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#2080397 - 05/25/16 07:01 PM CD Early Withdrawal Penalty
Tryin2Comply Offline
Member
Joined: Aug 2014
Posts: 76
I know that Reg D requires an early withdrawal penalties that are closed within the first 6 days of opening. Does this apply to renewed CDs?

Example: Customer opens a 6 month CD, the CD is open for the full 6 months and is then auto renewed for another 6 months. If the customer closes the auto renewed CD within 5 days of it renewing do we have to charge the minimum interest?

I do not think that we would, but I'm not entirely sure.

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#2080401 - 05/25/16 07:12 PM Re: CD Early Withdrawal Penalty Tryin2Comply
Dog Lady Offline
Member
Joined: Dec 2015
Posts: 74
No. There should be a 10 day grace period for penalty free withdrawal after maturity (auto renewal).

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#2080406 - 05/25/16 07:25 PM Re: CD Early Withdrawal Penalty Tryin2Comply
Tryin2Comply Offline
Member
Joined: Aug 2014
Posts: 76
Thank you!!! I needed confirmation.

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