Terms & Conditions Bank Islam Credit Card-i - Bank Islam Malaysia

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1. Terms & Conditions. Bank Islam Credit Card-i. Bank Islam Credit Card-i. TRULY SMART REWARDING SWITCH. Terms and Conditions apply ...
Bank Islam Credit Card-i

Terms & Conditions Bank Islam Credit Card-i

TRULY SMART REWARDING SWITCH Terms and Conditions apply

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Terms & Conditions Bank Islam Credit Card-i Financing (“BIC-i Financing”) 1. Overview The terms and conditions herein shall apply to all cards and supplementary cards issued by Bank Islam Malaysia Berhad (“the Bank”). 2. Accepting the Agreement Before the Cardmember signs and/or uses the enclosed Card-i, the Cardmember is to first read these Terms and Conditions as the Cardmember’s use or acceptance of the Card-i will be governed by these Terms and Condition. By requesting the Bank to issue the Card-i or by signing the Bank’s application form, the Cardmember hereby agrees to be bound by the following terms and conditions. By signing, using or accepting the Card-i whether as Principal Cardmember or Supplementary Cardmember, the Cardmember agrees and/or shall deem to have agreed with the terms and conditions stated hereunder. The Cardmember’s use of the Card-i and the acceptance of Monthly Statements sent to the Cardmember by the Bank shall be conclusive evidence of a binding contract between the Cardmember and the Bank, and the said evidence can be used in any Court of Law in the event of dispute. The Cardmember accepts responsibility of charges incurred when using the Card-i including retail purchases cash advances, balance transfer, installments, e-wallet charges and any other types of charges. The Cardmember accepts responsibility for the financing limit extended and/or made available either to the Cardmember or to the Supplementary Cardmember. The Cardmember shall ensure that the Cardmember’s signature on the Card-i shall be the same as the one on the application form. The Cardmember’s signature on any sale draft, transaction record, credit voucher and/or other charge record of transaction shall constitute binding and conclusive evidence of the Cardmember agreeing and accepting the charges. However, the absence of the Cardmember’s signature in any electronic or telephone or mail address orders and/or transaction does not negate the Cardmember’s liability of such transactions. The Cardmember hereby irrevocably agrees that so long as the Card-i was transacted in any electronic or internet or telephone or mail orders and/or transaction, the Cardmember shall be liable and shall the use of the Card-i as stated above constitute binding and conclusive evidence of the Cardmember agreeing and accepting the charges. 3

3. Mechanics of Financing The mechanic of the BIC-i Financing shall be under the Shariah Concept of Tawarruq. Tawarruq means the purchase of a commodity (i.e. subject matter of Tawarruq) on deferred payment basis by way of either direct sale (Musawamah) or Murabahah. The commodity is then sold for cash to a party other than the original seller. In respect of the BIC-i Financing, the Bank sells the commodity to the Cardmember on deferred payment. The Cardmember then sells the commodity to a third party (commodity broker) on cash basis through the Bank as an agent to the Cardmember. Proceeds (wariq) from the sale of commodity will be deposited into a BIC-i Wadi’ah account for the Cardmember’s utilization. 4. Definitions In these Terms and Conditions, where the context so admits the following words shall have the meanings set out against them:-

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Word

MEANING

“At Not On-Us Merchant”

any transaction in which the acquirer and the issuer are not the same member;

“At On-Us Merchant”

any transaction in which the acquirer and the issuer are the same member;

“Authorised Cash Outlets”

any bank, ATM or outlet which are authorised to accept MasterCard or Visa or any other brand owners of which the Bank is a member for cash withdrawal;

“Authorised Merchant”

the establishments supplying goods and/or services and accept the Card-i as a form of payment;

“Availability Period”

the period not exceeding the tenure of the BIC-i Financing whereby the monies in the BIC-i Wadi’ah Account are made available for utilization by the Cardmember;

“BIC-i Wadi’ah Account”

the account of the Cardmember with the Bank into which shall be deposited the Proceeds/Wariq and to be utilized by the Cardmember in accordance with these Terms and Conditions;

“Card-i”

Bank Islam MasterCard Card-i or Visa Card-i or any other credit or charge Card-i to be issued by the Bank and includes a Supplementary Card-i which is to be operated in accordance with these Terms and Conditions;

“Card-i Statement”

the periodic statement issued by the Bank to the Cardmember which shows inter alia the transactions posted to the BIC-i Wadi’ah Account;

cash withdrawn from any bank, ATM or outlet which “Cash Withdrawal” are authorised to accept MasterCard or Visa or any other brand owners of which the Bank is a member; “Commodities”

the commodities acceptable by Shariah which is to be purchased by the Cardmember from the Bank; ;

“Event of Default”

any of the events specified in Clause 19 hereof;

“Halal goods and services”

goods and services that are acceptable and in line with the Shariah requirement;

“Indebtedness”

the Sale Price or any part thereof outstanding and all other monies whatsoever including but not limited to fees, costs (including legal costs on a solicitors and client basis), charges and expenses due and payable to the Bank under these Terms and Conditions;

“MasterCard”

MasterCard Worldwide incorporated and organized under the laws of the State of Delaware, United States of America and having its principal office at 2000 Purchase Street, Purchase NY 10577 of which the Bank is principal member;

“Members Banks”

financial institutions that are members of MasterCard Worldwide or Visa International or any other brand owners of which the Bank is a member;

“Minimum Payment Due”

the date stated in the Card-i Statement by which the Minimum Payment Due or such other amount stated therein;

“Month”

a Gregorian calendar month;

“Payment Due Date”

The date stated in the Card-i Statement for the Minimum Payment Due under a Card-i Statement where Minimum Payment Due shall be; • 5% of the current balance as stated in the Card-i Statement together with any previous minimum payment which remains unpaid or Ringgit Malaysia Fifty (RM50.00) only, whichever is higher; or • The amount in excess of the BIC-i Financing (Qardh limit) plus the minimum payment of the current balance together with any previous minimum payment remains unpaid.

