Q: What are Overdrafts and Overdraft Fees?
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 two different ways:
1. We apply standard overdraft practices, at our discretion, under which we may allow your account to carry a temporary negative balance. If we cover an overdraft by applying our standard overdraft practices, we will charge a fee for each overdraft that drops your account balance below zero.
2. We also offer overdraft protection plans, such as a line of credit or a link to a savings account, which may be less expensive than our standard overdraft practices. To learn more, ask us about these plans.
Q: What are my choices?
You have three options:
• Choose OPT IN to continue receiving Overdraft Services for ATM and everyday debit card transactions (an overdraft fee will apply).
• Do nothing to have us DECLINE any ATM withdrawals or Debit Card purchases that exceed your balance.
• Or, choose to enroll for an Overdraft Protection line of credit, or Automatic Transfers from savings or other accounts to cover the overdraft (ask us for more information – may require a separate application for credit approval or linkage to your savings account).
Q: If I do nothing, what are the standard overdraft practices that come with my account?
We may authorize overdrafts, and charge a fee, for the following types of transactions:
• Checks and other transactions made using your checking account number
• Automatic bill payments
We cannot authorize overdrafts and charge a fee for the following types of transactions (unless you ask us to by choosing OPT IN):
• ATM transactions
• Everyday debit card transactions
If you do not authorize us to pay an overdraft for everyday debit card and ATM transactions, your transaction will be declined at the time it is presented if the transaction exceeds your available balance.
Q: What fees will I be charged if Illinois Educators Credit Union pays my overdraft?
Under our standard overdraft practices, we may authorize checks and transactions using your checking account number, and automatic bill payments:
• We will charge you a fee each time we pay an overdraft.
• There is no limit on the total fees we can charge you for overdrawing your account.
Q: What if I want Illinois Educators Credit Union to authorize and pay overdrafts on my ATM and everyday debit card transactions?
If you want us to authorize overdrafts and charge a fee on ATM and everyday debit card transactions, you must either complete and submit the form, call us or stop in to see us.
Q: Are there other ways to have my overdrafts paid?
Yes! You can apply for our Overdraft Protection line of credit, which automatically advances a loan into your checking account if your balance falls below zero.
Or, if you prefer, you can link your savings account with us to your checking account, which will automatically transfer money into your checking account from savings in the event of an overdraft.
Ask us about these additional options. (Overdraft Protection may require application and credit approval. Linking your savings or other accounts for automatic transfers may require additional authorizations).
Q: What happens if I do nothing?
If you do nothing, we will decline debit card purchases and ATM transactions if they exceed the available balance in your account. You can change your mind, however, and OPT-IN at any time, which will allow us to charge a fee for authorizing overdraft transactions.
Q: How can I Opt-In?
You can call us to authorize overdraft services, or fill out the form, which you can mail or drop off at a branch.