Posted By: Confused in Compliance
Dormant Account Fees - Waiving - 12/15/08 03:54 PM
Under the Florida Statute is says that you can assess a dormant fee if you provide notice and if :
...(c)The holder regularly imposes those charges or ceases payment of interest and does not regularly reverse or otherwise cancel those charges or retroactively credit interest with respect to such property...
Based on that line, we have instructed our ops department that they should not have any policies in place that waive the dormant charges for customers unless it is stictly on an exception basis (i.e., "case by case").
Now our marketing area wants to add the waiver of all dormancy fees for customers as a perk for one of our existing account types. In other words, everyone in that product group will have no dormancy fees assessed as a rule.
In my opinion that violates the state statute.... correct?
...(c)The holder regularly imposes those charges or ceases payment of interest and does not regularly reverse or otherwise cancel those charges or retroactively credit interest with respect to such property...
Based on that line, we have instructed our ops department that they should not have any policies in place that waive the dormant charges for customers unless it is stictly on an exception basis (i.e., "case by case").
Now our marketing area wants to add the waiver of all dormancy fees for customers as a perk for one of our existing account types. In other words, everyone in that product group will have no dormancy fees assessed as a rule.
In my opinion that violates the state statute.... correct?