The Platinum Card® from American Express for Goldman Sachs Agreement

Charges & Financial Obligations · Company practice

Pay Over Time APR is Prime Rate plus 12.74% to 21.74%; cash advance APR is Prime Rate plus 21.99%

The table gives variable APRs, each stated as the Prime Rate plus a margin. The APR for Pay Over Time is the Prime Rate plus a margin between 12.74% and 21.74%, and the APR for cash advances is the Prime Rate plus 21.99%. Both are variable, and the table sends the reader to the Explanation of Variable Rates for how they change.

Supporting quotations

Annual Percentage Rate (APR) for Pay Over Time | Prime Rate + 12.74% to Prime Rate + 21.74% This is a variable APR. See Explanation of Variable Rates below.

APR for Cash Advances | Prime Rate + 21.99% This is a variable APR. See Explanation of Variable Rates below.

Qualifications & exceptions

• These are margins over the Prime Rate, not final percentage rates; the Prime Rate itself is not given in the table.

Not stated here

• The public table does not say which margin within the 12.74% to 21.74% range applies to a given Account or what decides it.

Cross-references

• qualified by (model-proposed): Variable APRs follow the Prime Rate, change at the start of the billing period, and are capped at 29.99% — The Explanation of Variable Rates, which the table rows point to, says how the variable APRs change and that they are capped at 29.99%.
• defined by (model-proposed): The Prime Rate is the highest U.S. Prime Rate published in The Wall Street Journal on the Closing Date — The Prime Rate used in the APR margins is defined in Determining the Prime Rate.

Charges & Financial Obligations · Restriction or exception

A penalty APR of Prime Rate plus 26.74% can apply after a missed or returned payment, for at least 6 months

The penalty APR is a variable rate of the Prime Rate plus 26.74%. The issuer may apply it to new transactions in a Pay Over Time balance if you do not pay at least the Minimum Payment Due (or Amount Due, if applicable) by the Payment Due Date, or if your payment is returned by your bank (the issuer will notify you if so). Once applied it lasts at least 6 months. The Account is reviewed every 6 months after that, and the penalty APR continues until you have made timely payments with no returned payments during the 6 months being reviewed.

Supporting quotations

Penalty APR and When it Applies | Prime Rate + 26.74% This is a variable APR.

We have the right to apply the penalty APR to new transactions in a Pay Over Time balance if:

you do not pay at least the Minimum Payment Due (or Amount Due, if applicable) by the Payment Due Date; or

your payment is returned by your bank and we will notify you if we do.

If the penalty APR is applied, it will apply for at least 6 months. We will review your Account every 6 months after the penalty APR is applied. The penalty APR will continue to apply until you have made timely payments with no returned payments during the 6 months being reviewed.

Qualifications & exceptions

• The table says the right applies to new transactions in a Pay Over Time balance.
• The trigger is a missed Minimum Payment Due (or Amount Due, if applicable) by the Payment Due Date, or a payment returned by your bank.

Not stated here

• This table row does not say whether the penalty APR also reaches Cash Advance balances or existing Pay Over Time balances.

Cross-references

• qualified by (model-proposed): Variable APRs follow the Prime Rate, change at the start of the billing period, and are capped at 29.99% — The penalty APR row says it is variable and points to the Explanation of Variable Rates.

Charges & Financial Obligations · Company practice

Paying in full can avoid interest on automatically added charges; cash advances accrue interest from day one

The Payment Due Date is at least 25 calendar days after each billing period closes. The table says interest is not charged on charges automatically added to a Pay Over Time balance if each month you pay your Account Total New Balance (or, with a Plan balance, your Adjusted Balance) by the Payment Due Date. The detailed grace-period section states the condition for charges added automatically to a Pay Over Time balance as a billing-period test: no interest if the Pay Over Time Previous Balance is zero, or if the previous two billing periods were paid in full by their due dates. It also says charges moved from Pay In Full to Pay Over Time on the Closing Date start accruing interest the day after they are moved. Cash advances accrue interest from the transaction date.

Supporting quotations

Your Payment Due Date is at least 25 calendar days after the close of each billing period.

We will not charge you interest on charges automatically added to a Pay Over Time balance if each month you pay your Account Total New Balance on your billing statement (or, if you have a Plan balance, your Adjusted Balance on your billing statement) by the Payment Due Date.

If you have Cash Advance on your Account, we will begin charging interest on cash advances on the transaction date.

For charges or portions of charges that we automatically move from your Pay In Full balance to your Pay Over Time balance on your Closing Date, we charge interest from the day after they are added to your Pay Over Time balance until they are paid. However, we will not charge interest on charges added automatically to your Pay Over Time balance in a billing period if:

you paid the Account Total New Balance on your billing statement (if any) or Adjusted Balance (if you have an active plan created through Plan It) for each of the previous two billing periods in full by the Payment Due Date shown on each of those billing statements.

Qualifications & exceptions

• The table sentence covers charges automatically added to a Pay Over Time balance, not cash advances.
• The table words the condition as paying each month; the grace-period section words it as a zero Pay Over Time Previous Balance or the previous two billing periods paid in full.

Not stated here

• The document does not say how the table wording and the grace-period section wording are to be reconciled if they differ.

Cross-references

• qualified by (model-proposed): Pay Over Time charges accrue interest from the transaction date unless a zero balance or two paid-in-full periods apply — The grace-period section states the conditions under which interest is not charged on automatically added charges, which the table row summarizes.

Charges & Financial Obligations · Company practice

Plan It charges a monthly plan fee of up to 1.33% of each purchase placed in a plan

A plan is a payment plan for a purchase. The fee is a monthly plan fee, called a Fixed Finance Charge, of up to 1.33% of each purchase placed in a plan. It is based on an APR, the plan duration and other factors. The APR used depends on where the purchase sits: the APR that would otherwise apply (for a Pay Over Time purchase), the Pay Over Time APR at the time the plan is created (for a Pay In Full purchase), or the lower of the two (for a purchase divided between the two). Each plan fee is disclosed before the plan is created. Plans cannot be cancelled once created, but paying the Account Total New Balance in full on the most recent statement pays a plan off early and ends future plan fees on that plan.

Supporting quotations

Plan Fee (Fixed Finance Charge) | A monthly plan fee of up to 1.33% of each purchase placed in a plan based on:

the plan duration; and other factors.

Each plan fee will be disclosed before you create the applicable plan.

If you create a plan for a purchase in your Pay Over Time balance, the purchase will be added to a plan balance and will be subject to a plan fee based on the APR that would otherwise apply to the purchase amount.

Plans cannot be cancelled after they have been created, but you can choose to pay them early by paying the Account Total New Balance shown on your most recent billing statement in full. If you pay a plan off early, you will not incur any future plan fees on that plan.

Qualifications & exceptions

• "Up to 1.33%" is a monthly ceiling per purchase placed in a plan; the actual dollar amount is shown before a plan is set up.

Not stated here

• The "other factors" that affect the plan fee are not listed.

Cross-references

• narrowed by (model-proposed): A plan fee is based on the APR that applies to where the purchase sits, using the lower APR for split purchases — The Plan It section explains which APR the plan fee is based on for each balance type.

Charges & Financial Obligations · Company practice

The Annual Fee is $895

The Rates and Fees Table lists an Annual Fee of $895.

Supporting quotations

Annual Fee | $895

Not stated here

• This table row does not say when the fee is charged or how to get it refunded.

Cross-references

• qualified by (model-proposed): You may close by call or letter; the Annual Fee is refunded only if you close within 30 days of its statement — The Annual Fee is refundable only if the Account is closed within 30 days after the Closing Date of the statement showing the fee, and not at all for a Massachusetts billing address.

Charges & Financial Obligations · Company practice

A cash advance fee is the greater of $10 or 5% of the cash advance

The table lists a cash advance transaction fee of either $10 or 5% of the amount of each cash advance, whichever is greater.

Supporting quotations

Cash Advance: Either $10 or 5% of the amount of each cash advance, whichever is greater.

