Fed Eliminates Reg D Transfer Limits

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superinvestor
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Fed Eliminates Reg D Transfer Limits

Post by superinvestor » Wed Apr 29, 2020 3:57 am

Effective April 24, The Board of Governors of the Federal Reserve System (“Board”) amended its Regulation D (Reserve Requirements of Depository Institutions) to delete the numeric limits on certain kinds of transfers and withdrawals that may be made each month from “savings deposits.”

Source: https://www.federalregister.gov/documen ... stitutions

Coincidentally I accidentally went over the limit yesterday on a money market account. Just requested them to waive the $20 fee.

Anyone have any experience with getting this waived? Think I have a shot?

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SquawkIdent
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Re: Fed Eliminates Reg D Transfer Limits

Post by SquawkIdent » Wed Apr 29, 2020 5:09 am

This is the 6 withdrawals rule per month like Ally, Marcus, Barclays, etc. use on their online savings accounts? It sounds like it. BTW, the new rule says it permits them to not use it, it doesn't require them to.

runner3081
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Re: Fed Eliminates Reg D Transfer Limits

Post by runner3081 » Wed Apr 29, 2020 9:17 am

SquawkIdent wrote:
Wed Apr 29, 2020 5:09 am
This is the 6 withdrawals rule per month like Ally, Marcus, Barclays, etc. use on their online savings accounts? It sounds like it. BTW, the new rule says it permits them to not use it, it doesn't require them to.
Right, very important distinction. Don't blindly assume you can exceed that limit.

baliktad
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Re: Fed Eliminates Reg D Transfer Limits

Post by baliktad » Mon May 18, 2020 10:31 pm

I noticed on my Marcus online savings account today the following note next to the withdrawal count:
Due to a change in federal law, you are now free to make more than 6 withdrawals or transfers in a month. At this time, there is no limit to the number of withdrawals or transfers you can make.
They also updated their FAQ here: https://www.marcus.com/us/en/faqs#onlinesave

That means the Marcus online savings account is now functionally equivalent to a 'checkless' checking account. Move as much money as you like in and out each month without restriction.

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anon_investor
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Re: Fed Eliminates Reg D Transfer Limits

Post by anon_investor » Mon May 18, 2020 10:38 pm

baliktad wrote:
Mon May 18, 2020 10:31 pm
I noticed on my Marcus online savings account today the following note next to the withdrawal count:
Due to a change in federal law, you are now free to make more than 6 withdrawals or transfers in a month. At this time, there is no limit to the number of withdrawals or transfers you can make.
They also updated their FAQ here: https://www.marcus.com/us/en/faqs#onlinesave

That means the Marcus online savings account is now functionally equivalent to a 'checkless' checking account. Move as much money as you like in and out each month without restriction.
Okay.... now waiting for Ally to remove their 6 withdrawals/transfers a month limit.

madbrain
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Re: Fed Eliminates Reg D Transfer Limits

Post by madbrain » Tue May 19, 2020 8:15 pm

This is temporary, only up to 6 months.

Gadget
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Re: Fed Eliminates Reg D Transfer Limits

Post by Gadget » Wed May 20, 2020 5:24 pm

madbrain wrote:
Tue May 19, 2020 8:15 pm
This is temporary, only up to 6 months.
What is temporary? The Marcus rule change, or the Fed rule change?

And how temporary? If Ally doesn't match Marcus in this and it's not temporary, I'm definitely switching to Marcus.

madbrain
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Re: Fed Eliminates Reg D Transfer Limits

Post by madbrain » Wed May 20, 2020 6:00 pm

Gadget wrote:
Wed May 20, 2020 5:24 pm
madbrain wrote:
Tue May 19, 2020 8:15 pm
This is temporary, only up to 6 months.
What is temporary? The Marcus rule change, or the Fed rule change?

And how temporary? If Ally doesn't match Marcus in this and it's not temporary, I'm definitely switching to Marcus.
The fed rule change. It's right there in the link posted at the top of this thread. And it says 6 months.

baliktad
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Re: Fed Eliminates Reg D Transfer Limits

Post by baliktad » Wed May 20, 2020 6:06 pm

madbrain wrote:
Wed May 20, 2020 6:00 pm
Gadget wrote:
Wed May 20, 2020 5:24 pm
madbrain wrote:
Tue May 19, 2020 8:15 pm
This is temporary, only up to 6 months.
What is temporary? The Marcus rule change, or the Fed rule change?

And how temporary? If Ally doesn't match Marcus in this and it's not temporary, I'm definitely switching to Marcus.
The fed rule change. It's right there in the link posted at the top of this thread. And it says 6 months.
It seems one of us is either reading a different document or misinterpreting the rule. The announcement makes no mention that this regulation lifting is temporary. It says institutions are permitted to loosen restrictions indefinitely, temporarily, or not at all, but the federal regulation change has no expiration date.
Q.9. May depository institutions suspend enforcement of the six transfer limit on a temporary basis, such as for six months?

A.9. Yes.

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whodidntante
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Re: Fed Eliminates Reg D Transfer Limits

Post by whodidntante » Wed May 20, 2020 6:13 pm

Well, it was a stupid rule, anyway.

Gadget
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Re: Fed Eliminates Reg D Transfer Limits

Post by Gadget » Wed May 20, 2020 6:29 pm

madbrain wrote:
Wed May 20, 2020 6:00 pm
Gadget wrote:
Wed May 20, 2020 5:24 pm
madbrain wrote:
Tue May 19, 2020 8:15 pm
This is temporary, only up to 6 months.
What is temporary? The Marcus rule change, or the Fed rule change?

And how temporary? If Ally doesn't match Marcus in this and it's not temporary, I'm definitely switching to Marcus.
The fed rule change. It's right there in the link posted at the top of this thread. And it says 6 months.
I'm reading it... I don't know if it's clear that it's temporary or not. An interim rule doesn't mean it's temporary does it? It gives no end date, just an effective date. And it says institutions may make it temporary for 6 months, but it doesn't say they have to.

Is there something more clear that I'm just missing?

Gadget
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Re: Fed Eliminates Reg D Transfer Limits

Post by Gadget » Wed May 20, 2020 6:29 pm

deleted duplicate
Last edited by Gadget on Wed May 20, 2020 7:19 pm, edited 1 time in total.

Gadget
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Re: Fed Eliminates Reg D Transfer Limits

Post by Gadget » Wed May 20, 2020 6:44 pm

This site seems to be unclear if it's permanent or temporary as well. But it showed that an interim rule does not mean a temporary rule.

https://www.depositaccounts.com/blog/20 ... ounts.html

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