PEX Legal

PEX Credit Expense Card Program Terms

Last Modified June 8, 2023

These PEX Credit Expense Card Program Terms set forth the requirements for your participation in the PEX Credit Expense Card Program and the terms that govern your use of PEX Cards, including the process for obtaining and managing cards through your PEX Account, and the issuance and use of cards as governed by Issuer Terms between you and Issuers. We may update these PEX Credit Expense Card Program terms at any time by delivering notice, and your continued use of cards will constitute acceptance of the updated terms.

These PEX Credit Expense Card Program terms include an authorization for PEX to automatically debit your Linked External Accounts for amounts owed for use of the Services, including charges, fees, fines, and other transactions you make on cards.

Capitalized terms in this Credit Schedule are defined in the Master Services Agreement - General Terms.


1. Credit Expense - General Description

The Credit Expense Program will enable the Customer to assign a Credit Expense Card issued to PEX to one or more employees or contractors of the Company for the purpose of making purchases on behalf of the Company.  For the avoidance of doubt, the Credit Expense Program will not be used by the Customer to pay employment or labor wages, consultant or advisory fees, or commissions to any person, including without limitation companies and natural persons. As used in this Credit Expense Program Schedule, “we,” “us,” and “our” shall mean PEX, who is responsible for allowing you access to the Credit Expense Cards.

Customer also acknowledges that Credit Expense Cards may only be distributed to individuals whose identity has been validated by Customer through the use of commercially acceptable screening methods, such as employment screening and background checks and from whom Customer retains acceptable documentation on file validating the identity of those individuals.  Acceptable documentation includes a copy of a Social Security card, state issued driver’s license, and/or birth certificate.

Customer acknowledges that PEX’s presentation of this Credit Expense Program Service Schedule does not represent an offer for a Line of Credit. The Customer’s electronic signature at the end of the Customer’s review of this Agreement does not legally bind PEX to perform any of the credit-related services outlined in this Agreement. PEX will not be bound to the terms and conditions of this Service Schedule until all of the following have been completed: 1) the Customer has submitted a completed Credit Expense Program Customer Application Form; 2) the Customer Application Form and its contents have been reviewed and evaluated by PEX; and 3) Customer is approved for the Credit Expense Program with an initial approved credit limit on your revolving line of credit (the “Credit Line”) as determined by PEX in accordance with its policies and procedures at the time of the application by Customer. Only then will PEX and the Customer have a true customer relationship that binds both parties to the terms and conditions of this Service Schedule (the “Effective Date”). Upon PEX’s approval of Customer to participate in the Credit Expense Program and Customer’s acceptance of PEX’s offer to participate in the Credit Expense Program and the Credit Line amount offer within the acceptance period specified in the offer, the Credit Line will be implemented by PEX and the Customer agrees to guarantee all obligations associated with the Credit Line.  PEX will track all charges made against the Credit Line, and all payments made from the Linked External Account, in Customer’s Credit Expense Account.

For clarity, the approval of a Customer’s Credit Expense Program Customer Application does not also approve the Customer for the Prepaid Expense or Disburse Programs, which each require separate applications and approval by PEX.

2. Credit Expense Program Details

2.1 Linked External Account 

For initial credit approval and ongoing monitoring of credit worthiness, PEX requires Customer to maintain a Linked External Account. An active connection to the Linked External Account is required to make use of the Credit Expense Program and/or associated Credit Line. It is the responsibility of the business administrator to update credentials to maintain PEX’s access to the Linked External Account. If PEX is unable to verify the balance of a Linked External Account, then the Credit Expense Program and/or associated Credit Line may be suspended.

You must maintain at least one Linked External Account at all times and agree that PEX may directly debit any Linked External Account for payment of amounts owed.


2.2 Authorization to Debit Linked Accounts, ACH Authorization

2.2 (a) Your Authorization to Debit Linked External Accounts

You authorize PEX or its authorized representatives, or their respective successors and assigns, to collect amounts owed under this Service Schedule by debiting funds from your Linked External Accounts (or any PEX Accounts). If PEX or its authorized representatives, or their respective assigns use the Automated Clearing House (ACH) network, the debits will be governed by the rules established by the National Automated Clearinghouse Association (NACHA) for business-related ACH debits. Debits collected under your authorization may be carried out by and in the name of us or our successors or assigns.