Cross-references

• narrowed by (model-proposed): The 5% cash advance fee counts any ATM operator fee, has a $10 minimum, and is added to the Cash Advance balance — The explanation adds that the 5% fee includes any ATM operator fee and is added to the Cash Advance balance.
• defined by (model-proposed): Cash advances include cash equivalents such as foreign currency, digital currency, casino chips and betting — The cash advance fee applies to charges that fall within the definition of a cash advance.

Charges & Financial Obligations · Company practice

The table lists no foreign transaction fee

The Transaction Fees row states "Foreign Transaction: None."

Supporting quotations

Foreign Transaction: None.

Qualifications & exceptions

• Foreign-currency charges are still converted into U.S. dollars as described later in the Agreement; this row only addresses a foreign transaction fee.

Cross-references

• qualified by (model-proposed): AEEML converts foreign-currency charges to dollars at a rate capped at the highest official or interbank rate — The table lists no foreign transaction fee, but foreign-currency charges are converted to dollars at the AEEML rate described later.

Charges & Financial Obligations · Company practice

Late payment and returned payment fees are each up to $40

The table lists penalty fees of up to $40 for a late payment and up to $40 for a returned payment.

Supporting quotations

Late Payment: Up to $40. Returned Payment: Up to $40.

Not stated here

• This row only states the maximum; the detailed fee amounts are in the How Rates and Fees Work section.

Cross-references

• narrowed by (model-proposed): The late fee is $29, then $40 if repeated within 6 billing periods, capped at the prior statement's amount due — The detailed late payment fee ($29, then $40, with a cap) narrows the table's "up to $40".
• narrowed by (model-proposed): The returned payment fee is $29, then $40 if repeated in the same or next 6 billing periods, with the same cap — The detailed returned payment fee ($29, then $40, with a cap) narrows the table's "up to $40".

Charges & Financial Obligations · Company practice

Interest is calculated with the average daily balance method, including new purchases

The table says interest is calculated with the average daily balance method (including new purchases) and points to the Part 2 section on how interest is calculated on Pay Over Time and Cash Advance balances.

Supporting quotations

We use a method called average daily balance method (including new purchases). See the How we calculate interest on Pay Over Time and Cash Advance Balances section in Part 2.

Charges & Financial Obligations · Company practice

Variable APRs follow the Prime Rate, change at the start of the billing period, and are capped at 29.99%

If the Prime Rate increases, variable APRs (and corresponding DPRs) increase, so you may pay more interest and may have a higher Minimum Payment Due. Changes to variable APRs take effect as of the first day of the billing period during which the Prime Rate has changed. Variable APRs will not exceed 29.99%. The Rates and Fees Table rows for Pay Over Time, cash advances and the penalty APR each say they are variable and point here.

Supporting quotations

If the Prime Rate increases, variable APRs (and corresponding DPRs) will increase. In that case, you may pay more interest and may have a higher Minimum Payment Due.

When the Prime Rate changes, the resulting changes to variable APRs take effect as of the first day of the billing period during which the Prime Rate has changed. Variable APRs will not exceed 29.99%.

This is a variable APR. See Explanation of Variable Rates below.

Qualifications & exceptions

• The text describes what happens when the Prime Rate increases; it does not separately describe a decrease.

Not stated here

• The public agreement does not show the Daily Periodic Rates (DPRs) that correspond to the variable APRs.

Cross-references

• qualifies (model-proposed): Pay Over Time APR is Prime Rate plus 12.74% to 21.74%; cash advance APR is Prime Rate plus 21.99% — The Explanation of Variable Rates, which the table rows point to, says how the variable APRs change and that they are capped at 29.99%.
• qualifies (model-proposed): A penalty APR of Prime Rate plus 26.74% can apply after a missed or returned payment, for at least 6 months — The penalty APR row says it is variable and points to the Explanation of Variable Rates.

Charges & Financial Obligations · Company practice

The Prime Rate is the highest U.S. Prime Rate published in The Wall Street Journal on the Closing Date

Prime Rate means the highest U.S. Prime Rate published in the rates section of The Wall Street Journal on the Closing Date of the billing period. If the Journal does not publish a Prime Rate that day, the Prime Rate from the previous day it was published is used. If the Journal is no longer published or stops publishing the Prime Rate, the issuer may use the Prime Rate published in another newspaper of general circulation.

Supporting quotations

Prime Rate means the highest U.S. Prime Rate published in the rates section of The Wall Street Journal on the Closing Date of the billing period.

If The Wall Street Journal does not publish the Prime Rate on that day, we will use the Prime Rate from the previous day it was published.

If The Wall Street Journal is no longer published or stops publishing the Prime Rate, we may use the Prime Rate published in another newspaper of general circulation.

Cross-references

• defines (model-proposed): Pay Over Time APR is Prime Rate plus 12.74% to 21.74%; cash advance APR is Prime Rate plus 21.99% — The Prime Rate used in the APR margins is defined in Determining the Prime Rate.

Charges & Financial Obligations · Company practice

Additional Platinum Cards cost $195 a year and Companion Platinum Cards $0; refund rules are in Part 3

Each Additional Platinum Card has an annual fee of $195 and each Companion Platinum Card $0. The Annual Fee for the main card is in the Rates and Fees Table on page 1 of Part 1. Where an Annual Fee applies for an Additional Card, the refund policy is the one in the "Closing or suspending your Account" sub-section of Part 3, and if one Annual Fee covers a group of Additional Cards, that policy applies when the Additional Card on which the fee was assessed is cancelled.

Supporting quotations

Annual Fee: This fee is on the Rates and Fees Table on page 1 of Part 1.

Each Additional Platinum Card is $195 annually, and each Companion Platinum Card is $0 annually.

If an Annual Fee applies for an Additional Card, please refer to the refund policy disclosed in the Closing or suspending your Account sub-section of Part 3 of this Agreement. If a single Annual Fee applies for a group of Additional Cards on your Account, this policy will apply when you cancel the Additional Card on which the fee was assessed.

Cross-references

• refers to (model-proposed): You may close by call or letter; the Annual Fee is refunded only if you close within 30 days of its statement — The Additional Card annual fee refers to the refund policy in the Closing or suspending your Account sub-section of Part 3.

Charges & Financial Obligations · Company practice

The plan fee is a fixed finance charge each month a plan is active, and its dollar amount is disclosed before setup

The plan fee is described in the Rates and Fees Table. It is a fixed finance charge charged each month a plan is active. The dollar amount of the plan fee is disclosed before you set up a plan, and the agreement points to its About Plan It section for more detail.

Supporting quotations

This fee is a fixed finance charge that will be charged each month that a plan is active. The dollar amount of your plan fee will be disclosed before you set up a plan. For more information, see About Plan It in Part 2.

You will be able to view the monthly plan payments, including the plan fee, for your selection. Each plan fee will be disclosed before you create the applicable plan.

Charges & Financial Obligations · Company practice

The 5% cash advance fee counts any ATM operator fee, has a $10 minimum, and is added to the Cash Advance balance

The cash advance fee is 5% of an ATM cash advance (including any fee charged by the ATM operator) or of another cash advance, with a minimum of $10. The issuer adds this fee to the Cash Advance balance.

Supporting quotations

5% of an ATM cash advance (including any fee charged by the ATM operator) or other cash advance, with a minimum of $10. We will add this fee to the Cash Advance balance.

Qualifications & exceptions

• The Rates and Fees Table states the same fee as the greater of $10 or 5%.

Cross-references

• narrows (model-proposed): A cash advance fee is the greater of $10 or 5% of the cash advance — The explanation adds that the 5% fee includes any ATM operator fee and is added to the Cash Advance balance.

Charges & Financial Obligations · Company practice

No foreign transaction fee, but foreign-currency charges are converted to dollars by AEEML at a rate it chooses

The fee section lists the foreign transaction fee as "None". Separately, a charge made in a foreign currency is converted into U.S. dollars by AE Exposure Management Ltd. ("AEEML") on the date the issuer or its agents process it. AEEML chooses a rate acceptable to the issuer for that date, unless law requires a particular rate; the rate is no more than the highest official rate published by a government agency or the highest interbank rate AEEML identifies on the conversion date or the prior business day. The rate may differ from rates in effect on the date of your charge.

Supporting quotations

Foreign Transaction: None.

