SpellBound Cosmetics Installment Agreement
SPELLBOUND COSMETICS SELECT FINANCING
SpellBound Cosmetics Select Financing promotional rates may be offered to SpellBound Cosmetics credit card account holders for certain qualified purchases. See the SpellBound Cosmetics Retail Installment Credit Agreement and below for important information about rates, fees and other cost information before applying for these special rates.
For Purchases Subject to our 24-Month (7.99%) Interest Promotional Payment Plan
In this Agreement, the words “you” and “your” refer to any person who signs this Agreement, has requested and is issued a SpellBound Cosmetics credit card, or is authorized to use this SpellBound Cosmetics credit card account (“Account”); “we”, “us”, “our”, and “SpellBound Cosmetics” refer to SpellBound Cosmetics U.S. Sales INC., a Puerto Rico limited liability company, with an address at 6063 Av. Isla Verde, Carolina, Puerto Rico 00979, and any person or entity to whom this Account may be assigned.
1. PROMISE TO PAY/WHEN AGREEMENT IS EFFECTIVE When you sign the Application for this Account, you will be agreeing to everything written here. Therefore, before you sign the Application, you should read this entire Agreement, which includes the cost of credit disclosures required by Federal Law. The information you provide on the Application that identifies you is incorporated in this Agreement by reference. This Agreement will not be effective until we approve your Application, and then after that, only if you or someone authorized by you signs a sales slip or otherwise charges a purchase to this Account.
2. COST OF CREDIT (a) As required by applicable law, the following chart sets forth some of the terms of the Account:
How We Will Calculate Your Balance: We use a method called “average daily balance (excluding new purchases).” See Paragraph 3 of this account agreement for more details.
Your Billing Rights: Information concerning your rights to dispute transactions and how to exercise those right is provided in the “Your Billing Rights” section below the signature line in this account agreement.
(b) Regular Terms: Unless a special promotion applies (as described below), no Interest Charge will be imposed in any monthly billing period (1) in which there is no balance at the beginning of the billing period (the “Previous Balance”) or (2) in which payments received and credits issued within one month after the Billing Closing Date (the “Payment Due Date”) equal or exceed the Previous Balance. If we do not receive the full amount due (the “New Balance”) by the Payment Due Date, Interest Charges will be computed on the outstanding balance from month to month by applying the applicable Monthly Periodic Rate set forth above to the balance explained in paragraph 3 below.
(c) Special Promotions – The following terms apply to certain special promotional rate offers:
(1) No Interest Offer: If you were offered and accepted a “No Interest for 12 Months” promotion on any item, it will be reflected as such on the sales invoice. You will be required to pay a fixed percentage of the amount of said item at the time of sale, with the remaining balance to be paid in equal monthly installments for the next 11 months, as printed on the sales invoice]. The amount of each such installment will be included in the Minimum Payment Due figure on each statement. No Interest Charge will be imposed on the balance attributable to that purchase as long as the Minimum Payment Due shown on your monthly billing statement is paid in full by the Payment Due Date shown on that statement and the entire balance is paid in full within 12 months from the date of purchase. If, in any two consecutive billing cycles the Minimum Payment Due is not paid in full and when due, we will notify you that Interest Charges (at the applicable rate set forth above) will begin to accrue and will be imposed on the remaining promotional purchase balance in your Account under our Regular Terms (see paragraph (b) above). If the entire balance of your promotional purchase has not been paid in full within 12 months from the date of purchase, the balance remaining at that time will be subject to Interest Charges (at the applicable rate set forth above) beginning on the next billing cycle and until the balance is paid in full.
