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. Overdraft transactions are subject to paid overdraft fees. Please refer to 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 Savings or Premium Money Market 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 $10. If the amount available for ODP in the funding account is less than $10, or amount available for ODP in the funding account is less than the $10 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 $245 and the amount available for ODP in your funding account is $250 or greater, we will transfer $250 from your funding account to your checking account. However, if the amount available for ODP in your funding account is $248, we will transfer the entire $248 from your funding account to your checking account. We do not charge a transfer fee for Overdraft Protection transfers.

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. If we pay the item, we may then charge the checking account a Paid Overdraft Item fee of $36 per item. There is no charge to your checking, savings, or money market account if we do not pay a check or other item due to insufficient funds and the item is returned. When the available balance in your business account is overdrawn by $5 or less after end-of-day-processing, we will not charge you a Paid Overdraft Item Fee for that post that day.

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

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 the Regions Green Line® at 1-800-REGIONS (734-4667) or log in to Regions Online Banking to enroll.