The Federal Reserve Board Friday announced an interim final rule to amend Regulation D to delete the six-per-month limit on convenient transfers from the "savings deposit" definition. CUNA has urged the Federal Reserve to make this change for years, but recently increased its engagement on behalf of consumers during the coronavirus disease (COVID-19) pandemic.
“Today’s action by the federal reserve will make it easier for credit unions to give members access to their funds, which is vitally important as communities around the country deal with the impacts of the COVID-19 outbreak,” said CUNA President/CEO Jim Nussle. “We’ve long believed the threshold was arbitrary and unnecessary. We thank the Federal Reserve for making this critical change.”
Specifically, the interim final rule allows depository institutions immediately to suspend enforcement of the six-transfer limit and to allow consumers to make an unlimited number of convenient transfers and withdrawals from their savings deposits.
Previously, after consumers reached the limits, they could only access funds through ATM or branch visit.