Datazoid Financial Services
home products services about us contact us privacy
reseller opportunities
Overdraft Protection Program

The Intended Audience

The Datazoid Digital Money Card is issued by an FDIC-certified issuing sponsor bank. The bank offers this Discretionary Overdraft Protection Program for our card programs to meet a Cardholder’s occasional need for funds to address an unexpected or unusual situation or if the Cardholder account is inadvertently overdrawn. This document is intended for Resellers and Employers to assist in describing the optional Overdraft Protection feature of the Datazoid Digital Money Card and in answering questions about this program raised by participating Cardholders. This document has been created to promote the understanding and the appropriate use of this service. We believe that Cardholders will find that this service is a more convenient and less expensive option than other sources when a Cardholder has an unusual or unforeseen expense and needs access to money.

Overdraft Protection is designed to provide Cardholders with convenient access to money to meet unexpected expenses. Rather than declining transactions that may create a negative (overdrawn) balance to their account when they use their card, we will consider, without obligation on our (i.e., Datazoid Financial Services, or our sponsor bank) part or, approving reasonable overdrafts.

The service is convenient and flexible. There is no application to complete and the service costs the Cardholder nothing unless they use it.

How Does An Overdraft Happen?

When a Cardholder performs one or more of the following activities for more money than he or she has in their Cardholder Account, the Cardholder “overdraws” his or her Cardholder Account:

• Makes withdrawals of money from an ATM

• Uses his or her card to make a purchase

• Receives cash back from a point-of-sale

• Makes an automatic or other type of bill payment, or other electronic payment

• Initiates online banking services or other applicable service charges and fees

This creates a “negative” or “overdrawn” balance to the Cardholder Account, which the Cardholder is then responsible for returning to a “positive” balance by depositing money to his or her account.

How Does Overdraft Protection Work?

Discretionary Overdraft Protection is offered to provide Cardholders with access to money to meet their occasional need for funds when they find themselves a little short or have an unforeseen expense.

Instead of declining transactions when a Cardholder uses his or her Card that would create a negative (overdrawn) balance to your account, our sponsor bank will consider, without obligation, approving transactions up to the Cardholder’s assigned limit.

• A $20.00 Overdraft Protection fee applies to each item that overdraws a Cardholder’s Account.

• There are no interest charges and there is no application for the Cardholder to complete.

• The service costs the Cardholder nothing unless they use it.

• The Cardholder is responsible for paying the total amount he or she overdraws his or her Card plus any applicable fees. (The Terms and Conditions associated with the use of a Card, including any fees are delineated in the Cardholder Agreement that each Cardholder receives with his or her Card.)

How Does A Cardholder Sign Up For Overdraft Protection?

Direct Deposit must be established on a Cardholder’s Account in order for the Cardholder to be eligible for this service. There is no special paperwork to complete and Overdraft Protection is available to all eligible Cardholders who have established direct deposit of wages or government benefits to their Cardholder Account. However, in order for a Cardholder to receive this Discretionary Overdraft Protection service, Employer’s are required to provide Cardholders with financial literacy training regarding this service and the responsible use of your Card and Cardholder Account before the this Discretionary Overdraft Protection service will be made available to a Cardholder unless the Cardholder files a “Financial Training Waiver & Certification” Form which can be downloaded here.

After one full statement cycle, which runs from the first day of the month to the last day of the month and direct deposit is established on the Cardholder’s Account, that Cardholder will be enrolled in Overdraft Protection.

• The Cardholder will be permitted only three (3) overdraft transactions and up to their Assigned Overdraft Protection Limit, until the Cardholder returns his or her Cardholder Account to a positive balance.

• The Cardholder’s initial Overdraft Protection Limit will be up to $100.00.

• A $20.00 Overdraft Protection fee will apply to each transaction that overdraws a Cardholder Account.

• The amount of the transaction, any fees and the $20.00 Overdraft Protection fee will be subtracted from the Cardholder’s remaining limit.

The Cardholder is responsible for maintaining his or he Cardholder Account in good standing by returning his or her account to a positive balance with each recurring direct deposit.

The total balance due (including fees) that created the overdraft(s) plus the Overdraft Protection fee(s) will be deducted from the Cardholder’s Account with the next deposit and/or direct deposit of scheduled pay.

A participating Cardholder must maintain his or her Cardholder Account in good standing by re-establishing a positive balance with each recurring direct deposit. Such a Cardholder may be eligible for:

An Overdraft Protection Limit of up to $300 after his or her Cardholder Account has been opened for 90 days and three (3) full statement cycles have occurred. (A Statement Cycle runs from the first day of the month to the last day of the month.)

An Overdraft Protection Limit of ups to $500 after his or her Cardholder Account has been opened for 180 days and six (6) full statement cycles have occurred.

