How Much Can I Overdraft My Checking Account? Answered

How much you can overdraft your checking account will vary by bank or credit union and your account history. Below, we explain what you can expect when you overdraft and provide a list of overdraft policies at major banks and credit unions.

What Happens When You Overdraft?

When you make a transaction with insufficient funds, you’ll typically be charged an overdraft fee. For multiple overdrafts, separate fees are charged for each item that goes over your available balance. Bank overdraft fees vary but generally range from $25 to $40 per item.

Most banks or credit unions will allow overdraft transactions and cover the insufficient funds for the transaction. However, you’ll be required to pay back this overdraft amount plus any fees.

Can You Cash a Check If Your Account Is Overdrawn?

Most businesses use a check authentication system to assess the riskiness of your check. If they scan your check and the system shows a history of overdrafts or checks returned for insufficient funds, the business probably won’t take your check.

If a business does cash a check when your account is already overdrawn or if the check itself will overdraw your account, then the check will be returned. That means you’ll end up owing money for the value of the check to the business that cashed it, plus your bank might charge you an overdraft fee and the business might charge you a returned check fee.

Do Overdrafts Affect Credit?

Overdrafting your checking account won’t usually have an effect on your credit score. Overdrafts will only get reported to a credit bureau if the bank takes you to collections to recover the money you owe. This might happen if you leave your account overdrawn for a significant period of time — usually a few months — or if you rack up a lot of overdraft fees and don’t pay them. To make sure overdrafts don’t end up on your credit report, pay your fees, and get your checking account back in the green quickly.

How Can You Avoid Overdrafts?

The best way to avoid overdrafting your checking account is to keep track of the money you have available. However, even keeping careful track of your account balance doesn’t always work. For example, a check you deposited might not clear as soon as you expected or purchases made with checks or debit cards may not be reflected in your balance right away.

Fortunately, most banks and credit unions offer some type of overdraft protection program, which may include:

  • The option to not allow overdrafts, in which case your transaction will be declined if you don’t have enough funds in your account.
  • Linking another account, such as a savings account or credit card, to your primary account and allowing automatic transfers to cover insufficient funds. Fees are often associated with these transfers.
  • An overdraft line of credit, which automatically covers insufficient funds up to a certain amount. Overdraft lines of credit are similar to credit cards in that you’ll be charged interest, typically at a low rate, and any amount charged to the credit line must be paid back.

How Much Can You Overdraft?

Most banks cover the transaction when you overdraft. How much they’ll cover will depend on several factors, including whether you’ve overdrafted your account before and whether you have an overdraft protection plan linked to your account.

Banks don’t generally give a specific number or frequency of overdrafts at which they’ll stop covering transactions; this is usually determined on a case-by-case basis.

Bank and Credit Union Overdraft Policies and Fees

Almost all banks let you overdraft, but it’s best to check your own bank or credit union’s policy and if there is an opt-in or opt-out program for how to handle overdrafts. In some cases, you can connect your savings account to act as a backup, but some will still charge fees for the transfer.

Below we cover the overdraft policies and fees of major banks and credit unions. To find this information, we viewed the overdraft policies at each bank and credit union and spoke with customer service representatives to confirm details not covered online.

Axos Bank

  • Overdraft fees: Varies by account; Axos may charge an overdraft fee even if it declines the transaction
  • Overdraft limits: Maximum of four items per day; amount limits vary on a case-by-case basis unless you have a linked account or line of credit, in which case the amount limit will be the amount of available funds in the linked account or credit line
  • Available protection programs:
    • Overdraft line of credit: Allows you to link a line of credit (which accrues interest) to cover overdrafts.
    • Overdraft protection by linked accounts: Allows you to link another Axos account to cover overdrafts; transaction limits apply for savings and money market accounts.
  • Find out more (paid partner link)

Bank of America

  • Overdraft fees: $35 per item
  • Overdraft limits: Maximum of four items per day; if you have Overdraft Protection, Bank of America will not approve an amount higher than the available funds in your linked account
  • Available protection programs: Overdraft Protection allows you to link a second Bank of America account to your checking account to cover insufficient funds. Transfer fees may apply, depending on your account type.
  • Find out more

Bank of the West

  • Overdraft fees: $35 per item. If your account balance remains more than $15 negative, an extended overdraft fee of $30 is charged on the sixth day of the negative balance.
  • Overdraft limits: Maximum of four items per day; amount limit varies based on the amount of funds available in your linked overdraft protection account
  • Available protection programs:
    • Savings Overdraft Protection: Automatically transfers funds in $50 increments from an eligible savings or money market account to cover insufficient funds. Transfer fees are applied to each transaction.
    • Gold Line Account: Overdraft line of credit that automatically transfers funds in $50 increments to cover insufficient funds. Loan transfer fees are applied to each transaction.
  • Find out more

