What You Need to Know About Regulation D
Regulation D or Reg. D is a Federal Reserve Regulation that requires
all financial institutions – both banks and credit unions – to
limit withdrawal transactions on Savings and Money Market accounts.
How does Regulation D affect you?
It limits the number of preauthorized, automatic or phone transactions you make
each month on a savings account to a maximum of six per month. (Savings Accounts
include all primary and secondary Savings, Holiday, Summer Pay, and Money Market
Accounts.) Regulation D transactions include:
- Automated Account Specialist Telephone Transfers (audio response)
- Overdraft protection services
- Check Withdrawals
- Transfers done over the phone with one of our Member Service Representatives
- ACH withdrawals (preauthorized debits)
There is no limit to transfers or withdrawals done in person, by an ATM, or those made
from a checking account or a line of credit.
Unlimited transactions that do not fall within Regulation D:
- Withdrawals done in person at our office
- Transfers done in person at our office
- Cash withdrawals performed at an ATM
- Transfer requests made at an ATM
- Check withdrawals made payable to the account holder requested over the
phone to one of our Member Service Representatives
- Automatic loan payments made on a FirstDay loan
In compliance with Regulation D, during any month, you may not make more than
six withdrawals or transfers to another FirstDay account of yours or to a third party by
means of a preauthorized or automatic transfer, computer transfer, or telephonic order
or instruction. No more than three of the six transfers may be made by check, draft,
debit card or similar order to a third party. If you exceed these transfer limitations set
forth above, any transaction in the excess of the above transfer limitations will be
subject to a $10 per item fee, and your account will be subject to closure by the
credit union.
Regulation D is a Directive of the Federal Government,
not Your Credit Union
