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Case Number: CACE-20-017496 Division: 05
Filing # 115367701 E-Filed 10/21/2020 02:27:34 PM
IN THE CIRCUIT COURT
17TH JUDICIAL CIRCUIT, IN AND FOR
BROWARD COUNTY, FLORIDA
AMERICAN EXPRESS NATIONAL BANK
Plaintiff,
CASE NO.:
VS. DIVISION:
THOMAS HARTMANN
Defendants.
/
COMPLAINT
Plaintiff(s), AMERICAN EXPRESS NATIONAL BANK, (American Express) by its
attorneys sues defendant(s) THOMAS HARTMANN (“HARTMANN”), and hereby allege(s) as
follows:
GENERAL ALLEGATIONS
AMERICAN EXPRESS NATIONAL BANK! (American Express) is a national bank
under the laws of the United States of America with its office located at 115 W Towne Ridge
Parkway, Sandy, UT 84070 (hereinafter singularly or collectively referenced as “American
Express”).
1 This is an action for damages that does exceed $30,000.00.
2. Upon information and belief, Hartmann was and is at all relevant times an individual
residing in Broward County in the State of Florida, at 9 Portside Drive, Fort Lauderdale, Florida
33316.
[1] On April 1, 2018 American Express Centurion Bank changed its name to American Express National Bank. See,
https://www.occ.treas.gov/topics/licensing/interpretations-and-actions/2018/interpretations-and-actions-jan-
20 See also, 12 U.S.C. § 35; 12 CFR 5.24.
[2] On April 1, 2018 American Express Bank FSB, merged with American Express National Bank with American Express
National Bank as the surviving entity after the merger. See, https://www.occ.treas.gov/topics/licensing/interpretations-and-
actions/2018/interpretations-and-actions-jan-2018.html. See also, 12 U.S.C. § 1828 et seq.
#** FILED: BROWARD COUNTY, FL BRENDA D. FORMAN, CLERK 10/21/2020 02:27:32 PM.****
The Facts
A. The American Express Platinum Card Account
3. At all relevant times, Hartmann was the holder of a(n) American Express Platinum
Card that enabled him/her to charge items to a(n) Platinum Card (Account No. xxxx-XXXXxXx-
x7004) (the “Account”).
4. Atall relevant times, Hartmann was the basic card member on the Account and thus is
responsible for paying all amounts charged to the Platinum Card Account.
5. By accepting and using the Platinum Card, Hartmann agreed to all of the terms and
conditions set forth in the “Platinum Card Member Agreements Agreement Between Platinum
Card Member and American Express Centurion Bank” (the “Cardmember Agreement”). The
Cardmember Agreement was provided to Hartmann with the Platinum Card. A copy of the
cardmember agreement is attached hereto and made a part hereof as Exhibit “A”.
6. The terms of the Cardmember Agreement, include the following:
a. to pay all amounts charged to the Account by either Hartmann or any additional
cardmember or additional account user;
to pay finance charges on unpaid balances;
to pay the “Minimum Amount Due” by the due date indicated on the monthly
billing statements mailed by or on behalf of American Express;
that if the Minimum amount due was not paid by the date given on the monthly
statements the Account would become delinquent and American Express could
assess late fees and declare the Account in default (as that term is used in the
Agreement);
that once Hartmann is in default on the Account, American Express may declare
the entire balance immediately due;
Hartmann further agreed that in the event of default (as that term is used in the
Cardmember Agreement) he/she would pay all reasonable costs incurred by
American Express in protecting itself from any harm it may suffer as a result of the
default; including but not limited to reasonable attorneys’ fees incurred in collecting
the balance due and court costs.
7. Hartmann used the Platinum Card to charge various items to the Account for which
payment never was made.
8. American Express sent monthly statements to Hartmann for the Account, showing the
balance due on the Account. A copy of the statement is attached hereto and made a part hereof as
Exhibit “B”.
9. Hartmann violated the Agreement by refusing to remit the Minimum amount due
indicated by the monthly statements.
10. Hartmann’s failure to pay the Minimum amount due constituted a default under the
Agreement and lead to the account becoming delinquent. As a result, American Express suspended
Hartmann’s charge privileges on the Account and the outstanding balance became due in its
entirety.
11. The account balance is $43,738.27.
B. The American Express Delta SkyMiles Platinum Card Account
12. At all relevant times, Hartmann was the holder of a(n) American Express Delta
SkyMiles Platinum Card that enabled him/her to charge items to a(n) American Express Delta
SkyMiles Platinum (Account No, i'M) (the “Account”).
13. At all relevant times, Hartmann was the basic card member on the Account and thus is
responsible for paying all amounts charged to the American Express Delta SkyMiles Platinum
Account.
14. By accepting and using the American Express Delta SkyMiles Platinum Card,
Hartmann agreed to all of the terms and conditions set forth in the “Agreement Between Delta
SkyMiles Credit Cardmember and American Express Bank, FSB” (the ‘“Cardmember
Agreement”). The Cardmember Agreement was provided to Hartmann with the American Express
Delta SkyMiles Platinum Card. A copy of the cardmember agreement is attached hereto and made
a part hereof as Exhibit “C”.
15. The terms of the Cardmember Agreement, include the following:
a. to pay all amounts charged to the Account by either Hartmann or any additional
cardmember or additional account user;
to pay finance charges on unpaid balances;
to pay the “Minimum Amount Due” by the due date indicated on the monthly
billing statements mailed by or on behalf of American Express;
that if the Minimum amount due was not paid by the date given on the monthly
statements the Account would become delinquent and American Express could
assess late fees and declare the Account in default (as that term is used in the
Agreement);
e that once Hartmann is in default on the Account, American Express may declare
the entire balance immediately due;
Hartmann further agreed that in the event of default (as that term is used in the
Cardmember Agreement) he/she would pay all reasonable costs incurred by
American Express in protecting itself from any harm it may suffer as a result of the
default; including but not limited to reasonable attorneys’ fees incurred in collecting
the balance due and court costs.
16. Hartmann used the Delta SkyMiles Platinum Card to charge various items to the
Account for which payment never was made.
17. American Express sent monthly statements to Hartmann for the Account, showing the
balance due on the Account. A copy of the statement is attached hereto and made a part hereof as
Exhibit “D”.
18. Hartmann violated the Agreement by refusing to remit the Minimum amount due
indicated by the monthly statements.
19. Hartmann’s failure to pay the Minimum amount due constituted a default under the
Agreement and lead to the account becoming delinquent. As a result, American Express suspended
Hartmann’s charge privileges on the Account and the outstanding balance became due in its
entirety.
20. The account balance is $23,119.71.
COUNT I
Breach of Contract
21. Plaintiff(s) repeats and realleges each and every allegation contained in paragraphs 1
through 1 of this complaint as though fully set forth at length herein.
22. Hartmann agreed to pay for all items charged to the Account, plus finance charges and
late fees. In addition, Hartmann agreed to pay American Express court costs and reasonable
attorneys’ fees in the event that American Express must refer the Account to its outside attorneys
for collection.
23. Hartmann is currently indebted to American Express for unpaid card charges, finance
charges and late fees totaling $43,738.27.
24. Despite due demand, Hartmann refuses to pay American Express any portion of the
outstanding balance due and owing.
