Overdraft Privilege Disclosure
As a benefit to our members, we offer a useful feature on our Checking accounts – an Overdraft Privilege. With this Overdraft Privilege, we will pay your non-sufficient funds (NSF) items and fees up to a pre-approved limit. This feature will save you time, embarrassment, and the additional fees charged by many other companies.
The Overdraft Privilege will allow you to overdraw your account to a preapproved limit of up to $600. You will be charged an Overdraft Privilege Fee as set forth in our Service Fee Schedule. Of course, any and all credit union fees and charges, including without limitation, the Overdraft fees, will be included in this balance. Overdraft Privilege applies to checks, ACH (automatic debit) items, recurring debit card transactions, online bill pay items, transfer requests via the Call Center, teller window transactions, ATM transactions (optional) and debit card purchases (optional) only.
There is no limit to the number of fees we may charge you for overdrawing your account per day or per statement period. If a debit card overdraft is $5.00 or less, the fee is waived. You have the right to opt out of the service and tell us not to pay any overdrafts. If you do, however, you may have to pay a fee if you make transactions that are returned unpaid. You also have the right to tell us not to pay overdrafts for ATM transactions and debit card purchases, but to continue to pay overdrafts for other types of transactions.
CONDITIONS FOR OVERDRAFT PRIVILEGE:
Naturally, it is always the policy of United Texas to comply with all applicable laws and regulations and to conduct business in accordance with applicable safety and soundness standards. Accordingly, there are a few conditions that will apply to the Overdraft Privilege features:
You will be eligible unless:
1. You default on any loan or other obligation to us,
2. Your account becomes subject to any legal or administrative order or levy, or
3. You fail to maintain your account in good standing by not bringing your account to a positive balance within 32 days for a minimum of one business day.
You must bring your account balance positive for at least one business day to have the Overdraft Privilege limit reinstated.
EXCLUSION FROM INITIAL OFFERING:
Overdraft Privilege is not available for Do Over Checking Accounts, IOLTA, Trust or Estate Accounts.
SUSPENSION OF OVERDRAFT PRIVILEGE:
After your Overdraft Privilege has been activated, we may suspend your privilege without notice if we become aware of any of the above conditions (numbers 1 – 3). If the balance of your checking account Overdraft Privilege exceeds your preapproved limit (fees are included in this balance) at any time, your Overdraft Privilege (including debit card access) is immediately suspended until your checking account is brought to a positive balance. The credit union reserves the right to revoke this service at any time.
New consumer checking accounts will receive an Overdraft Privilege limit of $600 at account opening. New business checking accounts will receive an Overdraft Privilege limit of $1,000 at account opening for a maximum of two checking accounts.
Your account agreement describes the duties, obligations and rights of depositors, authorized signatories and the credit union with regard to your deposit accounts. That account agreement is incorporated herein for all purposes as if it were set forth verbatim as to matters not directly addressed by this agreement. Your account agreement and this agreement shall be construed so as to minimize conflicts between the two agreements.
The credit union’s forbearance from, or delay in, exercising any of the credit union’s rights, remedies, privileges, or right to insist on your strict performance of any provisions of your account agreement, the Overdraft Privilege agreement, or any other agreements related to your account, shall not be construed to be a current or future waiver of the credit union’s rights, remedies or privileges.
THE CREDIT UNION AND YOU HEREBY ACKNOWLEDGE THAT ANY CONTROVERSY ARISING OUT OF THIS OVERDRAFT PRIVILEGE OR THE CREDIT UNION’S OR YOUR PERFORMANCE HEREUNDER, SHALL BE SETTLED BY ARBITRATION IN ACCORDANCE WITH THE RULES OF THE AMERICAN ARBITRATION ASSOCIATION, EXCEPT AS PROHIBITED BY LAW.