Bank's 24-hour overdraft grace period

Huntington Bank logo


BILL RADKE: You can call it the $35 cup of coffee. This is what can happen if you buy a latte without enough money in your bank account and your bank hits you with an overdraft charge.

Well now, Marketplace's Eve Troeh tells us about a Columbus, Ohio, bank that says it wants to help customers avoid that extra fee.

EVE TROEH: With Huntington Bank's new "24 Grace" program, if you overdraw funds, you get a text message that basically says "You have 24 hours to give us our money."

That is, if you've signed up for bank emails or text messages. Only 5 percent of Huntington's customers have so far. Most customers have to check online or by phone to know if they've overdrawn.

But Huntington's CEO Steve Steinhauer says the new policy will change that.

STEVE STEINHAUER: We intend to promote alerts, mobile and text, that will help them manage their money better.

He also says customers who constantly check their balance right before payday can relax a little.

STEINHAUER: It will accelerate their cash flow by a day.

But if customers don't cover overdrafts by the next day, they get charged $23.

Ben Popken at Consumerist.com says that's the catch.

BEN POPKEN: A fee is a fee, even if it's delayed, it's still gonna hurt. Before we punch you, we'll give you a 24-hour chance.

He says it's better for most customers if the bank declines a charge or a check when there isn't enough money in their account.

I'm Eve Troeh for Marketplace.

About the author

Eve Troeh is News Director at WWNO-FM in New Orleans, La., helping build the first public radio news department in the station’s 40-year history. She reported for the Marketplace Sustainability Desk from 2010 to 2013.
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i was notified by email while i was out of town and i replied that my auto deposit would happen 1st thing next morning. i was charged 4 overdraft fees totaling $150 and it turns out the 24 hr notice they gave me was 12 hours after my 1st overdraft. duh!! though i pleaded my case over & over, they wouldn't drop the fees. - thanks, i'm switching banks.

The premise of 24 hr grace sounds so good, if only Huntington Bank would just follow through with that basic concept. Instead, they are only misleading you as they continue to collect many overdraft fees from unsuspeccting customers. There is so much fine print and exceptions that the employees of Huntington Bank can't keep it straight and you can receive several different explanations of the "rules" of the 24 hour grace program. I feel it is a big SCAM. If it sounds too good to be true, it is too good to be true! I'm going back to my old bank.

Yeah, right! I was charged almost $200 because of a $12 hamburger and $2.43 cup of coffee. They twist their rules to benefit themselves (most of which we cannot understand). Don't believe their commercials because THEY LIE!!! They will get you, one way or another. I am changing banks tomorrow.

Huntington Bank sure pulled a fast one on us didn't they. I just got off the phone with them and they will not reverse any fees for me. My direct deposit came in on the same day I took out money and even though they list my deposit first and then the withdrawl and what I see on line I am in the positive in my account. I got the same story that what I see on line and what they show are different. And yes their pending transactions are ridiculous. They hold are money for way to long and punish us for it when we want to use it. I hope someone does something about this bank they are out of control!!!!!

They give you till the next day but when you deposit your money the next day, they hold your deposit for another day, unless you deposit cash at the window. Then you get hit with 37.50 fee. When you go in they tell you the fee is 23.00 which is only the first one, and their checks clear lightning fast. No grace period at all on them.

Huntington bank is the biggest scam ever!!! Their slow deposit time outweighs the "grace period" They are liars and no one ever has the same answers for the policys that they have. The WORST bank ever!!! Stay away. The online banking is different from how they see your transactions. That is their excuse for all the 37.50 fees (not 23.00 as the president stated in this article (which is the first fee only) SHAME ON YOU HUNTINGTON BANK. Stay AWAY!!! We are looking into truth in
advertising laws!!

Huntington bank is certainly not telling the truth. They say they will cover it and you wake up with fees. I know it is the persons fault for overdrawing their account but please in these desperate times do not give false hope!!!!

Huntington bank is lying in their commercials. They are not giving a 24 hour grace period. It is discrimination what they are doing to the consumer. I am thinking about a law suit...

This is simply not true Huntington bank will at their discretion pick and choose the returns and overdraft fees. I have been a good customer and they sent something back today on my account and charged me 37.50.They are being deceitful. Don't buy in...

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