January 31, 2025

How to Help Get Overdraft Fees Refunded

At one point or another, most people experience the pain of seeing an overdraft fee hit their bank account. When it happens, you might get a sinking feeling in your stomach because you know how easy it is for one overdraft to turn into two, then three, then four. As if the empty bank account weren’t hard enough to tackle.

But there’s good news: It’s sometimes possible to get your money back. Here’s how to get your overdraft fee returned — and how to avoid racking up more fees in the future.

What are overdraft fees?

Overdraft fees are bank charges that happen when you try to make a purchase or withdrawal that exceeds the available funds in your checking account. The bank covers the shortfall to complete the transaction — but it’s a service that often comes at a cost.

Overdraft fees are commonly triggered by debit card transactions, checks, or automatic payments when there isn’t enough money in your account to cover them. These additional fees can quickly create a cycle of debt, especially if you’re already struggling to make ends meet. When an overdraft fee further reduces your account balance — or sends it further into the negatives — it leaves even less money available for upcoming bills or essential expenses, making another overdraft more likely.

If you can immediately make a deposit to cover the overdrawn amount, you may be able to stop the cycle before it starts. But if making that deposit means waiting for your next payday, you’ll risk getting hit with more overdraft fees, which makes it much harder to recover financially. Repeated charges might force you to rely on high-interest loans or credit cards, worsening the financial strain.

How much is an overdraft fee?

The amount of overdraft fees varies from bank to bank. The average fee is $26.61, but you could get charged as much as $38 for overdrawing your checking account. In the best-case scenario, your financial institution covers your purchases without charging a fee.

The fee structures can vary, too. Some banks and credit unions charge one overdraft fee for each transaction. Others will only hit you with a single fee for an entire day’s worth of transactions that exceed the funds available in your account.Check your account contract to see what terms are outlined for overdrafts.

While overdraft protection programs help prevent declined transactions, they could lead to additional fees if you don’t manage the protection carefully.

How to request a refund for overdraft fees

If you’ve been hit with an overdraft fee, there’s a chance you can get it refunded. Follow these steps to improve your chances of success.

1. Contact customer support

Call your bank’s customer service line or visit a local branch. Explain that you’d like to discuss an overdraft fee on your checking account. Make sure you have your account details and the date of the fee handy.

If you’re nervous, preparing a little script can help.

2. Be polite

Stay calm and friendly during the conversation. The representative is more likely to help with a refund if you approach them with respect and understanding rather than frustration.

3. Share a valid reason

If you have a good explanation for the overdraft — like a delayed paycheck, a technical error, or an unexpected expense — let them know. But be honest. You won’t be the first person to ask if you can get an overdraft fee waived.

4. Ask for a waiver or refund

Politely request an overdraft fee refund. If it’s your first time incurring an overdraft, be sure to mention that — many banks are more lenient with first-time occurrences.

5. Escalate if necessary

If the representative isn’t able to help, don’t hesitate to ask to speak with a supervisor. Sometimes, a higher-level employee has the authority to grant your refund request. But remember to ask — not demand. You’ll get better results if you’re courteous to everyone you interact with. Remember, they aren’t obligated to grant your request, but you can always ask.

Tips for avoiding overdraft fees

Knowing how to help get overdraft fees waived is a valuable skill. But knowing how to prevent them is even better. Follow these tips to keep your bank balance in the black.

Link your accounts for backup funds

Connect your checking account to a savings account or a line of credit. If your checking balance runs low, the bank can automatically transfer money from the linked account to cover transactions, often for less than a standard overdraft fee — and sometimes for no fee at all.

Keep tabs on your bank balance

Many people who overdraft feel blindsided because they thought they had enough money to cover the transaction. Using online banking to check your account balance often will help you avoid surprise charges.

Better yet, use EarnIn's Balance Shield tool to get alerts when your balance gets low.¹ With Balance Shield, you can also set up optional automatic Cash Outs²to top up your funds so you don’t accidentally empty your checking account.

Build a financial buffer

As a safeguard, try to keep a small cushion of money in your checking account. Even setting aside $50 to $100 can help cover unexpected expenses or timing gaps.

Choose an overdraft fee-free bank

Some banks have eliminated overdraft fees altogether or offer accounts designed to prevent them. Consider switching to a bank that aligns with your financial needs.

Frequently asked questions

What are the consequences of an overdrawn bank account?