If you make a charge in a foreign currency, AE Exposure Management Ltd. ("AEEML") will convert it into U.S. dollars on the date we or our agents process it, so that we bill you for the charge in U.S. dollars based upon this conversion.

The rate AEEML uses is no more than the highest official rate published by a government agency or the highest interbank rate AEEML identifies from customary banking sources on the conversion date or the prior business day. This rate may differ from rates that are in effect on the date of your charge.

Qualifications & exceptions

• "No foreign transaction fee" does not mean the conversion rate is free of cost; the rate is set as described.

Not stated here

• The agreement does not state the conversion rate or a markup.

Charges & Financial Obligations · Company practice

The late fee is $29, then $40 if repeated within 6 billing periods, capped at the prior statement's amount due

If the Amount Due (or Minimum Payment Due, if applicable) is not received by the Payment Due Date, the late fee is $29. If it happens again within the next 6 billing periods, the fee is $40. The late fee on a billing statement will not exceed the Amount Due (or Minimum Payment Due, if applicable) on the prior billing statement.

Supporting quotations

Late Payment: Up to $40. If we do not receive the Amount Due (or Minimum Payment Due, if applicable) by the Payment Due Date, the fee is $29. If this happens again within the next 6 billing periods, the fee is $40. However, the late fee on a billing statement will not exceed the Amount Due (or Minimum Payment Due, if applicable) on your prior billing statement.

Cross-references

• narrows (model-proposed): Late payment and returned payment fees are each up to $40 — The detailed late payment fee ($29, then $40, with a cap) narrows the table's "up to $40".

Charges & Financial Obligations · Company practice

The returned payment fee is $29, then $40 if repeated in the same or next 6 billing periods, with the same cap

If a payment is returned unpaid the first time it is presented to your bank, the returned payment fee is $29. If this happens again within the same billing period or the next 6 billing periods, the fee is $40. The returned payment fee on a billing statement will not exceed the Amount Due (or Minimum Payment Due, if applicable) on the prior billing statement.

Supporting quotations

Returned Payment: Up to $40. If you make a payment that is returned unpaid the first time we present it to your bank, the fee is $29. If you do this again within the same billing period or the next 6 billing periods, the fee is $40. However, the returned payment fee on a billing statement will not exceed the Amount Due (or Minimum Payment Due, if applicable) on your prior billing statement.

Cross-references

• narrows (model-proposed): Late payment and returned payment fees are each up to $40 — The detailed returned payment fee ($29, then $40, with a cap) narrows the table's "up to $40".

Charges & Financial Obligations · Company practice

A returned check fee of $38 plus the unpaid amount applies to checks cashed with the card that are returned unpaid

If you use your card to cash a check at one of the issuer's approved locations and the check is returned unpaid, the fee is $38, and the issuer will also charge you the unpaid amount.

Supporting quotations

Returned Check: $38 if you use your card to cash a check at one of our approved locations and the check is returned unpaid. We will also charge you the unpaid amount.

Charges & Financial Obligations · Company practice

An account re-opening fee of $25 applies if a cancelled Account is re-opened at your request

The fee is $25 if your Account is cancelled, you ask the issuer to re-open it, and the issuer does so.

Supporting quotations

Account Re-opening: $25 if your Account is cancelled, you ask us to re-open it, and we do so.

Charges & Financial Obligations · Restriction or exception

Cash advances are limited to $8,000, and the cardholder agrees to manage the Account to stay within that limit

The cash advance balance may not exceed $8,000. There may also be limits on the amount of cash and the number of times you can obtain cash from ATMs in a period. You agree to manage your Account so the cash advance balance, including fees and interest, is not more than the limit. The balance is determined by adding new cash advance transactions to the prior day's ending cash advance balance.

Supporting quotations

Cash Advance Limit: Your cash advance balance may not exceed $8,000.

There may also be a limit on the amount of cash and number of times you can obtain cash from ATMs in a given period. You agree to manage your Account so that your cash advance balance (including fees and interest) is not more than the Cash Advance Limit.

For purposes of the Cash Advance Limit, your cash advance balance will be determined by adding new cash advance transactions to the ending cash advance balance of the prior day.

Not stated here

• The ATM cash and frequency limits are not stated in the agreement.

Charges & Financial Obligations · Restriction or exception

A cash advance may be declined if it would push total balances over the Pay Over Time Limit

The issuer may decline a cash advance if it would cause the total of your Pay Over Time and/or Cash Advance balance and Plan balance to exceed your Pay Over Time Limit.

Supporting quotations

In addition, we may not approve a cash advance transaction if it would cause the total of your Pay Over Time and/or Cash Advance balance and Plan balance to go over your Pay Over Time Limit.

Not stated here

• The Pay Over Time Limit amount is account-specific and is not shown in the public agreement.

Charges & Financial Obligations · Restriction or exception

Person-to-person transactions are limited to $4,000 in any 30-day period

Person-to-person transactions may not exceed $4,000 within any 30-day period. You agree to manage your Account so the 30-day total does not exceed the limit, and the issuer may decline a person-to-person transaction that would exceed it.

Supporting quotations

Person-to-Person Limit: Your person-to-person transactions may not exceed $4,000 within any 30-day period. You agree to manage your Account so that the total of your person-to-person transactions in any 30-day period does not exceed the Person-to-Person Limit.

We may not approve a person-to-person transaction if it would cause your Account to exceed the applicable Person-to- Person Limit.

Charges & Financial Obligations · Company practice

The monthly amount owed adds the Pay In Full balance, the Pay Over Time/Cash Advance minimum and any Plan payment

The amount you owe each month is the sum of three items on the billing statement: the Pay In Full New Balance, any Pay Over Time and/or Cash Advance Minimum Due, and any Plan Payment Due. These amounts include any past due amounts.

Supporting quotations

The amount you owe each month is the sum of the following on your billing statement:

The Pay In Full New Balance

Any Pay Over Time and/or Cash Advance Minimum Due

Any Plan Payment Due

Above amounts include any past due amounts.

Charges & Financial Obligations · Procedure

The Pay Over Time/Cash Advance minimum is the highest of $40, 2% of the balance, or a tiered formula

The Pay Over Time and/or Cash Advance Minimum Due is the highest of three figures: $40; 2% of the Pay Over Time and/or Cash Advance New Balance; or a tiered total. For the tiered total, take the New Balance minus the Interest charged on the statement as "the Amount", then add 1% of the Amount from $0 through $20,000, 2% of the part from $20,000.01 through $35,000, 5% of the part from $35,000.01 through $50,000 and 10% of the part above $50,000. Divide that sum by the Amount and round to four decimals, multiply by the Amount, then add the Interest charged on the statement plus any Pay Over Time and/or Cash Advance amount past due. The Minimum Due will not exceed the Pay Over Time and/or Cash Advance New Balance, and you may pay more than the Minimum Payment Due, up to your entire outstanding balance, at any time.

Supporting quotations

Your Pay Over Time and/or Cash Advance Minimum Due is the highest of:

$40

2% of the Pay Over Time and/or Cash Advance New Balance

The total calculated by following these steps: Use the Pay Over Time and/or Cash Advance New Balance minus the Interest charged on the billing statement as the Amount to calculate the sum of a. through d. below:

1% of the Amount from $0 through $20,000

2% of the Amount from $20,000.01 through $35,000

5% of the Amount from $35,000.01 through $50,000

10% of the Amount above $50,000

Then divide the sum from steps a. through d. by the Amount and round to four decimals

Multiply by the Amount

Add the Interest charged on the billing statement Plus any Pay Over Time and/or Cash Advance amount past due.

Your Pay Over Time and/or Cash Advance Minimum Due will not exceed your Pay Over Time and/or Cash Advance New Balance. You may pay more than the Minimum Payment Due, up to your entire outstanding balance, at any time.

Qualifications & exceptions

• The tiered percentages apply to successive slices of the Amount, as the tier labels indicate.

Charges & Financial Obligations · Context

Worked example: with a $30,300 Pay Over Time/Cash Advance balance, the first two minimum candidates are $40 and $606

The example assumes a Pay In Full New Balance of $200 and a Pay Over Time and/or Cash Advance New Balance of $30,300 that includes $300 of Interest. The first candidate is $40 and the second is 2% multiplied by $30,300, which equals $606. The third (tiered) candidate starts by subtracting the $300 interest from $30,300 to get $30,000, and is completed in the next section.

