Overdraft Coverage Options

Life happens! Peoples Bank understands that unexpected overdrafts occur from time to time – Overdraft Coverage can help.

Overdraft Privilege and Overdraft Protection

Overdraft Coverage Options

The choice is yours. Consider these ways to cover overdrafts:

ServiceCost
Overdraft Protection links to another Deposit Account you have at Peoples Bank1 $5 fee per transfer
Overdraft Privilege up to $27.50 Paid NSF fee per item*. We may charge a fee of $10 if your account is overdrawn less than $10.

1Call us at (903) 783-3800, email us at info@pbparis.com, or come by a branch to sign up or apply for these services;
2Subject to credit approval.
* Per item presented means each time an item is presented, including re-presentment.

Overdraft Protection services apply to all transactions and may help prevent overdrafts by automatically transferring funds to your checking account from another account you may have at Peoples Bank for a fee.

Overdraft Privilege allows you to overdraw your account up to the disclosed limit for a fee in order to pay a transaction. Even if you have overdraft protection, Overdraft Privilege is still available as secondary coverage if the other protection source is exhausted.

Transactions Covered with Overdraft PrivilegeStandard Coverage (No action Required)Extended Coverage (Your consent required on consumer accounts)*
Checks    
ACH - Automatic Debit Card Payments    
Recurring Debit Card Payments    
Online Bill Pay Terms    
Internet Banking Transfers    
Telephone Banking    
Teller Window Transactions    
ATM Withdrawals -- *
Everyday Debit Card Transactions -- *

If you would like to select Extended Coverage for future transactions:

*If you choose Extended Coverage on your consumer account, ATM withdrawals and everyday debit card transactions will be included with the transactions listed under Standard Coverage. If you already have Extended Overdraft Privilege coverage, it is not necessary to request it again. Business accounts automatically have Extended Coverage.

You can discontinue the Overdraft Privilege in its entirety by contacting us at (903) 783-3800 or sending us an e-mail at info@pbparis.com.

What Else You Should Know

 • A link to another account (sweep) is typically a less expensive option than an overdraft. When sufficient funds are available to transfer, a single larger overdraft will result in just one fee, as opposed to multiple smaller overdrafts. In some cases, you may be assessed fees for both a sweep and overdraft(s) in the event the amount swept is not sufficient to prevent the overdraft(s.) Good account management is the best way to avoid overdrafts. Use our mobile banking, Internet banking, and telephone banking services to keep track of your balance. For additional financial education resources, please visit www.mymoney.gov or the Money Essentials link on our website, www.pbparis.com.

• The Paid NSF Fee of up to $27.50 that is charged if you overdraw your account more than $10 is the same fee amount that is charged if an item is returned as unpaid. If your consumer account is overdrawn by $10 or less, the Paid NSF Fee is $10. If multiple items overdraw your account on the same day, each item will be assessed an appropriate Paid NSF Fee or an NSF Returned Item Fee. All fees and charges will be included as part of the Overdraft Privilege limit amount. Your account may become overdrawn in excess of the Overdraft Privilege limit amount as a result of a fee.
• For consumer accounts, there is a limit of up to $137.50 Paid NSF fees per day we will charge. This exception does not apply to business accounts.
• Recipients of federal or state benefits payments who do not wish us to deduct the amount overdrawn and the Paid NSF Fee from funds that you deposit or that are deposited into your account may call us at (903) 783-3800 to discontinue Overdraft Privilege.
• If an item is returned because the Available Balance(as defined below) in your account is not sufficient to cover the item and the item is presented for payment again, Peoples Bank (“we”) will charge a Return Item Fee each time it returns the item because it exceeds the Available Balance in your account. Because we may charge a Return Item Fee each time an item is presented, we may charge you more than one fee for any given item as a result of a returned item and representment of the item. When we charge a Return Item Fee, the charge reduces the Available Balance in your account and may put your account into (or further into) overdraft. If, on representment of the item, the Available Balance in your account is sufficient to cover the item we may pay the item, and, if payment causes an overdraft, charge a Paid NSF Fee.
• This describes the posting order for purposes of determining overdrafts. We generally post items in the following order: 1) credits, 2) on us cashed items (low to high by dollar amount), 3) on us checks (check number order), 4)ATM and debit card transactions (low to high by dollar amount), 5) ACH debits (low to high by dollar amount, 6) phone and online banking transfers (low to high by dollar amount), 7) checks and similar items (check number order); however, exceptions will occur. Holds on funds (described below) and the order in which transactions are posted may impact the total amount of Paid NSF Fees or NSF Returned Item Fees assessed.
• We may be obligated to pay some debit card transactions that are not authorized through the payment system but which we are required to pay due to the payment system rules, and as a result you may incur fees if such transactions overdraw your account. However, we will not authorize debit card or ATM transactions unless your account’s Available Balance (including Overdraft Coverage Options) is sufficient to cover the transactions and any fee(s).
• Giving us your consent to pay every day debit card and ATM overdrafts on your consumer account (Extended Coverage) may result in you incurring Paid NSF Fees for transactions that we would otherwise be required to pay without assessing a Paid NSF Fee. However, this would allow us to authorize transactions up to the amount of your Overdraft Privilege limit and may also help you avoid overdrafts in excess of your available balance that could result in suspension of your debit card. If you consent to Extended Coverage on your consumer account, it will remain on your account until it is otherwise withdrawn.

