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FEDERAL RESERVE SYSTEM
12 CFR Part 230
[Regulation DD; Docket No. R-1003]
Truth in Savings
AGENCY: Board of Governors of the Federal Reserve System.
ACTION: Proposed rule.
_________________________________________________________________
SUMMARY: The Board is publishing for comment a proposed rule amending Regulation DD
which implements the Truth in Savings Act. The proposed rule would allow depository
institutions to deliver by electronic communication disclosures required by the act and regulation,
if the consumer agrees to such delivery. In addition, the Board is publishing proposed
amendments to implement amendments to the Truth in Savings Act enacted as part of the
Economic Growth and Regulatory Paperwork Reduction Act of 1996. The law modifies the rules
for indoor lobby signs, eliminates subsequent disclosure requirements for automatically renewable
time accounts with terms less than one month, and repeals the civil liability provisions as of
September 30, 2001.
DATES: Comments must be received by May 15, 1998.
ADDRESSES: Comments should refer to Docket No. R-1003, and may be mailed to William W.
Wiles, Secretary, Board of Governors of the Federal Reserve System, 20th Street and
Constitution Avenue, N.W., Washington, DC 20551. Comments also may be delivered to Room
B-2222 of the Eccles Building between 8:45 a.m. and 5:15 p.m. weekdays, or to the guard station
in the Eccles Building courtyard on 20th Street, N.W. (between Constitution Avenue and C
Street) at any time. Comments may be inspected in Room MP-500 of the Martin Building
between 9:00 a.m. and 5:00 p.m. weekdays, except as provided in 12 CFR 261.12 of the Board's
Rules Regarding Availability of Information.
FOR FURTHER INFORMATION CONTACT: Michael Hentrel or Obrea Poindexter, Staff
Attorneys, Division of Consumer and Community Affairs, at (202) 452-3667 or 452-2412. For
the hearing impaired only, Telecommunications Device for the Deaf (TDD), contact Diane
Jenkins, at (202) 452-3544.
-2SUPPLEMENTARY INFORMATION:
I. Background
The Truth in Savings Act (TISA) is implemented by the Board’s Regulation DD, issued
September 21, 1992 (57 FR 43337) (correction notice at 57 FR 46480, October 9, 1992).
Compliance with the regulation became mandatory in June 1993. The act and regulation require
depository institutions to disclose yields, fees, and other terms concerning deposit accounts to
consumers at account opening. The regulation also includes rules about advertising of deposit
accounts. Credit unions are governed by a substantially similar regulation issued by the National
Credit Union Administration.
As part of the Regulatory Planning and Review Program and its review of regulations
under section 303 of the Riegle Community Development and Regulatory Improvement Act of
1994 (12 U.S.C. 4803), the Board determined that the use of electronic communication for
delivery of information to consumers that is required by federal consumer financial services and
fair lending laws could effectively reduce regulatory compliance burden without adversely
affecting consumer protections. Thus, the Board has been considering the issue and closely
following the development of electronic communication. For example in May 1996, the Board
proposed to amend Regulation E (Electronic Fund Transfers) to permit disclosures to be provided
electronically. In March 1997, the Board issued an amendment to the staff commentary to
Regulation CC (Availability of Funds and Collection of Checks) that allowed financial institutions
to send notices electronically. (62 FR 13801, March 18, 1997.)
Having considered the comments received on the Regulation E proposal and other
rulemakings, the Board now proposes to amend Regulation DD to allow institutions to provide
Regulation DD disclosures electronically; such disclosures would remain subject to any applicable
timing, format, and other requirements of the act and the regulation. Concurrently, the Board is
issuing similar proposed revisions to address electronic communication under Regulations B
(Equal Credit Opportunity), M (Consumer Leasing), and Z (Truth in Lending), published
elsewhere in today's Federal Register. In addition, the Board has issued an interim rule under
Regulation E so that financial institutions can implement systems to provide Electronic Fund
Transfer Act information electronically.
II. Proposed Regulatory Revisions
Electronic Communication
The TISA and Regulation DD require several disclosures to be provided to consumers in
writing. Under Regulation DD, the regulatory requirement that disclosures be in writing has been
presumed to require institutions to provide paper documents. However, under many laws that
call for information to be in writing, information in electronic form is considered to be "written."
Information produced, stored, or communicated by computer is also generally considered to be a
writing at least where visual text is involved.
