Overdraft Services

Man turns out his empty pockets

Almost everyone has had their checking account go negative at some point.

Except maybe the Queen. We’re pretty sure it’s never happened to her.

If/when your checking account gets overdrawn, there are several different overdraft protection methods available to give you a “back up” source of funds. One or more of these may help you avoid paying the $30 Non-Sufficient Funds fee for each transaction:

Automatic Transfer from Savings

If your checking account goes negative, we will automatically look at all savings accounts under the same member number as your checking account.  If there is money in those accounts to cover the negative amount in your checking account, we will transfer it. The fee for this service is only $4.00 per transaction (plus tax). There is no need to sign up for the Automatic Transfer service; we automatically do this for all of our members.

Transfer from Other Linn Area Accounts

If there are other Linn Area accounts (under a different number than your checking account) that you would prefer that we transfer from to cover overdrafts, please let us know. You must be a primary or joint owner on all accounts you list, and you can list as many as you like as well as the order you would like us to transfer from. These transfers cost only $4.00 per transaction (plus tax). To set this up, please contact us.

Credit Card Reserve Checking

This option is available to all members who have a Linn Area Credit Union Credit Card. When your checking account goes negative, we will do a cash advance on your card in $100 increments to cover the amount that is overdrawn. This is still subject to the card’s credit limit as well as the standard cash advance fees. To set up this service, please contact us.

Courtesy Pay

This service is offered to members for personal checking accounts. It is issued automatically to accounts over 90 days old in good standing (unless you choose to opt out of this service or have had it revoked due to abuse). It allows your checking account to go negative by up to $500 but must be paid back within 30 days.

Linn Area Credit Union may subtract an overdraft fee of $30 for each overdraft honored. Primary and all other owners shall be jointly and completely responsible for the overdraft, including the overdraft fee. There is no interest charged on any overdraft or unpaid overdraft charge, nor will there be any late charges or other fees beyond this overdraft charge.

The following transactions will be covered by Courtesy Pay:

  • Withdrawals at the teller counter
  • Transfers done via phone, electronically or any other method
  • Checks and other debits cashed at the teller’s window
  • Debit Card transactions / Point of Sale transactions – you must give us permission for this
  • Withdrawals from an ATM – you must give us permission for this
  • Service or check charges
  • Loan payments
  • Pre-authorized automatic debits
  • Checks issued to a third party
  • Items due to uncollected funds and/or chargeback items
  • Bill Payer debits

Linn Area Credit Union has the right to: refuse coverage of any overdraft; withdraw any account from this program based on poor performance; discontinue this program at any time.

If you do not want Courtesy Pay on your checking account, please contact us.

BALANCING YOUR CHECKBOOK – This portion of our Learn section could be helpful. Check out the calculator on the page, too.

*APY = Annual Percentage Yield APY is accurate as of the last dividend declaration date. Rates may change without notice after account opening. Credit union membership is required to obtain Linn Area products. $5 minimum deposit required. Any fees incurred…
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