The Starling Card by Sparrow Credit Card Agreement 

Issued by Focus Bank, Member FDIC, pursuant to a license by Mastercard International.

Rates and Fees Table

How We Will Calculate Your Balance

We use a method called “average daily balance” (including new transactions). See the How We Calculate Interest section of your Cardholder Agreement for more details.

Billing Rights

Information on your rights to dispute transactions and how to exercise those rights are included in your Cardholder Agreement. See the Your Billing Rights section for full details.

How We Calculate Variable Rates

Variable APRs disclosed above are determined by adding a percentage margin of 21.49% for Purchases and 23.49% for Cash Advances to the U.S. Prime Rate. Notwithstanding the foregoing, your APR for Purchases and APR for Cash Advances will not exceed 36%. We use the U.S. Prime Rate or the average of the U.S. Prime Rate if there is more than one, published in the Money Rates column of The Wall Street Journal on the 25th day of each month. If The Wall Street Journal is not published on the 25th day of the month, then see the immediately preceding edition of The Wall Street Journal. The APR may increase or decrease if the U.S. Prime Rate changes. An increase or decrease in the APR may increase or decrease the total amount of interest you pay. It may also increase the Minimum Payment due. If the U.S. Prime Rate changes, your new rate will take effect on your next billing cycle.

We reserve the right to change rates (APRs) and fees, at our discretion in accordance with the terms of this Agreement and applicable law.

Consumer Card Agreement  

Thank you for opening a credit card account with us. This Cardholder Agreement, along with the Rates and Fees Table (collectively, the “Agreement”), contains important information related to your credit card issued by Focus Bank. The Starling Card by Sparrow is serviced by Sparrow Financial, Inc., or an affiliate (“Sparrow”). This Agreement, and any future changes to it, is your contract with us and governs your credit card. The Bank has agreed to lend you money as described in this Agreement, and you agree to pay us back together with interest charges and fees. Your use or activation of the Card and any transaction using the Card or Account indicates your acceptance of the terms of this Agreement.

This Agreement will continue to apply whether or not you use your Card or Account. It will continue to apply even after your Account is closed, as long as you have a balance or amount owed to us. Please read this Agreement and retain a copy for your records.

PLEASE REVIEW THIS AGREEMENT CAREFULLY. THIS AGREEMENT IS SUBJECT TO MANDATORY ARBITRATION PURSUANT TO THE FEDERAL ARBITRATION ACT AND A WAIVER OF CLASS ACTION AND JURY PROVISION.

Definitions

All capitalized terms used in this Agreement and not otherwise defined have the meanings set forth below.

“Account” means your account designated and maintained by the Bank in relation to the credit provided under or in connection with this Agreement. Account includes the account to which any credit transaction or charge by you may be posted.

“Billing Cycle” means the time period between billing statements and is used to manage your Account. Each Statement shows the closing date, which is the last day of the Billing Cycle.

“Card” means one or more cards or other access devices, including your Account number or virtual card, that we may issue to you to receive credit under this Agreement. This includes all renewals and substitutions.

“Cash Advance” means any use of your Card to obtain cash, including foreign currency, or any transaction that we

consider to be a cash-like transaction or to involve a cash equivalent. This includes, without limitation, withdrawals

from an ATM, cashing convenience checks, money orders, traveler’s checks, lottery tickets, gaming chips or tokens,

and digital currency. Any transaction fee, charge, or interest imposed on a Cash Advance also is considered a Cash Advance for the purpose of calculating any interest charges on your Account.

“Fees” means charges imposed on your Account not based on the Annual Percentage Rates.

“Interest Charges” means any charges to your Account based on the application of Annual Percentage Rates.

“Item” means a check, draft, money order or other negotiable instrument you use to pay your Account. This includes any image of these instruments.

“Purchase” means the use of your Account or Card to buy or lease goods or services. Tax payments and any other associated fees are considered Purchases, but Cash Advances are not considered Purchases.

“Servicer” means Sparrow Financial, Inc. (“Sparrow”).

“Statement” means the periodic statement we mail to you in connection with your Account. Your Statement will include all transactions billed to your Account during a Billing Cycle and information about payment owed to us.

“Truth-in-Lending Disclosures” means disclosures that the federal Truth in Lending Act and Regulation Z require for any Account. This includes your application and solicitation disclosures, Account opening disclosures, any disclosures provided as part of this Agreement, subsequent disclosures, Statements, and change in terms notices.

“We,” “us,” “our,” and “Bank” mean Focus Bank, and its agents, authorized representatives, successors, and assignees.

“You” and “your” mean each applicant and co-applicant for the Account, any person responsible for paying the Account, and any person responsible for complying with this Agreement.

YOUR ACCOUNT

Account Documents

The following Account Documents govern your Account with us:

(1)  this Agreement;

(2)  all Statements;

(3)  any rewards program terms, conditions, and disclosures;

(4)  any privacy notices;

(5)  all disclosures and materials provided to you before or when you opened your Account;

(6)  any other documents and disclosures relating to your Account, including those provided online; and

(7)  any future changes we make to any of the above.

Please read these Account Documents carefully and keep them for future reference.

Account Information

We need information about you to manage your Account. This includes, but is not limited to:

(1)  your legal name;

(2)  a valid U.S. mailing address and residential address (if different);

(3)  your date of birth;

(4)  your Social Security number or other government identification number;

(5)  your telephone number(s); and

(6)  your employment and income information.

You must tell us when this information changes. We may ask you for additional documents and to verify any changes to information you have provided us.

We may restrict or close your Account if we cannot verify your information, or if you do not provide additional documentation when requested.

Credit Limits

We will establish the maximum amount of credit available to you for your Account (“Credit Limit”).  We will inform you of your Credit Limit from time to time. We may give you different Credit Limits for the different portions of your Account. For example, you may have one Credit Limit for Purchases and a different one for Cash Advances. You are responsible for keeping track of your balances and your available credit for each transaction type (e.g., Purchases, Cash Advances, etc.). You must keep your Account balance below each applicable Credit Limit. We may honor transactions above your Credit Limit but we are not obligated to and may do so at our sole discretion.  Your Credit Limit will not increase if we do honor any transaction that exceeds your Credit Limit. You are responsible for paying for any transaction you make above your Credit Limit. We may increase, decrease, restrict, or cancel your Credit Limit for any and all transaction types at any time, without notice. This will not affect your obligation to pay us. Your available credit may not be restored for up to ten (10) business days after we receive your payment.

The credit available to you on your Account is the difference between your Credit Limit and the total balance due on your Account and any pending transactions.

Using Your Account

(1)  We may decline to authorize a transaction for any reason. This may occur even if the transaction would not cause you to go over your Credit Limit or your Account is not in default.

(2)  We will bill each transaction to the applicable transaction type of your Account. We will apply it against your available credit for that transaction type category.

(3)  You must not use, or try to use, the Card for any illegal activity. You are responsible for any charges if you do. We may decline, block, or reverse any transaction we reasonably believe to be unauthorized, suspicious, fraudulent, or unlawful. We are under no obligation to do so and will not be liable if such transactions are processed.

