Arbitration and Waiver of Class Action
January 1, 2023
Raiz Federal Credit Union is committed to helping our members achieve their financial goals. We are over 70,000 members strong and provide a full range of high-quality financial services at the great rates and low-cost you can expect from a first-class credit union.
As part of our responsibility to provide exceptional member service, we are enhancing how we approach and handle member complaints. From time to time, despite best intentions, problems and disputes can arise between the credit union and its member.
Raiz is committed to resolving member disputes in an efficient, transparent, and agreeable manner. Our history with you and the community backs this up, and we renew this commitment today.
Effective February 2, 2023, an Arbitration and Waiver of Class Action will be part of our Membership and Account Agreement – available through Online Banking, at any of our branches, or you may call to request a copy.
How does Arbitration impact you?
- If we cannot resolve a dispute related to the Agreement and services provided, or if you are not satisfied with the outcome of the dispute, you may choose to have someone outside the credit union address and settle the matter, also known as Arbitration.
- The Arbitration process replaces your option and right to go to court or participate in class action lawsuits. The Arbitration process is described in more detail in the Membership and Account Agreement.
Raiz weighed many factors when deciding to include Arbitration in our member complaint resolution process. Ultimately, we believe adopting an arbitration approach will be a faster and less expensive process for our members and the credit union.
You have a Choice: How can I Opt-Out of Arbitration?
- If you do not want to use Arbitration, you must let us know by February 2, 2023.
- You must send written notice to the following address and include your name, your account number, and a statement declining to accept the Arbitration Agreement provisions:
Raiz Federal Credit Union, Administrative Department, 12020 Rojas Drive, El Paso, TX 79936.
- By doing nothing, you accept the updates to Raiz’s Arbitration Agreement provisions.
Your decision will not impact Raiz’s commitment to provide you with the highest level of service. Raiz follows the credit union philosophy of “people helping people.” Our profits are returned to you in the form of high dividends, low fees, low rates, community development, and more.
Raiz staff is available to answer any questions about Arbitration and our complaint resolution process. We thank you for being a member and look forward to continuing to serve you.
Complaint Handling & Resolution Process
Arbitration & Class Action Provisions Frequently Asked Questions
Raiz is Here to Help.
Raiz is committed to addressing and resolving member disputes in an efficient, transparent, and agreeable manner. Preserving your trust and confidence in us is important; if you have a question, concern, or complaint, we encourage you to contact us at 877-378-3281 and allow us the opportunity to resolve the issue.
Alternative Option for Unresolved Complaints
If Raiz cannot resolve a dispute to your satisfaction, you may choose to have someone outside the credit union address and settle the matter, also known as Arbitration.
What is Arbitration?
Arbitration is a way to resolve disputes, and different from a lawsuit in state or federal court. Arbitration is conducted by private organizations and is overseen by a neutral arbitrator instead of a judge or jury. Arbitration is often faster and more efficient than litigating the matter in court.
Why did Raiz elect for Arbitration and Class Action waiver provisions?
Raiz weighed many factors when making the decision to include arbitration and class action waivers into the membership account agreement and complaint resolution process. Ultimately, we believe adopting an arbitration approach will be a faster and less expensive process for both our members and the credit union.
How does Arbitration Work?
The Arbitration process replaces the option and right to go to court or participate in class action lawsuits. Either you or Raiz may elect to resolve a dispute through arbitration. Arbitration will be administered by the American Arbitration Association (“AAA”). The arbitration rules and forms are available on the AAA website at www.adr.org. You can initiate the arbitration resolution process by obtaining and submitting the necessary forms outlined on the AAA website.
What about Class Action?
Arbitration claims are handled on an individual basis. Under the agreement, you waive your right to assert or participate in a class action lawsuit.
Who will pay the cost?
Raiz will pay for filing and administrative fees related to arbitration. Members will pay for their own attorney fees, unless determined otherwise in the final arbitration decision.
Is the Arbitration decision final?
Arbitration is binding, which means you and Raiz agree to accept the arbitrator’s decision as final.
Does Arbitration apply to all disputes?
The arbitration agreement does not apply to the following disputes:
- Claims initiated in or transferred to small claims court,
- Claims relating to consumer credit transactions secured by a house, including home equity line of credit,
- Consumer credit obtained while you were covered by the Military Lending Act.
Can I reject Arbitration?
Yes, you can reject arbitration by providing written notice stating you reject the arbitration provisions within 30 days of opening your account or within 30 days of receiving the Arbitration notification, included in your 2022 year-end statement. By doing nothing, you accept the updates to Raiz’s Arbitration Agreement provisions.
You must send notice to the following address and include your name, account number, and statement declining the arbitration provisions to:
Raiz Federal Credit Union
12020 Rojas Drive
El Paso, TX 79936
Our Commitment to You
Your decision will not impact Raiz’s commitment to provide you with the highest level of service.
Raiz follows the credit union philosophy of “people helping people,” meaning, our profits are returned to you in the form of higher dividends, lower fees and rates, community development, and more.
For more information, see the Arbitration and Waiver of Class Action section in the updated Membership and Account Agreement on our website, request a copy of it over the phone at 877-378-3281 or stop by any Raiz branch.
If you have additional questions, regarding arbitration or class action lawsuit provisions, please contact us at 877-378-3281.