Does Reg D apply to all savings accounts?

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Question:

Under Regulation D does the excess transaction limit (6/3) apply only to money market accounts or to all statement and passbook savings accounts? I work for a savings and loan bank. We have always applied the limits to money market accounts but I read a couple of articles that made me think it should apply to all deposit accounts.

Answer:

That rule applies to savings account, under which a MMDA is defined.

Because savings accounts as we usually think of them were not used frequently for these transactions, they had been ignored. But you are correct in that they should not be ignored. They are all in this bundle of limited transaction capabilities.

By saying "all deposit accounts", you mean savings. Obviously demand deposits and NOWs (which have limited ownership) are excluded.

First published on BankersOnline.com 06/23/03