25. As a result, Hartmann’s refusal to pay the outstanding balance, American Express
referred its claims against Hartmann to its attorneys for collection.
26. Hartmann’s continuing refusal to pay compelled the aforementioned attorneys to
commence the current action, thereby entitling American Express to collect from Hartmann court
costs.
27. By reason of the foregoing, American Express National Bank is entitled to judgment
against Thomas Hartmann for the sum of $43,738.27 for breach of contract plus court costs.
WHEREFORE, Plaintiff(s) American Express National Bank requests judgment
against defendant, Thomas Hartmann in the sum of $43,738.27 plus court costs for such other and
further relief as this Court deems just and proper.
COUNT II
Account Stated
28. Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1
through 11 of this complaint as though fully set forth at length herein.
29. American Express duly issued and sent to Hartmann the monthly statements, which set
forth in detail all items charged to the Cardmember Account and the total minimum amount due
and owing by Hartmann to American Express.
30. Hartmann received the monthly statements without giving protest or indication that
they were erroneous in any respect. Hartmann thereby acknowledged that the debt owed to
American Express, as set forth in the monthly statements, is true and correct.
31. By reason of the foregoing, American Express National Bank is entitled to judgment
against Thomas Hartmann for an account stated in the amount of $43,738.27 plus court costs.
WHEREFORE, Plaintiff(s) American Express National Bank requests judgment
against defendant, Thomas Hartmann in the sum of $43,738.27 plus court costs for such other and
further relief as this Court deems just and proper.
COUNT Il
Unjust Enrichment
32. Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1
through 1 of this complaint as though fully set forth at length herein.
33. Hartmann benefited from all of the charges made to the Account, has acknowledged
receipt of those benefits, and has failed to pay for same.
34. Hartmann has been unjustly enriched to American Express’ detriment.
35. By reason of the foregoing, American Express National Bank is entitled to judgment
against Thomas Hartmann for unjust enrichment in an amount to be determined at trial, plus court
costs.
WHEREFORE, Plaintiff(s) American Express National Bank requests judgment against
defendant, Thomas Hartmann for unjust enrichment in an amount to be determined at trial, plus
court costs.
COUNT IV
Breach of Contract
36. Plaintiff(s) repeats and realleges each and every allegation contained in paragraphs 1,
2, and 12 through 20 of this complaint as though fully set forth at length herein.
37. Hartmann agreed to pay for all items charged to the Account, plus finance charges and
late fees. In addition, Hartmann agreed to pay American Express court costs and reasonable
attorneys’ fees in the event that American Express must refer the Account to its outside attorneys
for collection.
38. Hartmann is currently indebted to American Express for unpaid card charges, finance
charges and late fees totaling $23,119.71.
39. Despite due demand, Hartmann refuses to pay American Express any portion of the
outstanding balance due and owing.
40. As a result, Hartmann’s refusal to pay the outstanding balance, American Express
referred its claims against Hartmann to its attorneys for collection.
41. Hartmann’s continuing refusal to pay compelled the aforementioned attorneys to
commence the current action, thereby entitling American Express to collect from Hartmann court
costs.
42. By reason of the foregoing, American Express National Bank is entitled to judgment
against Thomas Hartmann for the sum of $23,119.71 for breach of contract plus court costs.
WHEREFORE, Plaintiff(s) American Express National Bank requests judgment
against defendant, Thomas Hartmann in the sum of $23,119.71 plus court costs for such other and
further relief as this Court deems just and proper.
COUNT V
Account Stated
43. Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1,
2, and 12 through 20 of this complaint as though fully set forth at length herein.
44. American Express duly issued and sent to Hartmann the monthly statements, which set
forth in detail all items charged to the Cardmember Account and the total minimum amount due
and owing by Hartmann to American Express.
45. Hartmann received the monthly statements without giving protest or indication that
they were erroneous in any respect. Hartmann thereby acknowledged that the debt owed to
American Express, as set forth in the monthly statements, is true and correct.
46. By reason of the foregoing, American Express National Bank is entitled to judgment
against Thomas Hartmann for an account stated in the amount of $23,119.71 plus court costs.
WHEREFORE, Plaintiff(s) American Express National Bank requests judgment
against defendant, Thomas Hartmann in the sum of $23,119.71 plus court costs for such other and
further relief as this Court deems just and proper.
COUNT VI
Unjust Enrichment
47, Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1,
2, and 12 through 20 of this complaint as though fully set forth at length herein.
48. Hartmann benefited from all of the charges made to the Account, has acknowledged
receipt of those benefits, and have failed to pay for same.
49. Hartmann has been unjustly enriched to American Express’ detriment.
50. By reason of the foregoing, American Express National Bank is entitled to judgment
against Thomas Hartmann for unjust enrichment in an amount to be determined at trial, plus court
costs.
WHEREFORE, plaintiff(s) American Express National Bank requests judgment
against defendants, Thomas Hartmann as follows:
(i) As for the first cause of action, plaintiff, American Express National Bank,
requests judgment in the sum of $43,738.27 court costs;
ii) As for the second cause of action of the complaint, plaintiff, American
Express National Bank, requests judgment in an amount of $43,738.27
court costs;
(iii) As for the third cause of action, plaintiff, American Express National
Bank, requests judgment in an amount to be determined at trial, plus court
costs; and
(iv) As for the fourth cause of action, plaintiff, American Express National
Bank, requests judgment in the sum of $23,119.71 court costs;
(vy) As for the fifth cause of action of the complaint, plaintiff, American
Express National Bank, requests judgment in an amount of $23,119.71
court costs;
(vi) As for the sixth cause of action, plaintiff, American Express National
Bank, requests judgment in an amount to be determined at trial, plus court
costs; and
(vii) for such other and further relief as this Court deems just and proper.
/s/ Joshua Knurr.
CO Lisa DiSalle, Esquire
Florida Bar No.: 186236
C] Joshua James Knurr, Esquire
Florida Bar No.: 1016695
Staff Attorneys for the Plaintiff
American Express National Bank
9550 Regency Square Blvd.
Suite 501
Jacksonville, FL 32225
844-641-4041
Primary Email: flpleadings@aexp.com
Secondary Service Email:
Lisa.DiSalle@aexp.com:
Joshua.J. Knurr@aexp.com
EXHIBIT A
Cardmember Agreement: Part 1 of 2 As of: 07/14/2015
Platinum Card® Cardmember Name: THOMAS HARTMANN
Issuer: American Express Centurion Bank Account Ending In: 1007
Fees Table
ty
Annual Membership Fee $450
Transaction Fees
« Foreign Transaction None
Penalty Fees
« Late Payment Up to $38. However, if your account does not have a Pay Over Time feature or balance and
you do not pay for two billing periods in a row, your fee will be $38 or 2.99% of the past due
amount, whichever is greater.
+ Returned Payment Up to $38.
Your Billing Rights: See Part 2 for information on how to exercise your rights to dispute transactions,
(MR CMAEUAOT0000001 997011 997034 Page 1 of 2
How Rates and Fees Work
Penalty APR for new The penalty APR applies to new transactions i If the penalty APR applies to a balance, it will
transactions * you do not pay at least the Minimum Payment apply to charges added to that balance 15 or
Due by the Closing Date of the billing period in more days after we send you notice.
which it is due 3 times in 12 billing periods, We will review your Account every 6 months
you do not pay at least the Minimum Payment after the penalty APR is applied. The penalty
Due by the Closing Date of the billing period in APR will continue to apply until you have
which it is due and you still do not pay it by the made timely payments with no returned
Closing Date of the next billing period, or payments during the 6 months being reviewed.
