How should disclosures be provided when an account is opened by telephone?

When an account is opened by telephone, the Truth in Savings Act mandates that the financial institution must provide the required disclosures within a specific timeframe. The correct answer highlights that these disclosures should be delivered within 10 business days of opening the account or providing a service. This requirement ensures that consumers have the necessary information regarding the terms and conditions of their account, which helps them make informed financial decisions.

Providing disclosures within 10 business days allows customers to review important details like interest rates, fees, and other account features, which are essential for understanding their rights and obligations. This time frame also accommodates potential challenges in delivering information through other methods, particularly when a customer is not physically present to receive paperwork immediately.

Other methods of delivery, such as in-person meetings or facsimile transmissions, may not always be feasible or appropriate for telephone account openings, and therefore do not meet the regulatory requirements set forth by TISA. This emphasizes the importance of ensuring consumers receive crucial information in a timely manner without undue barriers.