Reg D - Fort Knox Federal Credit Union

Reg D header
Dear Fort Knox Federal Credit Union Member:

Thank you for your continued membership with us. As your financial partner, we would like to review compliance information regarding Federal Regulation D (Reg D).

All financial institutions, including Fort Knox FCU, are required to monitor member compliance with Regulation D. This involves certain limits to your savings and money market account transactions. Here is a quick reference for the allowable transactions during any given month:

Savings & Money Market Transaction Guide

UNLIMITED TRANSACTIONS/MONTH:

LIMITED | 6 TRANSACTIONS/MONTH:

    In-person at a branch    Electronic payments
    ATM transactions    Phone requests
    Mail and written requests    Online transfers
    Transfer payments made to a Fort Knox FCU Loan    Automatic payments

We are here to help you adhere to Regulation D compliance requirements and can review your accounts in detail with you. Please feel free to call us at 800-285-5669 with additional questions or stop by your nearest branch for one-on-one assistance.

We have provided some Frequently Asked Questions that may help you better understand Regulation D requirement specifics.

We are “People Helping People”, and are happy to help you in every aspect of your financial life.

Sincerely,

Marc Prasch
VP Retail Operations | Fort Knox Federal Credit Union

Regulation D FAQs


WHAT IS REGULATION D (REG D)?

Reg D is a federal law that applies to all financial institutions insured by the federal government. This law restricts the number of transfers and/or withdrawals that you may make each month from your Share Savings Account(s).

WHICH ACCOUNTS ARE AFFECTED BY REG D?

Share Savings Accounts
Money Market Accounts

HOW DOES REG D AFFECT ME?

During any month, you may not make more than six (6) withdrawals or transfers to another account or to a third party including: withdrawals or transfers to another account, online banking transfers, overdraft protection transfers, transfers done over the phone with our Member Service representatives, and ACH payments or withdrawals. If you exceed the Reg D limitations, your transaction may be refused or reversed, and your account may be subject to a fee or closed.

WHAT TYPES OF TRANSFERS/WITHDRAWALS ARE LIMITED BY REG D?

Transfers that do not require your physical presence, including:

    • Transfers made using Online Banking
    • Transfers made using Telephone Banking
    • Overdraft transfers (made automatically to cover insufficient funds in other accounts)
    • Transfers made by a Member Service Representative on your behalf
    • Pre-authorized, automatic, scheduled or recurring transfers ACH withdrawals

WHICH TRANSACTIONS ARE NOT AFFECTED BY REGULATION D?

Reg D does not apply to your Share Draft Checking Account or the following share account transactions:

    • ATM transactions
    • Transfer payments made to a Fort Knox FCU loan
    • Transactions done in person at a branch
    • Transactions sent in by mail

WHAT ARE MY OPTIONS ONCE AN ACCOUNT HAS REACHED ITS REG D LIMIT?

Withdrawals and transfers can be completed in person, by mail, or at an ATM.

HOW CAN I AVOID EXCEEDING REG D LIMITS?

    • Recurring electronic payments can be made from your Share Draft Checking Account - a transactional
      account not subject to Reg D limitations.
    • Keep sufficient funds in your share draft account to avoid overdraft transfers.
    • Make transfers at an ATM or in person at a branch.
    • Make one large transfer instead of several small transfers since each Reg D transfer counts as
      one transaction, regardless of the dollar amount.
    • Use your Share Draft Checking Account for Direct Deposits - excess funds can be transferred to your
      Savings without limit.

I HAVE AUTHORIZED A MERCHANT TO AUTOMATICALLY WITHDRAW PAYMENTS FROM MY SHARE ACCOUNT. DO THESE COUNT AGAINST MY MONTHLY LIMIT?

Yes, these payments (also known as "ACH" or "EFT" transactions) are restricted by Reg D limitations. Instead, make automatic payments using something other than your Share Account, such as a Share Draft Checking Account. If you have authorized over six (6) merchant payments from your share account, we recommend that you contact those merchants to change the account used (note: this may take one month or more to go into effect).

WHAT WILL YOU DO IF I EXCEED MY WITHDRAWAL LIMIT?

Reg D requires us to take steps to prevent excessive transactions and that our members adhere to the permitted number of monthly withdrawals and transfers. Effective December 1, 2017, if you exceed the Reg D limitation, we will return the item as unpaid.

DOES REG D APPLY TO DEPOSITS TO MY SHARE ACCOUNT?

Deposits to Savings have no restrictions since the purpose of a Savings account is to continually add money and grow your account. Reg D only limits withdrawals from Savings.