Effective January 18, 2022
Missouri, Kansas, Illinois, Oklahoma and Colorado
This Agreement contains an agreement to arbitrate, a class action waiver, and a jury trial waiver. Please read the entire Section IV titled “DISPUTE RESOLUTION - ARBITRATION” and Section V titled “DISPUTE RESOLUTION – JURY TRIAL WAIVER.” You have the right to opt out of the agreement to arbitrate by notifying us within the time period specified in Section IV.
When you open, use or maintain a deposit account with Commerce Bank (“account”), you are agreeing to the terms of this Deposit Agreement (referred to as “Agreement”). It is a legally binding contract. An “account” means a checking, savings, or money market account or a certificate of deposit. In this Agreement, the words “we,” “us,” and “our” mean Commerce Bank and the words “you,” “your,” “yours,” and “yourself” mean the holder(s) of the account (“accountholder(s)”) identified on the signature card or other account documents and anyone else with the authority to deposit, withdraw, or exercise control over the funds in the account. For purposes of this Agreement, “business day” or “banking day” means any day except Saturdays, Sundays and federal holidays. Read this information carefully and keep it with your other account records.
By opening, using, or maintaining a deposit account with us, you acknowledge that you have reviewed and understand this Agreement and agree to be governed by these terms. You authorize us to manage, process or otherwise maintain your account as set forth in this Agreement, as amended from time to time.Back to Top
This Agreement includes the terms that apply to your account with us, or any one of our predecessors and replaces and supersedes any previous deposit agreements. It also contains important regulatory disclosures relating to the availability of deposited funds, electronic fund transfers, and substitute checks. Separate schedules of fees, disclosures, and other materials governing the account are also incorporated into this Agreement. This Agreement also contains the agreement governing your ATM card. Certain accounts involve special rules in addition to the rules of this Agreement. For example, an Individual Retirement Account is, in addition to this Agreement, subject to an Individual Retirement Account Custodial Agreement. Online Banking, debit cards, bankcards with ATM access, and other services may be subject to additional agreements. Non-personal account owners may also be subject to our Treasury Services Agreement and related service agreements. If any of the terms or disclosures of this Agreement conflict with the terms of any specific service agreements with us or any other disclosures, the terms of the specific service agreements and other disclosures will govern. The headings in this Agreement are for convenience of reference only and will not govern the interpretation of the provisions.Back to Top
Our relationship with you is regulated by state and federal laws and regulations, including the laws of the United States, the Uniform Commercial Code, regulations of the Board of Governors of the Federal Reserve System, operating letters of the various Federal Reserve Banks, and regulations, rules and interpretations of regulatory agencies, clearinghouse associations and fund transfers systems (together referred to as “applicable law”). If any term, clause, or provision of this Agreement comes into conflict with applicable law or shall be determined by a court of competent jurisdiction to be void, invalid, or unenforceable as written, such conflict or invalidity shall not affect the validity or operation of any other term, clause, or provision and such conflicting or invalid term, clause, or provision shall be deemed to be severed from the Agreement and superseded by a consistent, valid, enforceable term, clause, or provision that most closely matches the intent of the original term, clause, or provision and the remainder of the Agreement shall continue in effect.Back to Top
This Agreement will be governed by applicable federal law and, to the extent not preempted by applicable federal law, by applicable law of the state in which the account was, or is considered, opened (“account domicile state”). Any account opened by mail, telephone or electronic means will be considered opened in Missouri, unless the first named accountholder resides in a state in which we maintain a branch. In that event, the account will be considered opened in the state in which the first-named accountholder resides.
You agree that, as between you and us, any fund transfer conducted via an ACH entry or through the SWIFT or Fedwire fund transfer system shall be governed by the applicable laws of the state of Missouri, including Missouri’s Uniform Commercial Code Article 4A.Back to Top
An action or proceeding by you to enforce an obligation, duty or right arising under this Agreement or by law with respect to your account(s) or any account service(s) must be commenced within one (1) year after the cause of action accrues.Back to Top
You agree, for yourself (and the person or entity you represent if you act as a representative or agent of another) to the terms of this Agreement, including without limitation schedules of fees. You authorize us to deduct these fees directly from the account balance as they accrue. You will pay any additional reasonable fees for services you request which are not covered by this Agreement. On joint and certain other accounts, each of you also agrees to be jointly and severally liable for any and all fees and other amounts owed to us in connection with the account, including but not limited to, overdrafts and indemnification liabilities under this Agreement. This is the case whether the fee, obligation, or liability is caused by you or by another with access to your account. Payment of such fees, amounts, and obligations is due immediately, and can be deducted directly from the account balance whenever funds are available. An account debit for part of the amount due is not a waiver of the balance due. You have no right to defer payment of these liabilities, and you are liable regardless of whether you signed the item or benefited from the service or activity which created the liability.Back to Top
You agree to reimburse us for any and all claims, damages, losses, liabilities, expenses and, to the extent permitted by law, costs including reasonable attorneys’ fees and collection agencies’ fees, we incur with respect to the collection of overdrafts or other amounts due from you under this Agreement, or otherwise in connection with your account. You agree to pay our attorneys’ fees and costs, in addition to any obligations described above, in the event that we shall prevail in any legal proceeding arising out of your account or this Agreement, including any legal proceeding that you initiate arising out of your account or this Agreement. You also agree to indemnify, defend, and hold us harmless from any and all claims, damages, losses, liabilities, expenses, and costs including attorneys’ fees, arising in connection with services provided under this Agreement, except to the extent arising out of our gross negligence or willful misconduct. We will not be responsible for any loss to you caused by an event that is beyond our control, including, but not limited to, natural disasters, wars, acts of terrorists, riots, strikes, computer failure, or the loss or interruption of power, communication, or transportation facilities. We will not be responsible for any acts or omissions of a third party not under our direct control, including without limitation, a clearinghouse, service provider, or Federal Reserve Bank. In no event shall we be liable to you for special, punitive, or consequential damages from the performance of services in connection with the account, unless otherwise required by law. There are no third-party beneficiaries of this Agreement and we will not be responsible to any third party for services performed in connection with this Agreement.
