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Overdraft Protection

Unforeseen circumstances happen to us all...and usually at just the wrong time! You make an honest mistake in your checkbook and it leaves you a little “short” to cover all your outstanding checks, or causes you to be rejected for a debit or ATM purchase.
That’s why your credit union offers Overdraft Protection, an added member service that gives you a little extra peace of mind when it comes to your checking account.

What is an overdraft?

An overdraft occurs when you do not have enough money in your account to cover transactions, but we pay it anyway.

How is an overdraft covered?

We can cover your overdraft in two different ways:
  1. You can link a Savings account, VISA credit card, or Line of Credit loan to your checking account. There is no charge for this service.
  2. If you qualify, you can add Privilege Pay overdraft protection to your account.

What is Privilege Pay Overdraft Protection?

  • Adds a pre-approved $500 overdraft limit to your checking account
  • If you overdraw your account, we may pay each item up to our $500 limit.
  • Allows you to have an item paid against your account, even if it causes your account to become overdrawn.
  • You have up to 30 days to bring the account current.
  • Your account will be assessed a Non-Sufficient Funds or Privilege Pay charge of $31 for each item we pay against an overdrawn account.
  • The $500 overdraft limit includes any Privilege Pay Overdraft Protection fees imposed.
While it is not an invitation to overdraw your account, it is an added layer of safety should you accidentally present items for more than you have in your account, or an inadvertent error causes the account to become overdrawn.

What Types of Transactions does Privilege Pay Overdraft Protection Cover?

  • Insufficient funds checks,
  • One time or non-recurring debit card transactions, or ATM transactions up to your approved limit, for one fee per covered overdraft transaction.

How Does Privilege Pay Overdraft Protection Work?

  • Instead of returning a check to the merchant or rejecting a debit or ATM transaction because of insufficient funds, the credit union may pay your transaction, saving you additional charges from the merchant collection companies. It saves you the embarrassment an inadvertent overdraft can cause.
  • Overdrafts on your checking account, up to a limit of $500 (including the amount of the overdrawn item(s)and the Privilege Pay fee(s) may be honored by the Credit Union. A $31 fee will be assessed for each item that draws your account negative.
  • You then have up to 30 days to bring the account current, either through a direct deposit, transfer of funds,or a deposit at one of our branch offices.

How Does Privilege Pay Work with the No Charge Overdraft Protection?

  • If you have established other overdraft protection methods, such as an automatic transfer from your other accounts, we will always look to pay any overdraft by those other methods first before paying your overdraft using Privilege Pay Overdraft Protection and imposing a $31 fee for each overdraft we pay.

Do I Have To Sign Up For Privilege Pay Service?

  • Yes. Changes to the federal Regulation E require all members to opt-in for Privilege Pay Overdraft Protection.
  • Simply complete the opt-in form today to start enjoying the peace of mind of having Privilege Pay.
For Questions or More Information
Please contact us or visit any of our branch locations - we are happy to review overdraft protection and its features with you, along with giving you other options to add convenience and ease to your account.



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