Proposal to Shorten the Availability
Schedule for Nonlocal Checks

Comments Due March 15, 1999

To All Depository Institutions and Others Concerned in the Second Federal Reserve District:

The following is from a statement by the Board of Governors of the Federal Reserve System:

The Federal Reserve Board has requested comment on the potential benefits and drawbacks of a modification to its Regulation CC, Availability of Funds and Collection of Checks, that would shorten the maximum hold for many nonlocal checks.

Comments Due March 15, 1999.

This modification would shorten the availability schedule for nonlocal checks from five to four business days but permit a depository bank to retain a five-day schedule for those categories of nonlocal checks that it certifies are not generally returned within a shorter period. This proposal is one of several alternative modifications to the nonlocal check availability schedule that the Board is considering.

The Board's official notice, as published in the Federal Register, is available as a file (pdf - 38kb). Comments should be submitted to the Board, as specified in the notice, by March 15, 1999.

Contact:
Public Affairs
(212) 720-6130
general.info@ny.frb.org