(2) Promotional Interest Rate Offer: If you were offered and accepted a “Promotional Interest Rate” for a specific time period on any item, any such item will be designated as “Promotional Rate” on the sales invoice. You will be required to make payments as set forth under “Regular Terms” above, except the Interest Charges will be based on the promotional rate offered to you (i.e., 7.99% for the first 24 months). However, if in any billing cycle, the Minimum Payment Due is not paid in full and when due for two consecutive billing cycles, we will notify you that the Promotional Interest Rate will no longer apply and Interest Charges (at the applicable regular rate set forth above) will begin to accrue and will be imposed on the remaining promotional purchase balance in your Account under our Regular Terms (see paragraph (b) above). If the entire balance subject to the Promotional Interest Rate has not been paid in full within 24 months from the date of purchase, the remaining balance will be subject to Interest Charges (at the applicable regular rate set forth above) beginning on the next billing cycle and until such balance is paid in full.
3. METHOD OF COMPUTING INTEREST CHARGE
We figure the Interest Charge on your Account by applying the monthly Periodic Rate to the “Average Daily Balance” of your Account (excluding current transactions). To get the “Average Daily Balance” we take the beginning balance of your Account each day and subtract any payments or credits, returned check fees, late fees, and any unpaid Interest Charges. We do not add in any new purchases. This gives us the daily balance. Then, we add all the daily balances for the billing cycle together and divide the total by the number of days in the billing cycle. This gives us the “Average Daily Balance”.
4. MINIMUM MONTHLY PAYMENTS
You agree to pay at least the Minimum Payment Due shown on your monthly statement on or before the Payment Due Date shown on that statement. Your Minimum Payment Due will be four percent (4.0%) of the New Balance, but not less than $20, or the entire New Balance if the New Balance is less than $20, except that, (i) if you live in Vermont, the minimum monthly payment will be not less than 1/48 of the balance after the last advance in the billing period, (ii) if you live in California, the minimum monthly payment will be 10% of the New Balance, and (iii) if you live in West Virginia, your Minimum Payment Due will be 1/12 of 25% of the New Balance. If you live in South Carolina, 40% of your payment will be applied to outstanding principal. The Minimum Payment Due will include the entire amount of any check processing fee and any past due amount. If any item is designated as an “Interest Free” on the sales invoice or otherwise at the point of sale, the minimum monthly payment amount for that item will be a percentage of its total cash price (or multiple items that qualify for this option), and the minimum monthly payment amount for this option will be added to the regular minimum monthly payment amount, if any, to arrive at the total Minimum Payment Due. All payments must be made in U.S. dollars by check drawn on a U.S. bank. You may pay more than the Minimum Payment Due in any month but if you do, and there is a balance due, you must continue to make minimum payments in future months.
5. LATE FEE; RETURNED CHECK FEE
(a) If any payment is received by us more than ten (10) days after the Payment Due Date for such payment, you may be required to pay a "Late Payment Fee" of $10.00, subject to the following exceptions (see table below):
(b) If any check sent to us in payment on your Account is drawn on a foreign bank or is returned to us unpaid by the bank, to the extent permitted by applicable law, we may charge you a fee of $25.00 to cover our processing costs and you agree that we may add such fee to the balance due on your Account, subject to the following exceptions (see table below):
6. DEFAULT/COLLECTION COSTS
If you fail to pay any minimum monthly payment when due, if you declare bankruptcy, or if you die, it will be a default, and subject to any right you may have under state law to receive notice of and to cure such default, we may declare the entire unpaid balance in the Account due and payable. If the Account is referred to an attorney who is not our salaried employee and we prevail in a suit against you to collect the amount you owe, in addition to the full amount owed and any court costs, you agree to pay our reasonable attorneys’ fees. No attorneys’ fees will be imposed in any state, or in any amount, were not permitted by law. We will pay your reasonable attorneys’ fees if you prevail in a suit we bring against you under this Agreement. As required by law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligations.
7. CANCELING OR LIMITING YOUR CREDIT
Unless otherwise provided by applicable law, we have the right at any time to limit or terminate the use of your Account without giving you notice in advance. All credit cards we issue remain our property and, if requested, you agree to return any credit card issued to you. You agree to notify us promptly (call us toll-free at Tel. No. 17873703200) if any credit card we issue to you is lost or stolen.
