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What is Courtesy Pay? Courtesy Pay is a benefit of your personal checking account. The service will provide up to $500.00 in Courtesy Pay on qualified checking accounts opened at least 6 months and maintained in good standing.
How will Courtesy Pay benefit me? Courtesy Pay will save you the embarrassment and expense of returned checks when you make an honest mistake in your checkbook, have unplanned expenses, or run short on cash between paydays. Instead of returning checks unpaid, we may automatically pay them for you, up to $500.00.
How does Courtesy Pay work? When we receive an item for payment that causes the balance in your account to go below zero, we may pay the check or debit up to $500.00 including the Courtesy Pay fee.
Is Courtesy Pay a loan? No. It is a service provided by the credit union to help you manage your money. This service can be withdrawn at any time by the credit union.
Do I have to apply for this service? No. Courtesy Pay is automatically added to your account as long as it meets the requirements of our Courtesy Pay Policy.
How will I know when I am overdrawn? We will mail you a notice when your account is overdrawn.
What if I go over my Courtesy Pay limit? When you exceed the Courtesy Pay limit, any additional items will be returned or declined when presented for payment.
Is there a charge for Courtesy Pay? Courtesy Pay does not cost anything unless you use it. If you overdraw your account by using Courtesy Pay, we will assess a $35.00 Courtesy Pay fee for each item paid. Items that exceed the Courtesy Pay limit of $500.00 (including Courtesy Pay fees) will be assessed a $35.00 insufficient fund fee for each item and returned as NSF.
What type of transactions qualify for the Courtesy Pay service? If you inadvertently overdraw your account, Courtesy Pay may cover preauthorized debits (ACH), debit card transactions and share drafts not presented over the counter at the First Kingsport Credit Union office.
Can I use Courtesy Pay to pay a FKCU loan payment? No. You cannot use Courtesy Pay to meet this obligation.
What if I do not want Courtesy Pay? We can change your account status so that no overdrawn items are paid using the Courtesy Pay service. If you opt out of the Courtesy Pay service, any future overdrawn items presented for payment against your account will be returned unpaid and a $35.00 NSF fee will be assessed after funds for overdraft protection (if applicable) have been depleted. You may also be charged additional fees by the merchant/payee. Carefully consider your decision to opt out of this program.
Does FKCU offer traditional overdraft protection? Yes. FKCU members are automatically enrolled in transfer from shares overdraft program. FKCU also offers an Overdraft Line of Credit. Please contact the loan department for this service.
If you do have Overdraft Protection on your account, it will use whatever account(s) you have set up, in the order you arranged. Then, if you have qualified for Courtesy Pay, it will default to that service.
What is the difference between Overdraft Protection and Courtesy Pay? Overdraft Protection allows funds to be transferred from a previously designated account to pay an item. Overdraft protection will NOT allow the account to overdraw (go into a negative balance) to pay an item. A line of credit can be set up to be used for overdraft protection. In order to receive a line of credit, you must complete an application and receive credit approval.
Courtesy Pay is a non-contractual courtesy, offered at the sole discretion of the credit union, to members who maintain their Share Draft accounts in good standing. Any Courtesy Pay amount covered by FKCU in the Courtesy Pay process is NOT considered an account holder loan and is not subject to interest being charged. Each overdraft item that is paid is subject to the Courtesy Pay fee.
Overdraft Protection and Courtesy Pay are two completely separate services offered by FKCU.
I thought I had Courtesy Pay. Why did you return my check as an NSF? Remember, the Courtesy Pay maximum is $500.00, including all Courtesy Pay fees. Items are returned NSF if you go over the amount or if you have been taken off the list because you did not rectify your account balance. Courtesy Pay can be taken away if FKCU determines your account is no longer in good standing. The credit union is not obligated to honor any future Courtesy Pay items, even though it may have previously been approved as a Courtesy Pay item.
How long do I have to bring my account into balance? Generally speaking, you should bring your checking account to a positive end-of-day balance as soon as possible and certainly within 15 days. However, depending on the situation, we can ask for repayment at any time. Any deposit that is made will automatically be applied to any overdrawn balance and associated fees first .
What happens if I can't bring my account(s) to a positive balance? Your Courtesy Pay will be suspended or revoked until the account is returned to good standing, regardless if you've reached the $500.00 limit or not. If your account balance is negative for 30 days, you could lose your checking privileges at First Kingsport Credit Union.
Please contact Tina or Dee Dee for payment arrangements at (423) 229-9463.
HOW TO QUALIFY: Enrollment in Courtesy Pay is automatic for those members who qualify. Requirements include, but are not limited to:
 You must be at least 18 years old You must have had your checking account opened for a minimum of 6 months and in good standing
You have a minimum total deposit of $1000.00 a month into your FKCU share draft (checking) account
You do not have any written off or delinquent loans
You do not have any tax levies
Your account must be brought to a positive balance at least once every fifteen days
Payments made on behalf of members are at the discretion of First Kingsport Credit Union. Courtesy Pay program requirements and procedures may be changed or withdrawn at any time without contact. Members will be removed from the Courtesy Pay program if they do not meet the above requirements.
Beginning January 1st, 2008, FKCU will begin servicing our members who qualify with Courtesy Pay. With this service, FKCU may pay any overdrawn checks on your share draft (checking) account, saving you from the embarrassment and additional fees that accompany bouncing checks. Courtesy Pay protects your checking account, even if you don't have Overdraft Protection because FKCU may pay the item(s) as a Courtesy to you.
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