Banks provide this service to cover purchases that you can’t pay for due to a too-low account balance. But signing up for overdraft protection may not be a great idea. Sure, you won't have to pay a NSF fee and the bank will cover the funds, sparing you the embarrassment of watching your debit card be declined. But you'll get hit with a fee, commonly around $33.58 per item overdrawn, according to Bankrate's 2021 checking account and ATM fee study. Some banks may refund the fee for infrequent offenders, and others simply decline the transaction. But rather than opting into overdraft protection, see if you can link another account, such as a savings account to your checking account so funds can be automatically transferred as needed. Or inquire about an overdraft line of credit with a low interest rate if one is available. With an overdraft line of credit, however, you’ll usually pay a high annual percentage rate (APR) and it may have an annual fee.