Fed Reserve Limit

iVillage Member
Registered: 01-25-2006
Fed Reserve Limit
1
Wed, 03-01-2006 - 2:48pm

I'm not totally sure I understand all of the ramifications of this but wanted to share so others would know. Apparently there is some sort of Fed Reserve limit on transactions to and from a SAVINGS account during a statement period of 6 transactions. This would apply to your online savings accounts like ING, etc. I would assume it also applies to my savings accounts at my credit union so I need to keep this in the back of my mind because I have been sort of using my Savings account as a holding zone for my snowflakes and I don't want to get caught with my shorts down. Here's a blog entry on this issue that I found:
http://www.bargaineering.com/articles/limit-of-6-ach-transfers-on-savings-accounts.html#more-770

Peg

iVillage Member
Registered: 06-23-2005
In reply to: p7eggyc
Wed, 03-01-2006 - 3:54pm

I know that our bank charges a fee for more than X transactions to/from savings per cycle, but I had no idea there was a federal limit. That's really interesting and I wonder if it has to do with restricting illegal activity. I jump money around from checking to savings and back again quite a bit and I've never had a problem. That's not to say it's impossible to happen, though.

Thanks for the heads up. I'm going to have to check into this more!