Electronic Fund Transfers Disclosure

Your Rights and Responsibilities

This Electronic Fund Transfers Disclosure applies to your Klutch Debit Card issued through Stearns Bank NA (“Bank”). Please read this disclosure carefully because it tells you your rights and obligations for these transactions. You should keep this notice for future reference.

Types of Transfers

Access to Funds: You may access the account linked to your Klutch debit card by using your debit card and the Klutch mobile application (“Klutch App”) to make deposits to or withdrawals from your account. Withdrawals by electronic transfer using the Automated Clearing House (“ACH transfer”) will be limited to $5,000 per day and $10,000 per rolling 30 days. Withdrawals via point of sale purchases will be limited to $2,500 per day. You may also be restricted by the number of withdrawals allowed on your Klutch Account. Withdrawals will further be limited to the amount of your available balance in your Klutch Account. Additional limits may be applied to your Klutch Account, and we may not disclose these limits to you for fraud and security purposes. We reserve the right to change these limits at any time without notice to you, except as prohibited by law. Special limitations may apply to withdrawals for New Accounts.

ATM Transfers: You will not be able to access your account using an ATM. If this functionality is offered to you at a later date, you may be able to access your account, and make deposits and withdraw funds from your account.

Preauthorized Transfers: You will not be able to make arrangements to make recurring payments out of your account. If this functionality is offered to you, you may make arrangements for certain deposits to be accepted into your account. If this functionality is offered, you may make arrangements to pay certain recurring bills from your account.

Making Transactions: Using your Klutch debit card you may purchase goods or services in person, by phone, or via the internet.

Electronic Funds Transfers Initiated by Third Parties: Third parties will not be able to initiate payments between your account and the third party’s account. If this functionality is later offered to you, you may authorize a third party to initiate transfers between your account and the third party's account. These transfers to make or receive payment may be one-time occurrences or may recur as directed by you. These transfers may use the ACH or other payments network. Your authorization to the third party to make these transfers can occur in a number of ways. In all cases, these third-party transfers will require you to provide the third party with your account number and financial institution information. Thus, you should only provide your financial institution and account information (whether over the phone, the Internet, or via some other method) to trusted third parties whom you have authorized to initiate these electronic fund transfers.

Fees

Please refer to fee schedules.

General Limitations

SELECTIVE BLOCKING OF DEBIT CARD TRANSACTIONS: Bank, as the issuer of the Klutch debit card, reserves the right to block certain merchants which means your Klutch debit card would not be accepted at such select merchants. The Bank, or third party servicers, will block debit card access to all merchants who provide car rentals or other vehicle rentals.

Documentation

Terminal Transfers (if available): You may get a receipt at the time you make a transfer to or from your account using a point of sale terminal. You may not get a receipt if the amount of the transfer is $15 or less. 

Monthly Statements: A monthly statement with important information about your account activity will be made available to you electronically. Please review it carefully and contact us immediately if you notice any errors.

Preauthorized Payments

Right to stop payment and procedure for doing so: If you have told us in advance to make regular payments out of your account, you can stop any of these payments by emailing us at support@klutchcard.com with the email subject “STOP PAYMENT”. We must receive the request at least 3 business days before the payment is scheduled to be made. You may also be required to provide the request in writing within 14 days of your request to stop payment. You will not be charged a fee, as detailed in your Debit Card Agreement document, for each stop payment. 

Notice of Varying Amounts: If your regular payments vary in amount, the recipient will tell you 10 days before each payment when it will be made and how much it will be. 

Liability for failure to stop payment of preauthorized transfer: If you direct us to stop one of these payments, 3 business days or more before the transfer is scheduled and we fail to do so, Klutch or its service partners will be liable for your losses or damages.

Financial Institution’s Liability

Liability for failure to make transfers: If we do not complete a transfer to or from your account on time or in the right amount according to the Klutch Debit Card Agreement, Klutch or its service partners will be liable for losses and damages. However, there are some exceptions. Klutch or its service partners will not be liable, for instance: to the following exceptions: 

- If, through no fault of ours, you do not have enough money in your account to make the transfer;  

- If the terminal or system was not working properly and you knew about the breakdown when you started the transfer;

- If circumstances beyond our control (such as fire or flood) prevent the transfer, despite reasonable precautions that we have taken;

- If the automated teller machine where you are making the transfer does not have enough cash (if this feature is available); or

- There may be other exceptions stated in our agreement with you.

Confidentiality

We will disclose information to third parties about your account or the transfers you make:

- Where it is necessary for completing transfers;  

- In order to verify the existence and condition of your account for a third party, such as a credit bureau or merchant;

- In order to comply with government agency or court orders; or

- If you give us permission as explained in the separate privacy notice(s).

Unauthorized Transfers

Consumer Liability: Tell us at once if you believe your card and/or PIN has been lost or stolen or if your device to access the Klutch App has been compromised, or if you believe that an electronic fund transfer has been made without your permission. You could lose all the money in your account. If you tell us within 2 business days after you learn of the loss or theft, you can lose no more than $50 if someone used your card without your permission. If you do NOT tell us within 2 business days after you learn of the loss or theft, and we can prove we could have stopped someone from using your card without your permission if you had told us, you could lose as much as $500. Also, if your statement (or for a prepaid account where no statement is provided, if your electronic history or written history) shows transfers that you did not make, including those made by card, PIN or other means, please contact us immediately. If you do not contact us within 60 days after the statement was made available to you, you may not get back any money you lost after the 60 days (and before notice was given) if we can prove that we could have stopped the theft if you had contacted us in time. If a good reason (such as a long trip or a hospital stay) keeps you from telling us, we will extend the allowed time period. 