-3Therefore, pursuant to its authority under Section 269 of the TISA, the Board proposes to
amend Regulation DD to permit depository institutions to use electronic communication where
the regulation calls for information to be provided in writing. The term "electronic
communication" is limited to a communication that can be displayed as visual text. An example is
an electronic visual text message that is displayed on a screen (such as the consumer's computer
monitor). Communications by telephone voicemail systems do not meet the definition of
"electronic communication" for purposes of this regulation because they do not have the feature
generally associated with a writing -- visual text.
Statutory Amendments
The Economic Growth and Regulatory Paperwork Reduction Act of 1996 (1996 Act)
contains amendments to the TISA. An amendment to section 266(a)(3) eliminates the
requirement that institutions provide disclosures in advance of maturity for automatically
renewable ("rollover") time accounts with a term of 30 days or less. The Board believes the
Congressional intent was to eliminate any subsequent disclosures for monthly time accounts.
Accordingly, the proposed amendments to Regulation DD delete section 230.5(c), which requires
that institutions disclose (after the account is opened) any changes in account terms for rollover
time accounts with a maturity of one month or less. Institutions will continue to provide
disclosures when these accounts are opened.
An amendment to section 263(c) of the act expands an exemption from certain advertising
provisions for signs on the premises of a depository institution. The proposed amendments to
Regulation DD apply this exemption to all signs on the premises of an institution. Section
230.8(e) would be revised to exempt those signs that are inside the premises of the depository
institution, including those that face out. Any sign posted outside the depository institution would
remain covered by the advertising provisions unless the sign is exempt by some other provision
(such as the electronic media exemption). The 1996 Act repeals the TISA's civil liability
provisions, effective September 30, 2001. This statutory amendment does not require a
regulatory revision, as the regulation generally does not address civil liability.
III. Section-by-Section Analysis
Section 230.3 General Disclosure Requirements
Section 230.3(a) would be revised to address electronic communication. "Electronic
communication" is a visual text message electronically transmitted between a depository
institution and a consumer's home computer or other electronic device used by a consumer.
Agreements Between Institutions and Consumers
Section 230.3(a)(2) would permit depository institutions to send electronic disclosures if
the consumer agrees. There may be various ways that a financial institution and a consumer could
-4agree to the electronic delivery of disclosures and other information. Whether such an agreement
exists between the parties would be determined by applicable state law. The regulation would not
preclude a depository institution and a consumer from entering into an agreement electronically,
nor does it prescribe a formal mechanism for doing so. The Board does believe, however, that
consumers should be clearly informed when they are consenting to the delivery of TISA
disclosures and other information electronically.
Delivery Requirements for Electronic Communication
Regulation DD provides that an institution must, for example, "provide" or "deliver"
information to a consumer. Generally, the delivery requirement anticipates that a depository
institution will deliver the information--typically by mail--to an address designated by the
consumer. For a paper communication, a depository institution would not satisfy that
requirement by making disclosures "available" to consumers, for example, at a financial
institution's office (or other location). The Board believes that consumers receiving disclosures by
electronic communication should have protections regarding delivery similar to those afforded
consumers receiving disclosures in paper form. Simply posting information on an Internet site
without some appropriate notice and instructions about how the consumer may obtain the
required information would not satisfy the requirement.
The requirement to send or deliver disclosures to a consumer would be satisfied if the
institution ensures that the disclosures will be displayed in a timely manner. For example, under
Regulation DD, account disclosures must be provided before the consumer opens an account or a
service is provided, whichever is earlier. Assume that a consumer uses a personal computer to
open an account and consents to the electronic delivery of account disclosures. If the disclosures
automatically appear on the computer screen before the account is opened or the service is
provided (in accordance with the format, timing, and any other requirements of the act and
regulation), the institution would satisfy the requirement to send (or deliver or transmit)
disclosures to the consumer.
As a practical matter, there may be little distinction between sending or delivering
electronic disclosures and making them “available." Depository institutions have flexibility in how
they deliver electronic disclosures to consumers including, but not limited to, the following
examples. They may send disclosures to a consumer- designated electronic mail address, or they
may designate a location on a website where the consumer might enter a personal identification
number or other identifier to access required information. If a consumer opens an account,
receives the account disclosures at that time, and agrees to receive all Regulation DD disclosures
electronically, subsequent disclosures, such as periodic statements or change-in-terms notices,
sent (or delivered) to the designated address or placed at a designated location would generally
satisfy the delivery requirements of the regulation.
