- Checking Overview
- Visa Debit Card w/ Rewards
- Shop, Sign & Save
- Switch Kit
- NSFs & Privilege Pay Overdrafts
What are Non-Sufficient Funds (NSFs)?
Non-Sufficient Funds (NSFs) are caused when there are not enough funds available in your account or through overdraft protection sources to cover a payment. This may be caused by you:
- Writing a check
- Withdrawing money from an ATM
- Making a purchase with HVFCU’s Visa® Debit Card (signature-based and point of sale)
- Paying bills online or through automatic payments
A financial insitution or merchant normally charges a fee for each item returned to them due to non-sufficient funds.
What is a Privilege Pay Overdraft?
Privilege Pay is a courtesy service that will pay items when you unintentionally do not have enough funds in either your checking account or other overdraft sources offered through HVFCU. A fee is assessed for each Privilege Pay item paid (total items up to a maximum limit of $500 including Privilege Pay item fees) as set forth in the Fees Schedule.
You have 30 days to repay the negative balance however, we will withdraw funds from other accounts as early as the following day if funds are available to bring the negative balance current. If your account remains negative for more than 30 days, Privilege Pay will be suspended or
revoked until your account returns to good standing.
Opt-in: Privilege Pay may pay overdrafts caused by a check, ACH debit, Visa Debit Card, or ATM transaction. However, in order for Privilege Pay to cover Visa Debit Card and ATM card transactions, you will need to register (opt-in) for overdraft protection services. Call the Contact
Center at 845.463.3011 / 800.468.3011, or stop by any branch to discuss this protection. You will also need to complete our Overdraft Protection Opt-in Form.
Opt-out: To cancel (opt-out of) the Privilege Pay service on your checking account, contact us by phone at 845.463.3011 / 800.468.3011, Monday-Friday 8 am – 7 pm and Saturday 9 am – 5 pm, at any branch, by using our secure email form, or by mailing your Non-Sufficient Funds & Privilege Pay Overdrafts request to:
159 Barnegat Rd,
Poughkeepsie, NY 12601
How to Avoid Privilege Pay Overdraft Fees and NSF Fees
The best way to avoid fees is to manage your checking account so it does not overdraw your available balance. It’s important to:
- Monitor your account balance regularly. Note all deposits and withdrawals in your checkbook register.
- Note all ATM withdrawals/fees, HVFCU Visa Debit card or other debit card transactions, online
payments, and automatic bill payments.
- Review your account statement carefully.
- Balance your checkbook often by comparing the paid checks, deposits, withdrawals, debit / ATM transactions, ACH transactions, and service fees listed on your statement with your check register. Some checks and automatic payments may take several days to clear.
Although there is no fee for overdraft protection from a savings account or line of credit, Federal Regulation D requires HVFCU to limit the number of withdrawals from savings accounts each month. A complete description of Regulation D is included in the Truth in Savings Disclosure & Account Agreement.
The credit union retains the right to refuse payment of an overdraft at any time, even though HVFCU may have previously paid overdraft requests.
More Affordable Options
HVFCU offers more affordable alternatives to Privilege Pay. These options include overdraft protection from a Readi-cash line of credit, interest only home equity line of credit, or an HVFCU savings account. Overdraft protection from a line of credit is according to the loan terms previously disclosed. If you would like to set up overdraft protection from your interest only home equity line of credit, please complete and return our Home Equity Line of Credit Overdraft Coverage Agreement.
Privilege Pay FAQs
Only checking accounts qualify (S9, S9.1, S9.2 ,etc.)
Yes. Each account has a $500 maximum limit, including Privilege Pay item fees, as set forth in our fee schedule.
Yes. Each time your account goes into overdrawn status, you are mailed an overdraft notice informing you of the overdraft condition and the fee(s) assessed.
If you go beyond the $500 limit, items are returned for Non-Sufficient Funds and your account is charged a Privilege Pay item fee of $30.00.
You have 30 days to repay the negative balance, however we will sweep other accounts as soon as the next day if there are funds available to bring the negative balance current. If your account remains negative for more than 30 days, Privilege Pay will be suspended or revoked until your account returns to good standing.
Yes. If you exceed the maximum number (six) of transfers due to Regulation D and all other overdraft sources have been exhausted, the Privilege Pay feature will be used.
Privilege Pay is a service offered to qualifying members. A notification letter is sent to you when you initially qualify for Privilege Pay. HVFCU does not guarantee payment of any overdrawn item. The credit union retains the right to refuse payment of an overdraft at any time, even though HVFCU may have previously paid overdraft requests.
1 Privilege Pay is not available on Business, Estate, Club, Custodial, Infant Compromise, Memorial, or Guardian / Conservator accounts.