What is the Expedited Funds Availability Act?

The Expedited Funds Availability Act is a California law that requires banks to make deposits available for their customers within certain time frames. This law is designed to ensure that customers have access to their money in a timely manner and can manage their finances efficiently. The act applies to most types of deposits, including checks, money orders, and cash transfers. Under the Expedited Funds Availability Act, a bank must make most deposits available within two business days. For example, if a customer deposits a check on a Tuesday, the funds must be available by Thursday of that same week. The act also sets limits on how long banks can hold larger deposits or deposits made by new customers. Large deposits, for instance, must be made available after five business days. The law also requires banks to provide customers with certain information about their deposits, including the time when the funds will become available. This helps customers plan their finances, knowing when they can access their money. The Expedited Funds Availability Act ensures that banks make funds available to customers in an efficient and timely manner. This helps customers plan their finances and manage their money, while also protecting them from unfair or delayed access to funds.

Related FAQs

What is the Fair Debt Collection Practices Act?
What is the Federal Banking Agency Regulatory Relief Act?
What is the Alternative Mortgage Transaction Parity Act?
What is the Financial Institutions Reform, Recovery and Enforcement Act?
What is the Payment Card Industry Data Security Standard?
What is the Consumer Financial Protection Bureau?
What are the rules and regulations related to consumer banking?
What are the U.S. banking laws?
What is the Equal Credit Opportunity Act?
What is the International Banking Act?

What is the Expedited Funds Availability Act?

Related FAQs

Related Blog Posts