Honor Pay for Checks and Debit Cards
We understand that everyone occasionally miscalculates their expenses or forgets to check their balance, and this can lead to the embarrassment of having your transaction declined. That’s why Communication Federal Credit Union offers Honor Pay for checking and for debit cards as a way to cover overdrafts on your account.
Check Honor Pay
Honor Pay® Overdraft Protection* for Checks
- Saves returned check fees from merchants
- All other means of overdraft protection will be attempted prior to use of Honor Pay
- When an overdraft occurs, your account will be taken negative by the dollar amount of the overdraft, plus the service charge
- A service charge will be assessed for each overdraft item. There are no additional fees or monthly service charges for Honor Pay
- You must have direct deposit of at least $500 per month
- You have 14 days to cover any negative balance
- The account must be maintained in good standing
Debit Card Honor Pay
We also offer Honor Pay to our ATM/Debit card holders who meet certain qualifications. For those who opt-in to this service, CFCU will not return or decline transactions if your funds are insufficient. Instead, we will cover the transaction, just like a check overdraft.
In order to qualify for Honor Pay, your checking account must be in good standing for at least 60 days and have two consecutive months of direct deposit totaling at least $500 per month. Each transaction covered will incur a Honor Pay convenience fee.
How to Opt-In
Honor Pay for debit cards is 100% optional. Qualifying members can opt-in by calling CFCU at 800.522.3535. You may also send a request to us via the secure message center of the online banking dashboard. In order to opt-in, you will need to sign a consent form. We can send this to you or you can download it here and sign it and return it to CFCU. You can also fill out the form at the bottom of this page to request to opt-in or to opt-out.
What If I Change My Mind After I Opt-In?
If you wish to cancel Honor Pay for your debit card please call 800.522.3535. You can also complete our opt-out request form below.
Important Information About Overdraft Fees & Debit Cards
What is an overdraft fee?
An overdraft fee is charged when a debit transaction exceeds the available balance.
What is an available balance?
The available balance is the amount shown in your account minus any holds or outstanding debit card authorizations and will also not include: checks that have not cleared, pending online bill transactions and pre-scheduled debits.
What is outstanding debit card authorization?
An outstanding debit card authorization is the amount immediately deducted from your available balance while the credit union waits for the final settlement request from the merchant.
What is an overdraft?
An overdraft is when a debit transaction exceeds the available balance in your account.
Are debit card pre-authorizations always equal to the exact amount of my transaction?
No. Some merchants may hold amounts that are higher or lower than the purchase amount. It will vary from merchant to merchant.
Can I set up automatic transfers from another account to help avoid overdraft fees?
Yes. You may set up automatic transfers from any of your savings or line of credit accounts. You may also set the priority of accounts for transfers to cover checks or debit card purchases. Please be advised, that if your transfers are coming out of a savings account, you are limited by Regulation D to six electronic transfers per month. However, if the transaction amount exceeds your savings or line of credit balance, then you will incur the Honor Pay fee. You may also set the priority of accounts for transfers to cover checks or debit card purchases. *There is a transfer fee assessed when funds are automatically transferred to cover an overdraft.
What do I do if I overdraft my account?
You should deposit funds as quickly as possible in order to bring your balance back to a positive standing and avoid any additional overdrafts and fees. If you have questions, please contact us at 800.522.3535.
How to Avoid Overdraft Fees
- Keep track of your account balance, including outgoing expenses, bills and checks
- Make a note of all transactions, keeping in mind that some transactions may not post right away
- Keep a calendar of scheduled payments so that you know the date these payments will draft
- Set up direct deposit with your employer or any other sources of regular income
- Set up online banking alerts at comfedcu.org and receive alerts when your balance has fallen below a certain amount
- Ask to set up automatic payment withdrawals from your savings or line of credit account to help avoid overdraft fees
Debit Card Honor Pay Form
Please complete this form if you would like to opt-in to our ATM/Debit Card Honor Pay service. Please note that only those with qualifying accounts may opt-in to Honor Pay. You will also be required to return a signed consent form to CFCU. A link to this form is available under the ‘How to Opt-In’ section of this page.