Supporting quotations

EXAMPLE: You have: a Pay In Full New Balance of $200 and a Pay Over Time and/or Cash Advance New Balance of $30,300, which includes Interest of $300.

$40

2% multiplied by $30,300 equals $606

$30,300 minus $300 equals $30,000

Qualifications & exceptions

• The example is an illustration of the formula, not a statement of any cardmember's minimum.

Charges & Financial Obligations · Context

Worked example result: the tiered candidate is $699, so the Minimum Payment Due is $899

In the example, the tiered candidate works out as follows: the Amount is $30,000; 1% of $20,000 is $200; 2% of the next $10,000 is $200; the 5% and 10% tiers are $0; ($200 plus $200) divided by $30,000 is 0.0133; $30,000 multiplied by 0.0133 is $399; and adding the $300 interest gives $699. The highest of the three candidates ($40, $606, $699) is $699. That Pay Over Time and/or Cash Advance Minimum Due plus the $200 Pay In Full New Balance makes a Minimum Payment Due of $899.

Supporting quotations

$30,300 minus $300 equals $30,000

a. 1% multiplied by $20,000 equals $200

b. 2% multiplied by ($30,000 minus $20,000) equals $200

c. 5% multiplied by $0 equals $0

d. 10% multiplied by $0 equals $0

e. ($200 plus $200) divided by $30,000 equals 0.0133

f. $30,000 multiplied by 0.0133 equals $399

g. $399 plus $300 equals $699

The highest of 1., 2. or 3. is $699. The Pay Over Time and/or Cash Advance Minimum Due of $699 plus the Pay in Full New Balance of $200 together make up the Minimum Payment Due of $899.

2% multiplied by $30,300 equals $606

Qualifications & exceptions

• The example illustrates the formula with assumed balances; it is not any cardmember's actual figure.

Charges & Financial Obligations · Company practice

Cash advances accrue interest from the transaction date and the interest cannot be avoided

For cash advances, interest is charged from the transaction date, and the agreement states you cannot avoid paying interest on cash advances.

Supporting quotations

For cash advances, we charge interest from the transaction date. You cannot avoid paying interest on cash advances.

Charges & Financial Obligations · Company practice

Pay Over Time charges accrue interest from the transaction date unless a zero balance or two paid-in-full periods apply

Charges added automatically to a Pay Over Time balance when they post accrue interest from the transaction date until paid. Charges or portions of charges that the issuer automatically moves from the Pay In Full balance to the Pay Over Time balance on the Closing Date accrue interest from the day after they are added until paid. Interest is not charged on charges added automatically to the Pay Over Time balance in a billing period if either (a) the Pay Over Time Previous Balance for that billing period is zero, or (b) you paid the Account Total New Balance (or, with an active Plan It plan, the Adjusted Balance) in full by the Payment Due Date for each of the previous two billing periods.

Supporting quotations

For charges added automatically to a Pay Over Time balance at the time they post to your account, we charge interest from the transaction date until they are paid.

For charges or portions of charges that we automatically move from your Pay In Full balance to your Pay Over Time balance on your Closing Date, we charge interest from the day after they are added to your Pay Over Time balance until they are paid.

However, we will not charge interest on charges added automatically to your Pay Over Time balance in a billing period if:

your Pay Over Time Previous Balance for the billing period is zero; or

you paid the Account Total New Balance on your billing statement (if any) or Adjusted Balance (if you have an active plan created through Plan It) for each of the previous two billing periods in full by the Payment Due Date shown on each of those billing statements.

We will not charge you interest on charges automatically added to a Pay Over Time balance if each month you pay your Account Total New Balance on your billing statement

you authorize us to automatically move all or a portion of those charges to your Pay Over Time balance, subject to your Pay Over Time Limit.

Qualifications & exceptions

• The Rates and Fees Table words the interest-free condition as paying the balance each month; this section words it as the two alternatives above.

Not stated here

• The section does not say whether the "However" exception applies to the charges moved on the Closing Date as well as to charges added when they post.
• The document does not explain how the table wording and this section's wording fit together if they differ.

Cross-references

• qualifies (model-proposed): Paying in full can avoid interest on automatically added charges; cash advances accrue interest from day one — The grace-period section states the conditions under which interest is not charged on automatically added charges, which the table row summarizes.

Charges & Financial Obligations · Company practice

Purchases added at your request to a Pay Over Time Select balance accrue interest from the date they are added

For Pay Over Time Select, interest is charged on purchases added at your request to a Pay Over Time Select balance from the date they are added until they are paid.

Supporting quotations

For Pay Over Time Select: we charge you interest on purchases added at your request to a Pay Over Time Select balance from the date they are added to a Pay Over Time Select balance until they are paid.

Not stated here

• The agreement does not explain how a Pay Over Time Select balance is set up or what its rate is.

Charges & Financial Obligations · Context

Cash advances include cash equivalents such as foreign currency, digital currency, casino chips and betting

A cash advance is a charge to get cash or cash equivalents, including travelers cheques, gift cheques, foreign currency, money orders, digital currency, casino gaming chips, race track wagers, and other offline and online betting transactions. This matters because cash advances carry their own APR, fee, limit and interest start date elsewhere in the Agreement.

Supporting quotations

A cash advance is a charge to get cash or cash equivalents, including travelers cheques, gift cheques, foreign currency, money orders, digital currency, casino gaming chips, race track wagers, and other offline and online betting transactions.

Qualifications & exceptions

• The list is introduced by "including", so it is not stated to be complete.

Cross-references

• defines (model-proposed): A cash advance fee is the greater of $10 or 5% of the cash advance — The cash advance fee applies to charges that fall within the definition of a cash advance.

Charges & Financial Obligations · Company practice

Pay Over Time lets you carry a balance with interest up to the Pay Over Time Limit and can be set active or inactive

If Pay Over Time is a feature of the Account, you may carry a balance with interest, up to your Pay Over Time Limit. It has two settings, active and inactive, which you can change or view at any time online or by calling the number on the back of the Card. Purchases made and Annual Fees charged while it is inactive are added to the Pay In Full balance, which is due in full each month. With a Pay Over Time balance, each month you can pay the Account Total New Balance in full, the Minimum Payment Due, or any amount in between. How charges are added to the Pay Over Time balance is described in the following passages.

Supporting quotations

Pay Over Time: If Pay Over Time is a feature of your Account, you may carry a balance with interest, up to your Pay Over Time Limit. Pay Over Time has two settings: active and inactive. You can change or view your Pay Over Time setting at any time through your online account or by calling the number on the back of your Card.

Purchases made and Annual Fees charged when Pay Over Time is set to inactive will be added to your Pay In Full balance, which will be due in full each month.

If you have a Pay Over Time balance, you can choose each month to pay your Account Total New Balance in full, the Minimum Payment Due, or any amount in between.

Qualifications & exceptions

• The feature applies only "if Pay Over Time is a feature of your Account".

Not stated here

• The Pay Over Time Limit amount is account-specific and is not shown in the public agreement.

Charges & Financial Obligations · Company practice

Eligible charges are added to the Pay Over Time balance on the transaction date if it is active at 8 p.m. ET

If Pay Over Time is active at 8 p.m. ET on the transaction date the merchant provides for an eligible charge, or on the date an eligible Annual Fee is charged, the charge is automatically added to the Pay Over Time balance, subject to the Pay Over Time Limit. If adding the whole charge would push the total of the Pay Over Time, Cash Advance and Plan balances over the limit, that charge goes to the Pay In Full balance instead. The merchant's transaction date may differ from the purchase date, for example because of a delay or because the merchant uses the shipping date. Charges with the same transaction date are added in any order the issuer chooses.

Supporting quotations

On the Transaction Date:

If Pay Over Time is set to active at 8 p.m.ET on the transaction date provided by the merchant for an eligible charge, or on the date when an eligible Annual Fee is charged to your Account, the charge will automatically be added to your Pay Over Time balance, subject to your Pay Over Time Limit.

