Funds Availability Quiz (Part 1)

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Funds Availability Quiz: Test Your Knowledge!

Prepare to enhance your understanding of funds availability policies with our insightful quiz! This quiz is designed to challenge your knowledge and help you learn more about how holds on checks work, especially within the context of Navy Federal.

11 thought-provoking questions
Multiple-choice, checkboxes, and open-ended responses
Suitable for anyone looking to deepen their financial knowledge

11 Questions3 MinutesCreated by EngagingExaminer325

What are some factors to consider when waiving holds

The member's situation (e.g., emergency, financial hardship

Red Flags

No factors - all checks must be placed on hold based on tier level

Type of check

To minimize check holds placed on members accounts, what are some ways that they can strengthen their relationship with Navy Federal? List at least 3

Which item(s) would be considered a Next Day Available Item?

Checks drawn off a Navy Federal account

Cash

Postal money orders

Checks drawn on any bank, $200 or less

Joe presents a U.S. Treasury check for $3000 and requestes to deposit the entire amount into his checking account. His account has been open for LESS than 30 days, how long would you hold Joe's check?

5 day hold regardless of the item because he is a new member

1 business day hold because it's a next day available item and less than $5,000

No hold regardless of amount

2 business day hold because it is over $2,500

A Tier 3 member, who joined Navy Federal three weeks earlier, requests to deposit two cashier’s checks from Bank of America: one for $500 and another for $300. The member asks when the funds will be available

Based on the amount and type, these checks will be available in one business day

Based on the amount and type, these checks will be available in two business day

Based on the amount and type, these checks will be available in five business days

What is Reg CC?

Is a Federal Reserve regulation that outlines rules and procedures for electronic funds transfers (EFTs) and provides guidelines for issuers and sellers of electronic debit cards

Prohibits lenders from discriminating against credit applicants, establishes guidelines for gathering and evaluating credit information, and requires written notification when credit is denied.

is a set of Federal Reserve guidelines that govern check holds on items deposited to financial institutions in the United States

A Tier 1 member requests to deposit a $6,000 personal check and asks when the funds will be available.

The first $5,000 will be immediately available in your account due to your strong relationship with Navy Federal. The remaining $1000 though, will be placed on a five-business-day hold

The first $5,000 will be immediately available in your account due to your strong relationship with Navy Federal. The remaining $1000 though, will be placed on a two-business-day hold

A Tier 3 member requests to deposit a $400 cashier’s check and asks when the funds will be available. In reviewing the member’s account, you see that it has been overdrawn for eight business days.

No hold

Based on the amount and type of check, this check will be placed on a five-business-day hold, which means the first $200 of your deposit will be available in one business day and the remaining amount will be available in five business days

Based on the amount and type of check, this check will be placed on a two-business-day hold, which means the first $200 of your deposit will be available in one business day and the remaining amount will be available in two business days

When applicable, intermediary and non-member transactions must be completed in accordance with the tier 2 guidance of the funds availability policy.

True

False

If a Tier 2 member deposits $6,500 in items considered next-day available, the following amounts should be placed in the following float fields

Funds Availability Quiz (Part 1)

Funds Availability Quiz: Test Your Knowledge!

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