Overdraft Protection

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NY TEAM Federal Credit Union offers you three types of Overdraft Protection.

As a member of the Credit Union, you can manage your money conveniently without the stress of bounced checks or insufficient funds. We realize that the unexpected sometimes happen, or perhaps you miscalculated your balance, and as a result an overdraft occurs. We’ve all done it; forgotten to deduct that ATM withdrawal or debit card purchase. To help protect you, we provide three overdraft options.

We encourage our members to manage their finances responsibly; however, we realize that there may be times when you make a mistake, have unplanned expenses or run short on cash – all leaving you with a negative balance in your checking account to cover expenses. Returned checks and denied electronic transactions can be inconvenient. They can also be costly and result in possible damage to your credit history. To help, we provide Courtesy Pay*, a checking account overdraft privilege service that will pay overdrafts up to an a $500.00* overdraft limit– all for a $30 fee for each item we pay against an overdrawn account.

Standard Courtesy Pay* covers transactions including checks, electronic debits and automatic bill payments. For overdraft protection on your ATM and debit card transactions, Federal Regulations require you to personally ‘Opt-In’.

If you would not like to take advantage of this great service, you can easily Opt-Out. We also offer you the opportunity to lower your $500 Courtesy pay limit by using the Opt-Out form also.


Remember: the limit daily for a Pin-based transaction using your Master Money Debit Card is $1,000. In other words any purchase or ATM withdrawal which requires the use of your PIN will not be able to surpass $1,000 for that day.

Your debit card can also be used for credit card type transactions where no PIN is necessary once you select “credit” at the Point Of Sale. The limit daily for this transaction is $2,500. It is recommended that you use this for most purchases if possible which will allow you to have more funds at your disposal for the day. This also includes any method of payment that requires your Debit Card number.

Maintaining a check register is an excellent way to balance your checking account.  This allows you to record any withdrawals and deposits from the available amount keeping in mind what your new balance ought to be.

Making use of the Online Banking and Phone service is a great help in more ways than one. This allows you to find out what cleared the account. We encourage you to use this system to check balances as well. This way you can avoid that $1 fee charged each time there is a balance inquiry.

Opting in to Courtesy Pay. A service now offered by your credit union to alleviate the stress of incoming payments. We have automatically enrolled all our members, and incoming checks and other checking accounts debits will be covered up to $500. Opting in will also cover your every day debit card transactions up to $500* (including the minimal transaction fee of $30).

Credit Union Eligibility*:

All accounts enrolled in Courtesy Pay must be in good standing. Our Courtesy Pay limits could change from day to day and it could even be reduced to $0.00. For example, a member could have a $500.00 overdraft limit on one day and $0.00 (no limit) the following week. Suspension of the overdraft limit may fall to $0.00 as a result in a transaction being returned unpaid due to insufficient funds, or a negative balance in the account, or a delinquent loan . At times a limit may change to your monthly deposit amount.  The Courtesy Pay program may be suspended or reduced to zero when your eligibility criteria are no longer met as outlined before.

Eligibility $250.00 CP Limit $500.00 CP Limit
Minimum Age of Member 18 18
Account Days Open 60-180 Days 181+ Days
Minimum Monthly Deposit $100.00 $100.00


Restriction of Courtesy Pay Privileges

Courtesy Pay is not a loan or a line of credit and must be repaid promptly. If you qualify and use Courtesy Pay, your checking account must be brought to a positive balance within a thirty (30) day period or you may be removed from the program and Courtesy Pay privileges will be revoked temporarily and the service suspended. Should the checking account remain overdrawn beyond 45 days, Courtesy Pay will be revoked permanently. The failure to deposit funds to bring the account to a positive balance may result in the overdrawn balance being charged off as a loss to NY TEAM FCU. Such action could result in the checking account being closed and restriction of your membership privileges.

Your Courtesy Pay privileges may be revoked if one or more of the following should occur:

  • Your address has been labeled as “bad address”
  • Your account has a loan/credit card(s) 30 days or more past due
  • Your checking account has been closed
  • You have experienced  excessive NSF activity on your account.
  • Your regular share savings account balance has fallen below the membership eligibility limit of $1.00 par value

This is not the only circumstance under which Courtesy Pay may be terminated and NY TEAM FCU reserves the right to revoke Courtesy Pay privileges, permanently or temporarily, at any time and to deny the payment of any transactions without prior notification.

Get a NY TEAM FCU line of credit offering overdraft protection, no annual fees, and the ability to borrow money to cover short-term cash needs.

This product has many uses, for example a “safety net” in case of an emergency, or a place they can have quick cash if needed. Need $400.00 for your PSEG bill that you forgot to pay, quickly transfer the funds from the LOC to your checking account and make the payment! Their mortgage payment cleared before their paycheck was deposited, their LOC will transfer the funds into your checking account to clear the mortgage payment with a fee. If you make the transfer, there is no overdraft transfer fee.

You will be able to easily transfer from your LOC online through our app, audio system or at a teller. The LOC will be used as a form of overdraft protection as well.


*If a member is joint on your account they must be joint on the Line of Credit

Overdraft Protection services apply to all transactions on your checking account and may help prevent overdrafts by automatically transferring funds to your checking account from your savings account you may have at NY TEAM Federal Credit Union. Generally, this service is set up automatically at account opening. This is done for a fee.

View our Fee Schedule.

*Courtesy Pay is not a contractual obligation between the Credit Union and you. The $500.00 Overdraft limit is to include all Courtesy Pay fees occurred with overdrafts on your checking account. If any item is paid under the Courtesy Pay program, we will send you a notice to the address on record. You must bring your account to a positive status by paying back the funds that were covered [including the amount of the overdrawn item(s) and the Courtesy Pay Fee(s)]. Any account that remains in negative status will have the Courtesy Pay privileges revoked. In addition, these accounts will be charged off by the 45th day or sooner if they remain in a negative status. As set forth in the Credit Union’s Account Agreement, you agree that we have the right of offset against any Credit Union Account(s) in which you have an ownership interest to cover any amount owed to us. You have the option of opting out of this program at any time. When you opt-out of the program, checks and other items will not be covered when there are not sufficient funds in the account. If you receive a direct deposit from social security or other federal benefit check, you must opt-out if you do not want us to apply those funds to repay an overdraft. To withdraw from Courtesy Pay, you must submit an Opt-Out Notice (located on our website) to 65 Broadway Hicksville, NY 11801.