Small Business Overdraft Protection Services FAQ

 

  1. What is an overdraft?
  2. What is the bank’s Standard Overdraft Coverage?
  3. What are the bank’s Overdraft Protection Plans?
  4. How do the different Overdraft Protection Plans work?
  5. Can I have both Standard Overdraft Services and an Overdraft Protection Plan?
  6. Are my personal accounts eligible for Standard Overdraft Coverage and Overdraft Protection Plans?
  7. What are the bank’s overdraft fees?
  8. What is the Sustained Overdraft Fee?
  9. What are the fees associated with Overdraft Protection Plans?

 

More questions? Contact us online or call us at: 1-800-448-8812

 

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Q:

What is an overdraft?

A:

An overdraft occurs when you don't have the necessary available funds in your account to cover transactions you have made, but we pay it on your behalf. Transactions can include withdrawals made at an ATM or teller window, debit card purchases, checks, automated payments or other electronic transactions using your checking account number.

Q:

What is the bank’s Standard Overdraft Coverage?

A:

With our Standard Overdraft Coverage, we may authorize and pay items into overdraft such as checks, ACH items, ATM and debit card transactions. Your small business account automatically comes with our Standard Overdraft Coverage and overdraft fees may be assessed on each item 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 ATM and debit card transactions, it will be declined and it will not be paid into overdraft, and you will not be assessed an overdraft fee. If we do not pay your checks and ACH items into overdraft, they will be returned and assessed an NSF fee.

Q:

What are the bank’s Overdraft Protection Plans?

A:

We offer a variety of Overdraft Protection Plans, which allow you to have funds automatically transferred to your checking account from another Hancock Whitney account such as another small business checking or savings account, or a Business Line of Credit. Only one Overdraft Protection product can be linked to your checking account.

Q:

How do the different Overdraft Protection Plans work?

A:

For coverage from another business checking or savings account or from a Business Line of Credit, if your checking account balance will be overdrawn after processing at the end of the banking day, we will systematically transfer funds in the  exact amount needed from the linked account to cover the overdraft up to the available balance in the linked checking or savings, or the available limit in the line of credit.

Please note that you can also proactively transfer funds from the linked account to your covered checking account.

Q:

Can I have both Standard Overdraft Services and an Overdraft Protection Plan?

A:

Yes. Customers who have coverage from an Overdraft Protection Plan may also be covered by our Standard Overdraft Service in the event the linked account funds are unavailable.

Q:

Are my personal accounts eligible for Standard Overdraft Coverage and Overdraft Protection Plans?

A:

Yes, personal accounts are eligible to receive coverage from an Overdraft Protection Plan, such as from another personal checking or savings account, or from a Handyline, Preferred Line of Credit or a Home Equity Line of Credit.

Personal accounts are also eligible for Standard Overdraft Coverage, although you need to opt-in to this service if you want us to consider authorizing and paying your ATM and everyday debit card transactions into overdraft. You can opt in by calling 1-800-448-8812 or visiting your local branch. You can change this election at any time. Please allow up to 72 hours for your election to be updated.

Q:

What are the bank’s overdraft fees?

A:

We charge $36 for each item paid into overdraft and $36 for each item returned for Insufficient Funds.

Q:

What is the Sustained Overdraft Fee?

A:

For each time your account remains overdrawn at least nine (9) calendar days, we will assess one Sustained Overdraft Fee of $36. Please note that we count as the first of the nine consecutive calendar days the day on which we post the items which created the overdraft in your account, regardless of whether we have provided you with notice of the overdraft(s). We will not charge this fee if you pay us the total amount of the overdrawn balance on the ninth (9th) calendar day or the next banking day, if the 9th calendar day falls on a weekend or federal holiday that is not a banking day. We will also not charge this fee if the amount overdrawn only includes bank fees and/or service charges

Q:

What are the fees associated with Overdraft Protection Plans?

A:

Transfers systematically made from another checking or savings account are $10 per transfer per day. There are no transfer fees to proactively transfer funds to your checking account in anticipation of an overdraft situation.

There are no transfer fees on transfers made from the Business Line of Credit, whether systematically made or proactively transferred by you. Interest may accrue on outstanding balances maintained in the Business Line of Credit.

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