What happens if you withdrawal money from your savings account more than 6 times in one month?

Bec0623
Contributor
What happens when you withdrawal from your savings account through the ATM more than 6 times in 1 month? Is there a fee? Does it not allow you to pull out money after the sixth time? Or can you get into trouble because t is a Federal law? Please someone I have so far made 5 withdrawal and I am just now hearing about this rule what are the concequences?

7 REPLIES

Hi Bec0623, thank you for your post in our community. These are great questions regarding Regulation D excessive transactions. Withdrawals that count towards your six per month include: transfers made to another of your bank accounts, a third party bank account, or another line of business; overdraft protection transfers; wire transfers; and bill payments. ATM withdrawals, official checks, deposit reversals and bank fees do not count towards the six per month. If you do exceed six transactions during your statement cycle, you will first receive a notification from us advising of the regulation. If you exceed six transactions a second time within a 12 month period, you will receive another notification in the mail and will be charged a $5.00 fee per transaction over the six for that month. If it happens a third time, you will receive a final notification, be charged $5.00 per transaction over the six for the month, and the account will be converted into a checking account.  Also, please note that if you do not repeat the violation within the 12 month period, the number of violations is cleared. I hope this has been helpful, and please don't hesitate to let us know if we can assist in any way. -Meredith

Is this information still correct or has it changed?

Babbage - Good question. Regulation D has not changed. With that in mind, the previous response is still accurate. I hope this information has been helpful. Please let us know if you have any questions or concerns. - Jason
 

If your account gets changed to a checking account, is it possible to change it back to savings account?  What are the steps for that?

@Dee1999, once your account gets changed to a checking account it cannot be converted back to a savings. However, you can inquire about opening a new savings account 90-days after your account was converted to a checking account. I hope this information helps. - Janay

Exactly how long is a 'statement cycle,' and is there a way to check how many withdrawals one has made from a savings account during a 'statement cycle?'

@Cnik, a statement cycle is one month. You can see how many withdrawals you have in your statement cycle by reviewing your account transaction history. The beginning of your cycle will be on the date your interest has been paid into the account. I hope this helps.