OVERDRAFT COVERAGE OPTIONS:
OVERDRAFT PROTECTION AND OVERDRAFT PRIVILEGE
Life happens! The Bank of Marion understands that unexpected overdrafts occur from time to time – overdraft coverage can help.
OVERDRAFT PROTECTION AND OVERDRAFT PRIVILEGE SUMMARY
- Overdraft Protection services allow you to link other sources you have with The Bank of Marion to your checking account in order to prevent overdrafts and are less expensive options than an overdraft.
- Overdraft Privilege allows you to overdraw your account for a fee of $30 in order to pay a transaction.
- Overdraft Privilege limits of up to $500 or $700 with direct deposit, are available for eligible Personal Checking accounts opened at least 35 days in good standing.
- Overdraft Privilege limits of up to $1,500 are available for eligible Business Checking accounts opened at least 60 days in good standing.
- Standard Overdraft Privilege covers checks, online bill payments, ACH transactions, or automatic/pre-authorized debits that you establish (insurance premiums, utility bills, etc.).
- Extended Overdraft Privilege covers ATM withdrawals and everyday debit card transactions on your personal accounts with your prior consent, in addition to those transactions covered by Standard Overdraft Privilege. Business accounts automatically have Extended Coverage.
- Both Overdraft Protection and Overdraft Privilege may enable you to avoid expensive merchant returned-check charges.
- Both Overdraft Protection and Overdraft Privilege may enable you to avoid having your ATM or debit card transactions declined due to insufficient funds.
- You must deposit the full amount of the overdraft (within 32 days), including any fees assessed, and maintain a positive balance for at least one business day to continue to receive Overdraft Privilege.
- Good account management is the best way to avoid overdrafts. Use our mobile banking, internet banking, and telephone banking services to help keep track of your balance.
- For additional money management tips, visit our website at http://www.bankofmarionva.com/manage_money.htm.
If you have questions about Overdraft Protection or Overdraft Privilege, please call us at 276-783-3116 or 800-772-1807.
WHAT ARE MY OVERDRAFT COVERAGE OPTIONS?
The choice is yours. Consider these ways to cover overdrafts:
| Service | Cost |
|---|---|
| Overdraft Protection Link to Another Deposit Account you have at The Bank of Marion | $0 fee per transfer |
| Overdraft Privilege | $30 overdraft fee per item |
Contact us at 276-783-3116 or 800-772-1807, or come by a branch to sign up or apply for these services.
WHAT IS OVERDRAFT PROTECTION?
Overdraft Protection services apply to all types of transactions and may help protect your account from being overdrawn by automatically transferring funds to your checking account from another account you may have at The Bank of Marion.
WHAT IS OVERDRAFT PRIVILEGE?
Overdraft Privilege allows you to overdraw your account up to the disclosed limit for a fee in order to pay a transaction.
The Bank of Marion may provide you a $100 Overdraft Privilege limit for eligible checking accounts at account opening. If your consumer account remains in good standing for 35 days, this limit may be increased up to $500, or $700 with direct deposit. If your business account remains in good standing for 60 days, this limit may be increased up to $1,500. You will receive a letter informing you if the Overdraft Privilege limit has been increased on your account.
Even if you have overdraft protection, such as a transfer from another account, Overdraft Privilege is still available as secondary coverage if the other protection source is exhausted. Please be aware that the Overdraft Privilege amount is not included in your balance provided through online banking or telephone banking. The Bank of Marion ATMs may or may not provide the Overdraft Privilege amount in your balance.
WHAT TYPES OF TRANSACTIONS DOES OVERDRAFT PRIVILEGE COVER?
The types of transactions covered by Overdraft Privilege depend on the coverage selected. See the chart below for more information.
If you choose Extended Coverage, all the transaction types listed in Standard Coverage are included, along with ATM withdrawals and everyday debit card transactions. The Bank of Marion will not authorize overdrafts for everyday debit card and ATM transactions on consumer accounts unless you give us your consent to pay these overdrafts by electing Extended Coverage. Business accounts automatically have Extended Coverage.
|
Standard Coverage (No action required) |
Extended Coverage (Your consent required*) |
|
|---|---|---|
| Checks | X | X |
| ACH - Automatic Debits | X | X |
| Recurring Debit Card Payments | X | X |
| Online Bill Pay Items | X | X |
| At the Teller Window | X | X |
| ATM Transactions | X* | |
| Everyday Debit Card Transactions | X* |
HOW MUCH DOES OVERDRAFT PRIVILEGE COST?
