Funds Availability Policy

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PGCFCU-Funds Availability Policy Reviewed & Approved: 05/26/2020

Supersedes: 05/28/2019

General Policy Statement:

This disclosure describes the ability to withdraw funds at Prince George’s Community Federal

Credit Union (Credit Union). It only applies to the availability of funds in transaction accounts.

The Credit Union reserves the right to delay the availability of funds deposited to accounts that

are not transaction account for periods longer than those disclosed in this agreement. Per

Regulation CC, the first $225.00 of the deposit will be available on the 1st business day

following the day of the deposit.

Guidelines:

1. Disclosure. The Credit Union conscientiously informs members of its funds availability

policy by providing members with:

A. Disclosures: Upon Request. The Credit Union will provide a copy of its funds

availability policy to any member who requests a copy.

B. Initial Disclosures. When a member opens a new account, the Credit Union will

provide the member with written disclosures that clearly and conspicuously

explain the Credit Union's funds availability policy.

C. Branch and ATM Notices. The Credit Union will post its availability policy at a

conspicuous place in every location where deposits are accepted.

D. Internet Disclosure. The Credit Union will post its availability notice on its Web

site on every page where accounts are opened and/or payments are made online.

E. Change-in-Policy Notice. If the Credit Union ever changes its funds availability

policy it will notify all members of the change at least 30-days before

implementation. If the change results in faster availability of funds, the Credit

Union will notify all members no later than 30 days after the change.

2. Same-Business Day Availability: The Credit Union affords same-day availability for

cash deposits and electronic fund transfers.

3. Next- Business Day Availability: The Credit Union affords next business day

availability for the following funds deposited in person at teller stations. To qualify for

next-day availability, members must deposit funds during Credit Union business hours

before the cutoff time for receiving deposits. The cutoff time is the branch closing time.

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PGCFCU-Funds Availability Policy Reviewed & Approved: 05/26/2020

Supersedes: 05/28/2019

A. Government Checks; for example, U.S. Treasury checks, U.S. Postal Service

money orders, checks drawn by the State or an agency of the State or a branch of

local government deposited in an account held by the payee of the check.

B. Depository Checks; i.e., Cashier's checks, certified checks, and money orders.

C. Checks on Us; i.e., checks drawn against accounts of this Credit Union.

D. Drafts Covered by Member's Account; i.e., situations where the member's

account balance exceeds the amount of the draft.

4. Two- Business Days Availability: The Credit Union affords two business days

availability for drafts deposited less than $5525.

5. Five- Business Days Availability- Deposits Exceeding $5,525. The Credit Union may

apply this exception to aggregate deposits in multiple accounts that equals to $5,525 or

more in one day.

6. Seven- Business Days Availability-New Accounts less than 30 days . (Sole transaction

account with Credit Union less than 30-days old.)

A. Holds do not apply to cash deposits and electronic transfers; or

B. May not apply to government checks or depository checks over

$5,525. (Regulation CC)

7. Nine- Business Days Availability- Exception Holds: The Credit Union may place a

specific exception hold where the transaction involves reasonable belief that the check is

uncollectible; repeated overdrafts; new accounts; large deposits; redeposit items; and

emergency conditions.

A. Specific Exceptions.

i. Uncollectible Checks.

a. Improper endorsement;

b. Evidence suggests that the member is engaged in check kiting; or

c. Credit Union has received a notice of dishonor from the financial

institution against which the check is drawn.

ii. Repeated Overdrafts. An account will retain its “repeated overdraft”

status for 6 months from the last overdraft.

iii. Forgery or Fraud: The Credit Union will place a hold on deposits where

evidence suggests a forgery or fraud.

iv. Re-deposited Items. Items previously returned by the paying institution

for non-technical reasons (i.e., missing endorsement or the check is post-

dated).

v. Emergency Conditions. Conditions such as war, earthquake, fire, flood,

power or equipment failure, suspension of payments from another

financial condition, or any other emergency. A hold will be placed on the

funds for a reasonable time after the emergency has passed.

B. Notice. If the Credit Union decides to impose a specific hold, it will immediately

deliver proper notice to the member depositor. If for some reason the Credit

Union fails to deliver notice at the time of the transaction, the Credit Union will

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PGCFCU-Funds Availability Policy Reviewed & Approved: 05/26/2020

Supersedes: 05/28/2019

refund any return check fees or overdraft fees assessed. The notice will include:

i. Statement that the Credit Union is holding the funds;

ii. Reason for the hold;

iii. Member's name and account number;

iv. Date and amount of deposit; and

v. Date the funds will be available.

Notice can be delivered by fax or e-mail if the member agrees to receive

such information in this manner and if it can be downloaded and printed.

8. Substitute Checks: Check clearing for the 21

Century (“Check 21”) enables financial

institutions to send checks to each other electronically, and enables the Credit Union to

receive a paper copy of the electronic check (called a “substitute check”). Substitute

checks are the legal equivalent of a paper check for all purposes. The Credit Union is not

required to create substitute checks, but must accept them.

A. Legend. The substitute check will state “This is a legal copy of your check. You

can use it in the same way you would use the original check.”

B. Disclosure. The Credit Union will provide members with a disclosure that a

substitute check is the legal equivalent of an original check, along with the

member rights that apply when a member in good faith believes that a substitute

check was not properly charged to his/her account. The disclosure will be

provided in the following circumstances:

i. Whenever new accounts are opened;

ii. Whenever original or substitute checks are provided with the periodic

statement; and

iii. Whenever a member requests an original check or a copy of a check, and

instead receives a substitute check. The disclosure in this instance will be

provided no later than the time the member receives the substitute check.

iv. For joint accounts, the disclosure need only be provided to one account

holder.

Board Review

This policy will be reviewed and approved by the Board of Directors annually or more

frequently when a change to regulatory requirements or procedures occurs that potentially affects

this policy topic.

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PGCFCU-Funds Availability Policy Reviewed & Approved: 05/26/2020

Supersedes: 05/28/2019

Policy Contact Point

Questions regarding the content, implementation and maintenance of this policy will be directed

to the Chief Operating Officer (COO).