Does this fee need be included in either our Truth in Savings Dislcosure or our Electronic Funds Transfer Act Disclosure?

Your Truth in Savings and EFT account disclosures tell your customers about fees they may incur.

The only place you are required to disclose ATM fees to non-customers is at the ATM and on the screen, in accordance with section 205.16 of Regulation E.

You do have to disclose in your EFT disclosures to your own customers that they may incur fees imposed by owners or operators or networks of ATMs other than you. See 205.7(b)(11) and Model clause A-2(j) in Appendix A.

Are we required now to have the fee disclosure ON the ATM AND on the screen? We have the disclosure on the screen and it must be agreed to before continuing. I was unaware of the requirement on the ATM.

It must be physically on the machine AND on the screen before the transaction is processed and the fee is charged. Basically you have to tell non-customers twice about the fee.

The requirement is broken into two parts in Regulation E, section 205.16(c). See also comment 2 to section 205.9(a)(1) [yes, the comment is there rather than in the comment section 205.16] in the Official Staff Interpretations (Supplement I) to the regulation.

The notice on or at the machine alerts the non-customer that there will (or may) be a fee for use of the machine. That notice is required by 205.16(c)(1). And it is for the failure to have that notice in place that several banks have been paying dearly in a series of class-action suits filed by some consumer advocacy attorneys. [If you can prove you put up a notice and that it was damaged or removed by a third party -- vandalism -- you can escape consumer liability under the Electronic Fund Transfer Act, assuming it's worth the effort and cost to mount a defense to these lawsuits.]

The second notice, which most banks take care of nicely, is the notice on the screen (or on a paper notice) during the transaction that states that a specific amount will be charged for the pending transaction, and allowing the consumer to cancel the transaction request to avoid the fee. That notice is required by 205.16(c)(2).