Chase credit card holders will no longer be able to use their card as overdraft protection for their Chase checking accounts starting August 26, 2016.
The overdraft protection feature was a handy way to avoid the Non-Sufficient Funds (NSF) fee of $34 Chase charges for bounced checks in linked checking accounts.
Chase’s announcement explains that overdrawn amounts on linked savings accounts will still be covered and will eliminate the $10 transfer fee.
The credit cards include:
The change applies only to customers who have Chase checking accounts and credit cards linked to them.
Contact Chase bank for alternatives methods to avoid the hassle of having checks bounce and be socked $34 for each withdrawal.
This also includes electronic payments via the internet, especially automatic recurring charges that you may have forgotten about.
Consider setting up a Chase savings account for automatic payments, since that will have overdraft protect without any transfer fee.