Q: Do those rules apply when a bank decides not to honor an overdraft on a checking account, because of information from a third party?
A: Yes. Disclosures must be made if an overdraft is denied because of information from any outside source. This is so whether the account ordinarily includes overdraft credit privileges (for example, check credit). No disclosures must be made if the denial is based on the bank’s general policy not to honor overdrafts.