# 12 C.F.R. § 797.25 (2026): Recovery from final check or other payments due a separated employee

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_25

## Section

- **Citation:** 12 C.F.R. § 797.25 (2026)
- **Heading:** Recovery from final check or other payments due a separated employee
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Title 12 CFR: Banks and Banking / Chapter VII: NATIONAL CREDIT UNION ADMINISTRATION / Part 797: PROCEDURES FOR DEBT COLLECTION / Subpart C: Salary Offset / § 797.25: § 797.25   Recovery from final check or other payments due a separated employee.

## Text

(a)
Lump-sum deduction from final check.
In order liquidate a debt, a lump-sum deduction exceeding 15 percent of disposable pay may be made pursuant to 31 U.S.C. 3716 from any final salary payment due a former employee, whether the former employee was separated voluntarily or involuntarily.
(b)
Lump-sum deductions from other sources.
Whenever an employee subject to salary offset is separated from NCUA, and the balance of the debt cannot be liquidated by offset of the final salary payment, NCUA may offset any later payments of any kind to the former employee to collect the balance of the debt pursuant to 31 U.S.C. 3716.

## Nearby sections

- [12 C.F.R. § 797.17 (2026) § 797.17   Authority and scope.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_17.md)
- [12 C.F.R. § 797.18 (2026) § 797.18   Notice requirements where NCUA is the creditor agency.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_18.md)
- [12 C.F.R. § 797.19 (2026) § 797.19   Review of NCUA records related to the debt.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_19.md)
- [12 C.F.R. § 797.20 (2026) § 797.20   Procedures to request a hearing.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_20.md)
- [12 C.F.R. § 797.21 (2026) § 797.21   Hearing procedures.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_21.md)
- [12 C.F.R. § 797.22 (2026) § 797.22   Voluntary repayment agreement.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_22.md)
- [12 C.F.R. § 797.23 (2026) § 797.23   Certification where NCUA is the creditor agency.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_23.md)
- [12 C.F.R. § 797.24 (2026) § 797.24   Certification where NCUA is the paying agency.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_24.md)
- [12 C.F.R. § 797.25 (2026) § 797.25   Recovery from final check or other payments due a separated employee.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_25.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/CFR_T12_P797_S797_25. Check the current official text before relying on it. Not legal advice.