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DigYourself

Sep 11, 2015, 5:12 AM

Post #1 of 18 (8669 views)

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New US Banking Regulations ??

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We have a 'preferred' account at BankOfAmerica (apparently since 1988).

Today I went online and started to transfer funds from our BofA money market to our BofA checking. They threw up this notice :

"Online and mobile banking transfers are included in the 6 transaction-per-month limit that federal regulations impose on certain types of withdrawals and transfers from this savings account. Please see the Personal Schedule of Fees for more information."

Never remember seeing that before. I don't think we would ever need 6 transaction-per-month, but it is a little disconcerting that they are imposing such controls.

Edit : I called the bank and the girl said this is not a new change - but what is new is that they are making people aware of the rule. Does not apply to checking accounts only money market accounts and there is no dollar limit involved.


(This post was edited by cuerna1 on Sep 11, 2015, 6:08 AM)



cbviajero

Sep 11, 2015, 6:54 AM

Post #2 of 18 (8642 views)

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Re: [cuerna1] New US Banking Regulations ??

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I got the same message,it was kind of vague,hopefully it doesn't apply to ATM withdrawals.


DigYourself

Sep 11, 2015, 7:23 AM

Post #3 of 18 (8632 views)

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Re: [cbviajero] New US Banking Regulations ??

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If the funds will be drawn from a checking account - NO.
If the funds will be drawn from a money market account - YES.

Kind of interesting - We also have a Schwab Visa Debit card and I just called them. That card is linked to a brokerage account and as such has no restrictions on usage - ATM or otherwise.


chinagringo


Sep 11, 2015, 7:35 AM

Post #4 of 18 (8628 views)

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Re: [cbviajero] New US Banking Regulations ??

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The following should answer your question re: ATM withdrawls (taken from a bank website):



Restricted Transactions Transfers and withdrawals made in any of the following ways:
Pre-authorized, automatic, scheduled or recurring debit
Telephone, fax or e-mail through a Bank representative
Telephone Banking, Online Banking or Online Bill Payment
Overdraft transfers (made automatically to cover insufficient funds in other accounts)
Check or debit card to a third party
Unrestricted Transactions Regulation D does not affect the following types of transactions:
ATM transactions
Transfers made to loans at the Bank
Transactions done in person at a banking center
Transactions sent by mail or night depository with an original signature
Regards,
Neil
Albuquerque, NM



cbviajero

Sep 11, 2015, 7:43 AM

Post #5 of 18 (8623 views)

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Re: [chinagringo] New US Banking Regulations ??

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Thanks Neil.


DigYourself

Sep 11, 2015, 7:56 AM

Post #6 of 18 (8617 views)

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Re: [chinagringo] New US Banking Regulations ??

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I saw your post and called Bank Of America again.

At bank of america if your ATM transactions are drawn from your money market account they will be counted against the 6 transactions you will be allowed in a given billing cycle. I said I was told otherwise (your post) and her response was ' I'm sorry but that is misguided information'. Her words - not mine.

Switching gears a moment - one of the prerecorded messages they played while I was on hold said - 'planning a trip? if so let us know so your cards will work at your planned destination (or something similar)'. Well so happens we will be in Texas shortly and (I confirmed with the girl on the phone) our cards would not have worked had I not mentioned it to the bank beforehand. They would have have needed to confirm my identity when I was in Texas before allowing use of the cards. I thought that was a little interesting as well.


chinagringo


Sep 11, 2015, 8:12 AM

Post #7 of 18 (8607 views)

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Re: [cuerna1] New US Banking Regulations ??

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Sorry that I failed to provide the link to where I pulled the info (quote):

https://www.talmerbank.com/...gulationDTransaction

When it comes to banks and in my opinion Bank of America especially, one can find a direct correlation to some decisions that happen in Mexico - random, arbitrary and often not customer friendly. Interpreting regulations is left up to those making the judgement calls until such time as they are proven wrong and then the fun starts!
Regards,
Neil
Albuquerque, NM



DigYourself

Sep 11, 2015, 8:32 AM

Post #8 of 18 (8594 views)

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Re: [chinagringo] New US Banking Regulations ??

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I think you are right.

https://www.bankofamerica.com/...nal-schedule-fees.go

"What are the transaction limitations on my
savings account?
There is no limit on the number of deposits you may
make to your account. You can also make any number
of withdrawals and transfers to your account through the
financial center, by mail or at an ATM or ATM with Teller
Assist (ATA).
However, federal regulations (applied to all U.S. Banks)
and the Deposit Agreement and Disclosures limit the
number of certain types of withdrawals and transfers
from a savings account to a total of six each monthly
statement cycle (each month for savings accounts with
a quarterly statement). This transaction limit applies
to the following types of withdrawals or transfers:
automatic or pre-authorized transfers, telephone
transfers, Online and Mobile Banking transfers or
payments, or, if checks or debit cards are allowed on
the account, check, draft and point of sale transactions.
If you exceed these limits on more than an occasional
basis, we may convert your account to another type of
account, like a checking account, and your account may
no longer earn interest.
Please note that for savings accounts, we charge an
Excess Withdrawal Fee for each withdrawal and transfer
of any type in excess of three if the applicable balance
requirement is not met. See the information about this
fee in the savings account section on pages 5 and 6. "


cbviajero

Sep 11, 2015, 8:33 AM

Post #9 of 18 (8594 views)

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Re: [cuerna1] New US Banking Regulations ??

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In Reply To
I saw your post and called Bank Of America again.

