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.