Overdraft Coverage Options

What is Overdraft Protection?

Overdraft Protection services apply to all types of transactions and may help protect your account from being overdrawn by automatically transferring funds to your checking account from your savings account, or line of credit you may have at UVA Community Credit Union, for a cost. Please note that overdraft lines of credit are subject to credit approval.

Overdraft Protection from Savings Account

This service applies to all transactions and may help prevent overdrafts by automatically transferring funds to your checking account from your savings account you may have at UVA Community Credit Union for a cost. In the event an automatic transfer from your savings account occurs, but the amount transferred is insufficient to completely cover an overdraft, this $5 fee will be charged in addition to the overdraft and returned items fees.

Overdraft Protection Line of Credit

Money in is transferred from this line of credit tied to your Checking Account to protect it against overdrafts and denied transactions. Interest accrues until paid back. A low interest rate applies, see our rate schedule. This service is used to cover insufficient funds before an Overdraft Savings Transfer is used. Please note that an Overdraft Line of Credit is subject to credit approval. Learn more or apply online for our Personal Overdraft Protection Line of Credit or learn more about our Business Checkline Overdraft Protection.

Overdraft Privilege Coverage (Standard and Extended)

Overdraft Privilege allows you to overdraw your account up to the disclosed limit for a fee in order to pay a transaction.

UVA Community Credit Union may provide you a $100 Overdraft Privilege limit for consumer checking accounts at account opening. If your consumer account remains in good standing for 35 days, this limit may be increased up to $500. For business accounts, you will receive a letter approximately 60 days after account opening informing you that Overdraft Privilege has been activated on your account. You do not have Overdraft Privilege on your business account until you receive this notification. Even if you have overdraft protection, Overdraft Privilege is still available as secondary coverage if the other protection sources are exhausted.

Please be aware that the Overdraft Privilege amount is not included in your balance provided through online banking, telephone banking or UVA Community Credit Union ATMs.

How much does Overdraft Privilege cost?

There is no fee for having Overdraft Privilege unless you use it. The Overdraft Fee (Paid NSF) of $32 will be imposed for overdrafts created by checks, ACH, point-of-sale, ATM withdrawals, in-person withdrawals, or by other electronic means. If multiple items overdraw your account on the same day, each item will be assessed the appropriate fee. This is the same fee that UVA Community Credit Union charges for items returned to the payee due to insufficient funds.

All fees and charges will be included as part of the Overdraft Privilege limit amount. Your account may become overdrawn in excess of the Overdraft Privilege limit amount as a result of the assessment of a fee. The total negative balance, including all fees and charges, is due and payable upon demand. Depositor and each Authorized Signatory will continue to be liable, jointly and severally, for all such amounts, as described in the Membership and Account Agreement.

What types of transactions does Overdraft Privilege cover?

The types of transactions covered by Overdraft Privilege depend on the coverage selected. See the chart below for more information.

If you choose Extended Coverage, all the transaction types listed in Standard Coverage are included, along with ATM withdrawals and everyday debit card transactions. UVA Community Credit Union will not authorize overdrafts for everyday debit card and ATM transactions on consumer accounts unless you give us your consent to pay these overdrafts by electing Extended Coverage. Business accounts automatically have Extended Coverage.

Note: Overdraft Protection Transfer from Savings Account and Overdraft Protection Line of Credit are lower cost options to manage your overdraft activities. They are used before Overdraft Privilege.

You can adjust your Overdraft Privilege Protection Coverage at any time by contacting us at 434-964-2001 or 888-887-9136, sending us a secure message from Live Chat on our website at uvacreditunion.org, sending us a secure message within Online Banking stating “I want to revoke my authorization for UVA Community Credit Union to pay overdrafts on my account [account #]”, visiting any branch, or by mailing us at: 3300 Berkmar Drive, Charlottesville, VA 22901

Having a form of overdraft protection reduces the cost of paying returned check/item fees to merchants. You may opt to have more than one form of Overdraft Protection.