or damages resulting from your use of any of these features, services or enhancements, where permitted by applicable law.

29.   Monitoring and Recording Communications: You understand and agree that we, and anyone acting on our behalf, may monitor and/or record any communications between you, or anyone acting on your behalf, and us, or anyone acting on our behalf, for quality control and other purposes. You also understand and agree that this monitoring or recording may be done without any further notice to you or anyone acting on your behalf. The communications that may be monitored or recorded include telephone calls, cellular or mobile phone calls, and any other communications in any form.

30.   Severability: If a court of competent jurisdiction finds any part of this Agreement illegal or unenforceable, the remaining portions of the Agreement will remain in effect as written after any such illegal or unenforceable portion is amended in conformance with applicable law or, if necessary, voided.

31.   Waiver: We do not give up our rights under the Agreement or applicable law when we fail to exercise or delay exercising those rights. Our failure or delay to exercise any right or remedy we have against you does not mean that we waive that right.

32.   Governing Law:  This Agreement and my Account shall be governed by the laws of the United States and, to the extent applicable, the laws of the Commonwealth of Virginia, regardless of where Cardholder resides or uses the Account.

First Community Bank (hereinafter “we,” “our,” and “us”) makes the following Truth in Lending Disclosures to Cardholder (hereinafter “you,” “your”).  You agree that the rate and charges and methods of computation and repayment in connection with use of the Card are as follows:

1.   Computation of INTEREST on Purchases: (a) No INTEREST is imposed on Purchases if the total statement balance as shown on your monthly periodic statement is paid in full within 25 days of the statement date. INTEREST is imposed on Balance Transfers from the date of the transfer. (b) Where payment of the statement balance is not made in full within 25 days (or includes Balance Transfers), INTEREST will be imposed on your Purchase balance. We calculate INTEREST on this portion of your Account by applying the monthly periodic rate to the Average Daily Balance on your purchases. To determine the Average Daily Balance of any Account, we will take the beginning Purchase balance of the Account each day and add any new Purchases (including Balance Transfers) and subtract any payment or credits. This produces the daily Purchase balance. Then, we add up the daily Purchase balances for each day in the billing cycle and divide the total by the number of days in the billing cycle. This produces the Average Daily Balance on your purchases.  A Purchase appearing on your statement is considered a part of the outstanding balance from the date of the transaction or, if posting occurs in the next billing cycle, then from the first day of the next billing cycle. (c) See the First Community Bank Account Opening Disclosure included with this mailing for the ANNUAL PERCENTAGE RATE. The monthly periodic rate is 1/12 of the ANNUAL PERCENTAGE RATE.

2.   Computation of INTEREST on Cash Advances: (a) INTEREST is imposed for each day that you have the Cash Advance. (b) We calculate INTEREST on the Cash Advance Balance of your Account by applying the monthly periodic rate to Average Daily Cash Advance Balance. To determine the Average Daily Cash Advance Balance of any Account (including current transactions), we will take the beginning Cash Advance Balances of the Account each day, add new Cash Advances and subtract any payments or credits. This produces the daily Cash Advance balance. Then, we add up the daily balances for each day in the billing cycle and divide the total by the number of days in the billing cycle. This produces the Average Daily Cash Advance balance. A Cash Advance appearing on your statement is considered a part of the outstanding balance from the date of the transaction or, if posting occurs in the next billing cycle, then from the first day of the next billing cycle. (c) See the First Community Bank Account Opening Disclosure included with this mailing for the ANNUAL PERCENTAGE RATE. The monthly periodic rate is 1/12 of the ANNUAL PERCENTAGE RATE.

3.   Computation of INTEREST with Special Rate: (a) If we have special periodic rate offers in effect from time to time, we will separately identify them on your monthly statement and separately disclose on your monthly statement the balance to which the special offers apply. These separate balances and the related periodic INTEREST will be calculated in the same manner as described above for the current or previous cycle transactions, as applicable. (b) Special rate offers may apply to special Convenience Checks.  If so, special Convenience Checks will be issued and, if used, will be posted to the Account as Purchases, with INTEREST imposed from the transaction date. (c) When a special rate offer expires, the ANNUAL PERCENTAGE RATES under 1 (c) and/or 2(c) will apply. (d) If applicable, see the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the special introductory ANNUAL PERCENTAGE RATE. The special introductory monthly periodic rate is 1/12 of the special ANNUAL PERCENTAGE RATE.

4.   Minimum Interest Charge: See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Minimum Interest Charge.

5.   Fees and Charges: The fees below will not be subject to INTEREST as described in paragraphs one and two above.

(a)    Annual Fee:  See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Annual Fee.

(b)   Balance Transfer Fee:   See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Balance Transfer Fee.

(c)    Cash Advance Fee:  See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Cash Advance Fee.

(d)   Foreign Transaction Fee:  See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Foreign Transaction Fee.

(e)   Late Payment Fee:  See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Late Payment Fee.

(f)     Over the Credit Limit Fee:  See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Over the Credit Limit Fee.

(g)    Returned Payment Fee:  See the First Community Bank Account Opening Disclosure included with this mailing and incorporated by reference for the Returned Payment Fee.

6.   We will retain no security interest in any property that you purchase with your card.

7.   If your card is used without your permission, you must immediately notify us in writing or by telephone at 1-866-563-1335.  You will not be liable for any charges that exceed the lesser of $50 or the amount of money, property, labor or services obtained by the unauthorized use before notification to us.

The Following Sections Applies Only To Consumers Accounts. Business Purpose Accounts Or Accounts Owned By A Sole Proprietorship Are Not Consumers Accounts.

 In Case of Errors or Questions about Your Bill: If you think your bill is wrong, or if you need more information about a transaction on your bill, write us at the following address as soon as possible:  PO Box 1014, Bluefield, VA 24605.  We must hear from you no later than 60 days after we sent you the first bill on which the error or problem appeared. You can telephone us, but if you do we are not required to investigate any potential errors and you may have to pay the amount in question.

Special Rule for Credit Card Purchases: If you have a problem with the quality of goods or services that you purchased with a credit card, and you have tried in good faith to correct the problem with the merchant, you may not have to pay the remaining amount due on the goods or services.

If you meet all of the above conditions and still have a problem with the quality of goods or services that you purchased, write us at the following address PO Box 1014, Bluefield, VA 24605. 

While we review, the rules noted above will apply to the amount in question.  After we complete our review, we will notify you of our decision.  If we believe that you owe an amount and you do not pay the amount owed, we may report you as delinquent.