“PIN”

personal identification number of the Cardmember or the Supplementary Cardmember;

“Profit Margin”

the difference between the Sale Price payable herein and the BIC-i Financing and the method of recognition of the profit margin as the Bank’s income shall be in accordance with the Bank’s accounting policy prevailing at the material time.

“Proceeds/Wariq”

the amount payable to the Cardmember on the sale of the commodities to any third party by the Bank as an agent for the Cardmember which the amount also constitutes the BIC-i Financing;

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“Ringgit Malaysia”

the lawful currency of Malaysia and relate to all payments to be made under these Terms and Conditions;

“Sale Price”

the amount payable by the Cardmember to the Bank for the sale of the commodities by the Bank to the Cardmember;

“Supplementary Card-i”

the Card-i issued by the Bank to a Supplementary Cardmember;

“Supplementary Cardmember”

any person nominated and authorised by the Cardmember to operate his BIC-i Wadi’ah Account and who has agreed to be bound by the provision of these Terms and Conditions and other Security Documents;

“Visa”

Visa International Service Association, a company incorporated in the State of Delaware, with its principal office at 900 Metro Centre Boulevard, Foster City, State of California, United States of America 94404 of which the Bank is principal member;

5. Interpretations a.

Words and expressions denoting the singular number only shall include the plural and vice versa and words and expressions denoting the masculine gender only shall include the feminine and neuter gender.

b.

Reference to clauses and schedules shall unless otherwise expressly provided be references to Clauses of and the Schedules to these Terms and Conditions.

c.

The headings in these Terms and Conditions are inserted for convenience only and shall be ignored in construing the provisions of these Terms and Conditions.

6. Payment of the Sale Price a.

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The Sale Price or such part thereof remaining unpaid shall be paid by the Cardmember in accordance with the Card-i Statement issued by the Bank on the Payment Due Date or in such other amount as stated therein in the Card-i Statement. The amount as stated in the Card-i Statement to be due and payable by the Cardmember to the Bank shall in the absence of manifest error be conclusive evidence that such amount is due and payable by the Cardmember to the Bank. All payments made by the Cardmember pursuant to each Card-i Statement shall be deemed to be payments made towards the satisfaction of the Sale Price or such part thereof remaining unpaid under these Terms and Conditions.

b.

Notwithstanding the provision of Clause 6(a) above, upon receipt of the Card-i Statement, the Cardmember shall pay to the Bank the Minimum Payment Due or up to the outstanding balance on or before the Payment Due Date as stated in the Card-i Statement.

c.

All payments to the BIC-i Wadi’ah Account must be made in the billing currency in which the Card-i Statement is made. Payment by the Cardmember shall not be considered to have been made until the relevant payments have been received for value by the Bank. All payments via outstation cheques shall include the relevant Inland Exchange Commission, where applicable. Failure to include such commission shall entitle the Bank to debit the Cardmember’s account for the same.

d.

Where the Card-i is operated as a charge Card-i and payment of the full amount of the current balance is required monthly, the Minimum Payment Due shall be the total current balance stated in the Card-i Statement.

e.

Notwithstanding any other provision herein, the Bank shall be at liberty to apply all or any such payment in such other manner as the Bank in its absolute discretion deems fit and expedient.

7. Acceptance of the Card-i a.

In consideration of the Bank issuing the Card-i to the Cardmember and any Supplementary Card-i to the Supplementary Cardmember, the Cardmember and the Supplementary Cardmember agree to abide by the terms and conditions herein contained and any other terms and conditions as the Bank may impose from time to time.

b.

The use of the Card-i is restricted to the Cardmember to whom the Card-i is issued for the use at Authorised Merchants, authorised to accept MasterCard or Visa or any other brand owners of which the Bank is a member as a mode of payments. The Cardmember shall sign at the back of the Card-i immediately upon receipt of the Card-i.

c.

The Cardmember shall not permit or authorise any third party to use the Card-i and shall not transfer or otherwise part with the control or possession of the Card-i nor use it for any purpose unauthorised by the Bank.

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d.

In the event that the Cardmember does not wish to be bound by these Terms and Conditions, the Cardmember shall destroy the Card-i by way of cutting the magnetic stripe and the chip and return immediately to the Bank with a written notice that he is returning the Card-i for cancellation and shall thereafter settle the Sale Price or any part thereof remaining unpaid under these Terms and Conditions together with any amounts outstanding in his BIC-i Wadi’ah Account.

8. Usage of the Card-i

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a.

The Cardmember shall be liable to the Bank for all transactions effected by the Cardmember and/or the Supplementary Cardmember using the Card-i and for all related fees billed to the BIC-i Wadi’ah Account.

b.

i.

