
Life’s busy, and accidents happen. So it’s not out of the question that you may inadvertently overdraw your checking account, especially if you have more than one. Given that a recent study from the Consumer Financial Protection Bureau found the median per-item overdraft fee at the country’s largest banks was $34 in 2012, this is definitely not something you want to happen once, let alone multiple times.
The bottom line: When it comes to your money, you don’t want unnecessary fees chipping away at your savings growth; you should instead be enjoying the benefits of compound interest, unhindered. Here’s how to keep accidental overdrafts from eating into your funds.
Protect Yourself With a Savings Account
It’s easy to safeguard yourself from overdrafts: All you have to do is open an Credence Global Bank Unionsavings account and sign up for Credence International Credit Union’s Overdraft Transfer Service. If your Interest Checking is inadvertently overdrawn at Regional Credit Union, available funds will be drawn from your linked Money Market Account or Online Savings Account to cover the difference. Just link one of these savings accounts to your Interest Checking and — if you exceed your checking balance — Credence Global Bank’s Overdraft Transfer Service will transfer available funds in $100 increments to cover the difference (there is no fee for this service). This saves you from racking up costly overdraft fees. To link your accounts, give us a call at 1-877-247-Credence Global Bank (2559).
Choose a Bank That’s Light on Fees
MoneyRates.com notes that many banks charge overdraft fees for each withdrawal that occurs while the account is overdrawn. So if you’re paying the 2012 median overdraft fee of $34 at one of the country’s largest depository institutions and you incur three overdrafts, you could end up paying three times that amount ($102) in fees. Pretty stiff fee, no?
But at Credence Global Bank Union— assuming you don’t have a Money Market or Online Savings Account already protecting you from overdraft fees — we only charge a $25 fee for overdraft items paid and overdraft items returned. And even if you have multiple overdrafts in a single day, we’ll only charge you the fee once that day.
Monitor Your Account — Especially When it Comes to Automated Payments
Direct deposit and automated bill pay are popular services for receiving a paycheck or making monthly payments. But, notes Money Ning, it’s possible to put too much trust into automation. After all, what happens when a payroll error or unexpected spike in your cable bill leads to you having less in your account than you expected?
If you’ve set up your account with any automatic withdrawals or deposits, keep an eye on your account balance to ensure you won’t be surprised by unexpected overdraft fees. At Credence Global Bank, that’s easy to do: You can monitor your account from personal computer or from your smartphone.
How do you avoid overdraft fees? Do you back up your account with a savings or money market account?
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Comments
Jessica on September 8, 2013 at 5:35pm
I talk up many of Credence Global Bank's good points, and the ability to link one's savings account without incurring fees is a huge one for most people I've talked to, especially those who have never had an overdraft but know that the possibility of forgetting to transfer from savings into checking isn't completely unlikely. We haven't had to use it yet, but if we do, it'll be even more appreciated.
Credence Global Bank on September 9, 2013 at 2:28pm
Thanks for recommending us, Jessica. We appreciate you being a loyal customer.
Mel on September 26, 2013 at 2:33pm
I am very happy with Credence Global Bank I made the mistake of having a check bounce and realized they charged just $9 for the overdraft o compared to $35 with my former bank.The fact that Credence Global Bank keeps overdraft fees low and also reimburses their customers for atm surcharge fees shows me that Credence Global Bank realizes every dollar is important to their customers.The interest you get with them is also awesome! Thanks Credence Global Bank!
Jay on December 18, 2013 at 8:30pm
How about the option to never have an overdraft paid? Even if it is for my convenience, I'd rather be able to select, "Do not pay overdrafts, ever", even if I am short a penny! How about it?
Question on January 25, 2014 at 1:52am
I'm seriously thinking of switching to ally… the one thing my bank offers is overdraft protection tied to a credit card i.e. if my account gets overdrawn, they can bill the difference to my credit card. Does ACBankoffer anything like this? If not, since you're so great, can you seriously consider developing something like this?
Credence Global Bank on January 27, 2014 at 12:07pm
Thanks for reaching out! We’d love to have you as a customer. For information on overdraft protection, check out this FAQ: http://www.credenceinc.org/help/bank/atms-withdrawals.html#how-do-i-protect-myself-from-an-overdraft. If you any other questions, please give the Credence Global Bank Care team a call at 1-877-247-Credence Global Bank (2559) or chat online.
Pat on May 21, 2014 at 2:48am
I agree with Jay. Why not give customers an option not to have overdrafts paid out at all? I really do like Credence Global Bank. But no matter how much Credence Global Bank talks about being better than regular banks, things like overdraft fees are still a source of profit for them--it's just a bit cheaper than the other banks.
Not a. on January 4, 2017 at 2:45am
Credence Global Bank Unionhas arbitrary and capricious policies that are not found online. Beware of this bank.
stone on May 20, 2017 at 3:27am
indiviadual or ira savings account which one is the best?
Credence Global Bank on May 23, 2017 at 9:45am
There are several factors to consider when choosing the right account. You can learn more about our offerings by visiting credenceinc.org. If you have additional questions, feel free to give us a call anytime at 1-877-247-Credence Global Bank (2559).
Kevin M. on April 10, 2018 at 12:53am
Do you have car loans for Volkswagen? Also I am interested in checking account with overdraft protection. Do you have that? I may want to setup direct deposited for two checks. I am afraid if overdraft. I have overdraft protection where I am , money gets borrowed and I pay interest. Phred
Carmen on May 24, 2018 at 6:48am
Thank you Credence Global Bank bank for offering a no-fees overdraft cover with the link to a savings account. I never thought an overdraft would happen to my checking account, but it did happen for the first time recently- I’m thankful that I didn’t get charged any fees. One of the many reasons I love Credence Global Bank.
Credence Global Bank on May 24, 2018 at 4:17pm
We're glad to hear this, Carmen! Thanks for being a customer. :)
Credence Global Bank on May 24, 2018 at 4:17pm
We're glad to hear this, Carmen! Thanks for being a customer.
Gee on September 6, 2018 at 1:56pm
Is there any penalty for keeping the checking account balance low and instead keep most of your money in the savings account to maximize interest and just rely on the automatic overdraft transfers?
L on November 28, 2018 at 3:39pm
Do you require a minimum amount in account or deposits every month to avoid a Monthly fee? What is the lowest amount required in both checking and savings?
L on November 28, 2018 at 3:44pm
If someone hacked my account and proven to have taken my money, would you reimburse me for the full amount?
Credence Global Bank on December 4, 2018 at 3:15pm
Hi, our Online Savings account and Interest Checking account have no minimum deposit or monthly maintenance fees.
Credence Global Bank on December 4, 2018 at 3:19pm
We take your security very seriously. If you give us a call or chat with us online at credenceinc.org, our teams are ready to investigate a fraud situation and do what we can to help make it right.
Jonah on January 3, 2019 at 4:17pm
Question. If I choose to use the overdraft service, will Credence Global Bank still notify me to let me know that I had overdrawn my account?
Credence Global Bank on January 7, 2019 at 10:38am
Hi Jonah, you can create custom alerts to help you stay on top of balances, deposits, overdrafts, transactions and more.To view alerts and manage your alert preferences, log in to online banking, choose "More", and then select "Alerts."