Here we explain the most frequently asked questions about Non-Sufficient Funds (NSF) Fees.

What is an NSF fee?

A Non-Sufficient Funds (NSF) Fee is a charge that applies if a transaction can’t be honoured due to insufficient funds in your Account.

Common culprits causing NSF Fees include bounced cheques (i.e. if you write a cheque but don’t have the funds to honour it when the recipient deposits it), rejected electronic funds transfers and rejected pre-authorized payments. In these situations, the person (or company) you tried to pay won’t receive their money, and the NSF Fee may apply. Your payee could also be charged additional fees by their bank.

How much are NSF Fees?

Any fees associated with your Tangerine Account can be found in our Fee Schedule, available here.

Note: You could be charged additional fees by the other bank or merchant.

Can I incur an NSF Fee when using my Client Card in-store?

Generally, if you try to make a debit purchase using your Client Card, and you don’t have enough available funds in your Account to cover the purchase, the transaction will be declined, and you’ll have to provide another payment method. For this scenario, an NSF Fee doesn’t apply.

However, if you have Overdraft Protection on your Chequing Account, it can temporarily cover the payment to avoid a declined transaction or a Non-Sufficient Funds (NSF) Fee. More information about Overdraft Protection can be found here.

How can I prevent being charged an NSF Fee?

Here are some tips to help you avoid possible Non-Sufficient Funds (NSF) charges:

• If you’re using your Client Card online with companies like PayPal®, check if you’ve provided your Client Card Number or Chequing Account Number. Providing your Client Card Number means that if you don’t have enough funds in your Account for the transaction, it will be declined rather than causing an NSF Fee.
  
• Set up Orange Alerts to notify you when your Account dips below a selected amount.
  
• Create Money Rules to automatically move money between Tangerine Accounts when your balance dips below a certain amount.
  
• Apply for Tangerine Overdraft Protection on your Chequing Account to help cover occasional shortfalls and avoid declined transactions or NSF Fees.

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What’s the difference between an NSF Fee and an Overdraft Fee?

Generally speaking, both NSF Fees and Overdraft Fees occur when a transaction can’t be honoured due to insufficient funds.

What’s different:

• NSF Fees are typically higher than Overdraft Fees.
• If a Chequing Account has Overdraft Protection coverage, the transaction can go through, and the Account is temporarily overdrawn, thereby avoiding NSF Fees.
• Without Overdraft Protection, if the Account balance isn’t sufficient to cover the transaction, the transaction won’t go through and an NSF Fee is charged

More information about the fees associated with your Tangerine Account can be found in our Fee Schedule, available here.