You may only make withdrawals with checks, drafts, or other withdrawal forms supplied or approved by the Bank. The Bank reserves the right to return unpaid any other form of order presented or any order incompletely or defectively drawn and to impose a charge therefore. We may also refuse a request for a withdrawal or check encashment if any document or identification required by law or the Bank in connection with the withdrawal or encashment has not been presented to us.
Standard of Care: Most checks and other debit items are processed automatically, without review of each check or item. You agree that we are acting within common and reasonable banking practices by such automated processing and that the use of automated systems in the processing of checks constitutes ordinary care. You also agree that the Bank does not fail to exercise ordinary care in paying an item solely because its procedures don’t provide for sight-review, or provide for sight review only for items above a threshold level, or on a sample basis, at the discretion of the Bank.
Safeguarding Your Checks: You agree to use care in safeguarding unsigned checks on your account against theft or misuse. You agree to tell us immediately if any such checks are lost, missing, destroyed or otherwise unaccounted for.
Order of Payment Posting: “Posting” is the process by which we record transactions received for credit to (eg, deposit) or debit from (eg, withdrawal) your account. When a transaction is “posted,” the monetary value of that transaction is added to or subtracted from the balance of your account. Generally, your transactions will post as follows: Scheduled transfers (eg, electronic transfers you scheduled in advance) will post in the morning; Automated Clearing House transactions, or “ACH” transactions (eg, external transfers, direct deposit of Social Security benefits, electronic check conversions, etc.), will post throughout the day, when ACH credits and ACH debits are received simultaneously, ACH credits will post before ACH debits; In-clearing items (eg, checks not presented for payment at a Salem Five location) post at night during nightly processing, in serial number order, including online bill payments that are issued as checks; In-person transactions (eg, deposits, withdrawals, internal transfers, checks cashed, wire transfers, etc.) and internal transfers initiated via online banking will post as they are processed; ATM and PIN-based debit card transactions are posted in the order in which you initiated the transaction (please note that signature-based debit card transactions are processed in the order they were conducted based on the date and time provided to us by the merchant); Transaction-related fees (eg, NSF fees) post at the time the transaction triggering the fee posts to your account (eg, an NSF fee resulting from an ATM transaction that overdraws your account will post simultaneously with the transaction causing the overdraft); Interest paid to your account posts next, followed by service fees/charges occurring at the time of statement cycle/period.
Multiple Signatures: We do not assume a duty to enforce multiple signature requirements that you may decide or agree upon yourselves. If you indicate on your checks or signature card or other account documents that more than one signature is required for withdrawal, this indication is for your own use and is not binding on us. We may disregard any instructions to permit withdrawals only upon more than one signature with respect to checks, electronic fund transfers and other withdrawal requests. We may pay out funds from your account if the check, item, or other withdrawal or transfer instruction is signed or approved by any one of the persons authorized to sign on the account and we are not liable to you if we do this.
Facsimile Signatures: If you have authorized a facsimile signature, by the imprinting of a specimen of same on an account signature card and/or by appropriate business resolution, the Bank may honor all checks, drafts, or other orders drawn on your account(s) when the facsimile signature(s) have been affixed on such checks or orders, regardless of by whom or by what means the actual or purported facsimile signature(s) thereon may have been affixed thereto. You assume the risk for any unauthorized use of such facsimile signature. You agree to indemnify and hold us harmless from all claims, costs, losses and damages, including attorneys’ fees, that result from our payment of a withdrawal bearing or purporting to bear a facsimile signature that we believe you authorized.
Faulty Check Stock: Checks you write may be converted into electronic images (truncated) during the check collection and return process. If you elect to have your checks printed by a vendor that has not been approved by us, or you use check stock or features (e.g., security features) that cause critical data to disappear or to be obscured upon truncation, or you make your check out in a way (e.g., using a lightly colored ink) that causes critical data to disappear upon truncation, you agree to bear the risk of loss. You also agree to bear the risk of loss if you use check stock that contains printing inaccuracies, faulty magnetic ink, faulty encoding, or duplicate serial numbers.
Defective Substitute Checks: Checks you write may be converted during processing to Image Replacement Documents or “substitute checks.” If the Bank is presented with an item that purports to be a substitute check, but does not qualify as such due to an image defect, the Bank may pay the item if, in its discretion and judgment, the item appears to be “properly payable.”