If the addition of an entire charge to your Pay Over Time balance would cause the total of your Pay Over Time, Cash Advance, and Plan balances to exceed your Pay Over Time Limit, that charge will be added to your Pay In Full balance.

The transaction date provided by the merchant may differ from the date you made the purchase if, for example, there is a delay in the merchant submitting the transaction to us or if the merchant uses the shipping date as the transaction date. Charges with the same transaction date will be added to your Pay Over Time balance in any order we choose.

Charges will be added to your Pay Over Time balance as described below.

The Pay Over Time Limit applies to the total of your Pay Over Time, Cash Advance, and Plan balances.

Qualifications & exceptions

• Only "eligible" charges are added; ineligible charges are addressed in the Closing Date list and the eligibility paragraph that follow.

Not stated here

• The Pay Over Time Limit amount is account-specific and is not shown in the public agreement.
• "Eligible charge" is not defined in one place; the eligibility paragraph says cash advances are not eligible and eligibility may change.

Cross-references

• qualified by (model-proposed): Some charges are not eligible, and the issuer may change eligibility or suspend Pay Over Time — Charges are added to Pay Over Time on the transaction date only if eligible, and Pay Over Time can be suspended.

Charges & Financial Obligations · Company practice

On the Closing Date, eligible charges in the Pay In Full balance can be moved to Pay Over Time up to the limit

On the Closing Date, if (1) the total of the Pay Over Time, Cash Advance and Plan balances is less than the Pay Over Time Limit, Pay Over Time is set to active at 8 p.m. ET, and there are eligible new charges in the Pay In Full balance with a transaction date when Pay Over Time was active, you authorize the issuer to automatically move all or a portion of those charges to the Pay Over Time balance, subject to the limit. If a whole charge would exceed the limit, a portion up to the limit is moved and the rest stays in Pay In Full. Charges are moved in transaction-date order, and in any order for the same date. Interest on moved charges starts the day after they are moved.

Supporting quotations

On your Closing Date:

Also, if on your Closing Date, 1) the total of your Pay Over Time, Cash Advance, and Plan balances is less than your Pay Over Time Limit,

Pay Over Time is set to active at 8 p.m. ET and 3) there are eligible new charges in your Pay In Full balance with a transaction date when Pay Over Time was set to active, you authorize us to automatically move all or a portion of those charges to your Pay Over Time balance, subject to your Pay Over Time Limit.

If the addition of a charge to your Pay Over Time balance would cause the total of your Pay Over Time, Cash Advance, and Plan balances to exceed your Pay Over Time Limit, we will move a portion of that charge to your Pay Over Time balance, up to your Pay Over Time Limit. The remaining portion of the charge will remain in your Pay In Full balance. Eligible charges will be moved to your Pay Over Time balance in order of the transaction dates. Charges with the same transaction date will be added to your Pay Over Time balance in any order we choose.

we charge interest from the day after they are added to your Pay Over Time balance until they are paid.

Qualifications & exceptions

• The source text shows the conditions as "1)" and "3)"; the marker "2)" does not appear in the extracted text, and the second condition (Pay Over Time active at 8 p.m. ET) begins the list item that follows the first.

Not stated here

• The extracted text omits the "2)" marker; the three conditions are read as listed in the passage.

Cross-references

• has exception (model-proposed): Charges that are foreign-fee, disputed, fraud-reported or in a plan are not moved to Pay Over Time on the Closing Date — The listed charges are not eligible to be moved to Pay Over Time on the Closing Date.

Charges & Financial Obligations · Restriction or exception

Charges that are foreign-fee, disputed, fraud-reported or in a plan are not moved to Pay Over Time on the Closing Date

A new charge, or a portion of one, is not eligible to be moved to the Pay Over Time balance on the Closing Date if: it is subject to a Foreign Transaction Fee; it is disputed for a reason other than fraud and the dispute is not resolved in the billing period in which it was opened; it is reported as fraudulent and either was determined fraudulent in the same billing period it posted or has not yet been determined as of that period; you created a plan for it using Plan It; Pay Over Time is suspended on the Account; or the Account is cancelled or enrolled in a payment program.

Supporting quotations

A new charge, or a portion of a new charge, will not be eligible to be moved to your Pay Over Time balance on your Closing Date if:

that charge is subject to a Foreign Transaction Fee;

that charge or a portion of that charge is disputed (for a reason other than fraud) and that dispute is not resolved in the same billing period in which it was opened;

that charge or a portion of that charge is reported as fraudulent and either (i) we determined the charge is fraudulent in the same billing period in which it was posted to your Account, or (ii) we have not yet determined if the charge is fraudulent in the same billing period in which it was posted to your Account;

you created a plan for that charge using Plan It;

Pay Over Time is suspended on your Account; or

your Account is cancelled or enrolled in a payment program.

Qualifications & exceptions

• The list applies to the Closing Date move; the transaction-date addition has its own eligibility language.
• The Rates and Fees Table lists no foreign transaction fee, so the Foreign Transaction Fee item reads as applying only if such a fee is charged.

Cross-references

• exception to (model-proposed): On the Closing Date, eligible charges in the Pay In Full balance can be moved to Pay Over Time up to the limit — The listed charges are not eligible to be moved to Pay Over Time on the Closing Date.

Charges & Financial Obligations · Restriction or exception

Some charges are not eligible, and the issuer may change eligibility or suspend Pay Over Time

Certain charges, such as cash advances, are not eligible for Pay Over Time, and the issuer may change the eligibility of other charges. It may suspend Pay Over Time at any time based on its assessment of your creditworthiness, the status of your Account and/or your enrollment in a payment program. If the Account is past due or Pay Over Time is suspended, you cannot change the Pay Over Time setting from inactive to active.

Supporting quotations

Certain charges are not eligible for Pay Over Time, such as cash advances and we may change the eligibility of other charges for Pay Over Time. We may suspend Pay Over Time at any time based on our assessment of your creditworthiness, the status of your Account, and/or your enrollment in a payment program. In addition, if your Account is past due or Pay Over Time is suspended, you will not be able to change your Pay Over Time setting from inactive to active.

Qualifications & exceptions

• The phrase "such as cash advances" gives an example; the full list of ineligible charges is not stated.

Not stated here

• The agreement does not list all charges that are ineligible for Pay Over Time.

Cross-references

• qualifies (model-proposed): Eligible charges are added to the Pay Over Time balance on the transaction date if it is active at 8 p.m. ET — Charges are added to Pay Over Time on the transaction date only if eligible, and Pay Over Time can be suspended.

Charges & Financial Obligations · Company practice

Pay Over Time Travel adds eligible travel purchases automatically whatever the setting, and cancelling it is permanent

If the Account has the Pay Over Time Travel feature, eligible travel-related purchases are automatically added to the Pay Over Time Travel balance, subject to the Pay Over Time Limit, whether the Pay Over Time setting is active or inactive. If you request to cancel Pay Over Time Travel, you will not be able to re-enroll.

Supporting quotations

If you have the Pay Over Time Travel feature on your Account: we will automatically add eligible travel-related purchases to your Pay Over Time Travel balance subject to your Pay Over Time Limit regardless of whether your Pay Over Time setting is active or inactive. If you request to cancel your Pay Over Time Travel feature, you will not be able to re-enroll.

Not stated here

• The agreement does not define which purchases are "eligible travel-related purchases".

Charges & Financial Obligations · Permission or license

Plan It may be offered to create payment plans for qualifying purchases, with a plan fee charged each month

The issuer may offer Plan It, which lets you create a payment plan for qualifying purchases subject to a plan fee. The fee is a fixed finance charge charged each month that a plan is active. You use the feature by selecting qualifying purchases and a plan duration.

Supporting quotations

Plan It: We may offer you Plan It, which allows you to create a payment plan for qualifying purchases subject to a plan fee. This fee is a fixed finance charge that will be charged each month that a plan is active.

You may use this feature by selecting qualifying purchases and a plan duration.

Qualifications & exceptions

• Plan It is something the issuer "may offer", not a guaranteed feature.

