Most Popular Compliance Content
Liability for Stop Payment Error
08/27/2023
We have a customer that placed a stop payment on a check. When the check cleared the check number was keyed incorrectly by the depository bank. Due to that happening the stop payment was not a direct hit, and it appeared on our Suspect List. The person checking off that list saw that the check number was different so they allowed the check to pay from the customer's account. Is our bank liable to pay the customer back for the check or does any liability lie on the depository bank?
Recipient Foreign Tax ID Number
08/27/2023
If a non-resident alien is not legally required to obtain a recipient foreign tax ID number can the phrase "not legally required" be printed in box 13i of Form 1042s, or does the IRS prefer the field be left blank? In our system we have a specific field for the FTIN but for non-resident aliens that report "not legally required" in box 6 of the W-8BEN we enter this information into that field in our system for tracking. When we print 1042s forms the information for box 13i is pulled from this field in our system.
Charging Fees for Dormant Accounts
08/20/2023
May a bank charge a dormant fee on a conservator account?
Handling Reg E claims on older transactions
08/20/2023
If an EFT claim is made long after the statement is sent showing the transaction, the rules of investigation don't apply. So why do we investigate any of these claims?
Old account, New Account Hold
08/13/2023
If a credit union allows a member to establish a new transaction account after they pay back the amount owed from a closed, charged off account, would the newly established account be subject to Reg CC's new account definition? This would mean applicable checks deposited into that account to would be subject to new account holds. Could we determine that the member's actions causing the the charge-off means they forfeit the benefit of the previous account for Reg CC, and this newly opened account would be a "new account" holds under Reg CC, or would this be a misapplication of Reg CC's new account exception?