FIRST NATIONAL BANK OF ODON
COURTESY OVERDRAFT PRIVILEGE POLICY
(A Discretionary 'Overdraft Service)

First National Bank of Odon ("we, us or our"} offers the Courtesy Overdraft Privilege (COP) Service. If your account qualifies for COP, we will consider, without obligation on our part, paying items for which your account has insufficient or unavailable funds, instead of automatically returning those items unpaid. This document explains how COP operates.

TRANSACTIONS THAT MAY QUALIY FOR COP: An overdraft occurs when you do not have enough money in your account to cover a transaction. Although there are many reasons why your account might become overdrawn, most overdrafts result from the following:

 

1. You write a check, authorize an automated debit card transaction or initiate an electronic funds transfer in an amount that exceeds the amount of funds available in your account
2. You deposit a check or other item into your account and the item is returned unpaid, which causes negative balance in your account once your balance is reduced by the amount of the returned check
3. You have inadequate funds in your account when we assess a fee or service charge; or
4. You initiate a transaction before funds deposited into your account are "available" or "finally paid" according to our Funds Availability Policy. For example, if you deposit a check into your account, the proceeds of that check may not be available to you for up to two days after you deposit the check. If you do not have sufficient funds in your account - independent of the check - to cover the transaction, you will incur an overdraft.

 

The COP Service applies to a variety of transactions, including checks and other transactions made using your checking account number, automatic bill payments, ATM transactions and everyday debit card transactions; however, we will not include ATM and everyday debit card transactions within our COP Service without first receiving your affirmative consent to do so. Absent your affirmative consent, ATM and everyday debit card transactions generally will not be authorized under COP.

Participation in COP is not mandatory.You may opt-out of the service any time by notifying one of our service representatives. Further-more, you may revoke your affirmative consent to have ATM and everyday debit card transactions considered for payment COP without removing other items from the service. Simply inform us of your preference.

As noted above, we retain full discretion to decline to pay any item under the COP Program. This means we can refuse to pay any overdraft for any reason. Even if we decide to pay an overdraft item, absent an agreement to the contrary, such payment does not create any duty to pay future overdrafts. If we do not authorize and pay an overdraft, your transaction will be declined and we may assess NSF fees on your account in accordance with your account agreement and the fee schedule in effect at the time of the overdraft.

FEES: For each overdraft we pay, we will charge the standard per item overdraft fee set forth in our schedule {currently $25.00}. We will notify you by mail if we pay or return any insufficient or unavailable funds on your account; however, we have no obligation to notify you before we pay or return any item. We will charge our normal fee whether we approve the item for payment or return it unpaid. The amounts of any overdrafts, including our fees, are due and payable immediately or on demand. If there is an overdraft paid by us on an account with more than one (1) owner on the signature card, each owner, and agent if applicable, drawing/presenting the item creating the overdraft, shall be jointly and severally liable for such overdrafts including our fees:

ACCOUNTS ELIGIBLE FOR COP: The account types eligible for the COP Service are: NOW Checking and Free Business Checking. COP is a discretionary**service and is generally limited to an $800 overdraft (negative) balance for eligible personal checking accounts; or a $1,500 overdraft (negative) balance for eligible business checking accounts. Please note that the overdraft fees count toward your COP limit. We may in our sole discretion limit the number of accounts eligible for COP to one account per household or per taxpayer identification number. Further, COP is usually extended only to accounts in good standing. An account in good standing exhibits, but is not limited to, the following characteristics:

INELIGIBLE ACCOUNTS AND LIMITATIONS: Savings Type Accounts, Money Market Accounts, Public Fund/Charitable Organization Accounts, Certain Trust Accounts, Student Minor Accounts, and any other Minor Accounts, and any other Minor Accounts not of legal age are not eligible for this service. 

 OPTIONAL OVERDRAFT PROTECTION SERVICES: We offer additional overdraft protection services that you may apply for. These include Line of Credit Overdraft Protection and Transfer Overdraft Protection linked to another account of yours with us, such as a savings account If you apply and are approved for these optional services, you may save money on the total fees you pay us for overdraft protection services.

IF YOU NEED HELP: Of course, overdrafts should never be used to pay ordinary or routine expenses and you should not rely on overdrafts to cover these expenses. If at any time you feel you need help with your financial obligations, please contact a customer representative at (812)636-7324 or toll free (800) 477-7324.

**DISCRETIONARY SERVICE: Our Courtesy Overdraft Privilege service does not constitute an actual or implied agreement between you and us. Nor does it constitute an actual or implied obligation of or by us. This service represents a purely discretionary courtesy or privilege that we may provide to you from time to time and which may be withdrawn or withheld by us at any time without prior notice or reason or cause.