Can changes to terms and fees take effect immediately without notice?

Under the Truth in Savings Act (TISA), financial institutions are required to provide clear and advanced notice to consumers regarding changes to terms and fees associated with their accounts. This requirement is in place to ensure that consumers are adequately informed and have the opportunity to understand how changes may affect their financial situation.

Timely notification not only promotes transparency but also allows consumers to make informed decisions about their banking options. If a bank were to implement changes without proper notice, it could lead to confusion and financial disagreements between the bank and its customers. Therefore, the correct response emphasizes the necessity of providing notice before any such changes take effect.

This practice aligns with the broader consumer protection goals of TISA, which aims to enhance the transparency of terms and conditions associated with deposit accounts.