* your payment is returned by your bank.
Penalty APR for existing if you do not pay at least the Minimum Payment Due within 60 days after its Payment Due Date, we
balances can apply the penalty APR to those balances it does not already apply to. After you pay on time for 6
billing periods in a row, the penalty APR will no longer apply to those balances (but it may still apply to
other balances as described above).
ay
Annual Membership This fee is on the Rates and Fees Table on page 1 of Part 1. We will charge $175 for up to 3 additional
Platinum Cards, $175 for each additional Platinum Card after the first 3, $45 for up to 5 additional Gold
Cards, and $45 for each additional Gold Card thereafter.
Late Payment Accounts without a Pay Over Time Feature
or Balance: Up to $38. However, if you do not pay the
Amount Due for two billing periods in a row, your late fee will be $38 or 2.99% of the past due amount,
whichever is greater.
. Your first late fee is $27. This late fee will be charged if you do not pay the Amount Due on your
billing statement by the Next Closing Date shown on that billing statement.
If you do this again within 6 billing periods, your late fee is $38 instead.
However, if you do not pay the Amount Due for two or more billing periods in a row, your late fee
will be $38 or 2.99% of the past due amount, whichever is greater.
Your late fee will never exceed the Amount Due.
ints with a Pe ver Time Fe ¢ Balan Up to $38.
Your first late fee is $27. This fee will be charged if you do not pay the Minimum Payment Due on
your billing statement by the Next Closing Date shown on that billing statement.
If you do this again within 6 billing periods, your late fee is $38 instead.
Your late fee will never exceed the Minimum Payment Due.
Paying late may also result in a Penalty APR. See Penalty APR for new transactions and Penalty
APR for existing balances above.
Returned Payment Up to $38. If you make a payment that is returned unpaid the first time we present it to your bank, the
fee is $27. If you do this again within the same billing period or the next 6 billing periods, the fee is $38.
However, the returned payment fee will not exceed the applicable Minimum Payment Due. A returned
payment may also result in a penalty APR. See Penalty APR for new transactions above.
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.
Account Re-opening $25 if your Account is cancelled, you ask us to re-open it, and we do so.
Foreign Transaction None
Part 1, Part 2 and any supplements or amendments make up your Cardmember Agreement.
(MES C11AEUA0T0000001 997011 997034 Page 2 of 2
FDR 997011 Doc 27303
Cardmember Agreement: Part 2 of 2
How Your American Express Account Works
Introduction
About your Cardmember This document together with Part 1 make up the When you use the Account (or you sign or keep the
Agreement Cardmember Agreement (Agreement) for the Account card), you agree to the terms of the Agreement.
identified on page 1 of Part 1. Any supplements or
amendments are also part of the Agreement.
Changing the Agreement We may change this Agreement, subject to applicable We cannot increase the interest rate on existing
law. We may do this in response to the business, balances except in limited circumstances. Changes
legal or competitive environment. This written to some terms may require 45 days advance notice,
Agreement is a final expression of the agreement and we will tell you in the notice if you have the right
governing the Account. The written Agreement may to reject a change. We cannot change certain terms
not be contradicted by any alleged oral agreement. during the first year of your Cardmembership.
Words we use in the We, us, and our mean the issuer shown on page Card means any card or other device that we issue
Agreement 1 of Part 1. You and your mean the person who to access your Account. A charge is any amount
applied for this Account and for whom we opened added to your Account, such as purchases, fees and
the Account. You and your also mean anyone interest charges. A purchase is a charge for goods or
who agrees to pay for this Account. You are the services.
Basic Cardmember. You may request a card for To pay by a certain date means to send your payment
an Additional Cardmember (see About Additional so that we receive it and credit it to your Account by
Cardmembers in Part 2). that date (see About your payments in Part 2).
About using your card
Using the card You may use the card to make purchases. You may We may (but are not required to) tell these merchants
also use the card at an ATM to get cash from a if your expiration date or card number changes or
checking account you designate. if your account is cancelled. You must notify the
merchants directly if you want them to stop charging
We decide whether to approve a charge based on your Account.
how you spend and pay on this Account and other
accounts you have with us and our affiliates. We Keep your card safe and don't let anyone else use it.
also consider your credit history and your personal if your card is lost or stolen or your Account is being
resources that we know about. used without your permission, contact us right away.
You may arrange for certain merchants to store You may not use your Account for illegal activities.
your card number and expiration date, so that, for
example:
1 the merchant may charge your account at regular
intervals; or
1 you may make charges using that stored card
information.
Promise to pay You promise to pay all charges, including:
1 charges you make, even if you do not present your card or sign for the transaction,
1 charges that other people make if you let them use your Account, and
1_ charges that Additional Cardmembers make or permit others to make.
Declined transactions We may decline to authorize a charge. Reasons We are not responsible for any losses you incur
we may do this include suspected fraud and our if we do not authorize a charge. And we are not
assessment of your creditworthiness. This may occur responsible if any merchant refuses to accept the
even if your Account is not in default. card.
About Pay Over Time features We may add features to your Account that allow you A charge is eligible if it equals or is more than a
to pay certain charges over time. These features certain dollar amount. We will tell you this amount
include Select & Pay Later, Sign & Travel’ and the when you enroll, and it is subject to change. We
Extended Payment Option. will tell you if we change it. Certain charges are not
eligible, such as cash and similar transactions.
Select & Pay Later allows you to request that eligible
purchases be moved to your Pay Over Time balance We assign a Pay Over Time limit to your Account.
after the charge appears on your statement. If we We will not place any charge into a Pay Over Time
approve your request, we will place the charge in balance if it causes the total of your Pay Over Time
your Pay Over Time balance. If we decline your balances to go over your Pay Over Time limit. We
request, you must pay the charge in full upon receipt may reduce or increase this amount, We may do so
of your billing statement. even if you pay on time and your Account is not in
default. We will tell you if we change that amount. You
If you enroll in Sign & Travel, we will automatically must pay in full upon receipt of your billing statement
place eligible travel-related charges into a Pay all charges that are not placed into a Pay Over Time
Over Time balance. Some examples are airline and balance. We may change which charges are eligible
cruise ship tickets, hotels, car rentals and charges to be placed into a Pay Over Time balance.
made outside the U.S. If you enroll in the Extended
Payment Option, we will automatically place all
eligible charges into a Pay Over Time balance.
Version 997011 Page 1 of 8
About your payments
When you must pay Payment of the New Balance is due upon receipt of Each statement also shows a Closing Date. The
your statement. If a statement includes a Pay Over Closing Date is the last day of the billing period
Time balance, it will show a Minimum Payment Due. covered by the statement. Each Closing Date is about
In this case, you must pay at least the Minimum 30 days after the previous statement's Closing Date.
