Overdraft Advance

Imagine these scenarios:

You’re in the grocery store check-out line with a cart full of groceries. You swipe your card and it is declined.

You’re out of town at a gas station and you need to fill your tank. You go to pay with your debit card at the pump and it is declined.

You’re out of town and need some cash. You go to an ATM, use your card to take out $300. It is declined.

There are times in life that your checking account balance is at or near zero and your card won’t allow you to make a purchase or a cash withdrawal. You may have made a mistake in balancing your account, a debit comes out of your account sooner than expected, or you are just one day away from payday.

But, by simply opting in to Overdraft Advance below, each of the above scenarios would have resulted in the successful completion of the transaction! Best of all, there is no cost to sign up and there will never be a charge if you don’t use the service. Read below for details.

Dear Member,

At Coloramo Federal Credit Union, we are always looking to find new and better ways to serve you, our member. As of July 13, 2010, we began providing you with a special program called “Overdraft Advance” for members ages 18 years and older with a personal share draft account open for at least 60 days. Overdraft Advance provides a cushion that will permit you to overdraw your account up to $350.00. By paying your overdraft in this way, you will eliminate the extra expense and potential embarrassment of having a share draft/check returned.

Overdraft Advance is a non-contractual agreement that requires no action on your part for the standard service. As of July 1, 2010 there is an additional Overdraft Advance opt-in service where ATM and one-time debit card transactions may be covered by Overdraft Advance. Your current overdraft protection arrangements will remain in place exactly as they are now. Overdraft Advance services will only be activated if there are insufficient funds available from your other accounts. This coverage will be extended to you as long as your account remains in good standing. Most transactions that overdraw your personal share draft account will be covered up to the $350.00. We will apply an overdraft advance fee of $30.00 for each transaction that we honor. We will notify you each time your Overdraft Advance service is activated. Once your Overdraft Advance service has been activated, it is your responsibility to correct any balance deficiency as quickly as possible. You will have up to 30 days to repay the advance and fee, at which time the overdraft advance service will again be available for your use. After 30 days, our normal collection process begins.

You are a valued member of Coloramo Federal Credit Union and we hope that you find Overdraft Advance beneficial. At Coloramo Federal Credit Union, we believe Overdraft Advance is one more way we can let you know how much we appreciate your membership. Complete the form on the back of this letter to indicate your choice to opt in to this service. If you do not wish to have this service, complete and sign the Option to Waive. Please submit the form below at your earliest convenience.

Not all members will be eligible for Overdraft Advance. Please read the disclosure printed on the back of this letter for detailed information on this service and the eligibility restrictions. If you have any questions after reading this disclosure, please feel free to call us at (970) 243-7280 and one of our Member Service Representatives will be able to assist you.

Sincerely,
Patsy Diamanti
Electronic Services Coordinator

Coloramo Federal Credit Union’s
Overdraft Advance Disclosure
Effective: July 13th 2010

Coloramo Federal Credit Union’s Overdraft Advance is a service offered to our members on their personal share draft account. Coloramo Federal Credit Union may honor overdrafts of individual share draft accounts subject to certain conditions and limitations as set forth in this disclosure. Coloramo Federal Credit Union may subtract an overdraft fee up to $30.00 for each overdraft honored upon presentment.

All members 18 years of age and older are eligible for Overdraft Advance as long as their account remains in good standing. Good standing is defined as making regular deposits and bringing their account to a positive balance at least once every 30 days, having a valid address on file with Coloramo Federal Credit Union; not being more than 20 days past due on a loan with Coloramo Federal Credit Union; not having caused a loss to Coloramo Federal Credit Union and not subject to any legal or administrative order or levy. Accounts must be in good standing to be eligible for the Overdraft Advance program. All existing share draft accounts that have been opened for a minimum of 60 days may automatically be eligible for the Overdraft Advance program. Members are subject to a maximum overdraft limit, including overdraft fees, of $350.00. Primary and/or joint owners may request and/or remove their account(s) from the Overdraft Advance program at any time. Primary and all other owners shall be jointly and completely responsible for the overdraft including the overdraft fee.

Overdraft Advance is a non-contractual agreement between Coloramo Federal Credit Union and its members. Coloramo Federal Credit Union has the right to discontinue the program or withdraw any share draft account from the program based on poor performance of the account, or failure to cover the overdrafts. Coloramo Federal Credit Union also has the right to limit participation to one account per household. Coloramo Federal Credit Union has the option to either honor the overdraft or return the item for insufficient funds even though we may have previously paid overdrafts for the member. There is no interest charged on any overdraft or unpaid overdraft charge. There will be no late charges or other fees other than the overdraft charge. Coloramo Federal Credit Union will notify the member by mail of any overdraft paid or returned; however we have no obligation to notify you before we pay or return an item.

The following transactions may be covered under Overdraft Advance without the opt-in:

• Checks and other debits cashed at a teller’s window
• ACH debits and withdrawals
• Service or check charges
• Pre-authorized internal debits
• Checks issued to a third party

Overdraft items will be posted in accordance with Coloramo Federal Credit Union’s existing share draft procedures.

Members who currently have overdraft transfer protection from savings or overdraft loans will continue to have access to those services prior to accessing Overdraft Advance.

It is Coloramo Federal Credit Union’s policy to provide members with every opportunity for repayment.

The Overdraft Advance opt-in option allows Coloramo Federal Credit Union to authorize ATM and one time debit card transactions when enough funds are not available.

Overdraft Options Form

* Required Field
* Member Name
* Email Address
* Last 2 digits of Member Number
* Mailing Address
Options
Opting In I wish to have Overdraft Advance services extended to me on ATM and one-time debit card transactions. By signing this form, I understand that Coloramo Federal Credit Union will authorize these transactions to my share draft account through the Overdraft Advance service. Additionally, I understand that I may receive up to a $30.00 fee per item. If I wish to have any Overdraft Advance services discontinued in the future, I may do so at any time.
Waive All - I do not wish to have Overdraft Advance services extended to me. By submitting this form, I understand that Coloramo Federal Credit Union will not cover overdrafts to my share draft account through the Overdraft Advance service and that any item(s) presented against insufficient funds will be returned unpaid with applicable NON-SUFFICIENT FUNDS fees assessed. Additionally, I understand that if I wish to have Overdraft Advance services extended to me in the future, I must meet the eligibility requirements at that time.
Please Choose:	I wish to have Overdraft Advance services extended to me on ATM and one-time debit card transactions. I do not wish to have Overdraft Advance services extended to me.
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