Regulation O and Waiving Overdraft Fees
Issue/Inquiry
A director of the Bank incurred an overdraft. It was paid the day after from one of the director’s other deposit accounts with the Bank pursuant to a written agreement for covering overdrafts in this manner. The Bank, however, waived the overdraft fee that its policy required, on the basis of the size of the director’s deposit relationship with the Bank. The Bank indicated that such a waiver is allowed under its policy.
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