Washington, D.C. (April 24, 2020)—Independent Community Bankers of America (ICBA) President and CEO Rebeca Romero Rainey issued the following statement on today's Federal Reserve Board interim final rule on Regulation D.
“ICBA and the nation's community banks commend the Federal Reserve Board for its interim final rule suspending the six-per-month limit on transfers or withdrawals from savings and money market accounts—as advocated by ICBA.
"In a letter to the Fed last month and in follow-up meetings, ICBA and community bankers advocated suspending the Reg D restrictions for at least 12 months due to the COVID-19 emergency. ICBA noted that transfers will increase as consumers respond to financial pressures related to COVID-19.
"Today's interim final rule permits financial institutions to immediately and permanently end enforcement of the restrictions—allowing customers to make an unlimited number of convenient transfers and withdrawals from their savings deposits. The rule notes that many depositors have a more urgent need to access their funds remotely due to the COVID-19 emergency.
"ICBA will continue working with policymakers to support financial services regulations that support the local customers and communities that community banks serve."
The Independent Community Bankers of America® creates and promotes an environment where community banks flourish. With more than 50,000 locations nationwide, community banks constitute 99 percent of all banks, employ nearly 750,000 Americans and are the only physical banking presence in one in three U.S. counties. Holding more than $5 trillion in assets, nearly $4 trillion in deposits, and more than $3.4 trillion in loans to consumers, small businesses and the agricultural community, community banks channel local deposits into the Main Streets and neighborhoods they serve, spurring job creation, fostering innovation and fueling their customers’ dreams in communities throughout America. For more information, visit ICBA’s website at www.icba.org.
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