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Royal Credit Union

3 cardholder agreements · 1.4 MB

D
Fair Terms · grade D (54/100)
5 contract red flags across 3 filed docs · see how every issuer ranks →
Why this grade
  • Starting score100
  • Forced arbitration (opt-out available)-12
  • Class-action waiver-12
  • Jury-trial waiver-8
  • Change-anytime clause-8
  • Penalty APR-6
  • Fair Terms score54 · grade D

See the exact wording behind each below.

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You can opt out of this issuer's forced arbitration

Royal Credit Union's agreement lets you reject arbitration and keep your right to sue — usually within a short window after opening the account. You have to send it in writing. Here's the language from the filed agreement:

“…of this Agreement and you continue to be a Member at Royal, you will have agreed to this Agreement. 1. Arbitration Procedures. A. Electing Arbitration. Except if you opt out as provided below, you or we may elect to arbitrate any claim or dispute between you and us arising from or related in any way to these Disclosures or any account, product, or service you have or have had with us. This arbitration provision applies regardless of whether the claim or dispute is based in contract, tort, or otherwise. If arbitration is elected, any claim or dispute will be resolved by individual (not class-wide) binding arbitration instead of a lawsuit or other resolution in court. This arbitration provision does not apply to any individual action brought in small claims court (or your state court equivalent). Any arbitration hearing will be within 50 miles of your residence at the time the arbitration…”
RCU-Member-Disclosures ↗

Read the exact mailing address in the clause above, then use our opt-out letter template and full guide →

Contract X-Ray — what's buried in the fine print

5 red flags · 3 filed docs

Detected in the CFPB-filed cardholder agreements from Royal Credit Union. Verbatim quotes below — CardSleuth flags the language; this isn't legal advice.

Forced arbitration

You give up your right to sue in court — disputes are pushed into private arbitration.

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“…ny one of you is notice to all of you. Arbitration Agreement, Class Action Waiver, and Jury Trial Waiver Please note that these Disclosures contain a binding Arbitration Agreement, Class Action Waiver, and Jury Trial Waiver provision which affects your rights with respect to any claims or disputes by or against Royal.…”
RCU-Member-Disclosures ↗
Class-action waiver

You can't band together with other cardholders in a class action.

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“…RANSACTIONS ................ 7 PRIVACY POLICY ............................................................................ 8-9 ARBITRATION AGREEMENT, CLASS ACTION WAIVER, AND JURY TRIAL WAIVER ............................................................... 10 TRUTH IN SAVINGS DISCLOSURE ...............................…”
RCU-Member-Disclosures ↗
Jury-trial waiver

You waive your right to have a dispute heard by a jury.

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“…............... 7 PRIVACY POLICY ............................................................................ 8-9 ARBITRATION AGREEMENT, CLASS ACTION WAIVER, AND JURY TRIAL WAIVER ............................................................... 10 TRUTH IN SAVINGS DISCLOSURE .........................................…”
RCU-Member-Disclosures ↗
Change-anytime clause

The issuer reserves the right to change your rates, fees and terms at any time.

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“…ion ( ROYAL ). Unless otherwise specified, in these Disclosures the word account means any one or more share or deposit accounts you have with Royal. Amendments Except as prohibited by applicable law, we may change, add to, or otherwise amend the terms of these Disclosures at any time. If required by law, we will provide you with advanced notice of such amendments. In all other cases, we will provide you with notice as we deem appr…”
RCU-Member-Disclosures ↗
Penalty APR

Slip up and your rate can jump to a much higher penalty APR.

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“…Visa Transfer Checks As part of a promotion, Royal cardholders may receive cash advance and/or balance In the event of past due payments, a past due penalty rate not to exceed 18% annual transfer checks which may be used to access their Visa credit line. Under no percentage rate for the underlying and penalty…”
RCU-Member-Disclosures ↗
Arbitration opt-out

The contract lets you reject arbitration (usually within a short deadline) and keep your right to sue.

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“…to opt out of this Agreement and you continue to be a Member at Royal, you will have agreed to this Agreement. 1. Arbitration Procedures. A. Electing Arbitration. Except if you opt out as provided below, you or we may elect to arbitrate any claim or dispute between you and us arising from or related in any way to these Disclosures o…”
RCU-Member-Disclosures ↗

Checked & clear: Deferred interest

Cardholder agreements

Filed with the CFPB in the 2026 Q1 bulk submission. Opens the original PDF.