ATM and debit cards are difficult to live without these days for making purchases and payment. But it also makes it easier to incur fees because you may be overdrawn in your checking account. Federal lawmakers have created new rules governing overdraft protection programs that will go into effect June 1, 2010. But the option to take advantage of these rules is up to you.

An overdraft occurs when you do not have enough money in your account to cover a transaction, but River Town FCU pays it for you. We can cover your overdrafts in two ways:

• We have standard overdraft practices that come with your account.
• We also offer overdraft protection plans, such as a link to a savings account, which may be less expensive than our standard overdraft practices.

What are the standard overdraft practices that come with my account?

We do authorize and pay overdrafts for the following types of transactions:

• Checks and other transactions made using your checking account number
• Automatic bill payments (not available at this time)

Effective July 1, 2010 for new members and August 15, 2010 for current members, we will not authorize and pay overdrafts for the following types of transaction unless you ask us to:

• ATM transactions
• Everyday debit card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction. If we do NOT authorize and pay an overdraft, your transaction will be declined.

What fees will I be charged if River Town FCU pays my overdraft?

Under our standard overdraft practices:

• We will charge you a fee of $25 each time we pay an overdraft.
• Also, If your account is overdrawn for five (5) or more consecutive business days, we will charge an additional $5 per day.
• There is no limit on the total fees we can charge you for overdrawing your account.

What if I want River Town FCU to authorize any pay overdrafts on my ATM and everyday debit card transactions?

The Federal Government states that everyone who has an ATM and/or debit card MUST sign a form regarding Overdraft Protection with River Town FCU. Please contact the credit union today for more information.