What is overdraft protection?
Have you ever made an honest mistake in balancing your checkbook or forgot to transfer funds between your accounts? Without sufficient available funds in your account, your purchase was probably declined and you would be charged a returned item fee from both the credit union and the merchant. Overdraft protection is a group of services that can allow your transaction to be processed.
SunWest offers three forms of overdraft protection and all are free to enroll with no annual fees.
Courtesy Overdraft for checks and recurring debit transactions
This form of overdraft protection can cover transactions like gym memberships or monthly video subscriptions.
Courtesy Overdraft for ATM and one?time debit card transactions
This is an enhancement to our basic Courtesy Overdraft that extends coverage to ATM withdrawals and one-time debit card transactions. With this enhancement, withdrawals and purchases up to $500 may be temporarily covered by SunWest until you can deposit funds into your checking account. With Courtesy Overdraft, certain restrictions and an overdraft fee will apply when used.
Overdraft protection by linking accounts
This form of overdraft protection links your checking account to your primary share (savings) account or a revolving line of credit loan. If a transaction exceeds the available amount in your checking account, funds are automatically transferred between your accounts to cover the transaction. Transfers from your primary share account are limited by Federal regulations to six times per month.
Which type of overdraft protection is best for me?
Depending on your financial situation, any of the three types of overdraft protection may meet your needs. And all forms of overdraft protection can work together to see that your transaction is processed.