Skip to content
 

Latest Compliance - Overdrafts Topics

Insiders and Overdrafts

07/16/2023

An executive officer has a debit card transaction that has caused an overdraft. As to Reg O, we would pay and charge the fee. But as to Reg E he has opted out which means we would pay the item and not charge the fee. I don't know which Reg takes precedence. The account is overdrawn less than $100.

Setoff against Loan for Overdraft

02/12/2023

If a customer has a large deposited item returned on their checking account, can we legally advance on their HELOC if there is an available balance, rather than have an overdrawn account?

Joint Overdraft Guidance: Extension Past 60 Days?

01/31/2021

I understand the Joint Overdraft Guidance states that overdrawn accounts should be charged off after 60 days. Is there anything that would allow for an extension past the 60 day mark? (i.e. a fraud investigation, pending transactions, approval from upper management, etc.)

Opt-in Requirements Under 1005.17(b)(1)

06/07/2020

The opt-in requirements under 1005.17(b)(1) state that a bank "shall not assess a fee or charge on a consumer's account for paying an ATM or one-time card transaction." Does the "one-time" term mean that we cannot charge a fee on the first transaction of two or more being paid and then we can charge a fee on the second when the consumer has not opted-in? For example, if a customer has not opted-in and an ATM causes an overdraft into the consumers account and then two EFTs are received and paid on the same day as the ATM for processing, can we charge or not an overdraft fee for any of the EFTs? On subsequent days, if the account is overdrawn by EFTs, can a fee for overdraft be charged?

Counseling Reports for Excessive Overdrawn Accts.

04/28/2019

What are the requirements in relation to counseling reports for excessive overdrawn accounts and what regulation can I find that in? We already send notification out each time an account is overdrawn more than 6 times in a 12 month period. We also contact customers via phone and letters at 15, 30, and 45 days of being overdrawn. Are we required to mention "counseling?"

Reg E Overdraft Protection-Charging NSF Fee

11/11/2018

I have a Reg E question concerning overdraft protection. If an account is not permitted to have our overdraft protection product (bounce protection) and a POS or ATM overdraws the account, are we allowed to charge the account an NSF fee? (This pertains to employee accounts, business accounts and our student checking accounts.)

Overdraft Transfers and ACH Transactions

09/16/2018

I have been setting up overdraft transfers for funds trying to pull from savings for ACH transactions. They have funds in their checking, and when I set it up and then repost occurs, the funds are transferred from checking along with a transfer fee. Do you know if I am breaking any rules? Normally I would be transferring funds manually. Or should we just be returning the items.

Refuse Wire Request if DDA is Overdrawn?

08/19/2018

We have a customer whose DDA is overdrawn. Today he made a request to do a wire transfer to be paid with cash. The transaction was completed. My question is after the fact and for future reference, could we have refused the wire transfer request until his DDA was no longer overdrawn?

Pages

Most Popular Compliance Content

Authorized signers and multi-account signature card

03/23/2025

Currently, when a customer comes into the bank and wants to add an agent/attorney-in-fact under a power of attorney to their accounts, we print a signature card for each account and have the principal (if able) and agent sign the signature card(s). Whether there is one account or 20. However, we are talking about possibly using one signature card for all accounts. Can we just list each of the different account numbers on one signature card and use the one signature card for allaccounts?

Authorized signers and ChexSystems reports

03/09/2025

We have a legitimate business need/permissible purpose to pull ChexSystems reports on those looking to open a consumer account. We know we do not need to get a consumer's permission to do so if they are asking to open an account in their names. I was wondering if it works with business accounts (signers on business accounts as well). And will there be an issue if we report to ChexSystems?

When must we reimburse customer for UCC claim?

03/02/2025

When we (Bank B) send a UCC Breach Of Warranty Claim for missing endorsement to Bank A, how long does Bank B have to credit our customer for their missing endorsement claim? Assume the liability is on Bank A, due to missing endorsement and should reimburse Bank B in full. Does Bank B wait for full payment before reimbursement to customer or is there a UCC required timeframe for customer reimbursement?

ATM networks, LPOs and Assessment Areas

03/02/2025

Under the new CRA Assessment Area rules, if a bank is utilizing the Allpoint+ ATM network that allows for networked ATM+ machines to accept cash deposits, would this be considered a deposit gathering ATM location? And, if the bank wanted to open an LPO in a new state (not contiguous to its existing state or retail branch locations) where these ATM+ deposit gathering machines are located, could the Assessment Area include this new LPO market to help their in/out ratio?

Pages

Penalties View All

Search Topics

Compliance Topics