WAIVER OF CLAIMS: YOUR FAILURE TO REPORT ANY ACCOUNT DISPUTE OR DIFFERENCE, ERROR, UNAUTHORIZED TRANSACTION, FEE OR OTHER CHARGE ASSESSED TO YOUR ACCOUNT(S) UTILIZING THE ERROR RESOLUTION GUIDELINES AND THE NOTICE DEADLINES SET FORTH IN SECTION III.B OF THIS AGREEMENT, OR IN SECTION VII OF THIS AGREEMENT FOR AN ELECTRONIC FUND TRANSFER (“EFT”) TRANSACTION OR SERVICE, SHALL PRECLUDE YOU FROM RECOVERING ANY AMOUNTS FROM US AND YOU HEREBY WAIVE ALL LEGAL CLAIMS RELATED TO ANY SUCH FEES OR SERVICES ASSOCIATED WITH YOUR ACCOUNT THAT WERE REFLECTED ON YOUR STATEMENT, OR THAT ARE ON OUR FEE SCHEDULE. YOU ACKNOWLEDGE THAT THIS IS A MATERIAL TERM TO THE CONTRACT BETWEEN YOU AND US. YOU FURTHER ACKNOWLEDGE THAT IF YOU ARE NOT SATISFIED WITH A FEE OR SERVICE THAT YOU MAY CHANGE BANKS AT ANY TIME. IF YOU HAVE A SEPARATE CONTRACT WITH US ASIDE FROM THIS AGREEMENT, THAT CONTRACT WILL CONTROL AS TO ANY APPLICABLE NOTICE PROVISIONS.Back to Top
We may monitor and record any telephone conversation or online chat with you at any time without further notice to you, as allowed by law. You consent in advance to any such monitoring or recording. We may record video of our premises including all activity and transactions. The decision to record any conversation or premises shall be solely at our discretion and we shall have no liability for doing so or failing to do so. Any such audio or video recordings, or chat transcripts, are our exclusive property.Back to Top
We reserve the right to waive or delay the enforcement of any of the terms of this Agreement with respect to any transaction, any series of transactions with you, or any bank product. Any such waiver or delay will not affect our right to enforce any of our rights with respect to other customers or to enforce any of our rights with respect to later transactions with you and is not sufficient to modify the terms and conditions of this Agreement. For example, our payment of overdrafts on your account does not waive our right to return items or other debits for insufficient funds. If a fee is waived because of a certain condition, for example, your participation in a package account product or private banking, the fee may be assessed without notice upon termination of that condition or because the condition no longer qualifies for a fee waiver.Back to Top
You waive any notice of non-payment, dishonor or protest regarding any item credited to or charged against your account. For example, if a check that you deposited is dishonored and returned to us, we are not required to notify you of the dishonor.Back to Top
If another person or entity makes a claim against the funds in your account, or if we have reason to believe there is or may be a dispute over matters such as the ownership of the account or the authority to withdraw funds, we may, in our sole discretion, (i) continue to rely on current signature cards, resolutions, or other account documents, (ii) honor the competing claim upon receipt of evidence we deem satisfactory to justify such action, (iii) place a hold on all or part of the funds until the dispute is resolved to our satisfaction, or (iv) pay the funds into an appropriate court of law for resolution pursuant to an interpleader or other action. It is intended that this provision provide a remedy for us notwithstanding that state law may limit the availability of interpleader. You agree that we may withhold from funds subject to an interpleader or other action our costs, including reasonable document production costs or attorneys’ fees. We will not be liable for any items or debits that are dishonored as a consequence of holding or interpleading funds for these reasons.Back to Top
We may amend this Agreement by sending you a notice or including a message on or with your account statement. The notice or statement will be sent to the address shown on our deposit records, or, if applicable, you will be notified of its availability electronically, or it will otherwise be made available to you, and will be effective whether or not you receive it. We may change our fee schedules subject to any notice required by law. Although your acceptance of a change may not be required, your continued use of your account after the effective date of any amendment or change, or after a reasonable time, not to exceed ten (10) calendar days, if no such date is stated, will constitute your acceptance of the terms of the amendment or change. We may amend the terms of the fee schedules or other terms applicable to a particular account, based upon the account relationship or other factors.Back to Top
We may close any account and return the balance to you at any time, in our sole discretion, with or without prior notice. If your account reaches a zero balance, we reserve the right to consider the account closed. You may close your account at any time upon notice to us. We may require, in our discretion, that such notice be given in writing or in person. If you close your account, you must terminate all banking services related to the account (for example, debit cards or internet banking) and preauthorized debits and credits (for example, bill payments, payroll or social security). A subsequent deposit or credit may re-open the account. Closing the account, by you or by us, will not release you from any fees or other obligations incurred before the termination, those you incur in the process of closing your account or those you incur if the account reopens due to a subsequent deposit, debit, or credit or failure to terminate any banking service related to the account. Closing the account does not release you from liability on outstanding items. This Agreement will continue to govern matters relating to your account which arose before the account is closed or which may arise later, whether or not the account is reopened under the provisions of this Agreement.Back to Top
Funds in your account(s) with us are insured by the Federal Deposit Insurance Corporation (FDIC). For a more detailed explanation of coverage or additional information about FDIC insurance, you may visit a Commerce branch or contact the FDIC online at www.fdic.gov or by calling 1-877-ASKFDIC (1-877-275-3342).Back to Top
We may make inquiries from reporting agencies that we consider appropriate to help us verify your identity and determine if we should open, continue to service, collect, or close your account. Our inquiries may include verification of employment, credit report information, and other information we determine is necessary to protect our interests and comply with industry requirements.
Upon request, we will inform you whether we requested information about you from a reporting agency. If we did request information about you from a reporting agency, we will provide you with the name, address, and telephone number of the reporting agency.
