Learn More - Click Here!

Thread Options
#26986 - 08/06/02 07:45 PM Reg D and sweep accounts

Can an account be titled
"ABC Corporation for the benefit of others" and be a business money market account? Can they sweep partial balances on a daily basis?

Return to Top
Operations Compliance
#26987 - 08/06/02 09:52 PM Re: Reg D and sweep accounts
John Burnett Offline
10K Club
John Burnett
Joined: Oct 2000
Posts: 39,593
Cape Cod
No problem with the titling of the account. But that's where it stops. Sweeping OUT of a money market deposit account (aka MMDA) on a daily basis could cause the account to be in violation of Reg D's transfer limits in the definition of savings account in 204.2(d)(2). Customer gets no more than 6 transfers per month.
John S. Burnett
Fighting for Compliance since 1976
Bankers' Threads User #8

Return to Top

Moderator:  Andy_Z, John Burnett