2.2 (b) Manner and Timing of Payment 

We will debit Linked External Accounts for all amounts owed to us in connection with our provision of the Credit Expense Program and/or the Credit Line. If we cannot collect these amounts via ACH or another method, you agree to immediately pay all amounts owed as directed. We may debit Linked External Accounts separately for the payment of Fees that you incur.

You also authorize PEX to debit Linked External Accounts for all amounts owed to us immediately, on any date (including before the due date), and without additional Notice where we determine, in our sole discretion, that: (a) the total aggregate balance of Linked External Accounts associated with your Credit Line is less than the balance minimums required by our underwriting criteria; (b) Customer no longer qualifies for the Credit Line; or (c) Customer or the amounts owed to us pose or may pose an unacceptable risk to PEX, its successors or assigns.

In the event there is an error in processing an electronic purchase or refund, you authorize us to correct the error by initiating an electronic credit or debit to the Linked External Account in the amount of such error on or after the date such error occurs.


2.2 (c) Withdrawing Your Authorization

To withdraw the debit authorization from a Linked External Account, you must provide us not less than thirty (30) days’ prior written notice. If you withdraw the debit authorization from all Linked Accounts, you must pay all amounts owed under your PEX Account before or upon providing notice, including fees, fines, and other amounts not yet reflected on your Periodic Statements, and you authorize us to debit your Linked Account for such amounts before the withdrawal of authorization takes effect.

Withdrawal of a debit authorization does not terminate the Agreement or your obligation to pay all amounts owed under this Agreement. Customer acknowledges and agrees that it is responsible for all costs of collections and damages if amounts owed are not paid in full by Customer when due.


2.3 Customer’s Promise to Pay 

Customer promises to pay all charges, including:

  1. All charges Customer makes, even if Customer does not present the Credit Expense Card or sign for the transaction;
  2. Charges that an authorized PEX Cardholder using a Credit Expense Card makes, even if the authorized PEX Cardholder does not present their card or sign for the transaction; and
  3. Charges that another person makes if Customer or an authorized PEX Cardholder using a Credit Expense Card allows that person to use their Credit Expense Card(s).

2.4 Mandatory Auto-Payment  

At the end of the Statement Period, at 11:59:59 am, the aggregate balance of settled transactions is required to be paid to PEX immediately (i.e. the payment “due date”). Customer will receive a Periodic Statement containing the total amount due for that period, and PEX will automatically initiate an ACH direct debit transfer for the total balance owed, on the due date, from the Linked External Account. PEX may debit your Linked External Account one business day after the end of the Statement Period if your due date falls on a weekend or U.S. federal holiday. If an automatic debit fails for any reason, PEX will attempt to debit your Linked External Account on subsequent business days. You may make early payments at any time through the Dashboard.

2.6 Late Payment Fee  

The Customer may be charged a late payment fee of $25.00 if PEX is unable to debit the Linked External Account for repayment of charged amounts when due at the end of the Statement Period. The late payment fee is applied after a 24-hour grace period. Application of the late payment could occur: if the Linked External Account connection is invalidated by the Customer (e.g. if the external bank account password is changed); in the event of an ACH debit return or reversal after the required payment has been debited by PEX; or similar.  Any late payment fee assessed by PEX will be reflected in the subsequent Periodic Statement.

2.7 Periodic Statements

You are responsible for payment in full of all charges, fees, and fines. We will provide you Periodic Statements identifying applicable charges, fees, fines, refunds, any other card transactions, or other amounts owed or credited to your Credit Line. You must notify us promptly if you believe that there are any errors on your Periodic Statement, and submit any disputes or chargebacks in accordance with this Master Services Agreement (See Section 5.1 for “Unauthorized Use and Customer Claims.”)

2.8 Early Payments

Customer is at liberty to make early payments through the Dashboard. Early payments will be applied to the full balance due on the payment due date (the date at the end of the Statement Period). However, after the early payment is applied to the full balance due, a credit balance may remain. We may reduce the amount of any credit balance by any new charges. You may contact PEX at the phone number or email address provided on your Periodic Statement to request a refund of any available credit balance.

