Schwab Bank Bill Pay™ | Terms of Service

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Terms and Conditions for the Schwab Bank Bill Pay™ Service

SERVICE DEFINITIONS

Throughout these Terms and Conditions, the words "you," "your" and "yours" refer to each account owner. "We," "us" and "our" refer to Charles Schwab Bank, SSB and any vendor we may, in our sole discretion, involve in providing any service described herein. As used in these Terms and Conditions, the terms listed below are defined as follows:

Account Agreement means the Schwab Bank Deposit Account Agreement.

Agreement means these "Terms and Conditions for the Schwab Bank Bill Pay™ Service."

Biller is the person or entity to which you wish a bill payment to be directed or is the person or entity from which you receive electronic bills, as the case may be.

Billing Account is the funding account from which all account Service fees will be automatically debited.

Business Day is every Monday through Friday, excluding Federal Reserve Bank holidays.

Due Date is the date reflected on your Biller statement for which the payment is due; it is not the late date or grace period.

Overdraft Source is the source in an overdraft protection option from which funds will be transferred, should the balance in a linked Payment Account fall below $0.

Payment Account is the funding account from which bill payments will be debited.

Payment Instruction is the information provided by you to the Service for a bill payment to be made to the Biller (such as, but not limited to, Biller name, Biller account number and Scheduled Payment Date).

Pricing Guide is the Schwab Bank Deposit Account Pricing Guide.

Scheduled Payment is a payment that has been scheduled through the Service but has not begun processing.

Scheduled Payment Date is the day you want your Biller to receive your bill payment and is also the day your Payment Account will be debited, unless the Scheduled Payment Date falls on a non-Business Day, in which case it will be considered to be the previous Business Day.

Schwab One® Account Agreement is the account agreement that governs your brokerage account relationship with Charles Schwab & Co., Inc. Unless expressly specified herein, the Schwab One ® Account Agreement governs all aspects of your brokerage account relationship with Charles Schwab & Co., Inc.

Service is the bill payment service offered by Charles Schwab Bank, SSB. . In some instances, Schwab Bank may use Charles Schwab & Co., Inc. as its agent to provide certain program services for the Service.

Service Provider is CheckFree Services Corporation, an indirect wholly owned subsidiary of Fiserv Solutions, Inc.

A. Consent to Agreement

By using the Service, you agree to the Terms and Conditions of this Agreement, as it may be amended from time to time, according to its terms.

B. Enrollment

For Schwab Bank accounts, unless you specifically request otherwise during the account-opening process, you are automatically enrolled in the Service when you open and fund a new checking account with us. If you wish to link other eligible checking accounts you have with us to the Service, you may do so by contacting Customer Service.
For Schwab brokerage accounts, you are not automatically enrolled in the Service. If you wish to enroll, you must do so after your Schwab One ® brokerage account is opened. Not all Schwab One ® account registrations are eligible for the Service. For enrollment eligibility or questions with the enrollment process, please call Customer Service at 888-297-7535

C. Payment Scheduling

The earliest possible Scheduled Payment Date for each Biller (typically four (4) or fewer Business Days from the current date) will be designated within the Service website when you are scheduling the payment. Therefore, the Service website will not permit you to select a Scheduled Payment Date less than the earliest possible Scheduled Payment Date designated for each Biller. When scheduling payments, you must select a Scheduled Payment Date that is no later than the actual Due Date reflected on your Biller statement, unless the Due Date falls on a non-Business Day. If the actual Due Date falls on a non-Business Day, you must select a Scheduled Payment Date that is at least one (1) Business Day before the actual Due Date. Scheduled Payment Dates must be prior to any late date or grace period.

D. The Service Guarantee

Due to circumstances beyond the control of the Service, particularly delays in handling and posting payments by Billers or financial institutions, some transactions may take longer to be credited to your Biller's account. The Service will bear responsibility for any late payment-related charges up to $50 should a payment post after its Due Date as long as the payment was scheduled in accordance with the guidelines described under "Payment Scheduling" in this Agreement.

E. Payment Authorization and Payment Remittance

By providing the Service with names and account information of Billers to whom you wish to direct payments, you authorize the Service to follow the Payment Instructions that it receives through the payment system. In order to process payments more efficiently and effectively, the Service may edit or alter payment data or data formats in accordance with Biller directives.