Electronic communication would remain subject to any timing or other applicable
requirements under Regulation DD. For example, a depository institution that sends a change-in-
-5terms notice required by § 230.5(a) of Regulation DD must satisfy the requirement to provide the
notice to a consumer at least 30 days in advance of the change. The Board solicits comment on
whether further guidance is needed on how to comply with the timing requirements when a notice
is posted on an Internet website.
Timing of Providing Account Opening Disclosures
Account opening disclosures, required under § 230.4(a), set forth the terms and conditions
of the account. These disclosures inform the consumers of the types and amount of any fees that
may be imposed and the interest rate and annual percentage yield (APY) that will be paid on the
account. Section 230.4(a)(1) requires that account disclosures be provided before an account is
opened or a service is provided, whichever is earlier.
Section 266(b) of the TISA provides that if the consumer is not present at the institution
when an initial account is accepted (and the disclosures have not been furnished previously) the
institution shall mail or deliver the disclosures no later than ten days after the account is opened or
the service is provided. The rationale underlying the ten-day exception is that, in some instances
(such as when an account is opened by telephone), the institution cannot provide written
disclosures before an account is opened. Because this proposal would permit disclosures to be
provided electronically, the same difficulty does not exist if an account is opened electronically.
Thus, the Board believes that this ten-day exception should not apply. One major purpose of the
TISA is to require clear and uniform disclosure so that consumers can make meaningful
comparisons of deposit accounts offered by financial institutions before opening an account. The
Board believes that permitting a ten-day delay would seriously diminish the consumer's ability to
compare account terms and, therefore, hinder an explicit purpose of the TISA. Thus, the
proposed rule requires that account opening disclosures be given before the account is opened or
a service is provided, when an account is opened using electronic communication.
Requirement That Information be "Clear and Conspicuous"
Section 230.3(a) of Regulation DD requires depository institutions to present required
information "clearly and conspicuously." Under the proposed rule, the "clear and conspicuous"
requirement applies to electronic communication. The Board does not intend to discourage or
encourage specific types of technologies. Regardless of technology, however, the disclosures
provided by electronic communication must meet the "clear and conspicuous" standard. While a
depository institution is generally not required to ensure that the consumer has the equipment to
read the disclosures, in some circumstances institutions would have the responsibility of making
sure the proper equipment is in place. For example, if financial services are offered through
terminals in an institution's premises, or through kiosks located in public or other places (such as
grocery stores), the institution must ensure that the equipment meets the clear and conspicuous
standard for TISA disclosures that are being provided electronically.
Consumer Ability to Retain Disclosures
-6Section 230.3(a) of Regulation DD requires that written disclosures be in a form the
consumer may keep. This requirement would apply to disclosures provided by electronic
communication. Depository institutions would satisfy the retention requirement if, for example,
disclosures can be printed or downloaded by the consumer. The requirements for electronic
delivery are similar to the current paper requirements, where depository institutions generally
must mail or deliver the information to the consumer but need not ensure that the consumer reads
or retains it. Thus, depository institutions would not be required to monitor an individual
consumer's ability to retain the information, nor to take steps to find out whether the consumer
has in fact retained it. The Board anticipates that a depository institution would inform the
consumer of any special technical specifications for receiving or retaining information before or at
the time a consumer agrees to receive information electronically.
As in the case of the “clear and conspicuous” standard discussed above, in circumstances
where the financial institution (or a network in which the institution is a member) controls the
equipment to be used for a service -- such as terminals in institution lobbies or kiosks in shopping
centers -- the institution would have the responsibility of ensuring retainability. Methods for
fulfilling this requirement could include, for example, printers incorporated into terminals or a
screen message offering to transmit the disclosure to the consumer's electronic mail or post office
or other address provided that the delivery requirements (discussed above) are satisfied.
Current Need for Safeguards Concerning the Electronic Delivery of Disclosures
Today, most consumers receive federal disclosures in paper form. As electronic
commerce and electronic banking increase and technological advances take place, obtaining
disclosures by electronic communication will likely become more commonplace. Currently,
however, the use of electronic communication in the delivery of financial services is still evolving.