Charges & Financial Obligations · Company practice

A plan fee is based on the APR that applies to where the purchase sits, using the lower APR for split purchases

A plan purchase is added to a plan balance and carries a plan fee based on an APR. For a purchase in the Pay Over Time balance, it is the APR that would otherwise apply to the purchase amount. For a purchase in the Pay In Full balance, it is the APR that applies to the Pay Over Time feature at the time the plan is created. For a purchase divided between the two because only part of it was moved to Pay Over Time on the Closing Date, it is the lower of the APR that would otherwise apply to the Pay Over Time portion and the Pay Over Time feature APR at plan creation.

Supporting quotations

If you create a plan for a purchase in your Pay Over Time balance, the purchase will be added to a plan balance and will be subject to a plan fee based on the APR that would otherwise apply to the purchase amount.

If you create a plan for a purchase that is in your Pay In Full balance, the purchase will be added to a plan balance and will be subject to a plan fee based on the APR that applies to the Pay Over Time feature at the time you create the plan.

If you create a plan for a purchase that is divided between your Pay Over Time and Pay In Full balances, because only a portion of that purchase was moved to your Pay Over Time balance on your Closing Date, the purchase will be added to a plan balance and will be subject to a plan fee based on either the APR that would otherwise apply (to the portion of the purchase that was in your Pay Over Time balance) or the APR that applies to the Pay Over Time feature at the time you create the plan, whichever is lower.

Plan Fee (Fixed Finance Charge) | A monthly plan fee of up to 1.33% of each purchase placed in a plan

we will move a portion of that charge to your Pay Over Time balance, up to your Pay Over Time Limit.

Qualifications & exceptions

• The fee is also based on the plan duration and other factors and is capped at 1.33% per month of each purchase, as the Rates and Fees Table states.

Cross-references

• narrows (model-proposed): Plan It charges a monthly plan fee of up to 1.33% of each purchase placed in a plan — The Plan It section explains which APR the plan fee is based on for each balance type.

Charges & Financial Obligations · Restriction or exception

Qualifying Plan It purchases meet a minimum amount and exclude cash, foreign-fee purchases and fees owed

A qualifying purchase for Plan It is a purchase of at least a specified dollar amount. Qualifying purchases do not include purchases of cash or cash equivalents, purchases subject to Foreign Transaction Fees, or any fee owed to the issuer, such as Annual Fees.

Supporting quotations

A qualifying purchase for Plan It is a purchase of at least a specified dollar amount. Qualifying purchases do not include purchases of cash or cash equivalents, purchases subject to Foreign Transaction Fees, or any fee owed to us, such as Annual Fees.

Not stated here

• The specified minimum dollar amount for a qualifying purchase is not stated in the agreement.

Charges & Financial Obligations · Restriction or exception

Your ability to create plans depends on credit factors and the Pay Over Time Limit, and is blocked in several situations

Your ability to create plans is based on a variety of factors such as creditworthiness and your Pay Over Time Limit, and you may not be able to create a plan that would exceed that limit. You cannot create plans if Pay Over Time is suspended or the Account is cancelled. You also cannot create plans if one or more of your American Express Accounts is enrolled in a payment program, has a payment that is returned unpaid, or is past due.

Supporting quotations

Your ability to create plans will be based on a variety of factors such as your creditworthiness and your Pay Over Time Limit. You may not be able to create a plan if it would cause you to exceed your Pay Over Time Limit.

You will not be able to create plans if your Pay Over Time feature is suspended or your Account is cancelled. You will also not be able to create plans if one or more of your American Express Accounts is enrolled in a payment program, has a payment that is returned unpaid, or is past due.

Qualifications & exceptions

• The blocking conditions extend to any of your American Express Accounts, not just this Account.

Charges & Financial Obligations · Permission or license

The number of active plans and the plan durations are at the issuer's discretion and can change

The issuer will tell you the number of active plans you may have and may change that number at any time. The plan durations offered to you, and whether you can include multiple qualifying purchases in a single plan, are at its discretion and based on factors such as your creditworthiness, the purchase amount(s) and your Account history.

Supporting quotations

We will tell you the number of active plans you may have, and we may change this number at any time. The plan durations offered to you, and your ability to include multiple qualifying purchases in a single plan, will be at our discretion and will be based on a variety of factors such as your creditworthiness, the purchase amount(s), and your Account history.

Not stated here

• The number of active plans allowed is not stated in the agreement.

Charges & Financial Obligations · Restriction or exception

Plans cannot be cancelled, but paying the Account Total New Balance in full ends future plan fees on a plan

Plans cannot be cancelled after they are created. You can pay them early by paying in full the Account Total New Balance shown on your most recent billing statement, and if you pay a plan off early you will not incur future plan fees on that plan.

Supporting quotations

Plans cannot be cancelled after they have been created, but you can choose to pay them early by paying the Account Total New Balance shown on your most recent billing statement in full. If you pay a plan off early, you will not incur any future plan fees on that plan.

Charges & Financial Obligations · Restriction or exception

The Pay Over Time Limit caps the combined Pay Over Time, Cash Advance and Plan balances

If you have Pay Over Time, the issuer assigns a Pay Over Time Limit, shown on page 1 of Part 1 and on each billing statement. It applies to the total of the Pay Over Time, Cash Advance and Plan balances, and the Pay Over Time balance cannot exceed it. If adding a charge would push the Pay Over Time balance over the limit, that charge is added to the Pay In Full balance. A delay in posting cash advances or plans may let the total exceed the limit for a time.

Supporting quotations

Pay Over Time Limit: If you have Pay Over Time, we assign a Pay Over Time Limit to your Account, which is shown on page 1 of Part 1 and on each billing statement. The Pay Over Time Limit applies to the total of your Pay Over Time, Cash Advance, and Plan balances. Your Pay Over Time balance cannot exceed your Pay Over Time Limit. If the addition of a charge would cause your Pay Over Time balance to exceed your Pay Over Time Limit, that charge will be added to your Pay In Full balance. When there is a delay in posting cash advances or plans to your Account, the total of your Pay Over Time, Cash Advance, and Plan balances may exceed your Pay Over Time Limit.

that charge will be added to your Pay In Full balance.

you may carry a balance with interest, up to your Pay Over Time Limit.

Not stated here

• The amount of the Pay Over Time Limit is shown on page 1 of Part 1 and on statements, not in the public agreement.

Charges & Financial Obligations · Company practice

The Pay Over Time Limit is not a spending limit, may be changed at any time, and other charges must be paid in full

The Pay Over Time Limit is not a spending limit: the issuer may approve or decline a charge whether the Account balance is above or below it. The issuer may increase or reduce the limit at any time, even if you pay on time and the Account is not in default, and will tell you if it changes the limit. You must pay in full, by the Payment Due Date, all charges not added to a Pay Over Time, Cash Advance or Plan balance.

Supporting quotations

The Pay Over Time Limit is not a spending limit. We may approve or decline a charge regardless of whether your Card Account balance is greater or less than your Pay Over Time Limit. We may increase or reduce your Pay Over Time Limit at any time. We may do so even if you pay on time and your Account is not in default. We will tell you if we change your Pay Over Time Limit. You must pay in full, by the Payment Due Date, all charges that are not added to a Pay Over Time, Cash Advance, or Plan balance.

Charges & Financial Obligations · Company commitment

You promise to pay all charges added to the Account, and must pay at least the Minimum Payment Due by the due date

You promise to pay all charges added to the Account, including charges you or your Additional Card Members make, or permit others to make, even if the Card is not presented or you do not sign for the transaction. You must pay the Amount Due, or at least the Minimum Payment Due as applicable, on or before the Payment Due Date, in the time and manner shown on each billing statement.

Supporting quotations

Promise to pay: You promise to pay all charges added to your Account, including charges that you or your Additional Card Members make, or permit others to make, even if you or they do not present the Card or sign for the transaction.

When you must pay: You must pay the Amount Due, or at least the Minimum Payment Due, as applicable, on or before the Payment Due Date in the time and manner shown on each billing statement.

Charges & Financial Obligations · Procedure

Payments must be in U.S. dollars by U.S. check, negotiable instrument or electronic payment

Payments must be made in U.S. dollars by a single check drawn on a U.S. bank, a single negotiable instrument clearable through the U.S. banking system (for example a money order), or an electronic payment that can be cleared through the U.S. banking system. When paying by mail you must make a separate payment for each Account, send it to the address on the payment coupon on your billing statement, and write your Account number on the check or negotiable instrument and include the payment coupon.

