Overdraft Protection

An overdraft occurs when you do not have enough money available in your account to cover a transaction, but we pay it anyway. When you have enough money in your account to cover a transaction is based on your available balance.  See your accounts Terms and Conditions to learn how the available balance works.

We have two options to cover your overdrafts:

  • Overdraft Protection Plans allow automatic transfers from your Saving(s) and Credit Card accounts for a fee of $10.00 per transfer*, which may be less expensive than our standard overdraft practices. Overdraft protection can be set up at any time.  Please contact us as 616.532.9067 to verify your current set ups for overdraft protection, or to set up Overdraft protection for your account.

Please note that the transfer from a deposit account and/or an advance from credit card will process before the standard or Extended Overdraft protection. A $10.00* fee per Overdraft Protection transfer will apply.

Standard Overdraft Protection


Standard Overdraft Protection allows qualified members who are at least 18 years old and have been a member for at least 90 days to overdraw their accounts up to $500 which is automatically added to the account. There is a $35.00 fee each time we pay an overdraft, capped. Standard Protection allows us to authorize and pay overdrafts for the following types of transactions:

  • Checks and other transactions made using a checking account number
  • Automatic bill payments/ACH

Extended Overdraft Protection

For added protection members can authorize and pay overdrafts on their ATM and everyday debit card transactions; to do so, they must opt in to Extended Overdraft protection.

  • Extended Overdraft protection allows qualified opted in members who are at least 18 years old and has had their account for at least 90 days to overdraw their accounts. There is a $35.00 fee each time we pay an overdraft. Extended Overdraft protection allows us to authorize and pay overdrafts for the following types of transactions:
    • ATM withdrawals
    • Everyday debit card transactions (recurring payments are not included)

The credit union pays overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction. If we do not authorize and pay an overdraft, your transaction will be declined.

Overdraft Protection Plans

Members can choose to protect their Checking Account with an Overdraft Protection Plan from any of the following accounts:

  • Regular share account
  • Visa Credit Card

Please note that the transfer from a deposit account and/or an advance from a Visa Credit Card will process before Standard Overdraft Protection or Extended Overdraft Protection. A $10.00 fee per Overdraft Protection Plan transfer will apply.

Qualifications for an account considered to be in good standing

  • Brings the account to a positive balance at least once every 30 days or less
  • Has not caused the Credit Union a loss
  • Has no delinquent obligations with the Credit Union
  • Has no legal orders, garnishments, executions, or levies including bankruptcy notices
  • Has not engaged in suspicious or abusive activity
  • Maintains the required par value in their regular savings account

Frequently Asked Questions:

Is there a limit for how far I can overdraw my account and still be covered?
The limit for Overdraft Protection is up to $500 based on the aggregate total of deposits made to the eligible checking account during the previous month. The limit does not change if you are opted into Extended Overdraft Protection.

Will the overdrawn limit be reflected in my available balance?
No. The overdraw limit is not part of your balance. Rather, it is simply a threshold the Credit Union will extend to you beyond your available checking balance.

When do I have to repay the overdraft covered by Standard Overdraft Protection and Extended Overdraft Protection?
You must bring your account to a positive balance at least once every 30 days or less.

How do I opt out of Extended Overdraft Protection?
You may opt out of Extended Overdraft Protection at any time. Please call the credit union at 616.532.9067, visit a branch, or email us at info@firstunitedcu.org. If you choose to email us, please remember not to include any confidential information.

Do I have to opt in to Extended Overdraft Protection separately for each of my checking accounts?
Yes. If you have more than one checking account, you must choose to opt in to Extended Overdraft Protection separately for each checking account. Covering one account with Extended Overdraft Protection will not cover all of your First United checking accounts from overdrafts at ATMs and from everyday debit card transactions. However, each eligible checking account in good standing will be automatically opted in to Courtesy Pay.

I thought I had Overdraft Protection. Why did you return my check as NSF?
Items are returned NSF when the overdrawn balance is more than your available Courtesy Pay amount.

Are you encouraging me to write bad checks?
No. We are responding to member requests to pay items that were being returned when the available amount is only a few dollars less than the amount of the check. We are providing our members with a valuable service.

How is my account balance determined?
We authorize and pay transactions using the available balance in your account. The available balance is the ledger balance (collected funds) minus any holds. As such the available balance does not include any deposited funds on hold. We may place a hold on deposited funds in accordance with our Funds Availability Policy. If the funds in the available balance are not sufficient to cover a transaction, any available overdraft protection may be used to authorize and pay a transaction.

We may also place a hold on your account for any authorized debit card transaction until the transaction settles (usually within two business days) or as permitted by payment system rules. In some cases, the hold may exceed the amount of the transaction. When the hold ends, we will add the funds to the available balance. If your account is overdrawn after such held funds are added to the available balance and the transaction is posted to the available balance, an overdraft fee may be assessed.

Can I use Overdraft Protection to make a First United loan payment?
No. You cannot use Overdraft Protection to make any loan payments or to bring another account to a positive balance.

What if I don’t want Standard Overdraft Protection?
You can opt out of the service at any time by contacting the credit union at 616.532.9067 or visiting the lobby. Please note this request could take up to 24 business hours. Without Overdraft Protection, overdrawn items will be returned unpaid and a $35.00 NSF fee will be assessed after funds for overdraft protection (if applicable) have been depleted. You may also be charged additional fees by the merchant/payee.

If I opt out of Overdraft Protection and change my mind later, how do I reinstate it on my account?
You may opt in to Overdraft Protection by calling the credit union at 616.532.9067 or visiting the lobby.

Can Standard Overdraft Protection or Extended Overdraft Protection be removed from my account once I have been automatically opted in?
Yes. First United CU maintains the right to remove Overdraft Protection privileges from your account if it is no longer in good standing. We are not obligated to honor any overdraft coverage once your account is not in good standing.