With interest rates dropping so low, we are considering lowering rates to zero on some accounts. Since this would make these DDAs effectly noninterest bearing, does this require a 30 day change in terms notification to the customer or will the variable rate change notice in the original account disclosure be sufficient?
It is always possible to do more than the minimum set by regulation. In the case of Soldiers and Sailors, doing more can be a very good thing.
Must we notify our customer when interest rates on deposit products are lowered if, at the time the account is opened, we disclose in writing that rates are subject to change at our discretion?
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Is it permissible for a National Bank to offer a time-deposit promotion where customers opening that time-deposit would be entered into a drawing with the winner receiving additional (double) interest on their deposit? I have referenced Title 12, Chapter 2, Sec. 25a of the U.S.C., however, I am having difficulty interpreting the Code's definition of a "lottery."
There was a revision to Reg DD that stated "If a CD has a term of longer than one year and you do not compound, the APY may be stated the same as the rate". Where can I find that to show to a customer?
Question: Now for my second question. How should we disclose a term, such as the interest rate, that is not exactly within the customer's or the bank's control?
Question: Help! How do we explain the APR on an overdraft line of credit.