An overdraft occurs when the available balance in your account is insufficient to cover transactions you have made, but we pay the transaction(s) on your behalf.
About Overdraft Privilege
- Overdraft Privilege is not a line of credit. However, if you overdraw your account, we will have the discretion to pay the overdraft, subject to the limit of your Overdraft Privilege, after first subtracting the amount of the overdraft service charge(s).
- Overdraft Privilege is a voluntary service and we allow you to opt out at any time.
- We will not pay overdrafts for ATM or debit card transaction unless you have opted in to the payment of overdrafts for these transactions.
- Transactions will be processed against the available balance in your account at the time of processing and we use the available balance when determining whether a transaction will cause your account to overdraw and for charging overdraft fees. If we pay an overdraft, there is a service charge.
Your checking account has two kinds of balances: the “actual” balance and the “available” balance. You can review both balances when you review your account online, at an ATM, by phone, or at a branch. It is important to understand how the two balances work so that you know how much money is in your account at any given time. The actual balance and available balance may differ as the available balance may be reflective of any pending ATM or debit card transactions that have not posted to the account or due to check holds.
It is important to understand you may still overdraw your account even though the available balance appears to show there are sufficient funds to cover a transaction that you want to make. This is because your available balance may not reflect all your outstanding checks and automatic bill payments that you have authorized (or other outstanding transactions) that have not yet posted to your account.
The best way to know how much money you have and avoid paying service charges is to record and track all your transactions closely.
Transactions may not be processed in the order in which they occurred and the order in which transactions are received and processed may impact the total amount of service charges incurred. There are many ways transactions are presented for payment by merchants and we are not necessarily in control of when transactions are received. We may receive multiple deposit and withdrawal transactions on your account in many different forms throughout each business day. This means you may be charged more than one service charge if we pay multiple transactions when your account is overdrawn. There is no limit on the total fees we can charge you for overdrawing your account.
Each item that overdraws your checking account will be charged an Overdraft Privilege Fee of $15.00 per item if the resulting negative account balance is $10.00 or less or $32.00 per item if the resulting negative account balance is more than $10.00. There is no limit to the total fees that we may charge you for overdrawing your account.
Your next deposit will be used to repay the amount of the overdraft and the overdraft fee(s).
You must bring your account to a positive balance within 30 days of the first overdraft resulting in the negative balance. If the account is not brought current within the allotted time frame, we may, in our sole discretion, revoke the Overdraft Privilege from the account. In addition, failure to pay can also result in checking account closure.