Member Privilege
Overdraft Protection Program
At times, unanticipated expenses or unforeseen problems can leave you with too little cash in your checking account. Having a check returned due to insufficient funds can be costly, inconvenient, and potentially be an embarrassing experience.
At TEFCU, we do not encourage overdrafts. As always, we encourage you to manage your finances responsibly. However, we want to save you from the additional merchant fees and possible damage to your credit history that might result if a check is returned. That's why we provide Member Privilege, a special overdraft service for TEFCU members.
How does Member Privilege work?
As long as you maintain your account in good standing, TEFCU may approve your overdrafts within your current available Member Privilege limit. Whether your overdraft will be paid is discretionary and we reserve the right not to pay. For example, we typically do not pay overdrafts if your account is not in good standing.
What does Member Privilege cost?
There is no additional cost associated with this privilege unless you use it. You will be charged our Over Draft Privilege (ODP) fee of $25 for each overdrawn item created. For example, three paid items in one day will result in $75 in ODP Fees. To help you manage your account, the total fees you have paid for items (both paid and returned) during the current month and for the year-to-date will be reflected on your monthly checking statement.
What is my Member Privilege limit?
Each TEFCU share draft checking account has a limit of $300. If you have multiple accounts for your household, you may have a limit on all eligible accounts.
What if I go beyond my Member Privilege limit?
Over drafts above and beyond your established Member Privilege limit may result in a check or checks being returned to the payee. The NSF Fee of $25 will be charged per item and assessed to your account.
How quickly must I repay my Member Privilege?
You should make every attempt to bring your account to a positive end-of-day balance as soon as possible, and must do so within 30 days. If you are not able to bring your account to a positive end-of-day balance within 30 days, you will receive a letter from TEFCU informing you of the situation and your options.
How do I learn more about Member Privilege?
When you open a checking account, we will provide you with the Member Privilege Overdraft Policy. This policy details the program and your rights under the program. If you need additional information please give one of our Member Services Representative a call at (202) 832-5100.