BounceGuard™ Overdraft Privilege Questions and Answers
What is BounceGuard™?
BounceGuard™ is a non-contractual courtesy benefit that covers your overdrafts up to your limit so your checks aren’t returned to the merchant – saving you additional charges and embarrassment. The service will provide up to $750* of overdraft protection (subject to account type) on approved checking accounts. The account must be opened at least 60 days and be maintained in good standing.
*Free checking Account BounceGuard™ limit: $500
Deposit, Interest and Classic 55 Checking Account limit: $750
How will BounceGuard™ benefit me?
BounceGuard™ will save you the embarrassment when you make an honest mistake in your checkbook, have unplanned expenses or run short on cash between paydays. Instead of returning checks unpaid, we will automatically pay them for you, up to your BounceGuard™ limit.
How does BounceGuard™ differ from Overdraft Protection?
BounceGuard™ is free unless you overdraw your account. There are no applications to complete, no annual fee, and nothing to sign.
How does BounceGuard™ work?
When we receive an item for payment, we pay it up to your BounceGuard™ limit, including the overdraft fee. This eliminates the additional returned check charge that a retailer may impose.
Is BounceGuard™ a loan?
No. The bank is allowing you to overdraw your account up to your BounceGuard™ limit as a non-contractual courtesy. This service can be withdrawn at any time by the bank.
Do I have to apply for this service?
No. BounceGuard™ is automatically added to your account as long as it meets the requirement of our BounceGuard™ Policy.
How do I use BounceGuard™?
This is automatic, too. Overdrafts are approved on your account for checks that you cash and withdrawals that you make at our branches. Overdraft fees will also apply to checks presented for payment, ATM withdrawals and transactions processed by other electronic means when the account is overdrawn.
How will I know when I’m overdrawn?
We will mail you a letter to notify you when your account is overdrawn. Periodically, we will send you reminder letters advising you of your overdraft until you bring your account to a positive balance.
What if I go over my BounceGuard™ limit?
When you exceed your assigned BounceGuard™ limit, items presented for payment may be returned unpaid.
Is there a charge for BounceGuard™?
No. There is no BounceGuard™ charge. There are, however, standard overdraft fees as described in our Product and Fee Disclosure. If your account remains overdrawn for more than 7 days, a daily overdraft fee will be accessed.
| Fees: | |
| NSF Paid Item Fee | $29.00 |
| NSF Returned Item Fee | $29.00 |
| Overdraft Fee, charged daily after 6 calendar days | $7.00 |
How long do I have to repay the overdraft?
Generally speaking, you have 30 days or less to pay any overdraft and overdraft fees. However, depending on the situation, we can ask for repayment at any time. Any deposits you make will first be applied to any overdrawn balance.
What happens if I can’t bring my account to a positive balance?
With BounceGuard™, you have up to 30 days to bring your account to a positive balance. If at that time, you still have a negative balance, your BounceGuard™ benefits will be suspended or revoked until the account returns to good standing. This service can be withdrawn by the Bank at any time.
Will this affect my credit rating?
There is no effect on your credit rating if you clear up the overdraft in a timely manner. We encourage you to clear up the overdraft within 3-4 days.
BounceGuard™ Overdraft Privilege
It is the policy of Southport Bank (hereafter known as “Bank”) to comply with all applicable laws and regulations and to conduct business in accordance with applicable safety and soundness standards.
The Depositor’s Account Agreement controls the duties, obligations and rights of the Depositor, the Authorized Signatories and Bank with regard to your checking account. The Depositor’s Account Agreement is incorporated herein for all purposes as if it were set forth verbatim, and its terms shall control any possible conflict, if any, between any provision of the BounceGuard™ Overdraft Privilege Policy and the Depositor’s Account Agreement.
The Bank is not obligated to pay any item presented for payment if your account does not contain sufficient collected (available) funds, and any discretionary courtesy payments by the Bank or any non-sufficient fund check or checks (or other items) does not obligate it to pay any additional non-sufficient fund check or item or to provide prior written notice of its decision to refuse to pay any additional non-sufficient fund check or item.
Pursuant to the Bank’s commitment to always provide excellent customer service, if your personal account (primarily used for personal and household purposes) has been open for at least 60 days, the Bank will consider as a discretionary courtesy and not a right or obligation, approving your reasonable overdrafts when your account is in good standing, which includes at least:
- Making regular deposits consistent with your past practices
- Account cannot be linked to a personal line of credit
- Account cannot have excessive overdrafts
- Not being in default on any loan obligations to the Bank
- Not being subject to any legal or administrative order or levy
This courtesy will generally be limited up to $750.00 depending on the account type and that the account be maintained in good standing. Of course, any and all bank fees and charges, including without limitation, the non-sufficient fund/overdraft fees (as set forth in our fee schedules and our Depositor’s Account Agreement) will be included in the limit.
The total of the courtesy overdraft (negative) balance, including any and all bank fees and charges, including all non-sufficient fund/ overdraft fees, is due and payable upon demand, and Depositor and each Authorized Signatory will continue to be liable for such amounts, as described in the Depositor’s Account Agreement.
Generally the bank may limit this courtesy to only one account per household. BounceGuard™ Overdraft Privilege is available for personal accounts only.