In light of this evolution, it is difficult to fully predict the extent to which additional safeguards, if
any, may be needed to ensure that consumers receive the same protections that exist for
disclosures in paper form. The Board expects that depository institutions and other institutions
subject to Regulation DD will provide sufficient details about the delivery of disclosures. The
Board plans to closely monitor the development of electronic delivery of TISA disclosures and
other information, and will address compliance or other issues that may arise as appropriate.
Section 230.5 Subsequent Disclosures
5(c) Notice for Time Accounts One Month or Less That Renew Automatically.
Section 266(a)(3) of the TISA requires institutions to provide certain disclosures for
rollover time accounts at least 30 days before maturity. In implementing this provision in 1992,
the Board looked to the legislative history of the TISA, which suggested special rules for shortterm time accounts. The Board determined that the purposes of the legislation would not be
served by requiring advance disclosures for rollover time accounts with maturities of one month
or less. Regulation DD therefore did not require disclosures to be provided in advance of
-7maturity for such time accounts. However, under § 230.5(c) of the regulation, if a term disclosed
when the account was opened is changed at renewal, institutions were required to send a notice
describing the change within a reasonable time after the renewal of the account.
The 1996 Act eliminates the requirement that institutions provide disclosures in advance
of maturity for automatically renewable time accounts with a term of 30 days or less. (Institutions
will continue to provide disclosures when these accounts are opened.)
Accordingly, the Board proposes to delete § 230.5(c) and the corresponding provision in the
official staff commentary, comment 5(c)-1.
The statute eliminates these disclosures for rollover time accounts with a maturity of 30
days or less. Technically, the statute could be read to require subsequent disclosures for rollover
time accounts with a maturity of 31 days. For ease of compliance, the Board proposes to
eliminate subsequent disclosures for rollover time accounts with a maturity of "one month or
less." This approach would not require subsequent disclosures for accounts with a maturity of 31
days and is consistent with other provisions of Regulation DD that interpret one month to include
31 days.
Section 230.8 Advertising
8(e) Exemption for Certain Advertisements.
8(e)(2) Indoor Signs.
Section 263(a) of the TISA provides that a reference to a specific interest rate, yield, or
rate of earnings in an advertisement triggers a duty to state certain additional information,
including the annual percentage yield. In 1994, the Congress amended section 263(c) of the
advertising rules to provide that if a rate is displayed on a sign (including a rate board) designed to
be viewed only from the interior of an institution, the disclosure requirements of section 263 do
not apply.
A further amendment to section 263(c) of the TISA contained in the 1996 Act expands
the exemption for signs on the premises of the depository institution. Under the Board's proposal,
all signs inside the premises of an institution would be exempt from certain advertising disclosures
(including signs that face outdoors and that are intended to be viewed from outside the premises).
The proposal would delete the reference in § 230.8(e) to signs that face outside and the
corresponding provision in the official staff commentary, comment 8(e)(2)(i)2. Any sign posted
outside a depository institution remains covered by the advertising provisions unless the sign
qualifies for some other exemption, such as the exemption for broadcast or electronic media.
Section 230.8(e) of Regulation DD exempts advertisements made through broadcast or
electronic media from several of the mandatory advertising disclosures. Questions have arisen
about whether the limited exception for broadcast media applies to computer or other
-8advertisements, such as those posted on the Internet. The Board believes that such
advertisements are not exempt under the broadcast or electronic media provision. The rationale
for broadcast and electronic media exemptions is that these media have time or space constraints
that make it extremely burdensome to provide the required disclosures. Advertisements posted
on the Internet generally do not have the same time and space constraints. Such advertisements
would remain subject to the general advertising rules and, therefore, must comply with the
requirements of §§ 230.8(a), (b), (c), and (d) of this section.
Appendix B to Part 230 -- Model Clauses and Sample Forms
The Board is not proposing any amendments to the model forms and clauses in Appendix
B. The Board believes that financial institutions can adapt the current forms and clauses in
Appendix B for electronic use.
IV. Form of Comment Letters
Comment letters should refer to Docket No. R-1003 and, when possible, should use a
standard typeface with a type size of 10 or 12 characters per inch. This will enable the Board to
convert the text to machine-readable form through electronic scanning, and will facilitate
automated retrieval of comments for review. Also, if accompanied by an original document in
paper form, comments may be submitted on 3 1/2 inch or 5 1/4 inch computer diskettes in any
IBM-compatible DOS-based format.
