Overdraft Services

Village Bank Overdraft Services

Having insufficient funds in your account can put you at risk for bouncing checks or having your ATM / Debit Card transactions denied at a gas station or store. It can mean embarrassing phone calls and unwanted fees charged by merchants. Village Bank has several options for making smart decisions about managing your overdrafts.

Village Overdraft Privilege & PLUS

Rather than returning your checks or electronic transactions when you have insufficient funds, Village Bank will strive to pay reasonable overdrafts for you. We only offer this service to customers who keep their accounts in good standing.

  • Pays checks and electronic transactions when your balance is insufficient to cover presented items
  • Prevents retailers’ returned check fees
  • Provides emergency access to cash
  • Standard overdraft fee applies

Village Overdraft Transfer

You designate a backup checking or savings account to cover overdrafts. The transfer will be in the exact amount needed to cover your overdraft items, plus a small transfer fee. The amount of the overdraft transfer is limited by the available balance in your designated account.

  • Automatically transfers funds from your backup account to cover overdrafts
  • Prevents retailers’ returned check fees
  • Our most economical overdraft service

Village Overdraft Assurance

Our Overdraft Line of Credit provides funds, in increments of $100, that automatically transfers into your checking account when needed. Village Bank charges a small advance transfer fee and a finance charge on the amount transferred.

  • Automatically transfers funds as needed from a line of credit to cover overdrafts
  • Prevents retailers’ returned check fees
  • Avoids higher overdraft fees

Please contact your local branch for additional details or to sign up for any of our overdraft products.

Overdraft Services Comparison

Features Village Overdraft Privilege & Plus Village Overdraft Transfer Village Overdraft Assurance No Overdraft Protection
How does it work? Bank pays overdraft transaction(s) on your behalf Funds are transferred from an account you designate to cover overdraft transaction(s) Line of credit covers overdraft transaction(s) Checks may be returned and retailer returned check fees may apply. When you do not have enough money in your account, ATM and Debit card transactions will be declined.
Associated Fee* $35 per item (up to 5 per day on consumer accounts only) $7 per transfer $7 per transfer $35 for each item returned for insufficient funds (up to 5 per day on consumer accounts only)
What Overdrafts are covered? Covers up to a predetermined dollar amount
No set up fee
Covers up to amount available in your designated account
No set up fee
Covers up to amount available on your line of credit
No set up fee
Limitations Overdraft Privilege is subject to bank approval.
Transfer amount is limited by amount available in your account(s) Overdraft line of credit is subject to credit approval You will have no overdraft protection to pay your checks or authorize your ATM and Debit card transactions when your balance runs low. This will result in fees for insufficient funds plus any retailer returned check fees.
Benefits Saves the high cost of returned check fees charged by retailers; provides emergency funds for check, ATM** and Debit card** transactions when there is not enough money in your account Since overdrafts are paid with funds from your accounts, you only pay one small transfer fee versus higher overdraft fees for each overdraft item Since overdrafts are paid from your line of credit, you pay a small transfer fee plus a finance charge on the amount advanced versus higher overdraft fees for each overdraft item  
Repayment Terms You repay the overdraft balance including fees by making an immediate deposit None Pay off the entire amount or make minimum monthly payments; the monthly payment is 3% of the outstanding loan balance or $50 – whichever is greater You may pay the retailer for the amount of any returned checks plus any returned check fees

Tips for avoiding overdrafts

The following information will help you manage your account wisely.

Know Your Balance

  • If you have a joint account, designate one person as the account manager
  • Consider direct deposit of your payroll checks and other benefit payments
  • Record all checks, ATM transactions, debit transactions, account fees, and deposits in your checkbook and keep a running balance
  • Never write a check or make a charge on your debit card for more than you have in your account
  • Make sure deposits to your account post before withdrawing cash or making charges against those deposits
  • Balance your checkbook against your bank statement every month

Keep Your Account Safe

  • Report stolen/lost checks or debit cards immediately
  • Update your personal information when moving or changing names
  • Don’t use other people’s checks or debit cards, or let them use yours
  • Keep your checks and debit cards in a safe place

Check Writing Basics

  • Always use a pen
  • Don’t erase mistakes
  • Never sign blank checks
  • Be cautious of post-dating checks
  • Destroy voided or unused checks and deposit slips

Village Bank reserves the right to change or discontinue products at any time without notice.

*All fees associated with consumer accounts are subject to change with proper notice.

**Requires customer authorization