Supporting quotations

How to make payments: Make payments to us in U.S. dollars with:

a single check drawn on a U.S. bank, or

a single negotiable instrument clearable through the U.S. banking system, for example a money order, or

an electronic payment that can be cleared through the U.S. banking system.

When making a payment by mail:

make a separate payment for each Account,

mail your payment to the address shown on the payment coupon on your billing statement, and

write your Account number on your check or negotiable instrument and include the payment coupon.

Charges & Financial Obligations · Company practice

A compliant payment is credited the day received if on time, otherwise the next day

If a payment meets the requirements above, it is credited to the Account as of the day it is received, as long as it is received by the time and in the manner disclosed in the billing statement. If received after that time, it is credited the day after receipt. If a payment does not meet the requirements, crediting may be delayed, which may result in late payment fees and additional interest charges.

Supporting quotations

If your payment meets the above requirements, we will credit it to your Account as of the day we receive it, as long as we receive it by the time and in the manner disclosed in your billing statement. If we receive it after that time, we will credit the payment on the day after we receive it.

If your payment does not meet the above requirements, there may be a delay in crediting your Account. This may result in late payment fees and additional interest charges.

Not stated here

• The cutoff time for same-day crediting is not stated here; it is in the billing statement.

Charges & Financial Obligations · Restriction or exception

Foreign-currency and non-U.S. bank payments are refused; late or restricted payments change nothing

The issuer will not accept a payment made in a foreign currency or a payment drawn on an account at a bank located outside the U.S. If it processes a late payment, a partial payment, or a payment marked with any restrictive language, that has no effect on its rights and does not change the Agreement.

Supporting quotations

We will not accept a payment made in a foreign currency or a payment drawn on an account at a bank located outside of the U.S. If we process a late payment, a partial payment, or a payment marked with any restrictive language, that will have no effect on our rights and will not change this Agreement.

Charges & Financial Obligations · Company practice

Payments up to the Minimum Payment Due go to Pay In Full first; payments above it go to the highest-rate balances first

Where the Account has balances with different interest rates, plan balances or plan fees, payments are generally applied in a billing period as follows. Payments up to the Minimum Payment Due go first to the Pay In Full New Balance, then to any plan amounts included in the Minimum Payment Due, then to the Pay Over Time and/or Cash Advance New Balance, first to the balance with the lowest interest rate and then to higher-rate balances. After the Minimum Payment Due is paid, payments go first to the Pay Over Time and/or Cash Advance balances with the highest interest rate, then to lower-rate balances, and then to any Plan balances.

Supporting quotations

Your Account may have balances with different interest rates. For example, purchases may have no interest rate or a lower interest rate than cash advances. Your Account may also have plan balances which are assessed plan fees. If your Account has balances with different interest rates, plan balances, or plan fees, here is how we generally apply payments in a billing period:

We apply your payments – up to the Minimum Payment Due – first to the Pay in Full New Balance; then to any plan amounts included in your Minimum Payment Due; and then to the Pay Over Time and/or Cash Advance New Balance, first to the balance with the lowest interest rate and then to balances with higher interest rates.

After the Minimum Payment Due has been paid, we apply payments first to the Pay Over Time and/or Cash Advance balances with the highest interest rate and then to balances with lower interest rates, and then to any Plan balances.

Qualifications & exceptions

• The order is described as how payments are "generally" applied.

Charges & Financial Obligations · Company practice

Credits usually go to the balance of the related charge, and a credit for a plan purchase must be requested by phone

In most cases a credit is applied to the same balance as the related charge. The issuer may apply payments and credits within balances, and among balances with the same interest rate, in any order it chooses. A negative balance at the end of a billing period is redistributed to other balances under the payment order, so plan balances may be paid before they otherwise would. If you receive a credit for a purchase added to a plan, you must call the number on the back of your Card to have the credit applied to the plan balance.

Supporting quotations

In most cases, we apply a credit to the same balance as the related charge. We may apply payments and credits within balances, and among balances with the same interest rate, in any order we choose. If there is a negative balance in any balance on the account at the end of a billing period, that excess credit will be redistributed to other balances in accordance with how we apply payments described above. This means that in certain circumstances, plan balances may get paid before they otherwise would. If you receive a credit for a purchase added to a plan, you must call us at the number on the back of your Card to have the credit applied to the plan balance.

Charges & Financial Obligations · Company practice

Interest on each balance is average daily balance x daily periodic rate x days in the billing period

Interest for a billing period is figured on each balance separately, because balances within Pay Over Time and Cash Advance balances may have different rates, using the Average Daily Balance method (including new transactions). The total interest is the sum of the interest on each balance. Except for rounding, the interest for a balance equals the Average Daily Balance multiplied by the Daily Periodic Rate multiplied by the number of days in the billing period. The Average Daily Balance is the sum of the daily balances divided by the number of days in the billing period.

Supporting quotations

How we calculate interest on Pay Over Time and Cash Advance balances: We calculate interest for a billing period by first figuring the interest on each balance. Balances within the Pay Over Time feature and Cash Advance balances may have different interest rates. We use the Average Daily Balance method (including new transactions) to figure interest charges for each balance. The total interest charged for a billing period is the sum of the interest charged on each balance.

Interest: The interest charged for a balance in a billing period, except for variations caused by rounding, equals:

Average Daily Balance (ADB) multiplied by

Daily Periodic Rate (DPR) multiplied by

number of days in the billing period.

ADB: To get the ADB for a balance, we add up its daily balances. Then we divide the result by the number of days in the billing period.

Cross-references

• defined by (model-proposed): A DPR is 1/365th of an APR, but the public agreement does not list any DPR values — The DPR used in the interest formula is defined as 1/365th of an APR.

Charges & Financial Obligations · Context

A DPR is 1/365th of an APR, but the public agreement does not list any DPR values

A DPR (Daily Periodic Rate) is 1/365th of an APR, rounded to one ten-thousandth of a percentage point. The agreement says "Your DPRs are shown in How Rates and Fees Work in Part 1", but the public Card Member Agreement does not list any DPR in that section; it gives APRs as the Prime Rate plus a margin and no DPR values. This analysis does not compute DPRs from the APRs or take them from another document.

Supporting quotations

DPR: A DPR is 1/365th of an APR, rounded to one ten-thousandth of a percentage point. Your DPRs are shown in How Rates and Fees Work in Part 1.

The DPR is 15.99% divided by 365 days equals 0.0438%

Qualifications & exceptions

• The 15.99% in the example is an assumed illustration, not this card's rate.

Not stated here

• The DPR values for this Account are not shown in the published agreement; the reference to them in Part 1 has nothing to point to here.

Cross-references

• defines (model-proposed): Interest on each balance is average daily balance x daily periodic rate x days in the billing period — The DPR used in the interest formula is defined as 1/365th of an APR.

Charges & Financial Obligations · Context

Worked example: a 15.99% rate, a $2,250 average daily balance and 30 days gives $29.57 of interest

The example assumes a single interest rate of 15.99%, an average daily balance of $2,250 and 30 days in the billing period. The DPR is 15.99% divided by 365 days, which equals 0.0438%. The interest is $2,250 multiplied by 0.0438% multiplied by 30 days, which equals $29.57.

Supporting quotations

Assume that you have a single interest rate of 15.99%, your ADB is $2,250 and there are 30 days in the billing period. The DPR is 15.99% divided by 365 days equals 0.0438%

The Interest is $2,250 multiplied by 0.0438% multiplied by 30 days equals $29.57

Qualifications & exceptions

• The rate in the example is assumed and is not this Account's rate.

Charges & Financial Obligations · Company practice

Daily balances add new charges, subtract payments and credits, and treat negatives as zero

The daily balance for each balance is figured by taking the beginning balance for the day, adding any new charges, subtracting any payments or credits, and making any appropriate adjustments. A new charge is added to a daily balance as of its transaction date, except charges automatically moved from Pay In Full to Pay Over Time on the Closing Date, which are added as of the day after they are moved. If a daily balance is negative, it is treated as zero.

