How do I stop an overdraft?

Make a transfer to cover the charges. Ask your bank for a refund. Stop using the account. Follow some basic tips to prevent overdrafts in the future. Experiencing an overdrawn bank account can be stressful. Since banks can charge an overdraft fee multiple times a day, fees can add up quickly, piling on to the negative balance and the stress.

How much does a bank account overdraft cost?

When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account. In January 2024, the Consumer Financial Protection Bureau proposed a rule to limit overdraft fees and protect consumers. The proposal mentions setting a benchmark fee, which could be as low as $3, $6, $7, or $14.

How do I avoid overdrawing a bank account?

A fundamental way to avoid adding to the damage of an overdrawn bank account is to choose a bank that doesn’t charge overdraft fees or offers alternatives to costly overdraft coverage. If you select one of these bank accounts, overdrawing likely won't be such an issue going forward.