There are some simple ways that you can avoid overdrafts and the fees associated with them. Here are a few tips.
Tips for Avoiding Overdrafts
- Keep a register on your account and reconcile it often.
- When you write a check or use your ATM/Debit card, record the transaction in your register immediately.
- Don't forget to record ACH deductions such as utility bills, loan payments, insurance premiums, etc.
- Remember to allow for service charges and/or check order fees on your accounts, if any.
- Don't rely on "float", which refers to the time between when you write the check and the time when it clears the bank. Today, most checks clear within a day or two, if not immediately. Most ATM/Debit card transactions are deducted from your account instantly.
Peoples Bank and Trust Company also offers tools that will help you avoid overdrafts, including:
- Free Internet Banking, which allows immediate transfers between accounts and daily monitoring of account activity.
- Night Depository, which allows you to drop your deposits off when the bank is closed. Deposits are credited early the next business day.
- Extended hours on Friday afternoons and Saturday morning banking.