(4)  In addition to any other restrictions stated in this Agreement, you may not use your Card or Account for: (a) Gambling Transactions: Any unlawful gambling activity, including internet gambling, lottery ticket purchases, casino chips, off-track betting, or similar transactions, unless explicitly permitted by applicable law and by us; (b) Funds Transfers to Yourself or Related Accounts: Using the Card to send money to yourself, to your own accounts, or to accounts of family members or other related parties for the primary purpose of obtaining cash or credit; (c) High-Risk Transactions: Transactions that we reasonably believe involve money laundering, terrorist financing, fraud, or other high-risk or suspicious activity; (d) Illegal Activity: Any purchase, transfer, or transaction that is illegal under federal, state, or local law; and € Other Restricted Uses: We may from time to time identify additional prohibited categories of transactions. We may block or decline such transactions at our discretion, but are under no obligation to do so.

(5)  We are not liable for any losses that may result when our services are unavailable due to reasons beyond our control.

(6)  You may use the Card for Cash Advances and to make Purchases only for personal, family or household purposes from any person or establishment accepting the Card.

(7)  We are not liable to you if anyone refuses to honor your Card.

(8)  You must tell us immediately if you change your name, address, phone number, or email address.

Rewards

Your Account may provide you with the opportunity to earn rewards through Sparrow. If it does, we will separately provide you with information and terms about the rewards. Reward program(s) or bonus option(s) that are offered to you are not offered by the Bank and are offered by Sparrow. If you have questions regarding rewards or bonus options, please contact Sparrow at 1-800-839-9797.

Cash Advances

You may obtain Cash Advances as permitted for your Account. You may not use Cash Advances to pay any amount you owe us or the Servicer. To obtain Cash Advances, you must set, or we may give you, a personal identification number (“PIN”). Keep your PIN secure. Do not write it down, give it to anyone, or keep it with your Card. If you lose your Card or believe the confidentiality of your PIN has been compromised for any reason, you must contact us immediately at the number provided on the back of your Card.

Your Promise to Pay

By using your Card or your Account, you promise to pay us for all transactions made on your Account, as well as any fees, interest charges or other charges or Fees. You are obligated to repay us for all transactions made using your Card by people you have authorized to use the Card even if their use of the Card exceeds the authorization which you gave them.

Statements

We will send you a Statement at the end of each Billing Cycle, unless not required by law or the law prohibits us from doing so. Your Statement will show, among other things, (1) the unpaid balance on your Account at the beginning of the billing period (the “Previous Balance”); (2) any Purchases, Interest Charges, Fees, and other debits posted to your Account in that billing period; (3) any payments and credits posted to your Account in that billing period; and (4) the Minimum Payment you must pay and the date your Minimum Payment is due (“Payment Due Date”). Unless you make other arrangements with us, your Statement will be delivered to you electronically, as further described in the Electronic Communications Consent. You may request a paper copy of your Statement by calling the number on the back of your Card. Servicer will mail any requested paper Statement to you by regular mail to your address as it appears in our records.

Authorizations

We reserve the right to decline to authorize a transaction for any reason, including but not limited to an account default, suspected fraudulent, illegal or unlawful activity or any indication of increased risk related to a transaction.  We do not guarantee approval of any transaction.

Temporary authorizations for amounts greater than the actual purchase price may occur with some merchants (e.g., hotels, car rental companies, gas stations, and restaurants).  These types of authorizations will result in less credit available to you on your Account for several days until the date the actual purchase amount is received from the merchant.

Transactions Made in Foreign Currencies

If you make a Purchase or a Cash Advance in a currency other than U.S. dollars, then the applicable card network (such as Mastercard) will convert the amount of the charge into a U.S. dollar amount (unless another party, such as the merchant, converts the Charge amount before submission to the card network). The card network follows its own procedures for such conversion. These procedures include how the card network chooses an exchange rate and when it performs the conversion. The exchange rate that a card network uses to convert the transaction to U.S. dollars may differ from the rate in effect on the date of the Charge. The card network’s procedures may change without notice. Any costs resulting from the card network’s procedures, including from the exchange rate selected by the card network, will be reflected in the Purchase or Cash Advance posted to your Account. If a third party, such as a merchant, converts the amount of a transaction into U.S. dollars before sending the charge to a card network, the third party chooses the conversion rate instead of the card network. The same conversion process may apply if any charge originally in a foreign currency is reversed or credited back to your Account. Please also see Transaction Fee for Charges in Foreign Currency below.

Pre-authorized Recurring Merchant Transaction

You may authorize a merchant to automatically initiate a Purchase on a recurring basis to your Account. Upon the issuance by us of a new Card with a new card number or expiration date, you may be required to contact the merchant to provide such updated information in order to continue the recurring transactions. You must contact the merchant if you want to cancel automatic billing.

Authorized Users

We may allow you to request that we issue an additional card to someone authorized by you to access and use your account (an “Authorized User”). There may be fees associated with adding and maintaining Authorized Users on your account; these will be disclosed to you at the time you request to add an Authorized User to your Account.

We reserve the right to refuse to add any individual to your Account as an Authorized User in our sole discretion. If we approve, use of your Account by an Authorized User is subject to the terms of this Agreement. You must obtain permission from each Authorized User before naming him or her as an Authorized User on your Account and make a copy of this Agreement available to each Authorized User. You must notify us to remove an Authorized User from your Account. You are responsible for paying us for all charges incurred by each Authorized User or by others authorized by an Authorized User, including all fees and charges resulting therefrom, even if the post date shown on your statement for that transaction occurs after the date you ask us to remove the Authorized User from your Account.

By adding an Authorized User to your Account, you allow us to discuss your Account with an Authorized User. This includes giving them access to your Account information and history. You also agree that an Authorized User may use and receive information about the Account the same way you do. You agree to give us certain personal information about each Authorized User. You must let each one know that you’ll give us that information and you must have his or her permission to do so. You must have permission from each one to allow us to share information about him or her as allowed by applicable law. This includes information we may get from you, any Authorized User and others. It also includes information about their transactions on the Account. Authorized Users may remove themselves from your Account upon request. We reserve the right to remove them from your account for any reason.

You agree that you are liable for, and must pay, all transactions made by any Authorized User, whether or not you intended to benefit from those transactions. Your responsibility includes transactions made by Authorized Users after you notify us to cancel their authority, until we have had a reasonable time to act on your notice. Authorized Users are not parties to this Agreement and have no independent right to access, manage, or close the Account. We may revoke an Authorized User’s card or privileges at any time, with or without notice.

We may report information about this Account to credit bureaus in the Authorized User’s name that may appear on their credit report. This could include information about late payments, overlimit amounts, returned payments or other violations of this Agreement. You must let each Authorized User know that we may report Account information in his or her name.

Disputed Transactions

You must inspect each Statement you receive and must immediately contact us about any errors or questions you have, as described in the Billing Rights Summary on your Statement and in this Agreement. If you do not notify us of an error, we will assume that all information on the Statement is correct. If we credit your Account for all or part of a disputed transaction, you give us all of your rights against others regarding that transaction, and will also: (1) give us any information about the disputed transaction, if we ask; (2) not pursue any claim or reimbursement of the transaction amount from the merchant or any other person; and (3) help us get reimbursement from others.

