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Overdraft Protection

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Protection for Life's Little Mistakes

Florida Credit Union has several options to protect you from overdraft fees

An overdraft occurs when there is not enough money in a checking account to cover a transaction. Overdraft fees can add up and negatively impact your budget, but with an FCU Checking Account you have several options to prevent an overdraft:

  1. Link your savings account balances to your checking account to cover overdrafts

  2. Apply for a Personal Line of Credit that will automatically transfer money into your checking account to cover overdrafts

  3. Sign up for Bounce-free checking protection. To sign up, FCU members can login into FCU Anywhere Online & Mobile banking and select the Accounts menu>Bounce Free

How It Works: Linked Savings Account vs. Personal Line of Credit

Scenario: What would happen if you bought a new shirt and paid your smartphone bill, but didn't have enough funds in checking to cover both? Let's look at the differences if you had linked your account to your savings, versus having linked your account to a Personal Line of Credit. 

The scenario:

  1. You have $25 in checking
  2. While shopping, you find a great shirt for $25, and when you went to pay with your debit card, the transaction was approved
  3. That same day, a payment made to your smartphone provider for $50 came in for processing
  4. You have a negative balance of $50 and may be charged a non-sufficient funds fee without overdraft protection.
Overdraft savings steps

Example:

  1. You connect your FCU savings account with a $200 balance to your checking account with a $0 balance.
  2. You make a $50 purchase from your checking account. $50 automatically transfers from savings to checking, covering the overage payment.
  3. The $50 overage payment was resolved using your savings account, resulting in a $150 remaining savings balance. You would only pay a small transfer fee, avoiding overdraft fees.

FCU members can set up Overdraft Protection by logging into the desktop version of FCU Anywhere online banking, and choosing the Accounts menu > Overdraft Protection. 

Set up Overdraft Protection
overdraft line of credit steps

Example:

  1. You link your FCU checking account with a $0 balance to your $500 FCU personal line of credit (PLOC).
  2. You make a $50 purchase from your checking account. $50 automatically transfers from PLOC to checking, covering the overage payment.
  3. The $50 overage payment was resolved using your PLOC, resulting in a PLOC available balance of $450. You would only pay interest on the amount drawn from the PLOC, avoiding overdraft fees and .

Current FCU members with a PLOC can set up Overdraft Protection by logging into the desktop version of FCU Anywhere online banking, and choosing the Accounts menu > Overdraft Protection. 

Apply for a Personal Line of Credit

Bounce-Free Checking Protection¹

No matter what you choose, you can always feel secure in your account with FCU. Bouncing a check or having your debit card denied can be a stressful situation, but with bounce-free checking protection from Florida Credit Union, you can avoid multiple fees and the hassles that come from insufficient funds. If you overdraw your account, FCU may pay for your checks, ATM withdrawals, and point-of-sale transactions and ensure your transaction goes through². Please see the FCU Fee Schedule for further details. To set up Bounce-Free Checking protection, FCU members can login into FCU Anywhere Online & Mobile banking and select the Accounts menu>Bounce-Free Checking protection.

DISCLOSURES

1. Charges and limits will apply. To continue receiving overdraft protection coverage, the account balance must be brought to a positive balance every 20-day period. While FCU will typically pay overdrafts on accounts in good standing, payment is a discretionary courtesy, and not a right or obligation. For example, we typically do not pay overdrafts if your account is not in good standing, or you are not making regular deposits, or you have too many overdrafts. FCU may, in our sole and absolute discretion, cease paying overdrafts at any time without prior notice of reason or cause. Please review important disclosures in the Membership Agreement. Refer to the FCU Fee Schedule for more information.


2. Continued enrollment subject to approval and subject to change. Checks are paid as long as Bounce Free limit has not been met or exceeded. A charge per bounced check or overdrawn withdrawal at an ATM and/or point-of-sale will apply. See current FCU Fee Schedule for more information. Once enrolled, you may opt-out at any time.