Overdraft Protection

IU Credit Union offers a choice of overdraft protection options for your checking account:

1. Transfer from Savings — Transfers available from a savings account* under the same account number. Refer to fee schedule for applicable fee. To set up overdraft transfers, please give us a call at 812-855-7823 or visit any branch.
2. Transfer from a Line of Credit loan — upon credit approval. Apply now!
3. Overdraft Privilege Program (ODP) — based on eligibility

*Money Market, IRA, and Escrow savings may not be used for overdraft protection.

Overdraft Privilege Program (ODP)

Ever worry that you don't have sufficient available funds to cover a check you wrote? No matter how often you check your account, you may occasionally miscalculate or simply run short. When your debit card is declined or a check is returned unpaid to a retailer, loved one, friend or business associate, it can be embarrassing. And, you may end up paying high penalties to the retailer for returned checks and other returned items.

Overdraft Privilege offers Peace of Mind:
Upon your request and if your account qualifies, Overdraft Privilege (ODP) can be established to pay checks, automated bill payments and other transactions^ that exceed your Available Balance, up to your ODP limit of up to $600.

^Overdraft Privilege will not authorize and pay overdrafts for automated teller machine (ATM) or everyday debit card transactions unless you specifically elect or “opt in” for this coverage.

Frequently Asked Questions

• Who is Covered by Overdraft Privilege?
  • Overdraft Privilege is available to qualifying checking accounts. If you request ODP coverage and your account qualifies, an ODP limit will be assigned to your account. You will receive a notice by mail confirming your coverage.
• How Does Overdraft Privilege Work?
  • As long as your account remains in good standing, IU Credit Union may honor overdrafts up to the Overdraft Privilege limit on your account. An ODP fee, currently $30, will be deducted from your account for each overdraft transaction.

    When a check, electronic withdrawal, ATM transaction* or everyday debit card transaction* is processed that exceeds the Available Balance in your account, the item may be honored up to your ODP limit. This means that the merchant who received your check or debit transaction will be paid, or the amount of cash you requested from the ATM will be given to you. Your account will be overdrawn to cover the transaction and will be assessed the $30 ODP fee. You must bring your account balance positive within 45 days from the date of the first overdraft occurrence.

    *The Credit Union will not authorize or pay ATM transactions and everyday debit card transactions unless you opt in to have those transactions covered.

• How Does Overdraft Privilege (ODP) Work With The Other Overdraft Protection Options?
  • The Credit Union offers two other options for overdraft protection:
    
    • You can elect to use your regular or other savings account(s) under the same account number as your checking account for overdraft protection. A $3.00 fee will be assessed for each transfer from a savings account.
    • We also offer a line of credit loan (subject to credit approval) that can be designated for additional overdraft protection. You can apply for a line of credit loan online or at any branch.

    Overdraft Privilege will only be used after you have exhausted the available funds in your other overdraft protection option(s).

    The choice is yours. Consider these ways to cover your overdrafts: Returned item due to overdraft: $30 IUCU fee + $30 merchant fee*
    Ways to cover your overdrafts Transfer from regular savings Transfer from line of credit Overdraft Privilege (ODP)	Cost for each Transfer/Transaction $3.00 fee per transfer $0 fee + variable APR** $30 per item paid
    *The amount of the merchant fee, if applicable, may vary. **Annual Percentage Rate.

• What if I do not have ODP and would like to have the service on my account?
  • If you do not have ODP on your account and would like the coverage, please contact us at 812-855-7823 or toll-free 888-855-6928, or stop by any branch.
• What if I do have Overdraft Privilege and I want IU Credit Union to authorize and pay overdrafts on my ATM and everyday debit card transactions?
  • If you also want us to authorize and pay overdrafts on ATM and everyday debit card transactions, call us at 812-855-7823 or toll free 888-855-6928 to opt-in over the phone.
• What if I would like to opt out of ODP?
  • You may choose to completely opt-out of ODP by contacting us at 812-855-7823 or visiting any branch.