Your bank may be able to impose a hold of five business days on a deposit to a commercial account, but such holds must comply with Regulation CC.

Regulation CC’s funds availability requirements apply to any transaction accounts, whether held by a business or a consumer. Generally, the full amount of funds deposited by check must be made available no later than the second business day after the banking day on which the funds were deposited. However, there are several exceptions to this requirement which may allow your bank to impose a hold of five business days. For example, your bank may impose holds for large deposits (over $5,000) and for other reasons, such as a qualifying reasonable cause to doubt the checks’ collectability.

For resources related to our guidance, please see:

• Regulation CC, 12 CFR 229.12(b) (“Except as provided in paragraphs (d), (e), and (f) of this section, a depository bank shall make funds deposited in an account by a check available for withdrawal not later than the second business day following the banking day on which funds are deposited . . . .”)

• Regulation CC, 12 CFR 229.2(a) (“Account . . . means a deposit as defined in 12 CFR 204.2(a)(1)(i) that is a transaction account as described in 12 CFR 204.2(e).”)

• Regulation CC, 12 CFR 229.13(b) (“Large deposits. Sections 229.10(c) and 229.12 do not apply to the aggregate amount of deposits by one or more checks to the extent that the aggregate amount is in excess of $5,000 on any one banking. day. . . .”)

• Regulation CC, 12 CFR 229.13(e) (“Reasonable cause to doubt collectability. Sections 229.10(c) and 229.12 do not apply to a check deposited in an account at a depositary bank if the depositary bank has reasonable cause to believe that the check is uncollectible from the paying bank. Reasonable cause to believe a check is uncollectible requires the existence of facts that would cause a well-grounded belief in the mind of a reasonable person.”)

• Regulation CC, 12 CFR 229.13(h)(4) (“For the purposes of this section, a ‘reasonable period’ is an extension of up to one business day for checks described in §229.10(c)(1)(vi), five business days for checks described in §229.12(b)(1) through (4), and six business days for checks described in §229.12(c) (1) and (2) or §229.12(f). A longer extension may be reasonable, but the bank has the burden of so establishing.”)