Overdraft Protection and Overdraft Privilege
At Central Willamette, we understand that unexpected overdrafts occur from time to time – Overdraft Coverage can help
Overdraft Coverage Options
The choice is yours. Consider these ways to cover overdrafts:
|Overdraft Protection Link to Another Deposit Account you have at Central Willamette CU1||$4 (Consumer), $10 (Business) fee per transfer|
|Overdraft Protection Line of Credit1, 2||$4 (Consumer), $10 (Business) fee per transfer plus interest|
|Courtesy Pay||$30 Courtesy Pay Fee per item|
1Call us at (541) 928-4536 or (800) 950-4536, email us using online banking, or come by a branch to sign up or apply for these services;
2Subject to credit approval.
Overdraft Protection applies to all transactions and may help prevent overdrafts by automatically transferring funds to your checking account from another account, or line of credit you may have at Central Willamette CU for a fee and finance charge. Please note that overdraft lines of credit are subject to credit approval.
Courtesy Pay allows you to overdraw your account up to the disclosed limit for a fee to pay a transaction. Even if you have Overdraft Protection, Courtesy Pay is still available as secondary coverage if the other protection source is exhausted. Please review the “What Else You Should Know” section included with this disclosure for other important information.
|Transactions Covered with Courtesy Pay||Standard Coverage (No action required)||Extended Coverage (Your consent required on consumer accounts) *|
|ACH - Automatic Debits||x||x|
|Recurring Debit Card Transactions||x||x|
|Online Bill Pay Items||x||x|
|Internet Banking Transfers||x||x|
|Teller Window Transactions||x||x|
|Everyday Debit Card Transactions||x*|
If you would like to select Extended Coverage for future transactions, call us at (541) 928-4536 or (800) 950-4536, visit any branch, complete a consent form by clicking the link below and mail it to us at 7101 Supra Drive SW Albany, OR 97321 or P.O. Box D, Albany, OR 97321, or email us using online banking.
*If you choose Extended Coverage on your consumer account, ATM transactions and everyday debit card transactions will be included with the transactions listed under Standard Coverage. If you already have Courtesy Pay Extended Coverage, it is not necessary to request it again. Business accounts automatically have Extended Coverage.
You can discontinue Courtesy Pay in its entirety by contacting us at (541) 928-4536 or (800) 950-4536 or sending us an email using online banking.
What Else You Should Know
- A link to another account or line of credit may be less expensive than an overdraft. A single larger overdraft will result in one fee, instead of multiple smaller overdrafts. Use our mobile, internet, and telephone banking services to track your balance. For financial education resources, please visit www.mymoney.gov.
- The $30 Courtesy Pay that is charged if you overdraw your account is the same fee that is charged if an item is returned as unpaid. If multiple items overdraw your account on the same day, each item will be assessed an appropriate Courtesy Pay or a Non-Sufficient Funds Fee of $30. All fees and charges will be included as part of the Courtesy Pay limit amount. Your account may become overdrawn more than the Courtesy Pay limit amount because of a fee.
- Recipients of federal or state benefits payments who do not wish us to deduct the amount overdrawn and the Courtesy Pay from funds that you deposit or that are deposited into your account may call us at (541) 928-4536 or (800) 950-4536 to discontinue Courtesy Pay.
- If an item is returned because the Available Balance (as defined below) in your account is not sufficient to cover the item and the item is presented for payment again, Central Willamette CU (“We”) will charge a Non-Sufficient Funds Fee each time it returns the item because it exceeds the Available Balance in your account. Because we may charge a Non-Sufficient Funds Fee each time an item is presented, we may charge you more than one fee for any given item as a result of a returned item and re-presentment of the item. When we charge a Non-Sufficient Funds Fee, the charge reduces the Available Balance in your account and may put your account into (or further into) overdraft. If, on re-presentment of the item, the Available Balance in your account is sufficient to cover the item we may pay the item, and, if payment causes an overdraft, charge an Courtesy Pay. We may use the terms “item” and “transaction” interchangeably.
- For consumer accounts, there is no limit on the total Courtesy Pays per day we will charge. We will not charge an Courtesy Pay if a consumer account is overdrawn by $5.01 or less.
- Transactions may not be presented in the order which they occurred and the order in which checks, or items are received and processed may affect if an overdraft occurs. The Credit Union processes checks and items as follows: (i) checks and items are paid in the lowest to highest amount order at the time they are presented to us, (ii) ACH items, credits are processed first and ACH debits processed second, and (iii) debit card transactions are paid in the chronological order they are received.
