Question & Answer

Question: "Under the new Truth-In-Savings Act(TISA), do we have to send new disclosures to all of our customers?"

Answer: This question came up at the ABA Compliance Conference in June. The answer was that all existing accounts that will be affected must receive a disclosure. The TISA is scheduled to be in effect by March, 1993. Your time-table for customer notification needs to work backward from that March date. Most bankers are deciding it's easier just to send the disclosure to all account holders than to take the chance on missing any.

In addition to the mailed disclosure, remember this will be another "don't forget" for your new accounts people. A disclosure must be given to new customers, along with the Expedited Funds disclosure, a copy of your hours, locations, ATM application, rules and regulations, policies and procedures, etc., etc., etc?

Copyright © 1992 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 3, No. 3, 7/92