Current through Register Vol. 49, No. 6, March 15, 2024
PURPOSE: This rule permits associations on certain
conditions to make specified payments to third parties with the authorization
of the accountholder.
(1) An
association is authorized to offer savings accounts on which interest is paid
and from which the owner may make withdrawals by negotiable or transferable
instruments for the purpose of making transfers to third parties.
(2) An association, if specifically
authorized by a resolution of the board of directors and the authorization of
the accountholder, may accept orders for payment from a saving or deposit
account to third parties in such amounts as the accountholder determines.
(A) The authorization of the accountholder
may be a specific authorization for periodic payments to specified parties in
specified amounts or may be a general authorization for payment to specified
parties of such amounts as are later determined by subsequent order of the
accountholder or a combination of both such types of authorizations.
(B) Associations obtaining the initial
written authorization to pay specified third parties at times and in amounts to
be later specified may accept orally or electronically transmitted
authorizations to pay those specified parties such amounts at such times
determined by subsequent transmittal in accordance with the terms of the
initial authorization, provided that no association shall use an electronic
system for accepting such authorizations unless the board of directors shall be
reasonably assured that reasonable internal controls exist to protect the
customer and the association, which assurance shall be based, at least in part,
on an independent audit report concerning such controls. A copy of such report
shall be filed with the director of the division.
(C) All authorization shall be subject to
termination at the will of the accountholder, stated in writing and received by
the association at least forty-eight (48) hours prior to the beginning of the
day on which the payment of any amount to a third party is to be
made.
(D) At the request of a third
party, any amount to be received by that third party may be transferred to a
savings or deposit account of the third party.
(E) The association may charge a fee for its
services in making any payment or transfer pursuant to the provisions of this
rule.
(F) Associations may extend
secured or unsecured credit in the form of overdraft privileges specifically
related to accounts authorized by this section.
*Original authority: 369.154, RSMo 1971, amended 1982,
1983, 1994; 369.189, RSMo 1971, amended 1982, 1994; and 369.299, RSMo 1971,
amended 1994.
