Overdraft Protection

Attention Debit & ATM cardholders: ACTION REQUIRED

Due to recent changes in legislation (Regulation E), we are required to have all members OPT-IN to receive/keep Overdraft Privilege Pay on their ATM and everyday debit card transactions.

On and after August 15, 2010, we will no longer be able to cover these transactions unless you have “opted in.” If you do not contact us or return the authorization form below, you will be unable to access Overdraft Privilege Pay through your debit card and ATM card. The new rule does not apply to other types of transactions; they will continue to be considered for payment.

Why Opt-In? This program benefits you by allowing us to cover your unexpected expenses, so that you are still able to pay for groceries, gasoline or a needed prescription. It also saves you the embarrassment of having your purchases declined. These examples, along with many others, are reasons for utilizing this safety net—and reasons it should remain available to you and your family.

What You Need to Know About Overdrafts and Overdraft Fees

An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway. We can cover your overdrafts in different ways.

We offer Overdraft Protection plans, such as a link to your other deposit accounts, or, if a Loan Application has been submitted and approved, a link to your Line-of-Credit. With this plan, we do authorize and pay any type of overdraft from your available balances.
We have standard Overdraft Privilege Pay practices that come with qualified accounts for paying overdraft items up to $800.00.

What are the standard Overdraft Privilege Pay practices that come with qualified accounts?
We do authorize and pay overdrafts for the following types of transactions:

Checks you write
Automated Clearing House (ACH) transactions
Bill Payer transactions

We do not authorize and pay overdraft for the following types of transactions unless you ask us to (see below):

ATM transactions
Everyday debit card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction. If we do not authorize and pay an overdraft, your transaction will be declined and you will be charged a NSF fee of $33.00. Additional merchant fees may apply.

IMPORTANT: For members who have previously accepted overdraft service for ATM and everyday debit card transactions, we will not authorize and pay such overdrafts on or after August 15, 2010 unless you “opt-in” (see below).

What fees will I be charged if Credit Union of Texas pays my overdrafts?
Under our Overdraft Protection plans:

We will charge you a fee of $1.00 or $5.00, depending on your account type.

Under our Overdraft Privilege Pay practices:

We will charge you a fee of $33.00 each time we pay an overdraft.
There is no limit on the total fees we can charge you for overdrawing your account.

What if I want CUofTX to authorize and pay overdrafts on my ATM and everyday debit card transactions? You may authorize us to pay overdrafts on ATM and everyday debit card transactions in the following ways:

Check your mailbox. If this regulation change is likely to affect your account, you will receive a letter and opt-in form in the mail the first week of May. Please complete this form and return in the postage paid envelope.

Click here to complete the Overdraft Privilege Pay Opt-In Form Online.

Click here to print the Overdraft Privilege Pay Opt-In Form. Complete the form and fax it to member services at (972) 705-4948 or mail completed form to:

Credit Union of Texas
Attn: Member Services
P.O. Box 517028
Dallas, TX 75251-7028

We know Overdraft Privilege Pay is a convenient tool for many of our members and we appreciate you taking the time to complete the required form.