JPMorgan Chase Bank popularly called Chase Bank is a national bank based in America with its headquarters in New York City. This bank was originally founded in 1799 and was formerly known as Chase Manhattan bank. It has about 5,100 branches with over 250,355 employees all over the country. Account creation in Chase bank is free. When you initiate a payment or withdrawal from your Chase account that exceeds the available balance, you will be charged an overdraft fee. As part of an overdraft protection service, the bank pays the balance to complete the transaction. The bank charges a fee in addition to paying the cost of that transaction.
Averagely, overdraft fees cost around 34 dollars in banks. When your balance is not enough to complete your withdrawal or payment, the bank still pays for the transaction on your behalf, the money paid on your behalf is an overdraft. As a result, the amount left in your Chase account becomes negative. Oftentimes, you will be charged for the transaction and the cost of this charge of the overdraft fee. The negative balance will be the amount you were lent by the bank plus the charges. This doesn’t occur naturally, Only those who have signed up for an Overdraft Protection Program can enjoy this service.
How Much does Chase Overdraft Fee Cost?
A rule that is particular to chase bank is that you can’t get an overdraft more than three times a day. The overdraft fee is usually $34 for every transaction which is more than $5. This means that the fee can be waived for you if the total amount of your purchase, withdrawal, or payment is $5 or less.
the only reason your transaction or withdrawal can be rejected even when you are under the Overdraft Protection Program is when your Chase account is in bad standing.
Chase Overdraft Rules and Limits
The rules and limits guiding chase overdraft are quite direct. They are explained better below:
• Notwithstanding the reason why you need an overdraft, Chase will only allow you to enjoy the Overdraft Protection Program just three times a day. this will add up to a total daily charge of (s)102.
• If the cost of your purchase or withdrawal is $5 or less, or your balance at the end of the day is overdrawn by the same amount, you will not be charged.
• You will be charged for both insufficient funds and returned items if you initiate the transaction severally. Chase will only charge you the returned item fee once every 30 days if one of the goods is returned, though.
By transferring the necessary amounts to make up the shortfall before the specific business day expires, you can prevent the overdraft. Depending on where and how the transaction was completed, different cut-off times apply.
• At one of the branches: Before they close for the day
• At an ATM stand: Before 11 pm eastern time
• Making transfers online or through banking app: eastern time
How Much Does Chase Overdraft Fee Really Cost you?
If you’re not careful enough, overdraft fees can mount and become bulky. According to the Customer Financial Protection Bureau, overdraft and NSF fees collectively cost Americans $17 billion per year. The fee is possibly the largest-single fee for banking-related costs for those operating a checking account.
Most of the overdraft fees are related to debit card purchases whose total is $34 or less and are paid back in three days according to the CFPB.
Learning how to avoid overdraft fees can help you save money because they are not necessary and can be avoided easily.
More About Chase Overdraft
You are limited to making about 6 savings withdrawals every month before the fee of $5 is applied to future withdrawals. To avoid charges and have all activities that surpass your balance automatically denied, you can discontinue Chase Debit Card Overdraft Protection whenever you want.
Your savings account might be converted to a checking account automatically when you exhaust your withdrawal limit which will cost you your overdraft protection and all interests you will get on your savings in the future.
Frequently Asked Questions
1. How can I waive the chase overdraft fee?
your Chase account must be either Chase Private Client or Chase Sapphire Checking if you want to waive the fees.
2. Can I waive the chase overdraft after I have been charged?
Yes, just place a call to the customer service and kindly request to have your chase overdraft waived. If denied, hang up and call back to see if the next representative who will pick up your call will be willing to be of help.
3. Does overdraft affect your credit score?
Definitely. Frequently using an unarranged overdraft will influence your credit rating or score since it can let potential lenders be aware of the fact that you are struggling to maintain your finances.
4. How many times can I enjoy Chase overdraft in a day?
Chase allows fees of three overdrafts per day notwithstanding the reason for the overdraft till a total daily charge of $102 is reached.