BB&T Bank

  • Overdraft fees: $36 per item. Overdraft fees are waived if your account balance is overdrawn by less than $5 at the close of the business day.
  • Overdraft limits: Vary according to account type and account history
  • Available protection programs:
    • Overdraft review: An opt-in program that automatically declines transactions that would overdraft your account
    • Overdraft protection: Link an eligible savings account or line of credit to your checking account to cover insufficient funds with automatic transfers. Fees of $9 per transfer are applied (but are waived for transfers less than $5).
  • Find out more

BBVA

  • Overdraft fees: $38 per item ($32 in California). Overdraft fees are waived if your account balance is overdrawn by less than $1 at the close of the business day.
  • Overdraft limits: No set limit, but you must opt-in to receive overdraft coverage; the bank does not guarantee that all overdraft attempts will be approved.
  • Available protection programs:
    • Courtesy overdraft option: The option to opt-in or out of overdraft protection; if you opt-out, BBVA will not approve any transactions that would overdraft your account
      Linked Account Overdraft Sweep Service: A program that links a BBVA savings, money market, or secondary checking account to cover overdrafts; there is a once-daily $12 fee for transactions
    • Overdraft protection line of credit: The option to link a line of credit (which accrues interest) to cover overdrafts; there is a once-daily $12 fee for transactions
  • Find out more (paid partner link)

BMO Harris Bank

  • Overdraft fees: $36 per item; fees waived if the account is overdrawn by less than $5 at the close of business day
  • Overdraft limits: Maximum of four items per day; amount limits vary at the bank’s discretion.
  • Available protection programs:
    • Overdraft funding: Link an eligible deposit account to your checking account to automatically transfer insufficient funds. Transfer fees are applied to each transaction.
    • Overdraft protection line of credit (interest rates and fees apply)
  • Find out more

Chartway Federal Credit Union

  • Overdraft fees: $30 per item. Fees will be waived if your account is overdrafted by less than $10.
  • Overdraft limits: No limit on the number of items per day; amount limits vary up to $750 depending on your account history
  • Available protection programs:
    • Overdraft link to savings or another eligible Chartway account to cover insufficient funds ($6 fee per transfer)
    • Overdraft line of credit (interest rates apply)
  • Find out more

Chase Bank

  • Overdraft fees: $34 per item. Fees are waived if your account is overdrafted by less than $5.
  • Overdraft limits: Maximum of three items per day; no set amount limit
  • Available protection programs: Overdraft Protection allows you to link to your Chase savings account to automatically cover insufficient funds. Transfer fees are applied for each transaction.
  • Find out more

CIT Bank

  • Overdraft fees: $30 per item, but none for ATM transactions. Fees are waived if your account is overdrafted by less than $5.
  • Overdraft limits: Maximum of four items per day; amount limit varies depending on the funds available in the linked account
  • Available protection programs: Overdraft protection allows you to link a CIT Savings or Money Market account to cover overdrafts; CIT does not charge fees for these transactions
  • Find out more (paid partner link)

Citibank

  • Overdraft fees: $34 per item
  • Overdraft limits: Maximum of four items per day; no set amount limit
  • Available protection programs:
    • Safety Check: Transfer funds from savings account to checking account to cover insufficient funds ($10 fee per transfer)
    • Checking Plus: Variable line of credit to cover insufficient funds ($10 fee per transfer)
  • Find out more

Citizens Bank

  • Overdraft fees: $37 per item; additional fee of $30 if account remains overdrawn for five consecutive business days; you will be charged an additional $30 after eight days and 11 days (for a maximum fee of $90 total).
  • Overdraft limits: Vary by account
  • Available protection programs: Savings Overdraft Transfer and Overdraft Line of Credit options available; both have a $12 transfer fee
  • Find out more

Connexus Credit Union

  • Overdraft fees: $29.95 per item
  • Overdraft limits: Maximum overdraft amount of $300, not including fees
  • Available protection programs:
    • Standard accounts automatically transfer funds from savings to checking to cover insufficient balance ($8.95 transfer fee applies)
    • Overdraft Protection Line of Credit
  • Find out more

