Final Rule in Reg D Regarding Transaction Limits

Answered by:

Question:

I am wondering if the final rule in Reg D (effective 7/29/2021) regarding transaction limits would still be at the institutions discretion on whether or not they would enforce a limit or not?

Answer:

Randy Carey

A financial institution is free to place any limitations on the number of transactions allowed on an account that they choose.

Answer:

John Burnett

The rule amending Regulation D effective July 29 does not affect the definition of savings deposits (which is where there used to be definitional limits on transfer and withdrawals). Because those definitional limits were removed in the spring of 2020, a financial institution can do exactly what Randy says in his response, or to have no limitation on transfers and withdrawals from savings deposits.