Overdraft Privilege Disclosure
It is the practice of American National Bank (hereafter referred to as "the Bank", "we" or "us") to comply with all applicable laws and regulations and to conduct business in accordance with applicable safety and soundness standards.
The Disclosures provided to you at the time you opened your account with us controls the duties, obligations and rights of the Depositor, the Authorized Signatories and the Bank with regard to your checking account. The New Account Disclosures* (and all amendments thereto) and its terms shall control any possible conflict, if any.
Overdraft Privilege Conditions
Overdraft Privilege is a courtesy; it is not a line of credit. If you inadvertently overdraw your account, we will have the discretion to pay the overdraft, subject to the limit of your Overdraft Privilege and the amount of the insufficient funds fee (NSF). The Bank is not obligated to pay any item presented for payment if your account does not contain sufficient available funds. Any payment by us of an overdraft item does not obligate us to pay any other overdraft or item, or to provide prior notice of our decision to refuse to pay such item.
Pursuant to the Bank's commitment to always provide you with the best level of service, now and in the future, if your consumer account (primarily used for personal and household purposes) has been open for at least sixty (60) days, and thereafter you maintain your account in good standing, which includes at least:
A) Bringing your account balance to a positive balance within every thirty (30) day period for a minimum period of 24 hours;
B) Not being in default on any loan or other obligation to the Bank; and
C) Not being subject to any legal or administrative order or levy,
we will have the discretion to pay overdrafts within the overdraft privilege limits. But payment by the Bank is a courtesy and not a right of the customer or an obligation. This privilege amount for consumer checking accounts will vary based on account qualifications, but will not exceed a maximum of $700. Of course, any and all fees and charges, including without limitation the insufficient funds fees (as set forth in our Miscellaneous Fee Schedule and Truth in Savings Disclosure), will be included as part of this maximum amount. It may be possible however that your account will become overdrawn in excess of the Overdraft Privilege amount as a result of the assessment of a fee.
The total of the Overdraft Privilege balance, including any and all fees and charges, and insufficient funds (NSF), is due and payable upon demand; Depositor and each Authorized Signatory will continue to be liable, jointly and severally, for all such amounts, as described in the Terms and Conditions Agreement (given at account opening), with a maximum repayment period of 30 days. Our standard NSF fee of $33 per item will be imposed for overdrafts created by checks, ACH, Point-of-Sale, ATM withdrawals, in-person withdrawals, or by other electronic means.
Order of Paying Checks and Other Items
American National Bank is pleased to be your financial partner. To ensure that the partnership runs smoothly, we like to make sure you are aware of how some of the processes work when it comes to your account.
Posting Order of Items
One such process is the order in which we pay items you direct to be deducted from your demand deposit (checking) or money market account.
Transactions are not processed in the order in which they occurred or are received. Our policy is to pay specific types of transactions first, and then proceed to the next type of transaction. As disclosed in the Terms and Conditions given to you upon account opening, we may process items presented against your account in any order we select, without notice to you.
There are two parts to the processing of transactions; that is, the type of transaction and the sequencing of payments within each type of transaction. Our current order for processing types of transactions, unless otherwise required or prohibited by law or systematic limitations, is as follows:
|Type of Transaction||Posting Order of Items within this Type of Transaction|
|First: External Wires||Low Dollar to High Dollar|
|Second: Officer approved and Cashed Checks||Low Dollar to High Dollar|
|Third: Foreign ATM Withdrawals||Low Dollar to High Dollar|
|Fourth: ACH Debits||Low Dollar to High Dollar|
|Fifth: On Us ATM Withdrawals||Low Dollar to High Dollar|
|Sixth: Telephone Transfers||Low Dollar to High Dollar|
|Seventh: POS Transactions (POS)||Low Dollar to High Dollar|
|Eighth: Physical Checks presented via Fed or other||Check # order (Low to High)|
|Ninth: Auto Internal Loan Payments and sweeps||Low Dollar to High Dollar|
All items presented within a type of transaction described above (except for item "eight" which will be paid in Check # order, low to high) will be paid in order from the lowest to the highest dollar amounts. This means that the lowest dollar item will be paid first, then the next largest dollar item, and so on.
The order in which transactions are processed is important. If there is not enough money in your account to pay all of the items that are presented to the Bank, it will impact the total amount of fees (NSF or continuous negative balance) that you incur. If an item is presented without sufficient funds in your account to pay it, we may, at our discretion, either (1) pay the item creating an overdraft, or (2) return the item (NSF), both of these options will result in fees to you. (If you have elected Overdraft Privilege for POS and ATM items, these will be paid in accordance with the Overdraft Privilege agreement, and will result in a fee(s). If you have not elected Overdraft Privilege for POS and ATM items, and there are insufficient funds in your account, the transaction will be declined at the point of sale.) The amounts of the NSF and continuous negative balance fees are disclosed in the Fee Schedule.
You may always verify your account online, which reflects the actual processing order. Since your bank statements do not track your account balance based on the above processing order, we encourage you to keep careful records, and practice good account management keeping the above processing order in mind to avoid authorizing deductions without sufficient funds and incurring the resulting fees. We are pleased to work with you to assure your understanding of these procedures and its impact upon fees.
* Click here for a copy of the current account disclosures.