When the Service receives a Payment Instruction, you authorize the Service to debit your Payment Account and remit funds on your behalf so that the funds arrive as close as reasonably possible to the Scheduled Payment Date designated by you. You also authorize the Service to credit your Payment Account for payments returned to the Service by the United States Postal Service or Biller, or payments remitted to you on behalf of another authorized user of the Service.

The Service will use its best efforts to make all your payments properly. However, the Service shall incur no liability and any Service Guarantee shall be void if the Service is unable to complete any payments initiated by you because of the existence of any one or more of the following circumstances:

If, through no fault of the Service, your Payment Account does not contain sufficient available funds to complete the transaction, or the transaction would exceed the available funds or credit limit(s) of any Overdraft Source you may have;
The payment processing center is not working properly and you know or have been advised by the Service about the malfunction before you execute the transaction;
You have not provided the Service with the correct Payment Account information, or the correct name, address, phone number, or account information for the Biller; and/or,
Circumstances beyond control of the Service (such as, but not limited to, fire, flood, or interference from an outside force) prevent the proper execution of the transaction and the Service has taken reasonable precautions to avoid those circumstances.

Provided none of the foregoing exceptions are applicable, if the Service causes an incorrect amount of funds to be removed from your Payment Account or causes funds from your Payment Account to be directed to a Biller that does not comply with your Payment Instructions, the Service shall be responsible for returning the improperly transferred funds to your Payment Account, for directing to the proper Biller any previously misdirected transactions, and, if applicable, for any late payment related charges.

F. Payment Methods

The Service reserves the right to select the method in which to remit funds on your behalf to your Biller. These payment methods may include, but may not be limited to, an electronic payment, an electronic to check payment, or a laser draft payment(funds remitted to the Biller are deducted from your Payment Account when the laser draft is presented to your financial institution for payment).

G. Payment Cancellation Requests

You may cancel or edit any Scheduled Payment (including recurring payments) by following the directions within the Service website. There is no charge for canceling or editing a Scheduled Payment. Once the Service has begun processing a payment, it cannot be canceled or edited, therefore, a stop payment request must be submitted.

H. Stop Payment Requests

The Service's ability to process a stop payment request will depend on the payment method and whether or not a check has cleared. The Service may also not have a reasonable opportunity to act on any stop payment request after a payment has been processed. If you desire to stop any payment that has already been processed, you must contact Customer Service. Although the Service will make every effort to accommodate your request, the Service will have no liability for failing to do so. The Service may also require you to present your request in writing within fourteen (14) days. The charge for each stop payment request will be the current charge for such service as set out in the Pricing Guide.

If you order us to stop a preauthorized transaction three Business Days or more before the transfer is scheduled and you have given us the information we requested, including the exact amount of the payment, we will be liable for your damages directly caused by our failure to stop payment. This section does not include electronic-to-check payments and laser drafts. Please see Section 8.4 of your Account Agreement for further details regarding your rights and responsibilities.

I. Prohibited Payments

Payments to Billers outside of the United States or its territories are prohibited through the Service.

J. Exception Payments

Tax payments and court ordered payments may be scheduled through the Service, however such payments are discouraged and must be scheduled at your own risk. In no event shall the Service be liable for any claims or damages resulting from your scheduling of these types of payments. The Service Guarantee (see Section D) as it applies to any late payment related charges is void when these types of payments are scheduled and/or processed by the Service. The Service has no obligation to research or resolve any claim resulting from an exception payment. All research and resolution for any misapplied, mis-posted or misdirected payments will be the sole responsibility of you and not of the Service.

K. Bill Delivery and Presentment

This feature is for the presentment of electronic bills only, and it is your sole responsibility to contact your Billers directly if you do not receive your statements. In addition, if you elect to activate one of the Service's electronic bill options, you also agree to the following:

Information provided to the Biller–The Service is unable to update or change your personal information, such as, but not limited to, name, address, phone numbers and email addresses, with the electronic Biller. Any changes will need to be made by contacting the Biller directly. Additionally, it is your responsibility to maintain all usernames and passwords for all electronic Biller sites. You also agree not to use someone else's information to gain unauthorized access to another person's bill. The Service may, at the request of the Biller, provide to the Biller your email address, service address or other data specifically requested by the Biller at the time of activating the electronic bill for that Biller, for purposes of the Biller informing you about Service and/or bill information.