Fifth Third Bank

  • Overdraft fees: $37 per item. Fees are waived if the account is overdrafted by less than $5.
  • Overdraft limits: Maximum of five items per day; amount limit varies on a case-by-case basis
  • Available protection programs:
    • Standard accounts do not allow overdrafts; transactions are declined when there are insufficient funds. Fifth Third customers can opt-in to overdraft coverage to enable overdrafts, which are charged the standard fee of $37 per item.
    • Overdraft protection: Link a Fifth Third savings account to your checking account to automatically cover insufficient funds. A per-transfer fee of $12 is applied.
  • Find out more

First National Bank

  • Overdraft fees: $28 per item. Fees will be waived if the account is overdrawn by less than $20.
  • Overdraft limits: Maximum of four items per day; amount limit of up to $800 depending on your account history
  • Available protection programs:
    • Link to savings account for the automatic transfer of insufficient funds ($5 fee per transfer)
    • Reserve line of credit
  • Find out more

HSBC

  • Overdraft fees: Overdraft transactions are not processed unless you’re enrolled in the Select Credit overdraft protection program. For non-Select Credit customers, all transactions with insufficient funds are declined.
  • Overdraft limits: Maximum of $10 per day for Select Credit customers
  • Available protection programs: Select Credit is a revolving line of credit for overdraft protection.
  • Find out more

KeyBank

  • Overdraft fees: $39 per item
  • Overdraft limits: Maximum of four items per day or 20 items per month; no set amount limit
  • Available protection programs:
    • Overdraft service: KeyBank customers can choose to opt out of overdraft and instead have transactions declined when there are insufficient funds
    • Link your checking account to a qualifying KeyBank account to cover insufficient funds, including savings, credit card, line of credit, and home equity line of credit accounts
  • Find out more

M&T Bank

  • Overdraft fees: $38.50 per item. Fees waived if the account is overdrawn by less than $5.
  • Overdraft limits: Maximum of five items per day; no set amount limit
  • Available protection programs:
    • Link to your M&T savings account or Visa credit card to automatically transfer the difference when you have insufficient funds. Transfer fees of $12.50 apply; limit of no more than one transfer fee per day
    • Overdraft line of credit. $12.50 transfer fee plus standard interest rates apply.
  • Find out more

Navy Federal Credit Union

  • Overdraft fees: $20 per item. Fees waived on transactions less than $5, or if the total amount overdrawn at the end of the business day is less than $15.
  • Overdraft limits: Maximum of three items per day, not to exceed $500 in overdrafts, including fees
  • Available protection programs:
    • Savings transfer: Transfer funds from savings to checking to cover insufficient balance at no additional charge; limited to six uses per month
    • Checking line of credit (interest rates apply)
  • Find out more

PenFed Credit Union

  • Overdraft fees: $30 per item
  • Overdraft limits: No limit
  • Available protection programs: Overdraft Line of Credit
  • Find out more

PNC Bank

  • Overdraft fees: $36 per item, with additional fees of $7 per day (for up to 5 days) each day your account remains negative
  • Overdraft limits: Maximum of four items per day; no set amount limit
  • Available protection programs:
    • You can choose to opt out of overdraft coverage and instead have insufficient fund transactions declined
    • Link a qualifying account (savings, money market, credit card, or personal line of credit) to your checking account for automatic transfers to cover insufficient funds
  • Find out more

Regions Bank

  • Overdraft fees: $36 per item
  • Overdraft limits: Maximum of six items per day; no set amount limit
  • Available protection programs: Overdraft Protection transfers funds from a linked qualifying account (savings, money market, credit card, or line of credit) to cover insufficient funds. A daily transfer fee of up to $15 is charged.
  • Find out more

SunTrust Bank

  • Overdraft fees: $36 per item. Fees waived on items less than $5.
  • Overdraft limits: Maximum of six items per day; no set amount limit
  • Available protection programs: Overdraft Protection transfers funds from a linked qualifying account (savings, money market, credit card, or line of credit) to cover insufficient funds. A daily fee of $12.50 is applied. This fee is waived if you deposit funds in your checking account to cover the overdraft by the end of the business day.
  • Find out more

TD Bank

  • Overdraft fees: $35 per item. Fees waived if the account is overdrawn by $5 or less.
  • Overdraft limits: Maximum of five items per day; no set amount limit
  • Available protection programs: Savings Overdraft Protection links your savings or money market account to your checking account to cover insufficient funds. A daily transfer fee of $10 applies.
  • Find out more

