---
kind: "section"
citation: "31 C.F.R. § 550.405"
title: "31"
number: "550.405"
heading: "Setoffs prohibited."
url: "https://uscodex.org/cfr/31/550.405"
---

# §550.405. Setoffs prohibited.


A setoff against blocked property (including a blocked account), whether by a U.S. financial institution or other U.S. person, is a prohibited transfer under [§ 550.201](/cfr/31/550.201.md) if effected after the effective date.


## Notes

### Authority

Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 50 U.S.C. 1601 et seq., 1701 et seq.; Pub. L. 101-410, 104 Stat. 890, as amended (28 U.S.C. 2461 note); E.O. 14046, 86 FR 52389, 3 CFR, 2022 Comp., p. 549.

### Source

Source: 87 FR 7374, Feb. 9, 2022, unless otherwise noted.