An overdrawn bank account can lead to several negative outcomes, including:

More overdraft or nonsufficient (NSF) fees. The fees your banks charge when your account goes negative add up quickly if the overdraft isn’t resolved.
Account closure. If your bank account remains overdrawn for too long — usually 30 to 60 days — the bank may close it and report the negative balance to collections.
Credit impact. An overdraft alone won’t hurt your credit score, but an unpaid negative balance sent to collections will.
Banking history impact. Before granting you a new checking or savings account, a bank will check ChexSystems, a reporting agency that tracks overdrafts, unpaid fees, and account closures. A negative history could impact your future banking goals.

Are there any special circumstances that increase my chances of a refund?

Yes! If it’s your first overdraft or an honest mistake, mention this to the bank. Explain your situation, whether it’s a delayed paycheck or an unexpected expense, and highlight your history as a loyal customer. Banks are more likely to grant refunds if you don’t have a history of relying on overdraft protection.

Does switching to an overdraft-free bank account protect me from future fees?

While overdraft-free accounts can help you avoid overdraft fees, it’s still important to watch out for other potential charges, like monthly maintenance fees or ATM fees. Before switching to a new financial institution or account, carefully review the account’s fee structure so you can be sure it aligns with your financial needs and habits.

Are overdrafts the same as insufficient funds?

Not exactly. An overdraft fee means your bank covered a purchase even though you had insufficient funds to cover it. But if your statement shows a nonsufficient or insufficient funds fee (usually shown as a returned item fee or NSF fee), it usually means the transaction was declined.

Can my bank close my account because of an overdraft?

The bank could close your account for overdraft-related reasons, but they usually prefer to resolve the issue before making such a drastic move. Most banks will give you several warnings before ending your banking relationship. As long as you don’t allow your balance to remain negative for an extended period, you should be OK.

Can the Consumer Financial Protection Bureau help if I have issues with overdraft fees?

Yes, the Consumer Financial Protection Bureau (CFPB) can be a valuable resource if you feel a bank has unfairly charged you for overdrafting or failed to clearly disclose its fee policies. You can file a complaint with the CFPB, and they’ll work with the financial institution to address your concerns.

Make overdraft fees a thing of the past

Life doesn’t stop just because your balance gets low. Sometimes it feels like the only way to put food on the table or gas in the tank is to lean on overdraft protection and deal with the fees the next time you get paid.

But being proactive is better than worrying about how to clear a negative balance in your bank account. EarnIn’s Balance Shield helps you be proactive by giving you a heads-up when your funds drop below a certain amount. And our Cash Out tool lets you access your pay as you work — up to $150 a day with a max of $750 between paydays³ — so you have what you need to help keep moving forward without the extra financial burden of overdraft fees.

Download EarnIn to make every day payday.

Please note, the material collected in this post is for informational purposes only and is not intended to be relied upon as or construed as advice regarding any specific circumstances. Nor is it an endorsement of any organization or services.

EarnIn is a financial technology company, not a bank. Banking services are provided by our bank partners on certain products other than Cash Out.. Balance Shield provides free alerts when your bank account balance drops below the threshold you set in your EarnIn account. You can also enable automatic transfers (up to $100/day -subject to your available earnings- with a limit of $750/pay period), if your bank account balance falls below your set threshold. You choose the speed of these automatic transfers. Standard speed is available at no cost and the transfer typically takes 1-2 business days. Lightning Speed is available for a fee and the transfer typically takes less than 30 minutes. You will also have the option to set a tip for automatic transfers. Tips are optional and can be $0; however, if you choose to set a tip, it will be applied to each automatic transfer. Whether you tip, how much, and how often you tip does not impact the quality and availability of services. You can cancel the alerts and/or transfers at any time in your EarnIn account settings. See the Cash Out User Agreement for more details. While Balance Shield can help you avoid overdrafts, it does not guarantee protection from third-party fees, and its effectiveness depends on your usage and bank activity.

Access limits are based on your earnings and risk factors. Available in select states. Terms and restrictions apply. Visit EarnIn.com for full details.

Your Pay Period Max is the maximum amount you can access between paychecks, typically ranging from $50 to $1,000, and your Daily Max is the maximum amount you can access in a single day, up to $150. Your specific Daily Max and Pay Period Max are determined by EarnIn based on your income and financial risk factors, as explained in the Cash Out Maxes section of our Cash Out User Agreement. These limits may vary and are subject to change at EarnIn’s discretion. Your actual Daily Max will be displayed in your account before each Cash Out.

EarnIn does not charge interest on Cash Outs or mandatory fees for standard transfers, which usually take 1–2 business days. For faster transfers, you can choose the Lightning Speed option and pay a fee to receive funds within 30 minutes. Lightning Speed is not available in all states. Restrictions and terms apply; see the Lightning Speed Fee Table and Cash Out User Agreement for details and eligibility requirements. Tips are optional and do not affect the quality or availability of services.