The Federal Reserve governs banks and financial institutions with many regulations. One regulation commonly referred to as “Regulation D” places limitations on Savings and Money Market Account transfers, withdrawals and payments to others. This only refers to transfers from your Savings or Money Market accounts. There is no limit however to transfers made from your Checking account.
Federal Regulation D places a monthly limit on the number of transfers you may make from your Savings Accounts or Money Market Accounts without your physical presence being required. Transfers affected by this regulation include:
- 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 via telephone or via fax
- Pre-authorized, automatic, scheduled or recurring transfers You are allowed six transfers per month, per account, but only three of those may be made by check.
There are certain transfers which are not affected by Regulation D such as:
- ATM transactions
- Transfers made to pay Polish-American FCU loans
- Transactions performed in person at a branch (including shared branches).
- Transactions sent in by mail with an original signature
- Polish-American FCU On-line Bill Pay (which uses funds from your checking account)
We would advise our Members to keep most of their funds in their Checking account. Polish-American FCU offers a higher interest bearing checking account “E-Checking Plus”. In order to qualify for the higher interest rate on the first $1,000 in the account, Members must meet the following requirements:
- Sign up for the direct deposit of your payroll or social security income into your checking account
- Apply and use the Polish-American FCU debit card (the card with the “Master Card” logo on it). Using a debit card is more convenient than writing a check at the store. You can either use your PIN to accept the transaction or use your signature. We also suggest choosing the “credit” option when prompted with “debit” or “credit”. Choosing the “credit” option requires you to sign the transaction and in effect is much safer.
- Sign up for e-statements and receive your Polish-American FCU monthly statements electronically.
Also please note these tips for managing your accounts.
- We suggest that you do NOT authorize anyone to make automatic withdrawals from your Savings or Money Market accounts. Instead, set up the withdrawals to come out of a checking account, which allows unlimited transactions.
- We suggest that you set up your payroll, Social Security or related deposits to be directly deposited into your checking account rather than a Savings or Money Market account.
- Have your funds directly deposited into your checking account. If you would like to, you can then make a deposit into your Savings account. Deposits into your Savings account do not “count”, you can make as many as you want.
- Balance your checking account regularly. This helps limit the number of savings transfers to pay checks that would otherwise be NSF. Remember, after exceeding the limit of six transfers, withdrawals, or payments, checks presented for payment will not be protected by the savings to checking transfer.
- Apply for and use a Polish-American FCU debit card. This will allow you to make purchases at stores, with the funds coming directly out of your checking account.
If you have any questions or need additional information, please contact our Member Services Representatives at any one of our three branches.