Without notice to you, we may disclose your account information to reporting agencies or other third parties that we have determined have a legitimate purpose to access the information, including, but not limited to, the following parties or under the following circumstances:
If your account is closed because of abuse, neglect, negative balance, or dormancy, we may report your account information to services such as ChexSystems, Inc. or other reporting agencies. Account information that might be provided to ChexSystems, Inc. or other reporting agencies may include, but is not limited to, your name, address, tax identification number, driver’s license number, and circumstances related to the closing of your account. ChexSystems, Inc. or other reporting agencies may report this information to others. This information may adversely impact your ability to open an account at other financial institutions.Back to Top
Any conflict between what you or our employees may say or write will be resolved by reference to this Agreement. All written and oral communication will be in English, unless otherwise required by law. If any non-English documents are presented to you or if any conversations are had with you in a language other than English, it is as a courtesy and does not obligate us to present any future documents or conduct future business with you in any language other than English except as otherwise required by law. You agree that to service your accounts, or should your accounts become delinquent or have a negative balance, the bank or its agents may contact you using any methods as allowed by law including but not limited to: telephone calls to any number that we obtain or you provided; online chat via Online Banking; email, text, SMS, or other forms or methods of communication such as contacting you using an auto-dialer or pre-recorded or artificial voice calls or messages. You also agree that you shall be solely responsible for any fees charged by your internet or cellular provider that you incurred through such contact.Back to Top
To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify and record information that identifies each person who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents. This information will be entered into our records and may be used to determine ownership of accounts.Back to Top
The sections below identify various forms of account ownership. We reserve the right to refuse some forms of ownership on any or all of our accounts, and to offer additional forms of ownership. When opening an account, you recognize that it is your responsibility to determine the appropriateness, tax consequences and legal effect of the form of ownership of the account, including any beneficiary designations. You must satisfy any eligibility requirements we have for the type of account you choose. We may discontinue offering or change eligibility for any of the account types. In the event the signature card and/or other form of resolution or authorization is unavailable or incomplete, information from our deposit system or other records may be relied upon to determine the form of ownership of the account, or the appropriate signers for the account. If you choose to change the account ownership in any manner, we may require you to close the account, submit identification documents and other appropriate documentation, and open a new account reflecting the new ownership.Back to Top
You are the sole owner of the account. You may appoint an attorney-in-fact with respect to the account. Otherwise, you are the only person authorized to use the account. Appointments of agents and attorneys-in-fact are governed by the terms of Section II.H of this Agreement.Back to Top
A personal account in the names of two (2) or more persons is held in joint tenancy with right of survivorship and not as tenants in common. Any accounts held by spouses are as tenants by the entirety if this form of ownership is recognized by the account domicile state. If two (2) or more joint account owners survive, the survivors hold the account as joint tenants with right of survivorship. Some of the other rules that govern joint accounts are described in Section III.C of this Agreement.Back to Top
Accounts established under the Uniform Transfers to Minors Law, Uniform Gift to Minors Act, or other corresponding state law, are governed by the applicable state law. This is an account in the name of a custodian for the benefit of a person who is a minor under such law at the time that the account is opened (the “child”). The child is the owner of the funds in the account although the custodian is the only party permitted to act on the account. We have no duty or agreement whatsoever to monitor or ensure that the acts of the custodian (or successor custodian) are for the child’s benefit. The child’s Social Security Number/Taxpayer Identification Number (SSN/TIN) is used for the Backup Withholding Certification. Only one (1) custodian and one (1) minor are permitted on each account. Although the custodian has the obligation to turn the funds over to the child upon the child reaching the age of majority under the law, the custodian authorizes us, at our discretion, to satisfy the custodian’s duty to transfer funds to the child upon the child’s request at such time.Back to Top
Upon the death of a joint account owner, the surviving joint account owner(s) agree to promptly notify us, and the balance in the account belongs to the surviving account owner(s), subject to our right of setoff and security interest in the account (or right to charge the account for any debt the deceased joint account owner or any surviving joint account owner may have owed us). We may require anyone claiming a deceased owner’s account funds to, (i) provide proof of death of the original or joint account owner(s) or listed beneficiaries, (ii) verify the identification of any person claiming funds from the account, and (iii) indemnify us for any losses resulting from our honoring that claim. This Agreement will be binding upon any heirs or legal representatives of any account owner. We may continue to process all transactions on an account until we are properly notified of an account owner’s death and we have had a reasonable opportunity to act. We may also return, as required, deposits such as any government or retirement benefit made after the death of the account owner. Surviving joint account owner(s) are responsible for any overdrawn account balance resulting from transactions initiated by the deceased joint account owner or due to any reclamation of government or retirement benefits. Accrual and payment of interest to an individual account with no joint account owners may cease effective the date of death of the owner, and we may reverse from the account any interest payments made after the date of death of the owner and continue charging any applicable fees and service charges.Back to Top
An account where the account owner names one (1) or more parties as beneficiaries is considered a Payable on Death Account (a “POD Account”). A POD Account is governed by the applicable law of the account domicile state. Accounts in Missouri are established pursuant to Section 362.471 R.S.Mo. and not under the Nonprobate Transfers Law of Missouri. A POD Account belongs to the owner(s) during their lifetimes and not to the POD Account beneficiary or beneficiaries. If the POD Account has two (2) or more joint account owners living, the account will be treated as a joint account with rights of survivorship. Upon the death of a joint account owner, the balance in the account belongs to any surviving account owner(s). If (i) all account owners are deceased, and (ii) the beneficiary is then living, and (iii) the requirements under Section II.F of this Agreement have been satisfied, a beneficiary shall then have the right to claim the balance of the account funds as of the date of death of the last surviving account owner, minus transactions authorized by the account owner or deposited benefit payments made prior to death, or funds subject to our right of setoff and security interest in the account. If two (2) or more beneficiaries are named and survive the death of all owners, these beneficiaries will own the funds in equal shares, without right of survivorship. If a beneficiary dies before the account owner(s), neither that beneficiary’s heirs nor estate have any interest in the funds upon the death of the account owner(s). Upon request for payment by any beneficiary, we will pay to all of the beneficiaries surviving at the death of the last surviving owner, the balance of the account minus transactions authorized by the account owner, deposited benefit payments made prior to death, or funds subject to our right of setoff and security interest in the account, as of the date of the account owner(s) death either by check payable jointly to all these beneficiaries or by separate checks in equal shares. If the account was opened at a branch located in Kansas, the funds may be subject to a claim of the Secretary of Social and Rehabilitation Services pursuant to K.S.A. 39-709(g). Account owners may at any time remove any or all of the beneficiaries or name additional beneficiaries; provided, however, all of the account owners must agree to the change on a form acceptable to us. We may request proof of death of the original owner(s) and any beneficiaries and require identification from any person requesting funds from the account.Back to Top
