An article from Compliance Headquarters says:
The article points out the following:
The move to a single paper check-processing region means there will no longer be nonlocal checks. This will affect more than just those institutions with delayed funds availability policies (who are obviously affected because they can no longer use the 2-day/5-day availability provided by the local/nonlocal check distinction). It will also have an affect on most institutions with immediate, same-day, or next-day availability policies. That’s because most institutions with immediate, same-day, or next-day policies also provide for the ability to hold checks on either a case-by-case basis or by using a safeguard exception (sometimes referred to as "special exception").
Institutions that reserve the right to use a case-by-case or safeguard exception hold are required to include that information, including the maximum hold period, in their initial funds availability disclosure. Currently, those hold periods are disclosed based on the time period for nonlocal checks. With nonlocal checks going away, those institutions will need to update their disclosures and send change notices to affected consumers explaining the new rules.It's online here:
The Demise of Nonlocal Checks