What is the Truth in Savings Act?

The Truth in Savings Act is a federal banking law that was created to protect consumers in North Carolina and around the country. This law requires banks to provide customers with clear and accurate information about their savings products, such as interest rates and fees. It also requires banks to clearly disclose the terms of any deposit account, and to make sure that customers understand the disclosure before they open the account. The Truth in Savings Act applies to savings accounts, checking accounts, money market accounts, certificates of deposit, and other deposit products offered by banks. This law requires banks to give customers information on the types of accounts, the minimum or maximum balance requirements, the interest rate, and any fees associated with the account. This information must be provided to customers in an easy-to-understand and concise manner whenever they open a new account or make changes to their existing account. Banks must also provide customers with a written disclosure of account information at least once a year—or more often, if the bank changes the terms of the account. The aim of the Truth in Savings Act is to ensure that consumers are informed about their banking products so that they can make the best financial decision for their needs.

Related FAQs

What is the difference between a secured loan and an unsecured loan?
What is the Equal Credit Opportunity Act?
What is the difference between a bank and a credit union?
What is the Uniform Electronic Transactions Act?
What is the Payment Card Industry Data Security Standard?
What is the Consumer Leasing Act?
What is the Federal Credit Union Act?
What are the general principles of banking law?
How does the Patriot Act impact banking law?
What is the Debt Collection Improvement Act?

What is the Truth in Savings Act?

Related FAQs

Related Blog Posts