Excess Debits - Not What It Used To Be
By Amy Kudlacek
For those who have the responsibility of monitoring excess debits on savings and money market accounts, your job just got a little easier. This comes as the FRB recently announced amendments to Regulation D. Under the current provisions, certain types of withdrawals on savings and money market accounts are limited to six per month. While only three of those six may be by check, draft, point-of-sale purchase, etc.
Under the new provisions, which take effect, July 2, 2009, all restricted transactions will be subject to the six per month rule. There will no longer be a separate limit for checks, drafts, point-of-sale purchases, etc.
You will still be required to ensure that no more than the permitted number of withdrawals or transfers are made each month. Thus, you should train applicable staff and update your procedures. So take a moment to smile, it's not often that compliance gets easier!