What is Regulation D, or Reg D?
To control the supply of money available in the U.S. and financial institutions’ reserve requirements, the Federal Reserve Board created Reg D and account classifications.
This is a Federal Regulation that effects all financial institutions.
How does Reg D
apply to me?
Reg D regulates savings accounts (including
You-Name-It Savings and Holiday Clubs)
and Money Market Deposit Accounts. The basic rule states
that a depositor may make
no more than six "covered" transfers or withdrawals
from the account in a calendar
month or statement cycle. There is no limit on "non-covered"
transfers or withdrawals.
What are "covered" and "non-covered" transactions?
Covered
(Counts toward the Reg D
limit of 6) |
Non-Covered
(Does not count toward the
Reg D limit of 6) |
Preauthorized transfer
(either to another account or to JAXFCU) |
Transfers for loan payments at JAXFCU |
Automatic Transfer
Online Transfer
Telephone Transfer (either Telephone Banking or Call Center)
Check to a third party
Draft to a third party
Debit card to a third party
Similar order made to a third party |
Transfers or withdrawals made to another of your own accounts or made payable to you if made by:
- Mail
- Messenger
- ATM
- In Person
|
What happens if I reach the limit of 6?
If you are using this account for overdraft protection on your checking account, the
transaction will be rejected, the check returned as NSF (non-sufficient funds) and
you may be subject to the $30 NSF fee plus any fees charged by whomever the check
was written to. Even if you have the funds available in your deposit account, once the withdrawal limit of 6 is reached, no more of the covered withdrawals can be made until
the next month.
What can I do if I have to have money from the account?
You are free to make withdrawals via any of the non-covered methods, however
automatic overdraft protection cannot occur. If you are eligible for JAXFCU’s
Courtesy Pay program we will cover your additional checks up to the $500 limit, but
you will still incur the $30 NSF fee for each check.
If you have any additional questions or concerns, please ask at your local branch,
or call our Call Center at (904)475-8000 or (800) 443-2664.
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