229.18(e) A bank shall send a notice to holders of consumer accounts at least 30 days before implementing a change to the bank's availablility policy regarding such accounts, except that a change the expedites the availability of funds may be disclosed not later than 30 days after implementation.

Our cut-off time is changing from 2 to 4 pm. In reading 229.18(e), it appears that we have an option in whether we notify consumer account holders or not. Am I reading correctly?

Don't read the "may" that you've bolded in the wrong way. The "may" allows you to delay the notification until after the effective date if the change is favorable to the consumer. It doesn't give you license to omit the notice altogether.

Thank you John...thanks for the clarification.

I find it odd that the notices only have to go to consumer account holders when this regulation actually turns on account type...? (transactional vs. savings accounts)

Regulation CC contains a standard definition of "consumer" and, although it does not use the term to set the scope of the regulation, it does use it to make some subtle distinctions such as who is entitled to notice of a change and who cannot be given "one time" notices of large dollar exception holds etc.

They did it just to keep us on our toes.

If you are making a change in the cutoff time that requires the 30 day notice after implementation and the change in cutoff time is only at one of your branches....do you have to notify all of your consumer accountholders or only those who use that facility (assigned to the branch). I'm thinking it's all consumer accountholders since they all received the Funds Availability Disclosure.....the problem...this location is very remote from most other branches and will not really impact all consumer accountholders....notification would be costly with little impact.

Can you notice the customers via statement message? It is always the most cost-friendly method.

Statement Message would work....let me ask this....our FA Policy states that our general cut-off time is 5:00 pm except where listed.......we then provide a list of those facilities that have a different (sooner) cutoff time....we will be keeping this branch at 5:00 pm except on Fridays....where it will change to end of day.....because the Friday cutoff is later (at branch closing)....would we need to create an addendum to our Policy now incorporating a change to show that this branch has a cutoff of 6:00 pm cutoff on Friday......I'm thinking we may not need to provide an addendum because no other transactions can be conducted on this business day since cutoff is end of day.....