Posted By: Skittles
DDA as Collateral - 10/24/02 12:17 PM
If memory serves, I was under the impression that a bank could not take a demand deposit account as collateral. Am I correct? 
DDA as Collateral
Posted By: JulieB
Re: DDA as Collateral - 10/24/02 12:29 PM
If memory serves also, then it would no longer be a demand deposit account because the borrower would not be able to "demand" their money.
Posted By: Andy_Z
Re: DDA as Collateral - 10/24/02 12:56 PM
If memory serves, you'd both be correct.
Posted By: Lestie G
Re: DDA as Collateral - 10/24/02 01:43 PM
Hey! My memory doesn't serve! That's not fair!! 
Posted By: Skittles
Re: DDA as Collateral - 10/24/02 01:44 PM
I guess I should be careful what terminology I use although I absolutely love humor!
Posted By: Anonymous
Re: DDA as Collateral - 10/24/02 03:38 PM
What is your procedure if a customer requests this?
Posted By: Anonymous
Re: DDA as Collateral - 10/24/02 03:46 PM
Tell them a DDA is not acceptable collateral because you can't perfect a lien.
Posted By: Don_Narup
Re: DDA as Collateral - 10/24/02 03:49 PM
Just say No, and that regulations require items presented for payment must be processed without preference, and that the bank has no control over what is presented. But, if they place the funds in a savings account you would be happy to make the loan that way.
Posted By: swiggles
Re: DDA as Collateral - 10/24/02 08:47 PM
Service please!!! Service, I say!!!
My memory does not respond. I think it went home for the day.
My memory does not respond. I think it went home for the day.