Feb 5

Right of Setoff on Deposit Accounts & Loans: Legal Issues

Registration Options & Pricing

Please select your membership status.

Recorded Webinar Includes

  • Recording of the Live Webinar
  • Available 6 business days following Live date
  • Available for 6 months following Live
  • Handout and Take-Away Toolkit
  • Available on Desktop, Mobile & Tablet
  • Free Digital Download, yours to keep
  • Share link with anyone at your credit union
  • Presenter’s contact info for follow-up

10:00 am – 11:30 am HST
12:00 pm – 1:30 pm PT
1:00 pm – 2:30 pm MT
2:00 pm – 3:30 pm CT
3:00 pm – 4:30 pm ET

Your institution has a common law right to setoff a depositor’s account for a debt owed to your institution – if certain legal requirements are satisfied. In addition, your institution may have a contractual right of setoff – depending on the terms of your deposit contracts.

If a debtor defaults on a loan, when can your institution apply money from the debtor’s account to pay the loan? Does the debtor have to be notified beforehand? What if the debtor’s account has a joint owner? If your institution receives a garnishment from another creditor, can you setoff before honoring the garnishment? This webinar will answer these questions and more. Join us to learn the legal requirements that must be satisfied and the steps required before exercising the right of setoff.

Attendance certificate provided to self-report CE credits.


  • Legal requirements that must be satisfied before setoff is permitted
  • Differences between a contractual right of setoff and a common law right of setoff, and when to use each
  • Differences between setoff and foreclosure of a security interest, and how to choose the best method
  • Situations when your institution can setoff without violating the other parties’ legal rights
  • Learn which accounts and loans are subject to setoff

    • Checklist of items to satisfy before setoff is permitted
    • Employee training log
    • Quiz to measure staff learning and a separate answer key


"Consumer Collection Series: Your Borrower Filed Bankruptcy, Now What?"
Wednesday, April 17, 2019

"Consumer Collection Series: Effective Debt Collection Techniques & Strategies"
Thursday, June 20, 2019

"Consumer Collection Series: 20 Common Mistakes in Consumer Collections"
Wednesday, July 31, 2019


This informative session is designed for staff involved with deposits, garnishments, or collections, including deposit operations personnel, loan operations staff, collectors, attorneys, compliance officers, auditors, and managers.


NOTE:  All materials are subject to copyright. Transmission, retransmission, or republishing of any webinar to other institutions or those not employed by your financial institution is prohibited. Print materials may be copied for eligible participants only.


Spencer Fane LLP
You might be interested in:

We provide credit union webinars on compliance, lending, regulations, security, operations, new accounts, collections, fraud, security & other topics. For more information on credit union education and online training opportunities, join our mailing list.