Alexandra Barring, Banking Moderator
@alexandra
You can overdraft your Charles Schwab account with a recurring debit card payment, ACH transfer, or check by attempting to make a purchase or withdrawal for which your account does not have sufficient funds. If the transaction processes, you have overdrawn your Charles Schwab account.
If your account has overdraft capabilities, Charles Schwab will authorize recurring debit card transactions, ACH transfers, and checks that would overdraw your account. However, Charles Schwab will not authorize any non-recurring debit card purchases or ATM withdrawals that would overdraw your account unless you opt in for this service. If you do not opt in, Charles Schwab will decline any non-recurring debit card or ATM transactions that would cause an overdraft, and your account will not be charged.
How to Opt-In to Overdraft Charles Schwab Account with Debit Card Purchases and ATM Withdrawals
- Call Charles Schwab customer service at 888-403-9000 to update your account’s overdraft settings. You’ll need to have your account information handy when you call, as well as any personal information that is required to verify your identity.
- Sign in to your secure online Charles Schwab banking account. If you haven’t already, register for an account.
- Visit your local Charles Schwab branch. Speak with a banker to change your checking account’s overdraft settings. Use their branch locator to find a location near you.
It’s also important to remember that Charles Schwab pays overdrafts at their discretion, which means they do not guarantee that they will authorize a transaction that exceeds your account balance, even if they have done so before. To avoid overdrafts, consider signing up for Charles Schwab’s overdraft protection service.
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