V. Regulatory Flexibility Analysis
In accordance with section 3(a) of the Regulatory Flexibility Act, the Board’s office of the
Secretary has reviewed the proposed amendments to Regulation DD. Overall, the proposed
amendments are not expected to have any significant impact on small entities. The proposed rule
would relieve compliance burden. The proposed rule would also give depository institutions
flexibility in providing disclosures. A final regulatory flexibility analysis will be conducted after
consideration of comments received during the public comment period.
VI. Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3506; 5 CFR 1320
Appendix A.1), the Board reviewed the proposed rule under the authority delegated to the Board
by the Office of Management and Budget.
The Federal Reserve has no data with which to estimate the change in the burden that
would be the result of the proposed acceptability of electronic communications. Depository
institutions would be able to use electronic communication to provide disclosures and other
information required by this regulation rather than having to print and mail the information in
paper form. The use of electronic communication in home banking and financial services may
-9reduce the paperwork burden on creditors and financial institutions or merely may reduce the
dollar cost.
The Federal Reserve requests comments from depository institutions, especially state
member banks, that will help to estimate the number and burden of the various disclosures that
would be made in the first year this rule is effective. Comments are invited on: (a) whether the
proposed revised collection of information is necessary for the proper performance of the Federal
Reserve's functions; including whether the information has practical utility; (b) the accuracy of the
Federal Reserve's estimate of the burden of the proposed revised information collection, including
the cost of compliance; (c) ways to enhance the quality, utility, and clarity of the information to be
collected; and (d) ways to minimize the burden of information collection on respondents,
including through the use of automated collection techniques or other forms of information
technology. Comments on the collections of information should be sent to the Office of
Management and Budget, Paperwork Reduction Project (7100-0271), Washington, DC 20503,
with copies of such comments to be sent to Mary M. McLaughlin, Chief, Financial Reports
Section, Division of Research and Statistics, Mail Stop 97, Board of Governors of the Federal
Reserve System, Washington, DC 20551.
The collection of information requirements in this proposed regulation are found
throughout 12 CFR 230 and in Appendices A and B. This information is mandatory (12 U.S.C.
4308) to assist consumers in comparing deposit accounts offered by depository institutions,
principally through the disclosure of fees, annual percentage yield, interest rate, and other account
terms whenever a consumer requests the information and before an account is opened. The
regulation also requires that fees and other information be provided on any periodic statement the
institution sends to the consumer. The respondents/recordkeepers are for-profit financial
institutions, including small businesses. Records, required to evidence compliance with the
regulation, must be retained for twenty-four months.
The Board also proposes to extend the Recordkeeping and Disclosure Requirements in
Connection with Regulation DD (OMB No. 7100-0271) for three years. The current estimated
total annual burden for this information collection is 1,478,395 hours, as shown in the top half of
the table below. These amounts reflect the burden estimate of the Federal Reserve System for the
996 state member banks under its supervision. This regulation applies to all types of depository
institutions (except credit unions), not just to state member banks. However, under Paperwork
Reduction Act regulations, the Federal Reserve only accounts for the burden of the paperwork
associated with state member banks. Other agencies account for the paperwork burden for the
institutions they supervise.
Both the proposed rules for indoor lobby signs and elimination of subsequent disclosure
requirements for automatically renewable time accounts with terms less than one month would
decrease the frequency of response slightly; these reductions are shown in the bottom half of the
table. It is estimated that the total amount of annual burden after these two proposed revisions
would be 1,476,071 hours. There is estimated to be no associated capital or start up cost. The
- 10 Federal Reserve has not estimated there to be any annual cost burden over the annual hour
burden.
number of
respondents
estimated
annual
frequency
estimated
response
time
estimated
annual
burden
hours
5 minutes
24,900
Current
Complete account disclosures
(Upon request and new accounts)
996
300
Subsequent notices
Change in terms
Prematurity notices
996
996
1,130
1,095
1 minute
1 minute
18,757
18,177
Periodic statements
996
84,615
1 minute
1,404,609
Advertising
996
12
1 hour
Total
11,952
1,478,395
Proposed
Complete account disclosures
(Upon request and new accounts)
996
300
Subsequent notices
Change in terms
Prematurity notices
996
996
Periodic statements
Advertising
Total
Change
5 minutes
24,900
1,130
1,015
1 minute
1 minute
18,757
16,849
996
84,615
1 minute
1,404,609
996
11
1 hour
10,956
1,476,071
-2,324
The initial disclosures concerning consumers' rights and responsibilities for error
resolution are available to the public. Transaction- or account-specific disclosures are not publicly
available and are confidential between the depository institution and the consumer. Since the
Federal Reserve does not collect any information, no issue of confidentiality normally arises.