Payment Due by the Payment Due Date. Each Each statement also shows a Next Closing Date.
statement also states the time and manner by which
you must make your payment for it to be credited as
of the same day it is received
How to make payments Make payments to us in U.S. dollars with: time, we will credit the payment on the day after we
1 asingle check drawn on a U.S. bank, or receive it.
1 a single negotiable instrument clearable through If your payment does not meet the above
the U.S. banking system, for example a money
order, or tequirements, there may be a delay in crediting your
an electronic payment that can be cleared through Account. This may result in late fees and additional
interest charges (see How Rates and Fees Work on
the U.S. banking system.
page 2 of Part 1).
When making a payment by mei
make a separate payment for each account, if we decide to accept a payment made in a foreign
{ mail your payment to the address shown on the currency, we will choose a rate to convert your
ymMent coupon on your billing statement, and payment into U.S. dollars, untess the law requires us
1 write your Account number on your check or to use a particular rate.
negotiable instrument and include the payment
coupon. If we process a late payment, a partial payment, or a
If your payment meets the above requirements, we payment marked with any restrictive language, that
will credit it to your Account as of the day we receive will have no effect on our rights and will not change
it, as long as we receive it by the time disclosed in this Agreement.
your billing statement. If we receive it after that
How we apply payments and If a statement includes a Pay Over Time balance, it Alter the Minimum Payment Due has been paid, we
credits will show a Minimum Payment Due. The Minimum apply payments to the remaining Pay Over Time
Payment Due is the Pay In Full New Balance plus the balance. When we do this, we apply payments first to
Pay Over Time Minimum Due. the balance with the highest interest rate and then to
balances with lower interest rates.
If you have a Pay Over Time balance, we generally
apply payments-up to the Minimum Payment Due-first In most cases, we apply a credit to the same balance
to the Pay Over Time Minimum Due and then to the as the related charge. We may apply payments and
Pay In Full New Balance. When applying a payment credits within balances, and among balances with the
to the Pay Over Time Minimum Due, we apply it first same interest rate, in any order we choose.
to the balance with the lowest interest rate and then to
balances with higher interest rates.
About your Minimum Payment Due
How we calculate your The Minimum Payment Due is the Pay In Full amount plus any Pay Over Time Minimum Due. To calculate the
Minimum Payment Due Pay Over Time Minimum Due for each statement, we start with the higher of:
(1) interest charged on the statement plus 1% of the
Pay Over Time New Balance (excluding interest on EXAMPLE: Assume that you have a Pay Over
the statement); or Time New Balance of $3,000, interest of $29.57, no
(2) $35. amounts past due, and a $400 Pay In Full amount.
Then we round to the nearest dollar and add any Pay (1)$29.57 + 1% x ($3,000 - $29.57) = $59.27
Over Time amount past due. Your Pay Over Time (2) $35
Minimum Due will not exceed your Pay Over Time
New Balance, You may pay more than the Minimum The higher of (1) or (2) is $59.27, which rounds to
Payment Due, up to your entire outstanding balance, $59.00. The Pay Over Time Minimum Due of $59.00
at any time. plus the Pay in Full amount of $400 together make up
the Minimum Payment Due of $459.00.
About interest charges on Pay Over Time balances
When we charge interest For transactions added to pay over time balances at your request (for example, Select & Pay Later), we
charge interest from the date they are added to a pay over time balance until they are paid.
For transactions added automatically to a pay over time balance (for example, Sign & Travel and Extended
Payment Option), we charge interest from the transaction date until they are paid. However, we will not charge
interest on these transactions if:
1 your Pay Over Time Previous Balance for the billing period is zero; or
1 you paid the Account Total Previous Balance for each of the previous two billing periods in full by the closing
date shown on their respective statements.
Version 997011 Page 2 of 8
How we calculate interest We calculate interest for a billing period by first figuring the interest on each balance. Balances within each
feature-such as Select & Pay Later, Sign & Travel and Extended Payment Option-may have different interest
rates.
We use the Average Daily Balance method Daily Balance
(including new transactions) to figure interest For each day a DPR is in effect, we figure the daily
charges for each balance. The total interest charged balance by:
for a billing period is the sum of the interest charged 1 taking the beginning balance for the day,
on each balance. 1 adding any new charges,
1 subtracting any payments or credits; and
Interest 1. making any appropriate adjustments.
The interest charged for a balance in a billing period, We add a new charge to a daily balance as of its
except for variations caused by rounding, equals: transaction date.
1 Average Daily Balance (ADB) x Beginning balance
1 Daily Periodic Rate (DPR) x For the first day ofa billing period, the beginning
1 number of days the DPR was in effect. balance is the ending balance for the prior billing
ADB period, including unpaid interest. For the rest of the
To get the ADB for a balance, we add up its daily billing period, the beginning balance is the previous
balances. Then we divide the result by the number day's daily balance plus an amount of interest equal
of days the DPR for that balance was in effect. If the to the previous day's daily balance multiplied by the
daily balance is negative, we treat it as zero. DPR for that balance. This method of figuring the
DPR beginning balance results in daily compounding of
A DPR is 1/365th of an APR, rounded to one interest.
tenthousandth of a percentage point. Your DPRs are When an interest rate changes, the new DPR may
shown in How Rates and Fees Work on page 2 of come into effect during-not just at the beginning of-
Part 1. the billing period. When this happens, we will create
a new balance and apply the new DPR to it. To get
the beginning balance on the first day for this new
balance, we multiply the previous day's daily balance
terest rate by the old DPR and add the result to that day's daily
are
30 days balance.
Other methods:
04: 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.
Determining the Prime Rate We use the Prime Rate from the rates section of The Wall Street Journal. The Prime Rate for each billing period
is the Prime Rate published in The Wall Street Journal 2 days before the Closing Date of the billing period.
The Wall Street Journal may not publish the Prime Rate on that day. If it does not, we will use the Prime Rate
from the previous day it was published. If The Wall Street Journal is no longer published, we may use the Prime
Rate from any other newspaper of general circulation in New York, New York. Or we may choose to use a
similar published rate.
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.
Other important information
About Additional At your request, we may issue cards to Additional You authorize us to give Additional Cardmembers
Cardmembers Cardmembers. They do not have accounts with us information about your Account and to discuss it with
but they can use your Account subject to the terms them.
of this Agreement. We may report an Additional If you want to cancel an Additional Cardmember's
Cardmember's use of your Account to credit reporting right to use your Account (and cancel their card) you
agencies. must tell us.
You are responsible for all use of your Account by
Additional Cardmembers and anyone they allow to
use your Account, You must pay for all charges they
make.
Converting charges made ina If you make a charge in a foreign currency, we will convert it into U.S. dollars on the date we or our agents
foreign currency process it. Unless a particular rate is required by law, we will choose a conversion rate that is acceptable to us
for that date. The rate we use is no more than the highest official rate published by a government agency or the
highest interbank rate we identify 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.
Changing your billing address. You must notify us immediately if you change the: If you have more than one account, you need to notify
1 mailing address where we send billing statements; us separately for each account.
or We may update your billing address if we receive
1 e-mail address to which we send notice that your
information that it has changed or is incorrect.
billing statement is available online.
Closing your Account You may close your Account by calling us or writing to us.
Version 997011 Page 3 of 8
We may do any of these things at our discretion, even
Cancelling or suspending your
Account : le cancel
may:
your Account,
suspend the ability to make charges,
if you pay on time and your Account is not in default.
