Overdraft Protection Options

Managing your information

The best way to avoid overdrafts is with careful tracking. Using a check register or personal financial software to keep track of your money is effective. Record not only the checks you write, but all transactions, including automatic payments, debit card purchases and ATM withdrawals.

Online banking is a good way to stay on top of your finances—and with First American Bank, it's free.

• Check your balances
• View recent transactions
• See images of your checks
• Transfer money between accounts

However, we understand that mistakes can happen at inconvenient times. Be informed. Find the right overdraft protection program for you.

Account Transfer

Link an eligible First American Bank savings or checking account to your primary checking account. If your primary checking account comes up short, we will automatically transfer available funds to cover your transactions. A single transfer fee will be assessed.

Home Equity Line of Credit

If you are a home owner and have equity in your home, you may choose to set up a Home Equity Line of Credit (HELOC). This line of credit will allow you access to your home's equity as a guard against the occasional overdraft and overdraft fees. You must apply and qualify for this line of credit.

• You will be charged a variable interest rate (tied to the National Prime Rate as published in the Wall Street Journal) when you access your Home Equity Line of Credit. Ask your personal banker for more details.
• You may take up to 90% of the equity in your home. After maturity of the loan, you must pay off or renew your line of credit.
• The Home Equity Line of Credit places a mortgage on your primary residence, and should be used carefully.

Interest on a HELOC may be deductible from your taxes. Consult your tax advisor.

Moneyline

You must apply and qualify for this credit product. The service will advance payments into your checking account should you overdraw. There is an annual fee to maintain a Moneyline. There is no charge for the automatic advances.

Contact your personal banker for details on loan products.

Overdraft Protection Coveragesm 

Overdraft Protection Coveragesm is a basic level of protection. We may authorize and pay overdrafts for the following types of transactions:

• Checks you write
• Automatic bill payments
• Recurring debit card payments (e.g. gym memberships, sponsorships, etc.)

If one of these types of items causes your account to overdraw, rather than automatically returning the item, the bank may pay the overdraft up to $500. You will be charged our standard overdraft fee for each item paid.

There is no annual fee and no charge to sign up; you only pay for Overdraft Protection Coveragesm if you use it. In addition, you may avoid merchant return fees or late fees. If you are interested in having Overdraft Protection Coveragesm added to your checking account, just talk to your personal banker.

Extended Overdraft Protection Coveragesm 

Extended Overdraft Protection Coveragesm takes Overdraft Protection Coveragesm one step further. 

This is a new service offered by First American Bank, and will be useful when you are making a debit card purchase at a shop, restaurant, gas station, or other retail establishment...and suddenly find you've come up short. Or, you may access funds from an ATM, and find that your account balance is negative. In these situations, if you do not have access to another source, First American Bank will pay these items, but only if you have opted for Extended Overdraft Protection Coveragesm.

If you are interested in having Extended Overdraft Protection Coveragesm added to your checking account, either print the Opt In form here and take it to your nearest First American Bank, or mail it to:

First American Bank
Extended Overdraft Protection Coveragesm
C/o Deposit Operations
P. O. Box 71155
Clive, IA 50325

There is no cost to opt in to this service. However, if you use the service and First American Bank pays an overdraft for an everyday debit card purchase or an ATM withdrawal, you will incur our standard overdraft fee for each item we pay.

Important note: If you choose not to opt in, or if we don't hear from you, then you will notice no difference from how your debit card purchases have always been treated. Your everyday debit card purchases and ATM transactions will be declined if your account does not have sufficient funds, and you avoid overdraft fees.

In all overdraft situations, you are required to bring your account into a positive balance promptly. Overdraft coverage is for errors or emergencies, and payment of overdrafts is discretionary. We do not guarantee that we will always authorize and pay overdrafts.

To learn more about overdrafts and steps you can take to avoid being overdrawn, please call or stop by to see your personal banker.