However, the information may be protected from disclosure under the exemptions (b)(4), (6), and
(8) of the Freedom of Information Act (5 U.S.C. 552(b)). The Federal Reserve may not conduct
- 11 or sponsor, and an organization is not required to respond to, this information collection unless it
displays a currently valid OMB control number. The OMB control number is 7100-0271.
List of Subjects in 12 CFR Part 230
Advertising, Banks, banking, Consumer Protection, Federal Reserve System, Reporting
and recordkeeping requirements, Truth in Savings.
Text of Proposed Revisions
Certain conventions have been used to highlight the proposed changes to Regulation DD.
New language is shown inside bold-faced arrows, while language that would be removed is set off
with brackets.
For the reasons set forth in the preamble, the Board proposes to amend, 12 CFR part 230,
as set forth below:
PART 230 -- TRUTH IN SAVINGS (REGULATION DD)
1. The authority citation for part 230 continues to read as follows:
Authority: 12 U.S.C. 4301 et seq.
2. Under section 230.3, the following amendments would be made:
a.
By designating the text of paragraph (a) following the heading as
(a)(1) and adding a heading to a newly designated paragraph (a)(1);
b.
paragraph
A new paragraph (a)(2) would be added.
The addition and revisions would read as follows:
§ 230.3 General disclosure requirements
(a) Form. -- <(1) General requirements.= * * *
<(2) Electronic communication. The term electronic communication means a message
transmitted electronically between a consumer and a depository institution in a format that allows
visual text to be displayed on equipment such as a personal computer monitor. A depository
institution and a consumer may agree to send by electronic communication any information
required by §§ 230.4 through 230.6 of this part. Information sent by electronic communication to
a consumer must comply with paragraph (a)(1) of this section and any applicable timing
requirements contained in this part.=
* * * * *
- 12 3. Section 230.5 would be amended by removing paragraph (c) and redesignating paragraph
(d) as paragraph (c):
§ 230.5 -- Subsequent disclosures.
* * * * *
[(c) Notice for time accounts one month or less that renew automatically. For time accounts
with a maturity one month or less that renew automatically at maturity, institutions shall disclose
any difference in the terms of the new account as compared to the terms required to be disclosed
under § 230.4(b) of this part for the existing account, other than a change in the interest rate and
corresponding change in the annual percentage yield. The notice shall be mailed or delivered
within a reasonable time after the renewal.]
4. Section 230.8 would be amended by revising paragraph (e)(2)(i) to read as follows:
§ 230.8 -- Advertising
* * * * *
(e) Exemption for certain advertisements. * * *
(2) Indoor signs. (i) Signs inside the premises of a depository institution (or the premises of a
deposit broker) are not subject to paragraphs (b), (c), (d) or (e)(1) of this section [unless they face
outside the premises and can reasonably be viewed by a consumer only from outside the
premises].
* * * * *
Supplement I to Part 230 -- Official Staff Interpretation
5. In Supplement I to Part 230, Section 230.5--Subsequent disclosures, under paragraph (c),
paragraph 1. would be removed:
* * * * *
Section 230.5 Subsequent disclosures
(c) Notice for time accounts one month or less that renew automatically
[1. Providing disclosures within a reasonable time. Generally, 10 calendar days after an
account renews is a reasonable time for providing disclosures. For time accounts shorter than 10
- 13 days, disclosures should be given prior to the next renewal date. For example, if a time account
automatically renews every 7 days, disclosures about an account that renews on Wednesday,
December 7, 1994, should be given prior to Wednesday, December 14.]
* * * * *
6. In Supplement I to Part 230, Section 230.8 -- Advertising under paragraph (e)(2)(i),
paragraph 2. would be removed:
(e)(2) Indoor signs.
(e)(2)(i)
* * * * *
[2. Consumers outside the premises. Advertisements may be "indoor signs" even though they
may be viewed by consumers from outside. An example is a banner, in an institution's glassenclosed branch office, that is located behind a teller facing customers but is readable by
passersby.]
* * * * *
By order of the Board of Governors of the Federal Reserve System, March 12, 1998.
(Signed)
William W. Wiles,
Secretary of the Board.