Courtesy Pay provides a safety net up to a pre-determined amount under certain conditions.
The basic features of this program include:
- Automatic discretionary overdraft service for checks and other transactions made using your checking account number or automatic bill payment and recurring debit card payments.
- You may also request to opt out of Courtesy Pay altogether at any time.
- An Overdraft Item Fee of $32.50 per item may be charged for covering each overdraft that results in a negative balance at the end of the day.
- A maximum of 4 overdraft fees per account per day will be assessed.
- Courtesy Pay limits vary by type of checking account, relationship with The Merrimack and account standing.
- Once an overdraft has occurred you are required to bring your account to a positive balance within 30 days.
- Whether your overdrafts will be paid is discretionary and we reserve the right not to pay. We do not typically pay overdrafts if your account is not in good standing.
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 courtesy. There is no additional cost associated with this privilege unless you use it. You will be charged our overdraft item fee of $32.50 for each overdrawn item created by a traditional paper-based check, a teller withdrawal, an automatic payment (ACH) transaction or a recurring debit card payment. We will also pay ATM and one-time debit card transactions up to your daily Courtesy Pay limit if you have asked us to do so by “Opting In.” The Merrimack will charge no more than 4 overdraft item fees per account on any given business day.
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.
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 this privilege unless you use it. You will be charged our overdraft item fee of $32.50 for each overdrawn item created by a traditional paper-based check, a teller withdrawal, an automatic payment (ACH) transaction, or a recurring debit card payment. Also, if you have requested us to do so, we may authorize and cover ATM transfers or withdrawals and everyday debit card purchases. The Merrimack will charge no more than 6 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.
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 all eligible accounts.
| Everyday Checking | $300 |
| Better Checking | $500 |
| Senior Checking | $750 |
| Premier Checking | $1,000 |
| Everyday Money Market | $750 |
| Premier Money Market | $750 |
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 Merrimack County 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.
| Access Points | Is my Courtesy Pay available? | Does the balance provided reflect my Courtesy Pay limit? |
|---|---|---|
| Teller | Yes | No |
| Writing a Check | Yes | N/A |
| Mastercard® Debit Card (recurring) | Yes | N/A |
| Mastercard® Debit Card (everyday) | No** | N/A |
| ATM withdrawal | No** | No |
| ACH-Auto Debit | Yes | N/A |
| Online Banking | Yes | No |
| Bill Pay | Yes | N/A |
| Mobile Banking | Yes | No |
| Phone Banking | Yes | No |
** Courtesy Pay service may be made available for ATM or everyday debit card transactions upon your enrollment. Call 800.922.6872 or visit one of our branches to arrange for your ATM and everyday debit card coverage.
Please contact us at 800.541.0006 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) find that you are using Courtesy Pay more often than you intend; or (3) 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.
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.
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. However, if a mistake occurs, Merrimack County Savings Bank offers several ways to cover overdrafts.
| Ways to Cover Overdrafts at Merrimack County Savings Bank | Example of Associated Rates and Fees* |
|---|---|
| Good account management | $0 |
| Link to other Merrimack account with Transfer Account Protection | $8 transfer fee* |
| CheckReserve Overdraft Line of Credit | 15% APR** / $30 annual fee* |
| Courtesy Pay | Overdraft item fee of $32.50 for each item |
*This information is effective as of November 2016 and is provided as examples. Please ask us about our current specific products, rates, and fees.
**APR = Annual Percentage Rate. APR subject to change without notice.
If you would like to have this service removed from your account, please call 800.541.0006 or complete the form below.
To Opt In or Out, Complete the Following:
Overdrafts may be created by check, ACH, online banking transactions, phone transactions or other electronic means. Recurring debit card transactions (payments that are set up to pay automatically) such as automatic draft from your health club or insurance company may continue to be covered by your overdraft service. Once an overdraft has occurred you are required to bring your account to a positive balance within 30 days. Whether your overdrafts will be paid is discretionary and we reserve the right not to pay. We do not typically pay overdrafts if your account is not in good standing.