It’s a common misconception that Regulation CC only applies to consumers. Regulation CC applies to all transaction accounts; however, there are certain requirements that only apply to consumers and other things that only apply to non-consumers.
The one-time exception notice, outlined in §229.13(g)(2), is one allowance that only applies to non-consumer transaction accounts. While we don’t often see institutions take advantage of this, it is an option. The Regulation states:
In lieu of providing notice pursuant to paragraph (g)(1) (exception delay notice) a depositary bank that extends the time when the funds deposited in a nonconsumer account will be available for withdrawal based on an exception contained in paragraph (b) (large deposit) or (c) ( redeposited checks) of this section may provide a single notice to the customer that includes the following information:
(i)The reason(s) the exception may be invoked; and
(ii) The time period within which deposits subject to the exception generally will be available for withdrawal.
This could come in handy for those commercial accounts like grocery stores, convenience stores, pawn shops, etc., that deposit a lot of checks. But remember, this specific allowance is only for large deposits (checks exceeding $6,725) and redeposited checks; this one-time notice must generally be provided to the customer no later than the time of the first deposit subject to the delay. The Regulation also points out that the …one-time notice shall be provided only if each type of exception cited in the notice will be invoked for most check deposits in the account to which the exception could apply. Appendix C of the Regulation provides a Model Form (C-14) for this one-time exception hold.
Once the notice is provided, it does not expire.
Published
2025/10/14
