How to Get Overdraft Protection with Navy Federal
As a Navy Federal Credit Union member, you may be wondering how to get overdraft protection. Overdraft protection is a valuable service that can help you avoid overdraft fees and keep your account in good standing. In this article, we’ll guide you through the process of getting overdraft protection with Navy Federal.
What is Overdraft Protection?
Overdraft protection is a service that transfers funds from one account to another to cover overdrafts. This means that if you accidentally overdraw your account, the funds will be transferred from your linked account to cover the overdraft, preventing you from incurring overdraft fees.
How to Get Overdraft Protection with Navy Federal
To get overdraft protection with Navy Federal, follow these steps:
- Log in to Your Online Account: Start by logging in to your Navy Federal online account. You can do this by visiting the Navy Federal website and clicking on the "Log In" button.
- Go to the "Services" Tab: Once you’re logged in, click on the "Services" tab and then select "Overdraft Protection" from the dropdown menu.
- Select Your Linked Account: Choose the account you want to link to your primary account for overdraft protection. You can link a savings account, checking account, or even a line of credit.
- Set Your Transfer Amount: Determine how much you want to transfer from your linked account to cover overdrafts. You can set a fixed amount or a percentage of the overdraft.
- Review and Confirm: Review your overdraft protection settings and confirm that you want to enable the service.
Types of Overdraft Protection with Navy Federal
Navy Federal offers two types of overdraft protection:
- Overdraft Protection Transfer: This type of protection transfers funds from your linked account to cover overdrafts.
- Overdraft Protection Line of Credit: This type of protection uses a line of credit to cover overdrafts. You can borrow up to a certain amount and repay the loan with interest.
Benefits of Overdraft Protection with Navy Federal
Overdraft protection with Navy Federal offers several benefits, including:
- Avoid Overdraft Fees: By transferring funds from your linked account, you can avoid overdraft fees and keep your account in good standing.
- Convenience: Overdraft protection is convenient and easy to set up, giving you peace of mind knowing that your account is protected.
- Flexibility: You can choose how much to transfer and from which account, giving you control over your finances.
Fees and Charges
It’s essential to understand the fees and charges associated with overdraft protection with Navy Federal:
- Transfer Fee: Navy Federal charges a transfer fee of $10 per transfer.
- Interest Rate: If you use your overdraft protection line of credit, you’ll be charged an interest rate of 12.50% APR.
- Overdraft Fee: If you don’t have enough funds in your linked account to cover an overdraft, you’ll be charged an overdraft fee of $20 per item.
Conclusion
Getting overdraft protection with Navy Federal is a simple and convenient process. By following the steps outlined above, you can set up overdraft protection and avoid overdraft fees. Remember to review and confirm your settings to ensure that you’re getting the protection you need.