3. Actions PEX May Take on Your Credit Line or Credit Expense Account

3.1 Changes to Your Approved Credit Line

PEX reserves the right to increase or decrease the Credit Line at any time upon notice to Customer, based on observed Linked External Account activity and balances, or any other relevant risk factor as determined by PEX. For Credit Line decreases, PEX will provide timely notice of such changes along with reasoning for the credit decision.

3.2 Customer Default

Customer will be in default of their Credit Line if:

  1. The automatic debit from your Linked External Account does not go through and/or any manual payment you make is rejected, not paid, or cannot be processed; Customer obligations and PEX rights are discussed further in Section 3.3 (Failure to Pay, Set Off, Collections);
  2. You file or become the subject of a bankruptcy or insolvency proceeding;
  3. We determine that you made a false, incomplete or misleading statement to us, or you otherwise tried to defraud us;
  4. You do not comply with any term of this Agreement; or
  5. PEX discovers that your primary place of business is outside the United States.

If you are in default, we may take certain actions with respect to your Credit Expense Card(s) and/or Credit Line. Depending on the reason for the default, we may take the following actions, without notifying you, unless we are legally obligated to provide notice:

  1. Charge you applicable Fees;
  2. Close or suspend your Credit Expense Card(s) and/or Credit Line;
  3. Decrease your Credit Line;
  4. Demand that you immediately pay the total balance owed on your Credit Line;
  5. Continue to charge you Fees if your account balance remains unpaid and outstanding; and/or
  6. Pursue legal action against you.

3.3 Failure to Pay; Set Off and Collections

If you fail to pay the full balance owed on the payment due date , we may attempt to collect amounts owed from your Linked External Account, including any applicable late fees, which will continue to accrue until your overdue payments are paid in full and your account is current. We may collect partial payments for unpaid amounts from any Linked External Account, but any partial payment is not a waiver of our rights and will not satisfy your obligation to pay in full.

Any amounts owed may be set off, debited, or collected from amounts in any PEX Account that you hold, including any held jointly with a third party or that you open in the future, even if your original PEX Account has been closed. We may exercise this right against the Customer or any of the Customer’s respective successors or assigns, or any assigns. This right will exist even if we do not exercise it prior to the making, filing, or issuance of an arbitration demand, court order, or other action.

Any failure to pay the full amount owed to PEX when required is a breach of these Credit Expense Program Terms. You are responsible for all costs or expenses that we or associated third parties incur in the process of collecting amounts owed but not timely paid, including legal or collections fees.

If we need to contact you to service your account or to collect amounts you owe, you authorize us (and our affiliates, agents and contractors, such as debt collection agencies and service providers) to contact you at any phone number or email address you provide, from which you contact us, or at which we believe we can reach you. We may contact you in any way, such as calling, texting, emailing, sending mobile application push notifications or using any other method of communication permitted by law. We may contact you using an automated dialer or prerecorded messages. We may contact you on a mobile, wireless or similar device, even if you are charged for it. However, PEX promises to comply with requirements of the Fair Debt Collection Practices Act and use reasonable efforts to contact Customer in any and all efforts to collect amounts owed.

3.4 Canceling or Suspending Your Credit Expense Cards

PEX has broad authority to take action on your Credit Expense Card(s) and/or Credit Line, including canceling or suspending your Credit Expense Card(s) and/or Credit Line. We may cancel or suspend your Credit Expense Card(s) and/or Credit Line for any reason, including reasons not outlined in Section 3.2 of this Credit Expense Program Schedule. Depending on the type of action we take on your Credit Expense Card(s) and/or Credit Line, PEX may be obligated to notify you of the adverse action. PEX may take any of the following actions on your Credit Line: (a) Cancel your Credit Expense Card(s) or Credit Line; (b) suspend the ability to make charges; (c) cancel or suspend any feature on your Credit Expense Card(s) or Credit Line; and/or (d) notify merchants that your Credit Expense Card(s) or Credit Line has been canceled or suspended.

If we do any of the above, the Customer will remain responsible to pay PEX for all fees and charges incurred under the terms of this Agreement.

