How to Overdraft Bank of America Account: Tips & Tricks

How to Overdraft Bank of America Account: Tips & Tricks

Overdrafting your Bank of America account can be a useful tool for managing your finances, but it's important to do so carefully and with a plan in place. Here are some tips and tricks for overdrafting your Bank of America account:

1. Understand the fees and charges

Before overdrafting your Bank of America account, it's important to understand the fees and charges associated with the service. Bank of America charges a $35 overdraft fee per transaction, up to a maximum of four fees per day. Additionally, if your account remains overdrawn for five consecutive days, you may be charged an extended overdraft fee of $35.

2. Opt in tooverdraft protection

Bank of America offers overdraft protection, which allows you to link your checking account to another Bank of America account, such as a savings account or credit card, to cover any overdrawn amounts. You can also opt in to overdraft protection for ATM and everyday debit card transactions, which will allow you to overdraw your account up to a certain limit, typically $500. Keep in mind that you will still be charged an overdraft fee for each transaction that overdraws your account.

3. Monitor your account regularly

To avoid overdrafting your Bank of America account, it's important to monitor your account regularly. Use Bank of America's online or mobile banking to check your account balance and transaction history, and set up alerts for low balances or large transactions. You should also keep track of any automatic payments, such as bills or subscriptions, that may be deducted from your account.

4. Have a plan in place

Before overdrafting your Bank of America account, have a plan in place to repay the overdrawn amount as soon as possible. Consider setting up a payment plan with Bank of America or finding other ways to generate income, such as selling unused items or taking on extra work. It's important to avoid relying on overdrafting your account as a long-term solution to financial problems.

In conclusion, overdrafting your Bank of America account can be a useful tool for managing your finances, but it should be done carefully and with a plan in place. Understand the fees and charges associated with the service, opt in to overdraft protection, monitor your account regularly, and have a plan in place to repay any overdrawn amounts as soon as possible. With these tips and tricks, you can successfully overdraft your Bank of America account and stay on top of your finances.