If you have a direct deposit of $100 or more, that deposit will first pay any outstanding checking account advance balance, including fees. In some circumstances, you may need funds advanced for a longer period of time than your next direct deposit. In this case, you might need to make another advance, which would impose another fee. Remember: the cost of each checking account advance is 10% of the advance amount or $2 for every $20 advanced.
Example: Tom gets a direct deposit of $1,000 on the 1st and 15th of every month. On March 2, Tom has a flat tire and needs a new tire that costs $100. With Tom's current expenses, he could save money to gradually pay for the new tire by April, but he needs to buy the tire today.
Tom advances $100 from his checking account advance line of credit to pay for the new tire. On March 15, Tom gets his direct deposit, which pays the $110 outstanding balance ($100 advance and $10 fee) in full. Tom has to pay other bills and expenses, so he takes another $100 advance on March 16. On April 1, Tom gets his next direct deposit, which pays the $110 outstanding balance ($100 advance and $10 fee) in full. Because Tom made two advances to help pay for his expenses, he advanced $200 during March and was charged $20 in fees for the advances.
Note: These payment terms apply through May 30, 2014. Any outstanding Checking Account Advance balances on May 31, 2014, will have extended repayment terms. Refer to the “Upcoming Changes” section of the Frequently Asked Questions (FAQs) for details.