Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
Compliance All CUs must report NSF fees monthly
WASHINGTON (1/7/10)--Credit unions have inquired whether a new Truth in Savings (TIS) disclosure requirement for overdraft services applies to institutions that do not offer overdraft protection services to their members but do charge returned-item (NSF) fees. “The answer to that question is, yes: credit unions that charge returned item/NSF fees must disclose these fees,” according to Valerie Moss, CUNA’s director of compliance information. She said they must use the tabular format found in Appendix B-12 of the National Credit Union Administration’s (NCUA’S) TIS regulation to do so. The credit unions’ questions revolve around the NCUA’s revision last year to its TIS rules. Those changes require all credit unions that provide periodic statements to disclose the periodic and aggregate year-to-date overdraft fees and returned item fees on member statements, regardless of whether they advertise or promote the use of overdraft services. The regulation aligned NCUA’s TIS regulation with the Federal Reserve Board’s Regulation DD, as required under the Truth in Savings Act. The mandatory compliance date was Jan. 1. The regulatory revisions expanded the applicability of the aggregate fee disclosure to all financial institutions, except for institutions that don’t charge any fees. So, Moss points out, credit unions are not required to disclose that "$0" has been charged for the statement period or year-to-date. However, the credit union may provide the disclosure if it so chooses. If a fee is waived in a later periodic statement period, the credit union may--but is not required to--show that adjustment in the year-to-date total on that later statement. And, if the fee is assessed and waived during the same statement period, the credit union may, at its option, show the adjustment in both the year-to-date total and the total for that statement period.
Other Resources

RSS print
News Now LiveWire
.@CreditYOUnion captures voices of #100MM loud, proud at @GAUnitedCU See #NewsNow Thursday for more
1 hours ago
Ill. @GovernorQuinn signs patent troll law http://t.co/ugWf8zHpCm via @CrainsChicago
2 hours ago
.@MBAMortgage : Mortgage apps increased 2.8% from one week earlier for week ending Aug. 22.
3 hours ago
Franchise businesses may face higher breach risk with POS systems HT @briankrebs http://t.co/LGE46DUk15
3 hours ago
About 1 in 3 consumers use plastsic for in-person purchases of less than $5, according to @CreditCardsCom survey.
5 hours ago