Thread Options Tools
#1653 - 05/08/01 03:56 PM Offset to a CD

Another question regarding offset? A customer has a CD with the bank and is default on his credit card, could we offset the CD to obtain the funds to pay the credit card? Thanks/

Return to Top
General Discussion
#1654 - 05/09/01 04:39 AM Re: Offset to a CD
Richard Insley Offline
10K Club
Richard Insley
Joined: Oct 2000
Posts: 10,007
Toano, VA
...gone fishing.

Return to Top
#1655 - 05/08/01 10:03 PM Re: Offset to a CD
John Burnett Offline
10K Club
John Burnett
Joined: Oct 2000
Posts: 39,408
Cape Cod
You cannot offset ANY consumer's deposit account of any kind to pay a defaulted consumer credit card balance.
John S. Burnett
Fighting for Compliance since 1976
Bankers' Threads User #8

Return to Top
#1656 - 05/09/01 07:59 PM Re: Offset to a CD
RVFlyboy Offline
Power Poster
Joined: Oct 2000
Posts: 5,932
Soaring over Georgia
The regulatory citation is Reg Z - 226.12(d). Keep in mind this only applies to consumer credit card debt. I believe that business credit card debt could be offset subject to contractual and state law issues.

Opinions expressed are my own, and do not necessarily reflect those of my employer.

Jim Bedsole, CRCM, CBA, CFSA, CAFP
My posts - my opinions

Return to Top