Hello everyone,

I wanted to get some of your procedures in regards to handliing Reg D violations by your clients.

What do your institutions consider an "occasional basis" before you decide to close the savings account and convert it to a transactional account? 2 or 3 or more...?

Do you send Reg D notices or "excessive activity" notices to you clients? By mail? Telephone?

If a client does have their account converted due to Reg D violations, what is your policies on them opeining another Savings account? Do you make them wait?

Thank you,

We do a 3 letter warning system, then shazam, we convert it to a transaction account.

We do the same; 3 violations in a rolling 12-month period. First letter is a caution, second letter is a warning, third letter is a closing/conversion. We don't have a policy on re-opening, so it's up to an officer to make that decision.