Common use of Unsecured Line of Credit Clause in Contracts

Unsecured Line of Credit. If you do not have enough funds available in your linked account(s) to cover overdrafts in your checking account, then funds will be advanced from your Unsecured Line of Credit. This is a revolving line of credit, which is available to members meeting certain credit requirements. If you are approved for an Unsecured Line of Credit, you will be provided with our Credit Line Account Agreement and Disclosure, which contains the terms and conditions applicable to the Unsecured Line of Credit. With this plan, you authorize us to automatically advance the amount of your overdraft, in increments of not less than $100, to cover your overdraft, up to your credit limit. We will not transfer more than the available credit (as of the end of the previous business day) on an Unsecured Line of Credit account, even if the amount of the overdraft is more than the available credit limit. For example, if the transaction amount that will cause your checking account to become overdrawn is $75, we will automatically advance $100 from your Unsecured Line of Credit, provided you have at least $100 in available credit. If you do not have sufficient available credit, no funds will be advanced from the Unsecured Line of Credit. Overdrafts paid by an advance on your Unsecured Line of Credit are not subject to a fee. Once your optional overdraft protection plans are exhausted, if you are eligible for the Overdraft Privilege Service, your items will be paid up to the amount of your Overdraft Privilege limit and an Overdraft Privilege Fee will be charged to your checking account for each overdraft that is authorized and paid through the Overdraft Privilege Service. If you are not eligible for, or have opted out of, the Overdraft Privilege Service, your items will not be paid, they will be returned, and an NSF Fee will be charged for each item returned. The foregoing describes how our optional overdraft protection plans work. Transfers will appear on your periodic statements for each applicable account.