What is the Expedited Funds Availability Act?

The Expedited Funds Availability Act (EFAA) is a federal banking law that was adopted in Texas in 1987. The law helps to protect consumers who keep their money in banks and other financial institutions. The law requires banks to make funds from deposits available to customers as quickly as possible. The EFAA sets the timing of when banks must make funds available from deposits. Generally, banks must make funds from deposits available within one to five business days, depending on the type of deposit. However, banks must make funds available sooner for certain types of deposits, including payroll, Social Security benefits and government benefits. The EFAA also includes consumer protections. It requires banks to disclose certain information regarding the availability of funds from deposits, such as when funds will be available and what fees, if any, will be charged for a deposit. Banks must also give notice of any delays in credit availability. The EFAA helps to protect consumers by ensuring that funds from deposits are available as quickly as possible. It also provides consumers with important information about the timing and fees associated with deposits.

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What is the Expedited Funds Availability Act?

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