Any individual or entity acting as guardian, conservator, personal representative, trustee, custodian, attorney-in-fact or in some other fiduciary capacity (“Agent”) must be designated to us as such on the signature card or other account documentation or record. We are authorized to follow the directions of an Agent regarding an account until we receive written notice that the agency or fiduciary relationship has been terminated or revoked and we have a reasonable opportunity to act on such notice, but in no event less than five (5) business days, provided we may recognize such termination earlier. We are not liable for misapplication of funds from your account by your Agent. The Agent or fiduciary shall be solely responsible for acting in accordance with applicable laws and the terms of any court order, trust or other document establishing and covering the agent or fiduciary relationship. We are not responsible for insuring compliance with such laws, court orders or documents. When an account is held in the name of two (2) or more persons as Agents or in a fiduciary capacity, each authorizes the other to act independently with respect to the account. We are not required to recognize any power of attorney and we may require that any power of attorney form be approved by us. If we do allow the transaction of business by its use, you and all joint account owners will be bound by the actions taken by the Agent. We also reserve the right to restrict the types or sizes of transactions we will permit an Agent to conduct on a case-by-case basis and may require the Agent to present the original documentation establishing their authority before conducting any transaction.Back to Top
Business accounts are those established by any sole proprietorship, partnership, corporation, fiduciary, limited liability company, limited liability partnership, association or other entity, other than in an individual capacity, operated for profit. Other non-personal accounts include those established by a corporation, association or other organization operated primarily for religious, philanthropic, charitable, educational, fraternal or other similar purposes and not operated for a profit; and accounts established by governmental units including the United States, any state of the United States, or any county, municipality, or political subdivision thereof, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, American Samoa, Guam or political subdivision thereof.
We may require a resolution, authorization, agreement or other documents to evidence the authority of individuals to act on behalf of the business or other non-personal account owner. We are not required to recognize any resolution or authorization that is not our form. The business or other legal entity agrees to provide us promptly a new resolution, authorization or other documentation as we may request upon any change in authority. We are authorized to follow the directions of a person designated as having authority to act on the entity’s behalf in all matters and transactions with respect to the account until we receive a written resolution or authorization effecting a change in the authorized signers and have a reasonable time to act on such change, but in no event less than five (5) business days, provided we may recognize such change earlier. A change in authorized signers may require that the account be closed and a new account opened, as we may determine in our sole discretion.
Each person whose name appears on the signature card, or any resolution or authorization, represents and agrees that such person is authorized to execute all documents in the capacity stated therein, has furnished all documents necessary to evidence that authority and will furnish any other documents in such form as we may request from time to time. If the account is under a trade name, you certify that you are doing business under that name and that no one else has any right, title or interest in that trade name. You agree to indemnify us against any loss or liability, including court costs and attorneys’ fees to the extent permitted by law, arising from our acceptance for payment or credit, checks or other items drawn to the order of that trade name.
Earnings in the form of interest or credits will be paid on the collected balance, which includes deposits of cash and checks drawn on us and non-cash items (for example, checks) for which we have received credit in accordance with schedules adopted from time to time by us. Interest will be charged on the use of uncollected funds.
We are prohibited from processing restricted transactions through your business account under the Unlawful Internet Gambling Act of 2006. We reserve the right to deny authorization requests from online gambling merchants, whether or not online gambling is illegal in the state in which you reside.Back to Top
Each joint account owner authorizes us to deposit in the account, with or without endorsement, all checks, drafts and other instruments for the payment of money made payable to all or any joint account owner(s). Each joint account owner authorizes each other joint account owner to operate the account without the consent or approval of any joint account owner, including but not limited to: (i) withdraw, by any means we make available, any or all of the funds on deposit; (ii) make deposits to the account; (iii) endorse for deposit to the joint account any item payable to any joint account owner(s); (iv) instruct us to stop payment on any item drawn on or debit to the account regardless of which joint account owner drew the item or authorized the debit; (v) draw upon any overdraft or other line of credit which may be established in connection with the account; (vi) pledge the account as security for any debts, whether individual, joint, corporate or otherwise; (vii) close the account at any time; (viii) appoint an agent or attorney-in-fact with respect to the account; and (ix) conduct business concerning the account without the knowledge and consent of the other joint account owners. We may give cash back to any joint account owner.
You agree to be jointly and severally liable to us for any account deficit and service charges or fees regardless of which joint account owner caused the deficit or incurred the service charges or fees, or benefited from the deficit, charges or fees. Each joint account owner authorizes us to exercise setoff and enforce our security interest in the entire joint account, even though only one (1) of the joint account owners is the debtor. Garnishments against any joint account owner(s) are subject to our right of setoff and security interest and may cause the account to be frozen or debited whether or not all joint account owners are named in the garnishment. You agree that any one (1) joint account owner may pledge the account, including certificates of deposit, and that the lien created by the pledge will survive the death of the joint account owner who made the pledge. Notice to any one (1) joint account owner constitutes notice to all joint account owners.Back to Top
The following are examples of processing times.1
|Type of Transaction||Processing Times|
||Processed immediately. Deposits subject to funds availability policy.|
||Processed immediately and subject to receipt of final transaction (subject to section III.F below)|
||Processed throughout the business day as transactions are received.|
||After cutoff time during nightly processing.|
If you stop payment on an item or other debit and we incur any damages or expenses because of the stop payment, you agree to indemnify us for those damages or expenses, including attorneys’ fees. If we pay an item or debit over a valid and timely stop order, you agree to sign a statement describing the dispute with the payee or originator and, if we recredit your account, to transfer to us all of your rights against the payee (or other holder of the item) or originator, and to assist us in legal action taken against that person. Our liability for paying an item or non-recurring ACH subject to a proper and timely stop payment order is limited to the lesser of the amount of the item or debit or the actual loss suffered, which you must prove to our satisfaction. If we pay a preauthorized EFT over a valid stop payment order, we are liable for your losses or damages. We are not liable for paying an item or debit if a previous stop payment order has not been renewed.
