IBA Compliance Connection

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Are we required to make $200 available to a customer on the next business day if one of the Regulation CC exception holds applies?

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The requirement to make the first $200 of a deposit available on the next business day following a deposit applies only when imposing a large deposit hold (over $5,000). If you are imposing one of the other Regulation CC exception holds — for new accounts, redeposited checks, repeated overdrafts, reasonable cause to doubt collectibility, or emergency conditions — you are not required to make the first $200 available.

For resources related to our guidance, please see:

  • Official Interpretations, Regulation CC, 12 CFR 229, Paragraph 13(a), Comment 2 (“New accounts . . . . The requirements of § 229.10(c)(1)(vi) and (vii) . . . do not apply during the new account period.”)
  • Official Interpretations, Regulation CC, 12 CFR 229, Paragraph 13(b), Comment 2 (“Large deposits . . . . The following example illustrates the operation of the large deposit exception. If a customer deposits $2,000 in cash and a $9,000 local check on a Monday, $2,100 (the proceeds of the cash deposit and $100 [now $200] from the local check deposit) must be made available for withdrawal on Tuesday. . . .”)
  • Official Interpretations, Regulation CC, 12 CFR 229, Paragraph 13(c), Comment 3 (“Redeposited checks . . . . the [$200] need not be made available again if the check is redeposited.”)
  • Official Interpretations, Regulation CC, 12 CFR 229, Paragraph 13(d), Comment 4 (“Repeated overdrafts . . . . When a bank places or extends a hold under this exception, it need not make the first [$200] of a deposit available for withdrawal on the next business day, as otherwise would be required by § 229.10(c)(1)(vii).”)
  • Official Interpretations, Regulation CC, 12 CFR 229, Paragraph 13(e), Comment 1 (“Reasonable Cause to Doubt Collectibility . . . . When a bank places or extends a hold under this exception, it need not make the first [$200] of a deposit available for withdrawal on the next business day, as otherwise would be required by § 229.10(c)(1)(vii).”)
  • Official Interpretations, Regulation CC, 12 CFR 229, Paragraph 13(f), Comment 1 (“Emergency conditions . . . . When a bank places or extends a hold under this exception, it need not make the first [$200] of a deposit available for withdrawal on the next business day, as otherwise would be required by § 229.10(c)(1)(vii).”)