Federal Limit on how many transfers I can make from savings?

An Announcement from My Bank ^ | 31 DEC 03 | ME

[tomakaze]

[the url is just a link to my bank, if I knew what the law was I'd hunt it up and link to it instead]
 
I went to check my account balance to see what I had to play with this evening when I noticed this in my accounts inbox:
Subject: Transfer from Savings LIMIT OF 6
Date Sent: 12/30/2003 00:00:00 CST
Alert ID: xxxxxxx
 
THE FEDERAL REGULATION STATES THAT WE CAN ONLY ALLOW 6 TRANSFERS PER MONTH FROM ANY SAVINGS ACCOUNT. This is not a credit union regulation. If you have questions about this regulation, please call the credit union and speak to eit
 

[skip2myloo]

You know, if I'm gonna use that quote, I guess I ought to validate it's authenticity -- but, I haven't.

I don't know where it came from, hope it wasn't something Carl Sandburg dreamed up :-)

Thanks for the references, they sound like something I would enjoy.

[LandofLincoln]

You're obviously either a drug dealer or terrorist. Which is it? Fess up! You are a blight on society. You should be behind bars. Stop whining. If you didn't do anything wrong then you shouldn't mind.

Not true Glenn, just because my wife and I transfer money between our accounts, does not make us criminals. You little sheeple are the blight on society.

[Kirkwood]

I had something similar happen to me and called the bank that issued the credit card. See, I had filled my car's tank, then filled my girlfriend's car with gas. The second purchase was rejected. They said they monitor gas purchases and if you make two separate gasoline purchases within a short period of time (like 30 minutes or so), it triggers a stop on the second purchase. This is because they said that stolen credit cards are often used to buy multiple gas purchases in a short period of time. I was surprised purchases were monitored that carefully, but it makes sense.

[HamiltonJay]

hahah well don't deposit checks or cash over 10k at once, government gets notified anytime you do that and has for years.... Don't know about this thing.

[tomakaze]

re:Pretty ironic isn't it ??
 
when I saw lincolns name on that original quote I was thinking the same thing, but didnt want to say anything 'cause I didn't go off topic in a thread I started (at least until I got the info I was looking for lol)

[skip2myloo]

None of these stupid regulations kept Saddam Hussein from amassing BILLIONS in U.S. currency.

Clear evidence that these "rules" are not an impediment to the big boys.

At some point our government will claim they "knew" he had that money all along.

Saddam has $Billion$, and you and I can't go pay cash to buy a money order for $3K or more without disclosure to the Feds.

Something is very wrong with this picture.

[tomakaze]

re: I am with a credit union and I make many more than 6 transactions per month, no restriction. Maybe you have a higher yeild account? Or maybe the credit union is limited to this because of the amount of loans to withholdings they have?
 
Nope, just their basic checking/savings. had it for 5 years now. If it's an old reg I'm just curious as to why they sent a special notice about it now.
I know for a fact that I've run afoul of it before if it's been in effect, defiantely spring & summer after I got laid off, because I'd been doing alot of ebay sales with paypal transactions that mostly involved checking, multiple deposits from the odd PC repair gig throughout the weeks, and I was constantly shuffling cash between savings & checking for various reasons, mostly my slapdash method of keeping track of things.

[Starter]

I've been hit by this as well in the past with my savings account. The way my bank explained it to me is that savings accounts have a limit of 6 outside transfers a month to keep them from being used like checking accounts. (Which, by the way, was the way that I was using my account.) Internal transfers between my checking and savings could be done an unlimited number of times.

The bank never mentioned the limit to me when I opened the account, so I was rather annoyed when it happened. Especially when my $15 transfer ended up costing me $105. (The first charge didn't go through? Well, let's just resubmit it again and again. Oh look! We get $15 every time we do that! Neat!)

[tomakaze]

re:Clear evidence that these "rules" are not an impediment to the big boys.
 
Exactly why I'm so pissed. None of these rules do what they claim their purpose is, but they're real good at managing and tracking us like cattle.

[tomakaze]

re:Not true Glenn, just because my wife and I transfer money between our accounts, does not make us criminals. You little sheeple are the blight on society.
 
I think glenn was just being sarcastic.

[not_apathetic_anymore]

I guess I don't understand bank regulations at all.

I own (with two other equal partners) a small business that provides professional services. All of the value that we have in the business is what we do...there are no physical assets.

We do online ACH transfers for payroll.

In order to allow us to contiue doing this the bank is wanting copies of each of our individual last year's tax returns and net worth statements. Why? I asked (as did my partners...several times.

Their answer seems stupid...even if there isn't enough money in the account to cover the transfers...the bank is required to process them. (So they need to know that we're 'good' for the amounts transferred. And the business as an entity has no assets...so they want to know our personal situation.)

My response...we'll happily sign a note saying if there isn't money in the account...DONT make the transfer. That seems like the best solution anyway. ...Nope... couldn't be done.

Seems like another stupid banking regulation that I dont' understand

[skip2myloo]

"... but they're real good at managing and tracking us like cattle.'

Actually, the Madcow episode has demonstrated that the government is far more interested in tracking ordinary citizens than sick cattle. Tracking cattle might harm the beef industry

The "stated purpose" for these Regs (i.e. interdiction of illegal drug trade, money laundering and terrorism) is nothing more than a very weak facade.

The real purpose is to track you and me, make no mistake about it.

[familyofman]

"The bank never mentioned the limit to me when I opened the account..."

Then they were in violation of some very basic banking regulations (laws). I would be more inclined to think they told you, in writing, what the rules were for your account type - you just didn't pay attention - or forgot.

[Lurking in Kansas]

Did you know that I would be committing a crime if (at the dealership, in your case) I told you that to avoid a report to the government that you should take out less than $10,000 at a time. The very act of telling you about the law can be construed as violating the law. Isn't that just peachy?

Is it illegal to tell me that if you told me it will be violating the law?
Or is it just the initial telling me a violation?

[skip2myloo]

Just move along, nothing happening here. Don't worry about the threats of terrorism (or anything else), we're the government - we're professionals, let us worry about it.

[Desdemona]

Federal regulations limit the amount of transactions on interest bearing accounts to six per month, with no more than three of those from a check. Excessive withdrawals may result in closure of the account.

When did this little tidbit come into effect.

My old MM account had a limit of three transactions per month, which was great for the reason I was using it, but it could be a pain.

I would love to know the answer to why regular savings accounts have any sorts of restrictions like this.

[Freedom of Speech Wins]

I have recently looked at a BANK brochure issued to notify of a change in fee schedules, with such a fee listed and stated as a new fee.

[Explorer89]

I would love to know the answer to why regular savings accounts have any sorts of restrictions like this.

Could it be to keep someone who has stolen an ATM card from draining the accompanying savings account?

[PAR35]

don't deposit checks or cash over 10k at once, government gets notified anytime you do that and has for years.

Only partially correct. Under the old rules, the Bank had to do a SAR on a cash transaction over $10,000, but not checks (since there was a paper trail).

Under the new rules, $10,000 is no longer a magic number, and reports may be made for smaller amounts if it is an unusual transaction or series of transactions (to catch "structured" transactions as mentioned above.)

[Dionysius]

POSTED ON MY NEW TOILET: "Federal EPA Regulations limit the use of this recepticle to six (6) times daily. Device will self-destruct upon the seventh (7th) use. Manufacturer expressly denies liability for any injury that might be suffered upon said occurence."