On Sunday Aug. 15 Coastal Federal Credit Union in Raleigh, N.C., implemented its own new overdraft protection rule.
The date signified the deadline for the new Reg E requirements for financial institutions to require existing customers to opt in to overdraft protection for debit card and ATM transactions. In response to the new regulation Coastal Federal started a new overdraft forgiveness program, which charges members one penny per overdraft.
Instead of the usual $28 overdraft fee, members will be charged only one cent provided the member either corrects the overdraft before 11 pm the same day or if the overdraft did not take the account balance into the negative by more than $10.
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