One-Day Rewind provides the opportunity to have overdraft fees refunded from the prior banking day
First National Bank Texas (FNBT), a community bank with a long-standing commitment to the financial health of customers, announced it has expanded its consumer banking account Overdraft Program with the launch of One-Day Rewind – a service to provide customers the opportunity to have overdraft fees from the prior banking day refunded. Since the launch of One-Day Rewind on January 2, 2022, 26% of the Bank’s customers that overdrew their personal accounts have already experienced the benefit of One Day Rewind refunds.
FNBT, and its First Convenience Bank in-store banking division operate over 340 branches in Texas, Arizona, Arkansas and New Mexico.
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 One-Day Rewind Program Overview
- Launched January 2022: One-Day Rewind is a service for consumer checking account customers that provides the opportunity to have overdraft fees from the prior banking day refunded.
- One-Day Rewind automatically refunds a customer’s previous day’s overdraft fees if their account balance is not overdrawn by more than $12 at the end of the following banking day.
In addition to One-Day Rewind, FNBT consumer banking customers continue to receive service enhancements previously implemented which include:
- The Bank limits the number of per-item overdraft fees to no more than two per banking day and no more than ten per month (Launched in 2015, most recent update in 2021).
- No overdraft fees are assessed on items paid that are $5 or less or create an overdraft of $12 or less (Launched in 2015, most recent update in 2019).
- In early 2020, FNBT launched a completely reimagined digital banking experience to provide customers with more capabilities and ease of use that includes real time balance and transaction alerts and expanded money transfer capabilities.
FNBT has a long-standing history of commitment to the financial health of its customers. FNBT’s culture and commitment to best practices has led to continuous improvement of the Bank’s Overdraft Program. Over the past decade, as a result of ongoing enhancements, the percentage of total revenue generated from overdraft related fee income has significantly declined and the Bank anticipates a significant further decrease as a result of implementing One Day Rewind.
11 Year Track-Record of Enhancements to the Overdraft Program
Since 2009, FNBT has implemented numerous product and service enhancements in its ongoing commitment to support its customers’ banking needs which include:
- Launched in 2019, PowerStash is a companion account for personal checking customers that requires no minimum balance but allows customers to “stash” away money for future purchases or emergencies. PowerStash was launched in response to the Federal Reserve Bank study indicating that a significant percentage of US consumers do not have at least $400 saved to handle an unexpected bill or emergency expense.
- Also in 2019, FNBT eliminated the fee for its alternative to overdraft services through AccountTRANSFER Overdraft Protection. This plan allows customers to set money aside in a “transfer from” account as protection against overdrafts in their “transfer to” account.
- In 2017, FNBT launched the eAccount, which helps customers avoid overdrafts and overdraft fees. The eAccount, modeled after the Federal Deposit Insurance Corporation “safe account,” is for customers that prefer a checkless checking account. This account is excluded from the Bank’s discretionary overdraft service and related fees. In 2020 the eAccount became certified through the national BankOn initiative led by the national nonprofit, Cities for Financial Empowerment.
- In 2010, the Bank launched its Smart Cash loan to address customers’ short-term financial needs and ability to improve their credit through on-time repayment. Modeled after the Federal Deposit Insurance Corporation Small Dollar Loan Program, a Smart Cash loan provides customers an unsecured loan between $250 and $1,250 repayable in affordable monthly installments. In the last five years alone, the Bank has made over 219,000 Smart Cash loans to customers.
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Ongoing Commitment to Financial Education
At FNBT, financial education begins at the time of account opening and continues throughout the life of the customer’s relationship with the Bank. Ongoing educational opportunities are provided for all customers in the following formats:
- Virtual Financial Fitness Center: Customers access this interactive Overdraft Management Tool to receive additional education on overdrafts and how to avoid overdrafts and overdraft fees.
- Banking Basics: Provides an additional financial literacy course, which is available in a written brochure and an online tutorial located within the virtual Financial Fitness Center.
- The Bank provides every customer free budgeting and spending tracking tools through its digital banking channels (computer, tablet and mobile device enabled).
- Customers that frequently use the discretionary overdraft service are identified through routine monitoring. These customers are directed to comprehensive training modules on overdrafts and how to avoid overdrafts, which include financial incentives to each customer who completes the training.
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