To effect a credit purchase from any Authorised Merchant, the Cardmember must sign on a Sales Draft prepared by the Authorised Merchant;

ii.

To effect a Cash Withdrawal using the Card-i from any Authorised Cash Outlet, the Cardmember shall sign on a Cash Withdrawal Draft prepared by the Authorised Cash Outlet;

iii.

To effect a Cash Withdrawal through ATM, the Cardmember shall use his PIN to gain access to his BIC-i Wadi’ah Account.

c.

Notwithstanding the provision set out in clause 8(a) above, the Cardmember hereby authorises the Bank to purchase his unsigned sales drafts and to debit his BIC-i Wadi’ah Account for the payments made by the Bank to the Authorised Merchant or member banks of MasterCard Worldwide or Visa International or any other brand owners of which the Bank is a member for such purchase, if the Bank is of the opinion based on satisfactory documentary evidence, that the omission is due to the nature of the transaction or due to an oversight on the part of the Cardmember and/or the Authorised Merchant and/or the member banks of MasterCard Worldwide or Visa International or any other brand owners of which the Bank is a member.

d.

The Bank shall be entitled to treat the Bank’s record of any transaction effected by the use of the Card-i including but not limited to transactions effected by electronic commerce, mail order, via the telephone or at specific Point of Sales Terminal including but not limited to transactions at petrol kiosk and/or

through such other modes that may be introduced/implemented from time to time as evidence of debt properly incurred by the Cardmember to be debited to the BIC-i Wadi’ah Account notwithstanding that any such record may not contain the signature of the Cardmember. e.

The Cardmember shall only utilize the Card-i for transactions that are legally acceptable and Shariah compliant. The Cardmember is aware that certain purchases of goods or services, such as alcohol, dealing in pork and pork related product, gambling, pornography etc are prohibited under Shariah requirements. It is the Cardmember’s responsibility to ensure that the Card-i is utilized for transactions which are not contrary, offensive or repugnant to the Shariah requirements.

f.

The use of the Card-i to effect cash withdrawal shall be limited to such amount as the Bank at its sole discretion shall determine.

g.

If the Cardmember uses the Card-i to purchase good and/or services through online internet sites or portals, the Cardmember shall be solely responsible for the security of such use at all times. The Cardmember agrees that the entry of the Card-i information on the internet shall be sufficient proof of the authenticity of such instructions. The Bank shall not be liable for acting on such use of the Card-i regardless of whether the person is authorised or unauthorised and regardless of the circumstances prevailing at the time of the transaction. However, the Bank reserves the discretion to not carry out any such transaction over the internet if the Bank has any reason to doubt its authenticity or if in its opinion it is unlawful or otherwise improper to do so or for any other reason.

h.

Where the Cardmember operates two or more Cards, a combined BIC-i Financing amount shall be assigned by the Bank to the BICi Wadi’ah Account representing the total BIC-i Financing amount extended to cover the use of all Cards held by the Cardmember and the Supplementary Cardmember, if any.

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i.

i.

The Bank shall not be liable for any act or omission on the part of the Authorised merchant including refusal by the Authorised Merchant to honour the Card-i or any defect or deficiency in any goods or services provided by the Authorised Merchant.

ii.

The Cardmember shall resolve all complaints, claims and dispute against the Authorised Merchant directly and not through the Bank. The Cardmember undertakes not to enjoin the Bank in any such claim and/or dispute or legal proceedings against the Authorised Merchant.

iii.

Any claim/dispute which the Cardmember may have against the Authorised merchant shall not relieve the Cardmember of the obligation to pay the Bank the amount incurred arising from the use of the Card-i by the Cardmember and/or the Supplementary Cardmember as stated in the Card-i Statement.

j.

The Cardmember is not allowed to use the BIC-i Financing upon the expiry of the Availability Period unless a fresh Tawarruq transaction is entered into between the Bank and the Cardmember.

k.

Subject to the terms and conditions of the BIC-i Financing, the Cardmember may utilize the monies available in the BIC-i Wadi’ah Account from time to time subject to the BIC-i Financing amount.

9. Supplementary Card-i

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a.

At the request of the Cardmember, the Bank may at its sole and absolute discretion issue a Supplementary Card-i to a person nominated by the Cardmember under his BIC-i Wadi’ah Account.

b.

The Cardmember shall be responsible and liable for all liabilities, obligations and charges incurred by the Cardmember and/or the Supplementary Cardmember(s) under his BIC-i Wadi’ah Account. The Supplementary Cardmember(s) however, shall only be responsible for his own liabilities, obligations and charges incurred. Further, the Cardmember shall be liable to ensure that his Supplementary Cardmember(s) shall observe all terms, conditions and obligations herein set out.

c.

The Supplementary Card-i issued may be cancelled by written notice to the Bank from the Cardmember and returning the Card-i to the Bank after, cutting the magnetic stripe and the chip. Notwithstanding any earlier notice of the Cardmember’s

intention to cancel or terminate the use of the Supplementary Card-i, the Cardmember shall be and remain liable for any transaction (authorised or unauthorised) effected through the use of the Supplementary Card-i up to the date the same is returned to the Bank by the Cardmember. d.

