I have a 20 year old customer that had a checking account that went negative and we couldn't reach him. We ended up charging off the account. This 20-year old is also the beneficiary of a Uniform Transfer to Miner's Act account that his grandfather is the custodian for. Since the beneficiary is considered the sole owner of the funds and it is to be used for their benefit, can I use "right of setoff" and take those funds and put them towards the charged off balance on his checking account?
Are we required to provide the customer with a confirmation that they have opted in. We currently provide them with the Overdraft Services Disclosure and Consent form at the time they Opt-in. At the bottom of the form we disclose how they can Opt-out. The following day, we mail them a confirmation notice of their Opt-in decision that also includes instructions
for Opting out, which I don't believe is required. Please clarify.
Is it "legal" to place a hold on a checking account for a long period of time for a past due loan payment or to recover another charged off checking account? This may put the account with the hold on it in the negative.
What is the maximum penalty that a bank can charge on a certificate of deposit?
I'm trying to search advantage, risks, pro vs cons of being a pay all bank or a return all bank on overdrafts. Not having much luck. Do you have any references or ideas on where to go that you could send me?
Should a bank allow a customer to overdraw their account at the teller window by letting them withdraw any amount up to their OD limit and also charge them the normal OD Fees?
What regulation (section, paragraph, etc.) states that accounts with a negative balance as a result of utilizing overdraft privilege will be closed after 'X' number of days?
We have just started with e-statements. Our overdraft protection statements have the same account number as the checking account it is attached to and are created at the same time as checking accounts. Are the Reg E and Z disclosures that we provide with each ODP statement going to be required on every ODP e-statement? Is that also true for the checking statements for Reg E?
Can a customer whose deposit account has a negative balance, cash a payroll check at the teller line or can we require the check be deposited first? If so, how should the teller run the transaction?
Is there really any difference in assessing continuous overdraft fees based on business days versus calendar days and is there any regulatory guidance regarding assessment of such a fee on a calendar day when the bank is not open for business such as Saturday, Sunday or holidays which might tend to penalize the customer?