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#2253485 - 05/05/21 02:50 PM Notice of overdraft to consumers
compliance75 Offline
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Joined: Oct 2016
Posts: 105
Is there a requirement to send daily overdraft notices to consumers under reg DD or would this fall under a UDAAP practice? thank you

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Operations Compliance
#2253488 - 05/05/21 03:46 PM Re: Notice of overdraft to consumers compliance75
compliance75 Offline
100 Club
Joined: Oct 2016
Posts: 105
a clarification, the bank does not have an overdraft program, just ad hoc, and the overdraft is caused by checks and ach not ATM. thanks

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#2253501 - 05/05/21 05:35 PM Re: Notice of overdraft to consumers compliance75
BrianC Online
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BrianC
Joined: Nov 2004
Posts: 6,685
Illinois
There is no regulatory requirement. This is a customer service decision and a best practice outlined in the 2005 Joint Agency Guidance on Overdraft Programs.

Promptly notify consumers of overdraft protection program usage each time used. Promptly notify consumers when overdraft protection has been accessed, for example, by sending a notice to consumers the day the overdraft protection program
has been accessed. The notification should identify the date of the transaction, the type of transaction, the overdraft amount, the fee associated with the overdraft, the amount necessary to return the account to a positive balance, the amount of time
consumers have to return their accounts to a positive balance, and the consequences of not returning the account to a positive balance within the given timeframe. Notify consumers if the institution terminates or suspends the consumer’s access to the
service, for example, if the consumer is no longer in good standing.
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#2253529 - 05/05/21 09:27 PM Re: Notice of overdraft to consumers compliance75
compliance75 Offline
100 Club
Joined: Oct 2016
Posts: 105
thank you!

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