Gobank is known for its banking services, it is the first bank account that is designed to be used and opened through four mobile devices. It is possible through the help of Loopt’s technology and its workforce. Gobank is a good option for an individual looking for an extremely simple checking account, this is because of their no-interest policy and also how it can be accessible by everyone and in your leisure time. This article will enlighten you on all to know about gobank and whether it can be overdraft and also valuable information behind the overdraft. In this article, we will see about ‘Can You Overdraft Gobank?’.
What is Gobank and Can it be Overdraft?
Gobank is a financial technology and registered bank holding company, it was established to focus on digital banking by allowing money to be accessed by everyone at every time of the day and its head office is located in Pasadena, California, United States. The digital bank was developed in 2013 by Green dot corporation with the help of the largest known Loopts technology, the vision behind the establishment is that they want to pivot from a prepaid debit card company into a mobile platform company. Gobank is known to offer mobile checking with a debit card and their tools, their services are not limited to using a debit card alone but they can also help you in paying your bills. Their deposits are insured by the Federal Deposit Insurance Corporation (FDIC) through Green dot corporation.
An overdraft is when you spend more money than what is in your account thereby making you owe the bank. In other terms, an overdraft occurs when you don’t have enough money in your account to complete an ongoing transaction, thereby resulting in you borrowing money from the bank. It is only allowed when you are regarded as a potential client in that bank.
The next question is does gobank allows overdraft?
Gobank sometimes does not allow overdraft but this depends on the type of account you have and how much money enters your account every month. For those that are not eligible, any transaction performed by them that will make your accounts move from green to red is automatically rejected. Therefore, we can not conclude whether this digital bank allows an account to be overdraft or not.
How to unlock overdraft protection from Gobank?
Overdraft protection is a form of agreement that an individual has with their bank or financial institution in other for them to cover an overdraft on a checking account. This service is known to require a fee and this varies from one bank to another. The major reason for requesting overdraft protection is to be able to ensure emergency transactions and this will help your finances make more sense by not allowing the recipient to know about your low bank balance.
Gobank charges half of what other banks charges for their average overdraft protection which is $35 per overdraft. There is a policy that if you pay your overdraft money within 24hours of it getting overrated, there will be no amount of fees that will be charged by the neobank. The following step will help you in getting started on your overdraft protection;
1. Click on your browser and set up your account on the gobank platform. This setup will help you to receive eligible direct deposits and any other valuable transactions.
2. Go to your account agreement to check your Feature availability and eligibility
3. Opt-in for overdraft protection after checking your eligibility on your device
4. It will direct you to where it will automatically provide coverage for any purchase transactions based on your regular deposits
You should note that it is only payroll and also government direct deposit that is authorized for overdraft eligibility. Automatic Teller Machine (ATM) withdrawals, bill payments that are made within the app, and sending money to faraway individuals are not covered by overdraft protection. You should also note that your balance must be brought to at least a $0 within 24 hours of approval of the transaction that makes your account to be overdraft in other to avoid the fee and if it is not, your overdraft and likewise the overdraft few will be removed immediately you make your next deposit.
How much can be overdraft by a Gobank card?
After all the hassles that are related to overdraft signing up and protection, you are then wondering what is the least amount that you can overdraft and to what amount can your account be an overdraft. Do not worry, this article will make you aware of the three (3) digital plans that gobank can cover and also what charges a fee is required for the plans.
1. Basic plan
It is the least plan in the section. It is done whenever you receive a single direct deposit of any amount to your account from gobank. It is a $10.00 coverage and does not usually attract any charges even after the 24hours stipulated by the bank.
2. Premium 100 plan
It is the second medium plan in the section. It occurs when you receive at least two (2) direct deposits in your account making it a total of $200 since it is a coverage plan of %100. This plan will attract a fee of $15 If it occurs within an interval of 35days.
3. Premium 200 plan
It is considered the last and the most powerful of the coverage. It occurs when you receive at least two (2) direct deposits in your account within a 35 days interval. This coverage is meant for $200 making the total of a $400 overdraft transaction and it usually attracts a $15 fee within or without you taking your balance to $0 within 24hours.
You should also note that you will be automatically enrolled in the gobank overdraft protection program, the section you are in will be determined by your direct deposit history.
Conclusion
Gobank Overdraft helps you have access to money you don’t own during an emergency period, the set-up is quite easy since it can only occur within a few hours on your mobile device all you need is to be eligible for gobank overdraft. You can also determine your overdraft limit by your direct deposit history.