There is no fee for having Overdraft Privilege unless you use it. The Overdraft Fee of $30 will be imposed for overdrafts created by checks, ACH, point-of-sale, ATM withdrawals, in-person withdrawals, or by other electronic means. If multiple items overdraw your account on the same day, each item will be assessed the appropriate fee. This is the same fee that The Bank of Marion charges for items returned to the payee due to insufficient funds.
All fees and charges will be included as part of the Overdraft Privilege limit amount. Your account may become overdrawn in excess of the Overdraft Privilege limit amount as a result of the assessment of a fee. The total negative balance, including all fees and charges, is due and payable upon demand. Depositor and each Authorized Signatory will continue to be liable, jointly and severally, for all such amounts, as described in the Deposit Account and Disclosure Agreement.
WHAT IF I DON’T WANT OVERDRAFT PRIVILEGE?
You can request to discontinue the Overdraft Privilege service in its entirety at any time by contacting us at 276-783-3116 or 800-772-1807. Without Overdraft Privilege, your insufficient funds items will be returned to the payee and/or declined at the point of purchase, unless you have Overdraft Protection available to cover the item(s). You will be charged the standard return fee of $30 for all returned items.
WHAT IF I WANT THE BANK OF MARION TO PAY MY ATM AND EVERYDAY DEBIT CARD OVERDRAFTS (EXTENDED COVERAGE)?
If you want us to authorize and pay overdrafts caused by ATM and everyday debit card transactions (Extended Coverage), tell us by using one of the methods below.
- Call us at 276-783-3116 or 800-772-1807.
- Visit our website at www.bankofmarionva.com.
- Visit one of our convenient branch locations.
- Complete the Consent Form, which is available at any branch and was previously provided to you, and mail it to us at PO Box 1067, Marion, VA 24354
NOTE: Business accounts automatically have access to Overdraft Privilege for ATM and everyday debit card transactions. (Extended Coverage).
WHAT ELSE DO I NEED TO KNOW?
We typically post items in the following order by transaction type: 1) checks cashed at teller window, 2) bank ATM transactions, 3) POS/non-Bank of Marion ATM transactions, 4) ACH transactions and 5) all other checks. The order in which transactions are posted may impact the total amount of overdraft or return fees assessed.
A single larger overdraft will result in just one fee, as opposed to multiple smaller overdrafts.
Although under payment system rules, The Bank of Marion may be obligated to pay some unauthorized debit card transactions, The Bank of Marion will not authorize debit card or ATM transactions unless there are sufficient available funds (including overdraft coverage) to cover the transactions and the amount of any fee(s).
Giving us your consent on your consumer account to pay everyday debit card and ATM overdrafts may result in you incurring overdraft fees for transactions that we would otherwise be required to pay without assessing an overdraft fee. However, this may allow us to authorize transactions up to the amount of your Overdraft Privilege limit and may also help you avoid overdrafts in excess of your available funds that could result in restriction of your debit card.
The Bank of Marion authorizes and pays transactions using the available balance in your account. The available balance is comprised of the ledger balance (collected funds) less any debit card holds, and does not include any deposited funds on hold. The Bank of Marion may place a hold on deposited funds in accordance with our Deposit Account Agreement and Disclosure. If the funds in the available balance are not sufficient to cover a transaction, any available overdraft protection and/or the amount of the Overdraft Privilege limit, may be used to authorize and pay a transaction.
The Bank of Marion 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 Overdraft Fee may be assessed.
Any item (check, ACH, or other electronic transaction) that is initially returned to the payee because the Available Balance in your accountwas not sufficient to cover the item can be re-presented by the payee for payment multiple times, which is beyond our control. We will charge an Overdraft Fee or NSF/Return Item Fee regardless of the number of times an item is presented to us for payment against insufficient funds, and regardless of whether we pay or return the item.
★★Except as described on this page, The Bank of Marion will not pay items if your account does not contain available funds (including the Overdraft Privilege limit) to cover the item(s) and the amount of any fee(s).
★★We may restrict your debit card use if you incur overdrafts in excess of the available funds in your account including any Overdraft Privilege limit.
★★Overdraft Privilege is not a line of credit; it is a discretionary overdraft service that can be withdrawn at any time without prior notice.
★★Overdraft Privilege may be discontinued 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 thirty-two (32) days for a minimum of one business day.