Security and Lost or Stolen Card

You must take reasonable steps to safeguard your Card, Account credentials, and any device used to access your Account, and to prevent their loss, theft, or misuse. If your Card, Account number, or device is lost, stolen, or used without your consent, you must notify us immediately at 1-800-839-9797. We may require you to provide a written statement or other information to support your claim.

You will not be liable for unauthorized use on your Account as defined under applicable law, provided you have exercised reasonable care in safeguarding your Card and Account information and promptly notify us as required. You are responsible, however, for all transactions made by any person you permit to use your Account or a Card, whether or not you intended to benefit from those transactions. This responsibility includes any transactions made after you notify us to revoke that person’s authority, until we have had a reasonable time to act on your notice.

You also agree that you are liable for any loss resulting from your failure to take reasonable precautions to safeguard your Card or Account credentials, including sharing your Card, Account number, PIN, or security codes with others, or failing to report loss or theft promptly.

Account Default

You will be in default if:

(1)  you do not make any payment when it is due;

(2)  any payment you make is rejected, not paid or cannot be processed;

(3)  you exceed a Credit Limit;

(4)  you file or become the subject of a bankruptcy or insolvency proceeding;

(5)  you are unable or unwilling to repay your obligations, including upon death or legally declared incapacity;

(6)  we determine that you made a false, incomplete or misleading statement to us, or you otherwise tried to defraud us;

(7)  you do not comply with any term of this Agreement or any other agreement with us;

(8)  you permanently reside outside the United States;

(9)  your financial condition has adversely changed that, in our reasonable and good faith opinion, you will not be able to make any payment obligation when due;

(10)  your Card or Account is being used or we suspect it will be used to engage in fraudulent, illegal, unlawful or improper activities; or

(11)  your account becomes inactive.

If you are in default, we may take certain actions with respect to your Account. For example, depending on the default, we may take the following actions, without notifying you, unless the law says that we must give you notice:

(1)  charge you Fees;

(2)  close or suspend your Account;

(3)  lower your Credit Limit(s);

(4)  demand that you immediately pay the total balance owing on your Account;

(5)  continue to charge you Interest Charges and Fees as long as your balance remains outstanding; and/or

(6)  file a lawsuit against you or pursue another action that is not prohibited by law. If we pursue collection through any means, including but not limited to arbitration, litigation, appeals, or pre-litigation collection efforts, you agree to pay our reasonable attorneys’ fees, court costs, and collection expenses to the fullest extent permitted by law.

Suspension / Revocation / Cancellation / Limitations

Subject to applicable law, we may suspend, revoke or cancel your Account privileges, your right to use the Card, or deny any transaction, in our sole discretion at any time, with or without cause and with or without giving you notice. We may limit the number or amount of transactions we authorize on your Account in any one day. Any such actions on our part will not affect your obligation to pay us the outstanding balance and interest under the terms of this Agreement. We are not liable for any refusal to honor your Card or Account, nor if we deny any transaction, nor for the retention of your Card by any person or entity, nor if anyone refuses any use of your Card. If we revoke or cancel the Card, you must destroy or return the Card. You may not use a Card after it has expired or after it has been revoked or cancelled. You may cancel your Account at any time. Your cancellation of the Account will not affect your obligation to pay us the outstanding balance and Fees and Interest Charges under the terms of this Agreement.

INTEREST CHARGES AND FEES

We impose Interest Charges and Fees on your account. We will generally treat Fees as Purchase transactions unless otherwise specified below. We may increase your Interest Charges and Fees as described in the Amendments to Your Agreement section.

When Interest Charges Begin

Interest charges accrue from the (1) date of the transaction; (2) date the transaction is processed; or (3) first calendar day of the billing cycle. Interest charges accrue on every unpaid amount until it is paid in full. This means you may owe interest charges even if you pay the entire “New Balance” one month but did not do so for the previous month. Unpaid interest charges are added to the applicable transaction type (e.g., purchase or cash advance) of your account. However, we reserve the right to not assess interest charges at any time.

Daily Periodic Rates

The daily periodic rates for Purchases and Cash Advances are based on APR for Purchases and Cash Advances, respectively, which may be adjusted monthly. The current daily periodic rate for Purchases and Cash Advances on your Account is calculated by taking the applicable APR divided by 365 (“Daily Periodic Rate”).

Variable APRs

If the U.S. Prime Rate increases, your APRs and Daily Periodic Rates will increase. As a result, interest, your total minimum payment and the number of payments it would take you to pay off your Account balance may increase. We apply any change in rates because of a U.S. Prime Rate change to your entire Account balance.

How We Calculate Interest

We use a method called Average Daily Balance (including new transactions) to calculate interest charges for your Account. We calculate interest separately for each transaction type (e.g. Purchases and Cash Advances). For each transaction type, on the last day of the billing period we calculate the interest by multiplying the applicable Daily Periodic Rate by the Average Daily Balance and by the number of days in the billing period. You authorize us to round interest to the nearest cent. We then add the interest to your balance for that transaction type. The total interest charged for a billing period equals the sum of the interest charge for each transaction type. To determine an “Average Daily Balance” for a transaction type, we calculate a daily balance each day of the billing period. For each transaction type, we start with the previous balance, which may include unpaid interest and fees imposed in previous billing periods. Each day, we add any new transactions for each transaction type, which may include fees and interest; subtract any payments or credits for each transaction type; and make other adjustments. We treat any credit balance as a balance of $0. Then, we add up all the balances for the billing period, and divide the total by the number of days in the billing period. This gives us the Average Daily Balance. However, if you paid your previous month’s balance in full (or if your balance was zero or a credit amount), new transactions which post to your account are not added to the daily balances. Transactions made using the Card do not have a grace period.

How To Avoid Paying Interest Charges

If the entire amount you owe us (the “New Balance”) is paid in full as of the Payment Due Date shown on that statement, we will not charge interest on any new transactions that post to the purchase balance. If you have been paying your Account in full without interest charges, but fail to pay your next New Balance in full, we will charge interest on the unpaid balance. For cash advances, we will start charging interest on the transaction date.

Annual Fee

The annual fee for your account is $59.40 and is billed to your Account on a monthly basis in the amount of $4.95. We will charge this annual fee on a monthly basis, every month, even if you don’t have a balance. The Annual Fee is billed to the Account until the Account is closed and the outstanding balance is paid in full. The Annual Fee is not refundable.

Late Payment Fee

We may charge you this Fee if we do not receive your payment as instructed on your Statement by the payment due date. This Fee will not exceed the amount permitted by law.

Returned Payment Fee

We may charge you this Fee each time your financial institution for any reason rejects a payment you make to us.

Cash Advance Fee

We may charge you this Fee each time you take out a Cash Advance. We will treat this Fee as a Cash Advance Transaction.

Transaction Fee for Charges in Foreign Currency

If you make a Purchase or Cash Advance in a currency other than U.S dollars, then we will charge you this Fee. See Transactions Made In Foreign Currencies above for additional details on charges in a currency other than U.S dollars.