Activation–Upon activation of the electronic bill feature, the Service may notify the Biller of your request to receive electronic billing information. The presentment of your first electronic bill may vary from Biller to Biller and may take up to sixty (60) days, depending on the billing cycle of each Biller. Additionally, the ability to receive a paper copy of your statement(s) is at the sole discretion of the Biller. While your electronic bill feature is being activated, it is your responsibility to keep your accounts current. Each electronic Biller reserves the right to accept or deny your request to receive electronic bills.

Authorization to Obtain Bill Data–Your activation of the electronic bill feature for a Biller shall be deemed by us to be your authorization for us to obtain bill data from the Biller on your behalf. For some Billers, you will be asked to provide us with your username and password for that Biller. By providing us with such information, you authorize us to use the information to obtain your bill data.

Notification–The Service will use its best efforts to present all of your electronic bills promptly. In addition to notification within the Service, the Service may send an email notification to the email address listed for your account. It is your sole responsibility to ensure that this information is accurate. In the event you do not receive notification, it is your responsibility to periodically log on to the Service and check on the delivery of new electronic bills. The time for notification may vary from Biller to Biller. You are responsible for ensuring timely payment of all bills.

Cancellation of Electronic Bill Notification–The electronic Biller reserves the right to cancel the presentment of electronic bills at any time. You may cancel electronic bill presentment at any time. The time frame for cancellation of your electronic bill presentment may vary from Biller to Biller. It may take up to 60 days, depending on the billing cycle of each Biller. The Service will notify your electronic Biller(s) as to the change in status of your account, and it is your sole responsibility to make arrangements for an alternative form of bill delivery. The Service will not be responsible for presenting any electronic bills that are already in process at the time of cancellation.

Non-Delivery of Electronic Bill(s)–You agree to hold the Service harmless should the Biller fail to deliver your statement(s). You are responsible for ensuring timely payment of all bills. Copies of previously delivered bills must be requested from the Biller directly.

Accuracy and Dispute of Electronic Bill–The Service is not responsible for the accuracy of your electronic bill(s). The Service is responsible only for presenting the information we receive from the Biller. Any discrepancies or disputes regarding the accuracy of your electronic bill summary or detail must be addressed with the Biller directly.

This Agreement does not alter your liability or obligations that currently exist between you and your Billers.

L. Exclusions of Warranties

THE SERVICE AND RELATED DOCUMENTATION ARE PROVIDED "AS IS" WITHOUT WARRANTY OF ANY KIND, EITHER EXPRESSED OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.

M. Password and Security

You agree not to give or make available your password or other means to access your account to any unauthorized individuals. You are responsible for all payments you authorize using the Service. If you permit other persons to use the Service or your password or other means to access your account, you are responsible for any transactions they authorize. If you believe that your password or other means to access your account has been lost or stolen, or that someone may attempt to use the Service without your consent or has transferred money without your permission, you must notify the Service at once by calling 1-888-297-7535 during customer service hours.

N. Your Liability for Unauthorized Transfers

Tell us AT ONCE if you believe your password or other means to access your account has been lost or stolen, or if you believe that an electronic funds transfer has been made without your permission using information from your check. You can notify us by calling or writing Customer Service. 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 Business Days after you discover your password or other means to access your account has been lost or stolen, your liability is no more than $50 should someone access your account without your permission. If you do not tell us within two Business Days after you learn of such loss or theft, and we can prove that we could have prevented the unauthorized use of your password or other means to access your account if you had told us, you could be liable for as much as $500. If your account statement contains transfers that you did not authorize, you must tell us at once. If you do not tell us within 60 days after the statement was sent to you, you may lose any amount transferred without your authorization after the 60 days if we can prove that we could have stopped someone from taking the money had you told us in time. If a good reason (such as a long trip or a hospital stay) prevented you from telling us, we may extend the period.