This service is designed to be available to Cardholders as a convenient alternative to additional funds to cover unexpected expenses. It is designed to save a Cardholder the time and the hassle compared to other alternatives and this service may save the Cardholder money. The choice is theirs.

Overdraft Protection should not be used to finance ordinary or routine expenses. We do not encourage Cardholder’s to rely on this service to cover their expenses, even if the bank has done so in the past.

How The Service Works

We believe that our Discretionary Overdraft Protection offers participating Cardholder’s convenient access and more flexibility than most other sources of monies. It is important for Cardholders to know that this service will be activated when they use their Card for an amount greater than the current account balance on their Card/Cardholder Account.

Instead of declining transactions, our sponsor bank may approve transactions that would result in a negative balance. Cardholder’s are permitted:

• Three (3) overdraft occurrences up to their Assigned Overdraft Protection Limit.

• An initial Assigned Overdraft Protection Limit of up to $100.

• Maximum Expanded Assigned Overdraft Protection Limit of up to $500.

When a Cardholder accesses the full amount of his or her Assigned Overdraft Protection Limit in a single transaction, our sponsor bank will provide an Additional Limit of $5.00 to the assigned Cardholder Account to cover certain fee(s) related to the use of the Card, such as an ATM processing fee or a foreign surcharge fee that may be incurred. The Additional Limit is designed to provide the Cardholder with full access to his or her assigned Overdraft Protection Limit, including transaction fees (up to $5.00) incurred.

Both the amount of the transaction and the Overdraft Protection fee and any and all service charge fees are payable immediately and will be deducted from the Cardholder’s next deposit and/or direct deposit of scheduled pay.

We may refuse to pay an item that creates an overdraft at any time, even though we may have previously paid overdrafts for a Cardholder.

Responsible Use of this Overdraft Service

The best way for a Cardholder to avoid overdrafts is to manage their Cardholder Account so they do not overdraw it.

Here are some tips for you to pass along to participating Cardholders:

• Cardholders should know Cardholder Account balance at all times.

• Cardholders should keep track of how much money he or she has by writing down all transactions.

• Cardholders should be sure to subtract any fees from their Cardholder Account balance.

• Cardholders should pay attention to their receipts from ATM withdrawals and fees, debit card purchases and transfers.

• Cardholders should keep track of their Cardholder Account balances between statements and payday and/or receipt of their next government check through use of our web site (www.datazoidfinancial.com), our Interactive Voice Response Unit (IVRU) system, and ATM receipts. The Cardholder Account balance information a Cardholder receives does not include the Overdraft Protection Limit.

• Cardholders should review their transactions, fees, deposits and account transfers each month by visiting our Web site (www.datazoidfinancial.com).

• This is a discretionary service that the Bank may provide and may be withdrawn or withheld by the Bank at anytime. Payment of any overdraft will be at the Bank’s sole discretion. If a Cardholder abuses this Discretionary Overdraft Protection service, our sponsor bank will withdraw this service.

• This service will be terminated the event that the Cardholder does not maintain recurring direct deposits. If for some reason the Cardholder loses his or her job or no longer receives government funds, the Cardholder will not be able to use the Card and this overdraft protection service until the Cardholder finds a new job or until government funds are again loaded onto the Card via direct deposit. During this period the Cardholder will not be charged any interest on their Cardholder Account balance. And Datazoid Financial Services will not use any coercive collection tactics to encourage the Cardholder to pay off his or her Cardholder Account balance.

Are There Less Expensive Options Than the ODP Feature?

Yes and no. Cardholders should compare the costs of obtaining funds from other sources. A Cardholder may find other less expensive sources than using the Overdraft Protection feature of his or her Card. The choice is theirs. Of course good account management costs a Cardholder nothing. To learn more about how a Cardholder can protect himself or herself from overdraft fees, Cardholders should be encouraged to visit:

http://www.federalreserve.gov/pubs/bounce/default.htm

We believe that Cardholders will find that our fees are competitive for this service and that we offer simple access that may make this service a convenient alternative for a participating Cardholder.

A Cardholder may elect to not receive this service at anytime by signing an Overdraft Protection “Opt-Out” Form, which can be downloaded here.

This service is not available to Cardholders that have been issued a Family Member Card.

Certain other restrictions may apply. Cardholders should check the Cardholder Agreement that was provided when they received their Card and their Cardholder Account was opened.

 



Account Access:
Employers
Marketing Partners
Resellers

Frequently Asked Questions:

What is a Stored Value Card?
How does a payroll card work?
How do I manage my accounts?
Do you provide support?

Datazoid Stored Value Cards are marketed by Datazoid Enterprises, LLC Series B dba Datazoid Financial Services (DFS), a Delaware Series Limited Liability Company. Read more About Us...

   home | products | services | about us | contact us | site map | privacy | legal Copyright 2004 Datazoid Financial Services, llc, All Rights Reserved