Replacement Card Fee

We may charge a Fee to your Account of up to $9.95 each time you request a replacement card.

Expedited Shipping Fee

We may charge you a Fee if you request us to expedite the shipping of your Card.  You may obtain your Card without incurring an additional expense if you do not request to receive your Card by expedited shipping methods.

Additional Fees

We may charge additional Fees where such fees are agreed to between you and us.

PAYMENTS

Minimum Payment

You must pay us at least the minimum payment amount by the payment due date shown on your Statement. Your Statement will tell you: (1) the minimum payment due; (2) your new balance; (3) the payment due date; and (4) an explanation of when the payment must reach us for us to consider it received as of that date. Refunds and other credits to your Account will reduce your account balance, but they will not change your minimum payment amount.

We will calculate the minimum payment as the sum of: 1) the greater of (a) $35 (or the total amount you owe if less than $35), or (b) 5% of the outstanding balance, rounded up to the next whole dollar; plus 2) any late fees we have billed you on the statement for which your minimum payment is calculated; and plus 3) any past due amount (excluding any past due late fees). We require you to pay any amount that exceeds your Credit Limit for your Account but this amount will not be included in your Minimum Payment that is due.

In addition to the minimum payment, you may pay all or part of the total balance on your Account. But, you must still pay at least the minimum payment amount each month, even if you paid more than the minimum payment due on the previous Statement. We will continue to charge Interest Charges during Billing Cycles when you carry a balance regardless of whether your Statement includes a minimum payment that is due. If your Account is 180 days past due, is part of a bankruptcy proceeding or is otherwise charged off, the total balance is immediately due and payable.

Making Payments

Your payment must be made in U.S. dollars from a U.S. deposit account in a form that is acceptable to us. We do not accept cash payments through the mail. You may not make payments with funds from your Account or any other credit account with us or any other company in the Bank organization. You must send mailed payments to us as instructed on your Statement unless we tell you otherwise. If you mail payment to an address other than the payment address shown on your Statement, there may be a delay in crediting the payment to your Account, which could result in Late Fees being assessed to your account. We can accept late payments, partial payments or payments marked “payment in full,” or any other restrictive endorsement, without losing any of our rights under this Agreement. We may refuse to accept payments made to your Account by someone else on your behalf. If we do accept it, you will be responsible for the payment and any cost if a financial institution rejects it.

Services are available that allow you to make faster or recurring payments, such as ACH, online or by telephone. We will describe the terms for using these services and any applicable Fee before you use them. You do not have to use these other payment services. We are not responsible if your financial institution rejects a payment made using our payment services.

Payment Processing

We may accept and process payments without losing any of our rights. We may delay the availability of credit until we confirm that your payment has cleared. This may happen even if we credit your payment to your Account. We may resubmit and collect returned payments electronically. If necessary, we may adjust your Account to correct errors, process returned and reversed payments, and handle similar issues.

When you send us an Item as payment, you authorize us to make a one-time electronic fund transfer from your deposit account. You also authorize us to process the payment as an Item. We may withdraw the funds from your deposit account as early as the same day we receive your payment. You will not receive your Item back from your bank. We will provide additional information about this process on your Statement.

We may use the information from an Item to create an electronic image. We may collect and return the image electronically. This electronic image may also be converted to a substitute check and may be processed in the same way we would process an Item. We will not be responsible if an Item you provide has physical features that when imaged result in it not being processed as you intended.

How We Apply Your Payments

A different APR may apply to your Account depending on the transaction type. For example, Purchases may have a lower APR than Cash Advances. If your Account has balances with different APRs, here is how we apply payments in a Billing Cycle:

(1)  We generally apply credits and payments up to your minimum payment first to the balance with the lowest APR, and then to balances with higher APRs.

(2)  We apply any part of your payment exceeding your minimum payment to the balance with the highest APR, and then to balances with lower APRs.

We credit your payments in accordance with our payment instructions of applying to Fees and Interest Charges first and then to balances due. You authorize us to apply any payments in excess of the Minimum Payment Due in any manner we choose of consistent with applicable law. Credits are applied at our discretion and you authorize us to apply payments in a way that is most favorable or convenient for us.

Credit Balances

We may reject and return any payment that creates or adds to a credit balance on your Account. Any credit balance we allow will not be made available until we confirm that your payment has cleared. We may without notice restrict the availability of any credit balance at our sole and absolute discretion. We may reduce the amount of any credit balance by any new charges. You may write to the address provided on your Statement or call the number on the back of your Card to request a refund of any available credit balance.

TERMS FOR USING A CARD WITH A DIGITAL WALLET OR MOBILE DEVICE

If we permit you to load your Card to a smart phone or tablet application, or any other application or other electronic device provided by a third-party (collectively, “Mobile Device”) or a digital wallet provided by another company (such as Apple Pay, Google Pay, Amazon, PayPal, Samsung Pay, etc.) or a merchant-branded website or digital wallet where your Card information is stored for future use each, a “Digital Wallet”), this Section, Terms for Using a Card with a Digital Wallet or Mobile Device, governs your access to, and use of your Card through a Mobile Device or Digital Wallet. We reserve the right to restrict the use of Cards with any Mobile Device of Digital Wallet.

The use of your Card with or within a Digital Wallet or Mobile Device may not be accepted at all places where your Card is otherwise accepted, and your Card may not be eligible for all the features and functionalities of the Digital Wallet or Mobile Device. You understand and agree that your use of a Digital Wallet or Mobile Device to make transactions using your Card or Card number is subject to the terms and conditions set forth by the third-party Digital Wallet or Mobile Device provider or another third party supporting the Digital Wallet or Mobile Device (collectively, the “Mobile Device Provider”) with respect to the use of that Digital Wallet or Mobile Device. Your agreement with any Mobile Device Provider does not impact our Agreement with you. You acknowledge that we are not party to any agreement or the terms and conditions for a Mobile Device between you and a Mobile Device Provider or the other third parties supporting the Digital Wallet or Mobile Device and we do not own and are not responsible for the Digital Wallet or Mobile Device. You may only use a compatible device with a Digital Wallet, as determined by the Digital Wallet provider (“Compatible Device”). In addition, any use of your Card in or through a Digital Wallet or Mobile Device continues to be subject to all terms and conditions of this Agreement. We may terminate your access to or use of your Card with a Digital Wallet or Mobile Device at any time and for any reason, including if you violate any of the terms or conditions of this Agreement.

To add your Card to a Digital Wallet or Mobile Device, you must follow the instructions of the Mobile Device Provider. By doing this, you agree to allow us to share your Card information with the Mobile Device Provider. You may be required to take additional steps to authenticate yourself or the Card before your Card is added to the Digital Wallet or Mobile Device. We may not add a Card to a Digital Wallet or Mobile Device if we cannot authenticate the Card or if we otherwise suspect that there may be fraud associated with the Card.

