Truth in Savings — 2005-05-24 [05-10348]

The Board is amending Regulation DD, which implements the Truth in Savings Act, and the staff commentary to the regulation, to address concerns about the uniformity and adequacy of information provided to consumers when they overdraw their deposit accounts. The amendments, in part, address certain types of services--sometimes referred to as "bounced-check protection" or--courtesy overdraft protection"--which are offered by many depository institutions to pay consumers' checks, and which allow other overdrafts when there are insufficient funds in the account. These services are typically automated services provided to transaction account consumers as an alternative to a traditional overdraft line of credit.