How to prevent overdrafts
Learn more about our products and services to avoid account overdraft fees and missed payments.
End of overdraft transfers
We no longer offer automatic overdraft transfers from your credit card to your account.
What’s an overdraft?
An overdraft occurs when your account balance is less than 0, meaning there are insufficient funds for payments and withdrawals. For example, if a $1,500 preauthorized withdrawal is debited from your account when the balance is $1,000, your account is then overdrawn by $500.
If there are insufficient funds in your everyday account, the following transactions can lead to an overdraft:
- Cheque payments
- Bill payments
- Direct payments by credit card
- Loan repayments
- Withdrawals
- Direct withdrawals (pre-authorized payments automatically withdrawn from your account)
- Transfers between accounts
Avoiding charges with overdraft protection
If your account is overdrawn, an overdraft protection solution like a line of credit can help.
If you have enough funds in your line of credit, you can use it to cover your account and avoid declined transactions, late payment charges and NSF fees.
Personal Line of Credit
A tailored line of credit offers flexible overdraft protection and can help you manage your day-to-day spending.
To use it as overdraft protection, you’ll need to apply and get approved.
Cash advances
You can transfer any available credit you have on your credit card to your everyday account to cover the overdraft. You‘re charged interest as soon as you make the transfer.
Cash advances cost you more, so you should only use them to pay for unexpected expenses.
Services to help prevent overdrafts
Get a clear picture of your upcoming withdrawals and expenses so you never miss a payment or get charged overdraft or credit fees. Use our mobile and online services to better track your account activity and make sure you have enough money for upcoming payments.
Create a budget and plan ahead
Use our budget planning tool to keep track of money coming in and out and avoid surprise fees.
FAQ
Can I automatically have funds from my credit card transferred to my account to avoid overdraft?
As of March 28, 2026, we no longer offer automatic overdraft transfers from your credit card to your account. To avoid missing payments, you can apply for a Personal Line of Credit, student line of credit or a Versatile Line of Credit.
What are the fees for overdrafts?
For more information about overdraft fees and fees for cheques or preauthorized payments without funds, see the Service fees page.
If you use your line of credit for overdraft protection, you’ll be charged interest on the amount used, at the same interest rate as your line of credit.
Call us
1-800-224-7737 This link opens your phone app. (1-800-CAISSES)
We can also call you when it’s convenient.