U.S. Bank

  • Overdraft fees: $36 per item
  • Overdraft limits: Maximum of four items per day; no set amount limit
  • Available protection programs: Overdraft Protection links a backup account (savings, money market, credit card, line of credit) to your checking account to cover insufficient fund transactions. Daily transfer fees apply: $12.50 for standard accounts, $7.50 for Gold Checking accounts, and free for Platinum Checking accounts.
  • Find out more

Wells Fargo

  • Overdraft fees: $35 per item
  • Overdraft limits: Maximum of four items per day; no set amount limit
  • Available protection programs:
    • Wells Fargo customers can opt out of overdraft coverage for debit cards, so transactions are declined rather than processed and charged overdraft fees
    • Overdraft protection: Link up to two qualifying accounts (savings, money market, credit card, line of credit) to your checking account as backup funding sources. Daily transfer fees vary according to backup account type.
  • Find out more

In Summary

How much you can overdraw varies according to your bank or credit union’s policies and your account history. Banks are more lenient in allowing overdrafts for customers who do not overdraft frequently and pay back the insufficient funds quickly. You can also sign up for overdraft protection programs your bank or credit union may offer to help you avoid hefty overdraft fees and high amounts of returned transactions.
For more on banking services, see our research on how much you can withdraw from an ATM.

179 comments

    • Laura Bachmann says:
      First Quarter Finance logostaff

      Hi Wilson,

      BOA states that “Although Bank of America is not obligated to pay an item if your account is overdrawn, the bank may pay these items as a courtesy to you.” Whether they choose to pay for your, and how much they are willing to pay, will depend on your personal banking history with BOA. Factors will include how long you’ve been with BOA, how much you have overdrafted in the past and how long you left your account without funds, etc. Overdraft limits also depend on what kind of account you have. For example, Core Checking doesn’t come with overdraft protection, but Interest checking does. For the Core Checking, you have two overdraft options. You can opt to have payments go through even though they overdraft your account, and you will be charged the $35 overdraft fee. Or, you can choose to have payments automatically not go through if they overdraft your account, in which case you wouldn’t incur overdraft fees. So, in some cases at BOA, you won’t even be able to overdraft your account at all. You should check the specific information about your account type and what overdraft option you have selected, if applicable. If you don’t know these account details and need to contact BOA, here’s their contact page.

  • I overdrafted my Armed Forces Bank account by $1200. I have not seen it on my credit report. Do they report it on my credit report. That was early last year.

    • Rebecca Turley says:
      First Quarter Finance logostaff

      Hi Cherise,

      Provided you brought your account up to a positive balance in a reasonable amount of time, overdrafts are not reported to the credit bureaus.

  • Stressed. says:

    Hi, do you know the limit to wells Fargo overdraft checking account? I need $1000. Asap. Can I write a check if I only have $200 in my account? Being I am a new customer.

    • Laura Bachmann says:
      First Quarter Finance logostaff

      Hi Stressed,

      It’s never a good idea to overdraft your checking account. Not only will you get charged an overdraft fee in most cases, but the overdraft will be on your records, and stores might refuse to accept checks from you in the future. Because you’re a new customer, you also don’t have the benefit of having a good check writing history with the bank, so they will be unlikely to allow your check to go through. The overdraft fee on Wells Fargo Everyday Checking is $35. You can read more about their fees here.

  • Stressed. says:

    Hi, do you know the limit to wells Fargo overdraft checking account? I need $1000. Asap. Can I write a check if I only have $200 in my account?

  • I bank withh us bank i have to pay my rent but i only have $1,000 in my account if i write a check for $2,250 will it go thru?

    • Laura Bachmann says:
      First Quarter Finance logostaff

      Hi Chio,

      The answer is almost certainly no. Writing that check for $2,250 when you only have $1,000 in your account is not a good idea. The $1,250 short fall is much higher than typical overdraft limits. Often, a bank will guarantee up to a certain amount that if you overdraft your account, they will temporarily cover you. Some banks also use a “reserve line of credit” to accomplish this purpose. $500 is a typical amount, and $1,000 is the upper limit of whats normal. Over draft fees are often high — they average $27 — so its not worth risking the over draft fee. If you have a good history with US bank, you might be able to ask them to waive the overdraft fee, but I would recommend calling them ahead of time to see what they would do, rather than risking it.

  • If I sign up at well Fargo today with 25-100 would I be able to overdraft immediately until I get paid next Thursday???