1
1 cancel or suspend any feature on your Account,
If your Account is cancelled, you must destroy your
cards.
and
1 notify merchants that your Account has been We may agree to reinstate your Account after a
cancelled or suspended. cancellation. If we do this, we may:
If we do any of these, you must still pay us for all 1 reinstate any additional cards issued on your
charges under the terms of this Agreement. Account,
1. charge you any applicable annual
Preview
Case Number: CACE-20-017496 Division: 05 Filing # 115367701 E-Filed 10/21/2020 02:27:34 PM IN THE CIRCUIT COURT 17TH JUDICIAL CIRCUIT, IN AND FOR BROWARD COUNTY, FLORIDA AMERICAN EXPRESS NATIONAL BANK Plaintiff, CASE NO.: VS. DIVISION: THOMAS HARTMANN Defendants. / COMPLAINT Plaintiff(s), AMERICAN EXPRESS NATIONAL BANK, (American Express) by its attorneys sues defendant(s) THOMAS HARTMANN (“HARTMANN”), and hereby allege(s) as follows: GENERAL ALLEGATIONS AMERICAN EXPRESS NATIONAL BANK! (American Express) is a national bank under the laws of the United States of America with its office located at 115 W Towne Ridge Parkway, Sandy, UT 84070 (hereinafter singularly or collectively referenced as “American Express”). 1 This is an action for damages that does exceed $30,000.00. 2. Upon information and belief, Hartmann was and is at all relevant times an individual residing in Broward County in the State of Florida, at 9 Portside Drive, Fort Lauderdale, Florida 33316. [1] On April 1, 2018 American Express Centurion Bank changed its name to American Express National Bank. See, https://www.occ.treas.gov/topics/licensing/interpretations-and-actions/2018/interpretations-and-actions-jan- 20 See also, 12 U.S.C. § 35; 12 CFR 5.24. [2] On April 1, 2018 American Express Bank FSB, merged with American Express National Bank with American Express National Bank as the surviving entity after the merger. See, https://www.occ.treas.gov/topics/licensing/interpretations-and- actions/2018/interpretations-and-actions-jan-2018.html. See also, 12 U.S.C. § 1828 et seq. #** FILED: BROWARD COUNTY, FL BRENDA D. FORMAN, CLERK 10/21/2020 02:27:32 PM.**** The Facts A. The American Express Platinum Card Account 3. At all relevant times, Hartmann was the holder of a(n) American Express Platinum Card that enabled him/her to charge items to a(n) Platinum Card (Account No. xxxx-XXXXxXx- x7004) (the “Account”). 4. Atall relevant times, Hartmann was the basic card member on the Account and thus is responsible for paying all amounts charged to the Platinum Card Account. 5. By accepting and using the Platinum Card, Hartmann agreed to all of the terms and conditions set forth in the “Platinum Card Member Agreements Agreement Between Platinum Card Member and American Express Centurion Bank” (the “Cardmember Agreement”). The Cardmember Agreement was provided to Hartmann with the Platinum Card. A copy of the cardmember agreement is attached hereto and made a part hereof as Exhibit “A”. 6. The terms of the Cardmember Agreement, include the following: a. to pay all amounts charged to the Account by either Hartmann or any additional cardmember or additional account user; to pay finance charges on unpaid balances; to pay the “Minimum Amount Due” by the due date indicated on the monthly billing statements mailed by or on behalf of American Express; that if the Minimum amount due was not paid by the date given on the monthly statements the Account would become delinquent and American Express could assess late fees and declare the Account in default (as that term is used in the Agreement); that once Hartmann is in default on the Account, American Express may declare the entire balance immediately due; Hartmann further agreed that in the event of default (as that term is used in the Cardmember Agreement) he/she would pay all reasonable costs incurred by American Express in protecting itself from any harm it may suffer as a result of the default; including but not limited to reasonable attorneys’ fees incurred in collecting the balance due and court costs. 7. Hartmann used the Platinum Card to charge various items to the Account for which payment never was made. 8. American Express sent monthly statements to Hartmann for the Account, showing the balance due on the Account. A copy of the statement is attached hereto and made a part hereof as Exhibit “B”. 9. Hartmann violated the Agreement by refusing to remit the Minimum amount due indicated by the monthly statements. 10. Hartmann’s failure to pay the Minimum amount due constituted a default under the Agreement and lead to the account becoming delinquent. As a result, American Express suspended Hartmann’s charge privileges on the Account and the outstanding balance became due in its entirety. 11. The account balance is $43,738.27. B. The American Express Delta SkyMiles Platinum Card Account 12. At all relevant times, Hartmann was the holder of a(n) American Express Delta SkyMiles Platinum Card that enabled him/her to charge items to a(n) American Express Delta SkyMiles Platinum (Account No, i'M) (the “Account”). 13. At all relevant times, Hartmann was the basic card member on the Account and thus is responsible for paying all amounts charged to the American Express Delta SkyMiles Platinum Account. 14. By accepting and using the American Express Delta SkyMiles Platinum Card, Hartmann agreed to all of the terms and conditions set forth in the “Agreement Between Delta SkyMiles Credit Cardmember and American Express Bank, FSB” (the ‘“Cardmember Agreement”). The Cardmember Agreement was provided to Hartmann with the American Express Delta SkyMiles Platinum Card. A copy of the cardmember agreement is attached hereto and made a part hereof as Exhibit “C”. 15. The terms of the Cardmember Agreement, include the following: a. to pay all amounts charged to the Account by either Hartmann or any additional cardmember or additional account user; to pay finance charges on unpaid balances; to pay the “Minimum Amount Due” by the due date indicated on the monthly billing statements mailed by or on behalf of American Express; that if the Minimum amount due was not paid by the date given on the monthly statements the Account would become delinquent and American Express could assess late fees and declare the Account in default (as that term is used in the Agreement); e that once Hartmann is in default on the Account, American Express may declare the entire balance immediately due; Hartmann further agreed that in the event of default (as that term is used in the Cardmember Agreement) he/she would pay all reasonable costs incurred by American Express in protecting itself from any harm it may suffer as a result of the default; including but not limited to reasonable attorneys’ fees incurred in collecting the balance due and court costs. 16. Hartmann used the Delta SkyMiles Platinum Card to charge various items to the Account for which payment never was made. 17. American Express sent monthly statements to Hartmann for the Account, showing the balance due on the Account. A copy of the statement is attached hereto and made a part hereof as Exhibit “D”. 18. Hartmann violated the Agreement by refusing to remit the Minimum amount due indicated by the monthly statements. 19. Hartmann’s failure to pay the Minimum amount due constituted a default under the Agreement and lead to the account becoming delinquent. As a result, American Express suspended Hartmann’s charge privileges on the Account and the outstanding balance became due in its entirety. 20. The account balance is $23,119.71. COUNT I Breach of Contract 21. Plaintiff(s) repeats and realleges each and every allegation contained in paragraphs 1 through 1 of this complaint as though fully set forth at length herein. 22. Hartmann agreed to pay for all items charged to the Account, plus finance charges and late fees. In addition, Hartmann agreed to pay American Express court costs and reasonable attorneys’ fees in the event that American Express must refer the Account to its outside attorneys for collection. 23. Hartmann is currently indebted to American Express for unpaid card charges, finance charges and late fees totaling $43,738.27. 24. Despite due demand, Hartmann refuses to pay American Express any portion of the outstanding balance due and owing. 25. As a result, Hartmann’s refusal to pay the outstanding balance, American Express referred its claims against Hartmann to its attorneys for collection. 26. Hartmann’s continuing refusal to pay compelled the aforementioned attorneys to commence the current action, thereby entitling American Express to collect from Hartmann court costs. 