The validity of the Supplementary Card-i is dependent on the validity of the Card-i. Upon termination of use of the Card-i or the termination of these Terms and Conditions and/or the other Security Document for whatever reason, the Supplementary Card-i issued thereunder shall also be terminated.

10. Overseas Transactions a.

The Cardmember may use the Card-i outside Malaysia with the Authorised Merchants and at the Authorised Cash Outlets but the Cardmember shall notify the Bank each time the Cardmember is traveling or intend to travel outside Malaysia.

b.

The Cardmember may use the Card-i for cash withdrawal at any designated ATMs of the Bank and ATMs of other participating member banks of MasterCard Worldwide or Visa International or any other brand owners of which the Bank is a member.

c.

Where the Cardmember uses the Card-i outside Malaysia, the transaction shall be charged in the official currency of the country concerned and converted into Ringgit Malaysia at such exchange rate and at such time as may be determined by MasterCard Worldwide or Visa International or any other brand owners of which the Bank is a member at its absolute discretion.

d.

Wherever applicable, the Cardmember shall authorise the Bank to take such steps to comply with the relevant Exchange Control Regulation issued by Bank Negara Malaysia in respect of any overseas transaction.

11. BIC-i Wadi’ah Account a.

The Bank shall maintain a BIC-i Wadi’ah Account for the Cardmember and the Supplementary Cardmember for each Card-i held and all transactions effected by the use of the Card-i and any other fee shall be debited to the BIC-i Wadi’ah Account.

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b.

A Card-i Statement for the BIC-i Wadi’ah Account belonging to the Cardmember and the Supplementary Cardmember stating the transactions posted to the BIC-i Wadi’ah Account shall be sent to the Cardmember monthly or on a date determined by the Bank and hereinafter referred to as the Statement Date. The original Card-i Statement shall be free of charge.

c.

All records and entries in the Card-i Statement shall be deemed correct and binding on the Cardmember unless the Cardmember notifies the Bank in writing of errors (if any) in the Card-i Statement not later than fourteen (14) days from the date of the Card-i Statement.

d.

The Cardmember shall inform the Bank promptly in writing of any changes of the Cardmember’s residential and/or office address and/or billing address, telephone numbers or change of employment. The Cardmember shall also inform the Bank of his intention to be absent from Malaysia for more than thirty (30) days.

e.

In the event that the BIC-i Financings cancelled/terminated, the BIC-i Wadi’ah Account shall also be closed and credit balance of more than RM5.00 after deductions pursuant to Clause 15 hereof, shall be made payable to the Cardmember. If the credit balance is RM5.00 or less, the Cardmember agrees that the monies shall be transferred to the Bank’s Tabung Wang Ehsan and shall be used at the Bank’s absolute discretion for charity purposes.

12. Possession of the Card-i The Card-i remains the property of the Bank at all times and the Cardmember shall return to the Bank the Card-i, after cutting the magnetic stripe and chip, when requested to do so or if the use of the Card-i by the Cardmember is cancelled or suspended. 13. Lost/Stolen Card-i and Disclosure of PIN a.

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The Cardmember shall use reasonable precautions to prevent loss, theft, disclosure of the PIN to an unauthorised person or unauthorised use of the Card-i. Any loss, theft, disclosure of the PIN to an unauthorised person or unauthorised use of the Card-i must immediately be reported to the Bank’s Card Centre by telephone and confirmation of the report must also be made by the Cardmember immediately upon such event and a copy of the same must be given to the Bank not later than seven (7) days from such loss, theft, disclosure of the

PIN to an authorised person or unauthorised use of the Card-i. b.

The Cardmember bears the onus of showing that the Card-i was not used by the Cardmember at the time a disputed transaction was entered into record. All ATM transactions (including but not limited to cash withdrawals) shall be deemed to have been made by the Cardmember and the Cardmember shall be liable for all charges and withdrawals whatsoever arising from such transactions. The onus of proving that any ATM transaction was not made by the Cardmember shall be on the Cardmember.

c.

The Cardmember shall be liable for all charges and advances whatsoever arising from transactions, whether authorised or unauthorised, effected with the Card-i before written notice in the prescribed form of the loss, theft, disclosure of the PIN to an authorised person or unauthorised used of the Card-i has been received by the Bank. The Bank’s record of any transaction effected by the use of the Card-i shall be conclusive and binding against the Cardmember.

d.

The Cardmember’s maximum liability for unauthorised transactions as a consequence of lost or stolen Card-i and disclosure of PIN shall be limited to RM250.00, provided that the Cardmember has not acted fraudulently or has not failed to inform the Bank as soon as reasonably practicable after having found that his Card-i is lost or stolen. The Cardmember shall pay to the Bank such sum as the Bank may specify towards payment of other costs and expenses incurred by the Bank arising therefrom or incidental thereto.

e.

When a lost or stolen Card-i is found, the Cardmember shall not use the Card-i retrieved and shall return the same after cutting the magnetic stripe and the chip, to the Bank immediately upon retrieval of the Card-i. The Bank will be under no obligation to issue a replacement Card-i to a Cardmember following the loss or theft.