    • Rebecca Turley says:
      First Quarter Finance logostaff

      Hi Rob,

      While I can’t say with certainty whether you would be allowed to overdraft your account or not, as a number of factors would be considered by Wells Fargo, chances are that a new customer without a banking history with Wells Fargo would prevent you from overdrawing your account so soon after opening it.

  • If I have 1000 dollars in the bank, and I go to overdraft 500 2 days before payday, from chase, in order to buy a car, would they allow that? I’m hoping so because the car place can’t hold the car in looking at for very much longer.

    • Rebecca Turley says:
      First Quarter Finance logostaff

      Hi Ryan,

      Because overdraft rules are different from customer to customer, it’s hard to say whether Chase would allow you to overdraft that much. Many times, banks will allow established customers with good banking histories to overdraw, but again, it really varies from one bank to the next and certainly from one customer to the next.

    • Sarah Quinn says:
      First Quarter Finance logostaff

      Tina,

      Unfortunately, due to the volume of comments that we receive, we’re not able to help with specific, individual requests. Since the amount that you can overdraft (and whether or not you can overdraft at all) can vary by account, we recommend that you contact Region directly to learn more about overdraft policies for your specific account. I hope this helps!

  • I bank with BOFA. I just went inside of the branch and withdrew $380 which left my account having $46. I then went to the ATM and attempted to withdraw another $380 as I need a total of $760. When is the soonest I would be able to overdraft with it being Friday? Trying to get it for rent.

    • Sarah Quinn says:
      First Quarter Finance logostaff

      Brown,

      Unfortunately, due to the volume of comments that we receive, we’re not able to help with specific, individual requests. I recommend contacting your local branch to find out more about how overdrafts work with your specific account; the answer may depend on how long your account has been open, how often you’ve overdrafted in the past, whether or not your account allows additional overdrafts at all, and so on. I hope this helps!

  • Please help me, I overdrafted my high school debit card account about 300$ and I cant get it up for awhile, do you guys think theres any way to get this removed, if not what will happen!?!? I can not pay that back, Im just in high school 🙁

    • Sarah Quinn says:
      First Quarter Finance logostaff

      Kian,

      Penalties and fees for over drafting a bank account can vary significantly depending on who you’re banking with, how long your account has been open, whether or not you have overdraft protection on your account, how many times (and how much) you’ve over drafted your account before, and so on. While we receive too high a volume of comments to help with specific, individual requests, I definitely recommend calling your bank’s customer service department and discussing your account with them. They’ll be able to help you understand what fees or penalties have already been applied and what fees or penalties may be applied if your account remains in this state for some period of time. I hope this helps!

        • Sarah Quinn says:
          First Quarter Finance logostaff

          Kian,

          You’ll want to speak to a representative of your bank to learn what penalties you could face for leaving your account overdrawn. Your account will likely be frozen and eventually closed. Your credit score will almost certainly be impacted negatively; bank accounts that are closed with negative balances are often reported to credit agencies and show up on your credit report as unpaid debts. These accounts negatively impact your credit score and remain on your report for up to seven years.

  • If I opt in with citizens, I have ability to overdraft. I’ve never over drafted before; but have also only had accout for short period of time. I have 140 in my checking and need to get 600 or so to pay rent. But I do not have debit card due to the fact it was misplaced. Could I simply write a check to cash to roommate to immediately go cash or would it be rejected? If other option is better than writing a check into overdraft please let me know.

  • I am with bank plus and I was wondering will they let me overdraft with $5 in my account?

  • I am with Bank Plus and I have like $5 in my account will they let me overdraft on $400-600?

  • Sylvia Jay says:

    Hello.I over drafted my account $2000 while shopping on Amazon..I bank with PNC.. I live in Pennsylvania..Will charges be pressed against me if I do not Pay? I would like to maybe try sending some items back but most would go on a gift card..Also I’m not working right now but could probably pay $50 a month.

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Sylvia,

      While specific laws vary by state, it is technically possible to face criminal charges and even jail time because of an overdrawn account. However, this is very rare, and generally charges are only pressed in cases of fraud. However, it is likely that you’ll face extensive fees imposed by your bank, and if the overdraft isn’t repaid promptly, it’s possible that your information will be turned over to a collection agency, which can adversely affect your credit score. I would recommend contacting your bank right away to see what your options are and whether the bank would be willing to work out a repayment plan. Best of luck getting this resolved!

