§4305 — Title 12 Banks and Banking | U.S. Code

Summary

Banks must make an account schedule available to anyone who asks. They must give it to a potential customer before opening an account or providing a service. If a time deposit matures in more than 30 days and it renews automatically, the bank must give the depositor the schedule at least 30 days before maturity. The rule also covers situations when the person is not physically at the bank when the account is opened and has not previously received the schedule, and when a disclosed term changes in a way that could lower the return or hurt an account holder. If an account has more than one owner or is for an organization, giving the schedule to any one owner or one authorized representative meets the requirement. For accounts that get statements at least every three months, the bank must include, in the first regular mailing sent after the six-month period that starts when the Bureau publishes final rules, a notice saying the account holder can request the schedule showing terms, fees, and interest rates.

Title 12, §4305

Banks and Banking — Source: USLM XML via OLRC

(a)A schedule required under section 4303 of this title for an appropriate account shall be—

(1)made available to any person upon request;

(2)provided to any potential customer before an account is opened or a service is rendered; and

(3)provided to the depositor, in the case of any time deposit which has a maturity of more than 30 days 11 So in original. Probably should be followed by “and”. is renewable at maturity without notice from the depositor, at least 30 days before the date of maturity.

(b)If—

(1)a depositor is not physically present at an office of a depository institution at the time an initial deposit is accepted with respect to an account established by or for such person; and

(2)the schedule required under section 4303(a) of this title has not been furnished previously to such depositor,

(c)If—

(1)any change is made in any term or condition which is required to be disclosed in the schedule required under section 4303(a) of this title with respect to any account; and

(2)the change may reduce the yield or adversely affect any holder of the account,

(d)If an account is established by more than 1 individual or for a person other than an individual, any distribution described in this section with respect to such account meets the requirements of this section if the distribution is made to 1 of the individuals who established the account or 1 individual representative of the person on whose behalf such account was established.

(e)For any account for which the depository institution delivers an account statement on a quarterly or more frequent basis, the depository institution shall include on or with the first regularly scheduled mailing sent after the end of the 6-month period beginning on the date of publication of regulations issued by the Bureau in final form, a statement that the account holder has the right to request an account schedule containing the terms, charges, and interest rates of the account, and that the account holder may wish to request such an account schedule.

Notes & Related Subsidiaries

Editorial Notes

Amendments

2010—Subsec. (e). Pub. L. 111–203 substituted “Bureau” for “Board”. 1996—Subsec. (a)(3). Pub. L. 104–208 inserted “has a maturity of more than 30 days” after “deposit which”. 1992—Subsec. (e). Pub. L. 102–550 substituted “on or with the first regularly scheduled mailing sent after the end of the 6-month period beginning on the date of publication” for “on or with any regularly scheduled mailing posted or delivered within 180 days after publication”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2010 AmendmentAmendment by Pub. L. 111–203 effective on the designated transfer date, see section 1100H of Pub. L. 111–203, set out as a note under section 552a of Title 5, Government Organization and Employees.

Effective Date

of 1992 AmendmentAmendment by Pub. L. 102–550 effective as if included in the Federal Deposit Insurance Corporation Improvement Act of 1991, Pub. L. 102–242, as of Dec. 19, 1991, see section 1609(a) of Pub. L. 102–550, set out as a note under section 191 of this title.

§4305 Distribution of Schedules

Summary

Title 12, §4305

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Effective Date

Effective Date

Citations & Metadata