Consumer Banking Services Agreement

Welcome to Salem Five Cents Savings Bank. Salem Five is a mutually owned savings bank, chartered in the Commonwealth of Massachusetts in 1855. We offer a full range of deposit products to meet your financial needs.

Please take the time to familiarize yourself with the agreement terms below. If you have any questions, please call us (800) 850-5000 or email us.



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Electronic Fund Transfer Disclosure


Important information about your checking account

What is a substitute check? To make check processing faster, federal law permits banks to replace original checks with "substitute checks." These checks are similar in size to original checks with a slightly reduced image on the front and back of the check. The front of a substitute check states: "This is a legal copy of your check. You can use it the same way you would use the original check." You may use a substitute check as proof of payment just like the original check. Some or all of the checks that you receive back from Salem Five may be substitute checks. This notice describes rights you have when you receive substitute checks from Salem Five.

What are my rights regarding substitute checks? In certain cases, federal law provides a special procedure that allows you to request a refund for losses you suffer if a substitute check is posted to your account (for example, if you think that Salem Five withdrew the wrong amount from your account or that Salem Five withdrew money from your account more than once for the same check). The losses you may attempt to recover under this procedure may include the amount that was withdrawn from your account and fees that were charged as a result of the withdrawal (for example, returned check fees).

The amount of your refund under this procedure is limited to the amount of your loss or the amount of the substitute check, whichever is less. You also are entitled to interest on the amount of your refund if your account is an interest-bearing account. If your loss exceeds the amount of the substitute check, you may be able to recover additional amounts under other law.

If you use this procedure, you may receive up to $2,500 of your refund (plus interest if your account earns interest) within 10 business days after Salem Five receives your written claim and the remainder of your refund (plus interest if your account earns interest) no later than 45 calendar days after Salem Five receives your written claim. Salem Five may reverse the refund (including any interest on the refund) if we later are able to demonstrate that the substitute check was correctly posted to your account.

How do I make a claim for a refund? If you believe that you have suffered a loss relating to a substitute check that you received and that was posted to your account, please contact Salem Five by mail at: Salem Five, Bank Operations, 210 Essex Street, Salem, MA 01970, or call us at (800) 850-5000. If you make your claim to Salem Five, you will be required to follow up with a written description of your claim. You must contact Salem Five within 40 calendar days of the date that Salem Five mailed (or otherwise delivered by means to which you agreed) the substitute check in question or the account statement showing that the substitute check was posted to your account, whichever is later. Salem Five will extend this time period if you were not able to make a timely claim because of extraordinary circumstances.

Your claim must include:

  • A description of why you have suffered a loss (for example, you think the amount withdrawn was incorrect);
  • An estimate of the amount of your loss;
  • An explanation of why the substitute check you received is insufficient to confirm that you suffered a loss; and
  • A copy of the substitute check and/or the following information to help us identify the substitute check, such as the check number, the name of the person to whom you wrote the check, and the amount of the check.