§ 4302. Disclosure of interest rates and terms of accounts
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/usc/title-12/section-4302A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)In general Except as provided in subsections
(b)and (c), each advertisement, announcement, or solicitation initiated by any depository institution or deposit broker relating to any demand or interest-bearing account offered by an insured depository institution which includes any reference to a specific rate of interest payable on amounts deposited in such account, or to a specific yield or rate of earnings on amounts so deposited, shall state the following information, to the extent applicable, in a clear and conspicuous manner:
(1)The annual percentage yield.
(2)The period during which such annual percentage yield is in effect.
(3)All minimum account balance and time requirements which must be met in order to earn the advertised yield (and, in the case of accounts for which more than 1 yield is stated, each annual percentage yield and the account minimum balance requirement associated with each such yield shall be in close proximity and have equal prominence).
(4)The minimum amount of the initial deposit which is required to open the account in order to obtain the yield advertised, if such minimum amount is greater than the minimum balance necessary to earn the advertised yield.
(5)A statement that regular fees or other conditions could reduce the yield.
(6)A statement that an interest penalty is required for early withdrawal.
(b)Broadcast and electronic media and outdoor advertising exception The Bureau may, by regulation, exempt advertisements, announcements, or solicitations made by any broadcast or electronic medium or outdoor advertising display not on the premises of the depository institution from any disclosure requirements described in paragraph
(4)or
(5)of subsection
(a)if the Bureau finds that any such disclosure would be unnecessarily burdensome.
(c)Disclosure required for on-premises displays The disclosure requirements contained in this section shall not apply to any sign (including a rate board) disclosing a rate or rates of interest which is displayed on the premises of the depository institution if such sign contains—
(1)the accompanying annual percentage yield; and
(2)a statement that the consumer should request further information from an employee of the depository institution concerning the fees and terms applicable to the advertised account.
(d)Misleading descriptions of free or no-cost accounts prohibited No advertisement, announcement, or solicitation made by any depository institution or deposit broker may refer to or describe an account as a free or no-cost account (or words of similar meaning) if—
(1)in order to avoid fees or service charges for any period—
(A)a minimum balance must be maintained in the account during such period; or
(B)the number of transactions during such period may not exceed a maximum number; or
(2)any regular service or transaction fee is imposed.
(e)Misleading or inaccurate advertisements, etc., prohibited No depository institution or deposit broker shall make any advertisement, announcement, or solicitation relating to a deposit account that is inaccurate or misleading or that misrepresents its deposit contracts.
(Pub. L. 102–242, title II, § 263, Dec. 19, 1991, 105 Stat. 2334; Pub. L. 102–550, title IX, § 957(a), Oct. 28, 1992, 106 Stat. 3896; Pub. L. 104–208, div. A, title II, § 2604(b), Sept. 30, 1996, 110 Stat. 3009–471; Pub. L. 111–203, title X, § 1100B(1), July 21, 2010, 124 Stat. 2109.)
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statutes-at-large
- Public Law 102–242To require the least-cost resolution of insured depository institutions, to improve supervision and examinations, to provide additional resources to the Bank Insurance Fund, and for other purposes
- Public Law 102–550To amend and extend certain laws relating to housing and community development, and for other purposes
- Public Law 104–207Waiving certain enrollment requirements with respect to any bill or joint resolution of the One Hundred Fourth Congress making genera) or continuing appropriations for fiscal year 1997
- Public Law 111–203To promote the financial stability of the United States by improving accountability and transparency in the financial system, to end “too big to fail”, to protect the American taxpayer by ending bailouts, to protect consumers from abusive financial services practices, and for other purposes
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- Pub. L. 102–242, title II, § 263
- 105 Stat. 2334
- Pub. L. 102–550, title IX, § 957(a)
- 106 Stat. 3896
- Pub. L. 104–208, div. A, title II, § 2604(b)
- 110 Stat. 3009–471
- Pub. L. 111–203, title X, § 1100B(1)
- 124 Stat. 2109
- Pub. L. 111–203
- Pub. L. 104–208
- Pub. L. 102–550, § 957(a)(1)
- Pub. L. 102–550, § 957(a)(2)
- section 1100H of Pub. L. 111–203
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§ 4302
Disclosure of interest rates and terms of accounts
Fed. Reg.×8
Stat.×4
Stat. Comp.×1
Pub. L.Pub. L. 102–242, title II, § 263
Stat.105 Stat. 2334
Pub. L.Pub. L. 102–550, title IX, § 957(a)
Stat.106 Stat. 3896
Pub. L.Pub. L. 104–208, div. A, title II, § 2604(b)
Cites 14 · showing 6Cited by 13 across 3 sources