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Overdraft Coverage FAQs

Why is First PREMIER Bank offering Debit Card Overdraft Coverage?
An individual can find themselves in a position where they don’t have enough money in their account to cover a debit card transaction. This can put them in an embarrassing position at the checkout line. In response to the Federal Regulation E, some banks have made the decision to simply decline all ATM and everyday debit card transactions that have insufficient funds. At First PREMIER Bank, we believe you should have a choice. That’s why we encourage you to sign up for our Debit Card Overdraft Coverage.

What is Debit Card Overdraft Coverage?
If you sign up and add this service to your personal deposit account, First PREMIER Bank may approve (authorize), at our discretion up to $500 beyond your available balance for ATM and everyday (one-time) debit card transactions. The ATM and debit card daily limits still apply.

What accounts and/or transactions are not affected by the Federal regulation?
The Federal regulation does not apply to our standard overdraft practices in regards to recurring debit card transactions, ACH payments or debits written that may overdraw an individual’s checking account. First PREMIER Bank will continue to authorize and pay these at our discretion. Please refer to our standard overdraft practices for more information. Business deposit accounts are not subject to any changes.

How much does Debit Card Overdraft Coverage cost?
It doesn’t cost you anything unless you find yourself in a situation where you need it. Here’s how it works. If you are at the grocery store and swipe your debit card at the checkout to purchase $100 worth of groceries, but your balance on record is only $50, we can now make the decision to allow your purchase to go through. This saves you the inconvenience and embarrassment of declining your card. We would charge you a $34 overdraft fee1 for this debit card transaction.

What is an everyday (one-time) debit card purchase?
Everyday debit card purchases are those one-time purchases that you make using your debit card. For example, when you swipe your debit card at the grocery store or pharmacy it would be considered an everyday debit card purchase.

Does First PREMIER Bank guarantee transactions will always be approved with Debit Card Overdraft Coverage?
No. The payment (authorization) of transactions greater than your available balance is a discretionary decision of First PREMIER Bank, and we reserve the right not to pay. We generally do not pay overdrafts if your account is not in good standing or if you have had excessive overdrafts.

How do I sign up for Debit Card Overdraft Coverage?
You may sign up any of these ways:

  1. Visit with a First PREMIER Banker
  2. Contact Us
  3. Sign up online

What happens if I don’t sign up for Debit Card Overdraft Coverage?
If you choose to do nothing First PREMIER Bank will decline all ATM and everyday debit card transactions that do not have sufficient funds.

I have multiple accounts with First PREMIER Bank. Do I need to sign up for each account?
Yes. If you have multiple deposit accounts, you must sign up for each account.

Does every signer on a deposit account have to elect to sign up?
No, only one signer per deposit account is needed to sign up.

Is Debit Card Overdraft Coverage different from Overdraft Protection?
Yes, they are different. You must enroll to add either service to your account(s). Debit Card Overdraft Coverage gives the bank permission to consider paying your overdraft. There is no guarantee of payment. This decision will be based on many things, such as account history, etc. Overdraft Protection is tied to a line of credit that you must apply and qualify for. The line of credit will automatically advance when your account has insufficient funds to cover your charges.

Can I still sign up for Debit Card Overdraft Coverage if I have Overdraft Protection?
Yes. You may never need us to pay an overdraft, but if you sign up you can still have the confidence that the Debit Card Overdraft Coverage provides.

What is a recurring debit card transaction?
A recurring debit card transaction is where you have pre-authorized a service provider to bill against a specific account at pre-determined periods (monthly, quarterly, etc.). The bill amounts may be the same or vary.

How can I avoid overdrafts?
As a bank, we do not endorse the practice of habitual overdrawing of accounts. We encourage our customers to keep accurate records and to know the status of their accounts. Our free Online Banking products are great tools to help customers manage their daily finances. However, we understand that there are occasions when a solution is needed. That’s why we are making this coverage available to our customers.

Here are some suggestions on how to avoid overdraft situations:

  • Use direct deposit for your payroll
  • Utilize the tools that we offer to keep track of your account balances. You can access account balances through ATMs, Online Banking, Mobile Banking and Bank-By-Phone. Keep in mind that your balance may not include all pending payments or deposits.
  • Keep a cushion of money in your checking account just to be safe
  • Apply for a line of credit that can act as Overdraft Protection on any First PREMIER Bank checking account. Our Easy Access line of credit is perfect for overdraft protection. Talk to a First PREMIER Banker for all the details on Easy Access or any of our other lines of credit.

Can I sign up or cancel (revoke) Debit Card Overdraft Coverage at a later date?
Yes. There is no deadline to add or revoke the Debit Card Overdraft Coverage. You may modify your Debit Card Overdraft Coverage, please contact us between 8 a.m. and 5 p.m. (CST) Monday-Friday or 9 a.m. to 1 p.m. (CST) on Saturday, or visit with a First PREMIER banker.

Where can I find more information on Debit Card and ATM transactions?
Learn more information on Debit Card and ATM Services.

1We will charge you a fee of $34 each time we pay an overdraft on ATM and everyday debit card transactions. We will also charge a continuous overdraft fee of $5 per business day. There is no limit on the total fees we can charge you for overdrawing your account. Overdrafts are payable upon demand.