Eileen Donahue from the ARDC said that they would like banks to get their agreements in by September 1, but they are not requiring strict compliance in recognition of the fact that the rule was only recently announced. She noted that as long as banks are making a good faith effort to get the overdraft notification system in place by September 1, they will not require strict compliance on that date. The form can be found here, and it can be sent electronically, by fax, or by mail to the ARDC. If a bank does not comply, it will no longer be an eligible bank for IOLTA deposits.
We’re trying to figure out whether we have to comply with the new IOLTA account rules. Does this mean that we can’t open any new IOLTA accounts unless we reach an agreement? How are we supposed to comply by September 1, and what are the consequences of non-compliance?
—
by