PLEASE NOTE: This document likely contains errors. It was computer generated via optical character recognition (OCR) from the original terms and condition document agreement. The original photo-scanned copy of this document is avaialble at: http://www.knowzy.com/Credit/Credit_Cards/Payment_Protection_Plans/CapitalOne_Payment_Protection-Terms_of_Service.doc Read about payment protection at Knowzy: http://www.knowzy.com/payment-protection-plans.htm --------------------------------------------------------------- CapitalOne What’s in your wallet? Payment Protection Member Benefits This is an Addendum to your Capital One® Customer Agreement which reflects the terms and conditions that govern the use of your PAYMENT PROTECTION product. These terms become effective as of the date your request for enrollment in PAYMENT PROTECTION is received and approved by us. If these terms and conditions conflict with any prior addendum regarding PAYMENT PROTECTION, the terms and conditions of this addendum apply. Price $0.99 per $100 of statement ending balance is charged directly to your account each month Cancellation Enrollment in PAYMENT PROTECTION is OPTIONAL. To cancel, contact Stonebridge Benefit Services, Inc. at 1-888-527-6904 Eligibility Requirements, Conditions and Exclusions • If you are unemployed, self-employed, seasonally employed, part-time or retired at the time of enrollment, you are not eligible for the Inability to Work due to Involuntary Termination or Temporary Disability benefits. You are only eligible for the Emergency Payment, Loss of Life, and Total and Permanent Disability benefits. • If you are temporarily disabled at the time of enrollment, you are not eligible for the Inability to Work due to Temporary Disability benefit. You are only eligible for the Emergency Payment, Inability to Work due to Involuntary Termination, Loss of Life and Total and Permanent Disability benefits. If you are totally and permanently disabled at the time of enrollment, then you are not eligible for the Permanent Disability benefit. You are only eligible for the Emergency Payment and Loss of Life benefit. As used in this Addendum, “You” or “Your” refers to either the primary cardholder (the first name that appears on your monthly Account Statement) or the secondary cardholder (the second name that appears on your monthly Account Statement). The term “Account” refers to the Capital One credit card account that is enrolled in PAYMENT PROTECTION. The primary and secondary cardholder may each qualify for benefit payments under PAYMENT PROTECTION, and • Total and permanent disability or death as a result of self-inflicted injuries is not included in the Loss of Life and Total and Permanent Disability benefit. • Requests for benefits must be made within 12 months of the date of your loss. For your Emergency Payment benefits, requests must be made at least 5 business days prior to your statement due date. • Your account is not eligible to receive more than one benefit payment during the same billing period. • PAYMENT PROTECTION does not protect you against losses arising from events which occurred before you enrolled in PAYMENT PROTECTION. • Please remember if you go overlimit, you will be assessed overlimit fees as applicable. You may be responsible for the overlimit balance. each must comply with the terms and conditions of this Addendum, as described herein. Enrollment in PAYMENT PROTECTION is optional and will not affect your application for your credit card or the terms of any existing credit card agreement you have with us. We reserve the right to cancel or change this product at any time. You must be at least 18 years of age in order to enroll in PAYMENT PROTECTION. Cost The monthly cost for PAYMENT PROTECTION will be $0.99 per $100 of the balance due on your Account as of the statement closing date which is shown on your monthly Periodic Statement. The cost is not pro-rated for the actual number of days during the month that you are enrolled in PAYMENT PROTECTION. The cost will be charged directly to your Account each month. Payments Depending on which benefit you qualify for, you may receive monthly benefit payments or a one-time balance benefit payment: • Monthly Benefit Payments If you qualify under the specific terms and conditions, PAYMENT PROTECTION will make benefit payments on your behalf to Capital One, canceling the Minimum Monthly Payment (as defined by your Cardholder Agreement) due on your eligible balance, plus the monthly charge for enrollment in PAYMENT PROTECTION. Benefit payments under the “Inability to Work” and “Emergency Payment” sections can be made each month that you are eligible. However, your account is not eligible to receive more than one benefit payment per billing statement at the same time. • Balance Benefit Payments If you qualify under the specific terms and conditions, PAYMENT PROTECTION will make a benefit payment on your behalf to Capital One, paying the eligible balance on your Account as of the date of loss, up to the amount of your total credit limit on your eligible Capital One credit card, or $10,000, whichever is less. • Eligible Balance Your eligible balance is the balance on your Account each month as long as you continue to be eligible under PAYMENT PROTECTION, up to the amount of your Total Credit Limit or $10,000, whichever