What is Overdraft Privilege?
If you should inadvertently overdraw your checking account, we first look to see if you have a Line of Credit (LOC) with available funds. A Line of Credit will automatically advance funds to your checking account to cover transactions by check, ACH (electronic transactions), BillPay and Alternatives VISA Debit Card. If you do not have a LOC (or your LOC limit is reached), we then look to see if you have funds available in your primary “00” savings account. Overdraft transfers from savings only cover checks and electronic transactions. Overdraft transfers from savings do not cover Alternatives VISA Debit Card transactions. If the transaction cannot be paid by a LOC or savings transfer, then the Overdraft Privilege balance may be used to cover the transaction. As with any overdraft, Overdraft Privilege carries a $25 fee per transaction. If your items are paid, this service will save you the inconvenience of a returned item, as well as the fee normally charged to you by merchants for items returned to them.
Overdraft Privilege is not a loan, and its privilege is discretionary – it may be withdrawn by Alternatives FCU at any time. You will still be charged the standard $25 Non-Sufficient Funds (NSF) or Courtesy Fee each time you overdraw your account. If multiple items are presented against your account on the same day, each item will be assessed the fee. Payment of an overdraft does not obligate us or create an agreement or course of dealing on our part to allow overdrafts. Payment of any overdraft will continue to be at the discretion of Alternatives.
The amount of Discretionary Overdraft Privilege is available for checks, electronic transactions, and BillPay Access transactions and may be available when you use your debit card for purchases at retail merchants if you have opted-in to the service. The amount of Discretionary Overdraft Privilege will not be shown in your ATM available balance.
Caution: If you have a Line of Credit, the amount of Overdraft Privilege will not be shown on an ATM balance inquiry. If you do not have a Line of Credit the amount of Overdraft Privilege will be shown on an ATM balance.
The amount of Discretionary Overdraft Privilege will not be shown in your available balance and will not be available to you for Phone Access transactions or Online Access Internet Banking transactions.
This service is offered as an additional benefit of doing business with Alternatives. It is our pleasure to make this privilege available to you, as a means of expressing our appreciation for the confidence you have placed in Alternatives by entrusting us with your financial relationship.
Important information regarding overdrafts by Alternatives Visa Debit Card
Regulatory requirements may affect the way you manage your account. We want you to understand the choices that you have with Alternatives Federal Credit Union.
As a benefit of your relationship with us, you may currently have Overdraft Privilege on your account. With Overdraft Privilege, if you inadvertently overdraw your account, we have the option to cover your overdrafts up to a certain amount, including overdraft fee(s) of $25/transaction – thereby saving you the inconvenience of a returned or declined item, as well as the fee normally charged to you by merchants for items returned to them. The amount of Overdraft Privilege is not shown in your available balance, but may be available to you for ATM cash withdrawals, checks, ACH transactions, BillPay Access transactions, and when you use your Alternatives VISA Debit Card for purchases at retail merchants.
For Overdraft Privilege to apply to your everyday debit card transactions, you must opt in to that service. Here’s how:
- Log into Online Access – under the Accounts tab, click on "Overdraft Privilege" and check the box for the account on which you wish to use Overdraft Privilege with your debit card. Then click on "submit."
Overdraft Privilege is available for checks, electronic, and BillPay Access unless you elect to opt out of the Overdraft Privilege service in its entirety by contacting Member Service at (607) 273-4611.
Overdraft Privilege is a service provided to help you, should an overdraft occur. Your account will still be charged the standard overdraft fee of $25 for handling each item, which is the same fee that Alternatives Federal Credit Union charges for items drawn against insufficient funds and returned to the payee. If multiple items are presented against your account on the same day, each item will be assessed the appropriate overdraft/returned Item/courtesy fee of $25.
Please be aware Overdraft Privilege is not a Line of Credit and this notice does not constitute either a written agreement of an obligation or a prearranged agreement to pay your overdraft, and we may withdraw this privilege at any time.