Overdraft Protection

Protect your accounts from accidental overspending. Overdraft is when items presented for payment against your account would, or do, result in a negative balance. Our Bounce Protection Policy overdraft service will help prevent your items from being returned unpaid.

As a Texas Bank account holder, checks and recurring electronic transfers are automatically covered if you choose coverage in our Bounce Protection Policy service. Additionally, you may choose to opt in to receive coverage for debit card and ATM usage as well — so you can rest easy knowing your accounts are protected!

Bounce Protection Policy
  • Protect your accounts and credit
  • Avoid denied checks and recurring electronic transactions
  • Opt in to protect ATM and debit card transactions
  • Low $29.50 per overdraft paid item fee*
  • Limit 6 overdraft charges per day
  • Subject to approval

Causes of Overdraft

An overdraft could result in several ways, such as (1) the payment of checks, electronic funds transfers or other withdrawal requests, (2) payments authorized by you, or (3) the deposit of items which, according to the bank's Funds Availability Policy, are treated as not yet available or finally paid.

Qualifications

For continued participation in Bounce Protection Policy, your account is in "good standing" if you (1) make sufficient deposits to bring your account to a positive end-of-day balance within 30 calendar days (including the payment of all bank fees and charges), (2) avoid excessive overdrafts suggesting the use of Bounce Protection Policy as a continuing line of credit, (3) have no legal orders, levies or liens against your account, and (4) have opted into the Bounce Protection Policy.

We may refuse to pay an overdraft item at any time even though we may have previously paid overdrafts for you. For example, we typically do not pay overdraft items if your account is not in good standing as defined above, or, if based upon our review of your account management, we determine that you are using Bounce Protection Policy excessively or seem to be using Bounce Protection Policy as a regular line of credit.

NOTE: A total of 6 overdraft fees can be charged to you per day. Read more about this service by clicking on the FAQ tab below or by downloading our Bounce Protection Policy

Sweeps Option

If you regularly maintain a low balance in your checking account and have an additional Texas Bank checking or savings account, you can also set up automatic sweeps to cover overdrafts. We can automatically transfer funds from the account of your choice — so you don't get hit with overdraft fees or denied purchases. 

NOTE: There is a $2 charge for each sweep. Certain restrictions apply.***

FAQ

How does Bounce Protection Policy work?**

Texas Bank is not obligated to pay any item presented for payment if your account does not contain sufficient funds; however, as long as you maintain your account in "good standing," we may approve your overdraft items within your current available Bounce Protection Policy limit as a non-contractual courtesy.

For continued participation in Bounce Protection Policy overdraft privilege, your account is in "good standing" if you (1) make sufficient deposits to bring your account to a positive end-of-day balance within 30 calendar days (including the payment of all bank fees and charges), (2) avoid excessive overdrafts suggesting the use of Bounce Protection Policy as a continuing line of credit, (3) have no legal orders, levies or liens against your account; and (4) have opted in for Bounce Protection Policy. 

Please note that the amount of the overdraft plus our Overdraft Paid Item(s) fee of $29.50 for each item will be deducted from your overdraft limit. If the item is returned, the Returned Item(s) fee of $29.50 will be deducted from your account. No interest will be charged on the overdraft balance for consumer accounts.

How do I know when I use the Bounce Protection Policy limit?

You will receive an overdraft notice in the mail each time items are presented. The notice will show the check number(s), transaction amount(s) and the Overdraft Paid Item or Returned Item fee(s). You will need to subtract the total fees when balancing your checkbook.

What is my Bounce Protection Policy limit? If I have two checking accounts, can I get Bounce Protection Policy on both?

Contact one of our service representatives to find out the Bounce Protection Policy limit for your account. If you have multiple accounts for your household, you may have coverage limits.

What if I go beyond my Bounce Protection Policy limit?

Overdrafts above and beyond your established Bounce Protection Policy limit may result in checks or other items being returned to the payee. The overdraft fee of $29.50 will be charged per item and assessed to your account. An overdraft notice will be sent to notify you of items paid and/or returned. All charges against the account apply to the overdraft limit. 

How quickly must I repay my Bounce Protection Policy?

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 Texas Bank informing you that your Bounce Protection Policy limit has been suspended and additional items will be returned. 

What does my Bounce Protection Policy privilege cost?

There is no additional cost associated with this privilege. Please note that overdraft fee(s) apply with or without Bounce Protection Policy.

To help you manage your account, the total overdraft 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 checking statement.

What are some of the ways I can access my Bounce Protection Policy limit?

You can access your Bounce Protection Policy a variety of different ways, so your account is always protected:

  • By check
  • By debit card
  • ATM withdrawal
  • ACH auto debit

Read more about our Bounce Protection Policy here.

*$29.50 also applies to return item fees

**Please refer to the Bounce Protection Policy for additional details

***Texas Bank's Savings Account is a limited transaction account. No more than 6 withdrawals per month are permitted to another account of yours or a third party by means of telephone order or instruction, computer transfer, preauthorized or automatic transfer. Withdrawals from savings accounts are limited to 2 per month with no additional fees. All withdrawals over 2 per month are subject to a fee of $2.00 per transaction. Sweeps can be set up and cost $2.00 per transfer.