14. Suspension, Cancellation or Termination a.

In addition to and without derogating any of the provisions of these Terms and Condition, the Bank may terminate these Terms and Conditions by written notice without assigning any reason for termination, provided that the Bank has reason to believe that the Cardmember has misused the Card-i for any unlawful activities or has breached any of the terms and conditions set out herein. Following termination thereof, the Card-i shall be immediately can13

celled whether or not the Card-i is returned by the Cardmember to the Bank. The Supplementary Card-i shall likewise be immediately cancelled whether or not at the request of the Cardmember and whether or not the same is returned to the Bank. b.

Without prejudice to the foregoing, upon the occurrence of any breach herein or of any event of default all monies owing to the Bank under the Cardmember’s BIC-i Wadi’ah Account in accordance with the Card-i Statement shall become due and immediately payable whereupon the Bank shall be entitled to exercise its rights under these Terms and Conditions.

c.

The Cardmember hereby acknowledges that any Card-i cancelled or revoked by the Bank shall be placed on a “Cancellation List” which shall be circulated to all Authorised Merchants and Authorised Cash Outlets and all branches of the Bank.

d.

The Cardmember may at any time terminate the use of the Card-i by written notice to the Bank and returning the Card-i after cutting the magnetic stripe and the chip, to the Bank. No refund of the annual fee or any part thereof will be made. Notwithstanding any earlier notification of the Cardmember’s intention to cancel or terminate the use of the Card-i or these Terms and Conditions, the Cardmember shall remain liable for any transaction (authorised or unauthorised) effected through the use of the Card-i to the date the Card-i is returned to the Bank by the Cardmember.

e.

Notwithstanding the Payment Due Date specified in the Card-i Statement, the whole of the outstanding balance in the BIC-i Wadi’ah Account shall become due and payable upon the occurrence of the abovementioned events.

f.

Upon the termination of the use of the Card-i aforesaid all profit and other charges shall be immediately payable to the Bank. It is hereby expressly agreed by the Cardmember and the Bank that all provisions contained herein shall continue in full force and effect notwithstanding the termination of the use of the Card-i in accordance with the terms of these Terms and Conditions. All further monies debited to the BIC-i Wadi’ah Account after termination from the use of the Card-i aforesaid shall become immediately due and payable upon its entry into the BIC-i Wadi’ah Account and all profit and other charges shall hence be immediately payable.

15. Fees and Charges

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a.

b.

The Cardmember agrees to pay and authorise the Bank to debit the monies available in his BIC-i Wadi’ah Account for the following fees: i.

Cash Withdrawal At On-Us cash outlet: 2.5% of the transferred amount or RM12.00, whichever is higher;

ii.

Cash Withdrawal At Not-On Us cash outlet: 3% of the cash withdrawn or Ringgit Malaysia Fifty (RM50.00) whichever is higher;

iii.

Annual fee as prescribed by the Bank for the Card-i and each Supplementary Card-i issued or renewed, the fee shall be determined or varied by the Bank from time to time with prior written notice to the Cardmember. The annual fee shall not be refundable;

iv.

Legal fees (on solicitor and client basis) and other costs and expenses incurred by the Bank in enforcing any of its rights and entitlement under these Terms and Conditions and the recovery of the monies due and payable by the Cardmember to the Bank;

v.

Any other reasonable fees and charges imposed by the Bank for services and facilities rendered to the Cardmember.

Notwithstanding the above provision, the Bank at its discretion may vary the rate of such fees and charges by written notice to the Cardmember and such amended rate shall take effect at least within 21 days from the issuance date of the said notice.

16. SMS Reminder The Bank shall be entitled at any time and at its sole discretion send the Cardmember reminders in respect of the Minimum Payment Due and the Payment Due Date each month (“Reminder”), whether or not the Cardmember has requested for the same and the Cardmember may be notified of each reminder via mobile phone (if supported by the Cardmember phone operator) subject to the relevant terms and charges of the phone operator. The Cardmember is fully aware that the Cardmember’s receipt of each reminder may be delayed or prevented by factor(s) affecting the relevant service provider(s), phone operator(s) and any other relevant entities. The Cardmember accepts that the Bank neither guarantees the delivery

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nor accuracy of the contents of each reminder and shall not be liable for losses or damages arising from: i.

a non-delivery, delayed delivery or wrongful delivery of each reminder;

ii.

inaccurate content of each reminder; or

iii.

the Cardmember’s use or reliance on the contents of any reminder for any purposes.

The information in respect of any reminder may be subject to certain time lags and/or delays. The features of any reminder may at any time be varied or discontinued by the bank, with or without notice, at its absolute discretion. 17. Telephone Monitoring and Recording The Cardmember authorises the Bank to contact the Cardmember by telephone on matters related to the BIC-i Financing. The Cardmember agrees such calls from the Bank maybe unsolicited calls. From time to time the Bank may monitor and/or record the telephone calls between the Cardmember and the Bank. The Cardmember further agrees that monitoring and/or recording may be done and that no additional notice to the Cardmember or additional approval from the Cardmember is needed. 18. Representations and Warranties by the Cardmember The Cardmember represents and warrants to the Bank as follows:

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a.

that these Terms and Conditions constitute the legal, valid and binding obligations of the Cardmember enforceable in accordance with its own terms and the obligations of the Cardmember thereunder do not contravene any legislation or regulation binding on the Cardmember;

b.

that there is no order of any court or any governmental agency or any provision of any existing agreement binding on the Cardmember or to which it is subject which would be contravened or breached by the execution delivery and performance of these Terms and Conditions;

c.

that no lawsuits or investigations by any governmental agency body or other regulatory authority or any other party are pending or are to be instituted against the Cardmember;

d.

that no violation of any provisions of legislation court orders judgment and others has been committed by the Cardmember;

e.

that there are no bankruptcy proceedings pending against the Cardmember;

f.

that the rights and obligations of the parties under these Terms and Conditions are governed by and construed in accordance with the laws of Malaysia;

g.

that the BIC-i Financing shall not be used for purposes contrary to the Shariah principles.