PEX may also take any of the following actions on the Customer’s Credit Expense Card(s) and/or Credit Line if Customer engages in any of following: (a) violates any law, statute, ordinance, or regulation; (b) purchases or sells, or to facilitates the purchase or sale of, illegal goods or services, including but not limited to: unlawful sexually oriented materials or services, counterfeit products, unlawful gambling activities, the unlawful purchase or sale of tobacco, firearms, prescription drugs, or other controlled substances; (c) engaged in fraud, money laundering, or the funding of terrorist organizations; (d) uses the Credit Expense Card(s) or Credit Line in a manner that any electronic funds transfer network reasonably believes to be an abuse of the card system or a violation of card association or network rules; (e) tests credit card behaviors; (f) funds or remits payroll or payroll deposits; or (g) commits a material breach of the terms or conditions of this Agreement, including without limitation this Service Schedule, and fails to cure such material breach within thirty (30) days after Customer receives notice from PEX specifying the nature of the material breach and remedy (or remedies) sought.

PEX may agree to reinstate your Credit Expense Account after cancellation. If PEX decides to do this, we may: (a) reinstate any additional cards previously issued on your Credit Expense Account; and (b) charge you applicable fees, if any, in connection with such reinstatement.

3.5 Termination of Credit Expense Services

You may ask us to terminate this Platform Agreement by ceasing to use the Services by providing immediate notice to us at (833) 225-2706 or [email protected]. We may decline to terminate this Platform Agreement or close your PEX Account if you have a negative balance in respect of any Service, if any funds that we are holding on your behalf are subject to a hold, lien or other restriction, if there is a balance owed on the PEX line of credit, if there are pending transactions, or if we believe that the PEX Account is being closed to evade any legal or regulatory requirement or investigation. We may decline to send you any funds remaining in your account less any fees, charges, fines, setoffs, or other amounts until we have completed the process of terminating your PEX Account and/or any restrictions or holds on such funds have been removed.

PEX may terminate this Platform Agreement at any time and for any reason, whether described in the Platform Agreement or not, with or without prior notice.

4. Customer Claims; Customer Claim Handling Process; Customer Rights

4.1 Unauthorized Use and Customer Claims

If you believe your statement reflects unauthorized use or would like to make a claim regarding a transaction, please contact [email protected].

In your message, please provide the following information: (a) account information: your name and account number; (b) transaction information: date(s), merchant(s), and other identifying transaction information; (c) dollar amount: the dollar amount of the transaction(s) in question; and (d) description of problem: describe what in the statement you believe is incorrect and why you believe it is a mistake.

You must contact us:

  1. Within 60 days after the applicable transaction(s) appeared on your statement.
  2. At least 2 business days before an automated payment is scheduled, if you want to stop payment on the amount you think is incorrect.

You must notify us of any potential errors in writing. You may call us, but if you do so, without also notifying us in writing, we are not required to investigate any potential unauthorized use or claims, and you may be required to pay the amount in question.

You are responsible for monitoring the use of the Credit Expense Cards, account numbers and the Credit Line, and detecting unauthorized or improper use. We offer online account management tools through the Dashboard to assist you in carrying out this ongoing responsibility, including access to transaction information and the means to cancel a Credit Expense Card or impose limits on the use of a Credit Expense Card.

4.2 What Happens After We Receive Notice About an Error or Mistake

When we receive your letter, we must do two things:

  1. Within 30 days of receiving your letter, we must tell you that we received your letter. We will also tell you if we have already corrected the error.
  2. Within 90 days of receiving your letter, we must either correct the error or explain to you why we believe the statement is correct.

While we investigate your claim(s): (a) we cannot try to collect the amount in question, or report you as delinquent on that amount; (b) the charge in question may remain on your statement; (c) while you do not have to pay the amount at issue, you are responsible for the remainder of your statement balance; (d) we can apply any unpaid amount against your credit limit.

After we finish our investigation, one of two things will happen:

  1. If we confirm your claim(s) as valid: You will not have to pay the amount in question or fees related to that amount.
  2. If we do not confirm your claim(s): You must pay the amount in question, along with applicable fees, if any. We will send you a statement of the amount you owe and the date full payment is due. If you do not pay the amount owed on the due date, we may then report you as delinquent.

If we do not follow all of the requirements outlined above, you do not have to pay the first $50 of the amount you question, even if your statement is correct.

4.3 Your Rights If You Are Dissatisfied With Your Purchases

If you are dissatisfied with the goods or services that you have purchased with your Credit Expense Card and you have tried in good faith to correct the problem with the merchant, you may have the right not to pay the remaining amount due on the purchase.