27. By reason of the foregoing, American Express National Bank is entitled to judgment against Thomas Hartmann for the sum of $43,738.27 for breach of contract plus court costs. WHEREFORE, Plaintiff(s) American Express National Bank requests judgment against defendant, Thomas Hartmann in the sum of $43,738.27 plus court costs for such other and further relief as this Court deems just and proper. COUNT II Account Stated 28. Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1 through 11 of this complaint as though fully set forth at length herein. 29. American Express duly issued and sent to Hartmann the monthly statements, which set forth in detail all items charged to the Cardmember Account and the total minimum amount due and owing by Hartmann to American Express. 30. Hartmann received the monthly statements without giving protest or indication that they were erroneous in any respect. Hartmann thereby acknowledged that the debt owed to American Express, as set forth in the monthly statements, is true and correct. 31. By reason of the foregoing, American Express National Bank is entitled to judgment against Thomas Hartmann for an account stated in the amount of $43,738.27 plus court costs. WHEREFORE, Plaintiff(s) American Express National Bank requests judgment against defendant, Thomas Hartmann in the sum of $43,738.27 plus court costs for such other and further relief as this Court deems just and proper. COUNT Il Unjust Enrichment 32. Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1 through 1 of this complaint as though fully set forth at length herein. 33. Hartmann benefited from all of the charges made to the Account, has acknowledged receipt of those benefits, and has failed to pay for same. 34. Hartmann has been unjustly enriched to American Express’ detriment. 35. By reason of the foregoing, American Express National Bank is entitled to judgment against Thomas Hartmann for unjust enrichment in an amount to be determined at trial, plus court costs. WHEREFORE, Plaintiff(s) American Express National Bank requests judgment against defendant, Thomas Hartmann for unjust enrichment in an amount to be determined at trial, plus court costs. COUNT IV Breach of Contract 36. Plaintiff(s) repeats and realleges each and every allegation contained in paragraphs 1, 2, and 12 through 20 of this complaint as though fully set forth at length herein. 37. Hartmann agreed to pay for all items charged to the Account, plus finance charges and late fees. In addition, Hartmann agreed to pay American Express court costs and reasonable attorneys’ fees in the event that American Express must refer the Account to its outside attorneys for collection. 38. Hartmann is currently indebted to American Express for unpaid card charges, finance charges and late fees totaling $23,119.71. 39. Despite due demand, Hartmann refuses to pay American Express any portion of the outstanding balance due and owing. 40. As a result, Hartmann’s refusal to pay the outstanding balance, American Express referred its claims against Hartmann to its attorneys for collection. 41. Hartmann’s continuing refusal to pay compelled the aforementioned attorneys to commence the current action, thereby entitling American Express to collect from Hartmann court costs. 42. By reason of the foregoing, American Express National Bank is entitled to judgment against Thomas Hartmann for the sum of $23,119.71 for breach of contract plus court costs. WHEREFORE, Plaintiff(s) American Express National Bank requests judgment against defendant, Thomas Hartmann in the sum of $23,119.71 plus court costs for such other and further relief as this Court deems just and proper. COUNT V Account Stated 43. Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1, 2, and 12 through 20 of this complaint as though fully set forth at length herein. 44. American Express duly issued and sent to Hartmann the monthly statements, which set forth in detail all items charged to the Cardmember Account and the total minimum amount due and owing by Hartmann to American Express. 45. Hartmann received the monthly statements without giving protest or indication that they were erroneous in any respect. Hartmann thereby acknowledged that the debt owed to American Express, as set forth in the monthly statements, is true and correct. 46. By reason of the foregoing, American Express National Bank is entitled to judgment against Thomas Hartmann for an account stated in the amount of $23,119.71 plus court costs. WHEREFORE, Plaintiff(s) American Express National Bank requests judgment against defendant, Thomas Hartmann in the sum of $23,119.71 plus court costs for such other and further relief as this Court deems just and proper. COUNT VI Unjust Enrichment 47, Plaintiff(s) repeats and re-alleges each and every allegation contained in paragraphs 1, 2, and 12 through 20 of this complaint as though fully set forth at length herein. 48. Hartmann benefited from all of the charges made to the Account, has acknowledged receipt of those benefits, and have failed to pay for same. 49. Hartmann has been unjustly enriched to American Express’ detriment. 50. By reason of the foregoing, American Express National Bank is entitled to judgment against Thomas Hartmann for unjust enrichment in an amount to be determined at trial, plus court costs. WHEREFORE, plaintiff(s) American Express National Bank requests judgment against defendants, Thomas Hartmann as follows: (i) As for the first cause of action, plaintiff, American Express National Bank, requests judgment in the sum of $43,738.27 court costs; ii) As for the second cause of action of the complaint, plaintiff, American Express National Bank, requests judgment in an amount of $43,738.27 court costs; (iii) As for the third cause of action, plaintiff, American Express National Bank, requests judgment in an amount to be determined at trial, plus court costs; and (iv) As for the fourth cause of action, plaintiff, American Express National Bank, requests judgment in the sum of $23,119.71 court costs; (vy) As for the fifth cause of action of the complaint, plaintiff, American Express National Bank, requests judgment in an amount of $23,119.71 court costs; (vi) As for the sixth cause of action, plaintiff, American Express National Bank, requests judgment in an amount to be determined at trial, plus court costs; and (vii) for such other and further relief as this Court deems just and proper. /s/ Joshua Knurr. CO Lisa DiSalle, Esquire Florida Bar No.: 186236 C] Joshua James Knurr, Esquire Florida Bar No.: 1016695 Staff Attorneys for the Plaintiff American Express National Bank 9550 Regency Square Blvd. Suite 501 Jacksonville, FL 32225 844-641-4041 Primary Email: flpleadings@aexp.com Secondary Service Email: Lisa.DiSalle@aexp.com: Joshua.J. Knurr@aexp.com EXHIBIT A Cardmember Agreement: Part 1 of 2 As of: 07/14/2015 Platinum Card® Cardmember Name: THOMAS HARTMANN Issuer: American Express Centurion Bank Account Ending In: 1007 Fees Table ty Annual Membership Fee $450 Transaction Fees « Foreign Transaction None Penalty Fees « Late Payment Up to $38. However, if your account does not have a Pay Over Time feature or balance and you do not pay for two billing periods in a row, your fee will be $38 or 2.99% of the past due amount, whichever is greater. + Returned Payment Up to $38. Your Billing Rights: See Part 2 for information on how to exercise your rights to dispute transactions, (MR CMAEUAOT0000001 997011 997034 Page 1 of 2 How Rates and Fees Work Penalty APR for new The penalty APR applies to new transactions i If the penalty APR applies to a balance, it will transactions * you do not pay at least the Minimum Payment apply to charges added to that balance 15 or Due by the Closing Date of the billing period in more days after we send you notice. which it is due 3 times in 12 billing periods, We will review your Account every 6 months you do not pay at least the Minimum Payment after the penalty APR is applied. The penalty Due by the Closing Date of the billing period in APR will continue to apply until you have which it is due and you still do not pay it by the made timely payments with no returned Closing Date of the next billing period, or payments during the 6 months being reviewed. * your payment is returned by your bank. Penalty APR for existing if you do not pay at least the Minimum Payment Due within 60 days after its Payment Due Date, we balances can apply the penalty APR to those balances it does not already apply to. After you pay on time for 6 billing periods in a row, the penalty APR will no longer apply to those balances (but it may still apply to other balances as described above). ay Annual Membership This fee is on the Rates and Fees Table on page 1 of Part 1. We will charge $175 for up to 3 