Blue Coast Federal Credit Union
Discretionary Courtesy Cover Disclosure
It is the policy of Blue Coast Federal Credit Union to comply with all applicable laws
and regulations and to conduct business in accordance with applicable safety and soundness
standards.
The Deposit Account Agreement and Disclosure provided to you at the time you opened your
account with us controls the duties, obligations and rights of the Depositor, the Authorized
Signatories and Blue Coast Federal Credit Union with regard to your checking account.
The Deposit Account Agreement (and all amendments thereto) and its terms shall control any
possible conflict, if any, between any provision of this Discretionary Courtesy Cover Disclosure
and the Deposit Account Agreement and Disclosure. A copy of the Deposit Account Agreement
and Disclosure is available to you on request from your Blue Coast Federal Credit Union
officer.
Courtesy Cover is not a line of credit. However, if you inadvertently overdraw your account,
we will have the discretion to pay the overdraft, subject to the limit of your Courtesy Cover and
the amount of the overdraft fee. Blue Coast Federal Credit Union is not obligated to pay
any item presented for payment if your account does not contain sufficient available funds. Any
discretionary payment by Blue Coast Federal Credit Union of an overdraft check (or
item, such as an ATM withdrawal) does not obligate Blue Coast Federal Credit Union
to pay any other overdraft check (or item), or to provide prior notice of its decision to refuse to
pay such check (or item).
Pursuant to Blue Coast Federal Credit Union’s commitment to always provide you with
the best level of service, now and in the future, if your consumer checking account (primarily used
for personal and household purposes) has been open for at least thirty (30) days and thereafter you
maintain your account in good standing, which includes at least:
A) Bringing your account to a positive balance within every thirty (30) day
period for a minimum period of 24 hours;
B) Not being in default on any loan or other obligation to Blue Coast
Federal Credit Union and
C) Not being subject to any legal or administrative order or levy
Blue Coast Federal Credit Union will have the discretion to pay overdrafts within the Courtesy Cover limit, but payment by Blue Coast Federal Credit Union is a discretionary courtesy and not a right of the member or an obligation of Blue Coast Federal CreditUnion. Blue Coast Federal Credit Union in its sole and absolute discretion, can cease paying overdrafts at any time without prior notice of reason or cause. This privilege for consumer checking accounts will generally be limited to a maximum of $600 overdraft (negative) balance or $800 overdraft (negative) balance if the account has direct deposit. Of course, any and all fees and charges, including without limitation the non-sufficient funds fees (as set forth in our fee schedules and deposit account agreement and disclosure), will be included as part of this maximum amount. It may be possible that your account will become overdrawn in excess of the Courtesy Cover amount as a result of the assessment of a fee. Transactions may not be processed in the order in which they occurred, and the order in which transactions are received and processed may impact the total amount of fees incurred. The total of the discretionary Courtesy Cover (negative) balance, which includes any and all fees and charges, including all non-sufficient funds/overdraft fees is due and payable upon demand, and Depositor and each Authorized Signatory will continue to be liable, jointly and severally, for all such amounts, as described in the Deposit Account Agreement and Disclosure. Our standard Overdraft fee of $30 will be imposed for overdrafts created by checks, ACH, ATM withdrawals, everyday debit card transactions, in-person withdrawals, or by other electronic means. The maximum fees that BCFCU will charge you for overdrawing an account per day is $300. Blue Coast Federal Credit Union will not pay overdrafts for ATM or everyday debit card transactions unless Blue Coast Federal Credit Union has provided you with the notice required by section 205.17(b) of Regulation E and you have opted in to the payment of these overdrafts. In order to avoid overdrafts due to ATM and everyday debit card transactions, Blue Coast Federal Credit Union will place a hold on your account for any ATM or everyday debit card transaction authorized until the transaction settles. ATM and everyday debit card transactions usually settle within two business days after the transaction is authorized. The amount of the hold will be for the amount authorized, or as permitted under applicable payment network rules. Holds on authorized ATM and everyday debit card transactions will be removed prior to settlement where required by applicable payment network rules. Members may opt out of the Courtesy Cover services for check, ACH and debit card bill payment transactions at any time by contacting one of our Account Services Representatives.
Blue Coast Federal Credit Union also offers members alternatives to Courtesy Cover including overdraft protection from other accounts or from a line of credit. If you are interested in setting up an alternative to Courtesy Cover please contact the credit union to discuss options and qualifications.
