Regulation DD Truth in Savings – New Year, New Changes By: Fran V. Sponsler, CRCM, CCBCO Date: 1/7/2010 The Truth in Savings Act of 1991 was designed to enable consumers to make informed decisions about bank deposits. The final rule for Regulation DD goes into effect on January 1, 2010, and requires depository institutions to provide disclosures on monthly periodic statements. These periodic statements must disclose aggregate costs from overdraft services for the statement period and the calendar year-to-date.  This rule applies to all financial institutions, regardless of the type of overdraft services or products offered.  In addition, the final rule requires specific tabular formatting for the disclosure of the aggregate costs.  The Federal Reserve Board has adopted Sample Form B-10 as an illustration on how financial institutions should provide the aggregate cost data.  See Section 230.11 (a) (3) of the regulation for the model form. The second rule change requires that if a financial institution provides balance information to a consumer through an automated system, that the provided balance does not include amounts the institution may provide to cover overdrafts.  Automated systems include, but are not limited to, telephone banking systems, automated teller machines and online banking.  The institution may, at its option, disclose additional account balances that include funds from other sources, as long as the institution prominently states that the balance provided includes amounts from additional sources (and if applicable, that those amounts may not be available for all transactions.)