Courtesy Pay

The overdraft options are activated in the following order, if enrolled and as applicable, to cover an overdraft on your checking account:

1. The available balance in your enrolled Transfer Account Protection linked account is used first.
2. Check Reserve Overdraft Line of Credit up to your pre-approved amount is used second.
3. When each of these is exhausted, or non-applicable, Courtesy Pay will be activated.

There are several ways your account can become overdrawn, such as: (1) the payment of checks, electronic funds transfers or other withdrawal requests; (2) payments authorized by you (i.e. debit card at point of sale); (3) the return of unpaid items deposited by you; (4) bank service charges; or (5) the deposit of items which, according to the bank’s Funds Availability Policy, are treated as not yet available.

As long as you maintain your account in “good standing,” we may approve your overdraft items within your current available Courtesy Pay limit as a non-contractual courtesy. For Courtesy Pay 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 bank fees and charges); (2) avoid excessive overdrafts that would suggest the use of Courtesy Pay as a continuing line of credit; and (3) there are no legal orders, levies or liens against your account. We reserve the right to limit participation to one account per household or to suspend, revoke, or discontinue this service without prior notice.

Please note that the amount of the overdraft item plus our Overdraft Item Fee of $32.50 for each item will be deducted from your Courtesy Pay limit, if an item is paid. Overdrafts above and beyond your established Courtesy Pay limit may result in checks or other items being returned to the payee. If an item is returned, a Returned Item Fee of $32.50 will be deducted from your account. No interest will be charged on the overdraft balance.

There is no additional cost associated with Courtesy Pay unless you use it. You will be charged our Overdraft Item Fee of $32.50 for each overdrawn item paid created by a traditional paper-based check, and other transactions made using your checking account number, such as a teller withdrawal, an automatic payment (ACH) transaction, or a recurring debit card payment. If you request us to do so, by enrolling “opting in,” we may also authorize ATM and everyday debit card transactions up to your daily Courtesy Pay limit. MVSB will charge no more than 4 overdraft item fees per account on any given business day.

For example, three paid items in one day will result in up to $97.50 in Overdraft Item Fees. To help you manage your account, the total fees you have paid for items (both paid and returned) during the current month and for the year-to-date will be reflected on your monthly statement.

Your balance at the time these transactions post will determine the overdraft status and the assessment of fees. Other transactions initiated by you, or a delay in processing authorized transactions by the merchant, may result in previously authorized transactions posting against an insufficient balance. A paid item Overdraft Item Fee of $32.50 will be charged for each ATM or everyday debit card transaction that posts against insufficient funds and was authorized against an insufficient balance.

Locate your account type below and make note of the corresponding limit. If you have multiple accounts for your household, you may have a limit on each eligible account.

Courtesy Pay is not available for Bank On Certified Checking Account.

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 Meredith Village Savings Bank informing you that your Courtesy Pay limit has been suspended and additional items will be returned. Unless we advise you differently or you request this service to be removed from your account, your limit will be made available to cover overdrafts again one business day after you bring your account to a positive end-of-day balance.

The chart below shows the different ways you can access your Courtesy Pay limit and indicates whether or not this limit will be reflected in the balance provided.

** Courtesy Pay service will be made available for ATM or everyday debit card transactions on personal accounts upon your request. Call 800.922.6872 or visit one of our branches to enroll in ATM and everyday debit card coverage.

Please contact us at 800.922.6872 if: (1) you do not believe you will be able to bring your account to a positive end-of-day balance within the required time period; (2) you find that you are using Courtesy Pay more often than you intended; or (3) you don’t understand why your account becomes overdrawn. We would like to discuss your situation with you.

Following regulatory guidance, we will contact you if you are paying multiple overdraft fees (i.e., more than six fees in a rolling 12-month period) to discuss possible alternatives to Courtesy Pay that may better meet your short-term credit needs. In the event you ask us to stop contacting you because you have determined Courtesy Pay is appropriate for your needs, we will honor your wishes. However, if we identify that the number and frequency of overdrafts increases materially for an extended period of time at some point after that, we may contact you again to ensure Courtesy Pay is still the most appropriate option available to you for covering your short term credit needs.

Normally, we will not approve an overdraft for you in excess of the predetermined limit assigned to your account. So as not to exceed your limit, please remember that the amount of the overdraft plus our Overdraft Item Fee of $32.50 for each item will be deducted from the Courtesy Pay limit. Overdrafts above and beyond your established Courtesy Pay limit may result in checks or other items being returned to the payee. The Returned Item Fee of $32.50 will be charged per item and assessed to your account. An Overdraft/Non-sufficient Funds notice will be sent to notify you of items paid and/or returned.

An Overdraft/Non-sufficient Funds notice will be sent to notify you of items paid and/or returned, including fees. You will need to subtract the total fees when balancing your checkbook.

We have no obligation to notify you before we pay or return any item. The amount of any overdraft including our paid Overdraft Item Fee of $32.50 and/or a Returned Item Fee of $32.50 that you owe us is due and payable upon demand even if we do not ask you for payment. You must repay us no later than 30 calendar days after the creation of the overdraft. If there is more than one owner on the account, each owner and agent, if applicable, shall be jointly and severally liable for all overdrafts including all fees charged.

If you are a new customer, you may be able to use the overdraft service the next business day after your account is opened.

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 account regularly, and manage your finances responsibly. Other suggestions may be found at https://www.fdic.gov/moneysmart and https://www.consumerfinance.gov/ . However, if a mistake occurs, Meredith Village Savings Bank offers several ways to cover overdrafts.

This information is effective as of March 2025 and is provided as examples. Some services require enrollment. Please ask us about our current specific products, rates and fees.
*APR = Annual Percentage Rate. APR subject to change without notice. Restrictions apply, subject to underwriting approval.

If you would like to revoke your previous authorization for ATM and everyday debit card transaction coverage, or have this service removed entirely from your account, please call 800.922.6872 or visit one of our branches. To have Courtesy Pay removed entirely from your account, please call 800.922.6872, visit a branch or complete the online form.