  • I bank with Bank of America. Every month, I get a payment of a certain amount. But I need to make a payment before the transfer comes through each month. Up until this January 2017, Ive been able to withdraw funds at the ATM even though it overdrafts my account. This is the one and only time each month I overdraw the account, but it remains in the negative again until the next transfer the next month. Then I overdraw it again. Each month I am willing to take the overdraft fee in order to have the funds I need. However, starting this month, January 2017, I am receiving a different message at the ATM that I hadn’t received before — that I don’t have enough funds in the account to withdraw that much. It used to give me a warning that I didn’t have enough funds but that I could overdraft and there would be a fee. Then I just accepted that option. The ATM no longer gives me that option. What’s happened? I’ve been without funds for quite a while now and won’t get any more in my account until next month. Why it doesn’t give me the option to overdraw anymore and what can I do to overdraw anyway? (I need to overdraw more than the fast cash option allows.)

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi M,

      I wasn’t able to find anything that would indicate that Bank of America changed their overall policies, but it may be that something changed relative to your account. The Bank of America Overdraft Services page states: “We may give you the opportunity to agree to our ATM overdraft services for a specific ATM withdrawal that exceeds your current available balance and if you agree, we authorize and pay that ATM withdrawal.” Because Bank of America only states that the option to overdraft at an ATM may be offered, the bank could have determined for some reason not to permit this type of overdraft on your account anymore. Banks typically look at things like account history, the amount of the withdrawal, and whether the account is receiving regular deposits when determining whether to allow an overdraft. Unfortunately, if the bank has restricted the overdraft abilities on your account, there’s very little that you’ll be able to do to access funds that aren’t currently available. The best option would likely be reaching out to a Bank of America representative directly to see if the settings on your account have changed. You can reach a Bank of America representative by calling 800.432.1000, Mon. – Fri. 7 a.m. – 10 p.m. ET and Sat. – Sun. 8 a.m. – 5 p.m. ET, or by visiting your local branch. Best of luck getting this resolved!

  • Let’s say I have hypothetically over-drafted my account in 2016 for a total of $4,995.00 in OD fees and $385.00 in NSF Fees (Not hypothetical btw, this is the exact amount TD Bank made off me). Besides needing Jesus in my life, a Jesus that happens to be a CFP and managing my finances obviously much better (I’m not denying fault)….is there anyway to get some of this money back? Seems a little bit excessive even being at fault no? To top it off TD Bank will gladly let me OD my account by $1500 dollars every time it goes negative, but will not approve me for a for a $1000 or even $500 Moneyline Overdraft Protection LOC due to my credit, which would cost me pennies if I overdrew my account verse their fees. I obviously always bring my account up to par and they have made plenty of money on me elsewhere. Do I have a play here in asking for a chunk of this back? I can guarantee majority of the $35 fees went towards something like a $7 charge. Some additional notes this is my only bank account, it is not for business strictly personal, and I ran through more than $475,000 in direct deposits to this account in 2016. I’m not one to complain much nor have I found anything on any kind of yearly maximum or what qualifies as excessive….but when I looked at the year tally today have to admit I was a bit chapped about it. Mainly due to the fact that they won’t offer me a $1k OD LOC when I run $40k a month in deposits through the account. Honestly felt like they would have cut me off at some point too….but nope. Apologize if it sounds like I am venting right now, becasue that is exactly what I am doing. Thanks! 🙂

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi MK,

      That does sound like quite an annoyance, that TD Bank is so happy to charge overdraft fees but not provide a means to avoid getting overdrawn. Technically, TD Bank is able to charge up to a maximum of 5 individual overdraft fees per day, and a fee can be charged for any transaction that puts the account more than $5 in the negative. There are no federal limits on how much a bank can charge in overdraft fees. Generally speaking, banks are sometimes willing to waive overdraft fees for account holders who rarely overdraw their account — but because there’s a history of overdrafts on your account, it’s fairly unlikely that TD Bank will be willing to waive any of the fees. It could be worth looking at the history of the charges and verifying that no more than 5 fees were charged per day, and, since you mentioned that many of the charges were small, you can also verify that your account was always overdrawn by more than $5 when the fee was assessed. If the account was overdrawn by less than $5, or if more than 5 fees were charged in a single day, you should be able to contest those charges and get some of your money back. Best of luck!

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Ben,

      The Regions Bank website states the following about approving overdrafts: “We typically do not pay overdrafts if your account is not in good standing, you are not making regular deposits, or you have too many overdrafts.” Based on this statement, it seems that Regions will be unlikely to allow another overdraft while your account is still in the negative. Sorry I couldn’t bring you better news!

