New Bank Monitoring Rule: Why Transfers Over $600 Are Getting Flagged in 2026

Banks have started tapping into automation even more, just like any other business. Many institutions have said that automation and AI help them flag fraudulent charges more quickly, protecting consumers. However, sometimes, it can just create headaches for someone who is trying to access their money. Routine transfers over $600 are now getting flagged, delayed, or held for review. It seems like a simple move between accounts, but it can cause a big problem. Here are six reasons why this is happening, plus what you can do to prevent it.

1. Banks Must Flag “Unusual Activity” Under the Updated Rule

Monitoring has been expanded to include what counts as “unusual activity,” and transfers of over $600 now fall into that category more often. Banks are required to compare your transfers to your historical patterns, not just the dollar amount alone. If a transfer looks out of character (even if it’s perfectly legitimate), it may trigger an automated review. These reviews are designed to catch scams, elder exploitation, and unauthorized access before money leaves your account.

2. Fraud and Scam Losses Pushed Regulators to Tighten Oversight

The rise in Zelle, ACH, and wire‑transfer scams over the past three years pushed regulators to strengthen monitoring. Fraud losses hit record highs, and banks faced pressure to intervene earlier when suspicious transfers occurred. Because scammers often instruct victims to send amounts between $600 and $2,000, regulators targeted this range for enhanced monitoring. As a result, even legitimate transfers may be flagged if they resemble common scam patterns.

3. ACH Transfers Now Require Behavioral Screening

Under the updated NACHA guidelines, banks must run behavioral analysis on ACH transfers (not just wires) before releasing funds. This means the bank monitoring rule now applies to everyday transactions like paying contractors, sending rent, or transferring money to family. If the system detects a deviation from your normal habits, it may pause the transfer for manual review. These pauses can last anywhere from a few minutes to a full business day, depending on the bank.

4. Transfers Between Your Own Accounts Can Still Be Flagged

Many consumers assume that moving money between their own accounts should never trigger a freeze or raise red flags, but that’s no longer the case. Banks now evaluate the purpose, frequency, and destination of transfers, even when both accounts belong to you. If you suddenly move larger amounts, transfer more often, or send money to a new institution, the system may flag it as a potential risk. This is especially common when people open new high‑yield savings accounts or switch banks.

5. Business Owners Face Extra Scrutiny on Incoming and Outgoing Transfers

Small‑business owners are feeling the impact of automation in banking, maybe the most. Transfers over $600 tied to payroll, vendor payments, or client invoices may trigger reviews if they differ from past patterns. Banks are required to verify that business accounts aren’t being used for personal transfers or unregistered commercial activity. This can lead to delays, especially for new businesses without a long transaction history.

6. Banks Are Required to Verify Identity More Often

Identity verification is now a core part of banking, especially for transfers over $600. If your bank can’t confirm your identity through device recognition, location data, or login behavior, it may hold the transfer until you complete additional steps. This is why some customers receive unexpected text messages, app alerts, or phone calls asking them to confirm a transaction. While these checks can feel intrusive, they’re designed to stop unauthorized users from draining accounts.

What You Can Do to Avoid Unnecessary Transfer Delays

Consumers can take several steps to reduce the chance of a transfer being flagged under the bank monitoring rule. Here they are…

1. Keep your contact information updated to ensure you receive verification requests promptly.
2. Use the same device and login method for large transfers to help the system recognize your activity.
3. If you plan to make an unusually large transfer, notify your bank ahead of time to prevent automatic holds.

The updated bank monitoring rule may feel inconvenient, but it reflects a broader push to protect consumers from increasingly sophisticated scams. Transfers over $600 are now more likely to be flagged, not because you’ve done anything wrong, but because banks are required to intervene earlier and more aggressively. Understanding how the rule works can help you anticipate delays, prepare documentation, and avoid unnecessary stress.

Have your transfers been delayed or flagged under the new bank monitoring rule? What explanation did your bank give you? Share your experience in the comments.