It is important that you manage your checking account responsibly and to never intentionally overdraw your account. However, Union Bank and Trust Company (“we”, “us”, “our”, “Bank”) understand that financial shortfalls occur from time to time.
Overdraft Privilege is a discretionary service automatically available to customers who maintain their checking account in good standing and in a responsible manner. Overdraft Privilege is not a line of credit. With Overdraft Privilege we will consider paying your overdraft items up to your daily overdraft limit. Your overdraft limit may change based on your daily account activity. It is our policy to comply with applicable laws and regulations, and to conduct business in accordance with applicable safety and soundness standards. We also commit to protecting our customers from incurring overdrafts they may not be able to pay. A continuous evaluation of all checking accounts is performed to determine if it is financially sound to honor items which may cause an overdraft situation for a deposit account. Therefore, your overdraft limit is dynamic and may change based on your daily account activity.
The account criteria evaluated include the following:
- Age of account
- Deposit and withdrawal types, amounts, and frequencies
Eligible Accounts: If you maintain a consumer checking account or sole proprietorship account in good standing (excludes Home Equity, Money Market, accounts held by minors, fiduciary accounts, and other business accounts), then we will consider paying overdrafts as a discretionary service. An account in good standing means:
- Not in default of any loan obligation to the Bank; and
- Not subject to any legal or administrative order or levy
A discretionary service means we do not guarantee that we will authorize and pay a transaction presented for payment if the account does not contain sufficient funds. Your overdraft limit will be between $0 and $1,500 for personal accounts and $0 and $2,500 for business accounts (including fees imposed by us). To obtain your current overdraft limit, call 1-800-297-2837. Please note, your overdraft limit is dynamic and may change daily based on your account activity. If your account is overdrawn for 15 consecutive days, your overdraft limit will be reduced to $0. The amount of any overdraft balance, including all bank fees and charges, shall be due and payable upon demand. Please refer to the Terms and Conditions of Your Account - Liability to understand your liability.
Applicable Fees: A $34 NSF Paid Item fee for each item paid into overdraft; or a $34 NSF Returned Item fee for each nonsufficient fund item we return unpaid. You may be assessed up to five NSF fees per day. In addition, a $25 Continuous Overdraft Fee will be charged on every fifth consecutive business day your account remains in overdraft status (regardless of what caused the overdraft). Any transaction can incur a fee, including but not limited to: Checks, preauthorized automatic debits, electronic Items, debit card transactions, ATM withdrawals, in-person withdrawals, online banking transfers (including bill payment), and telephone banking transactions. Please refer to the Terms and Conditions of Your Account – Overdraft Information.
ATM Transactions and Everyday Debit Transactions – Consumer Accounts only: We will only consider authorizing and paying ATM withdrawals and everyday debit card transactions if you request us to do so. To request this service, please call 800.297.2837 or complete the online opt-in form.
Order of Processing Transactions: The order of processing can affect the total amount of overdraft fees you incur. Please refer to the Terms and Conditions of Your Account - Order of Processing.
Your Choice to Opt-Out: You may choose at any time to not participate in our Overdraft Privilege service by stopping in any branch or calling us. If you opt-out, you are instructing us to return unpaid items presented against insufficient funds in your account. You will be charged Applicable Fees as disclosed above.
Termination of Overdraft Privilege: Our Overdraft Privilege service does not constitute an actual or implied agreement between you and us. Nor does it constitute an actual or implied obligation of ours or by us. This service represents a purely discretionary privilege or courtesy that we may provide to you from time to time and which may be withdrawn or withheld by us at any time. It is within our sole and absolute discretion to cease this service at any time, without prior written notice, reason, or cause.
If You Need Help: Overdrafts should never be used to finance ordinary or routine expenses – and you should not rely on overdrafts to cover these expenses. Extensive use of Overdraft Privilege may cause you to incur substantial fees. If at any time you feel you need help with your financial obligations or would like to discuss other overdraft protection options, please contact us.