Supporting quotations

Daily Balance: We figure the daily balance for each balance by:

taking the beginning balance for the day,

adding any new charges,

subtracting any payments or credits; and

making any appropriate adjustments.

We add a new charge to a daily balance as of its transaction date, except for charges automatically moved from your Pay In Full balance to your Pay Over Time balance on your Closing Date, which we add to a daily balance as of the day after they are moved to your Pay Over Time balance. If the daily balance is negative, we treat it as zero.

we charge interest from the day after they are added to your Pay Over Time balance until they are paid.

Not stated here

• The "appropriate adjustments" are not described.

Charges & Financial Obligations · Company practice

Interest compounds daily because each day's balance includes the previous day's interest

For the first day of a billing period, the beginning balance is the prior period's ending balance, including unpaid interest. For the rest of the period, the beginning balance is the previous day's daily balance plus interest equal to that daily balance multiplied by the DPR. The agreement states that this method results in daily compounding of interest.

Supporting quotations

Beginning balance: For the first day of a billing period, the beginning balance is the ending balance for the prior billing period, including unpaid interest. For the rest of the billing period, the beginning balance is the previous day's daily balance plus an amount of interest equal to the previous day's daily balance multiplied by the DPR for that balance. This method of figuring the beginning balance results in daily compounding of interest.

Charges & Financial Obligations · Permission or license

The issuer may use other equivalent interest methods and may choose not to charge interest on certain charges

To figure the average daily balance and interest, the issuer may use other formulas or methods that produce equivalent results. It may also choose not to charge interest on certain types of charges.

Supporting quotations

Other methods: To figure the ADB and interest charges, we may use other formulas or methods that produce equivalent results. Also, we may choose not to charge interest on certain types of charges.

Not stated here

• The types of charges on which the issuer may choose not to charge interest are not listed.

Charges & Financial Obligations · Company practice

You agree to pay all reasonable costs, including attorneys' fees, that the issuer incurs to collect amounts you owe

You agree to pay all reasonable costs, including attorneys' fees, that the issuer incurs to collect amounts you owe.

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Collection costs: You agree to pay all reasonable costs, including attorneys' fees, that we incur to collect amounts you owe.

Charges & Financial Obligations · User right or choice

You may close by call or letter; the Annual Fee is refunded only if you close within 30 days of its statement

You may close your Account by calling or writing to the issuer. If an Annual Fee applies, it will be refunded if you notify the issuer that you are voluntarily closing the Account within 30 days after the Closing Date of the billing statement on which the fee appears. For cancellations after those 30 days, the Annual Fee is non-refundable. If your billing address is in the Commonwealth of Massachusetts when you close the Account, this policy does not apply to you. If the Account is cancelled and the issuer re-opens it at your request, it may charge a $25 fee.

Supporting quotations

You may close your Account by calling us or writing to us.

If an Annual Fee applies, we will refund this fee if you notify us that you are voluntarily closing your Account within 30 days after the Closing Date of the billing statement on which that fee appears. For cancellations after this 30-day period, the Annual Fee is non-refundable.

If your billing address is in the Commonwealth of Massachusetts at the time you close your Account, this policy will not apply to you.

If your Account is cancelled and we re-open it at your request, we may charge you a $25 fee.

Qualifications & exceptions

• The refund covers the Annual Fee only if the closing notice comes within 30 days after the Closing Date of the statement on which that fee appears.
• The re-opening fee is stated as something the issuer "may charge"; the fee section states it as $25.

Not stated here

• The passage does not say what refund policy applies to a Massachusetts billing address.

Cross-references

• qualifies (model-proposed): The Annual Fee is $895 — The Annual Fee is refundable only if the Account is closed within 30 days after the Closing Date of the statement showing the fee, and not at all for a Massachusetts billing address.
• referred to by (model-proposed): Additional Platinum Cards cost $195 a year and Companion Platinum Cards $0; refund rules are in Part 3 — The Additional Card annual fee refers to the refund policy in the Closing or suspending your Account sub-section of Part 3.

Charges & Financial Obligations · Permission or license

Paying by check authorizes a one-time electronic debit from your bank, possibly the same day

When you pay by check, you authorize the issuer to use information from your check (such as routing number, account number and check serial number) to make a one-time electronic fund transfer from your bank or other asset account. Your payment may be withdrawn as soon as the same day the issuer receives the check, and you will not receive the check back from your bank or financial institution. In certain circumstances, the issuer may process your payment as a check transaction.

Supporting quotations

When you pay us by check; permission for electronic debit: When you pay us by check, you authorize us to use information from your check (such as routing number, account number and check serial number) to make a one-time electronic fund transfer from your bank or other asset account. When we do this, your payment may be withdrawn from your bank or other asset account as soon as the same day we receive your check, and you will not receive that check back from your bank or financial institution. In certain circumstances, we may process your payment as a check transaction.

Not stated here

• The "certain circumstances" in which a payment is processed as a check transaction are not described.

Charges & Financial Obligations · Company practice

AEEML converts foreign-currency charges to dollars at a rate capped at the highest official or interbank rate

If you make a charge in a foreign currency, AE Exposure Management Ltd. ("AEEML") converts it into U.S. dollars on the date the issuer or its agents process it, and the issuer bills the U.S. dollar amount. Unless a particular rate is required by law, AEEML chooses a rate acceptable to the issuer for that date. The rate is no more than the highest official rate published by a government agency or the highest interbank rate AEEML identifies from customary banking sources on the conversion date or the prior business day, and may differ from rates in effect on the date of your charge. Charges converted by establishments (such as airlines) are billed at the rates they use.

Supporting quotations

Converting charges made in a foreign currency: If you make a charge in a foreign currency, AE Exposure Management Ltd. ("AEEML") will convert it into U.S. dollars on the date we or our agents process it, so that we bill you for the charge in U.S. dollars based upon this conversion.

Unless a particular rate is required by law, AEEML will choose a conversion rate that is acceptable to us for that date. The rate AEEML uses is no more than the highest official rate published by a government agency or the highest interbank rate AEEML identifies from customary banking sources on the conversion date or the prior business day. This rate may differ from rates that are in effect on the date of your charge.

We will bill charges converted by establishments (such as airlines) at the rates they use.

Not stated here

• The agreement does not state the conversion rate or any markup beyond the ceiling described.

Cross-references

• qualifies (model-proposed): The table lists no foreign transaction fee — The table lists no foreign transaction fee, but foreign-currency charges are converted to dollars at the AEEML rate described later.

Charges & Financial Obligations · Context

Oregon notice: service charges will not exceed those permitted by law, and you may pay more than the Minimum Payment Due

For residents of Oregon, the agreement states that service charges not in excess of those permitted by law will be charged on the outstanding balances from month to month. It also states that you may pay more than the Minimum Payment Due, up to your entire outstanding balance, at any time.

Supporting quotations

Notice to Oregon Residents: Service charges not in excess of those permitted by law will be charged on the outstanding balances from month to month. You may pay more than the Minimum Payment Due, up to your entire outstanding balance, at any time.

Qualifications & exceptions

• The notice is addressed to Oregon residents.

Charges & Financial Obligations · User right or choice

Washington notice: no interest owed solely because of a delay in posting a credit

For residents of Washington State, the agreement states that, in accordance with the Revised Code of Washington Statutes, Section 63.14.167, you are not responsible for payment of interest charges that result solely from a merchant's failure to transmit to the issuer within seven working days a credit for goods or services accepted for return or forgiven, if you have notified the issuer of the merchant's delay in posting such credit, or from the issuer's failure to post such credit to your Account within three working days of its receipt of the credit.

Supporting quotations

Notice for residents of Washington State: In accordance with the Revised Code of Washington Statutes, Section 63.14.167, you are not responsible for payment of interest charges that result solely from a merchant's failure to transmit to us within seven working days a credit for goods or services accepted for return or forgiven if you have notified us of the merchant's delay in posting such credit, or our failure to post such credit to your Account within three working days of our receipt of the credit.

Qualifications & exceptions

• The statement applies to residents of Washington State and only to interest that results solely from the delays described.
• The notification condition is written after the merchant-delay clause; the passage does not say whether it also applies to the issuer-delay clause.

Not stated here

• The cited Washington statute (Section 63.14.167) is named but its text is not supplied here.