Answer:
There is no requirement to send a notice for each advance, unless you have indicated you will do so in your agreement.
First published on BankersOnline.com 9/20/04
Line of Credit Statement Required
Answered by:
Question:
Our bank offers a personal line of credit that also acts as overdraft protection. Advances from the line are in a minimum of $50. There is no charge for the advance to cover an overdraft or overdraft fee from the DDA. We are sending out a notice to customers for each and every advance. In some cases this may be 3 or 4 a week. Is this necessary, as the monthly statement for both the PLOC and DDA would show the transfers? What regulations in particular would cover this?
print
share