is less. The eligible balance each month also includes unpaid purchases, cash advances, finance charges and any other charges posted to the Account. Payment Protection Member Benefits Benefits Described below are the benefits that you may be eligible to receive. Requests for benefits must be made within 12 months of the date of your loss. We recommend you activate your benefits within 6 months of the date of your loss to ensure you are able to take full advantage of past due and overlimit fee credits as well as credit bureau updates. These benefits are subject to the limitations listed in the “Additional Important Information” section. • Inability to Work If you become unable to work through (i) involuntary termination or (ii) temporary disability, and remain unemployed or unable to work due to a temporary disability for at least 30 consecutive days, PAYMENT PROTECTION will make benefit payments, subject to the limitations in this “Inability To Work” section, for up to twelve consecutive months while you remain unemployed or unable to work. This benefit shall be applicable back to the billing cycle during the date of loss. It your inability to work is due to involuntary termination, upon our request, you must furnish initial documentation of your loss of employment, as well as periodic confirmation of your continued unemployment and eligibility for this benefit. If your inability to work is due to temporary disability, you must be physically unable to perform any work or service for wages, gain, or profit. You must also be regularly attended by a licensed physician who must certify your continued disability each month, upon request. Exclusions: If you are unemployed, self-employed, seasonally employed, part-time or retired at the time of enrollment, you are not eligible for the Inability to Work due to Involuntary Termination or Temporary Disability benefit. If you are temporarily disabled at the time of enrollment, you are not eligible for the Inability to Work due to Temporary Disability benefit. If your status changes after enrollment, you could become eligible for these benefits. If you are self-employed, seasonally employed, part-time or retired at the date of loss, you are not eligible for the Inability to Work benefits. • Loss of Life; Total and Permanent Disability If you die or become totally and permanently disabled, PAYMENT PROTECTION will pay off your eligible balance as of the date of death or total and permanent disability, up to the amount of your total credit limit or $10,000, whichever is less. To be eligible for the Loss of Life benefit payment, documentation such as a death certificate may be required, upon our request. To be eligible for the Total and Permanent Disability benefit payment, you may be required, upon our request, to provide certification that you can no longer and will likely never be able to engage in any substantial activity required for wages, gain or profit. Exclusions: If you are totally and permanently disabled at the time of enrollment, then you are not eligible for the Permanent Disability benefit. Total and permanent disability or death as a result of self-inflicted injuries is not included in this benefit. Payment Protection Member Benefits • Emergency Payment If for any reason you are unable to make the Minimum Monthly Payment due on your Account, you are eligible for the Emergency Payment benefit by requesting benefit activation no later than 5 business days before the Minimum Monthly Payment is due. Upon approval, PAYMENT PROTECTION will make a benefit payment on your behalf to your Account in the amount of the current Minimum Monthly Payment plus the monthly charge for PAYMENT PROTECTION for the cycle in which you activate this benefit. You are eligible for this benefit only once per calendar year. Exclusions: If you are eligible for the Inability to Work benefit and the Emergency Payment benefit at the same time, only one such benefit payment will be made. Additional Important Information • Continued Card Usage You may continue to use your credit card even if PAYMENT PROTECTION is making benefit payments on your behalf. You may be responsible for any overlimit balances and associated fees. See “Fee Waivers and Overlimit Balances” section. • Fee Waivers and Overlimit Balances (i) Before loss: You are responsible for past due and overlimit fees incurred on your Account before the date of loss. (ii) Initial benefit payment: If your benefit request is granted, Capital One will make fee adjustments retroactively for each billing cycle as applicable, from (a) the date of loss; or (b) six months from the date your Request for Benefits is approved, whichever is more recent, through the date your request for benefits is approved. If the amount of the benefit payment would have prevented your Account from being charged past due or overlimit fees in that period of time, PAYMENT PROTECTION will credit the applicable fees to your Account. If you are past due or overlimit when your loss occurs, you will remain responsible for the past due and overlimit fees that are assessed to your Account. (iii) During benefit period: You are responsible for past due and overlimit fees incurred on your Account during your benefit period that are not credited in section (ii). If your account becomes overlimit during your benefit period, you will be responsible for the overlimit balance and associated fees. Additional payments may be required on your part to keep the account under your credit limit. To check the status of your account at any time, please call Capital One customer relations at the number on the back of your card. (iv) After benefit period expiration: You are responsible for all future past due and overlimit tees incurred on your account. • Reporting to Credit Bureaus If, as a result of your receiving benefit payments, the status of your Account improves after (a) the date of loss; or (b) six months from the date your request for benefits is approved, whichever is more recent, Capital One will notify the three major credit bureaus, so that your credit history can be updated. This additional benefit is not applied if your account is charged off when your request for benefits is approved and is subject to the provisions of “Account Status” section. • Account Status Your eligibility for and receipt of benefit payments will not have an adverse effect on your Account status with Capital One, including the interest rate and annual membership fee, if applicable. Exclusions: If your Account has been previously repriced, charged off, or permanently restricted when we receive your request for benefits, your Account status will remain the same even as we make benefit payments on your behalf. If your account goes overlimit during your benefit period, you may be subject to the repricing terms as stated in the Customer Agreement for your Capital One credit card account. • Term PAYMENT PROTECTION is effective as of the date your enrollment for such protection is received and approved by us and will continue in effect as long as you pay the monthly cost, unless you cancel or Capital One terminates your enrollment. • Cancellation of your enrollment by you If you change your mind and no longer wish to be enrolled in PAYMENT PROTECTION, please contact Stonebridge Benefit Services, Inc. at 1-888-527-6904 at any time. If you do so within 30 days of the effective date of your PAYMENT PROTECTION plan, your Account will be credited for the amount of any fee charged for PAYMENT PROTECTION. If you terminate your Account, your enrollment in PAYMENT PROTECTION will automatically terminate. If PAYMENT PROTECTION is making benefit payments at the time of cancellation, we will continue to make such benefit payments under the terms applicable as of the date on which we began making the benefit payments. If PAYMENT PROTECTION was in effect as of your date of loss, you are eligible to make a Request for Benefits provided: (i) your Account is still open, and (ii) you qualify under the conditions set forth in the “Benefits” section. • Termination of your enrollment by CapitalOne CapitalOne may terminate your enrollment for the following reasons: (i) your Account is closed by Capital One or you; (ii) your Account is suspended by Capital One, or your Account becomes three billing cycles delinquent, as defined by your Customer Agreement; (iii) PAYMENT PROTECTION makes a benefit payment for death or total and permanent disability of the primary or secondary cardholder; or (iv) we notify you that PAYMENT PROTECTION is being cancelled or changed. Upon notice of termination of enrollment by us, a refund of your Payment Protection fees, pro-rated or otherwise, will not be provided. Also upon Payment Protection Member Benefits termination, you remain obligated to pay any costs already incurred. Note, in the case where your Account is suspended (per section iii), upon removal of that suspension, your enrollment will be automatically reinstated into PAYMENT PROTECTION. If PAYMENT PROTECTION is making benefit payments at the time of termination, we will continue to make such benefit payments under the terms applicable as of the date on which we began making the benefit payments. If PAYMENT PROTECTION was in effect as of your date of loss, you are eligible to make a Request for Benefits provided: you qualify under the conditions set forth in the “Benefits” section. • Past Losses PAYMENT PROTECTION DOES NOT PROTECT YOU AGAINST LOSSES ARISING FROM EVENTS PREDATING YOUR INITIAL ENROLLMENT. For example, if you enroll in PAYMENT PROTECTION while you are permanently disabled, you are not eligible to receive permanent disability benefits. • Request for Benefits If you incur a loss covered by PAYMENT PROTECTION, you must fully complete a Benefit Activation Form, when required, and provide all required supporting documentation to the Administrator for PAYMENT PROTECTION, Stonebridge Benefit Services, Inc. within 12 months after the date of loss to be eligible for benefits. You are responsible for the Minimum Monthly Payment due on your Account, as described in your Customer Agreement, until you receive notification that your Request for Benefits was approved. You are not eligible for benefits, however, if you have closed your Account or your Account has been terminated by Capital One at the time you submitted a Benefit Activation Form unless your date of loss occurred prior to the termination of your enrollment. To receive a Benefit Activation Form, you may contact Stonebridge Benefit Services, Inc. at 1-888-527-6904 or visit www.myclaimsonline.com. Terms and conditions as of October 9, 2006. 188 Option set 511 CAP99AD1