To use this right, all of the following must be true:

  1. You must have used your Credit Expense Card for the purchase; and
  2. You must not yet have fully paid for the purchase.

If all of the criteria above are met and you are still dissatisfied with the purchase, please contact [email protected].

While we investigate, the same rules apply to the disputed amount as discussed above. After we finish our investigation, we will tell you our decision. At that point, if we think you owe an amount and you do not pay, we may report you as delinquent.

5. Cardholders

You are responsible for the use of each Credit Expense Card number issued to you and each of your authorized users. As part of this responsibility, you agree to: (i) limit use of all Credit Expense Cards to business or commercial purposes made by you or on your behalf; (ii) to review, or cause each authorized user to review the Credit Expense Cards upon receipt to confirm that all information relating to you or the authorized user on the Credit Expense Cards is correct, and to notify us immediately if the information is not correct; (iii) to impose internal controls and procedures to prevent fraud and unauthorized use of a Credit Expense Card; and (iv) to timely review and reconcile all Credit Line activity and transactions as described in this Credit Expense Program Schedule.

6. General Provisions

6.1 Truth in Lending Act: Liability Limitations; Waiver of Liability

Customer’s maximum potential liability for Unauthorized Use of a Credit Expense Card, from which the Customer or PEX Cardholder receives no benefit, shall not exceed $50. However, Customer agrees, in accordance with Section 135 of the federal Truth in Lending Act, that if at any time we have issued ten (10) or more Credit Expense Cards for use by authorized card holders at Customer’s request, then Customer waives any and all limitations on its liability for unauthorized use of such Credit Expense Cards that it may have under the Truth in Lending Act.

6.2 PEX’s Non-Discriminatory Lending Practices

Federal fair lending laws and regulations prohibit discrimination in all aspects of the extension or servicing of credit. PEX is committed to complying with federal fair lending laws and regulations and ensuring its business activities result in fair, consistent, and responsible treatment of all customers, and comply with all applicable state and federal laws governing non-discriminatory lending practices.

PEX will not discriminate against a Credit Applicant regarding any aspect of a credit transaction on a Prohibited Basis. This prohibition applies to all dealings between the Credit Applicant and PEX regarding an application for credit or an existing extension of credit, including, but not limited to:

  1. The marketing or solicitation of products offered by PEX;
  2. Requests for product information;
  3. The application and origination process;
  4. The standards for evaluating creditworthiness and the terms of credit offered by PEX;
  5. The servicing and collection of existing extensions of credit; and
  6. The furnishing of credit information to consumer reporting agencies.

The Equal Credit Opportunity Act (ECOA) prohibits the making or denial of lending decisions based on discriminatory motives. ECOA prohibits creditors from discriminating against credit applicants on the basis of:

  1. Race;
  2. Color;
  3. Religion;
  4. National origin;
  5. Marital status;
  6. Age (provided the customer has the capacity to contract);
  7. Receipt of public assistance income; and
  8. Exercise of rights under the Consumer Credit Protection Act (“CCPA”).

In addition, many state laws similar to ECOA exist that prohibit discrimination. As a result, the Company requires that policies, procedures, disclosures, customer agreements, communications, marketing strategies, and solicitations be carefully crafted and reviewed to ensure the Company adheres to the non-discriminatory and principled standards under applicable Fair Lending regulations. Each PEX employee will be mindful of providing consistent treatment to all applicants and customers regardless of any prohibited basis.  Employees are responsible for interacting with all Credit Applicants and Customers in an ethical, fair, and professional manner in accordance with the Company’s Fair Lending policies.

PEX’s prohibition on discrimination extends to all aspects of a credit transaction, which includes the initial offering or marketing of PEX’s credit products and services. PEX will not discourage any Credit Applicant or prospective Credit Applicant from inquiring about, applying for, or otherwise pursuing a PEX product or service based on a Prohibited Basis. Among other things, this means that PEX and its employees will not, on a Prohibited Basis:

  1. Make statements suggesting that a prospective Credit Applicant not apply for a credit product or service;
  2. Use words, symbols or models in advertising that suggest a discriminatory preference or policy of exclusion; or
  3. Withhold assistance or information from prospective Credit Applicants that would ordinarily be extended to other prospective Credit Applicants.