  • i already have overdrawn my account and charge an overdraft fee which was decline for a reverse will they charge me another if i make another purchase

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Ceasar,

      If you make another purchase that puts your account into the negative again (or pushes it further into the negative), you will generally be charged another NSF fee. Most banks charge an NSF fee for each individual transaction that is not covered by funds in the account, up to a maximum of 4 or 5 NSF fees per day (or more at some banks; policies vary with each institution).

  • Hi,
    I used my Chase debit card (checking account) for overdraft the last two months. Each months I done two small overdraft from $20 to $40 and paid the overdraft fees off within a month. Right now needed cash to put my phone on and could not overdraft this month.

    I had cash in both checking and saving accounts while trying for an overdraft and nothing happen. I transferred money from my saving account and spent it. Both my accounts are empty apart from checking account got nine cent left in it. Can I still attempt to for an overdraft or do I have to wait a few days from when I last used the overdraft last month early in December 2016

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi C.A.,

      It sounds like you already have Chase Debit Card Coverage (which is an opt-in program, not a default setting). This program allows for Chase to approve overdrafts at its discretion if there is not enough money in either your checking account or your linked savings account. In your case, you can attempt to overdraft again; either Chase will decline the transaction and you will not be charged an NSF fee, or Chase will approve the transaction and apply a NSF fee ($34 per transaction). Chase may or may not approve the overdraft when you attempt it again. You can read more about the available Chase overdraft services on this infographic (page 3 has a helpful chart that’s relevant to your situation). I hope this helps!

  • Laffytaffy says:

    I’m with crescom bank,I’m in the negative 166.00.If I deposit money to clear it up will I be able to overdraft afterwards if needed

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi,

      According to CresCom Bank’s terms and conditions, “…you can NOT rely on us to pay overdrafts on your account regardless of how frequently or under what circumstances we have paid overdrafts on your account in the past. We can change our practice of paying overdrafts on your account without notice to you.” In short, even though the bank allowed a previous overdraft, that does not mean that another overdraft will be approved, regardless of how similar the situation is to the first overdraft that went through. You may be able to overdraft again, or you may not — unfortunately, there’s not really a surefire way to know for sure, so I wouldn’t necessarily rely on it.

  • OK, say I did over draw my checking account by 2000 bucks and was depositing money into the account until it was all paid back. Will that be OK? Plus this was done over a period of 2 months.

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Sally,

      It’s really up to the bank’s policies and the laws of your state as far as whether any legal action can, or will, be taken. If the bank sees that you are making regular deposits in the account, it’s likely that you won’t face any legal recourse (but do expect to see extended overdraft fees pushing your account further into the negative between deposits; these fees typically kick in after five business days of the account being overdrawn). But as long as you’re making payments on the money owed, you should be in the clear — just try to pay it back as quickly as possible to avoid further fees and potentially having your information turned over to a collection agency. If you have any specific questions, you can always ask a representative of your bank to provide details for your particular situation. I hope this helps and best of luck!

  • Can I go to jail for over drafting my account on purpose? I plan to overdraft bout $2000. I really need the money.

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Sally,

      Typically, there aren’t any legal consequences for overdrawing your account — but it is possible to face criminal charges and even jail time in certain cases. The laws for this vary widely by state, but overdrafts over $1,500 are more likely to incur prosecution. However, depending on how you plan to do so, you may not be able to overdraft $2,000 in the first place. Most accounts have an overdraft limit of $100 to $1,000, and depending on your bank and your financial history, you may not be able to overdraft at all. Because of this, it’s best to avoid relying on overdrawing your account for emergency funds in any amount — particularly for such a large sum.

  • Hi guys .. I applied for a loan to buy a house does or will a withdrawal from casino ATM effect my mortgage loan application do u guys think they will reject or refuse me for not getting a loan .. please help me and tell me what to do thanks

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi James,

      A financial institution will consider a wide variety of factors when reviewing your mortgage loan application, but a withdrawal from a specific location or a particular overdraft is not likely to affect your application. The bank will review your financial history, but unless there is a pattern that indicates irresponsible gambling or some other notable problem, a visit to a casino ATM is not likely to have an impact. (For example, Las Vegas is an extremely common place for business conventions — there’s nothing suspicious about accessing your own money while you’re in town for a business trip.) In short, no, a withdrawal from a casino ATM will generally not affect your mortgage loan application. Best of luck with your application!