- Courtesy Pay is not a line of credit; it is a discretionary overdraft service that can be withdrawn at any time without prior notice.
- Depositor and each Authorized Signatory will continue to be liable, jointly and severally, for all overdraft and fee amounts, as described in the Deposit Account Agreement and Disclosure. The total (negative) balance, including all fees and charges, is due and payable upon demand.
- We may be obligated to pay some debit card transactions that are not authorized through the payment system but which we are required to pay due to the payment system rules, and as a result you may incur fees if such transactions overdraw your account. However, we will not authorize debit card or ATM transactions unless your account’s Available Balance (including Overdraft Coverage Options) is sufficient to cover the transactions and any fee(s).
- Giving us your consent to pay everyday debit card and ATM overdrafts on your consumer account (Extended Coverage) may result in you incurring Courtesy Pays for transactions that we would otherwise be required to pay without assessing an Courtesy Pay. However, this would allow us to authorize transactions up to the amount of your Courtesy Pay limit. If you consent to Extended Coverage on your consumer account, it will remain on your account until it is otherwise withdrawn.
Understanding your Available Balance: Your account has two kinds of balances: the Ledger Balance and the Available Balance.
- We authorize and pay transactions using the Available Balance.
- Your Ledger Balance reflects the full amount of all deposits to your account as well as payment transactions that have been posted to your account. It does not reflect checks you have written and are still outstanding or transactions that have been authorized but are still pending.
- Your Available Balance is the amount available to you to use for purchases, withdrawals, or to cover transactions. The Available Balance is your Ledger Balance, less any holds due to pending debit card transactions and holds on deposited funds.
- The balance used for authorizing checks, ACH items, and recurring debit card transactions is your Available Balance plus the amount of the Courtesy Pay limit and any available Overdraft Protection.
- The balance used for authorizing ATM and everyday debit card transactions on accounts with Standard Coverage is your Available Balance plus any available Overdraft Protection but does NOT include the Courtesy Pay limit.
- The balance used for authorizing ATM and everyday debit card transactions on accounts with Extended Coverage is your Available Balance plus any available Overdraft Protection and includes the Courtesy Pay limit.
- Because your Available Balance reflects pending transactions and debit holds, your balance may appear to cover a transaction but later upon settlement it may not be sufficient to cover such transaction. In such cases, the transaction may further overdraw your account and be subject to additional overdraft fees. You should assume that any item which would overdraw your account based on your Available Balance may create an overdraft. Note that we may place a hold on deposited funds in accordance with our Deposit Account Agreement and Disclosure, which will reduce the amount in your Available Balance.
- Please be aware that the Courtesy Pay amount is not included in your Available Balance provided through online banking, mobile banking or Central Willamette CU’s ATMs.
- We will place a hold on your account for any authorized debit card transaction until the transaction settles (usually within two business days) or as permitted by payment system rules. In some cases, the hold may exceed the amount of the transaction. When the hold ends, the funds will be added to the Available Balance in your account. If your account is overdrawn after the held funds are added to the Available Balance and the transaction is posted to the Available Balance, an Courtesy Pay may be assessed.
- Except as described herein, Central Willamette CU will not pay items if the available balance in your account (including the Courtesy Pay limit, if applicable) is not sufficient to cover the item(s) and the amount of any fee(s).
- Central Willamette CU may also suspend your debit card if your account is overdrawn more than 32 consecutive calendar days. Debit cards on your account will remain suspended until you make sufficient deposits so that your account balance is positive.
- If your debit card is suspended, you will be unable to use your debit card(s) for purchases or to access your account(s) associated with the debit card(s) at the ATM while your debit card is suspended. If you use your debit card for recurring payments, e.g., utilities, you are responsible to make other arrangements for your recurring debit payment(s).
Understanding Courtesy Pay Limits
- New consumer and business checking accounts will receive a $100 Introductory Courtesy Pay limit at account opening that will be increased up to $600 (without ACH deposit of $300 or greater within the last 35 days) or up to $750 (with ACH deposit of $300 or greater within the last 35 days in the checking share) after 35 days in good standing for consumer accounts and business accounts.
- Courtesy Pay may be suspended if you default on any loan or other obligation to us, your account becomes subject to any legal or administrative order or levy, or if you fail to maintain your account in good standing by not bringing your account to a positive balance within 32 days for a minimum of one business day. You must bring your account balance positive for at least one business day to have the full Courtesy Pay limit reinstated.
If you have any questions about Overdraft Protection or Courtesy Pay, please call us at (541) 928-4536 or (800) 950-4536 or visit a branch.