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TISA Rules for Automatically Renewable CDs

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Question: 
What are the disclosure requirements on Certificates of Deposit renewals under and over 12 months? I know we're required to do a new TIS disclosure for any term over 12 months, but what else is required? I know some banks send out monthly interest added back notices. Is this necessary if you are sending them a maturity notice 10 days before maturity with renewal dates, amount, and that the interest rate has not yet been calculated? They are advised in a letter to call or come into the bank for current rate at maturity. Anyway, I guess my question is: Is the maturity letter for an auto renewable CD the only required information needed to meet TIS rules?
Answer: 

The information that you are required to include in or with the maturity notice is spelled out in section 230.5 of Reg DD. If the CD has an origin term of more than one year, you are required to provide all the same information you would supply if the customer were opening a new account.

First published on BankersOnline.com 3/13/06

First published on 03/13/2006

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