Overdraft program

What happens if you attempt a transaction and find yourself without enough money in your checking account? Avoid the consequences of costly fees and embarrassing situations by understanding what happens when you overdraw your account and your options to avoid it.

Eligibility for Courtesy Payment will not begin until the Credit Union determines, in its sole discretion, that, among other things, a sufficient period of time has passed since you first opened your accounts, there have not been too many past overdraft occurrences on your account, the size of the transaction qualifies for the service, and your account is in good standing. This is a discretionary service and we are not obligated to pay any item if your account does not contain sufficient funds.

• See the video: Protect your accounts from being overdrawn.

Overdraft Protection

Enroll in Overdraft Protection, a way for you to link your Oregon State Credit Union checking account to a back-up source of funds. This allows you to designate a backup account to cover your overdrafts and avoid a $10 fee.

Here's how to how the service works:

• Enroll at one of our branches or call our Member Service Center at 541-714-4000.

• Select a back-up account as your overdraft protection source. It could be your Oregon State Credit Union savings account, second checking account, Visa^® card, Money Market account or Personal Line of Credit.

  • Transfers from lines of credit or credit cards are unlimited as long as there are funds in those accounts, but they begin to accrue interest the day of the transfer.

Overdrafts: How it works

The Credit Union uses your “available balance” to determine whether there are sufficient funds in the account to pay items presented for payment. Available balance is:

• Actual balance minus the following:

  • amount of any holds placed on recent deposits

  • holds for other reasons

  • holds for pending transactions (such as pending debit card purchases) authorized but that have not posted to your account yet

The Credit Union processes checks and items as follows:

• Checks are paid with the lowest items paid first

• ACH items, credits are processed first and ACH debits are processed second, with the lowest items paid first

• Debit card transactions are paid in the chronological order they are received

Our determination of an insufficient account balance may be made at any time between presentation and the midnight deadline with only one review of the account required.

You're required to pay the balance due on an overdraft, along with fees. Balances are due immediately and must be paid no later than 30 days after an insufficient transaction occurs.

Example: Overdraft caused by hold on account

You have $25 in your account and you deposit a $500 check, however a hold is placed on all but $225. An ACH for your insurance payment of $300 is presented and we choose to pay the item through Courtesy Payment even though you only have $250 available. You are charged a $10 Overdraft Paid (Courtesy Payment) fee.

Example: Saved by your savings

Your checking balance is $10. You have set up overdraft protection from your savings account and balance in your savings is $200. Your $50 bill payment is presented and $40 is transferred from your savings to clear the check.

Example: Dinner with your sister

You have $80 in your checking. You have opted-in for Courtesy Payment for one-time debit and ATM transactions. You go out to dinner and the bill for $150 is presented. You do not have sufficient funds in your account, however, we choose to authorize the transaction. Your account will go negative $70 and you will owe us this balance immediately plus a $10 Overdraft Paid (Courtesy Payment) fee.

Example: Overdraft caused by the car rental hold

You are on a trip and have $800 in your account. The car rental agency charges $300 for the car rental. In addition, they put a hold on your account of $500. Your reoccurring debit transaction for your gym membership of $40 is paid through Courtesy Payment even though there are no available funds. A $10 Overdraft Paid (Courtesy Payment) fee would be charged.

Set up your Overdraft Protection today

The best way to avoid overdrawing your checking account is to track your expenses and spend only what you have available in your account.

We want to help you avoid fees and have money available when you need it.

• Call 541-714-4000

• Visit a branch

Compare our overdraft costs