Contact in event of unauthorized transfer: If you believe your card and/or PIN has been lost or stolen or if your device to access the Klutch App has been compromised, contact us at
877-351-2925 as soon as possible.

Mastercard Debit Card: You will not be liable for any unauthorized transactions using your Mastercard debit card if: (i) you can demonstrate that you have exercised reasonable care in safeguarding your card from the risk of loss or theft, and (ii) upon becoming aware of a loss or theft, you promptly report the loss or theft to us. This additional limit on liability does not apply to a prepaid card until such time as the prepaid card is registered with us and we have completed our customer identification program requirements. This registration occurs when you have been approved for a Klutch card. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated. 

Bank reserves the right allowed by Mastercard and under Federal law to increase the amount of your liability for unauthorized Mastercard transactions when we reasonably determine, based on substantial evidence, that you were grossly negligent in handling your account or your debit card.

Visa Debit Card (if applicable): Unless you have been negligent or have engaged in fraud, you will not be liable for any unauthorized transactions using your lost or stolen Visa card. This additional limit on liability does not apply to ATM transactions outside of the U.S., to ATM transactions not sent over Visa or Plus networks, to anonymous Visa prepaid card transactions, or to transactions using your Personal Identification Number which are not processed by Visa (if any of these features are available). Visa is a registered trademark of Visa International Service Association.

Error Resolution Notice

In Case of Errors or Questions About Your Electronic Transfers: If you think your statement or receipt is wrong or if you need more information about a transfer listed on the statement or receipt, contact us at 877-351-2925 as soon as you can. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error occurred. To report an issue:
- Tell us your name and account number;
- Describe the error or transfer you are unsure about, and explain as clearly as you can why you believe it is an error or why you need more information; and
- Tell us the dollar amount of the suspected error. 

If you tell us orally, we may require that you send us your complaint or question in writing within 10 business days (5 business days involving a Visa point-of-sale transaction, other than an anonymous Visa prepaid card transaction, processed by Visa or 20 days if the transfer involved a New Account).

We will determine whether an error occurred within 10 business days after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days (90 days if the transfer involves a New Account, a point-of-sale transaction, or a foreign-initiated transfer) to investigate your complaint or question. If we decide to do this, we will provisionally credit your account within 10 business days (5 business days involving a Visa point-of-sale transaction, other than an anonymous Visa prepaid card transaction, processed by Visa or 20 days if the transfer involved a new account) for the amount you think is in error, so that you will have the use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within 10 business days, we may not credit your account. An account is considered a New Account for 30 days after the first deposit is made, if you are a new customer.

We will tell you the results within 3 business days after completing our investigation. If we decide that there was no error, we will provide you a written explanation. You may ask for copies of the documents that we used in our investigation.

Mastercard Debit Card. Additional Limits on Liability for Debit Card Transactions: You will not be liable for any unauthorized transactions using your Mastercard debit card if: (i) you can demonstrate that you have exercised reasonable care in safeguarding your card from the risk of loss or theft, and (ii) upon becoming aware of a loss or theft, you promptly report the loss or theft to us. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

In case of errors or questions about our prepaid (Klutch) account, contact us at 877-351-2925 as soon as you can, if you think an error has occurred in your prepaid (Klutch) account. We must allow you to report an error until 60 days after the earlier of the date you electronically access your account, if the error could be viewed in your electronic history, or the date we sent the FIRST written history on which the error appeared. You may request a written history of your transactions at any time by calling us at the phone number or emailing us at the email address listed in this disclosure. You will need to tell us:
- Your name and prepaid (Klutch) account number.
- Why you believe there is an error, and the dollar amount involved.
- Approximately when the error took place.

If you tell us orally, we may require that you send us your complaint or question in writing within 10 business days. We will determine whether an error occurred within 10 business days (If applicable, 4 business days involving a Visa point-of-sale transaction, other than an anonymous Visa prepaid card transaction, processed by Visa) after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days to investigate your complaint or question. If we decide to do this, and your account is registered with us, we will credit your account within 10 business days (If applicable, 5 business days involving a Visa point-of-sale transaction, other than an anonymous Visa prepaid card transaction, processed by Visa) for the amount you think is in error, so that you will have the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within 10 business days, we may not credit your account.

For errors involving New Accounts, point-of-sale, or foreign-initiated transactions (if available), we may take up to 90 days to investigate your complaint or question. For New Accounts, we may take up to 20 business days to credit your account for the amount you think is in error.

We will tell you the results within 3 business days after completing our investigation. If we decide that there was no error, we will provide you a written explanation. You may ask for copies of the documents that we used in our investigation.

If you need more information about our error-resolution procedures, call us at call us at 1-877-351-2925 or email us at support@klutchcard.com.

Important Information Regarding Your Prepaid Card

Your funds are eligible for FDIC insurance. Your funds will be held at or transferred to us, an FDIC insured institution. Once here, your funds are insured up to $250,000 by the FDIC in the event we fail, if specific deposit insurance requirements are met and your card is registered. See fdic.gov/deposit/deposits/prepaid.html for details.

No overdraft/credit feature: There is no overdraft/credit feature associated with your prepaid card. 

Prepaid account information or complaints: For general information about prepaid accounts, visit cfpb.gov/prepaid. If you have a complaint about a prepaid account, call the Consumer FinancialProtection Bureau at 1-855-411-2372 or visit cfpb.gov/complaint.  

Our Contact Information

You can use the contact information listed in this disclosure to get more information about your prepaid card. Contact us by email at support@klutchcard.com or call us at 1-877-351-2925.