Business Overdraft Protection

When you enroll in Overdraft Protection (ODP), your business checking account is linked to another deposit account (e.g., checking, savings or money market account), credit card account, or line of credit (e.g., Business Reserve Line). ODP may be used to authorize and pay 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. 

Here’s how it works:

• When a linked Overdraft Protection account is available, the funds in that account are automatically transferred to your overdrawn account to reduce the negative balance and prevent fees or declined transactions.
• Let's say your checking account balance is $42 and the available balance in your linked credit card account is $1,000. If you write a check for $125, this will overdraw your checking account by $83. In this scenario, we will automatically transfer $100 from your linked account to your checking account to cover the shortfall and prevent your transaction from being declined.  A $12.50 Overdraft Protection Transfer Fee will be charged to the linked business checking account.
• The transferred amount includes enough to cover your negative balance, but please note that you will incur an Overdraft Protection Transfer Fee of $12.50 for the transfer.

• The Overdraft Protection (ODP) advance amount transfers in increments of $200.

• ODP transfers from a deposit account are not assessed an Overdraft Protection Transfer Fee.

• Only one ODP transfer occurs per day to cover all incoming overdraft items.

A U.S. Bank Reserve Line is a separate line of credit that can be used to manage your cash flow and finance short-term working capital needs. It provides you with easy access to funds whenever your business needs them. You can use the Business Reserve Line to cover unexpected expenses, pay for inventory, or take advantage of new business opportunities. The amount of credit available is determined based on your creditworthiness and other factors. Interest is only charged on the amount of credit you use, and you can repay the balance at any time without penalty.

A Business Reserve Line of credit will be linked to a checking account for automatic Overdraft Protection purposes.^{3, 4}

A $12.50 Overdraft Protection Transfer Fee will be charged to the linked business checking account when funds are automatically transferred from the Business Reserve Line to the business checking account as Overdraft Protection. Transfers process in $200 Increments.

To apply for a Business Reserve Line, make an appointment with a banker.

• The Overdraft Protection Transfer Fee applies to the business checking account.
• Transfers process in $100 increments from Cash Flow Manager. The line of credit must have available funds for the transfer to occur.

• The $12.50 Overdraft Protection Transfer Fee is applied to the business checking account.

• Transfers process in $25 increments.

To get Overdraft Protection, just link up to two eligible accounts^1,2 to your checking account. You can connect a savings, money market or second checking or credit account—such as a credit card to your main checking account. 

Eligible U.S. Bank Business accounts include:

• U.S. Bank Business savings, money market and checking accounts

• U.S. Bank Business credit cards

• U.S. Bank Business Reserve Line of Credit  

• U.S. Bank Business Cash Flow Manager Line of Credit

Once you've decided the specific accounts from which you wish to initiate Overdraft Protection transfers, you can proceed by following one of the two options below. 

• Call us at 800-USBANKS (872-2657) or

• Talk to a banker at a U.S. Bank branch.

If a Business Reserve Line of Credit is linked to an account, it will be the primary source of funding to cover a negative balance. Transfers process in $200 increments.

If there is no Business Reserve Line of Credit linked, but you have both a credit and a debit account linked as ODP, funds will pull from the debit account first.^3,4

Transfers of funds facilitated via Overdraft Protection from a linked deposit account, such as a U.S. Bank Business savings account, money market, or a secondary checking account, will not be subject to Overdraft Protection Transfer Fees. If the transfers originate from a linked U.S. Bank business credit account (U.S. Bank Business Reserve Line of Credit, U.S. Bank Business credit card and other lines of credit) the fee is $12.50.

Here are some proactive steps you can take to avoid Overdraft Protection Transfer Fees:

• Download  the U.S. Bank Mobile App to your mobile device or visit usbank.com.
• Set up account alerts  and receive email or text messages when your balance is low or when payments are due. [Please be advised that the alerts may not be sent immediately.]
• Monitor your account and transfer funds into your checking account on your own before an overdraft occurs. 
• Explore the checking account options by calling 24-Hour Banking at 800-USBANKS (872-2657) or by visiting your local U.S. Bank branch. We accept relay calls.

Overdraft Protection allows you to link your accounts so that funds can be transferred to your checking account in case a check, debit card, or ATM transaction exceeds the available balance in your account.  

At U.S. Bank, the term Standard Overdraft Coverage refers to how transactions will be handled if your available balance falls below zero. U.S. Bank may authorize and pay overdrafts for these types of transactions, but this service comes with a fee, as follows:

• Checks and other transactions using your checking account number.
• Automatic bill payments
• Recurring debit card transactions (such as automatic subscriptions)  

Each overdraft item we pay on your behalf will be subject to "Overdraft Paid Fees." Please see your Business Pricing Information (PDF) and Business Essentials Pricing Information  (PDF) disclosures for more information.