What Should I Know About Debit Card Overdraft Coverage?
♦ Your debit or ATM card will continue to work exactly as it does today ♦
News organizations are reporting on debit card overdraft coverage changes coming this summer. This is because amendments have been made to a banking regulation covering electronic transactions - like those we make every day with our debit or ATM card. The changes were initiated by the Board of Governors of the Federal Reserve System and effect many institutions across the country.
In a nutshell, the amendment limits the ability of financial institutions to asses an overdraft fee for paying ATM and everyday debit card transactions that overdraw a customer's account, unless the customer affirmatively consents, or "opts-in", to the institution's payment of overdrafts for these transactions. These regulation changes do not effect business accounts.
As a customer of Business First Bank, here's what you need to know:
The bank has determined that there is absolutely NO benefit to you, our clients, if you choose to "opt-in" and the bank will not try to convince you that there is. Therefore, we will not be asking you to opt-in nor will we even offer the option.
Most importantly, your debit or ATM card will continue to work EXACTLY as it does today. There will also be no change to how the bank accommodates ATM and debit card transaction that post to your account.
The bank's executive management decided that it was NOT willing to compromise the quality service you have grown to expect in order to collect certain overdraft fees. We VALUE your relationship and your choice to keep your hard earned money with a local community bank.
If you have additional questions or any concerns, please contact a Client Services Representative at 805.369.5200, option 4 or by email at info@businessfirst.com.