8. CHANGE IN THIS AGREEMENT
We may change any term of this Agreement, including the rate of Interest Charge, by furnishing you notice of the change to the extent required by applicable law. If permitted by applicable law, any new terms may, at our option, be applied to any balance existing in the Account at the time of the change, as well as to any subsequent transactions.
9. CREDIT INVESTIGATION
You authorize us to investigate your credit history by obtaining consumer reports and by making direct inquiries of businesses where you have accounts and where you work. We may request a consumer report from consumer reporting agencies in considering your application for this Account and later in connection with an update, renewal, or extension of credit. Upon your request, we will tell you whether or not a consumer report was requested and the name and address of any consumer reporting agency that furnished the report. You also authorize us to report your performance under this Agreement to credit bureaus and others who may properly receive such information.
10. DISPUTED AMOUNTS
All written communications concerning disputed amounts, including any check or other payment instruments in an amount less than the full amount due that you send to us marked “paid in full” you tender with other conditions or limitations, or you otherwise tender as full satisfaction of a disputed amount, must be sent to us at the address for billing inquiries shown on the billing statement. For important information regarding your right to dispute billing errors under Federal Law, see the “Your Billing Rights Notice” that accompanies your copy of this Agreement.
11. MARKETING INFORMATION
To the extent permitted by applicable law, you give us and any holder of this Agreement permission to furnish information about you (usually only your name, address, and other identifying data) to other persons who may use that information to solicit you for products or services. You can request that we discontinue furnishing this information by calling us toll-free at 1-787-370-3200 or by writing us at SpellBound Cosmetics 6063 Av. Isla Verde, Carolina 00979, Puerto Rico.
12. DISPUTE RESOLUTION
The exclusive means of resolving any controversy or claim arising out of or relating to this Agreement or any related purchase contract, or the breach, termination or invalidity of any of the foregoing shall be in the applicable state and federal courts. The parties hereby waive the right to punitive or exemplary damages but shall have the right to reasonable attorneys’ fees and other court related costs awardable to the prevailing party.
13. CHANGE OF ADDRESS AND GOVERNING LAW
This Agreement is governed by the law of your state of residence when this Account was opened. You agree to notify us promptly in writing if you move. Until we receive written notice of your new address, we will continue to send monthly statements and other notices to the address you gave on the Application for this Account. Once we receive written notice that you have moved to another state, the terms of this Agreement that are applicable to your new state of residence will apply to the entire balance in your Account.
Notice to Maryland Residents: This Account is governed by Subtitle 9, Title 12 of the Maryland Commercial Law Article.
Notice to Texas Residents: The Interest Charge rate shown above is authorized under the Market Competitive Rate ceiling in effect under Tex. Rev. Civil. Stat. Article 50966.03. To contact SpellBound Cosmetics about this account, call us toll-free at 1-787-370-3200. This contract is subject in whole or in part to Texas law which is enforced by the Consumer Credit Commissioner, 2601 North Lamar Boulevard, Austin, TX 78705-4207. Phone (512) 4791285 or 1- 787-370-3200. Contact the Commissioner relative to any inquiries or complaints.
NOTICE: ANY HOLDER OF THIS CONSUMER CREDIT CONTRACT IS SUBJECT TO ALL CLAIMS AND DEFENSES WHICH THE DEBTOR COULD ASSERT AGAINST THE SELLER OF GOODS OR SERVICES OBTAINED PURSUANT HERETO OR WITH THE PROCEEDS HEREOF. RECOVERY HEREUNDER BY THE DEBTOR SHALL NOT EXCEED AMOUNTS PAID BY THE DEBTOR HEREUNDER.
Notice: See reverse side for important information regarding your rights to dispute billing errors.
BY SIGNING THE ACCOMPANYING ACCOUNT REQUEST FORM, YOU ACKNOWLEDGE RECEIPT OF A COPY OF THIS RETAIL INSTALLMENT CREDIT AGREEMENT.
SPELLBOUND COSMETICS U.S. SALES INC.
6063 Av. Isla Verde, Carolina, Puerto Rico 00979
Dr. Daniel Ben-Yochannan MBA, JD, Phd