What Is “OVERDRAFT FEE” on My Bank Statement?

Short answer: it's Overdraft Fee charging you $25–$35.

⚡ Quick Answer
Charge:OVERDRAFT FEE
Service:Overdraft Fee
Amount:$25–$35/mo
Category:banking
Legitimate:✅ Yes (if you signed up)

Also Appears As

OD FEEOVERDRAFT PROTECTION FEEODP FEECOURTESY PAY FEE

Why Am I Being Charged?

Overdraft fees hit when you spend more than your account balance and the bank covers the transaction (instead of declining it). At $35/pop, overdraft fees can snowball — one bad day can cost $100+.

Common Reasons for This Charge:

How to Cancel Overdraft Fee

Opt OUT of overdraft protection (yes, opt out). Call your bank or go to settings → overdraft → decline transactions instead of covering them. Many banks now offer low-balance alerts and $50 cushions.

Don't Recognize This Charge?

Call your bank — most will refund 1-2 overdraft fees per year as a courtesy. Mention you're considering switching banks. Capital One, Ally, and Chime have eliminated overdraft fees.

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POS DEBITPoint-of-Sale Debit TransactionACH DEBITACH Electronic DebitRECURRING PAYMENTRecurring/Automatic PaymentINTL PURCHASE TRANSACTION FEEInternational Transaction Fee

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