Understanding your Available Balance: Your account has two kinds of balances: the Ledger Balance and the Available Balance.
• We authorize and pay transactions using the Available Balance.
• Your Ledger Balance reflects the full amount of all deposits to your account as well as payment transactions that have been posted to your account. It does not reflect checks you have written and are still outstanding or transactions that have been authorized but are still pending.
• Your Available Balance is the amount available to you to use for purchases, withdrawals, or to cover transactions. The Available Balance is your Ledger Balance, less any holds due to pending debit card transactions and holds on deposited funds.
• The balance used for authorizing checks, ACH items, and recurring debit card transactions is your Available Balance plus the amount of the Overdraft Privilege limit and any available Overdraft Protection.
• The balance used for authorizing ATM and everyday debit card transactions on accounts with Standard Coverage is your Available Balance plus any available Overdraft Protection but does NOT include the Overdraft Privilege limit.
• The balance used for authorizing ATM and everyday debit card transactions on accounts with Extended Coverage is your Available Balance plus any available Overdraft Protection and includes the Overdraft Privilege limit.
• Because your Available Balance reflects pending transactions and debit holds, your balance may appear to cover a transaction but later upon settlement it may not be sufficient to cover such transaction. In such cases, the transaction may further overdraw your account and be subject to additional overdraft fees. You should assume that any item which would overdraw your account based on your Available Balance may create an overdraft. Note that we may place a hold on deposited funds in accordance with our Deposit Account Agreement and Disclosure, which will reduce the amount in your Available Balance.
• Please be aware that the Overdraft Privilege amount is not included in your Available Balance provided through online banking, mobile banking or ATMs.
• We will place a hold on your account for any authorized debit card transaction until the transaction settles (usually within two business days) or as permitted by payment system rules. In some cases, the hold may exceed the amount of the transaction. When the hold ends, the funds will be added to the Available Balance in your account. If your account is overdrawn after the held funds are added to the Available Balance and the transaction is posted to the Available Balance, an Overdraft Fee Name may be assessed.
• Except as described herein, we will not pay items if the Available Balance in your account (including the Overdraft Privilege limit, if applicable) is not sufficient to cover the item(s) and the amount of any fee(s).

Understanding Overdraft Privilege Limits
• An Overdraft Privilege limit of $100 is available for eligible Consumer and Business Checking accounts at account opening.
• Overdraft Privilege limits of up to $300 or $500, with a minimum of $1,000 in direct deposits per month, are available for eligible Consumer Checking accounts opened at least 90 days in good standing.
• Overdraft Privilege limits of up to $1,000 are available for eligible Business Checking accounts opened at least 90 days in good standing.
• Overdraft Privilege is not a line of credit; it is a discretionary overdraft service that can be withdrawn at any time without prior notice.
• Overdraft Privilege may be discontinued if you default on any loan or other obligation to us, your account becomes subject to any legal or administrative order or levy, or if you fail to maintain your account in good standing by not bringing your account to a positive balance within 30 days for a minimum of one business day. You must bring your account balance positive for at least one business day to have Overdraft Privilege reinstated.
• Depositor and each Authorized Signatory will continue to be liable, jointly and severally, for all overdraft and fee amounts, as described in the Deposit Account Agreement and Disclosure. The total (negative) balance, including all fees and charges, is due and payable upon demand.

If you have any questions about Overdraft Protection or Overdraft Privilege, please call us at (903) 783-3800 or visit a branch.

 

If you would like to select extended coverage for future transactions click the link below:

Overdraft Coverage Options

 

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