The truth and correctness of all matters stated in the representations and warranties in the foregoing paragraphs of this section hereof form the basis of the Bank’s commitment to make available the BIC-i Financing to the Cardmember. If any such representation and/or warranty made at any time hereafter is found to have been incorrect in any material respect then and in such event and notwithstanding anything to the contrary in these Terms and Conditions contained therein the Bank has the right at its absolute discretion to terminate the BIC-i Financing or part or parts thereof. 19. Events of Default Upon the occurrence of any of the following events at any time and regardless of whether the event is within or beyond the control of the Cardmember: a.

if the Cardmember fails refuses and/or neglects to pay the Minimum Payment due stated in the Card-i Statement for (2) consecutive Payment Due Dates;

b.

if any legal proceedings suit or action of any kind whatsoever (whether criminal or civil) is instituted against the Cardmember;

c.

If the Cardmember is adjudged bankrupt or becomes insolvent or bankruptcy proceedings are filed or instituted against the Cardmember or the Cardmember dies or becomes insane or of unsound mind;

d.

if distress execution attachment or other legal proceedings are levied enforced or issued against all or any of the Cardmember’s properties and any such proceedings are not discharged or stayed;

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e.

if after a credit check is performed the Bank is of the opinion that it is not in the interest of the Bank to continue to grant the BIC-i Financing to the Cardmember;

f.

if an event or series of events whether related or not (including, without limitation, any material adverse change in the business, assets or financial condition of the Cardmember) has or have occurred which in the opinion of the Bank shall be final and binding (without giving any reasons or evidence) could or might affect or prejudice the ability or the willingness of the Cardmember to perform or to comply with all or any of his obligations hereunder;

g.

if the Cardmember uses the Card-i in excess of the Cardmember’s BIC-i Financing;

h.

if the Cardmember fails to comply with any provisions set out in these Terms and Conditions;

i.

if the Cardmember commits or threatens to commit a breach of any of the terms conditions covenants stipulations or agreements herein expressed or implied in anyway whatsoever;

j.

if the Cardmember commits or threatens to commit a default under any of his contractual obligations with any other parties including the Bank with regards to his borrowing/financing whatsoever;

k.

if the whereabout of the Cardmember is unknown to the Bank or if the Cardmember cannot be traced, contacted or located;

l.

if the Cardmember leaves Malaysia to take up residence or employment elsewhere;

m. if the Cardmember makes an assignment for the benefit of the creditors of the Cardmember or enters into or attempts to enter into an arrangement or composition for the benefit of his creditors or allows any judgment to remain unsatisfied for a period of fourteen (14) days or more;

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n.

if these Terms and Conditions shall be challenged with regards to validity by the Cardmember or any other person;

o.

if the Cardmember does not in the opinion of the Bank satisfactorily maintain any of his accounts with the Bank or any of its branches or any other entity associated with the Bank;

p.

if the Cardmember refuses or fails to disclose any information or provide any documentary evidence which is in the opinion of the Bank (which shall be final and binding) is required for the Bank to ascertain the financial position of the Cardmember;

q.

if there is recurring reported loss or mutilation of the Card-i;

r.

if there is an occurrence which in the opinion of the Bank (which shall be final and binding) is questionable or unexplainable or unlawful transactions involving the use of the Card-i;

s.

if it shall constitute a violation of any applicable law, regulation, government directive or regulatory requirement for the Bank to continue to make available the use of the Card-i or of the BIC-i Financing to the Cardmember;

t.

if the Cardmember has been negligent in maintaining proper custody and control of the Card-i or of the PIN, or if the Cardmember has in the opinion of the Bank (which shall be final and binding) by any act, omission or any other means permitted or enabled the misuse or the perpetuation of fraud relating to or in connection with the Card-i; or

u.

if the Cardmember terminates the use of the Card-i in accordance with these Terms and Conditions; the Bank shall have the right :a.

to terminate these Terms and Conditions whereupon the Sale Price or such part thereof remaining unpaid shall forthwith become due and payable to the Bank and to cancel or revoke the Card-i; or

b.

to suspend or restrict the use of the Card-i by the Cardmember under the Cardmember’s BIC-i Wadi’ah Account; or

c.

not to renew or replace the Card-i upon its expiry whereupon these Terms and Conditions shall be terminated and the Sale Price or such part thereof remaining unpaid shall forthwith become due and payable to the Bank.