You may not use any checks that contain a background image, latent security feature, paper stock, ink or other characteristic that interferes with our or any other bank’s ability to produce a digital image of your check. If you do, you will be responsible for any losses you or another person suffers because of the inability to produce a readable digital image of your check. You will defend and hold us harmless from any Check 21 Act warranty, indemnity or expedited re-credit claim. See Section III.D.1 of this Agreement for more information about Check 21 and how it applies to your Account.Back to Top
For more information about ACH transactions to or from consumer accounts, see Section VII of this Agreement.
You hereby grant us a security interest in your deposit accounts. If you ever owe us money as borrower, guarantor or otherwise (“Obligations”), and it becomes due, we have the right under the law (called “setoff”) and under the security agreement granted us by this Agreement to use the funds in your account(s) to pay the Obligations. In the case of a partnership or joint account, each partner or joint account owner agrees that we may use the money in the account to satisfy any one of their individual Obligations. Similarly, each partner or joint account owner agrees that we may use the money in their individual accounts to satisfy Obligations in the joint account or partnership account. The Obligations, whether now existing or contracted in the future, which you owe to us, either individually or jointly, may be charged against any deposit account, including certificates of deposit before or after maturity, in your name whether in sole ownership or as a joint tenant or as tenants by the entirety. We may use the funds in your account(s) to pay the Obligations even if withdrawal results in an interest penalty or dishonor of checks. We will not be liable for dishonoring items where our exercise of the right of setoff and enforcement of our security interest results in insufficient funds in the account. The security interest you have granted us by this Agreement is consensual and is in addition to our right to setoff. This right of setoff and security interest may not apply if (i) the account is an Individual Retirement Account or other tax-deferred retirement account, (ii) the debt is created by a consumer credit transaction under a credit card plan, or (iii) you are an account owner in a representative capacity.Back to Top
An account may be subject to legal process such as a subpoena, restraining order, search warrant, writ of attachment or execution, levy, garnishment or similar court or administrative order (termed “legal actions” in this section). You agree that we have the option to honor legal actions without making a determination as to whether the court or administrative agency issuing a legal action has jurisdiction to do so or the legal action is otherwise subject to challenge. You agree that we will not be liable to you for the response we make to a legal action.
When your account is subject to a legal action, we shall not be liable to you for withdrawing funds or restricting the account even if such action leaves insufficient funds to pay checks or other debits. Such legal actions may cause the account to be frozen or debited whether or not all joint account owners are named on the legal action. Any legal action against your account is subject to our right of setoff and enforcement of our security interest. Our standard fees to research and copy documents and other expenses, including our administrative and attorney’s fees, incurred in complying with legal actions may be charged to your account without prior notice to you. We may release account information and documentation in response to legal actions without notice to you unless prohibited or limited by law.Back to Top
Accounts (other than certificates of deposits) that have been inactive for 12 months (18 months if regular savings) are deemed dormant and shall, at our option, cease to earn any further interest. We reserve the right to define what characteristics constitute activity, inactivity, or a dormant account, but generally, a dormant account is one where no customer-initiated withdrawal or deposit has been made for 12 months (18 months if regular savings). See the applicable fee schedule for your respective account for more details on both inactive and dormant account fees. We may charge inactive and dormant account fees in addition to regular maintenance and other applicable fees, even if other fees had previously been waived. You will not be entitled to recover any such fees or unpaid interest in the event that you reactivate or attempt to reactivate or reestablish contact with us. Funds in dormant accounts may be turned over to the state as unclaimed property. If your funds are surrendered to the state, you may be able to reclaim them from the state, but your claim must be presented to the state. Once your funds are surrendered to the state, we no longer have any liability or responsibility with respect to the funds.Back to Top
No assignment or pledge of an account shall be binding on us unless a pledge or control agreement indicating the name and address of the assignee, and in form satisfactory to us, is signed by you and executed by our authorized officer. We reserve the right, in our sole discretion, to decline to agree to or permit an assignment or pledge of an account. Unless we agree otherwise in writing, any rights of an assignee will be subject to our right of setoff and prior security interest. We have no obligation to notify you or any other person before disbursing any funds from your account in accordance with what we in good faith believe to be the terms of the pledge or control agreement.Back to Top
For regulatory accounting purposes, your account may be divided into two (2) sub-accounts: a checking sub-account and a money market sub-account. These sub-accounts are treated as a single account — the interest or non-interest checking account — for purposes of interest payments (if applicable), minimum balance requirements, fees and charges and your account access. Your account statement and other records of your account activity (e.g. ATM receipts) will reflect this account as a single account and will not reflect the sub-accounts or transfers between sub-accounts in any way. If you have interest checking, both sub-accounts pay an identical interest rate and annual percentage yield on account balances. If you have non-interest checking, neither sub-account will pay interest on account balances. You may access the money market sub-account only indirectly through transactions on your checking sub-account.
At various times during each statement cycle, if your checking sub-account balance exceeds a threshold amount, we may transfer all funds in excess of that amount into the money market sub-account. As your transactions against the account reduce the checking sub-account balance below the threshold, we will transfer funds back into the checking sub-account. We may make up to six (6) transfers from the money market sub-account into the checking sub-account per statement cycle. Upon the sixth such transfer in a statement cycle, we will transfer the entire balance of the money market sub-account to the checking sub-account. We may repeat this process each statement cycle. We set the balance threshold and may change it at any time at our discretion.Back to Top
PLEASE READ THIS SECTION CAREFULLY. IT PROVIDES THAT, WITH LIMITED EXCEPTIONS, YOU AND WE MAY ELECT TO RESOLVE ANY DISPUTES BETWEEN YOU AND US BY BINDING ARBITRATION. IF ARBITRATION IS ELECTED, YOU AND WE WAIVE THE RIGHT TO A JURY TRIAL OR TRIAL BEFORE A JUDGE IN A PUBLIC COURT, AND YOU AND WE WAIVE ANY RIGHT TO BRING OR PARTICIPATE IN ANY CLASS ACTION OR SIMILAR PROCEEDING.
YOU HAVE THE RIGHT TO OPT OUT OF THIS AGREEMENT TO ARBITRATE AS SET FORTH BELOW.
