Overdraft Protection and Overdraft Privilege
TEG Federal Credit Union understands that unexpected overdrafts occur from time to time. Overdraft Coverage can help.
Overdraft Coverage Options
The choice is yours. Consider these ways to cover overdrafts:
| Service | Cost |
|---|---|
| Overdraft Protection link to another deposit account your have at TEG Federal Credit Union1 | No fee per transfer |
| Overdraft Protection Line of Credit1, 2 | Subject to interest |
| Overdraft Privilege Standard or Extended Coverage | $25 Overdraft Privilege (ODP) Fee per item presented* |
1Call us at 845-452-7323, send us a secture message through online banking, or come by a branch to sign up or apply for these services;
2Subject to credit approval.
*Per item presented means each time an item is presented, including re-presentment.
Overdraft Protection applies to all transactions and may help prevent overdrafts by automatically transferring funds to your checking account from another account, or line of credit you may have at TEG Federal Credit Union. Please note that overdraft lines of credit are subject to interest and credit approval.
Overdraft Protection Line of Credit: Once your Overdraft Line of Credit is approved, we’ll advance the amount needed to cover your purchase or withdrawal (up to your credit limit).
- Lines available up to $1,000
- Variable interest rate
- Advances in $50 increments
- Interest only on amount used until fully paid back)
Overdraft Privilege allows you to overdraw your account up to the disclosed limit for a fee to pay a transaction. Even if you have Overdraft Protection, Overdraft Privilege is still available as secondary coverage if the other protection source is exhausted. Please review What Else You Should Know for more important information.
| Transactions Covered with Overdraft Privilege | Standard Coverage (No action required) | Extended Coverage (Your consent required on consumer accounts)* |
|---|---|---|
| Checks | X | X |
| ACH – Automatic Debits | X | X |
| Online Bill Pay Items | X | X |
| Teller Window Transactions | X | X |
| Recurring Debit Card Transactions | X* | |
| ATM Transactions | X* | |
| Everyday Debit Card Transactions | X* |
If you would like to select Extended Coverage for future transactions:
- call us at 845-452-7323
- complete the online consent form here
- visit any branch
- complete a consent form and mail it to us at 1 Commerce Street, Poughkeepsie, NY 12603
- send us a secure message through online banking
*If you choose Extended Coverage on your consumer account, recurring debit card transaction, ATM transaction, and everyday debit card transactions will be included with the transactions listed under Standard Coverage. If you already have Overdraft Privilege Extended Coverage, it is not necessary to request it again.
If you want to discontinue Overdraft Privilege in its entirety, contact us at 845-452-7323 or send us a secure message through online banking.
