Overdraft Protection

Three options to protect your accounts; Transfer from Savings, Overdraft Protection Line of Credit and the Courtesy Pay Program as described below.  Click here for a printable list with examples to assist you. You may also watch this helpful video by clicking here.

Transfer from Savings

What is it?

Transfer funds in $25 increments from your savings account to protect against overdraws on your checking account.

How does it work?

  1. Your checking balance is $100 and you write a check for $160.
  2. If funds are available, your savings account will automatically transfer increments of $25 into your checking account, and you avoid an insufficient funds fee (NSF).
  3. You’ll be charged a fee for each automatic transfer. Fee schedule.
You can rely on six automatic transfers per month from your savings account. Federal regulations limit automatic transfers to six per month.


  • No cost unless you overdraft.
  • Simple option with no application or opt-in necessary.

Overdraft Line of Credit


What is it?

Cover checking overdrafts automatically from a line of credit that transfers just the amount needed to balance your account.

How does it work?

  1. Your checking balance is $100 and you write a check for $150. You have insufficient funds in your savings account(s) to automatically transfer to checking.
  2. Overdraft Protection Line of Credit advances $50 to your checking account.
  3. You’ll pay back the advanced amount, plus small finance charges. The amount due will appear on your statement when the payment is due.


  • No cost unless you use the line of credit.
  • Costs just pennies per day if you do use it, which is much less than overdraft charges.

Note: See our Consolidated Agreement (375 KB PDF) for additional information.

Courtesy Pay

What is it?

Courtesy Pay is a service that adds a measure of protection to your checking account. Courtesy Pay may cover checks, BillPayer items, electronic transaction and ACH items that would overdraw your account, up to your approved limit, for one fee per covered overdraft transaction. That means instead of returning a check because of insufficient funds, the credit union may pay your check.

How does it work?

  1. Your checking balance is $100 and you write a check for $150. You have insufficient funds in your savings account to automatically transfer to checking.
  2. Courtesy Pay covers the expense.
  3. You pay a Courtesy Pay fee, determined according to your account, and avoid additional returned check fees.
  4. Overdrafts are determined using the available balance, as defined on Page 6 in the Consolidated Agreement and Disclosures.


  • Can be used together with an overdraft line of credit or transfer from savings.
  • Partial coverage available in conjunction with another method of overdraft protection.
  • Select which account to transfer from first: overdraft line of credit, transfer from savings, or Courtesy Pay.

Overdraft protection for your debit card purchases.

Courtesy Pay can cover your debit card purchases in case of overdraft.  Members must opt in for this service.

Why opt in?  How do I opt in?

  • Extra protection, especially if you use your debit card often.
  • Avoid large fees. It’s $30 or less for each overdraft.
  • Only pay a fee if you overdraft.
  • Opt in by logging into SCU Online Banking, then click on the Additional Services tab, then click on the "Reg E Opt In Form".  Once you complete the form, select Opt In, then click the Submit button.
  • Opt out any time by following the same instructions above, then click on "Opt out" and the Submit button.

Need additional information?

For more information regarding Overdrafts and Overdraft fees, please click here. Or call us at 800-868-8740. We're happy to assist you!

Become a Member

Call us at 800-868-8740 to get started.

Find out how to join.