O. Errors and Questions

In case of errors or questions about your transactions, you should, as soon as possible, notify us via one of the following:

Telephone us at 1-888-297-7535 during customer service hours;
Contact us by using the Service website's e-messaging feature (do not use standard, unsecured email); and/or
Write us at:
Schwab Bank Bill Pay™ Customer Service
PO Box 982605
El Paso, TX 79998-2605

If you think your account statement is incorrect or you need more information about a Service transaction listed on the statement, we must hear from you no later than 60 days after the FIRST account statement was sent to you on which the problem or error appears. You must:

Tell us your name and Payment Account number;
Describe the error or the transaction in question, and explain as clearly as possible why you believe it is an error or why you need more information; and
Tell us the dollar amount of the suspected error.

If you tell us verbally, we may require that you send your complaint in writing within ten (10) Business Days after your verbal notification. We will tell you the results of our investigation within ten (10) Business Days after we hear from you, and will correct any error promptly. However, if we require more time to confirm the nature of your complaint or question, we reserve the right to take up to forty-five (45) days to complete our investigation. If we decide to do this, we will provisionally credit your Payment Account within ten (10) Business Days for the amount you think is in error. If we ask you to submit your complaint or question in writing and we do not receive it within ten (10) Business Days, we may not provisionally credit your Payment Account. If it is determined there was no error we will mail you a written explanation within three (3) Business Days after completion of our investigation. You may ask for copies of documents used in our investigation. The Service may debit any provisional credit provided to you if we find an error did not occur.

P. Disclosure of Account Information to Third Parties

It is our general policy to treat your account information as confidential. However, we will disclose information to third parties about your account or the transactions you make ONLY in the following situations:

Where it is necessary for completing transactions;
Where it is necessary for activating additional services;
In order to verify the existence and condition of your account to a third party, such as a credit bureau or Biller;
To a consumer reporting agency for research purposes only;
In order to comply with a governmental agency or court orders; or,
If you give us your written permission.

Q. Service Fees and Additional Charges

Any fees associated with this Service are disclosed in the Pricing Guide. Any applicable fees will be charged regardless of whether the Service was used during the billing cycle. You agree to pay such charges and authorize the Service to deduct the calculated amount from your designated Billing Account for these amounts and any additional charges that may be incurred by you. Any fees associated with your funding account(s) will continue to apply. You are responsible for any and all telephone access fees and/or Internet service fees that may be assessed by your telephone and/or Internet service provider.

R. Failed or Returned Transactions

In using the Service, you are requesting that the Service makes payments for you from your Payment Account. If we are unable to complete the transaction for any reason associated with your Payment Account (for example, there are insufficient available funds in your Payment Account and any Overdraft Source to cover the transaction), the transaction will not be completed. In such case, you agree that:

You will reimburse the Service immediately upon demand the transaction amount that has been returned to the Service;
You will reimburse the Service for any fees it incurs in attempting to collect the amount of the return from you; and
The Service is authorized to report the facts concerning the return to any credit reporting agency.

S. Alterations and Amendments

This Agreement, applicable fees and service charges may be altered or amended by the Service from time to time. In such event, the Service shall provide notice to you. Any use of the Service after the Service provides you a notice of change will constitute your agreement to such change(s). Further, the Service may, from time to time, revise or update the Service website, services, and/or related material, which may render all such prior versions obsolete. Consequently, the Service reserves the right to terminate this Agreement as to all such prior versions of the Service website, services and/or related material, and limit access to only the Service's more recent revisions and updates.

Address or Banking Changes

It is your sole responsibility to ensure that the contact information in your user profile is current and accurate. This includes, but is not limited to, name, address, phone numbers and email addresses. Changes can be made either within the Service website or by contacting Customer Service. Any changes in your Payment Account should also be made in accordance with the procedures outlined within the Service website's Help files. All changes made are effective immediately for scheduled and future payments paid from the updated Payment Account information. The Service is not responsible for any payment processing errors or fees incurred if you do not provide accurate Payment Account or contact information.

T. Service Termination, Cancellation, or Suspension

In the event you wish to cancel the Service, you may have the ability to do so through the product, or you may contact Customer Service via one of the following:

Telephone us at 1-888-297-7535 during customer service hours; and/or
Write us at:
Schwab Bank Bill Pay™ Customer Service
PO Box 982605
El Paso, TX 79998-2605

Any payment(s) the Service has already processed before the requested cancellation date will be completed by the Service. All Scheduled Payments, including recurring payments, will not be processed once the Service is cancelled. The Service may terminate or suspend Service to you at any time. Neither termination nor suspension shall affect your liability or obligations under this Agreement.

