Increase Overdraft Opt-In through the Online Channel

Financial institutions are using a variety of online strategies to increase overdraft opt-in.



As the overdraft opt-in deadline  looms, banks and credit unions are continuing their efforts to increase opt-in. Truliant Credit Union has been taking some heat for its aggressive online campaign. So have many banks, such as Chase

TD Bank is using the opt-in as an opportunity to position its new TD Debit Card Advance product, which includes a $35 per transaction fee. Its well-designed microsite offers some ideas for credit unions looking to increase opt-in. The design and navigation are effective, and the content positions the service with rather dramatic examples of the need for overdraft protection such as “Molly has asthma,” “Lisa needs groceries,” and “Rick is going on a date.” The top navigation bar offers options for enrolling online, phone, or via branch.

Forum Credit Union has an informative page that includes a short video and links for further information. Its examples avoid the scare tactics being used elsewhere. However, it doesn’t link to ways to actually complete the opt-in. Offering a secure online form and ways to opt-in within online banking enables members to easily express their preference while lowering costs for the credit union.  

What should your credit union show online? The actual fee amount (don’t require them to click to your fees page or a PDF), other coverage options (such as account transfers or lines of credit) and their associated fees, a secure opt-in form (make it as simple as possible), and situational uses (not scare tactics.) 

How are your credit union’s opt-in efforts going? Email me  with your successes, failures, or lessons learned and Callahan will share them with the credit union community.