Financial institutions have limits in place on bank accounts and debit cards to help protect you and your account from fraud or losses. Let’s talk about the most frequently asked questions about release limits, point-of-sale limits and ABM withdrawal limits.

What are release limits?

When you deposit a cheque into your chequing or savings account, your financial institution may hold a portion of that cheque for a few days until the funds have cleared (the money has successfully transferred from one bank account to another). There are some exceptions, but the cheque hold period is typically five business days. The amount of money released to you immediately is called a release limit.

Quick tip: Direct deposit and e-transfers don’t have release limits. If you don’t want a delay in receiving payments—like your paycheque—ask whoever’s paying you to opt for one of those options.

Why release limits?

It’s important to understand why release limits are in place. Release limits exist to protect you and the financial institution against losses if the cheque doesn't clear and funds are lost. If the financial institution gave you access to the complete funds right away, it would be like giving you credit. If the cheque didn’t clear because of insufficient funds, you’d become responsible for repaying those funds (you can look at your account agreement for details). 

Temporary access to some of the money reduces the amount that you’d potentially have to pay back if the cheque didn’t clear.
To reduce the risk of encountering  insufficient funds or fraudulent cheques, deal with people you know and trust. 

How do I increase my release limit? 

If you’d like to increase your release limit, you can talk with your advisor or local branch for options.

How are release limit amounts determined?

Not everyone’s release limit is the same. For example, having a good financial history could result in having a higher release limit. Getting a higher release limit is dependent on your relationship with your financial institution, including the amount of time you’ve banked with them, average deposit amount, the status of your existing accounts and your overall banking behaviour.

What is a point-of-sale limit?

A point-of-sale limit is the daily amount you’re able to spend using your debit card, including your mobile wallet.

Tap limits

Another limit you may encounter is a tap limit, which is how much you can spend using the tap functionality of your debit or credit card. On Mastercard® and Visa, the tap limit allows you to spend $250 in a single tap purchase. 

Why point-of-sale limits?

These limits are in place to protect you and your money. If you experience theft or fraud, the point-of-sale limit will prevent the fraudster from emptying your account.

What is an ABM withdrawal limit?

An ABM withdrawal limit is the amount you’re able to withdraw from an automated banking machine in a single day. 

Why ABM withdrawal limits?

Like the previous limits, protection is the reason this limit exists. It can protect you and the financial institution from loss through fraud by preventing all of your funds from being accessible.

Can I change these limits?

For point-of-sale and ABM withdrawal limits, you can connect with your financial institution to go over your options and determine what’s best for you. For example, you might need to change your limits to make a special purchase. If you’re an ATB client, you can call our Client Care Centre or visit a branch. 

Self serve limit increases are also available in ATB Personal (web and app). Your limit will automatically revert to its original amount the next day. The changes made in ATB Persona last about 48 hours with four temporary changes available per year. 

If you have questions about your release limit or other daily limits, reach out to us.