Overdraft Protection

Since 2010, Federal Regulations place overdraft decisions in your hands. Because of these regulations, First Mid will not cover ATM and everyday debit card transactions when your account becomes overdrawn, unless you have authorized us to pay the items.

How will overdraft protection help me?

By “opting-in”, you can be assured that even when your account is overdrawn, your everyday debit card and ATM transactions will be processed as usual. In exchange for covering transactions while your account is overdrawn, you will be charged the standard overdraft fee for any transaction made on your account while it is overdrawn.

Any account holder who does not “opt-in” and does not have sufficient funds while making an everyday debit card or ATM transaction, will no longer be covered. In such a case, debit card and ATM transactions will likely be declined.

What does this really mean to you?

To put it simply, if you are standing in a checkout line with a cart full of items and you are going to pay with your debit card, but there is not enough money in your account to cover your purchase total – one of two things could happen:

  1. If you “opted-in” to the program, your debit card purchase will be conducted as usual, the bank will cover your transaction, and you will incur a standard overdraft fee on your account.
  2. If you did not “opt-in” to the program, your debit card transaction will typically be declined at the check out register, forcing you to choose another means of payment.

Keep in mind, these new regulations apply to everyday debit card and ATM transactions only. The new “opt-in” rules do not apply to checks or automatic payments (including those using your debit card) that have been set up for paying bills such as mortgage or utility payments.

Overdraft Notice and Authorization Form

This notice explains our standard overdraft practices.

An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway.  We cover your overdrafts in two different ways:

  1. We have standard overdraft practices that come with your account.
  2. We also offer overdraft protection plans, such as a link to a savings account, which may be less expensive than our standard overdraft practices.  To learn more, ask about these plans.

What are the standard overdraft practices that may come with my account?

We do authorize and pay overdrafts for the following types of transactions:

  • Checks and other transactions made using your checking account number
  • Automatic bill payments

We do not authorize and pay overdrafts for the following types of transactions unless you ask us to (see below):

  • ATM transactions
  • Everyday debit card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will always pay any type of transaction. If we do not authorize and pay an overdraft, your transaction will be declined.

What fees will I be charged if First Mid Bank & Trust pays my overdraft?

Under our standard overdraft practices:

  • We will charge you a fee of up to $32.00 each time we pay an overdraft
  • There is a limit on the total fees we will charge you for overdrawing your account.  You will be charged not more than 6 fees per day.

What if I want First Mid Bank & Trust to authorize and pay overdrafts on my ATM and everyday debit card transactions?

If you want us to authorize and pay overdrafts on ATM and everyday debit card transactions, call 1-866-888-7968 or complete this form online.