Bounce Protection FAQs

1. What is Bounce Protection?
   
   Bounce Protection is a courtesy service offered to checking customers who maintain their checking account in good standing. Bounce Protection ensures that debits and withdrawals will likely be covered, even if you do not have the balances to cover the transaction.



2. What Is the Benefit of Bounce Protection?
   
   Whether you make a mistake balancing your account, need emergency funds, or are simply not very good keeping up with your account balance … Bounce Protection provides a sense of security that:
   • Checks will be paid by your bank
   • Debit card purchases will be authorized at point-of-sale
   • ATM withdrawals will be authorized
   
   ...even if you have insufficient funds to cover the transaction.



3. Is there a Fee for Bounce Protection?
   
   Not for the service. However, you will be assessed a $30 fee each time you overdraw your account.



4. Why Must I Opt-In to the Debit Card and ATM Benefits of Bounce Protection?
   
   Beginning August 14, 2010, new federal regulations require banks to discontinue your Bounce Protection for ATM withdrawals and one-time debit card transactions unless you affirmatively agree, or Opt-In, to Bounce Protection for these transactions.



5. What is a One-Time Debit Card Transaction?
   
   The new regulation DIFFERENTIATES between a single purchase at a store, a restaurant, online or by phone … and a RECURRING debit card transaction. In other words, if you have arranged to pay your electric bill or credit card each month AUTOMATICALLY … and provided the company your debit card number instead of your checking account number or a credit card number … the new regulation does not apply. These transactions will be treated just like checks if you overdraw your account. If your account balance is insufficient, and your account has Bounce Protection, we will likely pay the transaction and charge an Overdraft Fee to your account.



6. What Are the Benefits If I Don’t Opt-In
   
   You will avoid Overdraft fees on ALL one-time debit card transactions or ATM withdrawals, because any request at the point-of-purchase or at an ATM will be DECLINED if your balance is insufficient.



7. How Much Bounce Protection Do I Have On My Account?
   
   Ask your CSR or click here for details on our checking accounts. The amount of Bounce Protection varies by the type of checking account you have



8. How Can I Opt-In to Bounce Protection for My One-Time Debit Card and ATM Transactions?
   
   
   • By mail. On May 14, 2010, you were sent a letter and form to sign and a return envelope.
   • By phone. You can call 423-473-7980
   • In person at any Southern Heritage office.
   • Online. Click here to download a PDF file which you can fill out and return to any Southern Heritage office.



9. Can I Change My Opt-In Status?
   
   Yes. You may Opt-in or Opt-Out at any time.



10. Does Southern Heritage Offer Other Overdraft Services Other than Bounce Protection?
    
    Yes. We also offer an Overdraft Protection Account and Overdraft Lines of Credit. Ask us for more details on these products.



11. I’m a Business Owner. How Will the New Regulations Affect Me?
    
    IF YOUR BUSINESS ACCEPTS DEBIT CARDS as a form of payment, you may experience an increased number of declined transactions when these regulations take effect. If you do not process your card transactions in REAL TIME, you may face liability if a customer has a declined transaction but has already left your place of business.
    
    IF YOUR BUSINESS USES DEBIT CARDS to make purchases, the new regulations do not apply to you. If you Overdraft your business checking account with a business debit card … you will continue to be charged $30 per Overdraft incident.



12. What Can Southern Heritage Do To Minimize the Impact of this New Regulation on My Business?
    
    We can work with your business to customize a solution that minimizes your liability. We can help you upgrade your equipment processing ability where necessary and review your accounts to ensure you are not charged unnecessary fees.

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