What must a financial institution do if it changes its account fees under the Truth in Savings Act?

Under the Truth in Savings Act (TISA), if a financial institution changes its account fees, it is required to supply the required advance notice of changes to affected consumers. This is crucial for maintaining transparency and ensuring that consumers are aware of any modifications that could impact their financial decisions.

TISA mandates that institutions inform account holders before any changes take effect, allowing consumers to understand the new terms and decide whether they want to continue using the account under the revised conditions. This requirement supports good consumer practices by promoting informed choices.

Providing notice after the changes or through a summary in a subsequent statement wouldn't allow consumers to have that necessary advance knowledge before the changes take effect, undermining the Act's intent to enhance consumer protection and awareness. Similarly, merely announcing changes publicly does not ensure that all affected consumers receive the information directly or promptly.