(Reference made to the Cardmember and the Card-i above shall also include the Supplementary Cardmember and the Supplementary Card-i). 20. Right of Consolidation and Set off Following an event of default, the Bank may, upon 7 days notification to

19

the Cardmember, combine consolidate or merge all or any of the Cardmember’s account(s), whether current, investment or otherwise, with the liabilities to the Bank and the Bank may set off or transfer any sum standing to the credit of any such account in or towards the satisfaction of any of the Cardmember’s liabilities to the Bank. 21. Statement of Account A statement of account in writing stating the amount payable by the Cardmember under these Terms and Conditions issued by or on behalf of the Bank thereof shall in the absence of manifest error be conclusive evidence that such amount is in fact due and payable by the Cardmember. 22. Indemnity Notwithstanding any other provisions of these Terms and Conditions, the Cardmember shall fully indemnify the Bank from and against any expense including legal costs on a solicitors and client basis loss damage claim or liability (as to the amount of which the Bank’s certificate shall, in the absence of manifest error be conclusive) whatsoever in all respects which the Bank may incur sustain or suffer in enforcing or attempting to enforce payments and in enforcing the terms of these Terms and Conditions against the Cardmember and/or the Supplementary Cardmember. 23. Waiver No relaxation, forbearance, indulgence, failure or delay on the part of the Bank in exercising nor any omission to exercise any right, power, privilege or remedy accruing to the Bank under these Terms and Conditions, or any security in favour of the Bank upon any default on the part of the Cardmember shall impair any such right, power, privilege or remedy or be construed as a waiver thereof or an acquiescence in any default affect or impair any right, power, privilege or remedy of the Bank in respect of any other or subsequent default nor shall any single or partial exercise of any right or remedy prevent any further or other exercise thereof or the exercise of any other right or remedy. The rights and remedies herein provided are cumulative and not exclusive of any other rights or remedies provided by law. 24. Time Time wherever mentioned shall be of the essence of these Terms and Conditions. 25. Recitals and Schedule 20

The Recitals and Schedule herein shall be taken to be read and construed as an integral part of these Terms and Conditions. 26. Full Payment Notwithstanding anything to the contrary contained herein, it is hereby agreed that on the satisfaction by payment or otherwise of the indebtedness all the provisions herein contained shall cease to be of any effect but without prejudice to the Bank’s rights and remedies against the Cardmember in respect of any antecedent claim or breach. 27. Reconstruction of the Bank and the Cardmember The securities, rights, liabilities, obligations created by these Terms and Conditions shall continue to be valid and binding for all purposes whatsoever notwithstanding any change by amalgamation, re construction or otherwise which may be made in the constitution of the Bank and similarly the liabilities and/or obligations created by these Terms and Conditions shall continue to be valid and binding for all purposes whatsoever notwithstanding any change by amalgamation, reconstruction or otherwise howsoever in the constitution of the Cardmember and it is expressly declared that no change of any sort whatsoever in relation to or affecting the Cardmember shall in any way affect the security liabilities and/or obligations created hereunder in relation to any transaction whatsoever whether past, present or future. 28. Indulgence The liability and obligations of the Cardmember shall not be impaired or discharged by reason of any time forbearance or other indulgences being granted by or with the consent of the Bank to the Cardmember or to any person who or which may be in any way liable to pay any of the monies secured hereby or by any other security in favour of the Bank or by reason of any arrangement being entered into or composition accepted by the Bank modifying the operation of law or otherwise the rights and remedies of the Bank under the provisions of these Terms and Conditions. 29. Variation of Terms It is hereby expressly agreed and declared by the parties hereto that if the parties do mutually agree to vary or amend the terms and/or

21

conditions of these Terms and Conditions, the terms and/or conditions of these Terms and Conditions may at any time and from time to time be varied or amended by mutual consent of the parties hereto by means of a mutual exchange of letters and thereupon such amendments and variations shall be deemed to become effective and the relevant provisions of these Terms and Conditions shall be deemed to have been amended or varied accordingly and shall be read and construed as if such amendments and variations had been incorporated in and had formed part of these Terms and Conditions at the time of execution hereof provide always that notwithstanding anything to the contrary hereinbefore contained in this Clause, the Bank shall nevertheless, to the extent permitted by law, be entitled at its absolute discretion to vary or amend the terms and/or conditions of these Terms and Conditions by notice in writing to the Cardmember and such amendments and variations shall have similar effect as those hereinbefore referred to in this Clause and nothing herein shall be construed so as to restrict or curtail or prejudice any of the rights of the Bank herein to vary or amend the terms and/or conditions without the necessity to obtain the Cardmember’s consent or confirmation. 30. Documents in Counterparts These Terms and Conditions may be executed in any number of counterparts each of which when so executed and delivered shall be an original but all such counterparts shall together constitute but one and the same instrument. 31. Benefit to Assign, Successors, etc. These Terms and Conditions shall be binding upon and enure to the benefit of the Bank and the Cardmember and their respective successors in title and assigns except that the Cardmember may not assign its rights or obligations thereunder or any interest therein without the prior written consent of the Bank but the Cardmember shall nevertheless remain liable for all its obligations hereunder in the event of any non disclosure of any material fact pertaining to the Cardmember’s assignment which if disclosed would affect the Bank’s decision to agree to such assignment. All undertakings, agreements, representations and warranties given, made or entered into by the Cardmember under these Terms and Conditions shall survive the making of any assignments thereunder. 32. Headings The headings to the Articles and Clauses of these Terms and Conditions are for convenience of reference only and do not affect the construction 22

and interpretation thereof. 33. Appointment of Agent(s) In amplication and not in derogation of its right under these Terms and Conditions, the Bank shall have the right at its absolute discretion and when it deems necessary to appoint or authorise an agent of its choice to act on its behalf for the purpose of recovering any or all monies due and payable from the Cardmember to the Bank under these Terms and Conditions. The Cardmember hereby authorises the Bank to disclose any information concerning the Cardmember and his BIC-i Wadi’ah Account to any of its agent duly appointed for purpose of recovering any or all monies due and payable from the Cardmember to the Bank under this Terms and Conditions. 34. Law These Terms and Conditions shall be governed by and construed in all respects in accordance with the laws of Malaysia. 35. Expenditure Incurred by the Bank for and on Behalf of the Cardmember All monies expended by the Bank under these Terms and Conditions from time to time for and on behalf of the Cardmember and for its account shall be recoverable from the Cardmember and shall be repaid on demand. 36. Suspense and New or Separate Account a.

