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Title 12, Banks and BankingRelease 119-110

§4004 Disclosure of Funds Availability Policies

Title 12 › CHAPTER 41 — EXPEDITED FUNDS AVAILABILITY › § 4004

Last updated Sep 23, 2026|Official source

Summary

Banks and credit unions must give people a written notice that explains when money they deposit will be available to withdraw. They must give this notice before an account is opened. Preprinted deposit slips must include a short warning that deposited items might not be available right away. In the first regular mailing after September 1, 1988 (and no more than 60 days later), each bank had to send this notice unless it already did so before that date. If a bank changes its funds-availability rules, it must tell customers at least 30 days before the change, unless the change makes funds available sooner; in that case the bank can tell customers within 30 days after the change. Customers can ask for the written policy and the bank must give it. Banks must post a clear notice at teller windows about how long deposits take to clear. ATM owners must post a general notice that deposits may not be immediately available. If a bank starts paying interest later than the usual rule, its notices must say when interest begins. The Federal Reserve and the Consumer Financial Protection Bureau will publish sample forms to help banks comply; using those samples (or using them but removing unneeded parts or changing layout) meets the rule. The samples will be adopted only after public notice and comment, and banks do not have to use them.

Full Legal Text

Title 12, §4004

Banks and Banking, Source: USLM XML via OLRC

(a)Notice for new accounts
Before an account is opened at a depository institution, the depository institution shall provide written notice to the potential customer of the specific policy of such depository institution with respect to when a customer may withdraw funds deposited into the customer’s account.
(b)Preprinted deposit slips
All preprinted deposit slips that a depository institution furnishes to its customers shall contain a summary notice, as prescribed by the Board, jointly with the Director of the Bureau of Consumer Financial Protection, in regulations, that deposited items may not be available for immediate withdrawal.
(c)Mailing of notice
(1)First mailing after enactment
In the first regularly scheduled mailing to customers occurring after September 1, 1988, but not more than 60 days after September 1, 1988, each depository institution shall send a written notice containing the specific policy of such depository institution with respect to when a customer may withdraw funds deposited into such customer’s account, unless the depository institution has provided a disclosure which meets the requirements of this section before September 1, 1988.
(2)Subsequent changes
A depository institution shall send a written notice to customers at least 30 days before implementing any change to the depository institution’s policy with respect to when customers may withdraw funds deposited into consumer accounts, except that any change which expedites the availability of such funds shall be disclosed not later than 30 days after implementation.
(3)Upon request
Upon the request of any person, a depository institution shall provide or send such person a written notice containing the specific policy of such depository institution with respect to when a customer may withdraw funds deposited into a customer’s account.
(d)Posting of notice
(1)Specific notice at manned teller stations
Each depository institution shall post, in a conspicuous place in each location where deposits are accepted by individuals employed by such depository institution, a specific notice which describes the time periods applicable to the availability of funds deposited in a consumer account.
(2)General notice at automated teller machines
In the case of any automated teller machine at which any funds are received for deposit in an account at any depository institution, the Board, jointly with the Director of the Bureau of Consumer Financial Protection, shall prescribe, by regulations, that the owner or operator of such automated teller machine shall post or provide a general notice that funds deposited in such machine may not be immediately available for withdrawal.
(e)Notice of interest payment policy
If a depository institution described in section 4005(b) of this title begins the accrual of interest or dividends at a later date than the date described in section 4005(a) of this title with respect to all funds, including cash, deposited in an interest-bearing account at such depository institution, any notice required to be provided under subsections (a) and (c) shall contain a written description of the time at which such depository institution begins to accrue interest or dividends on such funds.
(f)Model disclosure forms
(1)Prepared by Board and Bureau
The Board, jointly with the Director of the Bureau of Consumer Financial Protection, shall publish model disclosure forms and clauses for common transactions to facilitate compliance with the disclosure requirements of this section and to aid customers by utilizing readily understandable language.
(2)Use of forms to achieve compliance
A depository institution shall be deemed to be in compliance with the requirements of this section if such institution—
(A)uses any appropriate model form or clause as published by the Board, jointly with the Director of the Bureau of Consumer Financial Protection,, or
(B)uses any such model form or clause and changes such form or clause by—
(i)deleting any information which is not required by this chapter; or
(ii)rearranging the format.
(3)Voluntary use
Nothing in this chapter requires the use of any such model form or clause prescribed by the Board, jointly with the Director of the Bureau of Consumer Financial Protection, under this subsection.
(4)Notice and comment
Model disclosure forms and clauses shall be adopted by the Board, jointly with the Director of the Bureau of Consumer Financial Protection, only after notice duly given in the Federal Register and an opportunity for public comment in accordance with section 553 of title 5.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

After enactment, referred to in the heading of subsec. (c)(1), probably means after the

Effective Date

of this section, which is Sept. 1, 1988.

Amendments

2010—Subsecs. (b), (d)(2). Pub. L. 111–203, § 1086(c)(1), inserted “, jointly with the Director of the Bureau of Consumer Financial Protection,” after “Board”. Subsec. (f)(1). Pub. L. 111–203, § 1086(c)(2), inserted “and Bureau” after “Board” in heading. Pub. L. 111–203, § 1086(c)(1), inserted “, jointly with the Director of the Bureau of Consumer Financial Protection,” after “Board”. Subsec. (f)(2)(A), (3), (4). Pub. L. 111–203, § 1086(c)(1), inserted “, jointly with the Director of the Bureau of Consumer Financial Protection,” after “Board”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2010 AmendmentAmendment by Pub. L. 111–203 effective on the designated transfer date, see section 1100H of Pub. L. 111–203, set out as a note under section 552a of Title 5, Government Organization and Employees.

Effective Date

Section effective Sept. 1, 1988, see section 613(b) of Pub. L. 100–86, set out as a note under section 4001 of this title.

Reference

Citations & Metadata

Citation

12 U.S.C. § 4004

Title 12, Banks and Banking

Last Updated

Sep 23, 2026

Release point: 119-110