I was asked to review some poster proofs and counter cards for our new Kasasa accounts. On these posters and counter cards, the APY is stated so I assumed that this was a trigger term that would require additional disclosures. Apparantly our BancVue rep is saying that the poster proofs and counter cards are ok because there is an asterisk and a disclaimer at the bottom of the poster that says "*APY=Annual Percentage Yield. Qalifications apply. See a customer service representative for details." Is this ok? It was not mentioned on the materials that the rate may change or of the time period that the APY will be offered. She also said that since they are "branch materials" then its ok since the customer can't take the materials out of the branch like they could with a brochure.

I need some help with this ASAP. We will be opening these accounts soon and I don't feel comfortable with her answers to my comments.

Please let me know what you think. Is it ok to leave the poster proofs and counter cards the way they are? Are these not considered advertising materials since they don't leave the branch? Will customer service reps have to tell the customers that the rate is subject to change and that the rate is current as of a certain date if the poster and counter cards don't state this? Any help will be greatly appreciated!

1030.8
(2) Indoor signs. (i) Signs inside the premises of a depository institution (or the premises of a deposit broker) are not subject to paragraphs (b), (c), (d) or (e)(1) of this section.

(ii) If a sign exempt by paragraph (e)(2) of this section states a rate of return, it shall:

(A) State the rate as an “annual percentage yield,” using that term or the term “APY.” The sign shall not state any other rate, except that the interest rate may be stated in conjunction with the annual percentage yield to which it relates.

(B) Contain a statement advising consumers to contact an employee for further information about applicable fees and terms.