FDIC COVID Consumer 35 – Reserve Account Administration/Regulation D. Are there changes to the six convenient transfer limit on savings deposits associated with the Federal Reserve Board’s elimination of reserve requirements?

Compliance > COVID & Pandemic-Related
Q:   Reserve Account Administration/Regulation D. Are there changes to the six convenient transfer limit on savings deposits associated with the Federal Reserve Board’s elimination of reserve requirements?
 
A:   On April 28, 2020, the Federal Reserve Board published an interim final rule in the Federal Register to eliminate the six-per-month limit on convenient transfers within Regulation D. Effective April 24, 2020, the interim final rule permits depository institutions to allow their customers to make an unlimited number of convenient transfers and withdrawals from their savings deposits at a time when financial events associated with COVID-19 have made such access more urgent. The interim final rule permits institutions to suspend enforcement of the six-transfer limit but it does not require institutions to do so. For additional information, we recommend that institutions review the Federal Reserve Board’s FAQs at:
https://www.frbservices.org/resources/central-bank/faq/reserve-account-admin-app.html.
 
 
This Q&A was contained in the Frequently Asked Questions for Financial Institutions Affected by the Coronavirus Disease 2019 (Referred to as COVID-19) – As of March 3, 2021 (which may be updated from time to time).  This may be found on the FDIC’s website here:  https://www.fdic.gov/Coronavirus/faq-fi.pdf.
 

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