770 Lynnhaven Parkway, Suite 160
Virginia Beach, VA 23452

Phone: 1.888.471.0280
Fax: 1.877.504.3190
Service Agreement:
This agreement is made between Kinum, Inc. ("Kinum," "We," or "Us") and Company Name as defined in the Order Form, referred to as "Client" or "You."

Kinum has two main phases: Connect and Collect

CONNECT: In Connect, our system automatically contacts your debtors up to 5 times in your name, and then up to 5 times in our name. Debtors are instructed to make payment to you, and you will notify us when you receive payment. You may stop or cancel the collection process on an account at any time during the Connect phase.

COLLECT: If the debtor has not responded to the Connect reminders or demands, or a letter is returned because the debtor has moved, you canassign and delegate the collection duties to us. We will notify you when we are about to transfer an account from Connect to Collect, andgive you the opportunity to pause or cancel it. If an account is transferred, you agree to immediately stop your collection efforts. In the Collect phase, debtors will be instructed to make payments to us, but if they pay you directly, we are still entitled to our commission andfees. We will pay you what we collect, after deducting the commission based on the rate found on the Order Form. If our in-house collection teamis unsuccessful in collecting the debt, we may send it to an attorney to make additional collection efforts.

WE PROMISE TO:
1. Professionally collect the debt in accordance with the Fair Debt Collection Practices Act and state laws, and to maintain the privacy and confidentiality of debtor information entrusted to us.
2. Combine orders to ensure that you pay the lowest rate. Orders made within 120 days of your original order are added to that order to qualify for the best volume pricing. For example, if you purchase 100 accounts (at $18.25/account) and purchase another 150 accounts ninety days later, we will combine the two orders and charge you the 250 account volume price of $16.75 on the second 150 accounts purchased.
3. Utilize interest to offset the costs of collection and as a negotiating tool for debt settlement. If you add interest to delinquent accounts as permitted by law and your contract with the debtor, we are entitled to a commission on interest recovered at the rate listed on the Order Form. If you don't add interest, and we choose to add it, we may retain any interest recovered. In either event, you grant us the discretion and authority to waive interest as an incentive to induce payment of the debt.
4. Mail to you by the 15th of each month a statement and/or the money we recovered the prior month. Although we instruct debtors in the Collect phase to make payments to us, they often will make payments to you. We are entitled to deduct from payments we have received, or charge you for payments you have received, the commissions, interest, convenience fees and returned check fees we have earned. If you do not sign up for ACH bank deposit, Kinum will send client a physical check for Collect Commissions earned monthly. Client authorizes Kinum to charge a $2 per month statement fee to be billed or offset from commissions owed.
5. Send difficult Collect accounts to an attorney, who will make a written demand and phone calls for payment. There are no additional fees for this service, but you agree to pay a commission (at the legal rate listed on Order Form) on debts collected by the attorney as a result of the written demand and phone calls. If those efforts are unsuccessful, the attorney will review the case at no cost to you and recommend whether to take legal action, and estimate the costs. You will be responsible for legal expenses only if you instruct the attorney to take legal action.
6. Indemnify and hold you harmless from and against any claims, liabilities, damages, and penalties resulting from our collection efforts on your behalf unless you have given us inaccurate, misleading, or out-of-date information, or have acted negligently.

YOU PROMISE TO:
1. Not assign debts that are beyond the statute of limitations or within 1 year of expiring. Please check the appropriate state where the consumer resides.
2. Assign only accounts that are legally due, and be able to provide Kinum upon request with accurate substantiation of the debt, such as a copy of a judgment against the consumer or a signed contract/application. If no signed contract or application exists, a copy of an itemized statement showing all transactions, payments or balance transfers must be provided. No collection fees are to be added to accounts and if there is interest, penalties or any other fees added to an account, at our request, you will provide us with copies of the agreements that permit such charges to verify said interest, penalties and/or fees are permitted under state and federal law. Failure to provide substantiation of the debt within 10 days of request from Kinum will give Kinum authority to forgive the debt and you will no longer have the right to collect on the debt in the future. You will indemnify and hold us harmless from, and against any claims, actions, or penalties with respect to accounts you have given us that contain inaccurate, incomplete, or misleading information.
3. Automatically assign accounts to us for collection that have completed the Connect phase or are returned due to an incorrect address, unless you have paused or canceled them.
4. Immediately update changes in the accounts (through our web portal or by email) including payments you have received, and send us all account-related notices received from the debtor, his or her representatives, agents, attorneys, courts or others.
5. Kinum will not agree to a lesser settlement amount without Client's prior written consent.
6. Excuse us from performing under this agreement due to any act or event beyond our control (Force Majeure), until such act or event no longer prevents us from performing.
7. Grant us authority (with respect to money recovered in the Collect phase) to endorse negotiable instruments. You authorize us to earn and retain all convenience fees, interest that we add and returned check fees. The principal amount and the credited value of Returned Merchandise received in payment of a debt will be at the commission rates listed on the order form / page 1.
8. Do not assign debts related to Payday Loans, Gambling, Debt Buyers and Consumer to Consumer debts.

CREDIT REPORTING:
Kinum can report debts to the credit bureaus on your behalf. In doing so, it is imperative that you have a complete understanding of what is required in order to be compliant. The links below will give you more information as provided from the Federal Trade Commission.
http://kinumorders.com/new/consumer-reports-what-information-furnishers-need-to-know.pdf
http://kinumorders.com/new/FCRA_Rules.pdf

For your convenience, below are some highlights of what must be agreed to before commencing with credit reporting on your accounts with Kinum.

- Post payments received in a timely manner
- Forward any disputes or bankruptcies immediately to Kinum
- Provide substantiation of all debts assigned at time of placement or as requested
- Always accurately report the balance and the status of the account

If you have any questions or are unsure about what your obligation is in order to be compliant with the Fair Credit Reporting Act, please get clarification before signing this agreement. Acceptance to our Service Agreement confirms that I have complete understanding and will do everything possible in order to stay compliant according to the guidelines established in the Fair Credit Reporting Act and hold Kinum harmless from any of your actions resulting in a violation of FCRA rules and regulations..

ENFORCEMENT. If legal action is necessary to enforce this Agreement, all costs, reasonable attorney's fees, an expenses incurred to remedy any breach will be borne by the losing part. The laws of the State of Virginia, subject to the exclusive venue and jurisdiction of the state of Virginia, or federal courts located nearest to Virginia Beach, VA, shall apply to such claims.

OUR GURANTEE. We promise to minimally collect 2 times your purchase price if all accounts purchased under this Agreement are entered and processed through our Connect phase as instructed by Kinum and our representative, or we will refund the entire purchase price or the difference, if any, between what was collected in Connect and twice what was paid to use for the Connect service, whichever is less.

TERM. This Agreement begins the day we sign it and continues until canceled by you or us with at least 30 days written notice. You agree to pay us commissions, fees and costs we’ve earned prior to cancellation, including commissions on money received in the future as part of a payment arrangement we’ve made with debtors. Request to cancel or terminate Kinum Collect accounts must be in writing. Accounts shall be cancelled or terminated only upon written acknowledgment by Kinum. A fee of 25% of the total amount of any and all assigned Accounts that are cancelled or terminated by Client shall apply, and shall be payable within fifteen (15) days of termination. Kinum shall be able to offset amounts otherwise due to Client. This paragraph does not apply to Wisconsin clients.

Service Agreement Last Update Date: 11/20/2018