Regulation CC outlines when institutions can delay deposited funds using an exception hold. These include instances of large deposits, redeposited checks, repeated overdrafts, reasonable cause to doubt collectability, and emergency conditions. Each of these categories; however, have specific rules you need to follow not only to maintain consistency but ultimately compliance. For example, what exactly is a redeposited item? If you ask your personnel, you might get differing opinions. Regulation CC says that funds from checks that have been previously returned unpaid may be held using an exception hold when they are redeposited. Keep in mind, this does not apply in cases where the check was returned due to a missing endorsement or being postdated, and the deficiency has been corrected.
Kevin explains more in the video.
2025/01/28