Once you add a Card to a Digital Wallet, you may use the Compatible Device (or in the case of a Mobile Device, you may use the Mobile Device) to make payments utilizing the Card at any merchant that accepts the Digital Wallet or Mobile Device and Card. By selecting an added Card in a Digital Wallet or Mobile Device and using the merchant’s contactless-enabled point-of-sale terminal or reader or by using a Card for an in-app or a website purchase, you are authorizing the payment for the applicable merchant’s products or services with that Card in the Digital Wallet or Mobile Device. The Digital Wallet or Mobile Device may display transaction history, but it does not reflect any post-authorization activities and may not match the actual transaction details that are posted to your Account.

We do not charge you any additional fees for adding your Card to a Digital Wallet or Mobile Device or for using your Card in the Digital Wallet or Mobile Device. However, any fees and charges that would apply when you use your Card outside the Digital Wallet or Mobile Device will also apply when you use a Digital Wallet or Mobile Device to make purchases with your Card or otherwise access your Card. The Mobile Device Provider and other third parties such as wireless companies or data service providers may charge you fees. Any Virtual Card we may issue you that is linked or registered with the Digital Wallet or Mobile Device may be, in our sole discretion, automatically updated or upgraded without notice to you.

We are not the provider of the Digital Wallet or Mobile Device, and we are not responsible for providing the Digital Wallet or Mobile Device services to you or for ensuring that your Card is compatible with any Digital Wallet or Mobile Device service. Some Digital Wallets or Mobile Devices may use your palm print, fingerprint, facial map or any other biometric data to recognize you, authenticate your identity, or authorize your transactions, and you understand we do not provide any such technology or services and have no obligation regarding the security of such technology or services. By using such technology or services with a Digital Wallet or Mobile Device to conduct any transaction, you are authorizing a transaction on your Card. We are only responsible for supplying information to the Mobile Device Provider to allow usage of your Card in the Digital Wallet or Mobile Device as you have requested. We do not recommend, endorse or make any representation or warranty of any kind regarding the performance or operation of your Compatible Device or Mobile Device. In no event are we responsible for: (i) any failure of the Digital Wallet or Mobile Device, or the inability to use the Digital Wallet or Mobile Device for any transaction or (ii) how the Mobile Device Provider performs its services or any other third parties regarding any agreement you enter into with the Mobile Device Provider or other third party. We do not control the privacy and security of any of your information that may be held by the Mobile Device Provider. Any information held by the Mobile Device Provider is governed by the Mobile Device Provider’s privacy policy. If you request to add your Card to a Digital Wallet or Mobile Device, you authorize us to collect, transmit, store, use and share information about you, your mobile device (Compatible Device), and your use of the Card in accordance with our privacy policy.

TO THE MAXIMUM EXTENT PERMITTED BY LAW, UNDER NO CIRCUMSTANCES AND UNDER NO LEGAL THEORY ARE WE LIABLE FOR ANY LOSSES, CLAIMS, EXPENSES OR DAMAGES RESULTING FROM YOUR USE OF A DIGITAL WALLET OR MOBILE DEVICE, YOUR USE OF THE CARD OR VIRTUAL CARD IN CONNECTION WITH A DIGITAL WALLET OR MOBILE DEVICE. YOU EXPRESSLY ACKNOWLEDGE AND AGREE THAT THE USE OF A CARD PROVISIONED TO THE DIGITAL WALLET OR MOBILE DEVICE OF YOUR CHOICE AND THE DIGITAL WALLET OR MOBILE DEVICE SERVICE IS AT YOUR SOLE RISK.

If you use a Digital Wallet or Mobile Device, you should protect your Mobile Device or Compatible Device as you would your Card. If your Mobile Device or Compatible Device is compromised, lost or stolen, you should also consider your Card lost or stolen and notify us immediately. If your physical plastic Card is lost or stolen and your Compatible Device or Mobile Device is not lost or stolen, you may be required to add the new physical plastic Card to the Digital Wallet or Mobile Device. If your Compatible Device is lost or stolen, you will need to add your Card to a Digital Wallet on a new Compatible Device. You are responsible for the Mobile Device or Compatible Device, including its selection, and for all issues relating to the operation, performance and costs associated with such Mobile Device or Compatible Device. You authorize your wireless operator and/or us to disclose your mobile number, name, address, email, network status, customer type, customer role, billing type, account activation date and device make and model, where provided in accordance with your mobile operator’s or our privacy policy at https://sparrowcard.com/privacy_policy/general-privacy-policy/ and www.focusbank.com/privacy-policy.html, to allow verification of your identity and for fraud prevention purposes.

Google Pay: This Agreement does not apply to transactions in Google products that are not initiated or effectuated through a Digital Wallet. Your use of Google Pay is also subject to the terms and conditions set forth in the Google Pay Terms of Service. We do not control or endorse the provisioning or use of Google Pay.

Apple Pay: For additional information and terms regarding the use of Apple Pay, review Apple Pay terms and conditions via Apple.com. We do not control or endorse the provisioning or use of Apple Pay.

Samsung Pay: Your use of Samsung Pay is also subject to the terms and conditions set forth in the Samsung Pay Terms and Conditions. We do not control or endorse the provisioning or use of Samsung Pay Money Transfer services.

If you have any questions, disputes, or complaints about a Digital Wallet or Mobile Device contact the Mobile Device Provider using the information given to you by the Mobile Device Provider.

CREDIT REPORTING AGENCIES

Credit Reports

We or our Servicer may obtain and use credit, income and other information about you from credit bureaus and others as the law allows. We may reevaluate your financial condition and investigate any information you provided on your Account application at any time. In the course of doing so, we may obtain a current credit report and ask you for additional information about your financial condition. You give us permission to obtain any information about you that we believe would be beneficial to facilitate our determination of your eligibility for the Account and the Card. You agree that we can use the information obtained about you for any purposes such as, but not limited to, evaluating you for a new account, review of your account, including credit limit, and/or to market you other cards, services and products that may be of interest to you, subject to applicable law.

Notice of Negative Information

We may report information about your Account to credit bureaus and consumer reporting agencies. Late payments, missed payments, returned payments, or other defaults on your Account may be reflected in your credit report.

Disputes

If you believe that we have reported inaccurate information about your Account to a credit bureau or other consumer reporting agency, notify us in writing at Sparrow, 9450 SW Gemini Dr. #87446, Beaverton, OR 97008. When you write, tell us the specific information that you believe is incorrect and why you believe it is incorrect. If available, please include a copy of the credit report in question. We will research your issue and if we confirm that you are correct, we will contact the consumer reporting agency we reported to and request a correction.

OTHER INFORMATION

Communications

Unless we tell you otherwise, you can contact Sparrow at 9450 SW Gemini Dr. #87446, Beaverton, OR 97008, or call us at 1-800-839-9797. When writing, please include your name, address, mobile telephone number and Account number.