At bank of america if your ATM transactions are drawn from your money market account they will be counted against the 6 transactions you will be allowed in a given billing cycle. I said I was told otherwise (your post) and her response was ' I'm sorry but that is misguided information'. Her words - not mine.

I've been making more than 6 ATM withdrawals per month lately from my money market account at BoA,taking advantage of the exchange rate,and they haven't been restricted so far.


(This post was edited by cbviajero on Sep 11, 2015, 8:34 AM)


chinagringo


Sep 11, 2015, 9:38 AM

Post #10 of 18 (8571 views)

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Re: [cbviajero] New US Banking Regulations ??

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Could it be branches in different cities or States operate differently in a fashion similar to Mexico's Immigration at each location? Give them a title but don't pay them much, so what else do they have to hang their hat on?
Regards,
Neil
Albuquerque, NM



John Shrall

Sep 11, 2015, 10:38 AM

Post #11 of 18 (8558 views)

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Re: [cuerna1] New US Banking Regulations ??

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The monthly 6 transfer limit between checking and money market or savings accounts is called Reg D and has been around for a long, long time.

It doesn't affect withdrawals from checking accounts but can apply to money market and savings account withdrawals and transfers. Recent changes now count checking account overdraft transfers from MMK or savings as one of the 6 allowed.

If you want to read more just Google "Reg D" or "Regulation D".


DigYourself

Sep 11, 2015, 10:57 AM

Post #12 of 18 (8555 views)

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Re: [John Shrall] New US Banking Regulations ??

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We have had accounts with BofA for a long time. Every 3 months I have moved money from the money market to checking so I could pay the quarterly taxes (via EFTPS. Today was the first time I ever got the notice about the 6 transaction limit.

I've been afraid of capital controls for awhile now. I'm sure it will get worse before better. Reg D is apparently intended to help banks maintain the proper level of reserves. But what is weird is you are not allowed (7) 100 dollar withdrawals in a month but you are allowed (6) 10000 withdrawals. Doesn't make sense.

Personally - I'm glad we have some Pesos on deposit in Mexico - even if the exchange rate stinks at the moment.


John Shrall

Sep 11, 2015, 2:18 PM

Post #13 of 18 (8527 views)

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Re: [cuerna1] New US Banking Regulations ??

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It does have to do with reserves as there are different reserve rules for savings and money markets as opposed to plain old checking.

The main difference between checking and savings/mmk accounts is that checking is considered a transaction account but the other 2 are not.

If a bank decides that they want savings accounts to be a transaction account like checking and they reserve the same as checking then Reg D no longer would apply for savings accounts.

It was never about the amount of withthdrawals rather that 6 level which to the banking authorities was the demarcation line between transaction accounts and non-transaction accounts.

Reg D goes a lot further than the simple monthly 6 transaction limit but thinking about it gives me a headache. I spent way too many years writing computer programs for credit unions where this was one of many regulations that had to be considered.


DigYourself

Sep 11, 2015, 3:37 PM

Post #14 of 18 (8510 views)

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Re: [John Shrall] New US Banking Regulations ??

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I also spent many years writing computer programs. Some of them would make you say ahhh - some of them would make you say hmmm :-)


John Shrall

Sep 11, 2015, 4:07 PM

Post #15 of 18 (8499 views)

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Re: [cuerna1] New US Banking Regulations ??

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Programming was funny and excruciatingly slow when I began in the 70's where a big mainframe had 300K of memory and a processer that barely moved by today's standards.

Banking was generally written in COBOL which the young studs coming out of college by the 90's and 00's despised . A couple of companies I worked for tried converting the late 60's COBOL to Java using Oracle so that it could run on Unix. Five years later and countless millions down the drain they gave up and ported the COBOL both to Unix and Windows servers where it lives to this day almost 50 years later.

The sad part of the business these days is that the government compliance departments have grown to be almost as big as that supporting the code. Countless millions are spent conforming to ever changing government regulations. Of course the consumer suffers because someone has to pay for these costs.

Each generation of banking programmer became more predictable. They loved to write new code with all that knowledge they thought picked up in college. We could never convince them that writing new code was easy. The schlubs that had to fix and improve their slick code for the next 50 years was going to be the biggest expense and headache.


DigYourself

Sep 11, 2015, 4:23 PM

Post #16 of 18 (8495 views)

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Re: [John Shrall] New US Banking Regulations ??

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I must admit - I never did have to code in COBOL (mostly assembler/c/c++/java) - but I worked for companies where that was dominate. My first real job was on a PDP-10. I had a Vax at one point. I taught myself on a RadioShack. I worked for the largest of companies to the smallest. I wrote OS code, DB code, wrote some code to contribute to what a browser is today. Wrote some code to find bad people.Wrote code to try and make money in the stock market,...


rockydog85251

Sep 11, 2015, 7:25 PM

Post #17 of 18 (8464 views)

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Re: [cuerna1] New US Banking Regulations ??

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A friend worked for Microsoft and invited me to their headquarters for the roll out of DOS....exciting times........then
Didn't understand it then and even less now!
Willie


roberb7


Sep 13, 2015, 8:05 AM

Post #18 of 18 (8317 views)

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Re: [John Shrall] New US Banking Regulations ??

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My second job after university was at the First and Merchants Bank in Richmond, VA. The have been many mergers since then, and it's now part of BoA. I was programming in COBOL and 360 Assembler there. The big project was converting everything from DOS (the IBM 360 one, not Windoze) to OS/VS1.

I earned a living as a computer programmer for 38 years. Switched to bus driving for the final three years before I retired.
 
 
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