Courtesy Pay definition

Courtesy Pay. This is an overdraft payment service for your share draft/checking ac- count. The added value to you includes no third party fees, late fees or the embarrass- ment of returned checks. Description of Service Under Courtesy Pay, we, at our sole discretion may honor and pay checks, automatic debits (ACH), and ▇▇▇▇ payment items drawn against a checking account that does not have sufficient funds available at the time of the presentment. Courtesy Pay will be applied only after the account’s other sources of overdraft protection (savings or credit lines) have been depleted. Eligibil- ity Courtesy Pay may be available for all checking accounts that have been opened for 6 months and when: the member whose name that is first on the account is at least 18 years old; all of that member’s accounts are in good standing (accounts have positive balances at least once every 30 days; all loans and Visa™ accounts are cur- rent); no member on the account has caused us a loss; and the account is not under administrative/legal order or a levy. The maximum limit of Courtesy Pay is one half of the total payroll and ACH credits to that checking account per month or $300 per checking account (whichever is greater), unless otherwise specified. Responsibility If we pay an overdraft on an account with more than one (1) owner on the signature card, all owners drawing/presenting the item (thereby creating the overdraft item) are jointly and severally liable for such overdrafts plus applicable fees. Collection action will be taken on accounts whose negative balance exceeds forty-five (45) consecutive calendar days. Fees Whether the Non Sufficient Funds (NSF) item is returned or paid, a per-item fee will be charged to your account as, respectively, either a NSF fee or a Courtesy Pay fee, as set forth in the Rate & Fee Schedule. If the account balance remains negative for 10 consecutive calendar days, an Extended Negative Balance fee (extended neg. fee) will be assessed, as set forth in the Rate & Fee Schedule. We have no obligation to notify the member before it pays an NSF item. Limitations Courtesy Pay is non-contractual and discretionary. We may refuse to provide this service on any checking account at any time. You have no contractual right to the overdraft courtesy, nor is it guaranteed. Opting Out You may “opt out” of Courtesy Pay by notifying us in writing. Once you “opt out” of the program, you must wait at least 60 days to request reinstatement.
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Examples of Courtesy Pay in a sentence

  • Your periodic statement will itemize Courtesy Pay Fees and NSF Fees for each cycle, as well as the year-to-date total of fees.

  • We refer to this service as our Courtesy Pay Service (hereinafter referred to as the “Service”).

  • It is important to remember that Courtesy Pay is a purely discretionary benefit offered by the Credit Union.

  • The following types of transactions require you to “opt in” (in other words, you must provide us with your affirmative consent) if you would like to include them in Courtesy Pay.

  • We may terminate or suspend Courtesy Pay at any time without prior notice.

  • Each person who causes an overdraft, which is paid by us, agrees to be individually and jointly obligated to repay the unpaid negative balance in accordance with the terms and conditions of Courtesy Pay.

  • You will be in default under the terms of Courtesy Pay if you fail to live up to any of the terms and conditions set forth herein or you are in default on any loan obligation with us and/or a negative balance exists in any other deposit account with us on which you are an owner.

  • If you qualify for these optional services, we will look first to these services for overdraft protection before applying our discretionary Courtesy Pay Service when your account is overdrawn.

  • If you are in default, in addition to any other rights we may have, we may temporarily suspend overdraft privileges, terminate Courtesy Pay, or close your checking account and demand immediate payment of the entire unpaid negative balance.

  • If at any time we determine that your account is no longer eligible for Courtesy Pay for any reason, we can discontinue it immediately without notice to you.