Disclosure for Overdraft Services
What You Need to Know about Overdrafts and Overdraft Fees:
An overdraft occurs, and you are charged an overdraft fee, when you do not have enough money in your account to cover a transaction, but we pay it anyway. We can cover your overdrafts in two different ways:
1. We have standard overdraft practices that come with your account.
2. We also offer overdraft protection plans, such as a link to a savings account or a cash reserve (application approval required), which may be less expensive than our standard overdraft practices. To learn more, ask us about these plans.
What if I want First County Bank to authorize and pay overdrafts on my ATM and everyday debit card transactions?
If you want us to authorize and pay overdrafts on ATM and everyday debit card transactions, at our discretion, complete our secure opt-in form via your online banking, at any First County Bank branch office, or call our CustomerFirst contact center at (203) 462-4400.
What if I do not want First County Bank to authorize and pay overdrafts on my account?
If you do not want us to authorize and pay any overdraft transactions, complete an opt-out form via your online banking, at any First County Bank branch office, or call our CustomerFirst contact center at (203) 462-4400.
The following is a review of our standard overdraft practices.
What are the standard overdraft practices that come with my account?
We may authorize and pay overdrafts for the following types of transactions:
- Checks and other transactions made using your checking account number
- Automatic bill payments
Transactions are processed in a neutral fashion contingent upon the transaction type which may impact the processing order. We do not authorize and pay overdrafts for the following types of transactions unless you ask us to (see below):
- 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. We typically do not pay overdrafts if your account is not in good standing or you are not making regular deposits. The honoring of one or more overdrafts does not obligate the Bank to honor other overdrafts. If we do not authorize and pay an overdraft, your transaction will be declined.
What fees will I be charged if First County Bank pays my overdraft?
Under our standard overdraft practice:
- We will charge you a fee of $34 each time we pay an overdraft. It is possible that more than one overdraft fee may be charged against an account per business day, depending on the number of checks presented on, and other withdrawals made from the account.
- Transactions may not be processed in the order in which they occurred, and the order in which transactions are received by the Bank and processed affect the total amount of overdraft fees you may incur.
Also, if your account is overdrawn for 5 or more consecutive business days, we will charge an additional $8 per business day. We limit the total fees we can charge you for overdrawing your account. Overdraft fees are included when calculating such limits. We limit the number of overdraft fees to 4 per business day and we will not charge you an overdraft fee if you are overdrawn by less than $10.
What happens if I do not bring my account back to positive status?
- If your account remains overdrawn, you will be charged a Sustained Overdraft fee, which begins after the account has been overdrawn for 5 or more consecutive business days.
- Your account may also be forwarded to our collections department who will contact you to ensure you are aware that your account is overdrawn and to discuss ways you can bring the account to positive status.
- We may also transfer funds from your other accounts at the Bank to cover the overdraft.
- Finally, if your overdrawn account is not returned to positive status within 45 calendar days, the account will be closed and you may be reported to a national clearing house of check writing information. This may impair your ability to open a checking account elsewhere.
Here are some of the ways that we help reduce the overall cost of overdrafts:
- We limit the number of overdraft fees to 4 per business day
- We will not charge you an overdraft fee if you are overdrawn by less than $10
What are some alternatives to overdraft coverage?
- We provide other optional overdraft protection plans to cover overdrafts that may prove to be less expensive for you, such as a personal line of credit for qualified customers or automatic account transfers when you have a linked savings account. Some restrictions and fees may apply. Please speak to a First County Bank representative for details.