Reg D - Teller Counter Cash Withdrawals

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Question:

Are cash withdrawals made at a teller counter from a passbook savings account limited to six transactions under Reg D and if so, is exceeding the six withdrawal transaction limit a violation?

Answer:

Any in-person withdrawal is not counted against the withdrawal limitations. "Such an account is not a transaction account by virtue of an arrangement that permits transfers for the purpose of repaying loans and associated expenses at the same depository institution (as originator or servicer) or that permits transfers of funds from this account to another account of the same depositor at the same institution or permits withdrawals (payments directly to the depositor) from the account when such transfers or withdrawals are made by mail, messenger, automated teller machine, or in person or when such withdrawals are made by telephone (via check mailed to the depositor) regardless of the number of such transfers or withdrawals."

First published on BankersOnline.com 2/16/09