To the extent permitted by applicable law, you authorize us and our affiliates, agents, and contractors, our Servicer and anyone to whom we may sell your Account, to contact you to service your Account or for collection purposes. You agree that these contacts are not unsolicited for purposes of state or federal law. You further agree that the Bank, its affiliates, agents, and contractors, Servicer and anyone to whom it may sell your Account may: (1) contact you in any way, including mail, email, calls, and texts, including a mobile, wireless, or similar device, even if you are charged by your provider; (2) contact you at any number that you have given us, have called us from or any number we have for you in our records, including your cellular or other wireless device, even if that number is a wireless, cellular, or mobile number, is converted to a mobile/wireless number, or connects to any type of mobile/wireless device, and even if such telephone number is currently listed on a Do Not Call Registry; and (3) contact you at any email address you provide to us, email us from or any other person or company that provides any services in connection with this Agreement. You authorize us to monitor and/or record your calls with us, including but not limited to, using voice recognition technology to verify your identity when you call and capturing and storing your voiceprint for this purpose. By providing your telephone number(s), including wireless numbers, you expressly consent to receiving calls and text messages, including through automatic dialing systems, prerecorded messages, and artificial voice technologies, from us and our agents, consistent with the Telephone Consumer Protection Act. You understand that providing a number constitutes your prior express consent and is not a condition of obtaining credit. You agree to notify us within five (5) business days after changing your email address, mailing address, or phone number.  You are responsible for any service provider charges you may incur as a result of us contacting you by any means, whether or not such charges are text, data, equipment or other plans.

Changes to Your Agreement

At any time, we may add, delete or change any term of this Agreement, unless the law prohibits us from doing so. We will give you notice of any changes as required by law. We may notify you of changes on your Statement or in a separate notice. Our notice will tell you when and how the changes will take effect or if you have the opportunity to reject the change.  If you do not reject a change within the time period and manner required and specified in our notice or you continue to use the Card after being notified of any change (whether or not you have the right to reject the change), you will be deemed to have accepted, agreed to and confirmed all terms and conditions of the Agreement as modified.   If you reject the change in the manner provided in the notice giving you the opportunity to reject or object to such change, we may terminate your right to receive credit and may ask you to return all credit access devices as a condition of your rejection. We may replace your Card with another Card at any time.

Your variable APRs (if applicable) can go up or down as the index for the rate goes up or down. If we increase your APRs for any other reason, or if we change your Fees or other terms of your Account, we will notify you as required by applicable law.

The Law That Applies to Your Agreement

This Agreement and your Account, and any claim, dispute or controversy (whether in contract, tort, or otherwise) at any time arising from or relating to your Account, this Agreement or any charges, transfers, or transactions, are governed by and construed in accordance with the laws of the state of Missouri (without regard to internal principles of conflict of laws) and other, applicable federal laws. Consistent, however, with Missouri law (See Missouri Revised Statutes Section 408.145), we may rely on the law of contiguous states with respect to the assessment and collection of certain fees or other charges.

Servicer

The Servicer services parts of your Card and Account, including, but not limited to, Account and/or Card management through Servicer’s website or mobile application and customer service relating to any rewards offered in connection with your Card or Account. In this capacity, Servicer may act on our behalf, perform our obligations or enforce our rights under this Agreement. You understand and acknowledge that we may share with Servicer any information you provide to us in connection with your Account or Card or any information we collect in connection with your Account or Card in order for Servicer to provide you with products and/or services in connection with your Account and/or Card.

Waiver

We will not lose any of our rights under this Agreement or otherwise even if we delay enforcing or do not enforce any of our rights under this Agreement, delay taking any action for any reason, take actions not listed in this Agreement, accept late payments or partial payments or accept payments that are marked “Paid in Full”, other similar language or restrictive endorsement. We may waive our right without notifying you. For example, we may waive your Interest Charges or Fees without notifying you and without losing our right to charge them in the future.

Assignment

This Agreement will be binding on, and benefit, any of your and our successors and assigns. You may not sell, assign or transfer your Account or this Agreement to someone else without our written permission. We may sell, assign, or transfer your Account and this Agreement without your consent and without prior notice. Any assignee will succeed to all of our rights and remedies under this Agreement to the fullest extent permitted by law. You agree not to assert against any assignee any claims or defenses you may have against us, except as otherwise required by applicable law. You must pay them and perform all of your obligations to them and not us. If you pay us after we notify you that we have transferred your Account or this Agreement, we can return the payment to you, forward the payment to the assignee, or handle it in another way that is reasonable.

Disclaimer of Liability

We are not responsible if anyone refuses to accept or honor your Card or Account, even if you have sufficient available credit. Except as required by applicable law, we will not be responsible for any claim or defense you may have against any third-party that arises out of or in connection with any transaction with your Card or Account or any services or goods or other property purchased or leased using your Card or Account. We are not responsible for any losses you incur if we do not authorize a transaction.

Termination

We may suspend or terminate your access to your Account and/or any Card at any time, with or without cause, with or without notice, effective immediately, to the extent permitted by applicable law. All provisions of this Agreement which by their nature should survive termination shall survive termination, including, without limitation, ownership provisions, warranty disclaimers, indemnity and limitations of liability.

Severability

Subject to the Arbitration Agreement: (1)if any part of this Agreement conflicts with applicable law, that law will control, and this Agreement will be considered changed to the extent necessary to comply with that law; and (2) if any part of this Agreement is determined by a court of competent jurisdiction to be invalid, the remainder of this Agreement will remain in effect.

Entire Agreement

You acknowledge that this Agreement, as amended constitutes the entire agreement between you and us with respect to the Account and the Card, and supersedes and may not be contradicted by evidence of any prior or contemporaneous written or oral communication or understanding between you and us concerning the Account or the Card. If we offer or provide rewards in connection with the Account, the disclosures relating to such rewards are separate and not part of this Agreement.

MILITARY LENDING ACT NOTICE

Federal law provides important protections to members of the Armed Forces and their dependents relating to extensions of consumer credit. In general, the cost of consumer credit to a member of the Armed Forces and his or her dependent may not exceed an annual percentage rate of 36 percent. This rate must include, as applicable to the credit transaction or account: the costs associated with credit insurance premiums; fees for ancillary products sold in connection with the credit transaction; any application fee charged (other than certain application fees for specified credit transactions or accounts); and any participation fee charged (other than certain participation fees for a credit card account).

Please call 1-800-784-3457 to obtain oral disclosures, including the statement of Military Annual Percentage Rate and the payment schedule applicable to your Account, required under the Military Lending Act.

If you are a covered borrower as defined by the Military Lending Act (a “Covered Borrower”), then this Agreement shall be interpreted to comply with the Military Lending Act, including its restrictions on permissible credit terms and limitations on interest, charges, and fees. The limitations on interest and fees apply to individuals while they are Covered Borrowers, provided such individuals are Covered Borrowers as of the date they execute this Agreement. As applied to Covered Borrowers: (i) any interest, charges, or fees in excess of the permitted limit shall be reduced by the amount necessary to satisfy that limit and any amounts collected in excess of the permitted limit shall be refunded by crediting your Account or by making a direct payment to you; and (ii) any provision of this Agreement that is inconsistent with the Military Lending Act shall not apply.

Without limiting the foregoing, the provision in this Agreement called “Resolving a Dispute with Arbitration” shall not be applicable to, and shall not be enforceable against, any Covered Borrower.

ARBITRATION AGREEMENT

PLEASE READ THIS PROVISION OF THE AGREEMENT (the “Arbitration Agreement”) CAREFULLY. IT CONSTITUTES A BINDING AGREEMENT BETWEEN US TO ARBITRATE ANY DISPUTE WHENEVER YOU OR WE ELECT TO ARBITRATE A CLAIM (AS DEFINED BELOW). ARBITRATION REPLACES THE RIGHT TO GO TO COURT, INCLUDING THE RIGHT TO A JURY AND THE RIGHT TO PARTICIPATE IN A CLASS ACTION OR SIMILAR PROCEEDING. IN ARBITRATION, A DISPUTE IS RESOLVED BY AN ARBITRATOR INSTEAD OF A JUDGE OR JURY.

THE FOLLOWING ARBITRATION PROVISION IS NOT APPLICABLE TO BORROWERS WHO ARE “COVERED BORROWERS” UNDER THE MILITARY LENDING ACT.

This Section sets forth the circumstances and procedures under which Claims (as defined below) shall be arbitrated instead of litigated in court upon the election of either party.

Definitions

As used in this Arbitration Section, the term “Claim” means any claim, dispute or controversy between you and Bank, Servicer or any of their agents or retailers, arising from or relating to the Card or this Agreement as well as any related or prior agreement that you may have had with us or the relationships resulting from this Agreement, including the validity, enforceability or scope of this Arbitration Section or the Agreement. “Claim” includes claims of every kind and nature, including but not limited to initial claims, counterclaims, cross-claims and third-party claims and claims based upon contract, tort, fraud and other intentional torts, statutes, regulations, common law and equity. The term “Claim” is to be given the broadest possible meaning that will be enforced and includes, by way of example and without limitation, any claim, dispute or controversy that arises from or relates to (i) your Card or Account; (ii) advertisements, promotions or oral or written statements related to the Card or Account or goods or services purchased with the Cards; (iii) the benefits and services related to the Card or Account; and (iv) your enrollment for any Card or Account. We shall not elect to use arbitration under the Arbitration Provision for any Claim that you properly file and pursue in a small claims court of your state or municipality so long as the Claim is individual and pending only in that court; any appeals from that court shall be pursued only in arbitration. As used in this Arbitration Section, the terms “we” and “us” shall for all purposes mean the Bank and Servicer, and their respective affiliates, licensees, predecessors, successors, and assigns, and all of their respective agents, employees, directors and representatives. In addition, “we” or “us” shall include any third party using or providing any product, service or benefit in connection with any Cards (including, but not limited to merchants who accept the Card, third parties who use or provide services, debt collectors and all of their agents, employees, directors and representatives) if, and only if, such third party is named as a co-party with us (or files a Claim with or against us) in connection with a Claim asserted by you. As solely used in this Arbitration Section, the terms “you” or “your” shall mean all persons or entities that have access to or use a Card or Account, including but not limited to all persons or entities contractually obligated under any of the Agreements.

Initiation of Arbitration Proceeding/Selection of Administrator

Any Claim shall be resolved, upon the election by you or us, by arbitration pursuant to this Arbitration Section and the code of procedures of the national arbitration organization to which the Claim is referred in effect at the time the Claim is filed. Claims shall be referred to either Judicial Arbitration and Mediation Services (“JAMS”) or the American Arbitration Association (“AAA”), as selected by the party electing to use arbitration. For a copy of the procedures, to file a Claim or for other information about these organizations, contact them as follows: (i) JAMS at 1920 Main Street, Suite 300, Los Angeles, CA 92614; website at www.jamsadr.com; and (ii) AAA at 335 Madison Avenue, New York, NY 10017; website at www.adr.org.

Significance of Arbitration

IF ARBITRATION IS CHOSEN BY ANY PARTY WITH RESPECT TO A CLAIM, NEITHER YOU NOR WE WILL HAVE THE RIGHT TO LITIGATE THAT CLAIM IN COURT OR HAVE A JURY TRIAL ON THAT CLAIM, OR TO ENGAGE IN DISCOVERY EXCEPT AS PROVIDED FOR IN THE CODE OF PROCEDURES OF JAMS OR AAA, AS APPLICABLE (THE “CODE”). FURTHER, YOU WILL NOT HAVE THE RIGHT TO PARTICIPATE IN A REPRESENTATIVE CAPACITY OR AS A MEMBER OF ANY CLASS OF CLAIMANTS PERTAINING TO ANY CLAIM SUBJECT TO ARBITRATION. THE ARBITRATOR SHALL NOT CONDUCT A CLASS ARBITRATION OR A JOINT ARBITRATION, EXCEPT AS SET FORTH BELOW. THE ARBITRATOR’S DECISION WILL BE FINAL AND BINDING. NOTE THAT OTHER RIGHTS THAT YOU WOULD HAVE IF YOU WENT TO COURT ALSO MAY NOT BE AVAILABLE IN ARBITRATION.

Restrictions on Arbitration

If either party elects to resolve a Claim by arbitration, that Claim shall be arbitrated on an individual basis. There shall be no right or authority for any Claims to be arbitrated on a class action basis or on bases involving Claims brought in a purported representative capacity on behalf of the general public, other cardholders or other persons similarly situated. Notwithstanding the foregoing, to the extent required under California law, this Arbitration Agreement shall not preclude you from seeking public injunctive relief in court. The arbitrator’s authority to resolve Claims is limited to Claims between you and us alone, and the arbitrator’s authority to make awards is limited to you and us alone. Furthermore, Claims brought by you against us or by us against you may not be joined or consolidated in arbitration with Claims brought by or against someone other than you, unless otherwise agreed to in writing by all parties.

Location of Arbitration/Payment of Fees

Any arbitration hearing that you attend shall take place in the federal judicial district of your residence. At your written request, we will consider in good faith making a temporary advance of all or part of the filing administrative and/or hearing fees for any Claim you initiate as to which you or we seek arbitration. At the conclusion of the arbitration (or any appeal thereof), the arbitrator (or panel) will decide who will ultimately be responsible for paying the filing, administrative and/or hearing fees in connection with the arbitration (or appeal). If and to the extent you incur filing, administrative and/or hearing fees in arbitration, including for any appeal, exceeding the amount they would have been if the Claim had been brought in the state or federal court which is closest to your billing address and would have had jurisdiction over the Claim, we will reimburse you to that extent unless the arbitrator (or panel) determines that the fees were incurred without any substantial justification.

Arbitration Procedures

This Arbitration Section is made pursuant to a transaction involving interstate commerce, and shall be governed by the Federal Arbitration Act, as it may be amended (the “FAA”). The arbitration shall be governed by the applicable Code, except that (to the extent enforceable under the FAA) this Arbitration Section shall control if it is inconsistent with the applicable Code. The arbitrator shall apply applicable substantive law consistent with the FAA and applicable statutes of limitations and shall honor claims of privilege recognized at law and, at the timely request of either party, shall provide a brief written explanation of the basis for the decision. In conducting the arbitration proceeding, the arbitrator shall not apply the Federal or any state rules of civil procedure or rules of evidence. The arbitrator shall take reasonable steps to preserve the privacy of individuals, and of business matters. Judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction. The arbitrator’s decision will be final and binding, except for any right of appeal provided by the FAA. However, any party can appeal that award to a three-arbitrator panel administered by the same arbitration organization, which shall consider anew any aspect of the initial award objected to by the appealing party. The appealing party shall have thirty (30) days from the date of entry of the written arbitration award to notify the arbitration organization that it is exercising the right of appeal. The appeal shall be filed with the arbitration organization in the form of a dated writing. The arbitration organization will then notify the other party that the award has been appealed. The arbitration organization will appoint a three-arbitrator panel which will conduct arbitration pursuant to its Code and issue its decision within one hundred twenty (120) days of the date of the appellant’s written notice. The decision of the panel shall be by majority vote and shall be final and binding.