Overdrafts: We may, at our sole discretion, refuse a withdrawal request in excess of the available funds in your account in addition to any overdraft protection you may have. If your account is in good standing, the Bank will consider, without obligation on its part, approving your reasonable inadvertent overdrafts. However, unless you authorize us to do so, we will not honor, and will not assess a fee for, an ATM withdrawal or non-recurring debit card transaction that exceeds your available account balance. Authorization by any owner of a joint account is considered authorization by all joint owners. If we honor a draft, check, withdrawal order, electronic funds order or transfer request, other than an ATM withdrawal or non-recurring debit card transaction, that exceeds your available balance, you agree to pay the amount of the overdraft immediately and without demand plus the applicable fee. However, the honoring of one or more of your overdrafts does not obligate the Bank to honor any future overdrafts, and you should not rely on the Bank to honor an overdraft. If we do pay an overdraft, you consent to the application of any directly deposited governmental benefits, including Social Security, to the overdraft and associated insufficient funds fees.
Salem Five uses the “available balance” method to assess overdraft fees. An available balance method calculates the account balance based on authorized (but not yet settled) transactions Salem Five is obligated to pay as well as settled transactions. The available balance is generally the amount to which you have access, including the current balance, less debits, holds, and deposits not yet posted to your account. Among the holds that may impact your available balance are preauthorized holds placed on accounts by merchants in connection with debit card point-of-sale (POS) transactions. A delay of one to a few days can occur between the merchant’s authorization and final settlement of a POS transaction. Your account’s available balance can decrease due to other intervening transactions and/or fees. Therefore, the POS transaction could exceed your account’s available balance at the time of final settlement even if the available balance was sufficient to cover the transaction at the time it was authorized and may be assessed an overdraft fee.
Re-presented Items: You may be assessed up to two (2) overdraft fees for the same item if the sending bank requests that the item be re-presented for payment a second time and you still do not have the available funds to pay that item.
Consult our Fee Schedule for the fees that apply when we pay your overdrafts.
Communicating Your Preferences: You may communicate your preferences as to the payment of your inadvertent overdrafts at any time by visiting a branch, calling or writing to us. If you want us to approve your inadvertent ATM and non-recurring debit card overdrafts you should advise us that you wish to “opt in” and we will not honor such items unless you do opt in. You may revoke your authorization at any time. If you do not want us to approve your inadvertent overdrafts by other payment methods such as check, draft or electronic funds transaction (other than ATM and non-recurring debit card transactions), you should advise us that you wish to “opt out.” You may communicate your preference during business hours in person, or by calling us at (800) 850-5000 or by writing to us at: Attn: Contact Center., Salem Five Cents Savings Bank, 210 Essex Street, Salem, MA 01970. Let us know if you would like information about alternative overdraft programs, such as a traditional line of credit or a savings-to-checking link.
Restrictive Legends: We shall not be liable for payment of any check contrary to a restrictive legend, inscription, message, requirement or other limitation contained in or on the check unless we have specifically agreed in writing to the restrictions or limitations.
Transfers by Wire: Wire transfer requests must be authorized in writing by an individual authorized on the Bank’s account documentation to perform such transfers.
We may accept on your behalf, payments to your account or transfers from your account that have been or will be transmitted by Fedwire. Your rights and obligations with respect to such transfers are governed by Federal Reserve Regulation J. If other systems are used for transmitting the payment order, the rules of those systems will also be applicable to the extent permitted by law.
No payment order is accepted until executed by the Bank. The Bank reserves the right to refuse to accept any payment order. We will not be liable for any errors resulting from incorrect or inaccurate information you provide when authorizing a wire transfer. If you give us a payment order which identifies the beneficiary (the person or business to whom you are wiring funds) by both name and an identifying account number, payment may be made by the beneficiary’s bank on the basis of the identifying account number, even if the number identifies a person other than the named beneficiary. If you give us a payment order which identifies an intermediary or beneficiary financial institution by both name and identifying routing number, we and a receiving institution may rely on the number even if it identifies a different financial institution than the one you named. We will provide you with notification of any incoming wire transfers in your periodic statement, but we will not provide a special notice every time we receive a wire transfer into your account. You may, however, contact us if you are expecting a wire transfer into your account and we will tell you if it has been received.
Foreign wire transfers will be sent and received at the then prevailing foreign exchange rates. The Bank will not be responsible for fluctuation in these rates.
Transaction Limitations: Some types of transactions from money market accounts and savings accounts are limited by federal regulation. If you exceed these limits, the Bank may assess a service fee and convert your account to a transaction account. You should consult your account disclosure for details.
Withdrawals from passbook savings accounts and certificates of deposit for which a certificate or passbook was issued will be permitted only upon presentation of the certificate or passbook. Under FDIC regulations, we reserve the right to require seven days’ advance written notice from you prior to your withdrawal from your interest-bearing account, other than a term deposit account..