Inactive Balance Policy

1. Introduction

This Inactive Balance Policy applies to Tebex Balances, accessible at https://wallet.tebex.io held by Creators on the Tebex platform and governs balances that have been inactive for a prolonged period, in contravention of the Creators Responsibilities as set out in the Tebex Creator Agreement. This policy is in compliance with relevant UK, US, and EU regulations. It aims to manage inactive balances fairly while ensuring that creators have sufficient notice and opportunities to reactivate their balance.

Publication Date: 2nd January 2025

2. Definition of Inactivity

A balance is considered "inactive" if it contains funds and no activity (logging into the account, additional funds being credited to the balance or withdrawing funds) occurs for a period of 12 consecutive months.

For the avoidance of doubt, for balances that existed prior to the introduction of this policy, all balances are considered active (regardless of actual activity) until the date of this policy. This means that the earliest date an existing balance may be considered inactive is 365 days after publication of this policy.

3. Notice of Inactivity

To comply with transparency obligations and provide creators with adequate notice of inactivity, Tebex will send a series of email notifications:

First Reminder (6 months of no activity): A notification will be sent to alert the creator that their balance will be considered inactive if no activities are made in the next 6 months.

Second Reminder (9 months of no activity): A notification will be sent to alert the creator that their balance is approaching inactivity.

Third Reminder (11 months of no activity): A final notice will be sent, indicating that their balance will be deemed inactive in 30 days if no action is taken.

These notifications will explain the inactivity fee schedule and detail steps to prevent balance deductions.

4. Inactivity Fees

Once a balance is deemed inactive (12 months after the last activity), Tebex will begin applying inactivity fees. These fees will be proportional, reasonable, and compliant with EU regulations, similar to practices by Paysafecard, Skrill, and other e-money services. The fee schedule is structured to minimize the impact on creators and gradually reduce the wallet balance over time.

The day a balance is deemed inactive: Tebex will deduct a 2% inactivity fee based on the funds in the balance at the time of deduction. This fee will be capped at USD 100 (or an equivalent in other currencies) per month to ensure proportionality and fairness.

Ongoing Deductions: A further 2% fee based on the funds in the balance at the time of deduction will be deducted each month until the balance is no longer inactive. This monthly fee will be capped at USD 100 (or an equivalent in other currencies) per month to ensure proportionality and fairness.

5. Reactivating an Inactive Balance

Creators can easily reactivate their balance and halt inactivity fees by taking one of the following actions:

• Logging into the Tebex account: This simple action reactivates the balance immediately.
• Withdrawing funds: A withdrawal of any amount will reactivate the balance.
• Receiving an additional deposit: If funds are credited to the balance, it will count as activity and reactivate the balance.

Once the balance is reactivated, no further inactivity fees will be applied until the balance is deemed inactive after a further 12 month period.

6. Permanent Closure

If the balance is considered inactive for 48 months (60 months after the last activity), the balance will be closed. Tebex will send a final notice informing the creator of the closure. Any remaining funds will be considered abandoned property, and will be handled in accordance with the laws of the relevant jurisdiction.

To comply with transparency obligations and provide creators with adequate notice of closure, Tebex will send a series of email notifications:

First Reminder (24 months of inactivity): A notification will be sent to remind the creator their balance is currently inactive, that inactivity fees are currently being assessed, and that permanent closure will happen in a further 24 months.

Second Reminder (36 months of inactivity): A second reminder will be sent to remind the creator their balance is currently inactive, that inactivity fees are currently being assessed, and that permanent closure will happen in a further 12 months, further explaining what will happen to any remaining funds.

Final Reminder (47 months of inactivity): A final notice will be sent, indicating that their balance will be permanently closed in 30 days if no action is taken.

These notifications will explain the inactivity fee schedule and detail steps to re-activate the balance.

7. Exceptions and Limitations on Fees

In line with EU requirements for proportionality, Tebex will cap the total amount of fees to ensure that no creator is unfairly penalized. In all cases the maximum fee will be USD 100 (or an equivalent in other currencies). In the event that the remaining funds in a balance is less than the inactivity fee, the fee will be capped to the remaining balance to ensure that no deductions result in a negative balance.

8. Timelines

For clarity, please see the outlined example timeline below for when actions will take place