Any money received under these Terms and Conditions may be placed or kept to the credit of a suspense account for so long as the Bank thinks fit without any obligation in the meantime to apply the same or any part thereof in or towards the discharge of any money or liabilities due or incurred by the Cardmember to the Bank. Notwithstanding any such payment in the event of any proceedings in or analogous to bankruptcy liquidation or arrangement the Bank may prove for and agree to accept any dividend or composition in respect of the whole or any part of such money and liabilities in the same manner as if these Terms and Conditions had not been created.

b.

If the Cardmember shall or cause to execute or create any further or subsequent encumbrance over any of its assets in favour of any other corporation, person(s) of which the Bank shall receive notice, either actual or constructive, the Bank may on receiving 23

such notice, forthwith open a new or separate account with the Cardmember in its books and if the Bank does not in fact open such new or separate account(s), the Bank shall nevertheless be deemed to have done so at the time when the Bank received or was deemed to have received such notice and as from and after such time, all payments to the account made by the Cardmember to the Bank shall (notwithstanding any legal or equitable rule or presumption to the contrary), be placed or deemed to have been placed to the credit of the new or separate account(s) so opened or deemed to have been opened and shall not go in reduction of the amount due by the Cardmember to the Bank at the time when the Bank received or was deemed to have received the aforesaid notice. Provided always that the provisions of this Clause shall not prejudice the security otherwise available under these Terms and Conditions for the payment of the monies payable by the Cardmember notwithstanding that the same may become due or owing or be incurred after the time when the Bank received or were deemed to have received the aforesaid notice. 37. Disclosure to Central Credit Unit The Bank, and its servants or nominees may, at any time and the Cardmember hereby consents to the same irrevocably, release information relating to the Cardmember in respect of the BIC-i Financing to Bank Negara Malaysia’s Central Credit Unit or to any other approved agencies or in compliance with the laws of Malaysia and the Cardmember shall be deemed to have agreed to such disclosure. 38. Disclosure to related companies etc The Cardmember hereby agrees that as long as the indebtedness continues and/or as long as any monies are due from the Cardmember to the Bank, the Bank shall be entitled to disclose information on the BIC-i Financing to companies which are or which in the future may be related to the Bank. The Cardmember hereby agree to Bank Islam disclosing information to third party as the Bank deems fit. The Cardmember is given the option to notify the Bank, not to allow the Bank to disclosing such information by contacting or write in to the Bank. 39. Changes in Circumstances If any change in applicable law, regulation or regulatory requirement 24

or in the interpretation or application thereof or if compliance by the Bank with any applicable direction, request or requirement (whether or not having the force of law) or any governmental or other authority shall result in imposing on the Bank any condition burden or obligation which renders it undesirable, in the absolute opinion of the Bank, to make available or maintain the BIC-i Financing, then upon notice from the Bank, the BIC-i Financing shall be deemed to be cancelled in which event the Cardmember shall pay to the Bank the Indebtedness within seven (7) days from the receipt by the Cardmember of such notice. 40. Invalidity of any Provision Any provision of these Terms and Conditions which is invalid, unenforceable or prohibited shall not affect the validity or enforceability of the other provisions of these Terms and Conditions. 41. Force Majeure Notwithstanding any provision of these Terms and Conditions, the Bank shall not be liable for any failure on the part of the Bank to perform any obligation under these Terms and Conditions resulting directly or indirectly from the action or inaction of any governmental or local authority or any strike, boycott, blockade, act of God, civil disturbance or cause beyond the control of the Bank. 42. Ta’widh (Compensation) It is hereby agreed that the Cardmember shall pay the Bank, by way of Ta’widh (compensation), a fee of 1% of the outstanding balance or RM5.00 whichever is higher, to a maximum of RM50.00. 43. Service for Notices Legal Process Etc a.

Any demand notice request or legal process required or permitted to be given or made under these Terms and Conditions to the Bank or to the Cardmember shall be in writing and in the case of the Bank shall be under the hand of any Manager or any authorised officer of the Bank or a solicitor or firm of solicitors purporting to act for the Bank.

b.

Any such demand notice request or legal process shall be deemed to have been sufficiently given or made if sent by ordinary or registered post sent to the respective address of the parties hereto and shall be deemed to have been served on and duly received by the other party or parties after the expiration of five (5) days from the date it is posted or if delivered by hand or send by courier to 25

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Bank Islam Card Centre, Level 24, Menara Bank Islam, No. 22 Jalan Perak, 50450 Kuala Lumpur 28• Contact Centre : 03-26 900 900 • Email : [email protected]