Payment Privilege

 How does Payment Privilege work?
As long as you maintain your account in “good standing,” we may approve your overdraft items within your current available Payment Privilege limit as a non-contractual courtesy.

For overdraft privilege consideration, your account is in “good standing” if you (1) make sufficient deposits to bring your account to a positive end-of-day balance at least once every 30 calendar days (including the payment of all credit union fees and charges); (2) avoid excessive overdrafts suggesting the use of Payment Privilege as a continuing line of credit; (3) Not being in default on any loan or other obligation with St. Mary’s Bank; and (4) there are no legal orders, levies or liens against your account.
Please note that the amount of the overdraft plus our overdraft per item paid fee of $30 will be deducted from your overdraft limit. If the item is returned, the overdraft per item return fee of $30 will be deducted from your account. No interest will be charged on the overdraft balance.
Please refer to the member overdraft policy for additional details.

 How do I know when I use the overdraft limit?
You will receive an overdraft notice each time items are paid, including fees. You will need to subtract the total fees when balancing your checkbook.

 What is my Payment Privilege limit? If I have two checking accounts, can I get Payment Privilege on both?
Locate your account type below and make note of the corre¬sponding limit. If you have multiple accounts for your household, you may have a limit on all eligible accounts.
 

How quickly must I repay my Payment Privilege?
You should make every attempt to bring your account to a positive end-of-day balance as soon as possible, and must do so within 30 calendar days. If you are not able to do so, you will receive a letter from St. Mary’s Bank informing you that your Payment Privilege limit has been suspended and additional items will be returned.

What are some of the ways I can access my Payment Privilege limit? Will my limit be reflected in the balance I receive?
The chart below shows the different ways you can access your Payment Privilege limit and indicates whether or not this limit will be reflected in the balance provided.

 How soon can I use my Payment Privilege?
If you are a new member, you may be able to use the Payment Privilege service 30 days after your account is opened, assuming your account is in “good standing” as defined in this brochure. You will be notified when the Payment Privilege service is available on your account.

 Is there a way to avoid overdrafts in the first place?
The best way to avoid overdrafts and fees is to keep track of your account balance by entering all checks, debit card purchases and ATM withdrawals in your check register, reconcile your check book regularly and manage your finances responsibly. We also offer a variety of online tools to help you manage your finances and avoid overdrafts. If you haven’t done so already, sign up for Online Banking and Bill Pay for easy tools to manage your finances online. However, if a mistake occurs, St. Mary’s Bank offers additional ways to cover overdrafts in addition to Payment Privilege. 

What are some other ways I can cover overdrafts at St. Mary’s Bank**?

 What about bill payments?
Bill payments through online banking, recurring debit card payments, checks and other transactions made using your checking account number may continue to be authorized at our discretion even if you don’t opt in to Standard Overdraft Practices. If we authorize and pay an overdraft transaction on your behalf, standard overdraft fees will apply.

 I already have overdraft protection on my account. Should I still opt in?
Yes. The service we provide you through Overdraft Protection is separate from the Payment Privilege for ATM and one time debit card transactions service that can be added to your account. When a debit card transaction exceeds your available balance, your St. Mary’s Overdraft Protection is used first to cover the overdraft. Payment Privilege would only be used if funds are needed beyond what is available through your Overdraft Protection.

 What if I don’t opt in to continue Payment Privilege on ATM or everyday debit card transactions?
If you do not opt in to Payment Privilege, any ATM or everyday debit card transactions that exceed your available balance may be declined.

 Where can I find St. Mary’s Payment Privilege policy?
You can find a copy of the policy online at www.stmarysbank.com/paymentprivilegepolicy, at any office location or we can have one mailed to you. Please call our Member Contact Center at 1-888-786-2791.

**These costs are provided only as examples. Please refer to our schedule of fees.

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