Peace of Mind for Your Account

Overdraft Program

Overdraft Protection

Overdraft Protection is the best way for you to prevent overdrafts on your checking account. With free overdraft protection, you can link your additional Red Canoe accounts to your checking account to cover overdrafts. If the available balance in your checking account won’t cover your transaction, we’ll automatically transfer the funds from your linked account into your checking account to cover you.

You have an available balance of $100 in your checking account and $200 in your savings account. Your automatic insurance payment of $250 is presented. Because you’ve enrolled in Overdraft Protection, the $100 in your checking account is taken out and the remaining $150 for your insurance payment is automatically transferred from your savings into your checking, leaving your account balance at zero. This allows your payment to go through and keeps your account from becoming overdrawn.

  • What’s the fee: There is no fee. Overdraft Protection is a free service, and protects your account from NSF fees.
  • What’s covered: Any transaction that overdrafts your account is covered as long as you have enough funds available in your transfer account to cover the over-drafted amount.
  • How to enroll: Call our Member Service Center at 800-562-5611, or visit your local Red Canoe branch.

Overdraft Line of Credit

For those who qualify, an Overdraft Line of Credit allows you to cover transactions that overdraw your checking account with a line of credit. You can also use your Red Canoe VISA credit card to pay potential overdrafts.

You have an available balance of $100 in your checking account. Your automatic insurance payment of $250 is presented. Because you have an Overdraft Line of Credit, the $100 in your checking account is taken out and the remaining $150 for your insurance payment is automatically transferred from your line of credit into your checking, leaving your account balance at zero. This allows your payment to go through and keeps your account from becoming overdrawn.

NOTE: You would be charged interest until your line of credit is paid in full.

  • What’s the fee: Interest will accrue at your qualifying rate from the time of the transfer until the loan amount is paid in full.
  • What’s covered: Any overdraft, up to the maximum amount of your line of credit limit.
  • How to enroll: Call our Member Service Center at 800-562-5611, or visit your local Red Canoe branch.

Standard Courtesy Pay

All eligible Red Canoe members are automatically enrolled in Standard Courtesy Pay. If you unintentionally spend more than the available balance in your checking account because of a recurring debit transaction, a paper check or an ACH payment, this service will cover the transaction up to $500.

You have an available balance of $100 in your checking account. An automatic ACH payment of $250 is presented. Because you are enrolled in Standard Courtesy Pay, we will allow the ACH payment to go through and pay the $150 difference. You’ll be charged a $30 NSF Courtesy Pay fee for this service.

NOTE: You would be responsible to deposit the courtesy $150 and the $30 NSF fee into your checking account to bring your balance back to $0.

  • What’s the fee: You’ll be charged $30 NSF Courtesy Pay fee per transaction.
  • What’s covered: Paper checks, ACH transactions, Online Bill Pay transactions, and recurring debit card transactions (Netflix, Spotify, utility payments, etc.).
  • How to enroll: All eligible Red Canoe Members are automatically enrolled in Standard Courtesy Pay.

Debit Courtesy Pay

Debit Courtesy Pay is an optional service that covers your every day debit and ATM transactions that exceed the available balance in your checking account.

You have an available balance of $50 in your checking account. You are at the grocery store checking out with $100 worth of groceries. If you are enrolled in Debit Courtesy pay, your purchase will be approved and we will pay the $50 difference. You’ll be charged a $30 NSF Courtesy Pay fee for this service. If you are not opted-in to Debit Courtesy Pay, your transaction would be declined, and you will not be charged a fee.

NOTE: You would be responsible to deposit the courtesy $50 and the $30 NSF fee into your checking account to bring your balance back to $0.

  • What’s the fee: You’ll be charged a $30 NSF Courtesy Pay fee per transaction.
  • What’s covered: Every day debit card and ATM transactions. (Recurring debit card purchases are NOT covered.)
  • How to enroll: Call our Member Service Center at 800-562-5611, or visit your local Red Canoe branch.

Overdraft Program Disclosures

  • Posting Order – Transactions post throughout the day, and are generally posted using your available balance in the order received.
  • There is a limit of eight non-sufficient fund (NSF) fees that may be charged on any one day. A fee may be imposed for covering overdrafts created by check, in-person withdrawal, ATM withdrawal, or other electronic means.
  • The overdrawn amount in your account plus any overdraft fee that you owe Red Canoe shall be due immediately and payable on demand.
  • Whether your overdrafts will be paid is at Red Canoe’s discretion, and we reserve the right not to pay. For example, we typically do not pay overdrafts if your account is not in good standing, or if you are not making regular deposits, or if you have a high number of overdrafts.
  • There is an NSF fee for each overdraft check or item we pay or return as set forth on the Rate and Fee Schedule. If you would like to opt-out of Courtesy Pay, please visit a branch or call (800) 562-5611.