Overdraft protection helps to protect your checking account when there are insufficient available funds to cover transactions such as checks, ACH debits, ATM and Point of Sales withdrawals. SDCCU offers three types of overdraft protection options:
- Overdraft Transfer - You may set up overdraft transfer by linking your checking account to another SDCCU account, such as a savings, money market, checking, home equity line of credit or Visa® credit card account. In the event that you don’t have enough available funds in your checking account to cover a transaction, overdraft transfer automatically transfers the amount necessary to cover the transaction and the associated fee, which applies to each overdraft transfer. Refer to the Consumer Services Fee Schedule.
If you enroll in overdraft transfer and link your savings or money market account, transfers are limited per calendar month in compliance with Federal Banking Regulation D (see the sections regarding “transaction limitations” in the disclosures regarding savings accounts in your Account Agreement for more details). If you exceed the transaction limitations, we may, at our discretion; pay the item and charge a Regulation D Excess Transaction fee to the checking account. Refer to the Consumer Services Fee Schedule. If you designate a savings or money market account for overdraft transfer, funds are not automatically transferred if you move the funds to another account that is not linked to your checking account. Your primary savings account will not be brought below the $1 minimum balance for overdraft transfer.
If you enroll in overdraft transfer and link your Visa credit card, overdraft transfers will be considered cash advances under your credit card agreement and will accrue interest at the APR stated in your Credit Card Agreement. A cash advance fee may apply to each transfer. (Refer to your Credit Card Agreement). If you enroll in overdraft transfer and link your home equity line of credit, overdraft transfers will accrue interest at the APR stated in your Home Equity Line of Credit Agreement. If you have selected a Visa credit card or a home equity line of credit account, transfers will occur if sufficient credit is available and your Visa credit card or home equity line of credit is not delinquent. There are no limitations on the number of overdraft transfers which can be made per month from your Visa® credit card or home equity line of credit.
- Courtesy Clearing – Courtesy clearing is a standard overdraft privilege that comes with a qualified checking account after it has been open for 90 days. Courtesy clearing is not available for Teen First and Builder checking accounts. You will be notified if your account qualifies and is enrolled in the courtesy clearing program. The notice will contain the maximum dollar amount your account will be taken negative to pay an item. In the event that you don’t have enough available funds in your checking account to cover a transaction, SDCCU may pay the item up to your courtesy clearing limit. This includes SDCCU authorizing and paying overdrafts for drafts/checks (excluding checks that are negotiated in person) and other transactions made using your checking account, preauthorized withdrawals, ACH transactions and automatic bill payments.
Paying items through courtesy clearing will create an overdraft/negative balance in your account. A fee applies for each courtesy clearing. Refer to the Consumer Services Fee Schedule. You must bring your checking account balance current within 10 days of the overdraft. SDCCU reserves the right to limit participation and/or stop paying items at any time, without notice to you. You may opt out of courtesy clearing by contacting us.
- Debit Card Overdraft Service – If you have signed up for the Debit Card Overdraft Service we may authorize your ATM and everyday debit card transactions such as PIN and signature-based transactions to be paid, even if there are not enough available funds in your checking account. We will not authorize and pay overdrafts for ATM and everyday debit card transactions unless you opt into Debit Card Overdraft Service. For more information, refer to our disclosure entitled “What You Need To Know About Overdrafts and Overdraft Fees.”
Generally you will be provided with up to $300 in overdraft balance protection for qualifying accounts. Debit Card Overdraft Service is not available for Teen First checking accounts. A fee applies to each overdraft clearing. Refer to the Consumer Services Fee Schedule. As an additional benefit, you will not be charged a fee if your total overdrawn available balance is -$20 or less. You must bring your checking account balance current within 10 days of the overdraft. You may choose at any time to opt out and not participate in the Debit Card Overdraft Service by calling (877) 732-2848 or visiting any of our convenient branch locations.
To opt into Debit Card Overdraft Service, call us at (877) 732-2848 or visit any of our convenient branch locations.
View the Account Disclosures and Agreement
for full details.