California Residents: Notwithstanding anything to the contrary in this Arbitration Agreement:

• You have the right to demand that arbitration take place within the State of California, in the county of your residence, consistent with the California Arbitration Act.
• We will bear any arbitration filing fees and arbitrator’s fees beyond the amount you would be required to pay to file a claim in a California state court of competent jurisdiction.
• Nothing in this Agreement limits your right to pursue statutory remedies available under California law, including the right to seek public injunctive relief in court.

Survival

This Arbitration Section shall survive termination of your Card or Account as well as voluntary payment of the debt in full by you, any legal proceeding by us to collect a debt owed by you, and any bankruptcy by you or us. If any portion of this Arbitration Section is deemed invalid or unenforceable under any principle or provision of law or equity, consistent with the FAA, it shall not invalidate the remaining portions of this Arbitration Section, the Agreement or any prior agreement you may have had with us, each of which shall be enforceable regardless of such invalidity.

Opt Out

If you do not wish to be bound by the arbitration and class-action waiver provisions in this section, you have the right to opt out by sending a signed written notice postmarked within 30 days after you open your Account. Your written notice must be mailed to the following address: Sparrow, 9450 SW Gemini Dr. #87446, Beaverton, OR 97008, ATTN: Arbitration Opt Out. Such notice must include: (i) your name and Account number; (ii) your email and mailing addresses, and (iii) a statement that you do not wish to resolve disputes through arbitration. Such notice affects this Agreement only; if you previously entered into other arbitration agreements with us or enter into other such agreements with us in the future, your notice that you are opting out of the arbitration provision under this Agreement shall not affect any other arbitration agreements between you and us. Nor shall your notice affect any arbitration agreements or provisions you may have with Servicer under any agreements you have with them.

STATE NOTICES

All Accounts, including California and Utah Residents: As required by law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligations.

California Residents: A married applicant may apply for a separate account.

Wisconsin Residents: Notice to Married Wisconsin Residents:

No provision of a marital property agreement, a unilateral statement under Wis. Stat. § 766.59, or a court decree under Wis. Stat. § 766.70 adversely affects a creditor’s interest unless, prior to the time credit is granted, the creditor is furnished a copy of the agreement, statement, or decree, or the creditor has actual knowledge of the adverse provision. If you are married, by applying for or opening this Account you confirm that the credit is being incurred in the interest of your marriage or family.

New York Residents: You may obtain a comparative listing of credit card rates, fees, and grace periods by contacting the New York State Department of Financial Services at 1-800-342-3736 or visiting www.dfs.ny.gov.

Vermont Residents: You authorize us to obtain credit reports in connection with your application for credit and for purposes of reviewing, renewing, updating, collecting, or taking other credit-related actions on your Account. Upon request, you will be informed whether or not a credit report was obtained, and if so, the name and address of the consumer reporting agency that furnished the report.

New Hampshire Residents: If you prevail in any action, suit, or proceeding we bring or in which we are named as a defendant or otherwise joined for the enforcement of this Agreement, and if the court finds that the action, suit, or proceeding was brought or defended without merit, you may recover reasonable attorney’s fees.

YOUR BILLING RIGHTS

KEEP THIS DOCUMENT FOR FUTURE USE

This notice tells you about your rights and our responsibilities under the Fair Credit Billing Act

What To Do If You Find a Mistake on Your Statement

If you think there is an error on your statement, write to us at:

Sparrow

9450 SW Gemini Dr. #87446

Beaverton, OR 97008

You may also contact us at 1-800-839-9797

In your letter, give us the following information:

(1)  account Information: your name and Account number;

(2)  dollar amount: the dollar amount of the suspected error; and

(3)  description of the problem: if you think there is an error on your bill, describe what you believe is wrong and why you believe it is a mistake.

You must contact us within 60 days after the error appeared on your statement, and at least three (3) business days before an automated payment is scheduled, if you want to stop payment on the amount you think is wrong.

You may notify us of any potential errors in writing or by calling us. You may still be required to pay the amount(s) in question if the Bank determines the transaction is not an error. If you believe fraud has occurred on your account, please call us as soon as possible at 1-800-839-9797.

What Will Happen After We Receive Your Letter

When we receive your letter, within 30 days of receiving your letter, we will tell you that we received your letter. We will also tell you if we have already corrected the error.

While we investigate whether or not there has been an error, the following are true:

(1)  We cannot try to collect the amount in question or report you as delinquent on that amount.

(2)  The charge in question may remain on your statement, and we may continue to charge you interest on that amount. But, if we determine that we made a mistake, you will not have to pay the amount in question or any interest or other fees related to that amount;

(3)  While you do not have to pay the amount in question until we send you a notice about the outcome of our investigation, you are responsible for the remainder of your balance; and

(4)  We can apply any unpaid amount against your Credit Limit.

Within 90 days of receipt of your letter, we will send you a written notice explaining either that we corrected the error (to appear on your next Statement) or the reasons we believe the bill is correct. If we do not believe there was a mistake, you will have to pay the amount in question, along with applicable interest and fees. We will send you a Statement of the amount you owe and the date payment is due. We may then report you as delinquent if you do not pay the amount we think you owe.

If you receive our explanation but still believe your bill is wrong, you must write to us within 10 days telling us that you still refuse to pay. If you do so, we cannot report you as delinquent without also reporting that you are questioning your bill. We must tell you the name of anyone to whom we reported you as delinquent, and we must let those organizations know when the matter has been settled between us.

If we do not follow all of the rules above, you do not have to pay the first $50 of the amount you question, even if your bill is correct.

Your Rights If You Are Dissatisfied With Your Card Purchase

If you are dissatisfied with the goods or services that you have purchased with your Card and you have tried in good faith to correct the problem with the merchant, you may have the right not to pay the remaining amount due on the purchase. To use this right, all of the following must be true:

(1)  The Purchase must have been made in your home state or within 100 miles of your current mailing address, and the Purchase price must have been more than $50. (Note: Neither of these are necessary if your Purchase was based on an advertisement we mailed to you, or if we own the company that sold you the goods or services.);

(2)  you must have used your Card for the purchase. Purchases made with Cash Advances from an ATM do not qualify or with a check that accesses your credit card account do not qualify; and

(3)  you must not yet have fully paid for the purchase.

If all of the criteria above are met and you are still dissatisfied with the purchase, contact us in writing at:

Sparrow

9450 SW Gemini Dr. #87446

Beaverton, OR 97008

While we investigate, the same rules apply to the disputed amount as discussed above. After we finish our investigation, we will tell you our decision. At that point, if we think you owe us an amount and you do not pay, we may report you as delinquent.