What must financial institutions do according to the Truth in Savings Act?

The requirement for financial institutions to ensure that customers receive terms and conditions for any account is a fundamental aspect of the Truth in Savings Act (TISA). This law aims to promote transparency and protect consumers by mandating that institutions provide clear, concise, and accurate information about deposit accounts, including details about fees, terms, interest rates, and other key conditions that apply to the accounts.

By requiring the disclosure of terms and conditions, TISA helps consumers make informed decisions regarding their savings options. This transparency is crucial for allowing potential account holders to compare various financial products and understand what they are agreeing to when opening an account. The requirements also help to foster trust between consumers and financial institutions.

The other options do not capture the primary focus of TISA as effectively. While providing annual reports and disclosing interest rate calculations are beneficial practices, they are not explicitly mandated in the same way as providing terms and conditions. Limiting advertising to account openings only is also not a stipulation of TISA, which emphasizes the need for complete and clear communication rather than restricting how institutions market their accounts.