Agreement to Arbitrate
You and we agree that either of us may elect to resolve any Claims (as defined below) through binding arbitration unless you opt out of the agreement to arbitrate as set forth below. If you or we elect to resolve a Claim through arbitration, neither you nor we will have the right to pursue such claim in court or have a jury decide the claim, nor will you or we have the right to bring or participate in any class or other representative action in court or in arbitration.
What Claims are Subject to Arbitration? As used in this section, the term “Claim” has the broadest possible meaning and includes, but is not limited to, any unresolved disagreement, controversy, dispute, or cause of action between you and us, whether preexisting, present or future, arising out of, related to or concerning this Agreement, your account(s), the services provided pursuant to this Agreement, any relationship between you and us, or any advertisement or solicitation, whether such Claim is asserted or brought in a direct, derivative, assignee, survivor, successor, beneficiary or personal capacity. Without limiting the foregoing, the term “Claim” also includes any unresolved disagreement, controversy, dispute, or cause of action between you and us arising out of, related to or concerning any fees or charges relating to any deposit account(s), and any services relating to any deposit account(s), including but not limited to, safe deposit box services, identity restoration services, on-line or telephone banking services, communication methods and practices we may use to service your account, and automated teller machine services. The term “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. For purposes of this section, “we,” “us,” and “our” includes Commerce Bank, any corporate parent, subsidiaries, affiliates, employees, officers, directors, agents, controlling persons and representatives, as well as any person or entity who provides any services in connection with this Agreement or who is named as a co-defendant with us in a Claim asserted by you.
What Disputes are Not Subject to Arbitration? Notwithstanding any other language herein, the term “Claim” shall not include any dispute or controversy regarding the validity, enforceability, coverage or scope of this agreement to arbitrate or any part thereof, including, without limitation, the “Waiver of Jury Trial and Class or Representative Action” provision set forth below, subsections A and B of the “Survival and Severance” provision set forth below and this sentence; all such disputes are for a court and not the arbitrator to decide. In addition, claims filed by you or us individually in small claims court, so long as any such claim remains in that court and advances only an individual claim for relief, are not subject to arbitration. However, if a claim is transferred, removed or appealed to a different court, you or we will then have the right to demand arbitration of such claim. This agreement to arbitrate shall not apply to any Claims or other disputes relating to business accounts or other non-personal accounts as such accounts are defined in Section II.I of this Agreement. Other claims, disputes, controversies or issues not subject to arbitration are set forth in the section titled “Rights Preserved.”
How Does Arbitration Work? The arbitration shall be administered by the American Arbitration Association (“AAA”), pursuant to its Consumer Arbitration Rules (collectively, “Rules”) in effect at the time a demand for arbitration is filed. The Rules are available online at www.adr.org, or you may contact the AAA at 120 Broadway, Floor 21, New York, N.Y 10271. If the AAA is unable to serve and you and we cannot agree on a replacement, a court with jurisdiction will select the arbitrator. If there is a conflict between the Rules and this agreement to arbitrate, or between this agreement to arbitrate and the Agreement, this agreement to arbitrate shall control. Pursuant to the Rules, the AAA will select a single arbitrator who shall have expertise in the substantive laws applicable to the Claim’s subject matter. If the value of relief sought is $10,000 or less, you or we may elect to have the arbitration conducted by telephone or based solely on the submission of written documents, unless the Rules or arbitrator requires an in-person proceeding. If the value of the relief sought is more than $10,000, or an in-person proceeding is required, the arbitration proceeding shall be conducted in the same city as the U.S. District Court closest to your home address, unless the parties mutually agree upon a different location in writing. Either party may, at its sole cost and discretion, choose to be represented by an attorney at any arbitration proceeding.
The arbitrator may award any damages or other relief provided for under applicable law as if an individual action were brought in court, including, without limitation, punitive damages (which shall be governed by the Constitutional standards employed by the courts) and injunctive, equitable and declaratory relief (but only in favor of the individual party seeking relief and only to the extent necessary to provide relief warranted by that party’s individual claim). If we made a written offer to you to settle your Claim prior to an arbitrator being selected, and the arbitrator awards you an amount greater than our last offer, if any, we will (i) pay you the arbitrator’s award or $5,000, whichever is greater, and (ii) pay your reasonable attorney, witness and expert fees and costs, if any. Judgment on the arbitrator’s award is final and binding and may be entered in any court of competent jurisdiction.
The arbitrator, you and we will not disclose the existence, content or outcome of any arbitration proceeding; provided, however, that disclosures required by applicable law or regulation shall not be subject to such restriction. The forgoing sentence does not prohibit any party from, in good faith, investigating a claim or defense, including interviewing witnesses or otherwise engaging in discovery as permitted by the Rules.
No arbitration award involving the parties will have any preclusive effect as to issues or claims in any dispute involving anyone who is not a party to the arbitration, nor will an arbitration award in prior disputes involving other parties have preclusive effect in an arbitration between the parties to this agreement to arbitrate.
How is Arbitration Initiated? If you or we elect to arbitrate a Claim, the party electing arbitration must notify the other party in writing. This notice can be given after the beginning of a lawsuit and can be given in papers filed in the lawsuit (for example, a motion by the defendant to compel arbitration of claims asserted by the plaintiff in a lawsuit filed in court). Otherwise, your notice must be sent to Commerce Bank, Attn: ADR Notice, P.O. Box 413037, Kansas City, MO 64141-3037, and our notice will be sent to the most recent address for you in our files. If a party files a lawsuit in court asserting Claim(s) that are subject to arbitration and the other party files a motion to compel arbitration with the court which is granted, it will be the responsibility of the party asserting the Claim(s) to start the arbitration proceeding in accordance with the Rules.
Who Pays for Arbitration? Except as otherwise provided herein, we will pay the filing, administration and arbitrator fees charged by the AAA for any arbitration initiated in accordance with this Section IV. If you pay any initial filing fee, we will reimburse you. If you cannot afford to pay any initial filing fees, we will pay them for you. We will pay any fees or expenses that we are required to pay by law or the Rules or that we are required to pay for this agreement to arbitrate to be enforced.
