We have an outdoor sign (LED scroll type) in which we advertise a certificate. Advertisements are supposed to state the APY as Annual Percentage Yield at least once in the ad.

There are exemptions for certain advertisements with respect to other disclosures, but I don’t see any exemption with respect to stating a rate as Annual Percentage Yield.

We see many other banks that have similar signs in which they just state a rate as APY.

Am I right in instructing our branch to stick with Annual Percentage Yield?

Yes - Annual Percentage Yield needs to be spelled out.

It took a long time for Regulation Z to be amended to allow the use of "APR" in lieu of "annual percentage rate" in all cases. Regulation DD has been around for a lot fewer years. Perhaps the Fed will eventually allow the abbreviation without the full phrase. But it's not allowed yet.

Thanks kb and John