31 CFR 212.7 - Notice to the account holder.
A financial institution shall issue the notice required by § 212.6(e) in accordance with the following provisions.
(a) Notice requirement. The financial institution shall send the notice in cases where:
(1) A benefit agency deposited a benefit payment into an account during the lookback period;
(2) The balance in the account on the date of account review was above zero dollars and the financial institution established a protected amount; and
(3) There are funds in the account in excess of the protected amount.
(b) Notice content. The financial institution shall notify the account holder named in the garnishment order of the following facts and events in readily understandable language.
(1) The financial institution's receipt of an order against the account holder.
(2) The date on which the order was served.
(3) A succinct explanation of garnishment.
(4) The financial institution's requirement under Federal regulation to ensure that account balances up to the protected amount specified in § 212.3 are protected and made available to the account holder if a benefit agency deposited a benefit payment into the account in the last two months.
(5) The account subject to the order and the protected amount established by the financial institution.
(6) The financial institution's requirement pursuant to State law to freeze other funds in the account to satisfy the order and the amount frozen, if applicable.
(7) The amount of any garnishment fee charged to the account, consistent with § 212.6.
(8) A list of the Federal benefit payments subject to this part, as identified in § 212.2(b).
(9) The account holder's right to assert against the creditor that initiated the order a further garnishment exemption for amounts above the protected amount, by completing exemption claim forms, contacting the court of jurisdiction, or contacting the creditor, as customarily applicable for a given jurisdiction.
(10) The account holder's right to consult an attorney or legal aid service in asserting against the creditor that initiated the order a further garnishment exemption for amounts above the protected amount.
(11) The name of the creditor, and, if contact information is included in the order, means of contacting the creditor.
(c) Optional notice content. The financial institution may notify the account holder named in the garnishment order of the following facts and events in readily understandable language.
(1) Means of contacting a local free attorney or legal aid service.
(2) Means of contacting the financial institution,
(3) By issuing the notice required by this part, the financial institution is not providing legal advice.
(d) Amending notice content. The financial institution may amend the content of the notice to integrate information about a State's garnishment rules and protections, for the purposes of avoiding potential confusion or harmonizing the notice with State requirements, or providing more complete information about an account.
(e) Notice delivery. The financial institution shall issue the notice directly to the account holder, or to a fiduciary who administers the account and receives communications on behalf of the account holder, and only information and documents pertaining to the garnishment order, including other notices or forms that may be required under State or local government law, may be included in the communication.
(f) Notice timing. The financial institution shall send the notice to the account holder within 3 business days from the date of account review.
(g) One notice for multiple accounts. The financial institution may issue one notice with information related to multiple accounts of an account holder.
(h) Not legal advice. By issuing a notice required by this part, a financial institution creates no obligation to provide, and shall not be deemed to be offering, legal advice.