Skip to content

Collect for Processing a Levy Time Frame

Answered by: 

Is there a time frame as to when we should collect for processing a levy? Is it best to collect the fee when the bank receives notice of the levy or should the bank collect the fee after the 21 day period?

This can depend on the type of levy involved and whether it is subject to the Treasury Department's regulation on garnishment orders involving accounts containing federal benefits payments. It can also deposit on state law.

Your mention of a 21-day period suggests you are asking about an IRS levy, which is not subject to the Treasury Department regulation. State law, however, may affect your ability to collect a fee from the depositor or the depositor's account.

First published on 12/26/2021

Filed under: 
Filed under operations as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics