Bank of America offers overdraft services, but they work differently depending on which account you have
Bank of America does offer overdraft coverage on most checking accounts. When you overdraw—spend more than you have—the bank can cover the transaction instead of declining it. You then owe the bank that money plus a fee. The specifics of what gets covered, how much it costs, and whether you can turn it off depend on your account type and the choices you make when you set up or manage your account.
Bank of America calls its main overdraft program Overdraft Protection. It is not automatic on every account, and you can turn it on or off. The bank also offers a separate service called Overdraft Assist, which is a limited buffer that does not charge a fee under certain conditions. Understanding which one applies to you matters, because the costs and rules are not the same.
Key Takeaways
- Bank of America's standard Overdraft Protection covers overdrafts for a fee, and you can turn it on or off through your account settings or by calling the bank.
- Overdraft Assist gives you a small buffer (usually up to $100) without a fee if you bring your account back to positive within a set number of days.
- If you decline overdraft coverage entirely, transactions that would overdraw your account will be declined at the point of sale.
- Overdraft fees at Bank of America vary by account type and region, so you should check your specific account agreement or call to confirm the current fee.
- Linking a savings account or another Bank of America account to your checking account can cover overdrafts without a fee, if you set it up in advance.
How Bank of America's standard overdraft coverage works
If you have Overdraft Protection turned on, Bank of America will cover transactions that would otherwise overdraw your account. This includes debit card purchases, checks, ACH transfers, and recurring bill payments. The bank pays the merchant or recipient, and your account goes negative. You then owe Bank of America the overdraft amount plus a fee.
The fee structure depends on your account type. Bank of America charges per overdraft item, not per day. This means if you overdraw by $50 and five transactions post while you are negative, you may be charged five separate overdraft fees. The bank does have a daily maximum—they will not charge you more than a certain number of fees in a single day, though that number varies by account.
You can turn Overdraft Protection on or off through your Bank of America online account, the mobile app, or by calling customer service. If you turn it off, transactions that would overdraw your account will be declined instead. This means you will not incur overdraft fees, but the transaction will not go through.
Overdraft Assist: a limited fee-free buffer
Bank of America offers Overdraft Assist as an alternative or addition to standard overdraft coverage. This program gives you a small negative balance—typically up to $100—without charging a fee, as long as you bring your account back to zero or positive within a set window, usually around five business days.
Overdraft Assist is designed for small, temporary shortfalls. If you go negative by $50 and deposit money within five days, you pay nothing. If you stay negative past that window, the standard overdraft fees kick in. Not all Bank of America accounts include Overdraft Assist, so check your account agreement or ask a representative whether it applies to you.
Linking another account to cover overdrafts without a fee
Bank of America allows you to link a savings account, money market account, or another checking account to your primary checking account for overdraft protection. If a transaction would overdraw your checking account, the bank automatically transfers money from the linked account to cover it. This transfer is free.
To set this up, you log into your online account or call Bank of America and request overdraft protection through account linking. You choose which account to link and how much the bank can transfer at once. The bank will transfer only what is needed to cover the overdraft, up to your limit.
This method works only if your linked account has enough money in it. If both accounts are empty, the transfer cannot happen and you will overdraw. But if you maintain a small cushion in a savings account, this is the cheapest way to handle occasional overdrafts.
What happens if you do not want overdraft coverage at all
You can decline overdraft coverage entirely. When you do, Bank of America will not cover transactions that would overdraw your account. Instead, the transaction will be declined at the point of sale. You will not incur an overdraft fee, but the payment or purchase will not go through.
This is useful if you want to avoid overdraft fees completely and prefer to know immediately when you do not have enough money. The downside is that a declined debit card or check can be embarrassing, and some merchants may charge you a fee for the declined transaction. Recurring bills and automatic payments may also fail, which could trigger late fees from the biller.
Overdraft fees and limits at Bank of America
Bank of America charges an overdraft fee each time a transaction overdraws your account, assuming you have Overdraft Protection turned on. The fee amount varies by account type and region. Some accounts have a lower fee; others have a higher one. The bank also sets a daily maximum—they will not charge more than a certain number of overdraft fees in a single day, even if multiple transactions overdraw your account.
To find out the exact fee for your account, check your account agreement, which you can view online or request from the bank. You can also call Bank of America customer service and ask them to tell you the overdraft fee and daily maximum for your specific account.
Bank of America also limits how many overdraft fees they will charge in a billing cycle. If you hit that limit, additional overdrafts will be declined rather than covered. This is a safeguard to prevent fees from spiraling, but it also means you could lose coverage partway through a month if you overdraw repeatedly.
How to manage overdraft settings on your Bank of America account
You can change your overdraft settings through the Bank of America website or mobile app. Log in, go to your account settings, and look for overdraft or overdraft protection options. You can usually turn Overdraft Protection on or off, set up account linking, or view your current overdraft settings.
If you are not sure how to navigate the online system, call Bank of America at the number on the back of your debit card or on your statement. A representative can walk you through your options, explain the fees, and make changes for you over the phone. They can also tell you whether Overdraft Assist is available on your account and how it works.
Check your settings periodically, especially after opening a new account or if you move to a different state. Bank of America's overdraft policies can vary by region, and your account type may change if you upgrade or downgrade.
Frequently Asked Questions
Is overdraft protection automatic on Bank of America checking accounts?
Overdraft Protection is not automatically turned on for all accounts. Some accounts come with it enabled by default, while others require you to turn it on. Check your account settings or call the bank to see whether it is currently active on your account.
Can I turn off overdraft protection if I do not want it?
Yes. You can turn off Overdraft Protection through your online account, the mobile app, or by calling customer service. Once it is off, transactions that would overdraw your account will be declined instead of covered.
What is the difference between Overdraft Assist and Overdraft Protection?
Overdraft Assist gives you a small fee-free buffer (usually up to $100) if you bring your account back to positive within a few days. Overdraft Protection covers larger overdrafts but charges a fee for each transaction. Not all accounts have Overdraft Assist.
Does Bank of America charge a fee if I link a savings account for overdraft coverage?
No. Transfers from a linked account to cover an overdraft are free. You only pay a fee if you use standard Overdraft Protection and the bank covers the overdraft without a transfer from another account.
What happens if I overdraw my account and do not have overdraft protection turned on?
The transaction will be declined. You will not incur an overdraft fee, but the payment or purchase will not go through. Some merchants may charge you a fee for the declined transaction.