Are non-interest-bearing accounts required to follow TISA regulations?

Non-interest-bearing accounts are generally exempt from TISA regulations. The Truth in Savings Act primarily focuses on accounts that generate interest and the disclosures related to those accounts, such as the annual percentage yield (APY), fees, and other terms that affect the interest earned. Since non-interest-bearing accounts do not pay interest, they do not fall under the scope of TISA, which is designed to ensure transparency and comparability of interest rates and fees for consumers. This exemption allows financial institutions greater flexibility in how they manage and disclose terms related to these accounts, as they do not impact the consumer’s earning potential from interest.