Common use of Your Overdraft Liability Clause in Contracts

Your Overdraft Liability. If on any day the available funds in your checking account are not sufficient to cover checks and other items posted to your account, those checks and items will be handled in accordance with our overdraft procedures and the terms of this agreement. Cascade FCU’s determination of an insufficient account balance is made at the time the check or item is presented to us, which may be later than the time you conduct the transaction. Cascade FCU processes checks and items as follows: (i) checks are paid with the lowest items number paid first (ii) for ACH items, credits are processed first and ACH debits processed second with the lowest items paid first, and (iii) debit card transactions are paid in the chronological order they are received. Cascade FCU has no duty to notify you of a check or item that will overdraw your account. If we pay an item that overdraws your account, you are liable for and agree to pay the overdraft amount and any fees immediately. You will be subject to a charge for the item whether paid or returned as set forth in the Rate and Fee Schedule. Cascade FCU, by covering one or any overdraft, does not agree to cover overdrafts in the future and may discontinue covering overdrafts at any time. We reserve the right to pursue collection of previously dishonored items at any time, including giving a payer bank extra time beyond any midnight deadline limits.