The arbitrator will have the authority to award fees and costs of attorneys, witnesses and experts to the extent permitted by the Rules, this agreement to arbitrate, the Agreement, or applicable law. We will not seek to recover from you any fees or expenses we pay on your behalf, or any attorney, witness or expert fees or other costs or expenses we incur in defending an individual arbitration commenced by you. Notwithstanding the foregoing, if the arbitrator finds that a Claim is frivolous or brought in bad faith or for an improper purpose, then the payment of all fees, costs and expenses shall be determined by the Rules.
What Law is Applicable? You and we agree that our relationship includes transactions involving interstate commerce and that this agreement to arbitrate and any arbitration rule, proceeding and award pursuant to the terms hereof, are governed by and enforceable pursuant to the provisions of the Federal Arbitration Act (“FAA”) (9 U.S.C. § 1, et seq.). Notwithstanding anything to the contrary in the Agreement, to the extent that state law is applicable, including with respect to the interpretation and enforcement of this agreement to arbitrate, Missouri law shall apply to the extent consistent with the FAA. The arbitrator shall decide the claim in accordance with applicable substantive law and the terms of this Agreement and shall apply all statutes of limitation and honor attorney-client and other privileges.
How do I Opt Out of the Agreement to Arbitrate? If you do not accept this agreement to arbitrate, you may reject it (“opt out”). If you opt out, neither you, nor we, will be subject to the requirement to resolve any claim by arbitration or any other provision of this Section IV.
To opt out, you must send us written notice of your decision to reject this agreement to arbitrate to the address set forth below. We must receive your written notice within thirty (30) days after we first sent you this Agreement via US Mail, through electronic disclosure, provided it to you in person, or by other reasonable delivery method. Your written opt out notice must: (a) include a signed statement that you reject the agreement to arbitrate set forth in this Section IV of the Agreement; (b) include your name, address and the account number(s) you wish to opt out; and (c) be sent to us at the following address: Commerce Bank, Attn: ADR Deposit Account Opt Out, P.O. Box 414220, Kansas City, MO 64141-4220.
This is the only way you can reject this agreement to arbitrate. If you opt out, it will not affect any other terms of this Agreement, and it will not adversely affect your account. If you have more than one deposit account with us your rejection of arbitration applies only to the account(s) you list on your opt out notice as described above, and will not apply to any other non-deposit accounts you may have with us, such as a credit card account, or any other products or services that we provide to you that are governed by a separate agreement between us and you. In the case of joint ownership of an account, one owner’s rejection of this agreement to arbitrate will be deemed to be a rejection of this agreement to arbitrate by all joint owners. In all other circumstances, your rejection of this agreement to arbitrate shall not be imputed to any other person or entity or be deemed to be a rejection of this agreement to arbitrate by any person or entity other than you. Nor shall your rejection of this agreement to arbitrate eliminate the obligation of other persons or entities who wish to reject this agreement to arbitrate to personally comply with the notice and time requirements of this opt-out provision.
Rights Preserved. In addition to subjects excluded from arbitration in accordance with the provision titled “Which Disputes are Not Subject to Arbitration?” this agreement to arbitrate does not prohibit you or us, at any time, from (a) exercising any lawful rights to preserve or obtain possession of property or self-help remedies, including but not limited to, the right to set-off, the right to restrain funds in an account, recoupment, repossession, replevin or trustee’s sales; (b) obtaining provisional or ancillary remedies or injunctive relief (other than a stay of arbitration), including but not limited to attachment, garnishment, interpleader or the appointment of a receiver by a court of appropriate jurisdiction; or (c) bringing an individual action in court that is limited to preventing the other party from using a self-help or non-judicial remedy and that does not involve a request for damages or monetary relief of any kind.
Conflict, Survival and Severance. In the event of any conflict or inconsistency between this agreement to arbitrate and other provisions of this Agreement or the Rules, this agreement to arbitrate will govern. This agreement to arbitrate shall survive any termination of or changes to any of your account(s) subject to this Agreement; the transfer or assignment of any of the foregoing; and the bankruptcy of any party to the extent permitted by law. If any term or provision of this agreement to arbitrate is held to be unenforceable, prohibited or invalid, the remaining provisions shall be enforced without regard to such illegal or unenforceable term or provision, except that:
(A) if any provision of this agreement to arbitrate regarding class action, class arbitration, private attorney general action, other representative action, joinder, or consolidation is determined by an authority of competent jurisdiction to be unenforceable or illegal, such provision shall not be severable and this agreement to arbitrate between you and us (except for this sentence) shall be null and void, provided that such determination of unenforceability or illegality shall be subject to appeal. The parties acknowledge and agree that under no circumstances will a class action, private attorney general action or other representative action be arbitrated; and
(B) if a Claim is brought seeking public injunctive relief and a court determines that the restrictions in the “Waiver of Jury Trial and Class or Representative Action” provision or elsewhere in this agreement to arbitrate prohibiting the arbitrator from awarding relief on behalf of third parties are unenforceable with respect to such Claim (and that determination becomes final after all appeals have been exhausted), the Claim for public injunctive relief will be determined in court and any individual Claims seeking monetary relief will be arbitrated. In such a case the parties will request that the court stay the Claim for public injunctive relief until the arbitration award pertaining to individual relief has been entered in court. In no event will a Claim for public injunctive relief be arbitrated.
You and we agree that in the event that any Claim or dispute between us is not arbitrated but instead is resolved in court, you and we knowingly and voluntarily waive the right to a jury trial to the full extent permitted by applicable law.
Our policy is to make funds from your deposits to checking and interest checking accounts available to you on the first business day after the day we receive your deposit. Electronic direct deposits will be available on the day we receive the deposit. Once they are available, you may withdraw the funds in cash, or we may use the funds to pay checks that you have written, or to pay other debits and fees. For the purpose of determining the availability of your deposits, every day is a business day except Saturdays, Sundays, and federal holidays. If you make a deposit before the cutoff time on a business day that we are open, we will consider that day to be the day of your deposit. The cutoff time for a branch is at branch closing or 7:00 p.m. Central Time, whichever is earlier. The cutoff time for ATMs that we own and operate is 7:00 p.m. Central Time. However, if you make a deposit (i) after the cutoff time on a business day; (ii) on a Saturday, Sunday or federal holiday; or (iii) on a business day that we are not open, we will consider that the deposit was made on the next business day we are open.
