Overdraft Protection Plan – Preferred Line of Credit and Home Equity Line of Credit

Your checking account can be linked to a Preferred Line of Credit or a Home Equity Line of Credit (collectively “Line of Credit”) product to provide overdraft protection coverage.

Transaction Processing

After nightly batch processing and all transactions have posted to your checking account, if the available balance in the account isn’t sufficient to cover all of the transactions, a transfer is automatically made from the Line of Credit to your checking account to cover the NSF items.

Transfers are made in the exact amount needed to cover the NSF items.

If the Line of Credit does not have sufficient funds to cover all of the NSF items, we will transfer the amount needed to fully cover as many of the items possible based on the posting order of each item. Any item(s) in your checking account that cannot be fully covered under this Overdraft Protection Plan may result in an overdraft, if paid, or may be returned for Non-Sufficient Funds.

Beneficial if

• You need a larger revolving credit line that can also be used as overdraft protection (Preferred Line of Credit or Home Equity Line of Credit).
• You are a homeowner looking for borrowing flexibility by tapping into the equity in your house (Home Equity Line of Credit).
• You want to be able to make an unlimited number of transfers from the line of credit to your checking account (subject to the available limit in the credit line)
• You want to be able to directly access your overdraft protection line with special line of credit checks. 

Costs

• There is no Transfer Fee with either Line of Credit. Transfers can be made systematically as part of this Overdraft Protection Plan or proactively by you with no Transfer Fee.
• Overdraft fee is $36. For personal checking accounts, any overdraft item(s) not fully covered by the Line of Credit account may be assessed an Overdraft Fee, if paid into overdraft.
  The Line of Credit comes with no annual fee; for details on rates and other terms and conditions, call or visit your local financial center for details.

Combine with Overdraft Consideration¹

• If the money in your Line of Credit account does not cover all your NSF items, our overdraft consideration allows us to consider paying the remaining item(s) into overdraft subject to the following:
  • This service is automatically provided with checks, ACH, automatic bill payments and recurring debit card transactions.
  • You must opt-in to this service if you wish for us to consider authorizing and paying your ATM and everyday debit card transactions into overdraft. You may opt-in by calling us at
    1-800-448-8812 or visiting your local branch, online, and by using our mobile app. You can change this election at any time. Please allow up to 72 hours for your election change to become effective.
• Each overdraft item may be assessed a $36 Overdraft Fee, if paid into overdraft.
  We pay overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction. Even if we pay your account into overdraft, we maintain the right not to do so at any other time. If we do not authorize your transaction, it will generally be declined and may not be paid into overdraft. Once you have overdrawn your account, you must bring it to a positive balance as soon as possible.

Limitations

Home Equity Lines of Credit cannot be used as overdraft protection in Texas.

Eligibility

Normal credit criteria apply. Call or visit your local financial center for details.