Overdraft Privilege

How Does it Work?

Overdraft Privilege Pay is granted automatically to members with checking accounts in good standing and it covers checks you write, ACH (Automated Clearing House) transactions you set up and recurring Debit Card transactions.  Overdraft Privilege Pay can also cover Debit Card purchases, but you must elect Overdraft Privilege Pay to cover these types of transactions.

Going Over Your Limit

Should you write checks that put you over your FFCU limit, the credit union may return the check or checks to the payee(s). In addition, the normal insufficient fund fee of $30 will be charged to your account on the next day.

In addition to action we may take:

• The merchant may charge you a fee when your check is returned unpaid and may be unwilling to accept checks from you in the future.
• The person who accepted your check as payment may be charged a fee by his/her financial institution when he/she deposits it.

FFCU Overdraft Privilege Pay Covers ATM and Visa Check Card

Your FFCU Overdraft Privilege Pay may extend to transactions made at an ATM or with your Visa Check Card. In the case of an ATM, the balance shown on your receipt will reflect your actual balance, not including your FFCU Overdraft Privilege Pay limit. Other transactions which may be honored under FFCU Overdraft Privilege Pay plan include:

• Checks and other debits cashed at teller windows
• Visa Check Card purchases
• ACH debit transactions (automatic payment)
• Checks issued to a third party

Repaying Overdrafts And Fees

You will be required to bring your checking account into a positive balance within 15 days of your overdraft notice. If after 15 days your account remains in a negative position, we may close your account and take appropriate steps to recover funds advanced to cover your overdrafts, as well as the overdraft fees.

Higher Overdraft Limits

FFCU Overdraft Privilege Pay plan includes an opportunity to obtain a higher limit to members whose accounts are in good standing. Higher limits will be based on credit history and past account performance. Apply with any Member Service Representative.

FFCU Overdraft Privilege Pay Plan Member Overdraft Policy

An insufficient balance could result in several ways, such as:

1. the payment of checks, electronic funds transfers or other withdrawal request;
2. payments authorized by you;
3. the return of unpaid items deposited by you;
4. the assessment of credit union service charges; or
5. the deposit of items which, according to the Credit Union’s Funds Availability Policy, are treated as not yet available or finally paid.

We are not obligated to pay any item presented for payment if your account does not contain sufficient funds. Rather than automatically returning unpaid, any non-sufficient funds items that you have, if your eligible account is in good standing, which includes at least:

1. your account has been open for 90 days with no items paid into overdraft or returned;
2. you are not in default on any loan obligation to Fremont Federal Credit Union;
3. you bring your account to a positive balance (not overdrawn) at least once every fifteen (15) days; and
4. your account is not the subject of any legal or administration order or levy, we will consider—as a discretionary courtesy or service and not a right of yours nor an obligation on our part— approving your reasonable overdrafts.

As an alternative, you may wish to apply for a higher overdraft limit or a Personal Line of Credit. Normally, we will not approve an overdraft for you in excess of your limit including any overdraft handling charge(s). We may refuse to pay an overdraft for you at any time, even though we have previously paid overdrafts for you. You will be notified by mail of any non-sufficient funds items paid or returned that you have; however, we have no obligation to notify you before we pay or return any item. The amount of any overdraft plus our overdraft of non-sufficient funds charge(s) of $30 per item that you owe us shall be due and payable upon demand. If there is an overdraft paid by us on an account with more than one (1) owner on the signature card, each owner, and agent if applicable, drawing/creating the item creating the overdraft, shall be jointly and severally liable for such overdraft, plus our overdraft or non-sufficient funds handling charges(s) of $30 per item. You may be able to access your overdraft checking limit through a teller, check, or debit card purchase. Details are available at any of our six locations.

Limitations

Available to member-owned accounts in good standing for personal or household use. We reserve the right to limit participation to one account per household and to discontinue this product at any time.

Questions about our Overdraft Privilege Pay? Call 419-334-4434 or stop by your favorite Fremont Federal Credit Union office for more information.