Overdraft Services

What is an Overdraft?

An overdraft occurs when you do not have enough available funds in your account to cover a transaction, but we pay it anyway.

Types of Overdraft Plans

  • Overdraft Protection Plan
    • Transfers available funds from other accounts you have to cover overdrafts.
    • A nominal transfer fee of $5.00 per transfer applies.
  • Overdraft Privilege Plan
    • Allows your account to go negative until you make a deposit.
    • Higher fees apply: $27.50 per transaction.
    • We strongly encourage members to monitor their account balances to avoid unnecessary fees.

How to Avoid Overdraft Fees

  • Sign up for Alerts through Digital Banking.
    • Get notified via text or email when your balance is low or an overdraft occurs.
    • Stay informed to prevent additional fees.

Important Overdraft Protection Information

  • No Guarantee of Overdraft Coverage
    • ATFCU does not guarantee that we will cover an overdraft.
    • We assess several factors, including your account history, before deciding.
  • Daily Overdraft Limit
    • A maximum overdraft limit per day is set based on your checking account history.
    • Log in to Digital Banking or call 512-302-5555 to check the available overdraft privilege amount.
  • Overdraft Privilege Can Be Costly
    • Due to the associated fees, we recommend using overdraft privilege only when absolutely necessary.
    • Multiple small transactions can quickly add up in fees.
  • Account Closure Due to Negative Balance
    • If your account remains negative past a 60-day grace period, it will be closed.
    • The negative balance will be reported to the appropriate agency.

By understanding these overdraft options, you can make informed decisions and avoid unnecessary fees.

Overdraft Protection Programs

Type of Overdraft Protection Fee How It Works
Overdraft Protection $5.00 per transfer You authorize transferring available funds from another account you have with ATFCU such as a savings or checking account.  We automatically transfer for you, in increments of $50, enough funds to cover the amount of the transaction.
Overdraft Privilege for checks, automatic bill payments, and ACH transactions $27.50 maximum per item/transaction We pay overdrafts on checks, automatic bill payments, and ACH transactions at our discretion, which means we do not guarantee that we will always authorize and pay an overdraft. We base our decision on whether or not to authorize and pay an overdraft based on several factors such as how long you have had an account with us, your history of repaying overdrafts in the past, and the amount of the item presented for payment. If we do pay for this type of transaction, allowing your account to be overdrawn, we will charge a maximum fee of $27.50 per check, automatic bill payment or ACH transaction. If we do not pay an overdraft, your check, automatic bill payment, or ACH transactions will be returned and any applicable NSF fees will be charged to your account.
Overdraft Privilege for ATM transactions and one-time debit card transactions $27.50 maximum per item/transaction You must give us permission to authorize and pay overdrafts for ATM withdrawals and one-time debit card transactions. You can do this by completing an opt-in form, by telephone, or by opting-in electronically through Online Banking. You may revoke your permission at any time by contacting us in writing or by phone. If you give us permission, we pay overdrafts on ATM transactions and one-time debit cards at our discretion, which means we do not guarantee that we will always authorize and pay an overdraft. If we do allow your account to be overdrawn and pay an ATM or one-time debit card transaction, you will be charged a maximum fee of $27.50 per transaction. If we do not authorize and pay an overdraft, your transaction will be declined. You will not be charged a fee for any transaction that is declined and not paid.


You must opt-in to receive overdraft services on ATM and every day debit card transactions.

To opt-in:

Call 512-302-5555, ext. 7190.

You may also print the Overdraft Services Opt-In Form and drop it off at one of our branch locations or mail it to

Austin Telco FCU
Attn: Member Services
11149 Research Blvd., Suite 300
Austin, TX 78759

Sign up for E-Alerts to be notified when your account balance gets low or you have an overdraft to avoid additional fees.