[Code of Federal Regulations]
[Title 12, Volume 3]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 12CFR226.11]

[Page 271]
 
                       TITLE 12--BANKS AND BANKING
 
                   CHAPTER II--FEDERAL RESERVE SYSTEM
 
PART 226--TRUTH IN LENDING (REGULATION Z)--Table of Contents
 
                       Subpart B--Open-End Credit
 
Sec. 226.11  Treatment of credit balances.

    When a credit balance in excess of $1 is created on a credit account 
(through transmittal of funds to a creditor in excess of the total 
balance due on an account, through rebates of unearned finance charges 
or insurance premiums, or through amounts otherwise owed to or held for 
the benefit of a consumer), the creditor shall:
    (a) Credit the amount of the credit balance to the consumer's 
account;
    (b) Refund any part of the remaining credit balance within 7 
business days from receipt of a written request from the consumer; and
    (c) Make a good faith effort to refund to the consumer by cash, 
check, or money order, or credit to a deposit account of the consumer, 
any part of the credit balance remaining in the account for more than 6 
months. No further action is required if the consumer's current location 
is not known to the creditor and cannot be traced through the consumer's 
last known address or telephone number.