Can the bank limit withdrawals from a Money Market Account to two particular dates during each month (for example the 1st and 15th only)? Also, can we charge the customer a fee and require them to forfeit interest if they withdraw on any other date? If not,what regulation prohibits this?

Limit withdrawals - sure you can. Not pay interest on the amount withdrawn - no.

12 CFR 230.7 Payment of interest.

(a) Permissible methods--(1) Balance on which interest is calculated. Institutions shall calculate interest on the full amount of principal in an account for each day by use of either the daily balance method or the average daily balance method.

Good luck in maintaining any type of customer base with this type of program.

What you describe essentially amounts to a 15-day automatically renewing CD. As was said, most customers seeking a money market account are going to be looking for a little more flexibility than this. Unless you are planning on offering rates that are at the top of the market, I doubt you'll see much demand for this product as presented.

Along the same line with MMA there has been a discussion in our office as to the ATM withdrawls on a MMA. Are they considered as one of the 6 debits allowed or not? Do you know exactly where in the reg this info can be found?

ATM withdrawals are not limited since they are conducted in person.