LorMet is always looking for ways to better serve our members, and we think that Overdraft Privilege does just that, adding value and convenience to eligible LorMet Community Federal Credit Union checking accounts.

If you have ever made a mistake in your checking account, or written a check for more money than the available balance in the account, you are aware of the expenses and problems associated with accidental overdrafts.  Overdraft Privilege may help to avoid these situations.

Rather than returning unpaid, any non-sufficient fund items that you may have, we will consider, without obligation on our part, payment of your reasonable overdrafts up to your assigned limit, including non-sufficient funds or overdraft charges, as long as you maintain your account in good standing.

Our normal non-sufficient funds or overdraft charge ($25.00) will apply to each item that would create an overdraft on your account.  We will send you a notice each time an overdraft occurs.   This discretionary Overdraft Privilege requires no action on your part.  You do not have to sign any additional documents.  It costs you nothing unless you use the Overdraft Privilege Service by initiating an overdraft.

Each NSF transaction initiated for payment against your checking account may be approved/paid by us against and up to your assigned Overdraft Privilege limit (including our fees), include the following eligible transaction types, without limitation:  Checks, ACH, Internet/Online transactions (bill payment), telephone and other electronic transactions.

Of course, we can't promise to pay every overdraft and we are not obligated to pay your overdrafts, even if your account is in good standing or have previously paid overdrafts for you.  RESTRICTIONS DO APPLY.  For more information, please visit one of our convenient branch locations or call a Member Service Representative at 440-277-8265.

Overdraft Privilege is another great service, and another great reason for being a member of LorMet Community Federal Credit Union. 

We appreciate your business and having you as a member is very important to us.

OVERDRAFT PRIVILEGE (ODP) POLICY

It is the policy of LorMet Community FCU (the credit union, “we”, “us”, or “our”) to comply with applicable laws and regulations, and to conduct business in accordance with applicable safety and soundness standards. 

A non-sufficient funds (negative) balance may result from: A) The payment of checks, electronic funds transfers, or other withdrawal requests; B) Payments authorized by you; C) The return, unpaid, of items deposited by you; D) Our Fees/Charges; E) The deposit of items which according to our Funds Availability Policy, are treated as not yet “available” or finally paid.

We are not obligated to pay any item presented for payment if your account does not contain sufficient collected funds.  Rather than automatically returning, unpaid, all non-sufficient funds items that you may have, if your “eligible account” has been open at least ninety (90) days and thereafter you maintain your account in good standing, which includes at least: A) Continuing to make deposits consistent with your past practices, and depositing at least $500.00 or more in your account within each thirty (30) day period, B) You are not default on any loan obligation to us, C) You bring your account to a positive balance (not overdrawn) at least once every thirty (30) days (we reserve the right to require you to pay your outstanding overdraft balance, including our fees, immediately on demand), and D) Your account is not the subject of any legal or administrative order or levy, such as bankruptcy or a tax lien, we will consider, without obligation on our part, approving your reasonable overdrafts; as a purely discretionary overdraft “privilege” or “courtesy”.  This discretionary service will generally be limited to a $400 overdraft (negative) balance for Free Checking accounts and a higher overdraft (negative) balance for other eligible personal checking accounts upon request (subject to approval).  Of course any and all fees and charges, including without limitation our non-sufficient funds (NSF)/overdraft (OD) fees, currently $25.00 (as set forth in our fee schedule) will be included in this limit and will apply to each transaction that may overdraw your account (see “ELIGIBLE ACCOUNT AND TRANSACTION TYPES”).

Typically, we will charge our normal NSF/OD Fee whether we approve an overdraft item for payment or return it unpaid.  Our NSF/OD fees will be included in and count against your assigned ODP Limit of $400.00.  Whether your overdrafts will be paid or not is our sole discretion and we reserve the right not to pay.  For example, we typically do not pay overdrafts if your account is not in good standing as described above, or if you have too many overdrafts.  We may refuse to pay an overdraft for you at any time, even though your account is in good standing and even though we may have previously paid overdrafts for you.  You will be notified by mail of any non-sufficient funds item paid or returned that you may have; however, we have no obligation to notify you before we pay or return any item.  The amount of any overdraft plus our NSF and/or OD Charge(s) that you owe us shall be due and payable upon demand.

If there is an overdraft paid by us on an account with more than one (1) owner on the signature card, each owner, and agent if applicable, drawing/presenting the item creating the overdraft, shall be jointly and severally liable for such overdrafts plus our Non-Sufficient Funds and/or Overdraft (NSF/OD) Charge(s).

LIMITATIONS:  Savings Type Accounts, Public Fund/Charitable Organization Accounts, Student Minor Accounts, and Other Minor Accounts (not of legal age) are NOT eligible.  We may limit the number of accounts eligible for Overdraft Privilege Service to one account per household and/or one account per tax payer ID.

ELIGIBLE ACCOUNT TYPES:  The account types that is eligible for the Overdraft Privilege Service is Free Checking.

ELIGIBLE TRANSACTION TYPES:  Each NSF transaction initiated for payment against your checking account(s) may be approved/paid by us against and up to your assigned Overdraft Privilege Limit, including our fees include the following eligible transaction types, without limitation:  Checks, ACH, Internet/Online transactions (bill payment), telephone and other electronic transactions.

OVERDRAFT PROTECTION SERVICES:  We offer overdraft transfer protection and will first transfer funds against your designated share savings account.  If this occurs, you will save money on the fees you pay us for overdraft privilege.

MEMBER OPT-OUT:  You may choose at any time to not participate in our Overdraft Privilege Service by requesting and “Opt-Out form” from one of our member service representatives, who will explain what this (Opt-Out) means, and the potential consequences, for you.  You will be automatically enrolled in Overdraft Privilege Service until we receive the signed Opt-Out form at any of our branch locations.

IF YOU NEED HELP:  Of course, overdrafts should not be used to pay ordinary or routine expenses and you should not rely on overdrafts as a means to cover these expenses.  We encourage you to make careful records and practice good account management.  If at any time you feel you need help with your financial obligations, please contact a member service representative at (440) 277-8265.

ALWAYS A DISCRETIONARY SERVICE:  Our Overdraft Privilege Service does not constitute an actual or implied agreement between you and us.  Nor does it constitute an actual or implied obligation of ours or by us.  This service represents a purely discretionary courtesy or privilege that we may provide to you from time to time and which may be withdrawn or withheld by us at any time without prior notice or reason or cause. 

Overdraft Privilege Service is registered trademark of Strunk & Associates, L.P.  All rights reserved.