additional Platinum Cards, $175 for each additional Platinum Card after the first 3, $45 for up to 5 additional Gold Cards, and $45 for each additional Gold Card thereafter. Late Payment Accounts without a Pay Over Time Feature or Balance: Up to $38. However, if you do not pay the Amount Due for two billing periods in a row, your late fee will be $38 or 2.99% of the past due amount, whichever is greater. . Your first late fee is $27. This late fee will be charged if you do not pay the Amount Due on your billing statement by the Next Closing Date shown on that billing statement. If you do this again within 6 billing periods, your late fee is $38 instead. However, if you do not pay the Amount Due for two or more billing periods in a row, your late fee will be $38 or 2.99% of the past due amount, whichever is greater. Your late fee will never exceed the Amount Due. ints with a Pe ver Time Fe ¢ Balan Up to $38. Your first late fee is $27. This fee will be charged if you do not pay the Minimum Payment Due on your billing statement by the Next Closing Date shown on that billing statement. If you do this again within 6 billing periods, your late fee is $38 instead. Your late fee will never exceed the Minimum Payment Due. Paying late may also result in a Penalty APR. See Penalty APR for new transactions and Penalty APR for existing balances above. Returned Payment Up to $38. If you make a payment that is returned unpaid the first time we present it to your bank, the fee is $27. If you do this again within the same billing period or the next 6 billing periods, the fee is $38. However, the returned payment fee will not exceed the applicable Minimum Payment Due. A returned payment may also result in a penalty APR. See Penalty APR for new transactions above. 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. Account Re-opening $25 if your Account is cancelled, you ask us to re-open it, and we do so. Foreign Transaction None Part 1, Part 2 and any supplements or amendments make up your Cardmember Agreement. (MES C11AEUA0T0000001 997011 997034 Page 2 of 2 FDR 997011 Doc 27303 Cardmember Agreement: Part 2 of 2 How Your American Express Account Works Introduction About your Cardmember This document together with Part 1 make up the When you use the Account (or you sign or keep the Agreement Cardmember Agreement (Agreement) for the Account card), you agree to the terms of the Agreement. identified on page 1 of Part 1. Any supplements or amendments are also part of the Agreement. Changing the Agreement We may change this Agreement, subject to applicable We cannot increase the interest rate on existing law. We may do this in response to the business, balances except in limited circumstances. Changes legal or competitive environment. This written to some terms may require 45 days advance notice, Agreement is a final expression of the agreement and we will tell you in the notice if you have the right governing the Account. The written Agreement may to reject a change. We cannot change certain terms not be contradicted by any alleged oral agreement. during the first year of your Cardmembership. Words we use in the We, us, and our mean the issuer shown on page Card means any card or other device that we issue Agreement 1 of Part 1. You and your mean the person who to access your Account. A charge is any amount applied for this Account and for whom we opened added to your Account, such as purchases, fees and the Account. You and your also mean anyone interest charges. A purchase is a charge for goods or who agrees to pay for this Account. You are the services. Basic Cardmember. You may request a card for To pay by a certain date means to send your payment an Additional Cardmember (see About Additional so that we receive it and credit it to your Account by Cardmembers in Part 2). that date (see About your payments in Part 2). About using your card Using the card You may use the card to make purchases. You may We may (but are not required to) tell these merchants also use the card at an ATM to get cash from a if your expiration date or card number changes or checking account you designate. if your account is cancelled. You must notify the merchants directly if you want them to stop charging We decide whether to approve a charge based on your Account. how you spend and pay on this Account and other accounts you have with us and our affiliates. We Keep your card safe and don't let anyone else use it. also consider your credit history and your personal if your card is lost or stolen or your Account is being resources that we know about. used without your permission, contact us right away. You may arrange for certain merchants to store You may not use your Account for illegal activities. your card number and expiration date, so that, for example: 1 the merchant may charge your account at regular intervals; or 1 you may make charges using that stored card information. Promise to pay You promise to pay all charges, including: 1 charges you make, even if you do not present your card or sign for the transaction, 1 charges that other people make if you let them use your Account, and 1_ charges that Additional Cardmembers make or permit others to make. Declined transactions We may decline to authorize a charge. Reasons We are not responsible for any losses you incur we may do this include suspected fraud and our if we do not authorize a charge. And we are not assessment of your creditworthiness. This may occur responsible if any merchant refuses to accept the even if your Account is not in default. card. About Pay Over Time features We may add features to your Account that allow you A charge is eligible if it equals or is more than a to pay certain charges over time. These features certain dollar amount. We will tell you this amount include Select & Pay Later, Sign & Travel’ and the when you enroll, and it is subject to change. We Extended Payment Option. will tell you if we change it. Certain charges are not eligible, such as cash and similar transactions. Select & Pay Later allows you to request that eligible purchases be moved to your Pay Over Time balance We assign a Pay Over Time limit to your Account. after the charge appears on your statement. If we We will not place any charge into a Pay Over Time approve your request, we will place the charge in balance if it causes the total of your Pay Over Time your Pay Over Time balance. If we decline your balances to go over your Pay Over Time limit. We request, you must pay the charge in full upon receipt may reduce or increase this amount, We may do so of your billing statement. even if you pay on time and your Account is not in default. We will tell you if we change that amount. You If you enroll in Sign & Travel, we will automatically must pay in full upon receipt of your billing statement place eligible travel-related charges into a Pay all charges that are not placed into a Pay Over Time Over Time balance. Some examples are airline and balance. We may change which charges are eligible cruise ship tickets, hotels, car rentals and charges to be placed into a Pay Over Time balance. made outside the U.S. If you enroll in the Extended Payment Option, we will automatically place all eligible charges into a Pay Over Time balance. Version 997011 Page 1 of 8 About your payments When you must pay Payment of the New Balance is due upon receipt of Each statement also shows a Closing Date. The your statement. If a statement includes a Pay Over Closing Date is the last day of the billing period Time balance, it will show a Minimum Payment Due. covered by the statement. Each Closing Date is about In this case, you must pay at least the Minimum 30 days after the previous statement's Closing Date. Payment Due by the Payment Due Date. Each Each statement also shows a Next Closing Date. statement also states the time and manner by which you must make your payment for it to be credited as of the same day it is received How to make payments Make payments to us in U.S. dollars with: time, we will credit the payment on the day after we 1 asingle check drawn on a U.S. bank, or receive it. 1 a single negotiable instrument clearable through If your payment does not meet the above the U.S. banking system, for example a money order, or tequirements, there may be a delay in crediting your an electronic payment that can be cleared through Account. This may result in late fees and additional interest charges (see How Rates and Fees Work on the U.S. banking system. page 2 of Part 1). When making a payment by mei make a separate payment for each account, if we decide to accept a payment made in a foreign { mail your payment to the address shown on the