Skip to content

Paying Preferential Interest Rates

Answered by: 

Question: 
Can a bank pay more interest to one account holder than they do to another if they both have a NOW account? If so, what disclosures are required?
Answer: 

Banks generally have varying rates for classes of accounts to stay away from any chance of treating individuals differently arbitrarily. The rates might be tied to total deposits with the bank, all accounts with the bank, different markets, etc. Disclosures are the normal disclosures, rate ads/charts will spell out criteria including all information required by the Regs.

First published on BankersOnline.com 1/28/08

First published on 01/28/2008

Filed under: 
Filed under compliance as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics