Skip to content
BOL Conferences
Learn More - Click Here!

New Reply Thread Options
#1414925 - 07/14/10 05:50 PM Outside Sign
Anonymous
Unregistered

Are there any issues with placing this on our outside marquee:
"Open a checking account and we'll give you $100"

Return to Top Reply Quote Quick Reply Quick Quote
#1415109 - 07/14/10 09:12 PM Re: Outside Sign Anonymous
Dallas Fan Offline
100 Club
Joined: Feb 2008
Posts: 219
RIC
Yes, see Reg DD on Advertising:

Bonus means a premium, gift, award, or other consideration worth more than $10 (whether in the form of cash, credit, merchandise, or any equivalent) given or offered to a consumer during a year in exchange for opening, maintaining, renewing, or increasing an account balance. The term does not include interest, other consideration worth $10 or less given during a year, the waiver or reduction of a fee, or the absorption of expenses.

(d) Bonuses. Except as provided in paragraph (e) of this section, if a bonus is stated in an advertisement, the advertisement shall state the following information, to the extent applicable, clearly and conspicuously:

(1) The “annual percentage yield,” using that term;

(2) The time requirement to obtain the bonus;

(3) The minimum balance required to obtain the bonus;

(4) The minimum balance required to open the account, if it is greater than the minimum balance necessary to obtain the bonus; and

(5) When the bonus will be provided.


However, outside marquees have an exemption for d4 and d5. See below.

e) Exemption for certain advertisements —(1) Certain media. If an advertisement is made through one of the following media, it need not contain the information in paragraphs (c)(1), (c)(2), (c)(4), (c)(5), (c)(6)(ii), (d)(4), and (d)(5) of this section:

(i) Broadcast or electronic media, such as television or radio;

(ii) Outdoor media, such as billboards; or




Last edited by WyoRockies; 07/14/10 09:48 PM.
Return to Top Reply Quote Quick Reply Quick Quote
#1415633 - 07/15/10 07:45 PM Re: Outside Sign Dallas Fan
Bob The Banker Offline
Platinum Poster
Bob The Banker
Joined: May 2010
Posts: 958
Also, unless you are giving me $100 cash in hand when I open the account, this would be a UDAP.

Return to Top Reply Quote Quick Reply Quick Quote
#1415662 - 07/15/10 07:57 PM Re: Outside Sign Bob The Banker
Dallas Fan Offline
100 Club
Joined: Feb 2008
Posts: 219
RIC
Bob,

Can you elaborate on your statement a bit please? How would this be an unfair or deceptive practice? Just curious.

Thanks!

Return to Top Reply Quote Quick Reply Quick Quote
#1416117 - 07/16/10 06:18 PM Re: Outside Sign Dallas Fan
Bob The Banker Offline
Platinum Poster
Bob The Banker
Joined: May 2010
Posts: 958
Originally Posted By: WyoRockies
Bob,

Can you elaborate on your statement a bit please? How would this be an unfair or deceptive practice? Just curious.

Thanks!


How do you plan on paying someone the $100 for opening account? Your statement says "Open a checking account and we'll give you $100", so therefore operating in a fashion other than what the statement says is deceptive. So when I open the account, it seems as though you will deposit $100 in it for me, hand me a check for $100, or hand me cash for $100.

How is it the $100 is paid to the customer?

Return to Top Reply Quote Quick Reply Quick Quote
#1416194 - 07/16/10 07:29 PM Re: Outside Sign Bob The Banker
Dallas Fan Offline
100 Club
Joined: Feb 2008
Posts: 219
RIC
I guess I was reading too much into your statement. It would definitely be a deceptive practice if you don't give them $100 in some form (CASH, DEPOSIT, CHECK). I guess I considered the payment of the $100 as a given. I follow you.

Personally, I would go for making a deposit into their account so you have a good paper trail. It's also the most efficient way to go in my opinion. Thanks Happy Friday to all!

Return to Top Reply Quote Quick Reply Quick Quote
#1416239 - 07/16/10 07:57 PM Re: Outside Sign Dallas Fan
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,226
Galveston, TX
I know some retired people that love these promotions. They make as much on them as they do from social security. They go around town about once a month and open accounts and get the $$$ and then close the account several weeks later.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
#1416482 - 07/19/10 01:26 PM Re: Outside Sign Bob The Banker
Anonymous
Unregistered

Original poster here: $100 is paid to the customer by deposit to the account the day the account is opened. Disclosures say that must keep it opened 6 months or be charged a closing fee of $25.

Return to Top Reply Quote Quick Reply Quick Quote
Quick Reply:
HTML is disabled
UBBCode is enabled




Moderator:  MagicCity, P*Q, Truffle Royale