Overdraft Alternatives

While we have standard overdraft practices that apply to all of our accounts, we also offer overdraft protection plans, such as a link to a savings account or an overdraft line of credit, which may be less expensive than our standard overdraft practices.

Option 1: Good Account Management

First off, good account management is always a great, cost-effective way to prevent overdrafts or returned item fees.

How does it work?

Good account management simply means knowing the funds you have available in your account and not going over that amount to where an overdraft would occur. To do this, we recommend you:

  • Use Online or Mobile Banking, our automated telephone information system, and account alerts via push notification, email, or text1 to monitor your account balance and account activity.
  • You could also maintain all account activity in a check register and routinely reconcile your account to the balance reported by the bank. For more information, see “Avoiding Overdrafts”.
  • If you have made any recent deposits, please remember that deposits are subject to verification and not available for immediate withdrawal.
  • Don’t forget to consider any pending items such as checks you've written that have not reached the bank or pre-authorized ACH debits that have not yet posted to your account.

Option 2: Overdraft Protection Transfers

Another common way to protect your checking account from overdrawing is to link it to a secondary checking, savings or Money Market account.

How does it work?

When checks or other debits present against your account in amounts that would create an overdraft or returned items, we transfer funds from your linked account in $100 increments sufficient to cover the items (subject to funds availability in the linked account). Other important information to note includes:

  • Only one account may be linked to each checking account for this service.
  • Any account receiving overdraft protection transfers will only be charged one transfer fee of $7.00 per day, regardless of the number of items causing the overdraft.
  • If the balance in the linked account is not sufficient to cover the items, all available funds will be transferred, but the $7.00 transfer fee will be reversed and you will instead be charged overdraft fees or returned item fees, as applicable, for any remaining items that cannot be covered by the transfer.
  • Linking a secondary checking account for overdraft protection transfers could result in overdrafts or returned items in the secondary account.
  • Certain account types have transaction limitations; please speak to a representative to determine whether transaction limitations apply.

Option 3: Ready Cash Reserve

A Ready Cash Reserve line of credit is yet another way you can protect your checking account from accidental overdrafts and avoid costly overdraft or returned item fees.

How does it work?

Any time your checking account balance falls below zero, an advance is automatically transferred from your Ready Cash Reserve line of credit to your checking account to cover the negative balance. Other important information to note includes:

  • Credit line limit of $300 to $3,0002
  • 15.9% APR
  • Interest is charged only for the number of days outstanding
  • $20 annual fee
  • No per transfer fee
  • Minimum monthly payment is $25 or 5% of the outstanding balance, whichever is greater
  • Automatic payments deducted from your checking account
  • Additional or larger payments may be made at any time through Online Banking or by contacting us
  • Advances made in $100 increments
  • Advances are automatic, but you can also manually make one through Online Banking or by contacting us

Comparative Costs

Ways to Avoid / Cover Overdrafts at Academy Bank

Examples of Associated Fees3

Comparative Cost4

Good Account Management $0 Not Applicable
Overdraft Protection Transfer $7.00 per daily transfer $7.00
Ready Cash Reserve5 15.9% APR6 $0.22 + $20 annual fee
Overdraft Fee $29.007 $29.00
Returned Item $29.007 $29.00

Sign Up, Apply, and Learn More

To sign up, apply, or learn more about these overdraft alternatives, call (877) 712-2265 or visit a branch near you.


1 Fees may apply. Contact your mobile carrier for details.

2 Subject to credit approval

3 These costs are provided only as examples. Please ask us about specific products and fees.

4 Comparative cost based on one (1) insufficient item per month resulting in an overdraft of $50.00, and the credit line or overdraft not being paid for 10 calendar days.

5 Available to customers with approved credit for $20 annual fee.

6 Rate subject to change.

7 Refer to What You Need to Know about Overdrafts and Overdraft Fees disclosure and your Deposit Account Agreement for additional information.