the Price of Overdraft Protection

I recently received a bill for $15 from my bank for my line of credit overdraft protection. I have had this service, for many years, and rarely have written a check that wouldn't have been covered. This is the first time I had received a bill for this service. I asked my banker when this had become policy, and was told it had been that way for two years. Of course, I'm not fond of paying for a service that I've used only about three times in fifteen years, but if it's used once, it has paid for itself.If you consider that bank charges can run $30-$35, and a similar amount to the business where you wrote the check, the savings are obvious.

It's difficult to review a service that you pay for but don't use, sort of like insurance. But like insurance, you buy it for the peace of mind, hoping that you won't have to use it. Under those circumstances, it's well worth the price.

I would suggest exploring any other options that might be available, such as tying into a savings account or credit card to protect against possible overdraft charges. Of course, the best advice is to keep track of your checking account and don't over draw in the first place.