Overdraft Services

Mistakes can happen to the best of us; a wrong checkbook entry or a forgotten automatic payment may inadvertently cause an overdraft.

 

So what is an overdraft? An overdraft occurs when you do not have enough money in your account to cover a transaction but we pay it anyway. We can cover your overdrafts in three different ways:

 

  • Overdraft Privilege Service
  • Overdraft Sweep
  • Overdraft Line of Credit

Overdraft Privilege Service

 

Enjoy the peace of mind that comes with Overdraft Privilege.  With this service, we will pay certain transactions that overdraw your account, such as checks and automatic withdrawals, and charge a fee.  Overdraft Privilege Service offers the following benefits:

 

  • Payment of your occasional and inadvertent overdrafts up to your discretionary limit will normally be considered.  This limit includes our customary fees as set forth in our Overdraft Privilege Service Policy.  A $19.00 fee per item will be added to each overdraft you may have and will be applied against your limit.  We will send you a notice each time an overdraft occurs.
  • You may avoid high charges from merchants for returned checks.
  • You may avoid the inconvenience of declined purchases and dishonored checks.
  • Overdraft Privilege is available for ATM withdrawals and debit card purchases, as long as you give us permission to include these types of transactions with this service.

Overdraft Privilege is always a discretionary service. Our Overdraft Privilege Service does not constitute an actual or implied agreement between you and us. The Overdraft Privilege is not a line of credit and you may opt out of the privilege at any time.  The amount of any overdrafts, including our fees that you owe us shall be due and payable immediately. If an account remains overdrawn five (5) consecutive days, the Bank will charge an additional periodic overdraft fee of $5.00 every 5th day of consecutive overdraft up to $30.00 during each consecutive period.  

 

We require your consent to include ATM withdrawals and one-time debit card transactions with this service. If you choose not to include these transactions in your overdraft privilege plan, and you have insufficient funds in your account, they will be declined. This can provide you the peace of mind knowing these types of transactions may be paid if you encounter a situation that requires you to overdraw your account.

 

If you want us to authorize and pay overdrafts on your ATM and everyday debit card transactions for a fee, call us at 1-888-537-8772, or to speak to our customer support at 1-877-788-0288.

 

To avoid fees, customers are encouraged to keep track of their account balances by entering all items in a check register, reconciling checking accounts regularly, and managing their finances responsibly. Any customer who would like to have this service removed from an account, may call (256)-737-7000 or toll free at (877)-788-0288.

 

Overdraft Sweep from a Deposit Account

 

The Bank offers its customers an optional service for overdraft protection called the Overdraft Sweep (OD Sweep) that will transfer funds from a customer designated deposit account, to the customer designated checking account, when an insufficient balance exists in the checking account to pay the full amount of the overdraft. The Bank will only set up an OD Sweep between two accounts on which your name appears as an owner or obligor and where the ownership on both accounts is the same.

 

In the Bank's sole discretion, it may limit the types and number of accounts that may be used for this product. An overdraft sweep fee of $5 will be charged to the designated checking account for each transfer.  Regulation limits the number of transfers or pre-authorized transfers from a savings or money market account to six per month. The OD Sweep agreement may be cancelled upon written notice by either party.

 

Overdraft Protection Line of Credit

 

The Bank offers its customers an optional service for overdraft protection called the Overdraft Line of Credit Account ("OD Line") that is subject to credit approval. An OD Line will transfer funds to the designated checking account ("Linked Account") when an insufficient balance occurs.  The basic OD Line amount will be for $500, however, a customer may request a higher amount that will also be subject to credit approval. Transfers will be made in increments of $50 to cover an overdraft and an overdraft sweep fee of $5 will be charged to the designated checking account for each transfer.  The fixed Annual Percentage Rate on the OD Line is 18.00%, and an annual fee of $50 will be charged beginning in the first billing cycle after the OD Line is opened and each year thereafter. A payment equal to 10% of the outstanding balance on the OD Line but not less than $10.00 will be deducted each month from the Linked Account. The OD Line agreement may be cancelled upon written request or in the Bank’s discretion. Any balance, including accrued interest, is the legal responsibility of the borrower as outlined in the agreement.