Plz,

tori has $75 in her checking account and swipes her debit card for a $90 purchase at target. she has overdraft protection. what most likely happens?

her purchase is approved, and she pays no fee

target calls the police to report her for fraud

her purchase is declined

her purchase is approved, but she pays an overdraft fee

Her purchase is approved, but she pays an overdraft fee

Explanation:

Overdraft protection is a type of credit facility offered by banks that allows a customer's payments to go through even when they have insufficient balances in their accounts. The overdrafts protections prevent rejection of payment when the customer banks account balance is zero. The bank charges an overdraft fee every time a customer uses the overdraft protection service.

Overdraft protection facility prevents customers from suffering the consequences of payment rejection due to insufficient funds. Banks and merchants charge high fees for insufficient funds transactions. Bounced checks are treated as an offense in some countries.

Her purchase is approved, but she pays an overdraft fee

Explanation:

An overdraft can be defined as a scenario when a withdrawal from the bank account is greater than the available balance in the account. This can at times cause the transaction to be declined causing major inconveniences to the account holder. In that effect,  Banks usually offer the option of an overdraft protection. Overdraft protection typically means that all the transaction made by ATM, electronically or even by check is protected from going below zero by triggering a non-sufficient funds fee.

Non sufficient funds fees are fees that are charged by the bank for using overdraft protection. The fee is charged per the number of transactions made. This generally means that the more the transaction, the more the fees generated. Most banks in the United States charge a non sufficient funds fee of approximately $35.

In our case, since Tori has made a purchase of $90 that exceeds her account balance of $75, her purchase will be approved since she has overdraft protection but she will have o pay an overdraft fee.

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