For years, TILs have disclosed a security interest in deposit accounts and any other right in your accounts. The other rights presumably refers to the right of setoff. The loan documentation lacks any reference to a security interest in deposit accounts. New Hampshire statutes treat the right of set off as a contract issue not an operation of law. The Regulatory Risk Monitor identified this issue on their list of violations being cited. Am I correct in my interpretation that if no security interest in deposit accounts is created in the loan docs - it should not be disclosed.
FDIC says it's not an issue for them.
Allan D. Virr, CRCM