Overdraft Protection Opt-in

Overdraft Protection Plans

When you write a check, withdraw money from an ATM, use your debit card to make a purchase, or make an automatic bill payment or other electronic payment for more than the available balance in your checking account, you overdraw your account. If you don’t have an overdraft protection service on your checking account when this happens, you can incur fees from both Houston Federal Credit Union and the other party to the transaction that caused your account to be overdrawn. The best way to avoid overdraft and bounced check fees is to manage your account so it won’t be overdrawn.

We can cover your overdrafts in three different ways:

1. We offer Transfer Overdraft Protection that is linked to one of your savings accounts, which is the least expensive method to cover inadvertent overdrafts. This overdraft protection option only covers overdrafts made by checks, pre-authorized debits, and bill payments if funds are available in the pre-designated savings account(s) at the time the transaction occurs. Unlike the other overdraft services, coverage is not limited to $750 or to only one savings account. Transfer Overdraft Protection may also be used in combination with Basic or Enhanced Courtesy Overdraft Protection. This option is available on any or all HFCU checking accounts you may have.

2. We also offer Basic Courtesy Overdraft Protection that will cover only overdrafts made by checks, pre-authorized debits, bill payments up to a $750 limit for a per item presentation fee of $24, and may not exceed 5 charges per day. All members in good standing will be automatically eligible for the Basic Courtesy Overdraft Protection. This service will only be available on one of your HFCU checking accounts.

3. In addition, Enhanced Courtesy Overdraft Protection is offered that will cover overdrafts made by checks, pre-authorized debits and bill payments, plus overdrafts on ATM and one-time debit card transactions. That means we may authorize your HFCU Visa® CheckCard purchase, even if you were unaware you didn’t have the full amount available in your checking account. You’ll be able to complete your purchase without the embarrassment of having your transaction declined. If you need a little extra cash from an ATM that’s more than you have in your checking account due to an unexpected emergency, HFCU may authorize that transaction as well. Enhanced Courtesy Overdraft Protection, if selected, has a coverage limit of $750 for a per item presentation fee of $24, and may not exceed 5 charges per day, which includes transactions covered by both Basic and Enhanced Protection, as well as fees. This level of protection will only be available on one of your HFCU checking accounts, and you must opt-in or sign up to receive this service.

Houston Federal Credit Union offers these overdraft protection services so that your checks don’t bounce and your ATM and debit card transactions aren’t declined. You will still pay an overdraft fee to the Credit Union, but you will avoid the merchant’s returned check fee, avoid the embarrassment and loss of time of a declined debit card transaction, and stay in good standing with the merchants you do business with. HFCU charges $24 each time an overdraft is paid on your account with either Basic or Enhanced Courtesy Overdraft Protection. Overdraft Protection is not a line of credit. However, if you inadvertently overdraw your account, HFCU will have the discretion to pay the overdraft, subject to your Overdraft Protection limit; which means that HFCU does not guarantee that any type of transaction will always be authorized and paid. If you choose to not opt in to Courtesy Protection and your account is not set up with other overdraft protection services (such as automatic transfers from savings), then transactions on insufficient funds for these types of transactions will be declined at the point-of-sale and a NSF (non-sufficient funds) fee (see HFCU fee schedule) may be assessed. You can opt-out of Enhanced Courtesy Overdraft Protection at any time. Items can be presented multiple times and will be charged per presentation.

An overdrawn balance must be repaid within 30 days. We may not pay items under your Overdraft Protection limit if you do not maintain your account in good standing by bringing your account to a positive balance within every thirty (30) day period for a minimum of 24 hours.

How can you opt-in, or sign up for the Enhanced Courtesy Overdraft Protection?

You can easily opt-in to Houston Federal Credit Union’s Enhanced Courtesy Overdraft Protection online. Simply click the box in the upper right corner of this page, complete the required information, and then click the submit button. You can also opt-in by calling 1-866-OUR-HFCU, print the form, complete the information and fax to (281) 243-0772, mail your completed form to Houston Federal Credit Union at 16320 Kensington Dr., Sugar Land, TX 77479, or visit any HFCU office.

To opt-out of the Enhanced Courtesy Overdraft Protection, complete our secure form. You can also opt-out by calling 1-866-OUR-HFCU, print the form, complete the information and fax to (281) 243-0772, mail your completed form to Houston Federal Credit Union at 16320 Kensington Dr., Sugar Land, TX 77479, or visit any HFCU office.

For other important information, review the Important Information about HFCU’S Overdraft Protection Services.