Regulation CC: What Financial Institutions Need to Know for July 2025

In 2019, the Federal Reserve Board and the Consumer Financial Protection Bureau (CFPB) finalized a rule formally setting a methodology for inflation adjustments every five years.

The next adjustment is set to occur effective July 1, 2025. These adjustments were implemented to be the inflation-adjusted dollar thresholds under Regulation CC, which governs the availability of funds and check processing timelines.

What’s changing with Regulation CC?

Regulation CC mandates certain dollar thresholds be adjusted for inflation every five years, using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) as the benchmark. The upcoming adjustments are based on inflation data from July 2018 through July 2023. The previous update occurred in 2020.

Key changes include:

• Next-day availability thresholds — The threshold for next-business-day availability of funds from certain check deposits will be raised from $225 to $275.
• New account holds — The threshold for next-day availability of funds from certain check deposits into new accounts will also be raised from $5,525 to $6,725.
• Large deposit exception holds — The current threshold for classifying a deposit as “large” (presently $5,525) is scheduled to be adjusted to $6,725.

Why the Regulation CC changes matter

These changes directly impact how banks and credit unions manage funds availability disclosures, hold policies, and account owner communication. Institutions must update:

• Disclosure documents
• Frontline procedures
• Core processing systems
• Employee training materials

Action steps for financial services compliance teams

1. Review the updated thresholds — Examine the revised dollar thresholds published by the Federal Reserve and the Consumer Financial Protection Bureau.
2. Update internal policies and disclosures — Revise your Regulation CC policy documents and consumer disclosures to reflect the new thresholds.
3. Train frontline staff — Educate consumer-facing employees on the updated thresholds and any changes to funds availability procedures.
4. Communicate with consumers — Notify consumers — particularly those with new accounts or making large deposits — about how the changes may affect their access to funds.