An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway.
It is not our standard overdraft practice to pay transactions and charge a fee. Bank of Ann Arbor does not have and never had a program to automatically authorize and pay overdrafts in order to assess a fee so we will not be sending notices to opt in or out of a program.
At our discretion, Bank of Ann Arbor may pay your transaction(s) when there are not sufficient funds in your account creating an overdraft. When we do this, a fee of $30 per transaction ($10 if overdraft is less than $30) is assessed, up to $240 per day. If your account remains overdrawn for 2 or more consecutive days, we will charge an additional $10 per day.
If there are not sufficient funds in your account, your transaction(s) may be declined.
We are changing the order of payment for types of items drawn on your account. ATM and debit card transactions will be presented first, followed by checks and automatic debits. We encourage you to make careful record of your transactions and practice good account management to avoid not having sufficient funds to cover your transactions.
To avoid the embarrassment of a decline or the fee of an overdraft, you might consider one or more of these options.
1. Set up free E-Alerts to notify you by e-mail of a low balance in an account or other transaction through Online Banking. Log in to your accounts through Online Banking. Select New from Messages and complete the form.
2. Overdraft Advance. You can set up to transfer funds in increments of $100 from one Bank of Ann Arbor account to another to cover an overdraft for a fee of $6 per transaction. Transfers are limited to six per statement cycle.
3. Overdraft Line of Credit. Overdraft lines are available in amounts of $500 to $10,000. The overdraft line is activated when your checking account is overdrawn. Loans are dispensed in multiples of $100 with a $12 transaction fee and carry a fixed rate until repaid. Payment is automatically deducted from your Bank of Ann Arbor checking account on the last day of your statement cycle.
Please contact one of our helpful branch staff for assistance with any of these options or if you have any questions.