U. Third-Party Indemnification

You will indemnify us against and hold us harmless from and defend us against any and all liabilities, claims, costs, expenses and damages of any nature (including reasonable attorneys' fees and expenses of litigation) arising out of or relating to disputes or legal actions by parties other than you and us concerning the Service. The obligations contained in the preceding sentence will continue after this Service is terminated. This section does not apply to any cost or damage attributable to our gross negligence or intentional misconduct.

V. Biller Limitation

The Service reserves the right to refuse to pay any Biller to whom you may direct a payment. The Service will notify you promptly if it decides to refuse to pay a Biller designated by you. This notification is not required if you attempt to make a prohibited payment or an exception payment under this Agreement.

W. Returned Payments

In using the Service, you understand that Billers and/or the United States Postal Service may return payments to the Service for various reasons such as, but not limited to: Biller's forwarding address expired; Biller account number is not valid; Biller is unable to locate account; or Biller account is paid in full. The Service will use its best efforts to research and correct the returned payment and return it to your Biller, or void the payment and credit your Payment Account. You may receive notification from the Service.

X. Information Authorization

Your enrollment in the Service may not be fulfilled if the Service cannot verify your identity or other necessary information. Through your enrollment in the Service, you agree that the Service reserves the right to request a review of your credit rating at its own expense through an authorized bureau. In addition, you agree that the Service reserves the right to obtain financial information regarding your account from a Biller or a financial institution (for example, to resolve payment posting problems or for verification).

Y. Disputes

For Schwab Bank Accounts, you agree to settle by arbitration any dispute between you and us relating to this Service as provided in Section 14, “Resolving Disputes,” of the Account Agreement.
For Schwab One ® Brokerage Accounts, as set forth in the Schwab One ® Account Agreement, you agree to settle any dispute relating to your Schwab One ® Account through binding arbitration.

Z. Assignment

You may not assign this Agreement to any other party. The Service may assign this Agreement to any future, directly or indirectly, affiliated company. The Service may also assign or delegate certain of its rights and responsibilities under this Agreement to independent contractors or other third parties.

AA. No Waiver

The Service shall not be deemed to have waived any of its rights or remedies hereunder unless such waiver is in writing and signed by the Service. No delay or omission on the part of the Service in exercising any rights or remedies shall operate as a waiver of such rights or remedies or any other rights or remedies. A waiver on any one occasion shall not be construed as a bar or waiver of any rights or remedies on future occasions.

BB. Captions

The captions of sections hereof are for convenience only and shall not control or affect the meaning or construction of any of the provisions of this Agreement.

CC. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of Nevada, without regard to its conflicts of laws provisions, provided, however, that any dispute solely between you and our Service Provider shall be governed by and construed in accordance with the laws of the State of New York, without regard to its conflicts of law provisions. To the extent that the terms of this Agreement conflict with applicable state or federal law, such state or federal law shall replace such conflicting terms only to the extent required by law. Unless expressly stated otherwise, all other terms of this Agreement shall remain in full force and effect.

THE FOREGOING SHALL CONSTITUTE THE SERVICE'S ENTIRE LIABILITY AND YOUR EXCLUSIVE REMEDY. IN NO EVENT SHALL THE SERVICE BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL, INCIDENTAL, CONSEQUENTIAL, OR EXEMPLARY DAMAGES, INCLUDING LOST PROFITS (EVEN IF ADVISED OF THE POSSIBILITY THEREOF) ARISING IN ANY WAY OUT OF THE INSTALLATION, USE, OR MAINTENANCE OF THE EQUIPMENT, SOFTWARE, AND/OR THE SERVICE.

NON-DEPOSIT INVESTMENT PRODUCTS: NOT FDIC-INSURED • NO BANK GUARANTEE • MAY LOSE VALUE

Charles Schwab & Co.. Inc. and Charles Schwab Bank, SSB are separate but affiliated companies and subsidiaries of The Charles Schwab Corporation. Brokerage products, including the Schwab One brokerage account, and services are offered by Charles Schwab & Co., Inc., Member SIPC. Deposit and lending products, including the Investor Checking account, and services are offered by Charles Schwab Bank, SSB, Member FDIC and an Equal Housing Lender.