Longer Delays May Apply. Funds you deposit by check may be delayed for a longer period under the following circumstances:
If your ability to withdraw funds is delayed beyond the next business day, we will notify you and tell you when the funds will be available. They will generally be available no later than the seventh business day after the day of your deposit.
Special Rules for New Accounts. If you are a new customer, the following special rules will apply during the first 30 days your account is open:
Other Provisions. If a check or item is accepted on a collection basis, the proceeds usually will not be credited to your account until final collection. Checks with documents attached or accompanied by special instructions are not subject to the availability schedule set forth in this disclosure and will be accepted on a collection basis only. Checks drawn on or payable through depository institutions located outside the United States, or payable in foreign currency, are also excluded from the stated availability schedule.
Although your deposit may or may not be available for withdrawal, there are different rules as to when interest begins to accrue on your interest-bearing account. These rules are described in a separate brochure. Also, there may be different rules as to how and when deposits are considered in assessing fees and charges on your account.
This Agreement covers your and our rights and responsibilities concerning electronic funds transfers services offered to you by us. Electronic funds transfers are electronically initiated transfers of money from your account(s) through the EFT services described below, or as otherwise provided in 15 U.S.C. 1693 et al. and its implementing regulations (as each may be amended from time-to-time).
Tell us AT ONCE if you believe your card, access code, password, or PIN has been lost or stolen, or if you believe that an electronic fund transfer has been made without your permission using information from your check. Telephoning is the best way of keeping your possible losses down. You could lose all the money in your account (plus your maximum overdraft line of credit). If you tell us within two (2) business days after you learn of the loss or theft of your card, access code, or PIN, you can lose no more than $50 if someone used your card, access code, password, or PIN without your permission.
If you do NOT tell us within two (2) business days after you learn of the loss or theft of your card, access code, password, or PIN, and we can prove we could have stopped someone from using your card, access code, password, or PIN without your permission if you had told us, you could lose as much as $500.
Also, if your statement shows transfers that you did not make, including those made by card, code or other means, tell us at once. If you do not tell us within 60 days after the statement was mailed to you, you may not get back any money you lost after the 60 days if we can prove that we could have stopped someone from taking the money if you had told us in time. If a good reason (such as a long trip or a hospital stay) kept you from telling us, we will extend the time periods.
If you believe your card, access code, password, or PIN has been lost or stolen, call us at: 1-800-453-2265 or write us at: Commerce Bank, P.O. Box 411635, Creve Coeur, MO 63141. You should also call the number or write to the address listed above if you believe a transfer has been made using the information from your check without your permission.
If we do not complete a transfer to or from your account on time or in the correct amount according to our agreement with you, we will be liable for your losses or damages. However, there are some exceptions. We will not be liable, for instance:
In Case of Errors or Questions About Your Electronic Transfers. Telephone us at 1-800-453-2265, or write us at Commerce Bank, P.O. Box 411635, Creve Coeur, MO 63141, as soon as you can, if you think your statement or receipt is wrong or if you need more information about a transfer listed on the statement or receipt. We must hear from you no later than 60 days after we sent the FIRST statement on which the problem or error appeared.
(1) Tell us your name and account number.
(2) Describe the error or the transfer you are unsure about, and explain as clearly as you can why you believe it is an error or why you need more information.
(3) Tell us the dollar amount of the suspected error.
If you tell us orally, we may require that you send us your complaint or question in writing within ten (10) business days.
We will determine whether an error occurred within ten (10) business days after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days to investigate your complaint or question. If we decide to do this, we will credit your account within ten (10) business days for the amount you think is in error, so that you will have the use of the money during the time it takes us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive it within ten (10) business days, we may not credit your account.
For errors involving new accounts, POS, or foreign-initiated transactions, we may take up to 90 days to investigate your complaint or question. For new accounts, we may take up to 20 business days to credit your account for the amount you think is in error.
We will tell you the results within three (3) business days after completing our investigation. If we decide that there was no error, we will send you a written explanation. You may ask for copies of the documents that we used in our investigation.
What is a substitute check?
To make check processing faster, federal law permits banks to replace original checks with “substitute checks.” These checks are similar in size to original checks with a slightly reduced image of the front and back of the original check. The front of a substitute check states: “This is a legal copy of your check. You can use it the same way you would use the original check.” You may use a substitute check as proof of payment just like the original check.
Some or all of the checks that you receive back from us may be substitute checks. This notice describes rights you have when you receive substitute checks from us. The rights in this notice do not apply to original checks or to electronic debits to your account. However, you have rights under other law with respect to those transactions.
What are my rights regarding substitute checks?
In certain cases, federal law provides a special procedure that allows you to request a refund for losses you suffer if a substitute check is posted to your account (for example, if you think that we withdrew the wrong amount from your account or that we withdrew money from your account more than once for the same check). The losses you may attempt to recover under this procedure may include the amount that was withdrawn from your account and fees that were charged as a result of the withdrawal (for example, bounced check fees).
The amount of your refund under this procedure is limited to the amount of your loss or the amount of the substitute check, whichever is less. You also are entitled to interest on the amount of your refund if your account is an interest-bearing account. If your loss exceeds the amount of the substitute check, you may be able to recover additional amounts under other law.
If you use this procedure, you may receive up to $2,500 of your refund (plus interest if your account earns interest) within ten (10) business days after we received your claim and the remainder of your refund (plus interest if your account earns interest) not later than 45 calendar days after we received your claim.
We may reverse the refund (including any interest on the refund) if we later are able to demonstrate that the substitute check was correctly posted to your account.
How do I make a claim for a refund?
If you believe that you have suffered a loss relating to a substitute check that you received and that was posted to your account, please contact us at:
You must contact us within 40 calendar days of the date that we mailed (or otherwise delivered by a means to which you agreed) the substitute check in question or the account statement showing that the substitute check was posted to your account, whichever is later. We will extend this time period if you were not able to make a timely claim because of extraordinary circumstances.
Your claim must include: