What are the requirements in relation to counseling reports for excessive overdrawn accounts and what regulation can I find that in? We already send notification out each time an account is overdrawn more than 6 times in a 12 month period. We also contact customers via phone and letters at 15, 30, and 45 days of being overdrawn. Are we required to mention "counseling?"
I have a Reg E question concerning overdraft protection. If an account is not permitted to have our overdraft protection product (bounce protection) and a POS or ATM overdraws the account, are we allowed to charge the account an NSF fee? (This pertains to employee accounts, business accounts and our student checking accounts.)
I have been setting up overdraft transfers for funds trying to pull from savings for ACH transactions. They have funds in their checking, and when I set it up and then repost occurs, the funds are transferred from checking along with a transfer fee. Do you know if I am breaking any rules? Normally I would be transferring funds manually. Or should we just be returning the items.
We have a customer whose DDA is overdrawn. Today he made a request to do a wire transfer to be paid with cash. The transaction was completed. My question is after the fact and for future reference, could we have refused the wire transfer request until his DDA was no longer overdrawn?
Do we have to wait 30 days to charge off a DDA checking account? Is there a time frame we have to wait to charge off an account?
Can we retain an ACH credit as a recovery on a deposit account we have charged off? I understanding if the ACH is for government benefits the rules prohibit us from retaining the funds, however, this is a tax refund and I wonder if deposit sources can be treated differently.
If a customer has a business account with it's own TIN and it becomes overdrawn, can we use his consumer account for the right of offset?
We are about to implement a risk based billpay model in online banking. Our billpay vendor will make the payments on the customers' behalf, and then send us a file that we will post to the customers' accounts. If there are insufficient funds to cover any of the billpays, we will need to attempt to collect the amount from the customer due to the fact the funds have already been sent. Would this be considered an overdraft program or an extension of credit? Would there be any Reg O concerns associated with this process considering a Director could initiate a billpay that overdaws their account and if it is considered an extension of credit it may cause a Reg O issue. I do not believe this is governed by overdraft regulations and would not be considered an extension of credit.
Collection communication for demand deposit accounts (i.e., overdraft notices, NSF notices, request for payment, etc) - are we allowed to send such notices if we are aware of an active bankruptcy case? What if we are not made aware of the bankruptcy case?
Vendor “v” Compliance and I’m in the middle. Scenario; Our customer goes to a casino, casino issues a card, customer uses it at the casino, casino uses POS entry class code and runs it through ACH network, customer does not have a debit card with us or has not OPT-IN. If the transaction is NSF can we assess a fee? I know we can return if necessary, our vendor has an identifier on the transaction so we know it came through ACH and can return it but have been told we cannot assess a fee unless the customer has OPTIN. My interpretation of 2017 NACHA rule book pages ORxxxvi, OR 18 and OR60 is that banks should be able to assess a fee because this is an ACH transaction not a Debit Card (POS, ATM) transaction. Which rules apply to this transaction?