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Information about Share Drafts
Welcome to the Revolution. Why are share drafts revolutionary?
Share Drafts are the most up-to-date program credit unions can offer their members among
today's financial services. This service allows easy access to your funds anywhere, any
time. Share drafts can save you money too. There is no monthly service charge, no minimum
balance required.
You may use share drafts as you would a personal check-to pay bills, to make purchases, to
pay for services, and to receive cash. Merchants welcome your patronage with share drafts.
Once you have joined the share draft revolution, you will enjoy the advantages of making
money while accessing your money in the easiest possible way.
| BENEFITS |
| A share draft is a negotiable item much like a personal check.
And a share draft account operates like a checking account, but offers additional benefits
to you. |
| NO SERVICE CHARGE |
| If you have ever incurred a monthly service charge or per check
fee on your bank checking account, you will enjoy the absence of those charges on this
account. You are charged only for the cost of imprinting your personalized drafts. |
| MICROFILM COPIES |
| Your canceled drafts will be microfilmed and stored safely for
you. Should you ever need a copy besides your own carbon copy, you may request one, either
by phone or letter. There is a $2.00 service fee for each copy requested. |
| NO MINIMUM BALANCE |
| No minimum balance is required. |
| DEPOSITS |
| Deposits may be made by mail or in the office, or by taking
advantage of payroll deduction. Direct Deposit is available for retirement, social
security checks and etc. |
| HOW TO OPEN AN ACCOUNT |
| Most members are eligible for a share draft account. However, a
member must have a regular share/savings account before any other credit union service may
be offered to them. Joint owners on a share draft account must be identical to those on
the regular share/savings account. In the case of joint accounts, all owners have the
right to make deposits and withdrawals independently. Write or stop by our credit union
office and complete a Share Draft Signature Card. Your draft order may be completed at
that time (allow two weeks for delivery). A cash deposit may be made or you may request a
transfer of funds from your regular share savings account to your new share draft account
in order to open your account. Be sure to make deposits to the share draft account before
you withdraw money from it-protect yourself from overdrafts by always balancing your
account. |
| OVERDRAFT-NONSUFFICIENT FUNDS |
| In order for the share draft system to have complete
acceptability, overdrafts must be held to a minimum. If non sufficient funds occur more
than three times within any one quarter further ability to use share drafts may be denied.
A $20.00 charge will be assessed for each draft that is insufficient. |
| DIRECT DEPOSITS |
| Direct deposit is the sure way to have money in your share draft
account when you need to write drafts for paying bills, etc. Military net paychecks,
Social Security and VA Annuity checks may be automatically credited to your account on
payday via the Treasury Department. Retired members are encouraged to take advantage of
direct deposit of net checks to their share draft account. The forms you need are
available at the Credit Union, and we'll process them for you. |
| HOW SHARE DRAFTS WORK |
| A share draft looks like a personal check printed on a
distinctive paper. Your name, address, social security number and phone number may be
printed on the top of the draft. To reorder share drafts, just fill out the reorder form
enclosed with your drafts and mail it to us, or give it to a teller in the office.
When you write a share draft, the business or individual you make it out to
deposits it with their other receipts; the draft clears through banking channels and is
charged against your account at Metro North Federal Credit Union. For "Pocket
Money", simply cash a share draft at the Credit Union or where you do business.
As you write a share draft, you make a carbonless copy which provides you with
an immediate record of the draft you have just written. If you have ever written a check
and forgotten to write it down in your check register you can understand the advantages
and convenience of having a carbon copy of each draft you write.
The carbonless copy, along with your monthly statement, will serve as proof of
payment when needed-even for the Internal Revenue Service. Your canceled drafts will be
microfilmed and stored safely for you. |
| MONTHLY STATEMENT |
| Each month, a share draft account statement and a reconciliation
form will be mailed to help you balance your account. Simply check off the drafts on your
register that appear on the statement. Then complete the reconciliation form, referring to
your carbonless copies for outstanding drafts written, to reconcile your account. |
| STOP PAYMENT ORDER |
You may request a Stop Payment Order" on a draft by calling
or by visiting the credit union. If the draft has not yet cleared through your account, it
will be returned unpaid to the payee. Stop Payment becomes effective 24 hours after formal
request. There is a $10.00 service fee for
"Stop Payment Orders". |
| DEPOSIT INSURANCE |
The aggregate balance of your accounts
(regular share accounts and share draft) are insured up to a maximum of$100,000.00 by
NCUA, an agency of the U.S. Government. |
| OTHER CREDIT UNION SERVICES TO INCLUDE: |
Loans
Savings
Mortgage Loans
Visa Credit Union Credit Cards
Credit Union Cashier Drafts
ATM Cards Universal System
Cancer Insurance
Financial Counseling
Automobile Cost Guides
Notary Public Service
Member Paid Temporary Disability
and Credit Life Insurance.
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