Business Overdraft Options

We understand that a business owner’s life is busy. Forgetting to record a check or debit can easily happen to anyone, but Regions Standard Overdraft Coverage and Regions Overdraft Protection provide options for payment of items when your small business account is short of available funds.

Standard Overdraft Coverage

Standard Overdraft Coverage is provided on qualified business checking accounts. Standard Overdraft Coverage may be used to authorize and pay overdrafts for various types of transactions, including:

• Checks and other transactions made using your checking account number
• Automatic bill payments
• ATM transactions
• Check card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will authorize and pay any type of transaction. If we do not authorize an overdraft, your transaction will be declined. Overdrafts and other nonsufficient funds transactions are subject to paid overdraft and returned item fees. Please refer the Business Overdraft Coverage Quick Guide or contact your Regions Banker for more information.

Overdraft Protection

Protect your business from overdrawing your business checking account. Regions offers overdraft protection on most Regions business checking accounts.

If you choose to enroll in Regions Overdraft Protection (“ODP”), your business checking account will be linked to a designated business funding account at Regions, such as another deposit account (including a savings or money market account), credit card account, or a line of credit. ODP may be used to authorize and/or to pay check card and ATM transactions if your checking account lacks sufficient available funds. ODP may be used to pay checks, ACH transactions, and other items when payment of those items would overdraw the checking account. While ODP may prevent overdrafts, it is subject to the following:

• If the funding account is a business deposit account, then all available funds in that account can be used for ODP.
• If the funding account is a business credit card account, the entire amount available for cash advances on the card can be used for ODP.
• If the funding account is a business line of credit, the entire amount available under the line can be used for ODP.

We generally transfer amounts from the designated funding account to the checking account in increments of $100. If the amount available for ODP in the funding account is less than $100, or amount available for ODP in the funding account is less than the $100 increment that otherwise would be transferred to cover the amount of the overdraft, we will transfer the full amount available for ODP in the funding account to the checking account.

For example, if one or more items would overdraw your checking account by $250 and the amount available for ODP in your funding account is $300 or greater, we will transfer $300 from your funding account to your checking account.  However, if the amount available for ODP in your funding account is $275, we will transfer the entire $275 from your funding account to your checking account.  A transfer fee of up to $15 will be charged to the checking account each day that a transfer occurs.

If the checking account still has an insufficient available balance to pay an overdraft item after we advance available funds from the funding account, we may return the item or pay it into overdraft. We may then charge the checking account a Paid Overdraft Item fee or a Returned Item fee of $36 per item, in addition to the daily ODP transfer fee.

To qualify for ODP, you must open or have an eligible Regions funding account and enroll in ODP.

Transfers from another deposit account may be subject to transaction limits and excessive withdrawal fees. Credit accounts that may serve as designated funding accounts are subject to credit approval, and funds advanced from a credit card are not subject to a grace period. Funds advanced from a credit line or credit card account will accrue interest at the interest rate provided in the agreement for that account. You should not assume we will use funds otherwise available for ODP to authorize and to pay transactions on the checking account until we notify you in writing that we have processed your request to enroll in ODP. Please refer the Business Overdraft Coverage Quick Guide for more information.

Visit your nearest branch, call 1-800-REGIONS or log in to Regions Online Banking to enroll.