Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

Washington
Compliance More hold notices not necessarily a nightmare
WASHINGTON(5/2/08)—The rising number of exception hold notices to members, and the attendant recordkeeping, does not mean a credit union manager is doomed to be buried in paperwork, according to the Credit Union National Association’s Compliance Challenge. A recent Challenge points out that the pertinent regulation does not require that every piece of paper in such a transaction end up in the files. The credit union must retain a record of each exception hold notice only when it invokes the “reasonable cause to doubt collectibility exception.” At issue is Regulation CC Section 229.13(g)(1). It requires credit unions to provide a notice to members when the credit union extends the time when funds will be available based on one of the exceptions, such as new accounts, large deposits, redeposited checks, repeated overdrafts, or when there is reasonable cause to doubt collectibility. The section requires the notice be provided to the member at the time of the deposit, unless the deposit is not made to an employee of the credit union, or if facts on which upon which the decision to invoke an exception hold do not become known until after the deposit. If the credit union invokes the questionable collectibility standard, it must retain a record describing the circumstances that led to the decision. The record must be kept for two years.


RSS





print
News Now LiveWire
CUNA: CUNA offices closed through Friday, News Now returns Monday http://t.co/a5xbLzQKDj
15 hours ago
Reminder: @CUNA's Madison, D.C. offices will be closed through Friday, open again on Monday. #NewsNow will publish Monday.
1 Day ago
MI dentist to match @CUDirect's $20K to @HurleyMedical as a result of #20for20 online voting http://t.co/hqmIc9LpK1 @CMNHospitals
1 Day ago
New #creditunion chartered in St. Louis - #LutheranFCU - by @TheNCUA http://t.co/faPfANGS0P. Only 3rd new FCU charter this year.
1 Day ago
Don't get hacked during the holidays-use these tips from @CUNA http://t.co/jEqxni6NhO #StoptheDataBreaches http://t.co/woIxPOIyys
1 Day ago