  • Yestryday I withdraw 100$ because my accountsaid it had 110$ still so Now this morning my account days -92.00 and I’m wondering if I can pay that next week I get paid weekly and I need the money

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Dia,

      Some banks will charge extended overdraft fees, which generally range between $15 – $35, and usually apply after five consecutive business days of the account being overdrawn. Your bank’s website should offer more details about fees that you may incur (try searching “extended overdraft [your bank name]” in Google — that should help you find the overdraft fee schedule). If you make any other charges to the account, or if any pending transactions post while the account is overdrawn, you may be charged additional NSF fees. However, the bank will typically not take legal action (i.e. turning your information over to a collection agency) unless the account remains overdrawn for more than a month. In short, if you don’t make any further purchases on the account and pay back the overdraft as quickly as possible, you should be in the clear (at the risk of a roughly $30 additional fee). I hope this helps!

  • Im trying to overdraft .. i have the servise but the payment it doesn’t come through how can i make it go thrugh?

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Amaimah,

      Unfortunately, it’s really up to your bank’s discretion whether or not to allow an overdraft. A bank can decide to reject some or all overdrafts on a certain account based on a number of factors, including account age, account type, and financial history of the account holder. In some cases, such as with Bank of America, you may need to opt in to a specific setting on your account so that overdrafts are allowed. A representative of your bank will be able to tell you if there are multiple overdraft options available to you. However, if your account is already set to allow overdrafts but the bank is still rejecting attempted overdrafts, there isn’t much you can do except to wait until you have the funds available to make the withdrawal or payment. I hope this helps!

  • Hi I tried submitting a comment but I think there was an error so sorry if it posts twice. So there was this expensive TV I really wanted and was a thousand off for just black Friday. So just for kicks I used my PayPal card and even if I don’t have enough money on my pay pal card it uses my checking account as a backup payment, it always seems to go through, I didn’t think it would this time due to the high price of the purchase but PayPal processed the payment and two days later my checking account was put into negative 1900$ I had it paid off in a week, but how does this effect my relationship with my bank? I bank with a local credit union. I was very surprised that it went through. How did this happen? Are they obligated to let the purchase go through because PayPal approved it? Because after PayPal approved it the tv was shipped before my checking account was even charged. I know this was a very unwise decision but luckily I paid it all back quickly. I was just wondering how this happened and how my relationship with my bank is effected. Thank you

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Keith,

      I apologize about the trouble you had posting your comment! We are investigating this error and we’re working hard to resolve any site issues.

      It seems that PayPal doesn’t charge any overdraft fees and will allow your account to go into the negative if sufficient funds aren’t available to cover a transaction. But since you had a checking account linked to your PayPal account, PayPal didn’t verify that the funds were in that linked account before approving the transaction. Since your bank also allows overdrafts, both financial institutions approved the purchase for your TV. Even though the purchase didn’t post to your account until two days later, it’s possible that the bank approved it as soon as the transaction was run, which may explain why the TV shipped before you saw the charge on your checking account. As far as how this will affect your relationship with your bank, in short, it shouldn’t. Because the overdraft was paid back promptly, there will probably not be any further aftereffects from the transaction (although it’s possible that the bank may decline another large overdraft if you try to do something similar in the future; most banks take overdraft history into consideration when determining whether an overdraft will be approved). If you have any further doubts, you can always contact your credit union directly for additional information. I hope this helps!

  • If I overdraft my account on purpose by $4000.00 will I be in trouble with the law?

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Simone,

      In most cases, a bank won’t allow you to overdraft your account by $4,000 in the first place; typically overdraft limits are set somewhere between $100 and $1,000. Overdrawing your account is unlikely to lead to legal trouble, assuming that you pay it back quickly (and, obviously, assuming the account is yours and there was no fraudulent activity involved in getting the overdraft). However, if your account remains overdrawn for a long period of time, banks may give your information to collection agencies to pursue reimbursement, which can impact your credit history. These consequences are generally financial rather than legal.

  • I bank with BBVA Compass. If I dont have direct deposit set up can I still overdraft my checking account if I opt in for the courtesy overdraft protection?

    • Hillary M. Miller says:
      First Quarter Finance logostaff

      Hi Yvette,

      According to the BBVA Compass FAQs page, you are welcome to opt in to the Courtesy Overdraft Protection program at any time by phone (1-800-266-7277), through BBVA Compass Online Banking, or at a local BBVA branch, regardless of whether you have direct deposit. However, even if you opt in to the program, keep in mind that it is still up to the bank’s discretion whether or not to allow an overdraft. If BBVA does allow a transaction that incurs an overdraft, the bank will charge an NSF (“Paid Item”) fee of $38 (or $32 in California).