currency, we will choose a rate to convert your ymMent coupon on your billing statement, and payment into U.S. dollars, untess the law requires us 1 write your Account number on your check or to use a particular rate. negotiable instrument and include the payment coupon. If we process a late payment, a partial payment, or a If your payment meets the above requirements, we payment marked with any restrictive language, that will credit it to your Account as of the day we receive will have no effect on our rights and will not change it, as long as we receive it by the time disclosed in this Agreement. your billing statement. If we receive it after that How we apply payments and If a statement includes a Pay Over Time balance, it Alter the Minimum Payment Due has been paid, we credits will show a Minimum Payment Due. The Minimum apply payments to the remaining Pay Over Time Payment Due is the Pay In Full New Balance plus the balance. When we do this, we apply payments first to Pay Over Time Minimum Due. the balance with the highest interest rate and then to balances with lower interest rates. If you have a Pay Over Time balance, we generally apply payments-up to the Minimum Payment Due-first In most cases, we apply a credit to the same balance to the Pay Over Time Minimum Due and then to the as the related charge. We may apply payments and Pay In Full New Balance. When applying a payment credits within balances, and among balances with the to the Pay Over Time Minimum Due, we apply it first same interest rate, in any order we choose. to the balance with the lowest interest rate and then to balances with higher interest rates. About your Minimum Payment Due How we calculate your The Minimum Payment Due is the Pay In Full amount plus any Pay Over Time Minimum Due. To calculate the Minimum Payment Due Pay Over Time Minimum Due for each statement, we start with the higher of: (1) interest charged on the statement plus 1% of the Pay Over Time New Balance (excluding interest on EXAMPLE: Assume that you have a Pay Over the statement); or Time New Balance of $3,000, interest of $29.57, no (2) $35. amounts past due, and a $400 Pay In Full amount. Then we round to the nearest dollar and add any Pay (1)$29.57 + 1% x ($3,000 - $29.57) = $59.27 Over Time amount past due. Your Pay Over Time (2) $35 Minimum Due will not exceed your Pay Over Time New Balance, You may pay more than the Minimum The higher of (1) or (2) is $59.27, which rounds to Payment Due, up to your entire outstanding balance, $59.00. The Pay Over Time Minimum Due of $59.00 at any time. plus the Pay in Full amount of $400 together make up the Minimum Payment Due of $459.00. About interest charges on Pay Over Time balances When we charge interest For transactions added to pay over time balances at your request (for example, Select & Pay Later), we charge interest from the date they are added to a pay over time balance until they are paid. For transactions added automatically to a pay over time balance (for example, Sign & Travel and Extended Payment Option), we charge interest from the transaction date until they are paid. However, we will not charge interest on these transactions if: 1 your Pay Over Time Previous Balance for the billing period is zero; or 1 you paid the Account Total Previous Balance for each of the previous two billing periods in full by the closing date shown on their respective statements. Version 997011 Page 2 of 8 How we calculate interest We calculate interest for a billing period by first figuring the interest on each balance. Balances within each feature-such as Select & Pay Later, Sign & Travel and Extended Payment Option-may have different interest rates. We use the Average Daily Balance method Daily Balance (including new transactions) to figure interest For each day a DPR is in effect, we figure the daily charges for each balance. The total interest charged balance by: for a billing period is the sum of the interest charged 1 taking the beginning balance for the day, on each balance. 1 adding any new charges, 1 subtracting any payments or credits; and Interest 1. making any appropriate adjustments. The interest charged for a balance in a billing period, We add a new charge to a daily balance as of its except for variations caused by rounding, equals: transaction date. 1 Average Daily Balance (ADB) x Beginning balance 1 Daily Periodic Rate (DPR) x For the first day ofa billing period, the beginning 1 number of days the DPR was in effect. balance is the ending balance for the prior billing ADB period, including unpaid interest. For the rest of the To get the ADB for a balance, we add up its daily billing period, the beginning balance is the previous balances. Then we divide the result by the number day's daily balance plus an amount of interest equal of days the DPR for that balance was in effect. If the to the previous day's daily balance multiplied by the daily balance is negative, we treat it as zero. DPR for that balance. This method of figuring the DPR beginning balance results in daily compounding of A DPR is 1/365th of an APR, rounded to one interest. tenthousandth of a percentage point. Your DPRs are When an interest rate changes, the new DPR may shown in How Rates and Fees Work on page 2 of come into effect during-not just at the beginning of- Part 1. the billing period. When this happens, we will create a new balance and apply the new DPR to it. To get the beginning balance on the first day for this new balance, we multiply the previous day's daily balance terest rate by the old DPR and add the result to that day's daily are 30 days balance. Other methods: 04: 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. Determining the Prime Rate We use the Prime Rate from the rates section of The Wall Street Journal. The Prime Rate for each billing period is the Prime Rate published in The Wall Street Journal 2 days before the Closing Date of the billing period. The Wall Street Journal may not publish the Prime Rate on that day. If it does not, we will use the Prime Rate from the previous day it was published. If The Wall Street Journal is no longer published, we may use the Prime Rate from any other newspaper of general circulation in New York, New York. Or we may choose to use a similar published rate. 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. Other important information About Additional At your request, we may issue cards to Additional You authorize us to give Additional Cardmembers Cardmembers Cardmembers. They do not have accounts with us information about your Account and to discuss it with but they can use your Account subject to the terms them. of this Agreement. We may report an Additional If you want to cancel an Additional Cardmember's Cardmember's use of your Account to credit reporting right to use your Account (and cancel their card) you agencies. must tell us. You are responsible for all use of your Account by Additional Cardmembers and anyone they allow to use your Account, You must pay for all charges they make. Converting charges made ina If you make a charge in a foreign currency, we will convert it into U.S. dollars on the date we or our agents foreign currency process it. Unless a particular rate is required by law, we will choose a conversion rate that is acceptable to us for that date. The rate we use is no more than the highest official rate published by a government agency or the highest interbank rate we identify 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. Changing your billing address. You must notify us immediately if you change the: If you have more than one account, you need to notify 1 mailing address where we send billing statements; us separately for each account. or We may update your billing address if we receive 1 e-mail address to which we send notice that your information that it has changed or is incorrect. billing statement is available online. Closing your Account You may close your Account by calling us or writing to us. Version 997011 Page 3 of 8 We may do any of these things at our discretion, even Cancelling or suspending your Account : le cancel may: your Account, suspend the ability to make charges, if you pay on time and your Account is not in default. 1 1 cancel or suspend any feature on your Account, If your Account is cancelled, you must destroy your cards. and 1 notify merchants that your Account has been We may agree to reinstate your Account after a cancelled or suspended. cancellation. If we do this, we may: If we do any of these, you must still pay us for all 1 reinstate any additional cards issued on your charges under the terms of this Agreement. Account, 1. charge you any applicable annual